Springs Harvest Greenhouses — Risk Analysis and Mitigation Strategies
Springs Harvest will develop and maintain a comprehensive Business Continuity Plan (BCP) addressing major disruptive scenarios including extended power outages, water supply interruptions, severe weather events, pest or disease outbreaks, and supply chain disruptions. The BCP will establish clear protocols, assign responsibilities,…
Section 11 · Business Plan
Risk Analysis and Mitigation Strategies
Springs Harvest will develop and maintain a comprehensive Business Continuity Plan (BCP) addressing major disruptive scenarios including extended power outages, water supply interruptions, severe weather events, pest or disease outbreaks, and supply chain disruptions. The BCP will establish clear protocols, assign responsibilities,…
| Risk Category | Description | Likelihood | Impact | Mitigation Strategy |
|---|---|---|---|---|
| Climate / Weather | Extreme weather events, drought, hail | Medium | High | Robust greenhouse structures; water storage; insurance |
| Water Supply | Reduced water availability or quality | Medium | High | On-site storage, recycling systems, borehole backup |
| Energy / Load Shedding | Power outages disrupting climate control | High | High | Solar PV + battery; generator backup; load management |
| Market / Pricing | Price volatility, buyer consolidation | Medium | Medium | Diversified buyers, export channel, contract pricing |
| Pest & Disease | Crop loss from pest or disease outbreak | Medium | High | IPM protocols, biological controls, biosecurity measures |
| Competition | New entrants or import competition | Medium | Medium | Quality differentiation, branding, certification |
| Regulatory | Changes in food safety, export, or environmental rules | Low | Medium | Maintain compliance; industry association membership |
| Cash Flow | Working capital pressure during ramp-up | Medium | High | R1.7M reserve; phased expansion; supplier credit terms |
| Skills Shortage | Difficulty recruiting specialist greenhouse staff | Medium | Medium | University partnerships; training programmes; competitive pay |
| Currency Risk (Exports) | Rand appreciation reducing export competitiveness | Low | Medium | Forward contracts; diversified market channels |
11.1 Business Continuity Planning
Springs Harvest will develop and maintain a comprehensive Business Continuity Plan (BCP) addressing major disruptive scenarios including extended power outages, water supply interruptions, severe weather events, pest or disease outbreaks, and supply chain disruptions. The BCP will establish clear protocols, assign responsibilities, and define recovery time objectives for each scenario. Annual tabletop exercises will be conducted to test the plan’s effectiveness and identify areas for improvement.
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