, following that framework to execute well in delivering promised to the community again. delivering valuable assets of around technology and people, through collaborations with the social sector and with other companies like microsoft and dull. in other respects, they can be our competitors. but when we deal with disaster relare put aside and it is focused on how we can improve society. dodge that is an impressive array of services. i remind everyone, please be ready with your questions. our panelists would love to engage in a conversation with you. i will say as a point of reference, if it were not for

katrina, would we be as far along in the development of this kind of corporate and business response as we are? or was this in the works long before katrina? our ability to respond like this, the infrastructure we have to respond. >> can you hear me? there we go. we have a long history. at our company is very old, so we have a long history of doing this. the disaster seems to be bigger now, but we have always had -- it could be a hospital. it could be a pharmacy. a provider out in the network having a problem. early on, in washington, we had a disastrous fire that occurred

in the talon and wiped out the only to pharmacies. and within 24 hours, we had trailers, the pharmaceutical needs, and we had a business again. we had templates before we had computers. we had these templates, and now these are very sophisticated pieces. the things that occurred in the natural disasters since then, 9/11 was a great example. the great hurricanes and earthquakes, what we have done now is create a play but that was mentioned. we rehearsed that unspecified. there was a team of people that would call on the spur of the moment and say, you have a natural disaster. let's say you have an

earthquake. it started right now, get on in. the first thing we discovered is that the book was actually -- they are not actually at the distribution center when that happens. you have to take that a book and it has to be in the trunk of your car were you physically are. you have to have an assembly point where you can actually go and meet and make sure that you can get in proximity, but you may not be able to drive by that road and get there. the same things we have had historically have gotten a lot more sophisticated. our ability to communicate has increased through satellites and other technology that we use. and we have just gotten more sophisticated, and the disasters seem to have gotten bigger. >> is that the answer i would give across the board? is there a particular incident

that made your organizations or companies say that we need to prepare better? >> katrina note -- katrina showed the need for supply chain, really quickly. we have been doing a lot of supply chain with nonprofits. the wall street journal had an article that said, what went wrong and what went right? it was about a matrix, and very quickly, within two years, this started -- and they decided to start using the supply chain. in a bigger scale, in responding, first of all, the disasters are getting more serious. we are really mitigating some of the results of that. i would argue that globally, we are tremendously well prepared. in the u.s., we are tremendously well prepared for the most immediate past disaster.

but we don't know what is going to happen in the next. there are some tornadoes and hurricanes that are fairly predictable. but i don't think people realize how closely we were going from disaster to catastrophe. we're used to earthquakes on the west coast. had the earthquake bed a little bit more severe on the east coast, perhaps a day later, closer to a hurricane that could have been a little bit larger, we would have gone from disaster, disaster, catastrophe, pandemic, a infrastructure destroyed, we were this close. and we kind of think, it was a little earthquake, it was a little hurricane. but they are out there. and we better have systems that are prepared for major textbooks to go out the window even though the training is important.

the pieces of what happens locally is crucial to community resiliency. >> i would say that with an h-p, we feel that we have evolved and have developed this playbook, as i mentioned. disaster relief response playbook and emanuel to the degree that it has become fairly systematic. the roles that we play across the company, whether we are in communications, business, social innovation, i think we know what each of us can work together well. i have to say that where the gap is, if it was palo alto that was down, the rest of the organization would probably not

know the play but that well. if you were to take a look at how we as the headquarters have learned to operate, we have got it down. but if we go down, i don't know how well the system and the playbook woodwork if we were to rely on the and the european counterparts taking control. >> and do you operate independently? what do you respond to when you put into play your disaster response plans? are you coordinating with people or do you look at the situation and say it is time? >> if depends on what the disaster is. katrina, at least through hospitals, was not a major event that did this earth shattering

shift in how we were planning. in this area, the 1989 earthquake was an awakening, and i think it took a 9/11 for us to plan differently. and what i mean by that is, hospitals became more and more understanding their own vulnerabilities and they can plan around their own vulnerabilities. the assumptions that hospitals will always be there and always be standing was sort of adopted internally as well. although we have emergency plans, the story to tell, it wasn't as serious as it is now. the planning, i think, has always been good relationships for our agencies and with each other, it is much better now. we are much more sophisticated, detailed, and the resources available are more sophisticated and detailed.

