A Business Continuity Plan is the least expensive insurance any company can have, especially for small companies, as it costs virtually nothing to produce. It details how employees will stay in touch and keep doing their jobs in the event of a disaster or emergency, such as a fire at the office. However, many companies never take the time to develop such a plan as statistics.
A Business Continuity Plan includes:
•Plans, measures and arrangements to ensure the continuous delivery of critical services and products, which permits the organization to recover its facility, data and assets. •Identification of necessary resources to support business continuity, including personnel, information, equipment, financial allocations, legal counsel, infrastructure protection and accommodations. Function
A business continuity plan outlines the steps necessary for a company to operate in the wake of a sudden and severe change to market conditions. Continuity plans can address basic concerns, such as the chain of command in the event a company leader dies or becomes extremely ill. Likewise, continuity plans reveal backup strategies for drastic scenarios, such as labor disputes, patent lawsuits or distribution bottlenecks.
Elements Of Business Continuity Plan
The first step is to obtain the commitment of the management and all the stakeholders towards the plan. They have to set down the objectives of the plan, its scope and the policies. An example of a decision on scope would be whether the target is the entire organization or just some divisions, or whether it is only the data processing, or all the organization’s services. Management provides sponsorship in terms of finance and manpower. They need to weigh potential business losses versus the annual cost of creating and maintaining the Business Continuity Planning. For this, they will have to find answers to questions such as how much it would cost or how much would be considered adequate.
Benefits of a Business Continuity Plan
While some companies have developed contingency plans, most have not. This lack of preparedness not only threatens the viability of sectors in Canada, but, as in the case of manufacturing, also jeopardizes the delivery of critical goods that depend on complex supply chain systems. Creating and maintaining a BCP helps ensure that your business has the resources and information needed to deal with an emergency. Other benefits include:
•Enhance your business image with employees, shareholders and customers by demonstrating a proactive attitude. •Improve efficiency in the overall organization.
•Identify the relationship of assets both human and financial resources with respect to critical services and deliverables.
Business continuity plans often focus too much on disaster recovery and too little on the weaknesses emerging from within an organization. For example, many companies now use cloud computing resources to safeguard data in the event of an earthquake or a flood. A comprehensive business continuity plan should speculate on a company’s actions if a corporate officer or manager leaks sensitive data or if a production defect causes customer harm.
If an organization wants to develop a successful continuity capabilities, senior management have to support this process. Running of plans and procedurs depends on ownage as an individual. All process of business continuity plan needs a coordinator who has coordination and management responsibilities. It is compulsory thay this plan coordinator must be capacitated to has support of senior management and be able to carry on the business.
Time that is needed is a problem to produce a written plan. If process is not halted and resources are allocated, first plan can be produced after seven months.