Dramas, crises and other localdifficulties

… and how to survive them

David Teed MBCITeed Business Continuity Ltd

Objectives – using business continuity to:

1. Fully understand the implications of resource loss incidents

2. Identify appropriate risk mitigation and contingency measures

3. Improve current levels of preparedness

4. Satisfy customers and stakeholders that services will continue

5. Ensure effective methods and best practice are adopted

Business Continuity

Q1. How would you rate your knowledge of businesscontinuity (None, Some, Good)?

Q2. Do you have some responsibility for business

Safeguarding credibility, operations and shareholdervalue through business continuity planning

Q2. Do you have some responsibility for businesscontinuity within your organisation?

What is business continuity?

Business continuity is thecapability of the organisation to

continue delivery of operations atacceptable predefined levelsfollowing a disruptive incident

• Assumes that the worst can stillhappen, however low the likelihoodhappen, however low the likelihood

• Focuses on high impact, lowlikelihood events

• Concentrates on threats andincidents involving the loss ofresource

An integrated approach to managing risks

RiskManagement

Understand & control risks

Objective: Protect Market Share / Shareholder Value

Management

EmergencyResponse

BusinessContinuity

Maintain &recover criticalactivities

Safeguard people& assets

You never know the scenario …

Resources & Threats

• Fire• Theft, Sabotage or Terrorism• Flood or Severe Weather• Utilities (loss of)• Local Environment & Denial ofAccess

• Personnel Loss• Pandemic

• Loss of Data CentreEnvironment• Loss of Data and VoiceCommunications

Loss of supplier orcustomer

• Document Loss• Data Loss

Industry Example - Oil & Gas Dependencies

How does business continuity planning work?

• Determines business priorities and minimum resources pre-incident

• Develops strategies and contingencies to mitigate loss ofresource

• Plans and solutions agreed upfront• Plans and solutions agreed upfront

• Business continuity plans and related documents detailrecovery strategies and actions

• Enables effective recovery of business critical activities post-incident

Business Continuity Management Process

Business Continuity Strategies

Resource Strategy / Solution

Premises

• Other site• Reciprocal arrangement• Remote working• Business recovery site• Ensure insurance is appropriate

People

• Cross training• Knowledge sharing• Documenting processes

People• Documenting processes• Use of contractors

Information• Take back ups regularly - store off site• Scanning of documents• Fire proof safe

Technology

• IT - replicate to another location• Phones – transfer• Equipment – maintain old equipment & spares, other sites• Back up power supplies

Suppliers• Buffer stock, use separate locations• Supplier preparedness review• Reduce lead times

Incident Response & Recovery Phases

Timeline

Within minutes tohours:•Staff & visitorsaccounted for•Casualties dealtwith•Damagecontainment /limitation•Damageassessment•Invocation of BCP

Within hours todays:•Contact staff,customers,suppliers, etc.•Recovery ofcritical businessprocesses•Rebuild lost workin progress

Within weeks to months:•Damage repair / replacement•Relocation to permanent place ofwork•Recovery of costs from insurers

ImmediateResponse

BusinessContinuity

BusinessRecovery

BusinessResumption

Businessas usual

Incident

Overall Recovery Objective = Back to normal as quickly as possible

BCM Case Study - positive

• Northgate Information Solutions plc

• Provides outsourced HR, Public Services & Managed Servicesfor nearly 10,000 organisations

• Including payroll (£1.4bn), web services & data processing

• Buncefield Oil Depot

• One of UK’s largest fuel supply depots

• Explosion considered to be largest ever in

peacetime Europe

• Northgate occupied one of the closest

buildings to the depot

• Outcome

• Immediate move to IT disaster recovery site

• Relocation of displaced personnel

• Effective prioritisation of systems recovery

• Crucial pay run conducted on time (customers kept happy)

BCM Case Study - negative

• Forties Pipeline System (FPS)

• Operated by BP

• Links Central North Sea oil production with Grangemouth

• 50% of UK’s daily oil output (~ 700,000 barrels / day)

• Ineos Grangemouth Refinery

• Scotland’s main fuel supplier• Scotland’s main fuel supplier

• Provides critical utilities (steam & electricity)

for FPS Kinneil terminal

• 2 day strike 27th/28th Apr 2008

• Impacts

• Complete shutdown of FPS for 48 hrs

• Resultant cessation of offshore production affecting 80 companies

• Estimated cost £50m / day

10 Benefits of BCM

1. Be in control post-incident

2. Help safeguard human life

3. Keep impacts within acceptable levels

4. Maintain critical activities

5. Protect reputation

6. Stand out from competitors

7. Improve insurance terms

8. Understand and accept risk exposure

9. Protect jobs

10. Sleep at night….

What you can do

1. Research potential BC threats and impacts

2. Take action to mitigate

3. Develop strategies & contingencies

4. Write a business continuity plan4. Write a business continuity plan

5. Become a “business continuity champion”

6. Spread the word!

Thank you

David TeedDavid Teed

Teed Business Continuity Ltd01786 406370

david@teed.co.uk

www.teed.co.uk