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Power Outages: 4 Harmful Effects On Businesses

Earlier on, we mentioned how a power outage – either a brownout or blackout occurs – and how you can briefly prevent or minimise the damages done.

However, that may not be substantial in telling you why you should take precautionary measures in case of a power outage. While some power outages last for a few minutes to a couple of hours – others can go up to multiple days.

In other words, a long-term power outage can be bad for your business and result in several losses. Below, we will be sharing more on the various negative effects a power outage has on your business.

Drop in customers and revenue

Without any power being supplied, the usual production processes cannot proceed. As such, this affects the inventory turnover – more downtime during an outage equals to less inventory being sold.

Hence, this will cause your unturned inventory to increase. And when that happens, your business is seeing a decrease in customers and revenue as customers are not able to contact you or access your website – preventing them from purchasing a service or product.

Even if the power outage is temporary – it’s best to settle the problem immediately. The longer a power outage, the more damage it can have on your business’s reputation. Once it reaches that stage – an undesirable impression of your business will be perceived by the public. And pouring resources into marketing will take both time and funds to bring back your reputation again.

Poor employee productivity

When referring to how the whole business will be affected – downtimes caused by power outages also affect employee productivity.

Without the proper equipment, employees aren’t unable to work as usual and perform their tasks. On the other hand, staff from the IT department may have to work overtime in order to recover the lost data or help the engineers find the underlying cause of the power outage. Either way, both situations will mean a decrease in employee productivity.

Lost computer data

Computer viruses, software corruption and human errors are all causes of lost computer data – and that includes power outages as well.

When the main power system breaks down – it’ll naturally affect the computers and operating systems. And it could happen during moments when you’re transferring and gathering files or even reading through documents.

A power outage can cause your files to be lost or corrupted – or in the worst-case scenario – damage your hard drive and reduce its lifespan.

Damaged machinery

Last but not least, power outages can result in long-term damage to your equipment.

The sudden shutdown may be one of the reasons, but the main cause is the voltage surges that happen when the power returns. Without any implemented protection or backup power supply – the equipment is open to damage.

In cases like these, damage can no longer be avoided, and you will have to look for maintenance to get your equipment back to its original condition. Depending on your equipment, you will have to look towards different repairs such as an electric motor overhauling or distribution transformer repair. Even if you have some other equipment facing a breakdown – you can always check with your engineer if there are other repairs available.

Power outages may happen when you least expect it – and the consequences afterwards are damaging to your business. While it is unavoidable, knowing these negative effects will help you understand why precautionary measures or action needs to be taken after a power outage. So, make sure to do what is necessary for your business’s well-being.