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What Is Business Continuity Management?

What is business continuity? Business continuity is the state of being able to continue operating after a major crisis or disruption, even if all local resources have been exhausted. These events may involve: a physical disturbance, a security breach, a natural disaster or a disruption to the company’s internal operations. This brief guide outlines what is business continuity, and what companies need to prepare for these events.

There are three stages to business continuity – risk assessment, business impact analysis and business corrective actions. Once the risk assessment has been completed, the next stage involves business impact analysis. In this stage, it is important to identify what is to be protected and what is vulnerable in the event of a disaster or intrusion. The final stage is business corrective action, where the plans are implemented and monitoring procedures are put into place.

Risk assessment is the first step in every organization’s plan. It involves identifying how much exposure will be sustained to any disaster recovery efforts. Additionally, it involves identifying what threats an organization currently faces. If the threat is not known, the first step is to eliminate the threat. After that, a business impact analysis should be conducted to determine what additional steps might need to be taken to address the existing threats and vulnerabilities.

A business continuity plan addresses every aspect of the daily operations of the company, right down to the smallest details. Every business should have a disaster recovery plan that details what is to be done in the event of a disaster. All employees are required to sign-in each morning and update them on the status of the company’s operations during the day. Business Continuity Plans should also address which employees will manage day-to-day operations, what tools will be used to track inventory levels and other elements of the business, and what resources might be needed to conduct disaster recovery drills with local, state, federal, and international agencies.

The most important part of a business continuity plan is how it will deal with natural disasters. Natural disasters pose the greatest threat to organizations when they strike, because natural disasters can affect the way an organization does business for a very long time. Typically, a natural disaster recovery plan deals only with short-term events. Some organizations even attempt to “recover” from natural disasters by conducting business as usual for a few days or weeks while they fix the damage and restructure their infrastructure. However, the longer it takes an organization to rebuild, the greater the risk of financial catastrophe – and the more expensive it will be for that organization to rebuild.

A business continuity policy should address natural disasters in a very detailed manner. First, the business continuity policy should detail what types of activities the company will undertake in the event of a disaster. This policy should outline what employees, systems, and computer networks will be used in the event of the disaster. It should also detail what types of information or data will be stored and utilized in the event of the disaster recovery exercise. Furthermore, the business continuity policy should outline what types of systems or computer networks are available to be rebuilt in the event of a disaster and what personnel will be assigned to provide training on those systems or networks in the days, weeks, and months following a disaster recovery exercise.

Another element of what is business continuity programs is the inventory requirements for both human resources and physical assets. An organization’s inventory system is what determines its ability to run efficiently even under extraordinary conditions. If the inventory system of an organization is not designed properly, there is the possibility that the organization will be unable to run smoothly or efficiently following a disaster. An inventory manager who does not know what to look for in inventory systems might make a mistake in choosing a system or a vendor that might not provide the necessary services. Likewise, physical asset managers might choose a system or vendor that does not fit with the needs of a specific company unit, which could lead to a breakdown in service or a waste of resources because the asset manager did not consider all of the factors involved in the decision-making process.

One final element of what is business continuity management is risk assessment. In the event of an accident or a natural disaster, it is likely that an organization’s employees and its physical assets will encounter risks and challenges. Those risks can include disruption of business operations, disruption of supply chains, loss of lives or extensive damage to items or property. Organizations must therefore develop procedures and policies that deal with risk assessment as part of their long-term business plans. The procedures and policies could outline what type of inspections and assessments will be conducted during the course of a disaster; what types of risks may pose the greatest threat to the organization; what types of solutions might be available to mitigate those risks; and what actions will be taken if a risk assessment determines that the threat posed by an incident is greater than what is deemed acceptable under normal conditions.

What Is Business Continuity Management?

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