Business Continuity Plan
Is your business prepared to handle an emergency? More importantly if your business experiences an emergency, are you prepared to continue operating? Without a business continuity plan, a natural disaster or other catastrophic event could not only impact your business when it happens, but could continue to impact your business as you scramble to get back up and running.
Don’t lose your business simply because you failed to plan, instead have a plan, and hope you never need it.
Here are 4 Misconceptions about a business continuity plan from Traveler’s Insurance
Misconception #1: “Our people will know what to do in an emergency.”
Even the best employees cannot be expected to know what to do when disaster strikes. Leaving each to respond in his or her own way only adds to the confusion of an event. Having a well-documented business continuity plan in advance, and training your employees to follow it, gets everyone on the same page — helping to ensure an organized, safe and timely recovery.
Misconception #2: “We have insurance to cover our losses.”
Insurance alone is NOT a business continuity strategy. Proper coverage is a significant and important part of the plan. But it may not fully cover some of the peripheral damages from an event, like loss of customers, loss of market share, or setbacks in development or release of a new product. Consult with your insurance agent to understand what is and is not covered under your policy.
Misconception #3: “We do not have the time to develop a business continuity plan.”
Time spent developing and maintaining a business continuity plan is an investment in your company. Your fixed costs will continue after an event, whether or not you are open for business. The faster you can return your operations to normal, the more likely you will recover from the event successfully. With so much at stake, your company cannot afford to NOT have a plan.
Misconception #4: “Business continuity and disaster recovery planning are the same.”
Business continuity is a proactive plan to avoid and mitigate risks associated with a disruption of operations. It details steps to be taken before, during and after an event to maintain the financial viability of an organization.
Disaster recovery is a reactive plan for responding after an event. It deals with the safety and restoration of critical personnel, locations, and operational procedures after a disaster, and is a part of business continuity planning.
Still unsure if your business needs a business continuity plan? Check out this white paper from The Insurance Institute of Business and Home Safety.
Check Out: Emergency Action Plans
Download and view the Business Continuity Plan
