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04 Mar 2008
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Some of the UK's largest firms are unprepared for disasters such as flooding, IT failures and terrorism, research from IDC has claimed.
The figures, commissioned by BT Global Services, revealed that 71 per cent of businesses do have an emergency recovery plan in place, but 21 per cent of the largest firms in the UK have no plans in place.
However one in three respondents plan to increase their business continuity spending in 2008 despite the threat of an economic downturn, according to the research.
IDC also claimed that business continuity accountability is rising up the corporate ladder with the overall leadership team of businesses being increasingly involved in the key decisions surrounding business continuity - 49 per cent chief executives and 36 per cent IT directors.
Ed Cordin, EMEA consulting director at IDC, said: "The research shows that many business leadership teams are now taking notice of the business continuity issue. That is an important development because keeping the business running, come what may, has to be a key board-level concern not just one of IT. That said, the alignment between aspiration, accountability and decision making still requires significant attention in many organisations. Likewise organisations that do not possess detailed business continuity plans need to act now.”
Ray Stanton, global head of business continuity, security & governance practice, at BT Global Services, said: “It is interesting to see that so many businesses plan to up spending in such a tough climate. However, businesses need to think carefully about how to spend that money. The right business continuity investments do not just protect against threats, they help to build customer confidence and enhance the brand. In contrast, by failing to get the basics right, businesses risk jeopardising not only the short-term ability to maintain operations – but also longer-term growth.”
“Business continuity planning should encompass technology, human resources and customer service issues. So it is encouraging to see that so many businesses have now developed emergency recovery plans, because they go beyond pure IT and communications matters,” concluded Stanton.
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UK firms need to invest wisely in Disaster Recovery
Growing risk awareness and an increasingly dangerous business environment may have prompted more companies to invest in disaster recovery (DR) as part of the business continuity programme - but how safe is that investment?
Just what, indeed, is being recovered? Few organisations have any real insight into the true extent of their IT assets. Not only does this challenge the validity of the DR solution but it also raises huge questions in the event of an insurance claim.
For most companies, one of the major issues is the complete lack of co-ordination between the asset register recorded within finance and the inventory lists used within the IT department to determine system maintenance and support.
Any inconsistency between the asset register held within finance and other inventory records in the business will raise significant doubt for insurance companies, delaying payment at best. At worst an organisation could lose any chance of an insurance pay-out, even face charges of claiming for non existent items.
However, there are simple processes that can be followed to ensure greater information consistency. A central repository that records the serial number and asset location, as well as the value of each item, will meet the needs of all departments from finance to IT.
Critically, this ensures that reliable, accurate information is available for both insurance and DR planning, reducing business risk whilst also giving companies more confidence in their business continuity investments.
Karen Conneely
Group Commercial Manager
Real Asset Management
Posted by Karen Conneely | 31 Mar 2008
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