How electricity affect business productivity

[Mellorando]

The power supply industry is important for the economy because all businesses require electricity to operate. It will require more electricity to be generated. It will also require a significant investment in transmission lines, substations, meters, and other equipment and services that bring electricity into homes and businesses. Energy also leads to the creation of new markets, businesses and job openings, which provide more opportunities for individuals to earn an income and lift themselves, their families and their communities out of poverty. A lack of a consistent access to reliable power costs businesses and the economy as a whole. For a company that relies on electrical equipment, a power outage means employees may not be able to undertake their tasks, thus resulting in the loss of productivity. A loss of productivity can lead to less inventory and therefore, a loss of revenue.
Power outages can be caused by a number of factors, including storms, trees, human error, vehicles, and more. One major cause of power outages is animal interference. When it comes to your business, power outages can be detrimental. Experts point that losses resulting from power outages amount to over $30 billion annually. In order to protect your business, it’s important to understand how power outages can affect your business and what preventative measures you can take to help keep power outages to a minimum.

* Below are some of the effect of electricity (power) outage I could come up with:

1. Budget Overruns
Today, most businesses rely on electricity for most aspects of their operations. Whenever outages occur, companies are forced to find backup solutions, which swell their operating budgets. With a tighter operating budget, you'll have to cut the cost of other essential business operations.

2. Loss of Revenue
When your company's operations get affected by power outages, sites may go down and your business won't be able to deliver the services or products it usually provides. If customers can’t access your website or find your products, they are likely to find another provider for those services and products, thus resulting in a loss of revenue.

3. Damaged Equipment and Inventory
Power outages can damage your electrical equipment, especially if you haven't protected them against electrical surges. Replacing or repairing electrical equipment can swell operating costs significantly. For businesses such as grocery stores, pharmacies, and restaurants, power outages could also mean a loss of inventory.

4. Loss of Productivity
For a company that relies on electrical equipment, a power outage means employees may not be able to undertake their tasks, thus resulting in the loss of productivity. A loss of productivity can lead to less inventory and therefore, a loss of revenue. To compensate for the lost time and complete the tasks, you might need to pay employees overtime, which could lead to a budget overrun.

 

[Jasz]

Electricity is the lifeblood of most businesses, and a sudden power outage can cause disruption to business operations. In other cases, a reduced supply of electricity can impact productivity - leading to lost sales and higher spending in order to make-up the deficit.
Electricity is an essential part of any business, factory or office that needs it will not operate without it. Due to the importance of electricity in modern business, business productivity can be affected directly by the quality and nature of electricity.

Electricity really does affect every business: productivity is higher, workplace accidents are less likely and, according to studies, firms will more likely develop and expand if they are in close proximity to a reliable source of electricity.

The World Bank is reporting that a surge in productivity can result in significant reductions on a country's GDP. Adequate electricity improves access to education and better health care, boosts the development of other sectors and improves business productivity. The only way to become a sustainable economy is to create incentives for private investors to build power plants, which require a variety of international financing mechanisms.

Presented at the World Small Business Summit, Sir Richard Branson, chairman of the Virgin Group and an advocate for both companies and people using renewable energy, stated that businesses that use renewable energy are more profitable than their competitors. Electric bills are becoming a greater part of business expenses, so it is essential for business owners to understand how these costs affect their company’s productivity.

 

[Alexandoy]

This reminds me of the big flood some years ago when our town was submerged in floodwaters for 2 days. There was no electricity for 5 days that followed (that means the electric power was out for 7 days). Many restaurants complained that their stock of food supplies got spoiled. Even the market vendors were left with meat, fish and vegetables that they couldn't sell because the floodwaters suddenly rose by 8 am on a Saturday. It is market day so the vendors have more supplies than ordinary day.

For businesses that rely on electricity it is a necessity to have a generator set for a fallback in case the power goes out. Sometimes a strong lightning could topple electric pole that can suddenly cause a power outage. What if your business is ice cream and other frozen treats? It would be a disaster to have no electricity for 24 hours.

 

[Deleted member 28127]

Sometimes we are surprised that the price of pizza is increasing but it is due to the increase of cost of electricity and use of electric materials during cooking.

 

[Kingsley]

Electricity they say is also called power, and power is the ability to do work from it original definition, so without power it is most certain that we will never have the ability to do any work. Electricity provides everyone with some form of power to carry out their daily obligations and to also meet their business and every day needs at their place of work. Electricity is what lightens up the world and make the world to function the way it is doing now.

Now when we examine it in terms of development we will realise that countries where they have constant snd very stable power supply tends to be more developed in every ramifications starting from education, health, agriculture and technological advancements. And countries where electricital power is seriously epileptic suffers in also all those highlighted ramifications. We realise that those countries in Africa that are having challenges in providing stable power supply are amongst the poorest in the world. Because such country will find it difficult to boost several areas of their economy and citizens in such country will by all means struggle to leave the country to places where there is stable power supply to enhance their quality of life and business.

 

[PICKFORD]

Electricity is one of the lifeblood of a business success. in all aspect of businesses electricity is involved to carry out business practices, there are some businesses that are electricity based that is to say they have to be electricity to carry out business activities a good example of business that our electricity based include : running a cyber cafe , running a body salon, running or owning a printing press, running or owning a frozen foods store etc. Those businesses listed above cannot do without electricity and even though there maybe provisions for power generators maintenance and production cost will increase their by influencing the price of goods and services being sold out.

In the agricultural sector electricity is also important for example unit electricity to charge farm implements to carry out farm activities, if you are running a rearing all breeding sector of agriculture you need electricity to: in the breeding assorted kind of fishes electricity is frequently involved in pumping , changing and running water available for the fishes to survive, finally if you own a grocery store that is selling provisions do you need electricity to light up your business environment at night since most customers as well as consumers are most likely to patronize your business at night.

 

[sincerem]

Power outage is normal here in my country, if your business is focused on electricity in order to boom, then you simply have to connect external power in order to keep up with your business or simply being out. Because power outage will make you lose out of the race in delivering what is needed in your business run in when customers needs you at most. I don't see the issues of electricity ending here any time soon. We simply needs to address the issue of power supply and make it last at least on average of 7 hours daily. Instead bringing it once in a blue moon and taking it anytime they feel like.