At Clear BCP we believe your first port of call as a business is to have a Business continuity plan. Frightening statistics from AXA claim:
“80% of businesses that had been involved in a major disaster without a plan in place, eventually failed within18 months”.
To give you some clarification of what a BCP can cover we have given you three examples of where a disaster has occurred leaving businesses with issues that they would face in the fallout.
Icelandic Volcano Ash Cloud
In April 2010 the Eyjafjallajökull volcano erupted in Iceland causing a huge ash cloud to hover over Europe forcing the continent into a no fly zone, this disrupted businesses causing a dent on the economy.
This had a major effect on the airline industry with reported losses collectively of £130m Per day.
It also created a knock-on effect with businesses both large and small as companies lost money through cancelled meetings, staff stranded at destinations, delays to any import and exports via airlines, perishable stock had to be thrown away and supply chains were halted.
What was unique about this case was that no one knew when normal services would resume, some predicted weeks and potentially even months, but thankfully it was only a case of days, however if it had gone one for months the economy would have faced a bill for billions.
This could have affected your business and halted your operations. Do you have a plan in place should something like this recur?
A natural incident like this will more than likely re-appear again, so if you plan to make a BCP always prepare for a major scenario similar to this.
The UK has always been known for its unpredictable weather, but often we see in the news that areas of the Uk fall victims to flooding.
The floods will affect everyone from residents to businesses, and many businesses will halt operations as their premises become be a health and safety hazard, with staff unable to access the work place and with damage of equipment/machinery. Many people and business owners fall into the trap of thinking – wrongly – that their area is not prone to flooding and have to foot the bill for thousands of pounds worth of damage.
Is your business located in a flood prone area? Can you recover should flooding affect your business or supply chain?
Clear BCP will always scope out your location to see if there are potential threats to your business and ensure your BCP is tailored to your specific business needs.
HBOS Power failure
It is also important to ensure that if you have a BCP in place that it is regularly tested and updated.
In 2009 HBOS suffered a datacentre power failure which shutdown down services for Halifax and Bank of Scotland which included cash machines, in branch help and online banking for a full working day.
The disaster was caused by stormy weather, and afterwards, a lot of customers questioned
(a) the banks reliability,
(b) its confidence in storing confidential data,
(c) exactly where a datacentre should be located and
(d) the quality of its facilities.
Data centres must have back up power supply and back up data facilities should events like this occur. The HBOS failure could have easily been avoided if they had tested their BCP regularly to check its workability – it is not enough to simply have a BCP in place, it needs to be tried and tested to ensure coverage of every eventuality so that when a crisis does emerge, the business is ready to deal with it.
The HBOS power failure could have been dealt with within a couple of hour’s maximum, rather than a whole day disrupting businesses, customers and operations.
Does your business have a BCP? Are you testing it regularly?
At clear BCP we will ensure that your BCP can minimise your business downtime should a disaster appear and will support you with any problems should the worst happen?