CREATE Study on Business Resilience Measures Featured on UN Office for Disaster and Risk Reduction Website

CREATE External Fellow Noah Dormady of The Ohio State University and CREATE Senior Fellow Adam Rose co-authored a recently published study that measures the cost-effectiveness of business resilience tactics. The study is now featured on the United Nations Office for Disaster Risk Reduction website.

Among their findings:  Business Interruption (BI) losses exceeded losses due to property damage by over 900%, and, on average, every dollar spent on resilience tactics helped to avoid $4.57 in BI loss. The research, which was funded by the Critical Infrastructure Resilience Institute (CIRI) at the University of Illinois, Urbana-Champaign, and the DHS Office of Science and Technology, analyzed data collected in the aftermaths of Superstorm Sandy in 2012 and Hurricane Harvey in 2017 to calculate the costs of actual resilience tactics implemented by affected businesses and the resulting potential loss avoidance.

CREATE External Fellow Noah Dormady

Emanating from this research, Dormady and Rose developed the Business Resilience Calculator (BRC), a software decision-support tool designed to help businesses minimize their losses following a disaster or major disruption. The BRC enables users to identify the most cost-effective resilience tactics against varying disruptions by selecting the biggest issues they will contend with and their top priorities for recovery.   

Additional information on the study can be found on the United Nations Office for Disaster Risk Reduction (UNDRR) website.  To read more about the Business Resilience Calculator, click here.

Posted June 15, 2022

CREATE Senior Fellow Adam Rose