Need For Business Continuity Management

Companies should have good business continuity management techniques in place. These would help companies to identify, assess and manage both external as well as internal risk factors that may hinder business continuity. Business continuity management strategies will help keep the company working no matter what kind of risk threatens its operations. This will be helped greatly if they have implemented well-developed and customized enterprise risk management strategies. The 9/11 attacks on the twin towers reinstated the need for business continuity management plans. It helped create awareness at how unpredictable risks can be and how nothing can prepare us to deal with risks such as the attack but an effort has to be made, to ensure that a business can continue even after such disasters strike.

If companies have good business continuity management plans, they may reduce potential damages by as much as 90%. Due to poor business continuity, management plans. About 150 companies went out of business during the World Trade Center bomb attack. Bad insurance coverage selection, inadequate risk management guidelines and its implementation have resulted in the closure of several businesses due to fire attacks.

Business Continuity Management Strategies:

Companies can set up committees to structure business continuity management strategies that are customized to suit the needs of the business. The committee should be given a budget and a timeframe to develop the core plan, which will then be implemented. They have to identify, classify, assess and device strategies to deal with the risks. They have to analyze the impact the risks will have on the business and take necessary action to minimize technical, internal, external, economic, human, natural, credit, market and operational risks etc. Taking preventive measures such as getting the right insurance coverage, implementing safeguards and constant monitoring will help companies become aware of risk indicators and how to manage the risks to ensure business continuity.

They should make business continuity management plans, which are logical, easy to implement when the company has a need to implement them and be written in a systematic fashion so that it is execution and who needs to do what is easily comprehended. These plans have to be tested under realistic conditions and assessed. The success of any business continuity management plans is in its careful execution and implementation. The employees have to be informed and made to implement these plans by introducing procedures and policies to ensure they take preventive measures against risks and deal in the prescribed way if there be a need for it. They have to plan how to deal with the media too if need be.

Business continuity management plans are necessary to ensure the business suffers minimal losses in case disaster strikes to ensure they begin operating as soon as possible. There are firms that offer their help and services to help run a business smoothly.

Alexander Gordon is a writer for - The Small Business Consulting Community. Sign-up for the free success steps newsletter and get our booklet valued at $24.95 for free as a special bonus. The newsletter provides daily strategies on starting and significantly growing a business.

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