what is developing a business continuity plan

Business Continuity Simplified

By Andy Marker | December 17, 2018 (updated October 24, 2021)

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Unexpected work interruptions can cripple a business and cause millions of dollars in expenses and lost business. Learn about the importance of business continuity planning and management from experts. 

In this article, you’ll learn the definition of a business continuity plan and the primary goal of business continuity planning . Additionally, you’ll learn the steps involved in business continuity planning and about the business continuity lifecycle .

What Is Business Continuity Management?

In business continuity management (BCM) , a company identifies potential threats to its activities and the threat impact. The company then develops plans to respond to those threats and continue activities through any crisis.

What Is a Business Continuity Plan?

A business continuity plan (BCP) describes how a business will continue to run during and after a crisis event. The BCP details guidelines, procedures, and work instructions to aid continuity.

To learn more about writing a plan, see our how-to guide to writing a business continuity plan .

What Is Business Continuity Planning?

Business continuity planning (BCP) refers to the work a company does to create a plan and system to deal with risks. Thorough planning seeks to prevent problems and ensure business processes continue during and after a crisis.

Business continuity planning ensures that the company deals with disruptions quickly, and minimizes the impact on operations. Business continuity planning is also called business resumption planning and continuous service delivery assurance (CSDA) .

What Is the Primary Goal of Business Continuity Planning?

The main goal of business continuity planning is to support key company activities during a crisis. Planning ensures a company can run with limited resources or restricted access to buildings. Continuity planning also aims to minimize revenue or reputation losses.   

A business continuity plan should outline several key things that an organization needs to do to prepare for potential disruptions to its activities, including the following:

• Recognize potential threats to a company.
• Assess potential impacts on the company’s daily activities.
• Provide a way to reduce these potential problems, and establish a structure that allows key company functions to continue throughout and after the event.
• Identify the resources the organization needs to continue operating, such as staffing, equipment, and alternative locations.

Business Continuity Planning Steps

A business continuity plan includes guidelines and procedures to guide a business through disruption. The efforts to create a plan are the same for large or small organizations. A simple plan is better than no plan. 

The basic steps for writing a business continuity plan are as follows:

• Create a governance team.
• Complete your business impact analysis (BIA) and risk assessment documents.
• Document your plan. Remember to include detailed guidelines and procedures that cover key processes and facilities.
• Test and update the plan regularly.

The Business Continuity Management Lifecycle

Business continuity management includes preparing for and handling unexpected events. BCM has a six-step lifecycle. This cycle repeats during both in regular business times and crises, as you take the right steps to keep activities always running.

The BCM lifecycle includes the following points:

• Mitigate Risk: Proactively identify business continuity risks to your company, and plan how your company will respond.
• Prepare: Train staff on your business continuity plan and ensure they understand what they need to do to help the business respond.
• Respond: Ensure that your company and all employees respond appropriately to a crisis. Be prepared to adapt in the moment.
• Resolve: Ensure that the company plans how to communicate effectively with staff and that it does so appropriately during the crisis.
• Recover: Inform employees, customers, and other important people about the status of the crisis and your company’s response.
• Resume: Communicate with employees and others after the crisis ends.

What Are Business Continuity Risks or Events?

Also called business continuity events, business continuity risks are the most common events that can disrupt a company’s regular operations — these can be natural and human-made crises. Defining these risks is a vital part of business continuity planning.

Such events might include the following:

• Severe weather
• Natural disasters (tornadoes, floods, blizzards, earthquakes, fire, etc.)
• A physical security threat
• A recall of a company’s product
• Supply chain problems
• Threats to staffing and employee safety
• Accidents at an organization’s facilities
• Destruction to a company’s facilities or property
• Power disruptions
• Server crashes
• Failures in public and private services (communications, transportation, safety, etc.)
• Environmental disasters, including hazardous materials spills
• Network disruptions
• Human error/human-made hazards
• Stock market crashes
• Cyber attacks and hacker activity

Any of these triggers can result in broader problems for a company, such as danger or injury to staff and others, equipment damages, brand injury, and loss of income and net worth. Business continuity management and planning address and mitigate these contingencies.

What Is a Business Continuity Strategy?

A business continuity strategy is more often called a business continuity plan. The strategy includes the processes and structure a company uses to manage an unexpected event.

Some people consider business continuity strategy to be a step in the planning process. In the strategy phase, business continuity planners describe the overall approach a company should take to prevent, manage, and recover from a crisis.

An Overview of Business Continuity Management and Planning

There are several goals, key elements, and benefits to business continuity management and planning. The primary goals of management and planning are as follows:

• Build Company Resiliency: Doing so means that your company’s tools, buildings, and operations are resistant to — and not greatly affected by — most disruptions.
• Create a Plan for Recovery (with Contingencies that Aid in That Recovery): If a major event does cause problems, you should have a plan for how to recover quickly. That plan will include contingencies. For example, you should plan for how key operations will resume if there is a widespread power outage.

Business continuity management and planning generally cover the following areas, with differences depending on the organization and industry:

• Disaster Recovery: Disaster recovery involves recovering technology after a disruptive event. You can learn more about disaster recovery and download free templates in our comprehensive article .
• Emergency Management: Emergency management focuses on avoiding and mitigating catastrophic risks to staff and communities.
• Business Recovery: Considered part of business continuity, business recovery centers on short-term activities after a disruptive incident. The short-term is sometimes defined as less than 60 days.
• Business Resumption: This describes the longterm phase of recovery (60 or more days after an even), wherein the company returns to near-normal conditions.
• Crisis Management: Crisis management focuses on communicating with stakeholders during and after a crisis, and controlling damage during the event. To learn more, read our comprehensive guide to crisis management .
• Incident Management: Incident management is an ITIL (previously known as Information Technology Infrastructure Library) framework for reducing or eliminating downtime after an incident.
• Contingency Planning: This covers outlier risks that are unlikely to occur but which could have disastrous results.

“A well managed business continuity management program will help protect people, assets, and business processes,” says Scott Owens, founder and managing director of BluTinuity , a business continuity firm based in New Berlin, Wisconsin. “It may not be able to prevent all incidents. But it can reduce the likelihood of incidents, decrease response time, and lower the cost and impact of an incident.”

Key Elements of Business Continuity Management

All business continuity management programs should include a number of key elements, which serve to ensure that your plan is positioned for success and that you regularly update and improve it.   

These important elements include the following:

• Governance: This is the structure and team your business sets up to create and monitor the program.
• Business Alignment: This section details how your company’s current business continuity management and planning processes compare to expert approaches and industry standards.
• Continuity Strategy and Recovery Strategies: Include a detailed plan that assesses risks to your organization and how you can recover, should those risks become reality.
• Plan Documentation: Provide details on the plan that everyone in your company can access. To get started, see our roundup of free business continuity plan templates .
• Tactical Implementation: This section includes details on the specific ways your company plans to recover from certain types of incidents.
• Training: In this section, detail how you will train your staff to understand the business continuity plan and their role in it.
• Testing: Include real-world simulations of a crisis event, and test how your company and its employees respond and the effectiveness of your business continuity plans.
• Maintenance: Make changes to the plan where necessary to increase its effectiveness.
• Monitoring: This section details how you will continue to compare industry standards and expert advice to how your plan is working.

To learn about formal requirements for business continuity planning and management, see our comprehensive article on the ISO 22301 standard . 

The Costs of Business Continuity Management

The costs to do an appropriate job of business continuity management can be significant. However, some reports say that the cost of unforeseen downtime may be as much as $2.5 billion a year for Fortune 1000 companies.

Kurt Engemann, Ph.D., is Director of the Center for Business Continuity and Risk Management at Iona College in New York, Editor-in-Chief of the International Journal of Business Continuity and Risk Management and author of Business Continuity and Risk Management: Essentials of Organizational Resilience . In the book, he says that costs for business continuity preparation do not only include the groundwork to assess a company’s risks and plans to manage those risks. Rather, they also cover the needed backup facilities and equipment and company assets for emergency response. In addition, costs must cover resources for training employees and testing the plan.

Some experts have estimated that business continuity management and planning within only the crucial information technology aspects of companies can cost two to four percent of the information technology budget. But the costs are necessary, and worth it in the long run, according to business continuity experts.

“There is an initial outlay of a modest amount of money that will lessen the financial impact of a possible future crisis,” Engemann writes in his book. “Similar to an insurance policy, the financial benefit of BCM must be viewed from a long-term prospective.”

When an organization’s top executives complain about the costs, Owens says, “Ask them what it would cost their organization for an hour of downtime. Or eight hours. Or 24 hours. Chances are the cost — financial, operational, and to brand and reputation — of having key business functions unavailable for an extended period are significant. They will most likely find business continuity management to be worth the investment.” 

Benefits of Business Continuity Management

Like Engemann, Owens points out that there are significant benefits to the investment organizations make in business continuity management, including the following:

• Mission Critical Processes: If you understand your key processes, you can plan to protect them and prioritize their recovery.
• Legal and Regulatory Compliance: Laws or regulations require companies in some industries to implement a formal business continuity management system.
• Satisfying Demands from Other Organizations: Some groups and companies may require that your company sets up BCM before they do business with you.
• Insurance Payments: To get the maximum payments from an insurance policy after an event, a company must have suitable business continuity management policies in place.
• Reputation Management: Your business’s brand will be greatly helped or hurt, depending on how an unforeseen event affects its operations.
• Competitive Advantage: A strong business continuity plan can offer your company the advantage over peers who are not as well prepared.
• Seamless Recovery: Cloud-based technologies make data backup, remote work, and business recovery affordable and accessible. Groups and businesses of all sizes can benefit from such tools. See our article on cloud computing for business continuity to learn more.
• Time Savings: Planning prevents teams from scrambling at the last minute to cobble together a recovery effort. Strong planning helps you get back online — and back on track — faster.

Michael Herrera, CEO of MHA Consulting , a business continuity and disaster recovery firm, cites two other significant benefits: 

• Keeping Customers and Avoiding Major Financial Losses: Getting operations back to normal quickly after an event means your company loses less money.

“Your customers aren’t as patient as you think they are,” Herrera explains. “They expect you to have a business continuity system and they expect you to be up and running. Their patience does run out.”

• Improving Day-to-Day Operations: Herrera says his firm’s clients often discover how business continuity planning gives them insights into the day-to-day operations of their company. “It really can help you with process improvement and getting a good understanding of what your business does every day.”

Additionally, strong business continuity planning will enable you to do the following:

• Officially declare a disaster and alert senior management.
• Assist in the development of an official public statement regarding a disaster and its effects on a business.
• Monitor your business’s progress and present the recovery status.
• Provide ongoing support and guidance to teams with pre-planned operations.
• Review critical processing, schedules, and backlogs to keep everyone up to date on status.
• Ensure businesses have both the resources and the information to deal with an unforeseen emergency.
• Reduce the risk that an emergency might pose to employees, clients, and vendors, etc.
• Provide a response for both man-made and environmental disasters.
• Improve overall business communication and response plans.
• Summarize both the operational and the financial impacts resulting from the loss of critical business functions.
• Allow businesses to plan for a loss of function that has potentially larger, more severe consequences.

See our article on the importance and benefits of business continuity planning to read more expert examples of how business continuity can bolster your company. 

Key Business Continuity Management and Planning Considerations

Companies don’t have to face business continuity planning alone. There are a variety of tools and services that can help, including the following:

Consultant Services

There are hundreds, if not thousands, of consultants and companies that can provide help with developing your business continuity plan. Below are a few things to think about in choosing one:

• How experienced are they? How long have they been around?
• What’s their reputation as a company? What do their clients say about them?
• Are they focused on a specific industry or area of business continuity, or do they have experience with a range of industries and a broad spectrum of business continuity?
• How do they think about business continuity (as a somewhat separate practice or something that needs to be ingrained within your organization)?
• How aligned is their advice with standards in your industry?

Business Continuity Software

There are also hundreds of pieces of business continuity software on the market. Here are some things to consider:

• Are you looking for software that will automate the development of plan components, or software that offers more in-depth help during the planning phase?
• What is the history of the software and the company behind it? How long has this particular software been on the market and what is the history and the reputation of the company behind it?
• Is the software being continually updated and improved?

Below are some specifics to consider as you test drive the software:

• Does it have an easy-to-use interface?
• Does it cover all aspects and components of business continuity, including business impact analysis and risk assessment ?
• Does it include sufficient storage for your company’s supporting documents?
• Does it provide secure portable access via mobile or other technologies, if a crisis interrupts your information technology systems?
• Does it provide strong data analytics?
• Is it secure and private?

Primary Things Your Organization’s Business Continuity Management System Should Accomplish

While your business continuity management system will have various elements and details, there are some primary things it should do for your organization. They correspond to the key elements listed earlier in this article. 

For example, a BCM system should help do the following: 

• Understand your company’s needs for business continuity and disaster preparedness. A BCM system should be able to assist company leaders in understanding the need for a business continuity management policy.
• Understand which processes should be recovered and in what order.
• Establish business continuity metrics to gauge success.
• Plan for communicating with customers, staff, and other stakeholders.
• Determine what tools, technology, and staffing are required to restore activities and support customers.
• Establish remote-work support or relocation plans for staff and activities.
• Implement ways to continually assess and manage continuity risks.
• Monitor and review how its business continuity management system is working.
• Continually improve the system.
• Respond effectively in a real-world crisis, and allow the business’s critical operations to continue and all operations to resume quickly.

Although nobody wants to think about disasters or the effort needed to prepare to meet and mitigate crises, the alternative is the potential loss of reputation, income, or the entire business. In sum, planning translates to determining your key processes, equipment, and tools, and applying basic recovery strategies. 

