Business continuity planning is a component of building business resilience during both normal and critical periods like today’s COVID-19 pandemic. The purpose of a business continuity plan is to ensure that business will be able to survive during tough times. It permits an immediate response to a crisis in order to shorten recovery time and mitigate the impacts.
In order to build an effective and successful business continuity plan, HR and business leaders must keep in mind to prioritise critical business activities, stabilise cash flow, extend financial resources to keep operational and maintain business reputation. Based on KPMG review, the business continuity plan in response to the current COVID-19 epidemic should focus on four areas, namely HR, business function, client service, and communication. Here are some important checklists when you’re planning business continuity.
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After answering the key questions above, HR and business leaders must push through the crisis by thinning of the recovery phase. The recovery phase will assist to respond effectively so that the company can minimise loss and reduce the time necessary for recovery. The basic question to answer in the recovery phase is: how will the business get back in line after a crisis? There are two key principles to consider when answering this question, namely timing and strategies.
The timing should be realistic. Timing also likely depends on the business-critical hits, such as how bad the crisis affects the business or how much investment should be invested to fully recover from it. Hence, each firm should have its own recovery timeframe.
In this recovery stage, business recovery operational personnel should develop and operate strategies that prioritise the key elements of business operations. Some of the examples are emergency tool kit, alternatives to run the business (such as distributor, locations, facilities, etc.), increase alternate sources of cash flow, monitor progressively using a checklist.
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