Most BI-LO Stores open
again very quickly
Crisis team
Ie
STORES WELL
PREPARED
FOR
DISASTER
Colophon
IMPRESSED CUSTOMER
In BI-LO headquarters
in Greenville, South Ca
rolina, a special crisis
team was set up in ad
vance of the disaster.
Crisis team leader Tony
Schiano compares the
aftermath of Hugo to a
war scene. „The com
mittee met at least 3 ti
mes a day: 8:00 a.m.,
1:30 p.m. and 3:30 p.m.
At those times we con
tacted the Regional Di
rectors Guy Sykes and
Myron Jennings in
their field command
posts. All communica
tion to the stores was
via the Regional Direc
tors. We made all the
critical decisions that
impacted the stores to
gether. They did a tre
mendous job of collec
ting the information
that impacted the sto
res, sorting it out, and
putting it in decision
Director Guy Sykes
form. They told us all
the problems they had
and we tried to react im
mediately on the spot.
To give an example:
when Guy Sykes called
and said: „I need bag
ged ice in three stores",
we said: „Hold on" and
asked the Grocery Mer
chandising VP, Pat Cur-
ran, when he could de
liver that. We passed his
The BI-LO stores were
as well prepared as pos
sible in advance of the
hurricane. For this a
special checklist was
used and a crisis mana
gement team was for
med. By Tuesday, Sep
tember 19th, it was
clear that the hurricane
was going to hit South
Carolina somewhere
between Hilton Head
and Myrtle Beach. From
that moment onwards
the stores in the entire
area were provided
with plywood and plas
tic. According to Execu
tive Vice President of
Human Resources, To
ny Schiano, efforts to
protect the stores were
made: „We boarded all
of the windows in the
coastal stores. The plas
tic was used to protect
inventories and goods
against possible water
damage. On Wednesday
we bought 60,000
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pounds of dry ice and
that was distributed on
Thursday. If the electric
current should be cut
we could save our free
zer goods with that. On
the basis of what we
knew of the speed and
force of the hurricane
we were almost 100%
certain that the current
would be cut. And that
is indeed what happe
ned in many places."
CANDLES
„We also knew that after the
storm there would be a need
for specific products. Bottled
water for example. On Wed
nesday and Thursday we
brought in whole truckloads
of items needed for such
emergencies: such as batte
ries, flashlights, candles, can
ned beef, bagged ice, char
coal for cooking outdoors on
grills. Our merchandising
team made arrangements be
forehand with suppliers to in
crease our deliveries of these
products to the stores. On
Wednesday we began to or
der and stage these items in
our distribution centre for
delivery. On Friday and Sa
turday after the hurricane,
deliveries began. We sent full
truckloads of bagged ice to
each store."
The crisis team also foresaw
that after the disaster gas sta
tions would be closed. So in
advance a diesel tanker truck
was arranged to ensure fuel
for the generators. This ena
bled the stores to operate the
cash registers and some
lights while the current was
down. Additionally, a tanker
truck automobile gasoline
was arranged so that all su
pervisors and store managers
were able to coordinate
emergency activities. BI-LO
was the only operator who
had the foresight to do that,
said Tony Schiano.
Once the dust clouds cleared, the damage could be
assessed. The district managers immediately be
gan to phone their store managers. „We asked
them as soon as they had solved their personal
problems to go to their stores as quickly as possi
ble and to inform us about their condition", rela
tes District Manager Rusty Streetman, who toge
ther with his colleague Rick White spent the first
three days after the disaster on the phone to keep
contact going between the stores, the regional di
rectors and the crisis team in Greenville. After die
first damage report, the work of cleaning up the
stores was immediately begun. Most associates we
re on the spot pretty quickly. Because of that the
BI-LO stores opened again much sooner than the
competitors. Although that was good for business,
the most important thing was, as Tony Schiano
says, „that we were able to meet the people's needs
so quickly."
In this respect BI-LO was par
ticularly successful. On the
afternoon of Saturday, Sep
tember 23rd only six of the
83 stores were still closed,
four in the Charleston area
and two in Charlotte. Of the
77 which were open at that
time, 32 were still operating
with emergency generators
which could supply a few
cash registers and lights with
current. Two days later only
four stores were still closed
and at this moment only sto
re 74 on Savannah Highway
in Charleston is still closed.
This store suffered very seve
re structural damage. As this
magazine went to press it was
not yet known if or when the
store would be reopened.
No serious problems arose
with restocking of the stores.
Emergency supplies conti
nued to be shipped and res
tocked on BI-LO shelves. Bob
Thompson, Vice President of
Distribution, Pat Curran, Vi-
ce President of Grocer}' Mer
chandising, and John Prenga-
man, Grocery Merchandising
Manager, worked closely
throughout the crisis to assu
re trucks of needed supplies
around the clock. The advan
ce preparation again helped
because extra stock and sup
plies had been warehoused at
the distribution center, and
trucks began rolling into the
stricken areas immediately.
Streetman: ,Just two days af
ter the hurricane trucks ca
me with bottled water, char
coal and other goods which
there was a great need for."
October the 6th BI-LO
received the following
letter from a customer
in the Charleston area:
To whom it may concern,
This letter is to thank you
so much for all you have
done for the people here in
the Charleston area du
ring our immediaty re
covery after Hugo. To tell
the truth, I resented BI-LO
taking over the Kroger sto
re I had been going to
faithfully for 6 years in the
Oakbrook area in Sum-
merville.
Your store was open. even,
though you had no power.
You even let people in the
store on the honor system
to mark their items pur
chased, since the compu
ter registers could not be
used. It was never said, but
I'm sure a lot of peoplefelt
like I did, that seeing the
store open and supplies
constantly coming in, we
would be OK. The seme of
panic was greatly relieved,
BI-LO was the only store in
our area that was open so
soon and kept as stocked
as they did. I cantell yo u
how many times I went in
your store the ten days im
mediatelyfollowing Hugo
and found whatever it was
I needed, except refrigera
ted. items. One of your sto
res further down on Dor
chester Road got. fresh pro
duce in just a few days af
ter Hugo. I am really im
pressed.
I cannot put in words
what I am really feeling,
but I hope you. get the gist.
Needless to say, I am now
afaithfull customer of BI-
LO stores.
Thanks again
Jean M. Marangone, Lad-
son, S.C.
Regional Director Myron Jen
nings
answer on through to
Sykes. We gave imme
diate answers to every
need and every pro
blem and that was pos
sible because we had all
the decision makers
right in the room. That
was one of the keys to
the success."
The crisis team was confron
ted with some surprising pro
blems. For example, the
banks stayed closed for quite
a long time after the hurrica
ne, because they had no po
wer. On Saturday, September
23rd in the BI-LO stores the
re was a great shortage of
change. So the crisis team
collected all the extra change
in the Greenville area, which
was unaffected. On Sunday,
September 24th 1,000
pounds in quarters, dimes,
nickles and 1 and 5 dollar
bills S 35.000 in total) was
flown by company plane to
Charleston. In this way the
stores in the disaster area we
re able to continue to opera
te. Also, many associates we
re brought in from unaffec
ted areas to assist in keeping
The crisis management team
left Tony Schiano. Other
members: James Toopes, Jon
Wilken, Lciny Zitzke, Bob
Thompson, Jack Simmons,
Jim Martin, Keith Alberson,
Bill Richardson, Art Enclredi,
Pat Curran andJohn Prenga-
man
the stores staffed and stock
ed.
District Manager Rick White: -three days on the phone.
District Manager Rusty Streetman: behind the piano.