The Importance of Senior Organizational Leaders Strongly Supporting Your Business Continuity Management and Planning

Your senior leaders must strongly support your company’s business continuity management plan for it to succeed. Such leadership is key as storms, floods, pandemics, and data breaches increase in force and frequency.

“Make sure senior management is committed to the planning, development, execution, and implementation of a business continuity/disaster recovery program,” says Paul Kirvan , a business continuity consultant and a fellow of the Business Continuity Institute with 25 years of experience in business continuity work. “Otherwise, it simply won’t happen. Such programs work best if they have top-down support and funding, as opposed to being developed from the ground up.”

Business Continuity Plan Test Types

Testing verifies the effectiveness of your plan and provides training for participants. To ensure better communication, include suppliers, vendors, and other stakeholders in exercises. If appropriate, also consider including local emergency preparedness officials.  

There are four types of testing, and each requires increasing levels of planning, resources, and focus. You should try to run each type of drill regularly.

• Plan Review: Plan reviews are often the first test applied to a new plan. In this test, top management and some key BCP personnel review the relevance and completeness of a plan. Such a review can verify risk and BIA results, and help you check for gaps and inconsistencies among continuity documents.
• Tabletop or Structured Walkthrough: A tabletop test requires more preparation and time. It provides a role-playing exercise for recovery teams.
• Simulation or Walkthrough Drill: In a walkthrough drill, your continuity team physically completes the type of tasks they'd find in a crisis. They may practice evacuating a building during a fire, restoring a backup, or switching to another communication frequency.
• Functional or Live Scenario: Functional tests include a complete physical drill of continuity plans. Live tests may focus on one aspect of the plan or include the complete plan. They may include one part of the company or all team members.

Be sure to document what happened in the test so everyone involved in the exercise — and especially those who created the plan — can understand what did and didn’t go well, and can revise as necessary.

Business Continuity Management Policy Statement

A business continuity policy statement is a written document that outlines an organization’s business continuity management program. The policy statement should be communicated to all employees and should be signed and endorsed by the organization’s senior management.

See real-world examples of a business continuity policy statement .

Cultivating Awareness of Business Continuity Plans

The best business continuity system is useless if no one knows about it. Find ways to promote your plans in daily company activities, and discuss business continuity regularly in company and team meetings. Also, be sure to include the business continuity manager in cross-functional planning meetings so they can represent the business continuity perspective. Above all, exercise your plan, test your plan, and then test again.

What Is the Importance of a Business Continuity Plan?

A business continuity plan is vital to ensure that your company mitigates downtime during a crisis. Resuming activities quickly after an event also helps ensure your company’s financial health.

How to Write a Business Continuity Plan

It is crucial that your company set up a group of people to help create your business continuity plan. The group should include senior leadership, experts, and staff. A simple, practical plan is the best plan. At a minimum, include continuity team roles and duties, and team member contact information. You should also add guidelines and checklists for dealing with unforeseen events. 

Daily business functions rely on many resources — human, utilities, machines, and even paper, pens, and pencils. Business recovery after a disruptive event is no different. See our in-depth article on writing a business continuity plan for a complete list of resource types you may want to include in a plan.

You can ask certain questions as you form your strategy, and a business continuity plan usually includes common resources and elements. See our article on how to write a business continuity plan to learn more.

Business Continuity Plan Template

This template can help you document and track business operations in the event of a disruption/disaster to maintain critical processes. The plan includes space to record business function recovery priorities, recovery plans, and alternate site locations. Plan efficiently for disruption and minimize downtime, so your business maintains optimal efficiency.

Download Business Continuity Plan Template

Word | PowerPoint | PDF

You’ll find other most useful free, downloadable business continuity plan (BCP) templates, in Microsoft Word, PowerPoint, and PDF formats in this article . 

What Is a Business Impact Analysis and Why Is It an Important Part of a Business Continuity Plan?

A business impact analysis (BIA) is one of the most important parts of business continuity planning. The analysis considers how an unforeseen disruption could affect a company. BIA results also suggest how a business can recover from a crisis.

The business impact analysis will include details on the following:

• Recovery time objectives that outline the organization’s goals relating to how quickly various services and processes will resume after an event
• Financial impact of an incident
• Impact on customers
• Other possible impacts of an incident
• How the organization will prioritize recovery steps
• How the organization will prioritize critical services or products
• Identification of potential revenue loss
• Identification of additional expenses the organization will incur because of the event
• Identification of insurance an organization has or needs to have
• Identification of an organization’s dependencies on other agencies, companies, and providers

See our business impact analysis toolkit to find guidelines and templates to get started.

Risk Mitigation for Business Continuity

Risk assessment is one of the first steps in preparing your business continuity plan. 

Risk management includes identifying and ranking risks, and risk control includes identifying policies and procedures to avoid and contain risks. 

To learn more about risk management , read our comprehensive guide.

The Importance of Periodically Testing an Organization’s Business Continuity Plan

Even the best business continuity plans are useless if you do not continually test them in real-world mockups. Testing helps you continuously improve procedures, and also keeps plans synched with current business context.

Robert Sollars, a security trainer and consultant from Mesa, Arizona, says, “You must exercise your plan and train your employees in it. This can be costly and unwieldy at times, but it is an absolute must. I liken this to buying a Lamborghini and letting it sit in the garage, never starting it up, never driving it, never doing anything but admiring it. Your plan must be taken out and test driven at least two to three times per year. If you don’t test it, then when the real thing pops you will realize what the books, consultants, and experts have told you is useless for your organization. Testing it allows you to figure out the bugs and tweak the necessary items to make it more efficient and effective.”

Owens adds, “If you haven’t tested your plans, you aren’t ready for a disaster.”

You can do some testing through simpler table top exercises — for example, by talking through hypothetical incidents with your team. But Owens and other business continuity experts say organizations should also periodically do exercises that more closely mimic a real-world event.

“Organizations need to move … to progressively more complex scenarios, involving cross-functional teams and interdependent systems and processes,” he writes in a blog post about business continuity. “This is the only way that a company can get outside its comfort zone to truly understand if what they have designed will really work. My preference is to involve role-playing, actors, and include participation from vendors, business partners, and local law enforcement when appropriate. This will almost always result in lessons learned and opportunities to improve the plan, which is another great outcome.”

The most important result from testing your plan is an understanding of where theoretical solutions won’t work in real events. This understanding will then allow your organization to amend the plan to be more effective.

What Is a Business Continuity Plan Governance Committee?

Many companies set up a business continuity plan governance committee, which consists of staff members and senior leaders (their continuity efforts is vital). Governance tasks include writing the business continuity plan and supervising ongoing plan maintenance.  

The committee is often responsible for the following duties:

• Approving the governance structure of the committee
• Clarifying the roles of committee members and others working on the plan
• Overseeing the creation of working groups to develop and implement the plan
• Providing overall direction and communicate important information to employees
• Approving the continuity plan and essential specifics within it
• Setting priorities within the plan

The committee often includes the following members:

• A senior leader from the business, often the sponsor
• A business continuity manager and assistant manager
• The company employee, or outside consultant, who will serve as overall coordinator of the business continuity plan
• The company’s security officer
• The company’s chief information officer, or information technology leader
• Representatives from the company’s business department, to help with the business impact analysis
• An administrative representative

How to Cultivate Resilience in Your Organization

A resilient organization has the tools and abilities to survive a disruptive event, and also regularly looks for new threats and adapts to changes in the organizational and industry landscape. Resilience experts recognize two types of resilience: reactive resilience uses a company’s existing processes to meet and overcome a crisis; proactive resilience anticipates disruptions and considers methods to prevent problems.  

Real World Example: Lessons Learned About Business Continuity from the Terrorist Attacks of Sept. 11, 2001

Organizational leaders and business continuity experts learned a lot from the terrorist attacks of September 11, 2001. Worst of all, the attacks killed thousands of people. But they also severely disrupted communications, financial transactions, and some commerce in New York City and throughout the world.

The following are among the lessons learned:

• Business continuity plans must be tested frequently, and updated where needed.
• The plans must assume a wide range of threats.
• The plans must take into account how much companies, agencies, and other entities depend on each other.
• Key people from any organization must be available and reachable when an incident happens.
• The ability to communicate, especially through landline phones, cell phones, and the internet, is vital.
• Sites that organizations use for backup of their digital information should be located at a distance from their primary information technology site.
• Employee support and counseling may be important during and after a crisis.
• An organization should store copies of its business continuity plan at a location apart from its primary location.
• Security perimeters around the scene of an incident may be large, which may affect employees’ access to organization facilities for long periods.

Legislation Governing Some Business Continuity Management and Planning

The United Kingdom did approved the Civil Contingencies Act in 2004, which requires businesses to have business continuity plans in place.

Some industries do have regulatory bodies that may impose business continuity requirements within those industries. For instance, the Financial Industry Regulatory Authority (FINRA) is a private self-regulatory organization overseeing the U.S. financial securities industry. FINRA established FINRA Rule 4370. This rule requires securities firms to create and maintain written business continuity plans. Utility bodies, such as North American Electric Reliability Corporation ( NERC ) and Federal Energy Regulatory Commission ( FERC ), also require continuity plans.

Guidelines, Standards, and Resources Providing Guidance on Business Continuity Management and Planning

Organizational leaders can use a number of standards set by industry and other groups to guide their business continuity planning and management programs. Below are some commonly used standards:

• ISO 22301 : Developed by the International Organization for Standardization (ISO), a standard-setting body, this group of standards sets out appropriate business continuity management practices. Learn more about how this standard can help businesses of all sizes in our guide to ISO 22301 . 
• NFPA 1600 : Developed by the National Fire Protection Association, the standard is one of the most widely recognized in the U.S. on emergency preparedness and business continuity.
• National Institute of Standards and Technology SP 800-34 : Sets contingency planning standards for federal information systems in the U.S.
• SPC-2009 — Organizational Resilience : Security, Preparedness and Continuity Management Systems provides critical business and infrastructure security standards developed by the American Society for Industrial Security.
• ISO 27000 : Standards for security in information technology systems, which include standards for business continuity in information technology. Learn more about ISO 27000 and find free checklists and templates . 
• DRI International : Professional Practices for Business Continuity Management
• Federal Emergency Management Agency (FEMA): Continuity Guidance Circular: Continuity Guidance for Non-Federal Entities: An 86-page formal document, the circular presents FEMA’s perspective on how businesses can prepare for disasters.
• Insurance Institute for Business & Home Safety: Open for Business Continuity Toolkit: This site offers a video, FAQ, and downloadable continuity planning tools.

What Is the Business Continuity Institute?

The Business Continuity Institute (BCI), based in the United Kingdom, is a non-profit professional organization providing education, certification, and leadership on business continuity management. The Institute has more than 8,000 members in more than 100 countries.

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• Business Continuity Plan Basics
• Understanding BCPs
• Benefits of BCPs
• How to Create a BCP
• BCP & Impact Analysis
• BCP vs. Disaster Recovery Plan

Frequently Asked Questions

• Business Continuity Plan FAQs

The Bottom Line

What is a business continuity plan (bcp), and how does it work.

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What Is a Business Continuity Plan (BCP)? 

A business continuity plan (BCP) is a system of prevention and recovery from potential threats to a company. The plan ensures that personnel and assets are protected and are able to function quickly in the event of a disaster.

Key Takeaways

• Business continuity plans (BCPs) are prevention and recovery systems for potential threats, such as natural disasters or cyber-attacks.
• BCP is designed to protect personnel and assets and make sure they can function quickly when disaster strikes.
• BCPs should be tested to ensure there are no weaknesses, which can be identified and corrected.

Understanding Business Continuity Plans (BCPs)

BCP involves defining any and all risks that can affect the company's operations, making it an important part of the organization's risk management strategy. Risks may include natural disasters—fire, flood, or weather-related events—and cyber-attacks . Once the risks are identified, the plan should also include:

• Determining how those risks will affect operations
• Implementing safeguards and procedures to mitigate the risks
• Testing procedures to ensure they work
• Reviewing the process to make sure that it is up to date

BCPs are an important part of any business. Threats and disruptions mean a loss of revenue and higher costs, which leads to a drop in profitability. And businesses can't rely on insurance alone because it doesn't cover all the costs and the customers who move to the competition. It is generally conceived in advance and involves input from key stakeholders and personnel.

Business impact analysis, recovery, organization, and training are all steps corporations need to follow when creating a Business Continuity Plan.

Benefits of a Business Continuity Plan

Businesses are prone to a host of disasters that vary in degree from minor to catastrophic. Business continuity planning is typically meant to help a company continue operating in the event of major disasters such as fires. BCPs are different from a disaster recovery plan, which focuses on the recovery of a company's information technology system after a crisis.

Consider a finance company based in a major city. It may put a BCP in place by taking steps including backing up its computer and client files offsite. If something were to happen to the company's corporate office, its satellite offices would still have access to important information.

An important point to note is that BCP may not be as effective if a large portion of the population is affected, as in the case of a disease outbreak. Nonetheless, BCPs can improve risk management—preventing disruptions from spreading. They can also help mitigate downtime of networks or technology, saving the company money.

How To Create a Business Continuity Plan

There are several steps many companies must follow to develop a solid BCP. They include:

• Business Impact Analysis : Here, the business will identify functions and related resources that are time-sensitive. (More on this below.)
• Recovery : In this portion, the business must identify and implement steps to recover critical business functions.
• Organization : A continuity team must be created. This team will devise a plan to manage the disruption.
• Training : The continuity team must be trained and tested. Members of the team should also complete exercises that go over the plan and strategies.

