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Business Continuity
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EXECUTIVE
SUPPORT
Apologetic
Anemia in the Business Continuity Industry
By DAMIAN WALCH
The business continuity industry today suffers from apologetic anemia.
An apologist in its literal sense is a person who argues in defense
or justification of something, such as a doctrine, policy, or institution.
Despite the fact that Sept. 11, 2001, had given all emergency and business
continuity professionals a reason to be evangelical about their profession,
we still sadly lack a voice in the boardroom.
The apologetic anemia refers to a general lack of professionals actively
trying to articulate the compelling need for our corporations to build
some type of business continuity and disaster recovery program. This
does not mean recovery planners running around like Chicken Little filling
executives with fear, uncertainty, and doubt (i.e. FUD). Our industry
has more than enough of those. Instead, corporate executives around
the globe expect business professionals to provide a cogent argument
for why our companies should have a policy and commitment behind recovering
key business processes in the event of an outage or disruption.
The reasons for this anemia are multidimensional and complex. The objective
in this article is to describe the reasons for this anemia and to provide
a couple of ideas on how to break down these issues. If these barriers
are removed, business continuity awareness may grow into what it should
be – a key component in the corporate governance and risk management
programs of our companies.
Even in this day when the media clouds much of the public’s perception,
most people have difficulty putting faith in something in the absence
of evidence and argument. In this sense, Sept. 11 may have hurt our
collective cause. Many professionals have used the tragic events of
that day as evidence of the risks in order to put fear into executives.
To which most executives – especially those in places such as
Omaha, Peoria, and Kansas City respond with “our country’s
preparedness has increased and targets are likely to continue to be
large metropolitan cities.” In other words, the executives are
saying what they’ve said for years – “The probability
is very low that it won’t happen to us” – and they
are willing to take the risk.
This last statement about probability is very true. I conducted a probability
study for a large telecommunications firm approximately eight years
ago. They had more than 50 facilities around the country, some on faults
and in tornado allies. We did an exhaustive study of factors, risks
and threats. We determined that the probability of a catastrophic disruption
occurring at one of their central office switching centers was less
than 1 percent. This only served to reinforce their ambivalence.
Since I conducted that study, hundreds of companies have been impacted
by disasters that have caused them to recover at commercial recovery
providers. Many more have been forced to declare bankruptcy because
of major catastrophic outages. This is not isolated to small companies!
Just ask the plant managers at the General Motors plant in Oklahoma
City that suffered what plant managers called “substantial damage
from the devastating tornado” – a May 2003 tornado leveled
a significant portion of the plant that produces SUVs.
The bottom line is that we must clearly explain at least three things
to our executives: the risk exposures at our companies, the options
that are available to mitigate those risks, and a simple plan to implement
the appropriate controls and disciplines.
While this sounds appropriate, I’ve witnessed way too many situations
in which a disaster recovery coordinator or the data center managers
that they report to present grandiose plans for implementing disaster
recovery programs. These presentations typically result in an executive
or group of them explaining a decrease in IT spending, poor representation
of the return-on-investment in the initiative, and a general lack of
creativity in designing the strategies and programs for success. Ultimately
those executives turn down the request for improving the company risk
coverage.
While this scenario is all too true, I have worked with companies that
have been very successful in their ability to evangelize the need for
higher level of assurance. There are some common characteristics among
those companies where I’ve seen a BC professional be successful
in building their case:
- Keep it short: executives want business cases in four-page presentations
or 1,000 words.
- Make it simple: don’t try to educate people on terminology
and technical solutions.
- Relate it to the business: describe it in business terms that the
executives understand.
- Don’t recommend analysis: they don’t want paralysis;
they want action and quick results.
- Evolve: explain how a program will evolve after initial results
are achieved and validated.
Another thing that contributes to this anemia is corporate culture.
There is a “don’t rock the boat” culture in many companies
that has only been magnified with the poorly performing economy and
the resulting layoffs. Most of our companies have been less than diligent
in ensuring that their one or two most important business processes
can continue if there is an outage or disruption.
This “business continuity capability” includes making employees
aware of their responsibilities in a crisis, creating a recovery strategy
for supporting technology applications, and identifying space for people
to work if the facilities are unavailable.
Very few people are willing to point out these inadequacies in our companies
past practices. That is especially true if it reflects badly on someone
we work with. This social pressure tends to drain our convictions to
business continuity principles.
In order for us to get over this apologetic anemia we must combine the
thoughts that have been espoused in this article. We must take a pragmatic
look at our companies and determine what business processes, not applications
or technologies, are critical to customer satisfaction and revenue generation.
Only focus on one or two so that we can make it addressable and manageable
to build our business case. Attempt to put in business terms what would
happen to the business if a weak link in that process were to be broken.
What would the financial and long-term impacts be to the company? Then
look at a few reasonable solutions to reduce, maybe not eliminate, the
risks. Finally, you must clearly show the return-on-investment and results
of that effort. If this is accomplished and done clearly, simply and
briefly you will get and keep the ear of your management team.
By doing these things we will educate executives about how business
continuity fits in the big picture of corporate governance and risk
management. Our senior executives will then and only then be able to
say they are comfortable with their ability to restore and recovery
business processes in the event of a major disruption or outage. Ultimately
isn’t that what we and the customers of a company are asking for
– executives’ confidence in recoverability?
Damian Walch is the business resilience, national practice executive for
IBM. He is a 13-year veteran of the business continuity industry. Walch
is also a member of the Disaster Recovery Journal EAB.
©Copyright
2004 Systems Support Inc. All rights reserved. Reproduction in whole
or in part in any form or medium without the express written permission
of System Support Inc. is prohibited.
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