Many businesses have been forced to close shop due to crisis situations such as floods, fires or even earthquakes. One thing about disasters is that you never know when they’ll happen. However, you have control over what you can do to ensure your business bounces back as fast as possible following such a situation.
As these existing threats continue to persist and new, technology-driven threats like cyber attacks emerge, the scope of risks to which businesses are now exposed is vast. This is why as a business owner or manager, business continuity planning is something that you can’t afford to overlook.
In the section below, we go over five reasons why you should consider establishing a Business Continuity Plan (BCP) for your business.
- Accords Employees a Clear Post-Disaster Recovery Plan
A comprehensive BCP, which details the recommended plan of action to ensure your business resumes normal operations after a disaster occurs, is crucial as it ensures safe and quick recovery. As such, severe loss of market share is also avoided; because if the post-crisis downtime were to be longer, most of your existing customers would move on to competitor brands.
- Supplements Your Disaster Insurance Cover
While an insurance cover is a good way to cushion your business against the financial impacts of a disaster, it is usually not enough as it doesn’t take into account peripheral damages like delays in new product releases or market share setbacks. A good BCP incorporates mitigation measures to safeguard your business/organization against the aforementioned risks.
- Enhances your Brand’s Reputation in Terms of Crisis Management/Disaster Recovery
Imagine a situation where a malicious hacker wipes out all of your organization’s data, including useful customer information. Luckily for you and your staff, you had previously drawn out a BCP which included a data recovery plan with information on data backups. Having a BCP and clearly communicating the contents of the same to your staff ensures they react accordingly during crises, leading to faster resumption of normal operations. As a result, your staff and clients’ faith in your business’ ability to recover in post-disaster situation is enhanced, leading to increased trust and commitment.
- Supplements Your Workplace Health and Safety Policy
Typically, a BCP includes safety instructions such as where employees should take cover in case of a disaster, so that they minimize the threat to their own safety. A good continuity plan also features contact details of management personnel who should be reached out to in case a disaster occurs, including Workplace Health and Safety (WHS) personnel.
- Saves You and Your Organization Crucial Time
Without a BCP for your business, you will be forced to undertake lengthy disaster recovery measures. In addition, these measures tend not to be what’s best for the business; as they are usually decided upon in haste due to the randomness of the whole situation. A good BCP ensures you spend the least possible amount of time in post-disaster recovery, as it is drawn-out in advance.
It is important to note that threats to a business’ continuity are not restricted to natural disasters and cyber-attacks. Crises come in many shapes and forms, including server downtime, or even short-notice evacuations. Whatever the disaster situation may be, a well-documented business continuity plan will ensure you get you back to business in good time.