Companies may also find it useful to come up with a checklist that includes key details such as emergency contact information, a list of resources the continuity team may need, where backup data and other required information are housed or stored, and other important personnel.

Along with testing the continuity team, the company should also test the BCP itself. It should be tested several times to ensure it can be applied to many different risk scenarios . This will help identify any weaknesses in the plan which can then be corrected.

In order for a business continuity plan to be successful, all employees—even those who aren't on the continuity team—must be aware of the plan.

Business Continuity Impact Analysis

An important part of developing a BCP is a business continuity impact analysis. It identifies the effects of disruption of business functions and processes. It also uses the information to make decisions about recovery priorities and strategies.

FEMA provides an operational and financial impact worksheet to help run a business continuity analysis. The worksheet should be completed by business function and process managers who are well acquainted with the business. These worksheets will summarize the following:

• The impacts—both financial and operational—that stem from the loss of individual business functions and process
• Identifying when the loss of a function or process would result in the identified business impacts

Completing the analysis can help companies identify and prioritize the processes that have the most impact on the business's financial and operational functions. The point at which they must be recovered is generally known as the “recovery time objective.”

Business Continuity Plan vs. Disaster Recovery Plan

BCPs and disaster recovery plans are similar in nature, the latter focuses on technology and information technology (IT) infrastructure. BCPs are more encompassing—focusing on the entire organization, such as customer service and supply chain. 

BCPs focus on reducing overall costs or losses, while disaster recovery plans look only at technology downtimes and related costs. Disaster recovery plans tend to involve only IT personnel—which create and manage the policy. However, BCPs tend to have more personnel trained on the potential processes. 

Why Is Business Continuity Plan (BCP) Important?

Businesses are prone to a host of disasters that vary in degree from minor to catastrophic and business continuity plans (BCPs) are an important part of any business. BCP is typically meant to help a company continue operating in the event of threats and disruptions. This could result in a loss of revenue and higher costs, which leads to a drop in profitability. And businesses can't rely on insurance alone because it doesn't cover all the costs and the customers who move to the competition.

What Should a Business Continuity Plan (BCP) Include?

Business continuity plans involve identifying any and all risks that can affect the company's operations. The plan should also determine how those risks will affect operations and implement safeguards and procedures to mitigate the risks. There should also be testing procedures to ensure these safeguards and procedures work. Finally, there should be a review process to make sure that the plan is up to date.

What Is Business Continuity Impact Analysis?

An important part of developing a BCP is a business continuity impact analysis which identifies the effects of disruption of business functions and processes. It also uses the information to make decisions about recovery priorities and strategies.

FEMA provides an operational and financial impact worksheet to help run a business continuity analysis.

These worksheets summarize the impacts—both financial and operational—that stem from the loss of individual business functions and processes. They also identify when the loss of a function or process would result in the identified business impacts.

Business continuity plans (BCPs) are created to help speed up the recovery of an organization filling a threat or disaster. The plan puts in place mechanisms and functions to allow personnel and assets to minimize company downtime. BCPs cover all organizational risks should a disaster happen, such as flood or fire.  

Federal Emergency Management Agency. " Business Process Analysis and Business Impact Analysis User Guide ." Pages 15 - 17.

Ready. “ IT Disaster Recovery Plan .”

Federal Emergency Management Agency. " Business Process Analysis and Business Impact Analysis User Guide ." Pages 15-17.

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Understanding the Essentials of a Business Continuity Plan

In the face of unforeseen disruptions, a robust business continuity plan (BCP) is essential to preserve the trust of stakeholders. If you are able to seamlessly continue operations even in the face of sudden challenges, stakeholders are reassured of the company’s resilience and commitment to their interests.

In this blog post, we offer a comprehensive guide to business continuity planning, how it can benefit organizations and share key insights into Developing and Maintaining an Effective business continuity plan.

What is a Business Continuity Plan?

A business continuity plan (BCP) is an essential blueprint that outlines how a company will continue operating during an unplanned disruption in service. It’s more than just a reactive strategy; it’s a proactive measure to ensure that critical business functions can continue during and after a crisis. The purpose of a BCP is to provide a systematic approach to mitigate the potential impact of disruptions and maintain business operations at an acceptable predefined level.

The role of a BCP is crucial in maintaining operations during unforeseen events such as natural disasters, cyber-attacks, or any other incident that could interrupt business processes. By having a well-structured business continuity plan, organizations can:

• Minimize downtime and ensure that essential functions remain operational
• Protect the integrity of data and IT infrastructure
• Maintain customer service and preserve stakeholder trust

Why is a Business Continuity Plan Important

Immediate Response : A BCP ensures that there is a predefined action plan, minimizing downtime and demonstrating control over the situation.

Transparent Communication : Keeping stakeholders informed during a crisis promotes transparency and maintains confidence in the company’s management.

Inclusive Planning : Involve stakeholders in the business continuity plan development process. Their insights can enhance the plan’s effectiveness and ensure their needs are addressed.

Consistency in Service : By prioritizing critical operations, a BCP helps maintain the quality and consistency of services or products, which is important for customer retention.

The absence of a business continuity plan can lead to a domino effect of negative outcomes, including a tarnished reputation and the potential loss of future business. Stakeholders remember how a company responds in a crisis, and a well-executed BCP can be the difference between a temporary setback and a long-term impact on the company’s image and relationships.

Elements of a Business Continuity Plan

When exploring various business continuity plan examples, certain common elements emerge as critical for their effectiveness. These elements serve as the backbone for a robust BCP plan, ensuring that businesses can maintain operations and protect their reputation during unforeseen events. Here are some of the key components found in successful BCP examples:

Risk Assessment and Business Impact Analysis : Identifying potential threats and assessing their impact on business operations is a foundational step in any BCP plan.

Crisis Communication Plan : A clear communication strategy is essential to manage stakeholder expectations and maintain trust.

Recovery Strategies : Detailed procedures for restoring business functions and services post-disruption are indispensable.

Employee Training and Awareness : Ensuring staff are well-prepared and knowledgeable about the BCP plan is crucial for its successful implementation.

Case studies of successful BCP implementations often highlight how these elements are tailored to fit specific business models and industries. For instance, a financial institution may focus heavily on data security and regulatory compliance within their BCP, while a manufacturing business might prioritize supply chain alternatives and on-site safety protocols. Regular testing and adjustment of these plans are also a common thread, underscoring the importance of adaptability and continuous improvement in business continuity planning.

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Business Continuity vs. Disaster Recovery

It’s important to distinguish between a business continuity plan and a disaster recovery plan. While both are vital, a BCP is broader and focuses on the continuity of the entire business, whereas a disaster recovery plan is more technical and concentrates on the recovery of specific operations, such as IT services. Understanding these differences helps organizations allocate resources effectively and ensures comprehensive preparedness for any type of disruption. Understanding when to activate a business continuity plan (BCP) versus a disaster recovery plan is crucial for maintaining operational resilience.

To ensure a comprehensive crisis management strategy, consider the following integration points:

Pre-emptive Planning : Establish clear triggers for when each plan is activated. For instance, a BCP might be initiated in the face of a supply chain disruption, while disaster recovery would come into play during a data breach or server failure.

Unified Communication : Both plans should have a coordinated communication strategy to inform stakeholders and employees about the status and steps being taken.

Regular Testing : Conduct joint drills that test both the BCP and disaster recovery plans to identify any gaps or overlaps in procedures.

Continuous Improvement : Use insights from drills and actual incidents to refine both plans, ensuring they evolve with the changing business landscape and technological advancements.

By integrating both plans, organizations can navigate crises with agility and confidence, minimizing downtime and protecting their reputation. Tools like Creately, with features such as real-time collaboration and visual project management, can help create and maintain these critical plans, ensuring that all stakeholders are on the same page and ready to act when necessary.

Crisis Communication Strategies within Business Continuity Planning

A business continuity plan (BCP) is not just about responding to the crisis at hand, but also about how you communicate during the disruptions and the decisions you make. Here are some best practices to ensure your crisis communication and decision-making processes effective:

Clear Communication Channels : Establish predefined channels for internal and external communication. This ensures that messages are consistent and reach all stakeholders promptly.

Designated Spokespersons : Identify individuals who are authorized to speak on behalf of the company during a crisis. This helps maintain a unified voice and message.

Factual Updates : Provide regular, factual updates to keep stakeholders informed. Avoid speculation and commit to transparency.

Decision-Making Protocols : Implement decision-making protocols that are clear and allow for swift action. This includes having a chain of command and predefined criteria for making critical decisions.

Training and Simulations : Regularly train your crisis management team and conduct simulations to prepare for potential scenarios. This ensures that when a crisis does occur, your team is ready to act effectively.

By integrating these best practices into your BCP plan, you can maintain control during a crisis, make informed decisions, and communicate effectively with all parties involved. Remember, the goal is to protect your company’s operations, reputation, and stakeholder relationships during unexpected events.

Utilizing Business Continuity Plan Templates and Tools

When it comes to developing a robust business continuity plan (BCP), leveraging templates can offer a significant head start. These templates serve as a foundational framework that can be customized to align with the specific requirements of your business. Here’s why using BCP templates is advantageous:

Efficiency in Development : BCP templates provide a structured approach, ensuring that all critical elements are considered without starting from scratch. This saves valuable time and resources.

Consistency Across the Organization : Templates help maintain a uniform response strategy, which is crucial for coherent and coordinated action during a crisis.

Ease of Customization : While templates offer a general outline, they are designed to be adaptable. This means you can tailor them to reflect your business’s unique operational processes, risk profile, and recovery objectives.

Incorporating features like crisis response directions into your BCP template is essential. With Creately you can,

• Visualize these procedures on an infinite canvas, ensuring clarity and accessibility for all team members.
• Easily modify the plan as your business evolves, with the drag-and-drop functionality, making regular testing and adjustment a seamless process.
• Create a central repository of information by having docs, links and attachments in the notes panel of any shape in your diagram.

Key Insights for Developing and Maintaining an Effective Business Continuity Plan

A robust business continuity plan (BCP) is not a ‘set it and forget it’ document; it requires ongoing attention and refinement. Here’s why regular testing, updates, and staff training are non-negotiables in business continuity:

Financial Protection : By regularly testing your BCP, you can identify and rectify gaps that could otherwise lead to significant financial losses during a crisis. It’s not just about having a plan, but ensuring it works effectively when you need it most.

Reputational Safeguarding : Your company’s reputation is on the line when disaster strikes. A well-rehearsed BCP means your team can respond swiftly and competently, preserving stakeholder trust and customer loyalty.

Customization for Evolving Threats : The threat landscape is constantly changing. Regular BCP reviews allow you to tailor your plan to new types of risks, ensuring your business remains resilient against the unforeseen.

Empowered Employees : Training staff on the BCP turns theory into practice. When every team member knows their role in a crisis, response times improve, and confusion is minimized.

Remember, a BCP is a living document. It thrives on the feedback loop created by regular drills and updates, ensuring that when a crisis does occur, your business is prepared not just to survive, but to continue operations with minimal disruption.

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Hansani has a background in journalism and marketing communications. She loves reading and writing about tech innovations. She enjoys writing poetry, travelling and photography.

Business Continuity Planning: How To Create and Maintain BCPs

The COVID-19 pandemic has brought to the surface a lot of misconceptions and, frankly, unpreparedness on the part of many organizations to handle disruptions to normal business operations. Writing for Risk.net , Ariane Chapelle states that pandemic risks are sometimes called ‘grey rhinos’: probable, high-impact trends that are clearly observable, but often ignored until it’s too late.

So many organizations have been caught flatfooted, unable to consider a situation where their staff must work from home, and their supply chains and customer demand are interrupted. There’s also the inability to predict a return to normal. They haven’t had a plan for business continuity.

But, fortunately for us, there are companies we can reference as good examples of how business continuity planning should be done. Let’s take a look.

What is business continuity planning?

The ISO 22300:2018 vocabulary publication on Security and Resilience defines a business continuity plan (BCP) as documented information that guides an organization to respond to a disruption and resume, recover, and restore the delivery of products and services consistent with its business continuity objectives. BCPs provide guidance and information to assist teams to respond to disruptions and assist the organization with making the right response and ultimately recovery from the disruption.

As a BCP is a reference to be used during disruptions, it is best that your organization agrees to a single format for the document as well as, importantly, where the BCP is kept. Excellence in business continuity planning is based on two components:

• That your BCP plans can be accessed no matter the disruption.
• That your plans are easily understood by all relevant stakeholders involved in the response and recovery activities.

Use of secured cloud file shares that are hosted by different providers in different regions offers the best option in terms of accessibility, updating, and security. However, you must also consider if the internet is down. Having a hard copy version stored somewhere outside normal business premises would be an ideal backup, though keeping it updated needs a significant amount of discipline.

Creating a business continuity plan

Step 1: Perform risk assessment & business impact assessment

When it comes to business continuity planning, the first stop is to perform risk assessment and business impact assessment (BIA) activities. Risk assessment involves:

• Identifying potential risks based on the organization’s business environment.
• Analyzing these risks in terms of probability, impact, and proximity.
• Evaluating these risks from a priority perspective.
• Determining the appropriate risk treatment measures such as avoiding, accepting, reducing or sharing the risk with third parties.

A good example is Wimbledon , which updated its insurance policy to include infectious disease clauses following the outbreak of SARS in 2002. The organization is set for a potential $141 million payout following cancellation of the 2020 tennis tournament due to COVID-19.

During the BIA phase, the organization takes these actions:

• Defining types and criteria of impact based on the organization’s business environment.
• Identifying key business process activities.
• Determining impact of disruption based on the types and criteria defined earlier.

