Strategic Business Management
1. Assume that you are running your own business. After your MBA class you realized that you do not have a business continuity plan. Explain as to how you are going to delegate the work of preparation of business continuity plan for your business to your subordinate. Explain the main area you ask him to consider.
We need a business continuity plan to keep the company up and running through interruptions of any kind; it may be power failures, IT system crashes, natural disasters, supply chain problems and more.
The business continuity plan should be developed to prioritize key business processes, identify significant threats to normal operation and plan mitigation strategies to ensure effective and efficient organizational response to the challenges that surface during and after a crisis.
So, when developing the business continuity plan there are some main areas to consider and first of all you should understand the major disasters, threats that the organization has faced so far and possible threats in future. To identify that, you may have to consider the location, type, size of the business etc. In addition to that, total budget that the company has to allocate and it should be approved by the top management and supported by the top management. Finally, the developed plan should be reviewed by the auditors, security and insurance departments and it should be tested including a surprise testing.
For example, if you take a hospital the server should be up and running 24 hours a day and 365 days a year to enable them to carry out the functions such as billing and generating reports. So, there should be a mirror server too which will switch as the main server when the main server is not functioning. So, it has to be tested periodically and update the plan according to the results.
Main areas that should include in the business continuity plan as follows;
Accountability –BCP team has to be appointed, BCP has to be communicated through out the
We need a business continuity plan to keep the company up and running through interruptions of any kind; it may be power failures, IT system crashes, natural disasters, supply chain problems and more.
The business continuity plan should be developed to prioritize key business processes, identify significant threats to normal operation and plan mitigation strategies to ensure effective and efficient organizational response to the challenges that surface during and after a crisis.
So, when developing the business continuity plan there are some main areas to consider and first of all you should understand the major disasters, threats that the organization has faced so far and possible threats in future. To identify that, you may have to consider the location, type, size of the business etc. In addition to that, total budget that the company has to allocate and it should be approved by the top management and supported by the top management. Finally, the developed plan should be reviewed by the auditors, security and insurance departments and it should be tested including a surprise testing.
For example, if you take a hospital the server should be up and running 24 hours a day and 365 days a year to enable them to carry out the functions such as billing and generating reports. So, there should be a mirror server too which will switch as the main server when the main server is not functioning. So, it has to be tested periodically and update the plan according to the results.
Main areas that should include in the business continuity plan as follows;
Accountability –BCP team has to be appointed, BCP has to be communicated through out the
References: http://www.tecnon.co.uk/gen/Project_Finance_Examples.aspx