Question

All business need to be prepared to face any possible events that could disrupt their business and need to have plans to make sure the business can continue to provide service to its customers. For example, if a bank is affected by flood, customers would still need to have access to online banking facilities etc.. The bank cannot say 'Sorry, due to flood we have no online access.'

So, for part (b) you need write about the steps an organisation needs to take to make sure it can handle such contingencies

What are the measures that can be taken by an organisation to manage such contingencies?

Answer 1

Answer:-

Contingency planning is not just about planning or preparing for major disasters. It's about preparing for every uncertain event it's important to make contingency planning a normal part of the way your business works.

Step for Contingency planning

1) Risk Assessment -

To draw up contingency plan we need to analysis risks that is faced by organisation.

To identify risk of business

a) Adress all business critical operation

b) Identify risk - For each function conduct a risk analysis

c) Prioritizing risks - We need priortize on major risk from risk identified

d) Risk Impact and Proability of risk - We need to understand the impact and risk and proability of each risk

Developing Plan

Guidelines to prepare contigency plan

1) Look closely at what you need to do to deliver a minimum level of service and functionality.

2) Define time period

3) Decide which actions you'll take, and when. Determine who is in charge at each stage and what type of reporting process they must follow.

4) Keep the plan simple

5) Have people throughout the company identify what they must have, at a minimum, to continue operations.

6)Make sure you provide initial training on the plan, and keep everyone up-to-date on changes.

7) Look for opportunities to reduce risk, wherever possible

8) Identify operational inefficiencies

Maintainin the plan

1) Inform people of their roles and responsibilities related to the plan.

2) Conduct disaster drills where practical

3) Assess the results of training and drills, and make any necessary changes.

4) Review plan on regular basis

5) Keep plan copy at place from where it can be assessed easily

6) Audit the plan periodically