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Volume 29, Issue 3

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DR Rules & Regulations

Note: A Special Thank you DRJ's Editorial Advisory Board for their incredible efforts to identify and compile this information.

  *UPDATED - September, 2016

Rules & Regulations … Could Keep You Out of the News

By Martin Myers, MBCP

In recent headlines, the disciplines of a well governed and operated BC/DR program may have prevented, or at the very least, reduced the damage from two man-made events. I’m referring to the Southwest and Delta airline outages in July and August of this year. 

The Delta airline computer outage, which caused it to cancel 2,300 flights, cost $100 million in lost revenue. In addition, Delta shares were down more than 19 percent, at one point, over the past year. Southwest Airlines Co. reported lost revenue and extra costs totaling $54 million from a July outage that resulted in a similar number of canceled flights.

“In the business world, bad news is usually good news – for somebody else.”
– James Surowiecki (journalist, New Yorker Magazine)

The numbers are impressive, but may pale in comparison to future losses that are not so easily measured. For example, individuals and families planning future trips may choose a carrier that has not recently been in the news as they seek to avoid the perceived risk of a carrier who negatively impacted the trips of others. Lost future revenues are difficult to capture, but are one of the side effects of any reputation loss due to so public an outage. Delta and Southwest’s bad news therefore may turn out to be good news for their competitors in the long run.

This is where rules, regulations and standards can help. Many provide the content of a well-run BC/DR program. They are a cookbook of sorts detailing the ingredients and steps to possibly prevent, and if not prevent prevail after an outage. The rules and standards contained within out data base are free to use, learn from, and assimilate into your organization’s BC/DR program. 

Please share with us any new or newly uncovered rule, regulation or standard that you might find, which we could add to our growing list. In this way you are benefiting your many BC/DR colleagues around the globe.

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Acknowledgements:2016 DRJ EAB Rules & Regulations Working Committee: Martin Myers, Chairman (Forsythe Solutions Group); Robbie Atabaigi of KPMG, LLC; Winston Clarke of Carefirst BCBS; Colleen Huber of Great Lakes Higher Education Corporation; Tatiana Moklebust of AmerisourceBergen; Lamar Poppell of Jack Henry & Associates, Inc.; Smallwood, Lisa of Hewlett-Packard Company; and Nadine Williams-Edwards of Kronos, Inc.

Committee Chair: Martin Myers, MS, MBCP, CERT, specializes in Risk Management (Business Consultant, Disaster Recovery and Crisis Management), currently is a Managing Consultant with Forsythe Solutions Group. He has more than 25 years of experience in developing and evaluating business continuity and disaster recovery governance programs, and implementations. He has worked with prominent domestic and international companies which include Bank of America, CapitalOne, KPMG, HP, Duke Energy, Nextel, T-Mobile, Carnival Cruise Lines, International Paper, McCormick, and SAIC. His work has taken him throughout the U.S., and to Canada, Bermuda, Panama, Costa Rica, Ireland, the United Kingdom, and South Korea. Mr. Myers is has served our profession as former: Vice-president of CPAC, President of SEBRE, and President of the DRJ Editorial Advisory Board.