A key output is the maximum time length that the organization can bear the disruption and, as a result, determination of the prioritized timelines for resuming business operations following the disruptions. The measures for these prioritized timelines are:

• Recovery Point Objective (RPO) for allowable data loss based on time
• Recovery Time Objective (RTO) for the time to restore business processes

BIA activities are very critical for any organization wanting to understand the cost of disruption, and then plan the prioritized approach for dealing with the disruption.

Step 2: Develop business continuity strategies

The outputs of the risk assessment and BIA activities feed into your business continuity strategies which consider the options before, during, and after disruption, and determine the right solutions. The choice of strategy is based largely on how much loss your organization is willing (or able) to take as well as the amount of resources it is willing to pour into the available options.

These strategies and solutions should consider how to meet the BIA timelines, decrease risk probability and impact, and reduce the duration of the disruption. For example, your solutions might include:

• Creating a succession plan for a people risk perspective
• Deploying backups and disaster recovery solutions for technology and information risks
• Remote working for office access risks
• Engaging multiple suppliers to limit supply chain risks

Step 3: Document business continuity plans

Based on the selected strategies and solutions, you’ll then document your BCPs and make them available to key stakeholders. According to the ISO 22301:2019 standard on business continuity management systems requirements, BCPs should:

• Include specific immediate steps to be taken following a disruption
• Be flexible enough to respond to changing conditions of a disruption
• Focus on the impact of incidents that potentially lead to a disruption
• Be effective in minimizing impact of disruptions
• Assign roles and responsibilities for tasks within a disruption

The structure of a BCP would therefore include:

• Purpose, scope, and objectives
• Roles and responsibilities
• Actions to implement solutions
• Supporting information needed to activate, operate, coordinate, and communicate actions
• Internal and external dependencies
• Resource requirements
• Reporting requirements
• Process for standing down (i.e., return to normal)

Maintaining BCPs

A BCP is as good as dead if no effort is taken to train stakeholders and constantly review whether it is effective to meet the ever-changing threat landscape that faces your organization.

Two ongoing activities are essential to maintaining your BCPs: ensuring that testing and training are part and parcel of the business continuity planning activities. Then, management must regularly review the outcomes of this testing and training.

Testing your BCP

Testing is an integral part of maintenance and should be regularly planned and carried out based on the risk profile. The scope of testing can be anything from table-top exercises to full-scale exercises, but you must ensure that your testing activities do not significantly impair normal business operations.

Only by regular testing can a business truly know whether it can meet the RTO and RPO targets when an actual disruption occurs. Where the tests reveal otherwise, then the organization can take the right steps to remedy the situation by allocating relevant resources as appropriate to keep the BCPs actionable, reliable, and updated.

Training around your BCP

Coupled with testing is the need for training and awareness. Business continuity and disaster recovery procedures are only useful if all the members of the team are aware of where to access and how to execute them when a disruption occurs. You’ll want to create drills for employees to participate in to practice. Additionally, a strong knowledge sharing culture is vital for a BCP to be successful.

No BCP? Plan to fail

The old adage “failing to plan is planning to fail” comes to mind whenever one thinks of BCP. Statistics from FEMA reveal that roughly 40-60% of small businesses never reopen their doors following a disaster. In addition, 90% of smaller companies fail within a year unless they can resume operations within five days following a disaster. By comparison, 20% of larger companies spend over 10 days per month assessing their continuity plans.

The COVID-19 pandemic, and many similar disruptions, clearly indicate that organizations that don’t take time to plan for disruptions are the ones hardest hit. They’re the same organizations that will take longer to recover than competitors who are better prepared.

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How to craft an effective business continuity plan

Let me take you back in time to the United Kingdom in the 1970s. Punk music was gaining popularity, and the Sex Pistols entered the punk rock scene with the force of a shooting star, capturing fans’ attention.

But as quickly as they arrived, they quickly left the scene. When they broke up in 1978 after a period of internal conflicts, legal troubles, and their frontman’s imprisonment, fans were left both shocked and surprised.

Just like the Sex Pistols, plenty of companies experience rapid growth and success, only to face unexpected challenges and internal conflicts that result in their downfall.

In this article, we’ll draw inspiration from the Sex Pistols’ turbulent journey to explore the concept of business continuity planning (BCP). We’ll look at what a BCP is, why you need one and delve into the strategies and contingency measures that can help you maintain your rhythm and continuity, even when faced with the inevitable storms that can disrupt your operations.

What is a business continuity plan?

A business continuity plan describes how you’ll continue your business when disaster hits. It is a structured strategy outlining how your organization will maintain essential functions when disaster strikes, to ensure minimal downtime and guarantee that operations continue.

Why do you need a BCP in place?

The BCP is crucial and revolves around ensuring your resilience and ability to continue operating in the face of unexpected disruptions, such as natural disasters, cyberattacks, or other emergencies.

Let’s look at it a bit closer, and understand some of the key reasons to have a BCP better:

Minimize downtime

Protect revenue and reputation, compliance and legal requirements, resource allocation, maintain customer service, employee safety.

A BCP helps you minimize downtime. It does this by providing a structured approach to quickly recover and resume your critical business functions.

Example: You’re a retail company with an extensive online presence. If your website experiences a cyberattack that takes it offline, a well-prepared BCP outlines the steps to take to mitigate the attack, get your website back up in no time, and allow you to continue serving your customers.

No one likes disruptions as they result in revenue loss and can damage your reputation. A BCP helps you protect against financial losses and keep customer trust.

Example: You’re the owner of a restaurant chain with multiple locations and one of your branches has a food safety crisis. A BCP can guide you in managing the crisis, ensuring food safety compliance, and communicating effectively with customers to maintain trust in the brand and other locations.

Some industries, like the financial, and pharma industries, have regulatory requirements that mandate businesses to have BCPs in place. Failure to do so has legal and financial consequences.

Example: You’re the owner of a FinTech company. You are required by regulators to have robust BCPs to ensure customer data security and financial system stability.

When a crisis hits you need the right resources to get you back up and running. A BCP helps allocate resources effectively during a crisis, ensuring that personnel, equipment, and materials are used efficiently to address the most critical needs.

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Example: You’re a manufacturing company hit by a sudden supply chain disruption because the Suez Canal is blocked again. You use your BCP to allocate available resources to meet customer demands and minimize production delays.

When all hell breaks loose you want to make sure customer experience takes a minimum blow. A BCP outlines measures to maintain customer service and communication, so customers receive timely updates and support.

Example: You run an airline and there is a labor strike. Your BCP tells you how to manage customer inquiries, rebook affected passengers, and maintain a level of service.

Let’s not forget about the well-being of your employees. During a crisis, this is a top priority. A BCP includes procedures for evacuations, remote work arrangements, and employee support.

Example: There is a fire at your workplace. The BCP outlines evacuation routes, assembly points, and contact information for employees to report their safety status.

Business continuity planning: Steps for success

That’s a lot of reasons, right? Now that we addressed the necessity and urgency of having BCP, let’s look at 5 steps to creating a successful one:

• Analyze your company
• Assess the risk
• Create the procedures
• Get the word out
• Iterate and improve

1. Analyze your company

In this phase you conduct an analysis to identify critical activities, determine which activities must continue, which can be temporarily paused, and which can operate at a reduced capacity.

You then assess the financial impact of disruptions. This involves asking yourself the question, “How long can I operate without generating revenue and incurring recovery costs?”

As this step covers your whole company, it’s important to get key stakeholders involved from the beginning.

2. Assess the risk

Now you have a good overview of your critical processes and the impact of disruption. At this point, pivot your attention to the risks they face, how well you can handle when things don’t work as usual, and how long you can manage if things go wrong.

The goal here is to understand what could go wrong and find ways to avoid, reduce, or transfer them. This assessment will help you strengthen your preparedness and resilience.

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Think about risks specific to your industry and location

It’s important to consider both internal (e.g. an IT system failure or employee shortage) and external threats (e.g. a natural disaster or supply chain disruption) to your critical business activities.

3. Create the procedures

Once you analyze and assess, you need to create procedures.

Develop detailed, step-by-step procedures to minimize risks to your organization’s people, operations, and assets. This can include changes to your operating model, such as using alternative suppliers or implementing remote work options.

4. Get the word out

A plan is just a plan and no one will know how to act if you don’t communicate.

This step is all about communication. Integrate the BCP into your operations, policies, and company culture, and train, test, and communicate with your employees.

And don’t forget that communication is not limited to your company only. Communicate with external stakeholders, customers, suppliers, and so forth.

5. Iterate and improve

Before implementing your BCP ensure its effectiveness.

Don’t worry there are plenty more options to test your BCP. Consider involving external stakeholders or vendors as it makes exercises more realistic. Frequently train those who are accountable for executing the BCP.

After experiencing a real incident or conducting a training exercise, update your plan to improve its ability to protect your business. Keep in mind that both your organization’s development and the circumstances you operate in change, so a regular review isn’t a luxury but a necessity.

How to structure your continuity plan

Now you have a high-level understanding, let’s look at how to structure your business continuity plan.

You can find a copy of the template I use here .

Make sure to include the following sections in your BCP:

Version history

Executive summary, functions and process prioritization, plan activation, governance and responsibilities, recovery plans, crisis communication plan, emergency location and contents, review and testing.

This section shows the revision history. It includes the version numbers of the changes made, by whom, when, and who approved the changes. The revision history allows anyone reading the BCP to understand how it has evolved over time.

The executive summary provides a brief summary of the key objectives, goals, scope, and applicability of the BCP.

This chapter outlines the critical functions and processes in scope of continuation in case of a disastrous event.

This section refers to the risk and business impact assessment outcome. Its aim is to set out what triggers the activation of the plan.

Governance and responsibilities talks about who has to act when the BCP is activated. It includes the members, a description of their responsibilities, contact details of the BCP team, and the chain of command during a crisis.

This section builds upon the business continuity strategies, specifically the one chosen when a disaster occurs. It describes the detailed recovery plans for each critical function, the procedures for restarting operations, resource allocation, and recovery time objectives (RTOs).

Here you cover the internal and external communication strategies. You also address employee awareness and training activities.

Now there is a good chance the disaster will require your crucial activities to temporarily continue at a different location. This section covers all details about the location and what needs to be available at the location.

The BCP is to be tested to reduce the risk of missing things or even worse failing. Here jot down the testing procedures and document results and lessons learned.

This section includes all appendices. Think about the following

• Supporting documents, such as contact lists, maps, and technical specifications
• References to external standards, guidelines, or regulations
• Training programs for BCP team members
• Review of insurance policies
• Financial reserves and funding for recovery efforts
• Procedures for keeping the BCP documentation up to date

Business continuity plan example

Earlier this year, the Koninklijke Nederlands Voetbal Bond (KNVB), which is the Royal Dutch Football Association, was hit by ransomware. The cyberattackers threatened to share personally identifiable information captured and the KNVB paid over one million euros to avoid this from happening.

What could have been done to mitigate the ransomware attack risk?

The Risk of the attack to succeed could have been mitigated with:

• Regular data backups
• Segmentation of networks
• Intrusion detection systems

How to ensure business continuity in case of ransomware?

In response to the ransomware incident, and to allow for continued business as usual as soon as possible, steps could include:

• Isolating affected systems
• Activating backups
• Notifying law enforcement
• Engaging with a cybersecurity incident response team

Key takeaways

A business continuity plan (BCP) is like a safety net for your business when things go haywire. It helps you keep going, avoiding downtime, revenue loss, and reputation hits. On top of that, it’s a legal must in certain industries.

To make a solid BCP, just follow five steps: figure out what’s crucial for your business, spot the risks, plan how to bounce back, make sure everyone knows the plan, and keep fine-tuning it.

Structurally, your BCP should have sections like history, a quick guide, what’s most important, when to activate it, who’s in charge, the nitty-gritty recovery plans, how communication is done, where to go in a crisis, how to test the BCP works, and some extra info.

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What is a Business Continuity Plan (BCP)? Purpose, Template & Examples

• Marie Laure Troadec Legal Counsel
• August 29, 2023

Key Takeaways

1.  A business continuity plan is an essential risk management tool that helps organizations proactively prepare for unexpected disruptions and events, ensuring the continuity of critical operations.

2.  By identifying and assessing potential risks and threats to their operations, businesses can develop appropriate response strategies to prevent or minimize disruption during challenging times.

3.  Businesses should avoid certain pitfalls to successfully implement their business continuity plan. These include a lack of employee engagement, an over-reliance on technology, and a failure to test their plans.

4.  By proactively addressing these areas, businesses can increase the chances of successful implementation and execution of their business continuity plans.

Ensuring business continuity is a topic high on the agenda for most businesses and one that has become increasingly paramount in light of recent events: Few things have focused attention on the need to have a contingency plan more than the COVID-19 pandemic. The potential disruption caused by a pandemic, or indeed any other unforeseen event, to a business’s operations can have significant financial, legal, and reputational ramifications that can be mitigated or even prevented if appropriate measures are put in place.

This article delves into the essential elements of a business continuity plan (BCP) and provides valuable guidance on avoiding common pitfalls to help your business implement and execute a robust plan that safeguards your operations.

What is a Business Continuity Plan?

A business continuity plan is a risk management strategy that a business implements to protect its operations in the face of an unexpected event or disruption such as a natural disaster, cyberattack, or technological failure. By anticipating and preparing for potential crises or unplanned eventualities, businesses can take preemptive measures to ensure they remain operational and maintain a sense of normalcy despite interruptions.

