What Is Business Continuity Planning (BCP)?

Business continuity planning (BCP) is the process involved in creating 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. The BCP is generally conceived in advance
and involves input from key stakeholders and personnel.

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 cyberattacks. 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.

Understanding Business Continuity Planning (BCP)

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 IT 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.

Developing a Business Continuity Plan

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

 The 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
is 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 identified and corrected.

The Four Phases of a Business Continuity

Plan
Posted on Tue, Dec 21, 2010

Business Continuity is a complex arrangement of the critical processes that allow for
continuation of business activities after an emergency. Companies that
establish Business Continuity Plans (BCP) have a greater chance that their business
could withstand an unprecedented operational disruption.

Business Continuity planning can be divided into four stages. Each phase should be
reflected in a site-specific BCP.

 Initial Response
 Relocation
 Recovery
 Restoration

Business Continuity Initial Response

This phase covers the organization’s initial response to a business interruption. The
processes and procedures that incorporate the Initial Response Phase includes, but
is not limited to, the following:
 Initial Notifications
 Business Continuity Team (BCT) activation
 Business Unit personnel activation
 Initial BCT briefing
 Review of recovery strategies for implementation
 Implementation of Business Continuity Action Plan

Business Continuity Relocation Phase

The relocation phase involves mobilization of resources and relocation of equipment
and personnel to Alternate Facilities or Redundant Sites. This is where the recovery
phase can be fully implemented to sustain minimum service levels defined for each
critical process. This stage includes “Work from Home”, as well as, “Alternate
Facility” relocation strategies. The Relocation Phase includes, but is not limited to:

 Confirmation of Department staff relocation schedules and assignments

 Mobilization and Scheduling of transportation resources
 Activation of alternate facility equipment and infrastructure resources
 Occupation of alternate facilities by necessary department members