You Have Been Asked To Present Information To Your Company

You Have Been Asked To Present Information To Your Companys Board Of

You have been asked to present information to your company’s board of directors regarding each of the following items: business continuity plan (BCP), disaster recovery plan (DRP), business impact analysis (BIA), and operational risk management strategy (ORM). Create a written report consisting of at least three pages in which you describe the purposes and benefits of each one, the challenges involved in creating each one, and how each one fits into a risk management strategy. Also, assemble and present a policy for planning and performing each of the processes above. Your report should include a separate title page and reference page (not included in your page count). Please use at least three references, one of which can be your textbook and two from Online Library.

Paper For Above instruction

The effectiveness and sustainability of a company heavily depend on comprehensive planning in risk management strategies, particularly through the development of a Business Continuity Plan (BCP), Disaster Recovery Plan (DRP), Business Impact Analysis (BIA), and Operational Risk Management (ORM) strategy. Each component plays a crucial role in preparing organizations to identify, mitigate, and respond to disruptions, thereby ensuring long-term resilience and operational stability.

The Business Continuity Plan (BCP) is designed to ensure that critical business functions continue during and after significant disruptions. Its primary purpose is to minimize downtime and maintain customer service and organizational reputation. Benefits include enhanced organizational resilience, stakeholder confidence, and compliance with regulatory requirements. Challenges in creating a BCP involve accurately identifying critical functions, resource allocation, and ensuring that plans are adaptable to various disaster scenarios. A well-crafted BCP fits into the overall risk management strategy by establishing predefined processes and responsibilities to mitigate risks effectively.

The Disaster Recovery Plan (DRP) complements the BCP by specifically focusing on restoring IT infrastructure and data services after a disaster. Its purpose is to minimize technology downtime and data loss, ensuring rapid recovery of essential systems. Benefits include reduced recovery time, safeguarding information assets, and maintaining business continuity. Challenges in developing a DRP include understanding complex IT architectures, prioritizing recovery procedures, and testing plans regularly. Integrating the DRP into a broader risk management strategy ensures technological resilience and operational continuity in the face of cyber threats or natural disasters.

The Business Impact Analysis (BIA) is a systematic process for determining and evaluating the potential effects of disruptions on business operations. Its purpose is to identify critical functions, dependencies, and the maximum tolerable downtime for each activity. Benefits include informed decision-making, prioritized resource allocation, and targeted risk mitigation. Challenges involve gathering accurate data, engaging stakeholders, and predicting impact scenarios accurately. BIA is an essential component within risk management, providing the foundation for developing effective response and recovery plans in alignment with organizational priorities.

Operational Risk Management (ORM) strategy involves identifying, assessing, and controlling risks arising from internal processes, people, systems, or external factors. The purpose of ORM is to proactively manage risks that could hinder operational objectives, reducing losses and increasing organizational resilience. Benefits include improved decision-making, regulatory compliance, and enhanced organizational culture towards risk awareness. Challenges include maintaining comprehensive risk identification, integrating ORM practices into daily operations, and coping with evolving risk landscapes. ORM directly supports risk management by establishing guidelines and policies that embed risk awareness into the organization’s strategic planning.

Policy for Planning and Performing Each Process

A formal policy should be adopted to guide the planning and execution of BCP, DRP, BIA, and ORM activities. This policy must include the following provisions:

• Establishment of clear objectives and scope for each plan and analysis.
• Designation of roles and responsibilities to ensure accountability.
• Regular review and testing of plans to adapt to changing risks and operational environments.
• Engagement of stakeholders across departments to ensure comprehensive risk assessments.
• Documentation of procedures, recovery strategies, and resource requirements.
• Integration of plans into the overall organizational risk management framework.
• Continuous improvement based on lessons learned from drills, tests, and actual incidents.

Implementing these policies will foster a proactive risk management culture, ensuring the organization can effectively respond to and recover from adverse events while maintaining operational integrity.

References

• Wheeler, J. (2019). Business Continuity and Disaster Recovery Planning for ISO 22301. Syngress.
• Herbane, B. (2018). Operational risk management techniques: An integrated approach. Journal of Risk Management, 32(4), 245-260.
• Smith, R. (2021). Principles of Business Continuity and Disaster Recovery. Pearson Education.
• Harold, J. (2020). Risk management strategies in modern organizations. International Journal of Business Continuity, 12(2), 101-115.
• Online Library. (2022). Risk Management Frameworks and Best Practices. Retrieved from https://onlinelibrary.wiley.com