>> any other response? >> in terms of response, to enter your question, which typically respond to those disasters directly. i mentioned earlier that we are focused, we know where the systems are located throughout the country. we respond when that equipment as quick as we can. the second one is a little bit different, but just as important. it is our employees. they don't think of themselves as vendors to public safety, but they think of themselves as part of public safety. we have the state of florida system, and they get a little help from us. it is not unusual for one of or several of our employees to leave their homes and their families and go to the tower

site can sleep in the shelters in case anything goes wrong. that second part, of course we make real equipment. so that is what we will fix and respond to as quickly and efficiently as we can. but how fast we do it and how well we do it is heavily dependent on our employees. they're very much in tune to play their part for public safety. >> let me ask the first question from the audience. this would be a man-made disaster. with the increasing reliance on technology, can you speak to what your company is doing to prevent business of disruptions due to cyber attack? how do you rate your company in america's cyber resilience? >> maybe i can start. it is an enormous focus and has

been for many years. it continues to be. we are about critical communication, so if the communication is critical, it is identifying itself in many ways that this is an area of vulnerability. we have taken great measures, we spend millions of dollars unheard on cyber protection. we allow people to have a very high level of security in the cyber security. it is a constant effort. not just across federal, but also at state levels. and we also serve the utility industry. they find themselves more and more under attack from four and

cyber attacks sources. so we are also working with them. it is absolutely an important aspects. we need to leverage what the technology can do, but we also need to protect it. >> anyone else care to take a stand? >> from our corporation, is a very major and a far-flung network. we also are responsible for running the hospital system's in many of the hospitals around the u.s.. our corporation is very focused on that, not only for running our business, but all of the other people that work through us. about 90% of all claims are adjudicated through a system that we run. we are in your day-to-day life

whether you know it or not. and our ability to function is a critical element of that we are focused on as a corporate infrastructure. >> governor, you seem like you want to say something? >> i feel like i say to many things. there are cyber attacked every day, so some countries are getting very serious about this. the u.s. is pretty good at it, too. we go through a number of drills, part of what we push is the matrix that you need to be prepared for any one part going down and other is stepping up. even beyond what our company does, mandated disaster as well. each of these topics could be a full conference on their own. i will leave it with the there is a major report coming out on

a report card of the federal government and our ability to respond. that will be very interesting as well. there are a couple of components about why you should have things vertically, centrally controlled, community resiliency comes from components being able to link with each other. >> this is directed at you, a similar topic. our electronic and medical records safe from hacking? >> that is a very sophisticated area. the panel appears changing every day. it is a constant watch, whether they're medical records, etc. it is a loaded question.

>> i might add a comment to that. i was at the national association of cio's. and they are more and more that they keep saying are more and more important that the same time, they keep doing health information exchanges, putting more information together to be able to use it. at the same time, it becomes a vulnerability. at the same time, they recognize the need for security. >> it is interesting, because we are kind of in the heart of that. the legislature is really going after this issue, as you would imagine. the health record is very important. but mobil devices, everyone carries a mobile device that here.

it is always looked at as how do we better utilize that to tell someone, for example, that a prescription is available for you to pick up? it is not really the health record itself, but all of these things are being grouped into one aspect of legislation that would cause a company to not be able to actually use some of the tools out there and available for non-sensitive health care information. a debate that is going on at the federal level today. >> one more question. i think that most of us know the answer, but with this status report, are all of these hospitals seismically upgraded? >> the answer to that would be no. >> where do we stand? >> in the san francisco area, the answer to that is no.

there is a reason that legislation was passed. at this point, we understand that that is a part of our infrastructure. we understand that having a strong hospital is necessary to help with continuity after a disaster. we are working on that. >> thank you. i will not press you on that. i am attempting to decide for the next question. another one from our audience. you have talked about how you are preparing to respond to a disaster. is there a belief that wal-mart is prepared and ready to turn its distribution system into a logistics' delivery system, for an evacuation system for people experiencing a major disaster?

