Managing a business can be stressful simply because there is so much to consider. Regardless of size, sector or stature, every business which doesn’t adopt firm continuity plans could face the same eventuality should an incident occur.
You cannot predict everything that will happen to your business but you can consider everything that could happen to it. That’s why adopting a detailed business continuity plan which takes into account an array of perceivable risks stands you in good stead to recover after an incident.
Ground to a halt
If an important contract is terminated, a fire, flood or explosion occurs on your premises or your supplier fails to deliver, would your operation be ground to a halt?
Having a trusted business continuity plan is a good start in such a scenario, but if it is not tested, it doesn’t serve its key benefits. Here’s an example.
Your business suffers an environmental disaster which halts your operation to a standstill. What happens next?
With untested continuity plans, your business may have some chance of recovery. But the plans don’t support the shape of your business properly and the recovery options you have don’t align with what is realistically needed to get you back on your feet, giving you a slim chance of recovery and leaving you open to a similar incident in the immediate future.
Alternatively, if your plans are stress tested, your business can adopt the plans closely and your management team can use their experience gained from simulations, real-life scenario planning, table-top exercises and in-depth analysis to ensure operations are back to normal as soon as possible, reducing loss, downtime and damage to your clients.
Stress testing isn’t just crucial in your recovery, though. It also enables you to physically check the insurance cover you have against the risks you face. If you find your policy doesn’t adequately protect you, you can amend it before a loss occurs, essentially covering you exactly where and when you need it.
Since many industries are service-led and customers rely on reviews and reputation to make decisions in saturated markets, moments of downtime, cyber-attacks leading to losses of sensitive data and similar issues must be stringently controlled if you are to succeed as a business. That’s why stress testing your business continuity plans is so useful.
Performing appropriate stress testing is a simple and easy step to fortify your business, so it’s best to keep on top it by testing your plans several times per year.
For more information on how Weir can help with testing your business continuity plans or plugging the gaps you may have spotted in your insurance, contact our team now.