BUSINESS IMPACT

ANALYSIS
FROM BEGINNING TO END

08/12/23 1
 The Business Impact Analysis
 What is it?
 Plan for Success
 Collect True Data
 Analyze & Document
the Impacts
 Obtain Acceptance

08/12/23 2
 The Business Impact Analysis

WHAT IS IT?

08/12/23 3
 WHAT IS IT?
 Prevention or Recovery?

* The Risk Assessment

* The Business Impact Analysis

08/12/23 4
 WHAT IS IT?
 What is a Disaster?

A disaster is a sudden
unplanned calamitous
event that creates an
inability on an
organizations part to
provide the critical
business functions for
some predetermined
period of time and which
results in a great damage
or loss.
08/12/23 5
 WHAT IS IT?
 Why do an Business Impact Analysis?
* To establish the organizational value of each
business unit or resource as they relate to the
functioning of the total organization.
* To provide the basis for identifying the critical
resources required to develop a business
recovery strategy.
* To establish the timely order or priority for
restoring the functions of the organization in the
event of a disruption.
08/12/23 6
 WHAT IS IT
 Who is responsible for recovery?

* Responsibility for continuity of a business

function in the absence of a critical resource
(e.g., phone, mail, electricity, or information
processing) rests with the user of the resource.

* Responsibility for the recovery of the critical

resource rests with the provider of the resource.

08/12/23 7
 WHAT IS IT?
 The Business Continuity program
Phase O
Needs Assessment
Risk Assessment

Phase I
Business Impact
Analysis

Phase II
Recovery
Strategy
08/12/23 8
 WHAT IS IT?
 The Business Continuity program
Phase III

Continuity Plan

Phase IV

Implementation

Ongoing
Maintenance
and Exercising
08/12/23 9
 WHAT IS IT?
 The Business Impact Analysis Project

* Project Planning

* Data Collection

* Data Analysis

* Findings Report

* Acceptance
08/12/23 10
 THE BUSINESS IMPACT ANALYSIS

PLAN FOR SUCCESS

08/12/23 11
 PLAN FOR SUCCESS
 Agency Commitment

* To Purpose

* To Approach

* To resources

* To Time

08/12/23 12
 PLAN FOR SUCCESS
 Agency Commitment

To Purpose:
* Identify Criticality of Business
Functions
* Identify Impact of Disruptions
* Identify Impact of Disruptions
Over Time
* Identify Critical Dependencies
* Identify Critical Resources

08/12/23 13
 PLAN FOR SUCCESS
 Agency Commitment

To Approach:

* Data Collection

* Data Analysis

* Project Plan

08/12/23 14
 PLAN FOR SUCCESS
 Agency Commitment

To Resources:

* Project Sponsor

* Project Manager

* Project Team

* Project Participants
08/12/23 15
 PLAN FOR SUCCESS
 Agency Commitment

To Time:

* Overall Project

* Project Manager

* Project Team

* Project Participants
08/12/23 16
 PLAN FOR SUCCESS
 Demonstration of Agency
Commitment

* Policy Statement

* Directive Memorandums

* Budget Approval

* Verbal Endorsement

08/12/23 17
 PLAN FOR SUCCESS
 Key Project Personnel

* Project Sponsor

* Project Participants

* Project Coaches

* Project Managers

* Project Team
08/12/23 18
 THE BUSINESS IMPACT ANALYSIS

ON TARGET

COLLECT THE TRUE DATA

PART ONE

08/12/23 19
 COLLECT THE TRUE DATA!
 Identify Participants

* Credible Spokesperson

* Represents Functional Area

* Highest Organizational Level

08/12/23 20
 COLLECT THE TRUE DATA!
 Determine Approach

* Interview

* Questionaire ( Yes / No questions)

* Combinations

08/12/23 21
 COLLECT THE TRUE DATA!
 Design the System

Objective:

To ensure an accurate,
consistent and complete
approach to the data gathering.

