By Karen Wetzel | Editor
There are many common risks across various types of businesses, but the alcohol beverage industry faces unique risks that set us apart from others: production is dependent on Mother Nature, compliance across states, and various facets of the law are tricky (to say the least), and market fluctuations can hit the ag business hard—and it takes a few years for the vines to catch up.
But perhaps the biggest risk of all comes from the product itself: alcohol. Working in this industry can be rewarding, but there are inherent risks in consuming, selling, and working with alcohol. From C-Suite managers to sales reps, clerks, and cellar workers, the opportunities to engage in or be subjected to risky behavior are endless. Here are just a few examples that might keep you up at night. |
- “Shifties” with the production team at lunchtime, only to go back to run potentially dangerous winery equipment later.
- Off-site tastings where drunk patrons feel at liberty to harass your employee.
- Finishing the open bottles while cleaning up the tasting room after a shift, or taking a half-full bottle home, only to get in an accident on the way.
- Distributor incentive trips where sales reps taste all day and drink all night, often on the company’s tab.
- Hosting a six-course wine dinner where everyone, from patrons to employees, is at risk of overconsumption and bad decision-making.
- Attending a company-sponsored training class where flights of wine, beer, or spirits are served throughout each day and no safe ride home has been arranged.
- Taking your team out for a bonding experience over dinner and drinks without planning to get everyone home safely.
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We all know it. We live with the risks every day. But what do we do about it? Cross our collective fingers and hope nothing bad happens? Don’t ask don’t tell? To find better solutions I turned to Jessica Hart, a Risk Management Consultant specializing in the alcohol beverage industry. Jessica has a keen eye for identifying risks and shared some insights to help us protect ourselves and our company from bad alcohol-related situations before they happen. Jessica recommends: |
- Don’t wait until something bad happens. Address the issue now!
- Work with department managers to identify the areas where alcohol could put your company and employees at risk. Brainstorm ideas that can eliminate or reduce the risk of this activity, including safe rides home.
- Set clear company policies for each role and be sure they are communicated in writing and reinforced with action.
- Get buy-in from managers so they reinforce the seriousness of these policies and model good behavior to their employees.
- Secure a business conduct agreement with the licensee in advance for off-site events, so you know your team will be safe and secure. Send employees to events in pairs to support each other and corroborate any incidents. Remember, there is safety in numbers.
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Yet the one solution that Jessica is most passionate about focuses on reducing the potential for drunk driving. She highly recommends you set up Uber for Business or Lyft for Business and tell your employees that you WANT and expect them to use it! Reinforce that using this service will in no way reflect negatively on them as an employee—just the opposite, as it shows they are being responsible. You can set this up through their department manager's company credit card. Introduce this program at the time of onboarding and remind employees often. Another option is to have the employee use their personal ride-share app and credit card, then submit the cost of a safe ride home for reimbursement. Either way, this can be a relatively easy, effective way to reduce risk. Buy-in at all levels will be key but well worth the effort.
Some of these solutions could be costly, but consider the alternative: we all know that one misstep could cost more than just money.
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Metrics from the Winejobs.com Index, which tracks the rise and fall of job postings at wineries, retailers, and distributors: |
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Upcoming Events:
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May 31st to June 1st, 2024
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