The business continuity planning process enables businesses to assess potential threats to their operations and identify vulnerabilities that could impact their ability to function effectively. Through the implementation of a business continuity plan, business leaders can swiftly respond to emergencies, minimizing any potential downtime and mitigating the negative effects on their operations. This proactive approach can help businesses navigate challenging situations with relative ease and resilience, ensuring minimal impact on their productivity and profits.

Main Elements of a Business Continuity Plan

A robust and effective business continuity plan will comprise the following key elements that facilitate business resilience and preparedness during uncertain times.

• Business impact analysis
• During this phase, a business will identify and assess potential risks and threats to their organization’s operations. A business impact analysis (BIA) assesses the potential consequences of disruptions in critical business functions. This allows businesses to prioritize resources, allocate budgets, and develop strategies to minimize downtime and facilitate recovery.  
• Recovery strategies
• This step addresses the risks identified in the BIA by developing appropriate responses to prevent or minimize disruption. Recovery strategies outline the immediate actions required following an incident, those responsible for implementing them and coordinating the allocation of resources.
• Plan development
• The plan development phase involves developing the framework of the business continuity plan by establishing the relevant recovery teams, establishing communication channels, creating relocation plans, and gaining management buy-in.
• Testing and maintenance
• This phase involves training and testing the relevant teams and systems by conducting exercises to measure the effectiveness of the business continuity plan and identifying areas for improvement. Processes are also established for regularly reviewing and updating the business continuity plan to account for changes in technology, previous incidents, and evolving threats and risks.

Common Business Continuity Plan Pitfalls

To ensure the efficacy of their response during unexpected events or disruptions, organizations should be mindful of common mistakes encountered in the business continuity planning process. 

An awareness of the following issues can help businesses avoid certain pitfalls which could hinder their efforts in this area:

1. Lack of employee engagement

The success of any business continuity plan hinges on an organization’s ability to execute it successfully as even the most comprehensive and detailed plan will fall flat if it is ineffective in real-world situations.

The successful execution of a business continuity plan goes beyond senior management. To ensure business continuity in times of trouble it is essential that those on the ground have also been briefed on contingency measures and are ready to step into action accordingly.  Without adequate employee training and awareness, organizations run the risk of compromising critical business functions leading to further disruptions and losses.

By prioritizing employee engagement and involvement in the business continuity plan, organizations can strengthen and streamline their response efforts ensuring a robust and resilient response to potential disruptions, while fostering a culture of confidence and preparedness within their organization.

2. Overreliance on technology

While technological solutions play a crucial role and should be a feature of any robust business continuity plan, an overreliance on digital services and technical infrastructure can pose potential challenges for organizations. 

Sole or heavy reliance on this area increases the risk of a single point of failure. This is especially pertinent at a time when cyberattacks and data breaches are prevalent creating vulnerabilities in a business’ technological systems, and thereby undermining the effectiveness of its business continuity plan. Unforeseen events such as natural disasters which can lead to infrastructure damage and power outages can also severely compromise an organization’s ability to function effectively during a crisis.

To counter these problems, organizations should incorporate a diverse range of technological and non-technological solutions into their business continuity plan, taking into account manual processes and alternatives that are not solely dependent on digital services. Data backup options should also be put in place to help businesses restore swift operations and minimize extended downtime.

3. Failure to test

Without proper testing, the effectiveness of a business continuity plan remains theoretical rather than proven in practice. Regular testing enables businesses to identify and address any gaps or limitations in their plan, avoiding the risk of critical business functions being left vulnerable in an actual crisis situation.

Through drills, real-life simulations, and tabletop exercises, organizations can learn from real-world incidents, gaining practical insight into the feasibility of their business continuity plans and identifying any areas that require improvement. Regular testing plays a crucial role in helping businesses to optimize their response strategies and ensure resilience and readiness in the face of difficult or unforeseen circumstances.

By proactively addressing and avoiding these common pitfalls, businesses can develop comprehensive business continuity plans that help to bolster their resilience, minimize disruptions, and ensure the continuity of their operations during challenging times.

BCP Template

The precise content of your BCP will depend on the nature of your business. However, below is a useful template for a typical business: 

1. Introduction

• Purpose: Outline the purpose of the BCP.
• Scope: Specify which parts of the organization this BCP covers.
• Assumptions: State any assumptions made during the BCP’s creation.

2. Business Continuity Policy

Outline the company’s policy regarding business continuity. This can include the company’s commitment to employee safety, client service, data protection, etc.

3. Roles and Responsibilities

List the key personnel responsible for executing the BCP:

• Business Continuity Manager/Coordinator
• Crisis Communication Team
• Emergency Response Team
• IT Recovery Team
• Employee Assistance Team

4. Risk Assessment

Identify potential risks and threats:

• Natural disasters
• Technological failures
• Security breaches

5. Business Impact Analysis (BIA)

Identify the potential impacts of each threat:

• Financial impacts
• Reputational impacts
• Operational impacts
• Legal/Regulatory impacts

6. Business Continuity Strategies

Outline strategies for:

• Data backup and recovery
• Alternate work locations
• Communication protocols
• Supply chain management

7. Incident Response Plan

Details the immediate actions to be taken following an incident:

• Alert and notification procedures
• Evacuation procedures
• Safety checks

8. Recovery Plans

For each critical department/function, provide a detailed plan on how to resume operations:

• IT systems recovery
• Resumption of critical business functions
• Communication with stakeholders

9. Training and Testing

Outline how the plan will be tested and how often, as well as any training programs for employees:

• Tabletop exercises
• Full-scale drills
• Employee training sessions

10. Maintenance and Review

Describe how the plan will be kept current:

• Regularly scheduled reviews
• Updates following any changes in the business environment or operations
• Feedback loop from testing

11. Communication Protocols

Specify how communication will be maintained:

• Emergency contact lists
• Communication methods (phone, email, etc.)
• External communication (with media, stakeholders, etc.)

12. Appendices

• Resource lists
• Vendor contacts
• Floor plans
• Backup data locations

Business Continuity Plan Examples

If you are looking for some other examples of well-designed BCPs and BCP templates, check out the following: 

• Durham County Council’s BCP
• Chisholm & Winch (UK Construction Company)
• Ready (US Government Disaster Response Resource).

Developing and implementing business continuity plans

Expertise in critical business functions such as compliance, HR management, and global payroll solutions ensures your business can confidently navigate through unexpected challenges or crises. 

Contact us today to learn how we can support your business continuity efforts and provide the stability and peace of mind you need in an ever-changing world. 

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More From Forbes

How to develop a business continuity plan.

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CEO of  LogicGate , a GRC process automation platform that enables organizations to transform risk and compliance programs.

Unfortunately, companies don’t receive warnings ahead of a catastrophic event. No matter what the event may be — a data breach, natural disaster, healthcare crisis or some other disruptive event — incidents will always happen with little notice. In some cases, these incidents could spell the end of a company. According to the Federal Emergency Management Agency (FEMA), "40% of small businesses never reopen after a disaster, and another 25%, that do reopen, fail within a year."

While disasters are never easy to handle, there are things businesses can do now to limit the impact of a catastrophic event. One of those things is developing a business continuity plan (BCP). BCPs provide organizations with a plan of action in the event of a disruption. 

BCPs are not one-size-fits-all. Depending on an organization’s needs, the plan could cover personnel, key inventory and anything else deemed important during a crisis. The plan won’t be a simple, one-page document. Rather, it will involve multiple aspects of the business and be written in a way that makes sense for any employee, no matter what level. 

By having a BCP in place, companies can prepare themselves for adverse, unpredictable events. Here’s how a business can go about creating a business continuity plan of its own.

1. Create a checklist.

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Think thoroughly about what you want to be included in your BCP, and start to compile all the necessary pieces in a checklist. Be sure to include things like critical processes, responsible personnel and a communication plan. Beyond what’s included in the plan, think through how the plan could change depending on the situation. Where will the plan be located should an emergency arise? These are all things that need to be established before moving forward with a BCP. 

2. Establish the right team.

Developing a BCP is not a one-person job, nor do you want to include too many contributors. Instead, organizations should be thoughtful about who participates in the development of a BCP. Incorporating individuals from different departments, roles and levels will ensure all voices are heard. No matter who is involved, there needs to be a level of support from company executives. Without their buy-in, the BCP will ultimately stall and not be a top priority for the rest of the individuals involved.

3. Identify critical business areas.

For this step, organizations must assess their business as a whole, including assets, people and processes, as well as the harm a potential disruption could cause to each of them. To get started, take a look at what brings in revenue for the business and which customers would be impacted by significant disruptions in those different business areas. From there, businesses can start to get a sense of the potential financial impact and use this information to develop an effective BCP that preserves critical aspects of the business.

4. Bring the pieces together.

With the previous steps complete, it’s time to bring all the pieces together and connect the right people to the appropriate business functions in the plan. Communication is important during this process and will remain important when it’s time to execute the BCP. As previously mentioned, clearly establishing who will be in charge of what will help increase an organization’s odds of business continuing without a hiccup. 

5. Test, review, test. Then repeat.

Once you’ve created a draft BCP, you might think the job is done. However, to truly be ready for anything, companies must continue testing the BCP to ensure all parties involved are ready in any situation. Take the time to find the weak areas in the plan and remedy them as necessary or, if tests don’t go so well, consider starting over entirely. Even when the plan is finalized and approved, organizations need to review the BCP on an ongoing basis to ensure it’s always up to date. The testing frequency will be unique to each business, but be sure to test at least two times a year.'

There’s no way to perfectly predict when a company will experience a catastrophic event. By having a BCP in place, organizations can feel prepared knowing there are guidelines on how to handle an adverse event so they can emerge even stronger than before. 

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What Is Business Continuity?

Business continuity is an organization's ability to maintain or quickly resume acceptable levels of product or service delivery following a short-term event that disrupts normal operations. Examples of disruptions range from natural disasters to power outages.

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Is business continuity the same as business resilience or disaster recovery?

Business continuity, disaster recovery, and business resilience are not the same, but they are related.

• Business continuity is a process-driven approach to maintaining operations in the event of an unplanned disruption such as a cyber attack or natural disaster. Business continuity planning covers the entire business—processes, assets, workers, and more. It isn't focused solely on IT infrastructure and business systems.
• Business resilience encompasses crisis management and business continuity. It requires a response to all types of risk that an organization may face. An organization that is business resilient is essentially in a constant state of "expecting the unexpected." It means continuously preparing to meet disruptions head-on, including events of extended duration that may affect more than one facility or region.
• Disaster recovery focuses specifically on how to restore an enterprise's IT infrastructure and business systems following a disruption. It is considered an element of business continuity. A business continuity plan (BCP) might contain several disaster recovery plans, for example.

What is a business continuity strategy?

A business continuity strategy is a summary of the mitigation, crisis, and recovery plans to be implemented after a disruption to resume normal operations. "Business continuity strategy" is often used interchangeably with "business continuity plan." Both consider the broader goals, legal and regulatory requirements, personnel, and even the business's clients and partners.

What does a business continuity plan mitigate?

A relevant and well-tested BCP can help ease the negative impacts of an unexpected business disruption in many ways.

• Financial impact: Disruptions to product supply chains and critical services to customers can directly affect sales and revenue. Downtime caused by unplanned disruptions can also result in higher costs for a business as it looks to repair operations and mitigate previously unidentified threats.
• Reputation and brand impact: Failure to resume operations quickly and supply customers with the products or services they expect can prompt customer defections and tarnish the brand. Damage to reputation can in turn cause investors and capital sources to pull back funding, exacerbating the financial impact of a business disruption.
• Regulatory impact: Customers and vendors are likely to complain when businesses fail to respond appropriately to disruptions, which may result in regulatory scrutiny or even censure. In highly-regulated industries, such as energy and financial services, business continuity planning is mandatory to ensure regulatory compliance.

Business continuity planning activities

A well-crafted and tested BCP can go a long way toward helping a business recover swiftly from a disruption. These are key steps a business may want to take.

Identifying critical business areas and functions

Business continuity planning begins with identifying an organization's key business areas and the critical functions within those areas. A business needs to determine and document the acceptable downtime for each area and function considered vital to operations. Then a plan to restore operations can be established, documented, and communicated.

Analyzing risks, threats, and potential impacts

Creating appropriate response scenarios requires knowing what disruptions the business could experience. An upfront analysis of risks and threats is necessary in order to prepare contingency responses to events. Organizations can also conduct a back-end analysis after an event to gather metrics and assess lessons learned. This information can drive improvements in how the business responds to disruptions.

Outlining and assigning responsibilities

A BCP details which personnel will be responsible for implementing specific aspects of the plan. It also identifies key decision-makers and a chain of command. The plan should include alternative options in case primary personnel are incapacitated or unavailable to respond to the disruption.

Defining and documenting alternatives

A business continuity plan should define and document alternative communication strategies in case telephone services or the internet are down. Enterprises should also have alternatives for mission-critical spaces such as data centers or manufacturing facilities in case buildings are damaged.

Assessing the need for critical backups

Essential equipment may be damaged or unavailable during a disruptive event. A business should consider whether it has access to backup equipment and uninterruptible power supplies (UPS) during extended power outages. Business-critical data needs to be backed up regularly, and is mandatory in many regulated industries.

Testing, training, and communication

Business continuity plans need to be tested to ensure they will be effective. (Disaster recovery plans should be tested as well.) A best practice is to conduct a plan review at least quarterly with leadership and key team members who are responsible for executing the plan.

Many companies use role-playing sessions, simulations, and other types of exercises several times per year to test their BCPs. This approach helps to identify gaps, develop strategies for improvement, and determine if more resources are needed. Targeted staff training and communicating to the whole workforce the benefits of having a business continuity plan are also vital to its success.

