The first step in creating an effective plan to protect your business from potential disaster is to establish an understanding of your actual risks. Given the many types of disasters that could cause your business to cease operations, and the different ways you will need to respond to each one, it’s foolish to begin any planning without a proper Disaster Risk Assessment.
Your Disaster Risk Assessment will be the guide for your entire planning process. How do you make sure to do it right?
Your Disaster Risk Assessment can essentially be broken down into two distinct components: 1) Disaster identification and disruption threshold, and 2) your Risk and Business Impact Assessment. The result will be a list of potential disasters, ranked based on a combination of their likelihood to occur and the severity of damage that would be cause to your business should they occur.
Your first step in this process is to identify the potential disasters that could occur and impact your business in any way. You should end with a detailed list of common threats to business continuity in the context of your business.