Business Continuity Disaster Recovery Project Management OPM3 Risk Assessment Training

Many people have a difficult time presenting a business case to upper management about Business Continuity. You see some really interesting and creative formulas to “prove” the ROI on Business Continuity. Most people would agree that it is nearly impossible to prove anything related to Business Continuity before a Business Continuity Plan is created. It is next to impossible to prove a valid ROI even after a Business Continuity Plan is created.

Why? The short answer indicates it is difficult prove a negative. With Business Continuity, like Security, you are confronted with the problem of nothing happening. If you develop and test a Business Continuity Plan and no catastrophic event happens, you cannot prove (under most circumstances) that any events were avoided solely due to your BCP efforts. Security can point to a decrease in intrusion alerts, but it cannot prove that security has not been compromised without detection.

Because many Business Continuity practitioners come from IT backgrounds, they do not consider the more obvious business related arguments.

A solid, tested BCP plan is really an asset as much as an investment portfolio. To stockholders and the government, it shows that you are serious about holding the company’s value through turbulent socio-economic times. To your insurance company, it means that they can reduce your premiums because the likelihood of paying out a claim for you has been greatly reduced.

It will terrify your competitors because you will have a huge edge going after new business. Customers will be reassured that a significant event will not put you out of business. Suppliers will be reassured that their bills will be paid immediately. Management will have shown the world that they have tight control over their company and they take a serious leadership role in their industry.

All of this equates to an increase in reputation for your company. This is something that cannot be purchased through any kind of advertising. It can only be earned.