Why Business Continuity Has To Be At The Start Of Your Board's Business Plans To Maximise Profitability In Today's Economy.
Responsible directors are finally realising the advantages of designing a business continuity management system as a method of improving their competitive advantage and assuring customers of their ability to supply. With business failures routinely appearing in the press, isn't it time that your company joined them?
Business Continuity has emerged in the previous 6 years as an essential part of top-class management for public and profit-making organizations of all shapes and sizes.
More and more we are observing big, established institutions go bankrupt because they have failed to anticipate and practice for significant disruption and disaster. So what can business owners and directors do to ensure their firm survives in these difficult market conditions?
Happily there are both business continuity processes and advisors available to help business owners protect their company from the gamut of hazards and threats they face; but where do you start?
Most organizations find that it's best to document as a board that business continuity is vital to your organization and then put some funding behind that decision.
With funding in place, you should determine an achievable schedule for improving your organization's resilience to disruptions and communicate the extent of products and services that the business continuity programme will cover to help clarify the work expected from the team that you establish to develop your business continuity policies, strategies and plans.
If you lack business continuity expertise in house, you would be advised to look to the marketplace for suitable providers with a proven track record in the development and realisation of business continuity management services for businesses of your size.
With your team in place, you'll need to get started by identifying your most essential products and services; the things that bring most of your revenue or have the biggest impact if they are delivered or not). Most organizations find that about 20% of services produce 80% of the benefits that accrue to the organization and their clients so it's sensible to get to grips with these initially.
Once these most important products and services are agreed the team needs to look at the teams, equipment and processes that come together to deliver them; including the supply of raw materials, utilities, people, data and operational sites.
With the business processes clarified for each critical product or service, you should identify vulnerabilities within those processes and figure out how they would affect the quality of supply if they occurred.
Once you realise where your business is vulnerable you can create draft strategies and plans to moderate the risk of those disruptions arising or their impact: for example if a service depends on availability of electrical power, you might install alternative supplies from another switchboard or portable generators.
The nature and extent of the strategies and plans you agree will be informed by the perceived importance of the product or service and your potential losses you may need to establish incident response plans first to reduce the scale of the disruption whilst you work on developing the degree of resilience that your key clients wish you to put in place to rule out foreseeable disruptions.
Sometimes you can considerably lessen the potential loss to your organization's outputs by taking time to consider the "what-ifs" so it makes evident sense to do so; whether you are driven by legislation, market forces or straightforward common-sense.
Make a start today, before life's vagaries make you wish you had not delayed in making decisions about putting a suitable business continuity management organisation in place.
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