08/12/23 22
 COLLECT THE TRUE DATA!
 Design System

DISCUSSION TOPICS:

* Business Unit’s Mission

* Primary Service Objectives

* Organization

* Dependencies

08/12/23 23
 COLLECT THE TRUE DATA!
 Design System

DISCUSSION TOPICS:

* Impacts from Disruption Over Time

- Service Objectives
- Financial
- Legal and Regulatory
- Customer Service
- Other Functions

* Impacts for Impact Mitigation

08/12/23 24
 COLLECT THE TRUE DATA!
 Design System

Interview Approach:

* Develop Interview Guide

* Train Interviewers

* Validate

08/12/23 25
 COLLECT THE TRUE DATA!
 Design System

Questionnaire Approach:

* Design Questionnaire

* Develop the Data Analysis

* Develop Instructions

* Validate
08/12/23 26
 COLLECT TRUE DATA!
 Conduct Data Collection

* Prepare Participants

* Collect Data

* Validate Results

08/12/23 27
 COLLECT THE TRUE DATA!
 Prepare Participants

* Issue memorandum

* Conduct Formal Presentation

* Distribute Questionnaire

08/12/23 28
 COLLECT THE TRUE DATA!
 Validate Results
Questionnaire approach:
* Review for Consistency
RED FLAG
* Identify Missing Information
* Identify “Red Flags”
* Correlate with Second Source
* Follow up Interview

08/12/23 29
 COLLECT THE TRUE DATA!
 Validate Results

Interview Approach:

* Organize Interview Notes

* Identify Missing Information

* Prepare Summary Notes

* Confirm Results in Writing

08/12/23 30
 COLLECT THE TRUE DATA!
 Plan The Data Collection

* Identify participants

* Determine Approach

* Design System

08/12/23 31
 THE BUSINESS IMPACT ANALYSIS

ON TARGET

COLLECT THE TRUE DATA

PART TWO

08/12/23 32
 COLLECT THE TRUE DATA!
 Conducting the
Interview

 What Have We
Learned?

 The Next Steps

08/12/23 33
 CONDUCTING THE INTERVIEW
 TIME:
* Schedule 1 ½ to 2 hours
* Arrive on Time!
* Re-Verify time available
* Manage to meet objectives

 Participants:
* Allow Staff participation
* Focus on primary Participant.

08/12/23 34
 CONDUCTING THE INTERVIEW
 The Interview:

* Conduct interview in conversational

manner

* Ask open ended questions

* Allow Participant (s) to respond

* Maintain control to ensure adequate

coverage of topics

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 THE BUSINESS IMPACT ANALYSIS

ANALYZE & DOCUMENT THE IMPACTS

08/12/23 36
 ANALIZE & AND DOCUMENT THE
IMPACTS!
 Data Analysis

* Impacts form disruptions over

time

* Critical Dependencies

08/12/23 37
 ANALYIZE & DOCUMENT THE
IMPACTS
 Impacts
* Quantitative
Losses or extra expenses that are
quantitative into financial terms (I.e.,
dollars)
* Qualitative
Intangible or operational impacts that
are not quantifiable into financial
terms

08/12/23 38
 ANALYZE & DOCUMENT THE
IMPACTS
 Critical Dependencies

* Communication
* Information Processing
* Personnel
* Communications
* Equipment
* Facilities
* Other Organizational
Functions
* Vendors
08/12/23 39
 ANALYZE & DOCUMENT THE
IMPACTS
Findings Report

Provide management the appropriate

information to develop or modify
existing recovery strategies based on
business impact.
* Document the Project Process
* Summarize Business impacts
* Identify Conclusions &
Recommendations
* Define the Next Step (s) or Actions
08/12/23 40
 THE BUSINESS IMPACT ANALYSIS

OBTAIN ACCEPTANCE

Acceptance

08/12/23 41
 OBTAIN ACCEPTANCE!
 OBTAIN MANAGEMENT BUY-IN AND
APPROVAL TO PROCEED TO THE NEXT
STEP!

APPROVED

08/12/23 42
 OBTAIN ACCEPTANCE!
 The Next Step

Develop A Business Recovery Strategy:

* Determine Resource Requirements

* Evaluate & Recommend Recovery
Strategy
* Investigate Recovery Design
Alternatives
* Validate Feasibility of Findings
* Develop Cost & Implementation Plan
08/12/23 43
QUESTIONS?

Joe.healy@state.mail.ar.us A .
I .
B.
82-4903

08/12/23 44
 REFERENCE
 BPELANT@cs.com

08/12/23 45