Haefele Flanagan

 

 The Haefele Flanagan Newsletter

May 2011

  

Business Continuity and Disaster Recovery:

Not Just a Technology Issue

 

 

During the past few years we have seen numerous natural disasters throughout the world. Earthquakes in Japan, Haiti and Chile. Tsunami's in the Pacific islands. Hurricanes, floods, tornadoes and wildfires throughout the United States. These events have created immeasurable damages to the global economy and can affect your small business directly or  indirectly. Disasters, unpredictable by nature, can strike anywhere at anytime with little or no warning. Recovering from one can be stressful, expensive and time consuming, particularly for those who have not taken the time to think ahead and prepare for such possibilities. However, when disaster strikes, those who have prepared and made recovery plans, survive with comparatively minimal loss and/or disruption of productivity.

 

Disasters can take several different forms. Some primarily impact individuals -- e.g., hard drive meltdowns -- while others have a larger, collective impact. Disasters can occur such as power outages, floods, fires, storms, equipment failure, sabotage, terrorism, or even pandemic illness. Each of these can at the very least cause short-term disruptions in normal business operation. But recovering from the impact of many of the aforementioned disasters can take much longer, especially if organizations have not made preparations in advance.

 

Most of us recognize that these potential problems as possibilities. Unfortunately the randomness of some of these disasters lulls some organizations into a sense of false security-"that's not likely to happen here." However, if proper preparations have been made, the disaster recovery process does not have to be exceedingly stressful. Instead the process can be streamlined, but this facilitation of recovery will only happen where preparations have been made. Organizations that take the time to implement disaster recovery plans ahead of time often ride out catastrophes with minimal or no loss of data, hardware, or business revenue. This in turn allows them to maintain the faith and confidence of their customers and investors.

 

There are two distinct factors in preparing your organization, Business Continuity (BCP) and Disaster Recovery Planning (DR).

 

Business Continuity Planning is the way an organization can prepare for and aid in disaster recovery. It is an arrangement agreed upon in advance by management and key personnel of the steps that will be taken to help the organization recover should any type of disaster occur. These programs prepare for multiple problems. Detailed plans are created that clearly outline the actions that an organization or particular members of an organization will take to help recover/restore any of its critical operations that may have been either completely or partially interrupted during or after a disaster or other extended disruption in accessibility to operational functions. In order to be fully effective at disaster recovery, these plans are recommended to be regularly practiced as well as outlined.

 

In simple terms, a Business Continuity Plan or BCP is how an organization guards against future disasters that could endanger its long-term health or the accomplishment of its primary mission. BCPs take into account disasters that can occur on multiple geographic levels-local, regional, and national-disasters like fires, earthquakes, or pandemic illness. BCPs should be live and evolving strategies that are adjusted for any potential disasters that would require recovery; it should include everything from technological viruses to terrorist attacks. The ultimate goal is to help expedite the recovery of an organization's critical functions and manpower following these types of disasters. This sort of advanced planning can help an organization minimize the amount of loss and downtime it will sustain while simultaneously creating its best and fastest chance to recover after a disaster.

 

Disaster Recovery (DR) is the process an organization uses to recover access to their software, data, and/or hardware that are needed to resume the performance of normal, critical business functions after the event of either a natural disaster or a disaster caused by humans. While Disaster Recovery plans, or DRPs, often focus on bridging the gap where data, software, or hardware have been damaged or lost, one cannot forget the vital element of manpower that composes much of any organization. A building fire might predominantly affect vital data storage; whereas a pandemic illness is more likely to have an effect on staffing. Both types of disasters need to be considered when creating a DR Plan. Thus, organizations should include in their DR plans contingencies for how they will cope with the sudden and/or unexpected loss of key personnel as well as how to recover their data. DR plans should be well practiced so that the key players are familiar with the specific actions they will need to take should a disaster occur. DR plans must also be adaptable and routinely updated, e.g. if new people, a new branch office, or new hardware or software are added to an organization they should promptly be incorporated into the organization's disaster recovery plan. Companies must consider all these facets of their organization as well as update and practice their plan if they want to maximize their recovery after a disaster.

 

Here are some basic steps you can follow to create a plan that's right for you:

    • Review your insurance coverage. Be sure that you have adequate insurance coverage in the event your physical facilities are damaged or destroyed or your business is interrupted for a significant period of time. Ask your insurance provider what documents and records he/she will need in the event of an emergency and keep those documents in a safe place

 

    •  Prepare your buildings and other facilities. Make sure your building and any buildings you own or manage have adequate safety precautions in place--such as fire extinguishers, smoke detectors, sprinkler systems, and first-aid kits--and an appropriate evacuation plan. Be prepared for disruptions in electricity, gas, telecommunications, and other utilities. Talk to your providers about alternatives in the event of an emergency and consider the use of back-up measures such as generators 

 

    • Document your needs. Your disaster recovery plan should document and prioritize all mission-critical business functions and personnel and outline the immediate steps you'll need to take to reestablish critical operations.

 

    •  Prepare an inventory of the facilities, equipment, furniture, and other physical requirements for maintaining essential business functions. Identify vendors that can fulfill these needs on an emergency basis. Remember, though, that in the event of a disaster that causes widespread damage, space and equipment may be in short supply, so have a contingency plan.

 

    •  Protect your data. Your computer network, systems, and data are critical to the survival of your business. Evaluate your data backup and storage procedures and be sure that they are being followed diligently and that backup media are stored offsite. Test your backup systems regularly. The time to discover that your backup hardware or software isn't working properly is before you need it. If possible, train someone other than your IT director to restore your data in the event the IT director isn't available in an emergency.

 

    • Don't neglect hard copies. Restoring computer data may be the most important element of your disaster recovery plan, but don't neglect legal files, blueprints, leases and other critical documents that can't be recreated electronically. To preserve these documents, keep photocopies in a safe place or use document imaging systems to transfer them onto microfiche, CD-ROMs or optical disks stored offsite. It's also a good idea to keep hard copies of important documents you may need before your computer systems are up and running again, such as emergency contact lists, client and vendor lists, blank checks, contracts, and insurance policies.

 

    • Have a communications plan. Your plan is of little value if key personnel can't find each other after disaster strikes. Be sure that they have access to cell phone numbers and other emergency contact information. As a backup, consider setting up a remote voice-mail box or Web site where employees can let you know that they're OK and how to reach them.

 

    • Have a PR plan and media kit. Don't overlook the importance of public relations and communications immediately after a disaster. Even the most effective disaster recovery plan is worthless if your employees and clients don't know that your business is up and running.

 

If you have any questions or would like more information, please contact Bill Stackhouse at 856-722-5300 ext. 211.

 

 

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