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What Is Business Continuity?

Art Wittmann | Content Director | April 26, 2024

In This Article

Business Continuity Explained

Business continuity faqs.

All organizations face risks—competition, changing customer preferences, supply chain disruptions, catastrophes both natural and otherwise, process failures, and those wild cards that come out of the blue. Business continuity planning, or simply business continuity, requires minimizing the likelihood of problems occurring and then creating plans to cope with threats that become realities.

For most businesses, risk management is baked into every discipline: Marketing teams message customers using diverse channels. Procurement sources from a variety of suppliers. Facilities are spread out geographically to avoid multiple locations being hit by a natural disaster and to allow for failover when one site needs maintenance. Manufacturing develops more capacity than it currently needs. Controllers worry about cash flow. And boards of directors and CEOs keep a close eye on the competitive landscape.

While business continuity is everyone’s business, one area that’s grown in importance over the years relates to an increasing reliance on technology and IT systems. Senior executives understand the exposure that comes with heavy dependence on technology, so in most organizations, business technology continuity planning is the domain of the CIO, who works with the CFO to create systems that cost-effectively mitigate risk. The CIO’s team is further tasked with developing procedures to recover from a myriad of scenarios that could take down some or all IT operations.

For the purposes of this article, we’ll discuss business continuity from the CIO’s perspective.

Business continuity refers to the plans, technologies, and processes an organization puts in place so it can maintain critical functions in the event of a disruption or disaster, whether planned or unplanned.

A business continuity plan (BCP) has four main components.

Scenario planning involves identifying potential threats and assessing the likelihood that each will occur. Universal areas of consideration include natural disasters, power or internet outages, cyberattacks, human error, and equipment failures, but it’s smart to think about other scenarios, such as a key employee leaving the company or the loss of a major customer or market. While it’s near impossible to prepare for every eventuality—few companies had accounted for a global pandemic and lockdown in their plans for 2020—the more what-ifs you consider, the more complete your BCP will be.

CIOs will do well to pull together a cross-functional team for planning and impact assessment . In this phase, the team looks at each scenario and evaluates its potential impact on operations. How bad would the impact of each be, ranging from a minor loss of revenue to potentially putting the company out of business?

Incident response planning often centers on IT and finance. It involves thinking through, costing out, and documenting the steps to take during and after a disruption, focusing more resources on those events that are both more likely to occur and have a high potential cost to the company. Common questions include: What are our available alternative work locations or remote options using cloud-based systems ? Is our data backed up in a way that keeps it accessible and safe from ransomware?

Finally, there’s BCP maintenance. The threat landscape and technology options change constantly. Your team should review the plan at least annually and evaluate current realities and any new offerings from vendors that could assist with the BCP.

A key reason to constantly reevaluate any business continuity strategy is that the cost of achieving better resilience tends to go down over time as advanced technologies become mainstream. So once the IT team understands which systems are most critical to the business, business continuity planning becomes increasingly about removing single points of failure while keeping an eye on the price tag.

Eliminating all single points of failure starts with the mantra “never just one server, never one storage system, never one network switch.” Particularly in storage and networking, redundancy needs to be designed in from the start. The concept of N+1 design is critical to fault tolerance: Each system needs an extra power supply, and data must be spread over an array of storage devices such that one failure doesn’t stop the business in its tracks. Similarly, redundant networking and switches with fault-tolerant designs are essential for business continuity.

Software architectures can also help. If an application is architected to avoid single points of failure, it becomes easier to use commodity hardware and fail over to other sites if the need arises. Virtualization , containerization—where applications are abstracted from the hardware they run on—and applications designed to rely on microservices are all important in developing IT systems that not only run continuously but can also scale up and down as business needs dictate.

Data centers themselves can also become single points of failure. The time required to recover from disaster-induced outages is often longer than systems such as uninterruptible power supplies and diesel generators will run. Building more data centers is expensive, so for years the go-to option has been to recreate the most critical systems in colocation facilities, which saves the cost of the building but still requires duplicate systems and software.

Increasingly, organizations are choosing to either move critical systems to the cloud or create a hybrid architecture where the cloud is the second site for critical systems. Large cloud providers such as Oracle offer CIOs better resiliency and comparatively fast paths to improving their business continuity strategies. By distributing services in many regions around the world, CIOs can choose a strategy that also improves service performance in key markets or that meets local data sovereignty requirements.

Cloud services let CIOs take full advantage of resilient software strategies by easily accommodating virtualized workloads and highly resilient microservice architectures.

Note that disaster recovery , which focuses on how you’ll fully restore operations to normal after a disruption, is its own discipline, and use of cloud computing has revolutionized the ability of IT teams to manage many disruptions with barely a blip. When addressing disaster recovery, look for the ability to quickly fail over and automatically recover business systems with minimal downtime or data loss.

Finally, your BCP is effective only if employees are trained on their roles and responsibilities. Regularly conduct drills and simulations to identify gaps in the plan and make sure everyone knows what to do in an emergency. Whenever there is a change in your business operations, technology, or the threat landscape, revisit your BCP. The future of your organization may depend on it.

Disruptions happen, but your business doesn't have to stop. Explore how cloud-based solutions can provide a safety net for business continuity, plus nine more top trends.

What are the four pillars of business continuity?

The four pillars of business continuity are assembling a team for scenario planning, assessing business impacts, incident response planning, and ongoing BCP upkeep. By focusing on these four pillars, organizations can prepare for and respond to disruptions and ensure continuity.

What are other benefits of business continuity?

A well-defined and well-implemented business continuity plan can help minimize downtime and increase the likelihood of a faster recovery from disruption, which demonstrates resilience and helps maintain customer and investor confidence.

Knowing there's a plan in place can also reduce employee stress and anxiety during a crisis—that’s especially true if the team has done tabletop or live training exercises so key personnel know exactly what to do. And finally, certain industries, such as financial services, utilities, and healthcare, have regulations that require organizations to have a detailed business continuity plan.

What Does a Business Continuity Plan Typically Include? [Complete Guide]

Last Updated: September 19, 2023

Introduction

A business continuity plan (BCP) is your first line of defense against any challenge that threatens the core functionalities of your organization’s operations. When disaster strikes, your BCP should be there to reduce the time it takes to get things back up and running as usual again – as quickly as possible.

If you’re not able to react quickly to these types of incidents, your company could suffer physical harm, monetary losses, reputational damage, data integrity loss, litigation and much more.

Designing a BCP can feel overwhelming, as it’s such a critical document; where should you start? Who should be involved in the process? How should it be disseminated? These are all questions we’ll answer in this guide, including what is typically included in a BCP.

Bonus Material: Free BCP Checklist

How to Create a Business Continuity Plan

It’s important to actively invest time and energy into preparing for any potential risk before a potential event of a disaster so that if or when it does, your BCP directs you to the necessary resources to return to business as usual. That’s why creating and developing your BCP needs to involve a great deal of strategy and intention.

Taking a risk-based approach is the best way to go about developing your business continuity plan and avoid the need to use implement a disaster recovery plan. Through a risk-based approach, you follow the following steps: identify, assess, mitigate, monitor, connect and report. Here’s how to apply each of these steps during the lifecycle of your BCP:

• Start by identifying your most critical processes. When a business continuity event occurs, taking a risk-based approach ensures that you understand what the most critical processes to your organization are that need to be prioritized first to get back up and running to minimize any impacts.
• Next, assess your various risks. By evaluating all of the various types of risks that an incident could bring up – such as financial, reputational, customer, legal or strategic impact – you’re able to adequately determine which steps must be included in your BCP to minimize those impacts.
• Be sure to implement strategic mitigations as part of your business impact analysis. Building a business continuity plan through a risk-based lens empowers you to design more effective policies and procedures that simultaneously minimize the impact of the disruption at hand.
• Monitor the effectiveness of your controls over time. Otherwise, your BCP won’t align with your risks, leaving you likely to be caught off guard next time a business continuity event occurs.
• Your BCP does not exist in isolation, so be sure to connect departmental efforts. This allows you to identify interdependencies that must be known if an event occurs to ensure all steps are taken.
• Reporting is a key step in the risk-based approach, as it reveals patterns over time so that you can improve your BCP development where needed and keep your organization protected from any future disruption.

What Should my Business Continuity Plan Include?

Your BCP should include:

• An analysis of all critical functions within your business. This will allow for preparation of resources.
• A prioritized list of risks that pose a severe or even catastrophic threat to your business. These can be prioritized through risk tolerances and risk appetite so you can visualize which ones fall farthest out of that range.
• A list of specific strategies (or mitigation activities) that help protect the critical components you identified earlier in the BCP.
• Evidence that the strategies have been tested across critical business functions, using key metrics, indicators and financial scenarios.
• Dashboards and reports that uncover challenges and allow you to update the plan and your business processes over time.

Examples of Potential Unforeseen Risks

Naturally, your BCP will include risks that you deem a threat to your business. It can be difficult to begin writing that list when you’re not sure exactly what should be on it. In Risk Management, it’s important to consider potential risks that others may not have ever predicted to become reality (many people today say they never imagined in their lifetime that they would experience a pandemic).

Here is a list of potential unforeseen risks that pose a threat to business continuity:

• The sudden unavailability of a key vendor-provided service
• A regional power outage
• Abandonment in leadership
• Data protection issue
• Supply chain issues
• Privacy policy issues
• Getting sued
• An industry strike
• Pest infestation
• Natural disasters
• Winning the lottery
• Receiving a life-threatening diagnosis
• Getting in an accident
• A threat to national security, such as a terrorist attack
• Collapse of infrastructure
• And perhaps the most timely example of all, a pandemic (check out our complete guide to building a BCP for COVID-19 here )

BCP Best Practices

Like we mentioned earlier in this guide, it’s important to take a risk-based approach when creating your BCP. This will help you better preserve your business reputation, build up customer confidence and allow you to gain a competitive advantage. It will also ensure that you can avoid situations of disaster recovery. (Read our full guide on Business Continuity vs. Disaster Recovery )

To receive these benefits, it’s best practice to leverage robust business continuity planning software . This enables you to inherently take a risk-based approach and demonstrates to customers and stakeholders that you are prioritizing business continuity planning. This is especially true today amidst our ever-evolving disruptive business environment and the See-Through Economy.

Your business continuity plan will be different from anyone else’s, which is why it’s important to dedicate time and resources to creating one that fits your unique needs and risk factors. Working with a professional risk consultant is just one added benefit that’s included with your partnership with LogicManager. With their help, you’ll be able to better leverage the tools and resources included in our integrated ERM software, as well as our solution package for business continuity development .

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Business Continuity Planning: Ensuring the Resilience of Your Organization

Let’s explore the intricacies of business continuity planning, from understanding its importance to implementing a robust strategy that safeguards your enterprise.

Published by Orgvue   November 20, 2023

Home > Resources > article > Business Continuity Planning: Ensuring the Resilience of Your Organization

In an unpredictable world, the ability to sustain your business’s essential functions and operations, even in the face of disruptions, is paramount.

Business continuity planning is the framework that ensures your organization can weather storms, both literal and metaphorical.

What is Business Continuity Planning?

At its core, business continuity planning is the process of developing a proactive strategy to ensure an organization’s critical functions and operations can continue in the face of unforeseen disruptions.

It encompasses a range of activities, from risk assessment to the creation of detailed recovery plans, with the ultimate goal of minimizing downtime and ensuring the organization’s resilience.

The Importance of Business Continuity Planning

The importance of being prepared for various external and internal factors cannot be overstated. While many businesses have a standard business plan, not all of them consider the potential disruptions caused by natural calamities, economic downturns, or other unexpected events. Business continuity planning is the key to ensuring a company’s sustained operation, regardless of the challenges it may face.

Business continuity planning goes beyond the traditional business plan. While a business plan outlines goals and strategies for growth, a continuity plan focuses on how the organization will continue to function in the face of adversity. It involves identifying potential risks and developing strategies to mitigate and recover from them. Whether it’s a natural disaster, a cyberattack or an economic recession, having a well-thought-out strategic plan is essential for business survival.

One of the most significant threats to businesses is an economic downturn, such as a recession. During these challenging times, consumer spending often decreases, and businesses may face financial instability. A recession can have a ripple effect on companies of all sizes, causing decreased revenue, layoffs, and even closures.

For a detailed look at the impact of recessions on businesses, read how to prepare for a recession , which delves into strategies for navigating these challenging economic conditions.

Business strategy planning is not just about surviving during tough times; it’s also crucial for capitalizing on periods of growth. When businesses experience an upturn, they often need to scale rapidly to meet increased demand. Having a continuity plan in place allows for a smoother transition during periods of growth, ensuring that the infrastructure, resources and workforce can adapt effectively.

The financial consequences of not having a business continuity plan can be devastating. Without a plan in place, businesses are more vulnerable to unexpected disruptions, which can result in significant financial losses. These losses may come from increased downtime, lost revenue, legal liabilities, reputational damage and the costs associated with recovery efforts.

Considerations for Business Continuity Planning

Creating a robust business continuity plan is a complex task that involves a multitude of factors. Among these considerations, three key aspects stand out: cultural differences, limited resources and alignment with business objectives. A successful business strategy plan takes these factors into account to ensure that an organization can effectively respond to disruptions while maintaining its core values and strategic direction.

