|
|
- Permanent Link:
- http://dpanther.fiu.edu/dpService/dpPurlService/purl/FI13042141/00001
Notes
- Summary:
- This brief paper examines the concept of business continuity management (BCM). In doing so, it reflects how the concept could be efficiently used, the reasons why BCM is difficult to understand, the difference between enterprise risk management (ERM) and BCM, and the distinction between BCM and operations continuity. While BCM once focused almost exclusively on information technologies, particularly on preserving communication and data centers, twenty or thirty years ago, today it is concerned primarily with “the capability of an organization to plan and respond to incidents and business disruptions in order to continue business operations at an acceptable pre-defined level” (p.1). As a result, the BCM concept has experienced an important change towards an emphasis on the continuation of operations in the case of a major incident. In the course of such conceptual change, the recent financial and economic crisis has played an important role. The author suggests that the BCM field could derive insights from various other risk management disciplines (strategic, financial, operational, legal, environmental, operational, health and safety), particularly considering this broader conceptualization. This document discusses this new understanding of BCM in relation to various topics, including fraud, reputation loss, joint ventures, hedging, pricing and services, as well as major trend breaks. It highlights several examples of major crisis impacting business continuity, including the Enron scandal and the Arthur Andersen Company’s involvement; the UK’s News of the World phone hacking scandal; and the Pan Am terrorist attack. In these cases, reputation losses after scandals or shocking events resulted in the demise of business operations. The author urges that the BCM concept be broadened to include the impacts of strategic and financial risks. With such an expanded scope, the BCM could move beyond its limited scope, which is primarily focused on operational risks, to become more instrumental in building the capacity of businesses to respond to any potential risk of disruption. ( English )
- Subject:
- Business Continuity Management ( English )
- Citation/Reference:
- Klein, L.P. (2011). Is business continuity management a misnomer? business continuity management at the crossroads.
|
|