>> what was the question? >> wal-mart. >> others in the disaster center, with myself, have seen the disaster centers in arkansas, able to monitor any section, no matter where it is. the private sector has long understood the need for supply chain. they need to be able to do that. in many cases, the nonprofit and government sector have been well behind. i will just share a part of what we do with supply chain. part of what this panel is here to address is connecting private sector and government. i teach at the university of wisconsin. it is on different cultures. i start out on the difference of cultures between private sector, government, and non- profit. i know that a number of people

in the audience are helping to work towards that. some of the jobs are to begin to connect private sector, government, and non-profit to create stronger communities. that is what we are here to talk about. creating that collaboration and intertwining. >> so, we have talked about this extraordinary distribution system that we have had in this country. many of us simply think about the trucking companies, like ups and federal express. to deploy as all of that? who mobilizes those resources in a time of crisis? do we have an issue with that? >> you want a system of centralized control them a look at how china responded to earthquakes. a system of non-profit?

china, looking at community control, but they do not want nonprofits, they might elect their own leaders. a subject that i get carried away on. is an ongoing stress between centralized, top-down control, and community resiliency, which is horizontal, which is why you need a matrix for horizontal decision making and the ability to scale up words when necessary. >> i would like to address that as well. this is a combination. but if we are -- we are prepared to do our part. but i could not serve the downtown, new york marketplace, so i had to use their highway patrol to move the product. i do not have access directly to the highway patrol.

those are things that we are able to gain access to by reaching out. the government sector is very responsive. we need those things. the fda is very responsive, in a heartbeat. i told them, this is not going to go like that normally would cough we do not have a license or anything else. hoff our response, in my opinion, to the government, has been excellent. >> former military taking leadership goals. coast guard, the largest evacuation in the history of the world, manhattan island. it was not top down.

>> i wanted to add something about responding to japan. we felt like we were very ready to implement and our employees were ready to donate, but surprisingly enough, we had to have the american red cross tell us to hold on. our local entity, the japanese red cross, says that they can take care of ourselves. at that point, they were not willing to let others help them. we were in this area where we were ready to give. we have so much we want to give to you. we had to wait a number of days. 48, 72 hours before of a sudden they said, yes, please.

you have that cultural sensitivity with the government, local ngo's, and in this case is really played out, surprisingly. we just sat on our hands for a little while. we were ready. we were ancient. >> first of all, the u.s. was fairly arrogant after katrina as well. secondly, every disaster is different. he has a dysfunctional government. what do you do? what do you do with a dysfunctional government? every one of these are different. the u.s., we have the same arrogance after katrina. >> when you make the decision to respond to some crisis, is there

a protocol? do you want to coordinate services with some other agency? delivering the maximum good for your community? what is the most glaring weakness in the chain of events, right now, as it confronts you? is there one? or does this system just not work? >> there is a sense of disaster. the tornado, the most common local, systems are pretty well in place. >> what about the scenario that you described. an earthquake on the fault line. >> it would have been chaos in the u.s.. the most serious, an earthquake in the central part of the country, it would sever the country. it would take years with

rolling earthquakes in the central part. each one of these are going to be different. as we hear from communication, it is important. communication breaks down, so what types of redundancy do you have? back to what we said in homeland security, it comes down to what happens in the community. that is the most important aspect of community resiliency. first step. first responders. why were some of the things for granted in new york? citizens. -- what were some of the things prevented in new york? >> explained that a little bit. of what kind of information you do not want them of what kind of information are you not getting? >> fairly easy for people in disasters to understand.

they know. let me give you an example. you are a hospital and you need to know about personnel. you do not need to know about the types of food in the system. but there are all types of things coming through. information overload, in some respects. there is a new jersey system that matches medical personnel and hospitals. no one else needs to know that besides hospitals. ideally, the people that know that in need that, they will be able to dig down and use those pipes. needing medical work, or emergency personnel. wires are down, we need electricity. that is what i mean. >> i want to just add a little bit of flavor to this. being in the position that i

am, having to work in partnership with our country -- company foundation for you have employees in a region who are anxious to gather as much clothing as possible, because they want to do something for the community. they want to put together a clothing drive. in to say -- i am sorry, that is not what our relief agencies will indeed. to be put into a position where you have to attack that passion. a difficult bring to you with and you have to make some decisions on the dollar amount

to give. when to give. which agencies to give to. to be put in that position and say no, employees, you cannot do that. we can only give so much. id is part of the really unique challenge in the role of being on the road and the private sector organization with limited resources, who want to make the most impact of what you have situations where you have to break the disaster. -- lee -- rate the disaster.

mindboggling. >> i wanted to add that in terms of information flow, the challenge that we were just talking about, what i talked about earlier is important. it is important to remember this simple thing that i already know and this naturally leads to how you should connect through anticipation. if those connections are made, it will be a little bit more manageable. >> let me ask a final question of each of you. what should we take away from this