1. Cultural Differences

Cultural diversity is a significant consideration in business strategy planning, especially for multinational companies or organizations with a diverse workforce. Cultural differences can influence how employees perceive and respond to crises. When developing a business continuity plan, it is important to consider the following aspects:

• Communication Styles : Different cultures have varying communication norms and hierarchies. Understanding how employees from various cultural backgrounds communicate during a crisis can help in crafting effective crisis communication strategies.
• Decision-Making Processes : Some cultures prioritize consensus-driven decision-making, while others lean towards hierarchical authority. A business continuity plan should acknowledge these differences and provide flexibility in decision-making approaches during disruptions.
• Crisis Response Expectations : Cultural expectations can shape how employees expect the organization to respond to a crisis. Your business strategy plan should be sensitive to these expectations and ensure that response strategies align with cultural norms.

2. Limited Resources

For many businesses, resource constraints are a reality. When developing a business continuity plan, it’s crucial to consider the organization’s resource limitations, such as budget, personnel and technology. Here are some key considerations:

• Resource Allocation : Prioritize critical functions and allocate resources accordingly. Not all business processes are equally important, and a business continuity plan should identify and protect the most essential ones first.
• Efficiency and Scalability : Develop strategies that focus on efficiency and scalability. Efficient resource use is critical, and a business strategy plan should outline how to adapt to changing resource constraints during a crisis.
• Collaboration : Collaboration with external partners, such as suppliers, can be a resource-saving strategy. Establishing relationships with partners who can provide support during disruptions is a valuable aspect.

3. Business Objectives

A business continuity plan should align with the broader business objectives to ensure that it doesn’t hinder growth or innovation. Consider the following aspects:

• Market Expansion:  If the organization’s objective is to expand into new markets, the business strategy plan should accommodate this goal. It should address the challenges and opportunities that come with market expansion, including regulatory compliance and logistical considerations.
• Relocation or Migration : If there are plans to relocate or migrate operations, the business continuity plan should include strategies for a seamless transition. This may involve considerations such as data migration, employee relocation and continuity of customer service.
• Competitive Landscape : Changes in the competitive landscape, such as the emergence of new competitors, can impact the organization’s continuity. The business strategy plan should be flexible enough to adapt to shifts in the competitive environment.
• The COVID-19 pandemic forced companies to adapt rapidly, with remote work becoming the norm for many, reshaping entire industries like healthcare and e-commerce.
• The global recession of 2008 had long-lasting effects on financial institutions and prompted regulatory changes that influenced business operations.
• The rise of the internet transformed countless businesses, from retail to media, and required adaptation to online platforms.
• Looking ahead, emerging technologies like artificial intelligence have the potential to disrupt industries in unprecedented ways, with automation and data-driven decision-making reshaping the future of work. These events emphasize the critical importance of adaptable and comprehensive business continuity planning to navigate the unpredictable landscape of our ever-evolving world.

Developing a Strategic Business Plan

A well structured business plan serves as a roadmap for your organization, guiding actions and decisions while enabling effective response to a dynamic business environment.

• Conduct a comprehensive assessment of the current state of the business.
• Review financial statements, market positioning and operational performance.
• Identify strengths, weaknesses, opportunities and threats.
• Evaluate the company’s internal resources and capabilities.
• Analyze micro-environment factors such as competitors, customers, suppliers and regulatory changes.
• Examine macro-environment factors like economic trends, technological advancements and political factors.
• Use tools like PESTEL analysis and Porter’s Five Forces to assess the external business environment.
• Clearly define short-term and long-term business objectives.
• Make objectives specific, measurable, achievable, relevant and time-bound (SMART).
• Align objectives with the company’s mission and vision.
• Identify key operational processes that drive business success.
• Evaluate the efficiency and effectiveness of these processes.
• Prioritize improvements in critical areas to align with strategic objectives.
• Plan for potential risks and uncertainties that could impact the business.
• Create contingency and crisis management strategies.
• Establish a risk management framework to mitigate and respond to unforeseen events.
• Implement key performance indicators (KPIs) to track progress.
• Regularly review and revise the business plan based on changing market conditions.
• Adapt to emerging opportunities and challenges.
• Ensure that the strategic plan is communicated effectively throughout the organization.
• Secure buy-in and commitment from employees at all levels.
• Ensure that all team members understand their roles in achieving the plan’s objectives.
• Allocate resources, including finances and manpower, in alignment with the strategic priorities.
• Develop a budget that reflects the financial requirements of the plan.
• Monitor spending and adjust budgets as needed.
• Develop a timeline and action plan for the execution of the strategic initiatives.
• Assign responsibilities to specific teams or individuals.
• Regularly review progress and make adjustments to stay on track.
• Periodically evaluate the effectiveness of the strategic plan.
• Solicit feedback from employees, customers and stakeholders.
• Use feedback to make continuous improvements and refine the plan.
• Establish a system for measuring and reporting progress.
• Create dashboards or reports to communicate key metrics to stakeholders.
• Ensure that performance data aligns with the defined objectives.
• Incorporate sustainability and responsible growth practices into the plan.
• Address social and environmental impacts as part of corporate responsibility.
• Seek opportunities for sustainable growth and innovation.
• Develop scenarios that explore alternative future situations.
• Consider various outcomes and their implications on the business.
• Prepare for different scenarios to enhance adaptability.
• Leverage technology for data analytics, automation, and efficiency.
• Stay updated on emerging technologies that can support the strategic plan.
• Integrate technology solutions to enhance business processes.

Implementing a Business Continuity Plan

 Importance of Training and Awareness:

• Awareness:  Create awareness about the business continuity plan across the organization to foster a culture of preparedness. This includes educating employees on the potential risks and the importance of the plan.

 Consistent Review of the Plan:

• Conduct post-incident reviews to assess the BCP’s performance after a real event and make necessary adjustments.

 Address Cultural and Technological Issues:

• Technological Challenges: Recognize and mitigate technological hurdles that can hinder the plan’s execution, such as infrastructure limitations or cybersecurity threats. Ensure that IT systems are resilient and can support the plan.

 Software Integration:

• Organizational design software like Orgvue can assist in visualizing and optimizing the organizational structure, enabling efficient allocation of resources and responsibilities during a disruption.

Business continuity planning is not merely a precaution but a strategic imperative for any organization. It provides a structured approach to safeguarding business operations in the face of unforeseen disruptions, thereby minimizing downtime and potential financial losses.

By fostering a culture of preparedness, training employees, regularly reviewing and adapting the plan, addressing cultural and technological issues, and leveraging software solutions like Orgvue for organizational design, businesses can ensure their resilience and adaptability in an ever-changing landscape.

For businesses with specific 1-5 year plans, the integration of business strategy planning is paramount. It aligns seamlessly with forward-looking strategies by fortifying the organization’s ability to execute those plans in the face of unexpected events.

By weaving business continuity considerations into your strategic framework, you not only protect your investments but also demonstrate your commitment to long-term success, customer trust and stakeholder confidence. The benefits of such foresight extend far beyond mitigating risk; they empower your business to thrive in an increasingly unpredictable world. Therefore, it is recommended that businesses of all sizes prioritize and integrate business continuity planning as an integral part of their strategic vision and ongoing operations.

Business Continuity Plan FAQs

● where does business continuity planning belong in an organization.

Depending on the organization’s culture, the department your business continuity plan falls under varies. IT is usually one of the most vital components of any business strategy plan, in which case it could belong under the IT department. Or, if financial impacts are your organization’s main concern, the finance department may need to run the plan.

● Who Is Responsible For the Business Continuity Plan?

The business continuity plan usually falls under the responsibility of a dedicated role or department, often led by a Business Continuity Manager, who reports to senior leadership. This individual or team is responsible for creating, implementing, and regularly updating the plan to ensure the organization’s resilience in the face of disruptions.

● Is Business Continuity Planning a Legal Requirement?

It is not always a legal requirement, but certain industries and jurisdictions may have regulations or standards that mandate organizations to have such plans in place to ensure operational resilience and preparedness for emergencies.

● What Role Can Business Continuity Planning Play In Recovering From an Incident?

It plays a crucial role in helping organizations recover from incidents by providing a structured framework to assess, respond to and mitigate the impact of disruptions, minimizing downtime and financial losses. It outlines clear procedures and responsibilities, ensuring that essential operations can resume swiftly and efficiently, thus safeguarding the organization’s reputation and maintaining stakeholder trust.

● When Should a Business Continuity Plan Be Activated?

A business continuity plan should be activated as a preventative measure in the event a disruptive incident occurs. Triggers may include natural disasters, cyberattacks, supply chain disruptions or any event that threatens the continuity of critical business functions.

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Business Continuity Planning

Organize a business continuity team and compile a  business continuity plan  to manage a business disruption. Learn more about how to put together and test a business continuity plan with the videos below.

Business Continuity Plan Supporting Resources

• Business Continuity Plan Situation Manual
• Business Continuity Plan Test Exercise Planner Instructions
• Business Continuity Plan Test Facilitator and Evaluator Handbook

Business Continuity Training Videos

The Business Continuity Planning Suite is no longer supported or available for download.

Business Continuity Training Introduction

An overview of the concepts detailed within this training. Also, included is a humorous, short video that introduces viewers to the concept of business continuity planning and highlights the benefits of having a plan. Two men in an elevator experience a spectrum of disasters from a loss of power, to rain, fire, and a human threat. One man is prepared for each disaster and the other is not.

View on YouTube

Business Continuity Training Part 1: What is Business Continuity Planning?

An explanation of what business continuity planning means and what it entails to create a business continuity plan. This segment also incorporates an interview with a company that has successfully implemented a business continuity plan and includes a discussion about what business continuity planning means to them.

Business Continuity Training Part 2: Why is Business Continuity Planning Important?

An examination of the value a business continuity plan can bring to an organization. This segment also incorporates an interview with a company that has successfully implemented a business continuity plan and includes a discussion about how business continuity planning has been valuable to them.

Business Continuity Training Part 3: What's the Business Continuity Planning Process?

An overview of the business continuity planning process. This segment also incorporates an interview with a company about its process of successfully implementing a business continuity plan.

Business Continuity Training Part 3: Planning Process Step 1

The first of six steps addressed in this Business Continuity Training, which detail the process of building a business continuity plan. This step addresses how organizations should “prepare” to create a business continuity plan.

Business Continuity Training Part 3: Planning Process Step 2

The second of six steps addressed in this Business Continuity Training, which detail the process of building a business continuity plan. This step addresses how organizations should “define” their business continuity plan objectives.

Business Continuity Training Part 3: Planning Process Step 3

The third of six steps addressed in this Business Continuity Training, which detail the process of building a business continuity plan. This step addresses how organizations should “identify” and prioritize potential risks and impacts.

Business Continuity Training Part 3: Planning Process Step 4

The fourth of six steps addressed in this Business Continuity Training, which detail the process of building a business continuity plan. This step addresses how organizations should “develop” business continuity strategies.

Business Continuity Training Part 3: Planning Process Step 5

The fifth of six steps addressed in this Business Continuity Training, which detail the process of building a business continuity plan. This step addresses how organizations should define their “teams” and tasks.

Business Continuity Training Part 3: Planning Process Step 6

The sixth of six steps addressed in this Business Continuity Training, which detail the process of building a business continuity plan. This step addresses how organizations should “test” their business continuity plans. View on YouTube

Last Updated: 12/21/2023

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Expert Tips for Crafting a Solid Business Continuity Plan

In the fast-paced world of business, having a solid business continuity plan is crucial for ensuring resilience and long-term viability. Business continuity planning involves preparing for potential disruptions to essential functions, allowing organizations to continue operating in the face of adversity. Key components of an effective business continuity plan include risk assessment, recovery strategies, and communication plans.

Understanding Business Continuity Planning

Business continuity planning involves identifying potential threats and developing strategies to ensure that critical functions can continue in the event of a disruption. This proactive approach helps businesses minimize downtime and maintain operations during unforeseen events such as natural disasters, cyber-attacks, or supply chain disruptions.

Importance of a Solid Business Continuity Plan

A solid business continuity plan is essential for protecting an organization's reputation and financial stability. By anticipating potential risks and establishing recovery strategies, businesses can minimize the impact of disruptions and maintain customer trust. Additionally, having a robust continuity plan in place can help organizations meet regulatory requirements and ensure compliance.

Key Components of an Effective Business Continuity Plan

An effective business continuity plan includes various components such as risk assessment, impact analysis, response procedures, recovery strategies, communication plans, and testing protocols. These key elements work together to ensure that businesses can respond swiftly and effectively to any disruption while minimizing operational impact.

What is Business Continuity Plan?

Business Continuity Plan is a proactive strategy that ensures an organization's critical operations can continue during and after a disaster. It outlines procedures to minimize disruptions, recover quickly, and safeguard employees, assets, and reputation. This plan serves as a roadmap for maintaining business functions under any circumstances, from natural disasters to cyber-attacks.

Definition and Purpose

A Business Continuity Plan defines how an organization will continue operating during an unplanned disruption. Its purpose is to minimize downtime, maintain customer service , and protect the brand's integrity. The plan aims to ensure business resilience in the face of adversity by identifying potential risks and establishing protocols for response and recovery.

Identifying Critical Functions and Risks

To create an effective Business Continuity Plan, it's crucial to identify critical business functions that must be maintained during a crisis. This involves assessing the impact of disruptions on operations, finances, and reputation. Additionally, recognizing potential risks such as natural disasters, supply chain interruptions, or cybersecurity threats is essential for developing comprehensive strategies.

Establishing Recovery Strategies

Once critical functions and risks are identified, organizations must establish recovery strategies to address potential disruptions effectively. This includes determining alternate work locations or remote work arrangements, securing backup systems for data protection , ensuring access to essential resources like power or communication tools, and outlining communication plans for internal stakeholders as well as customers.

