Business Continuity and the Economy

The current economy has resulted in many companies cutting back or eliminating their business continuity activities or even, in some cases, postponing developing plans. This thinking, although it may seem to immediately benefit the bottom line, may be shortsighted. After all, storms, power outages, and other disruptions will still happen despite the poor economy - and may have an even greater impact on an organization with a weakened financial situation. Read this week's articles to discover some varying opinions on this topic.

In these challenging economic times, some companies are postponing - or even eliminating - business continuity planning. (Item #1)   Although funding may be scarce, you are no less likely to suffer a disruption now than in a good economy. (Item #2)   The recession has major implications for BCM, and we need to become better informed, more agile, and more persuasive, delivering value through tough times. (Item #3)  

Business continuity in a recession is not a luxury. (Item #4)   When BCM and DR programs haven't been shown to add to the bottom line, reduce costs, or affect customer satisfaction, many organizations have willingly sacrificed BCM to save programs that do. (Item #5)   Even if the chances of the plan being used are less, the value of the plan is probably more than most people think. (Item #6)  

As always, we look forward to hearing your comments & insights regarding business continuity. If you have a topic you'd like us to cover, email me at bmellinger@attainium.net.

Bob Mellinger, President
Attainium Corp

1. Business Continuity Planning In Difficult Economic Times

Business continuity planning on an enterprise-wide level is an involved and costly process. Certainly, each company would do well to have some kind of comprehensive plan to handle crises. However, in these challenging economic times, many companies are choosing to postpone or eliminate business continuity planning from their budgets, even though they may have no plan at all in place.
http://www.sans.org/reading_room/whitepapers/recovery/business_continuity _planning_in_difficult_economic_times_1114

2. Continuity Doesn't Change

Businesses everywhere are being battered in the recessionary storm and their resilience to unexpected interruptions may be faltering as a result. Every day, headlines bring more news of redundancies and closures, layoffs, evaporating credit, less than full order books and increased uncertainty. Imagine what it would be like if those same businesses have a large fire this week, or a flood, or a cable is cut somewhere and there's no electricity for the next three days? Events that can and do happen in any economic climate are no less likely in a recession - the difference is the capacity to cope.
http://www.talkingbusinesscontinuity.com/bcm-news-and-events/news/benefits-of-bcms-in-a-recession-.aspx

3. Continuity in Recession

These are turbulent times for businesses, tumbling from the realization of sub-prime into the credit crunch and now a sustained period of global recession. But what does it mean for business continuity? Is it now a dispensable overhead - a hygiene factor, a luxury that organizations can afford to forego, or are we missing something?
http://www.continuitycentral.com/feature0633.html

4. Business continuity management in a recession: luxury or necessity?

Is BCM a luxury or a necessity in the present recession? The real issues probably have not changed because of the recession: they have just been brought into greater focus under the new financial microscope.
http://www.continuitycentral.com/feature0666.html

5. Special Report: Surviving the Recession

Companies are thinking more creatively about ways to do more with less, both in dollars and headcount, and they are seeking to improve efficiency on every level. The "business" of business continuity is no exception. Planners are using this time to reassess their organizations' strategies, and they are addressing any and all vulnerabilities, particularly in the area of communication.
http://www.continuityinsights.com/Magazine/Issue_Archives/2009/11-12/special_report.html

6. Business Continuity during a Recession

The value of a business continuity program depends upon the probability of it being used, and if a company is less likely to be here tomorrow for market or economic reasons, then it is less likely that there will ever be the opportunity for a disaster recovery plan to be put into effect. But companies generally seriously under-estimate the value of their business continuity plans even in good times.
http://www.riskythinking.com/articles/article38.php