Thoughts about the business of caring

The tragic devastation from Hurricane Harvey in the Gulf of Mexico, impacting the greater Corpus Christi and Houston areas and parts of Louisiana, has caused me to think about the nexus of politics, business and customer service.

I am concerned about all of the people and pets impacted by the climate event. I am particularly saddened for those people living in the greater Houston area who moved to Texas from Louisiana and other areas after Hurricane Katrina in 2005.

We have all heard and perhaps have taken part in conversations that start out with, “The government should be run more like a business.” In light of the recent devastation in and around Houston, let’s unpack that discussion a little.

I think we can all agree that at this moment the customers are all of the people in the area who have losses. Losses range from physical property to irreplaceable mementos to the emotional stress of surviving the event. I was in Miami during Hurricane Wilma, and trust me there is stress. Also, don’t forget the students who were just beginning school. There’s stress for them and all of the teachers and administrators, not to mention parents.

I also think that we can all agree who in this case will pay for the people to put their lives back together physically. We the people will pay. That would make us the national shareholders.

As with past climate events, Superstorm Sandy, as an example, required relief for states, cities and towns as well as for businesses. The property and casualty insurance industry will be taking a big financial hit from Hurricane Harvey’s impact. The oil and gas industry has major refineries and ports in the area that have been damaged and will result in business interruption losses. The airlines industry has already calculated the losses associated with the storm. In the past, these and other industries have sought assistance from the federal government to ease the burden on their stockholders. The assistance, if and when provided, will be paid for by us, the national shareholders.

The National Oceanographic and Atmospheric Admiration (NOAA) predicted a few months ago that this year would be a heavy hurricane season. Recently President Trump, through executive order, countered national flood plain requirements put in place by President Obama in the aftermath of Superstorm Sandy. The NOAA and the Department of Housing and Urban Development, which will help rebuild homes, have been weakened through funding cuts, scope of work reductions and regulations, by current policy decisions. I don’t see how these are good long-term business decisions.

I refer to Hurricane Harvey as a climate event. To my memory, Hurricane Harvey was different from previous hurricanes. In addition, my friend in Houston said that there were tornadoes in the area, not just the hurricane. I recall predictions by climate change proponents of more severe weather events than we have experienced in the past. I believe the concept of scenario planning is an appropriate business response to the prospects of climate change.

I am sending my prayers, money to support organizations and, if my predictions are correct, more money later to assist with the rebuilding of the Houston Gulf Coast. Businesspeople must learn from the past to improve our performance in the future. Let’s take care of our customers in the greater Houston area and ensure that our money is well spent.