Now that we've covered the definition and purpose of a Business Continuity Plan along with identifying critical functions and risks while establishing recovery strategies let's move on to the next section: Creating a Business Continuity Plan.

Create a Business Continuity Plan

When creating a business continuity plan, it's crucial to start by assessing potential risks and their impact on your operations. This involves identifying potential threats such as natural disasters, cyber-attacks, or supply chain disruptions, and understanding how they could affect your business. By conducting a thorough risk assessment, you can prioritize areas that require immediate attention and allocate resources effectively.

A business continuity plan (BCP) is a roadmap that helps your business prepare for, respond to, and recover from disruptions. Here's a breakdown of the steps involved in creating a BCP.

1. Assemble a Team and Set Goals

• Form a Business Continuity Team. This team will be responsible for creating, implementing, and testing the plan. Include representatives from various departments to ensure a well-rounded approach.
• Define Your Goals. What do you want to achieve with your BCP? Typical goals include minimizing downtime, protecting critical data, and ensuring business continuity during disruptions.

2. Risk Assessment and Business Impact Analysis (BIA)

• Identify Potential Threats. Consider natural disasters, power outages, cyberattacks, or supply chain disruptions that could impact your business.
• Business Impact Analysis (BIA). Evaluate the impact of these threats on your critical business functions. This helps prioritize threats and recovery efforts.

3. Develop Recovery Strategies

• Critical Functions and Systems. Identify the essential functions and systems that must be operational for your business to survive a disruption.
• Develop Recovery Strategies. Create plans for how to restore critical functions in the event of a disruption. This might involve data backups, alternate work locations, or contingency plans with suppliers.

4. Communication and Training

• Communication Plan. Establish a communication plan to keep employees, customers, and stakeholders informed during a disruption.
• Employee Training. Train employees on their roles and responsibilities during a crisis, including evacuation procedures and data recovery protocols.

5. Testing, Maintenance, and Improvement:

• Test Your Plan . Regularly test your BCP through simulations or drills to identify gaps and ensure its effectiveness.
• Maintain and Update. The BCP is a living document. Regularly review and update it to reflect changes in your business, technology, or the threat landscape.

Assessing Risks and Impact

Assessing risks and impact involves evaluating the likelihood of different scenarios occurring and the potential consequences for your business. This may include analyzing the vulnerability of critical infrastructure, key personnel, or essential resources. By understanding the potential impact of various risks, you can develop targeted strategies to mitigate their effects and ensure the continuity of your operations in challenging circumstances.

Developing Response and Recovery Procedures

Once you've identified potential risks and their impact, developing response and recovery procedures is essential to address these challenges effectively. This involves outlining clear protocols for responding to emergencies, activating contingency plans, and ensuring the safety of employees and stakeholders. Additionally, developing recovery procedures enables your business to bounce back quickly from disruptions by implementing predefined strategies tailored to specific scenarios.

Testing and Maintaining the Plan

Creating a robust business continuity plan isn't enough; it's equally important to regularly test and maintain the plan to ensure its effectiveness. This involves conducting drills, simulations, or tabletop exercises to assess how well your organization can respond to different crisis scenarios. By identifying gaps or weaknesses in your plan through testing, you can make necessary adjustments and updates to enhance its resilience over time.

Essential Guide to Business Continuity Plan

Quantum Template from Strikingly

In crafting a robust business continuity plan, engaging stakeholders from various departments within the organization is crucial. By involving key personnel in the planning process, you can gather valuable insights and ensure that all critical functions are identified and addressed in the plan.

Engaging Stakeholders

Engaging stakeholders such as department heads, IT personnel, and key decision-makers is essential for a comprehensive business continuity plan. Their input can provide a holistic view of potential risks and critical functions, enabling you to develop effective strategies for maintaining operations during disruptive events.

Communication Plan

A well-defined communication plan is vital for ensuring that all employees are informed and updated during times of crisis. This includes establishing clear lines of communication, defining roles and responsibilities for disseminating information, and utilizing various channels such as email, phone calls, and messaging platforms to reach employees in different locations.

Training and Awareness

Training employees on their roles and responsibilities within the business continuity plan is essential for its effectiveness. Conducting regular drills and simulations can help build awareness and preparedness among staff members, ensuring that they know how to respond in the event of a disruption.

By engaging stakeholders, developing a comprehensive communication plan , and providing training and awareness programs, businesses can create an effective business continuity plan that ensures resilience in the face of disruptions while empowering their workforce with the knowledge they need to navigate challenging situations.

Expert Tips for Crafting an Effective Business Continuity Plan

Minimal template from strikingly, involving leadership and cross-functional teams.

When creating a business continuity plan, it's crucial to involve not just the top leadership but also cross-functional teams from different departments. This ensures that diverse perspectives are taken into account, and everyone feels a sense of ownership in the plan's success. By involving various stakeholders, you can tap into a wide range of expertise and insights to create a more comprehensive and effective business continuity plan.

Utilizing Technology for Continuity

In today's digital age, technology plays a pivotal role in ensuring business continuity. Utilize cloud-based solutions for data storage and backup, as well as communication tools for remote work arrangements. Embracing technology not only enhances efficiency but also provides flexibility during disruptions. Leveraging technological advancements to streamline your business operations and maintain continuity in challenging circumstances is essential.

Adapting the Plan to Changing Threats

A static business continuity plan is ineffective in the face of ever-evolving threats. It's crucial to regularly review and update the plan to address new risks and challenges that may emerge over time. By staying proactive and adaptable, you can ensure that your business continuity plan remains relevant and robust, capable of addressing both existing and emerging threats effectively.

This illustration depicts a team of professionals gathered around a conference table, collaborating on the development of a business continuity plan. The image conveys the importance of teamwork and collaboration in crafting an effective strategy for maintaining business operations during disruptions.

By following these expert tips for crafting an effective business continuity plan – involving leadership and cross-functional teams, utilizing technology for continuity, and adapting the plan to changing threats – you can ensure that your organization is well-prepared to navigate through any unexpected challenges with resilience and agility.

Leveraging Strikingly for Seamless Business Continuity Planning

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In today's fast-paced business environment, having a secure data storage and backup system is crucial for any effective business continuity plan. With Strikingly , you can ensure that all your critical data is safely stored and easily accessible, providing peace of mind in the event of an unexpected disruption.

Secure Data Storage and Backup

Strikingly offers robust data storage and backup solutions, allowing you to store important documents, customer information, and essential files securely in the cloud. This ensures that your business can quickly recover from any unforeseen events without compromising on critical data.

Customizable Templates for Emergency Communications

When it comes to crafting an effective communication plan as part of your business continuity planning, Strikingly provides customizable templates for emergency communications. These templates are designed to help you quickly reach out to employees, stakeholders, and customers during a crisis, ensuring clear and consistent messaging.

Mobile Accessibility for Remote Work

In today's increasingly mobile workforce, having mobile accessibility is essential for remote work scenarios as part of your business continuity plan. With Strikingly's mobile-friendly platform, you can ensure that your team members can access important information and collaborate effectively from anywhere at any time.

Ensuring Business Resilience with a Robust Continuity Plan

Zine Template from Strikingly

A robust business continuity plan is essential for ensuring business resilience in the face of unexpected disruptions. By carefully crafting and implementing an effective business continuity plan, businesses can confidently ensure long-term viability and empower themselves to navigate through unforeseen challenges.

An effective business continuity plan ensures that a company can continue its critical operations during and after a disaster or other disruptive event. Businesses can effectively mitigate the impact of unexpected disruptions by identifying potential risks, establishing recovery strategies, and regularly testing the plan.

Long-term Viability through Effective Continuity Planning

Effective continuity planning helps businesses survive in the short term and ensures their long-term viability. Businesses can build resilience that extends beyond immediate crises by engaging stakeholders, developing a communication plan, and providing training and awareness programs.

Empowering Your Business with a Solid Business Continuity Plan

A solid business continuity plan empowers businesses to proactively prepare for potential disruptions rather than simply reacting to them when they occur. Businesses can stay ahead of unexpected challenges by involving leadership and cross-functional teams, utilizing technology for continuity, and adapting the plan to changing threats.

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My Organization’s Business Continuity Program is Built… Now What?

Written by: Aidan Hallerman & Daniel J. Poucher

Key Takeaways:

• Building out your BCP is not the end of the line – but it is a great first step.
• A crisis management structure is key to a successful BCP.
• Establish roles, responsibilities, and communication channels with an Incident Management structure.
• Continue to adjust based on results and risk assessments.
• Continued training and awareness are key to success.

Ensuring your organization possesses a proper, well-rounded Business Continuity Plan (BCP) is a great first step to ensuring structural and operational resilience in the face of varied threats – but what happens after the program is built? Establishing and maintaining a BCP is not enough to ensure stability during unforeseen disruptions; the real test lies in the continuous improvement of the plan and its subcomponents. Once a program is assembled, there are multiple channels of internal quarterly and role-based training, testing, as well as annual maintenance that can strengthen the contents of an organization’s BCP. These additional processes assist in increasing the efficacy of the plan overall, year over year.

Crisis Management Structure & Internal Plan Communication

A core tenet within a BCP should be response information to individual events or information that will collaborate to cover the full severity of a multi-stage incident. The development of Individualized Response Plans (IRPs) and Emergency Operation Plans (EOPs) are two such examples; separate documents that have their separate merits but can be combined to combat complex threats.

Organizations should create a formalized crisis management structure between multiple plans as a means of content communication. A separate plan or policy is not required, but it is important that different plans speak to one another at appropriate times of response, recovery, and restoration. Areas in need of enhancement can be found in examining not only the quality of a given plan – whether it is thorough enough to cover the topic it has been created for – but also whether it corresponds well with the other components of the overall BCP.

Develop an Incident Management Structure

Defining a structured Incident Management (IM) process should ensure what has been documented by the BCP for recovery pathways is implemented when facing true incidents. IM ensures that current documentation remains reflective and actionable for how and when a response will occur, as well as ensuring there is proper tracking of items, personnel responsibilities, communications, impacts, and executive level decisions.

Organizations should focus not only the content of a given BCP, but the chain of command that is listed within the plan’s established team’s responsibilities and roles. Designating clear and appropriate roles for organization’s employees will only assist in the effectiveness and speed of a plan’s recovery efforts. Even with the best on-paper response in place, a BCP is only as efficient as those in charge of following its contents.

Establishing set communication channels, creating collaboration opportunities by means of cross-training, and ensuring individuals are conscious of their responsibilities each assist in the formation of a more agile and responsible incident management team.

The total body of a given organization will benefit from exercising the formal IM process, via tabletop and disaster recovery testing, to be best equipped for fast paced decision-making during periods of crisis.

Incident Management

When an incident implicates the possible activation of the BCP and its teams, referencing defined escalation thresholds will be key. Escalation thresholds to any disaster will determine and ensure proper resources are deployed during a disaster; they should be based on objective criteria, such as the scope of impact, resource availability, and overall situational context.

A trigger point could be a sustained disruption that exceeds a predetermined duration, or a sudden increase in the number of stakeholders as an event moves forward in length of duration. Conversely, this ongoing adjustment process can be applied to the end of an incident; trigger points for de-escalation might include successful containment of an incident, or a significant reduction of its impact on the organization.

Overall, organizations would be most prudent in making sure any BCP escalation chain takes a tiered approach. A layered structure that takes personnel in a measured manner from routine operations to crisis management enables the organization to respond in a fashion that matches the information at the time of the incident, and provides an available set of ‘next steps’ with parameters and quantifiable means of alarm.

Regularly adjusting escalation thresholds based on lessons learned from previous incidents is also a crucial indicator of where edits can be made to the BCP. Incorporating feedback from post-incident evaluations and documentation will enhance the organization’s recovery timeline. Questions during an incident of when to report and when to incorporate outside assistance are eased by set demarcations of procedural, streamlined processes. A dynamic approach to escalation thresholds – one that accounts for the need to continuously tinker for proper calibration – ensures the organization remains agile and prepared.

Adjustments Based on Risk Assessment Results

As part of ongoing resilience efforts, organizations must conduct regular risk assessments to identify potential threats and vulnerabilities. These assessments provide valuable insights into emerging risks and help prioritize mitigation efforts. Upon analyzing risk assessment results, organizations should adjust their BCP to reflect changes. This may involve reallocating resources to address high-risk areas, updating response procedures to mitigate specific threats, or enhancing control environments to reduce the likelihood of disruptions. By strengthening control environments and implementing proactive measures, organizations can effectively move high or moderate-risk threats to lower levels, thereby minimizing their impact on business operations. Adjustments based on results ensure that the BCP remains aligned with current risk profiles and enables the organization to adapt to evolving threats with the most advantageous form of resilience.

Continued Training & Awareness

Continued training and awareness initiatives, such as role-based tabletop exercises, are essential for fostering employee preparedness and understanding within the Business Continuity Plan (BCP). Through these exercises, employees gain practical experience and insight into their specific roles and responsibilities during disruptions, allowing them to grasp their “individual piece of the puzzle” within the broader organizational response. This targeted training approach not only enhances individual readiness, but also promotes a cohesive and coordinated response across all levels of the organization.

By refining individualized plans, streamlining incident management structures, establishing clear escalation thresholds, documenting information comprehensively, adjusting content based on risk assessment results, and fostering continued training, organizations can make themselves as ready as possible for a business disruption. Through these combined, continually maintained efforts, organizations can empower their teams to understand their roles, adapt to threats, and contribute to a multi-layered response.

If your organization needs assistance with plan creation, testing, tabletop exercises, or any other part of the BCP process, reach out to our experts at Wolf today.

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