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  • What are the steps to develop a business continuity plan? It’s a long comprehensive process.
  • We specialize in business continuity planning services to help write and test your companies plans. Our consultants are all part of the Association of Contingency Planners.
  • Transcript

    • 1. BUSINESS CONTINUITY: How to Keep the Grinch from Stealing Your Business Jack Hipple Elliot Consulting Predictive Failure Analysis Consultant www.elliot-consulting.com
    • 2. WHAT DID THE GRINCH DO?
    • 3. STOLE CHRISTMAS WHEN WE WERE NOT LOOKING (UNPREPARED?)
    • 4. HOW CAN WE AVOID THIS FROM A QUALITY STANDPOINT? HOW CAN WE BE BETTER PREPARED?
    • 5. WHAT’S OUR NORMAL VIEW OF QUALITY?
    • 6. WHAT’S OUR NORMAL VIEW OF QUALITY?
      • Knowledge of what the customer wants/needs, how to delight
      • Knowledge of how to fulfill those needs and unspoken desires with products and/or services
      • Supply that service and/or product reliably and consistently in a value added, win/win environment
      • Awareness of changes in needs
      • Recycle and repeat
    • 7. IS THAT ENOUGH?
      • You are Home Depot or Lowes
      • You have done all these things for all your contractor customers
      • There is a serious outbreak of Asian bird flu
        • Some of your contractor customers close down
        • ½ of your employees cannot report to work
        • Your invoicing, accounting, and shipping/receiving departments are decimated by illness and vacancy
      • Combine this with a major hurricane in the Tampa area at the same time
    • 8. WHAT ARE ALL THE THINGS INVOLVED?
      • Manufacturing
      • Sales
      • IT
      • Human Resources
      • Environmental, Health and Safety
      • Shipping and Receiving
    • 9. HYPOTHESIS: QUALITY IS ALSO THE ABILITY TO CONTINUOUSLY SUPPLY YOUR CUSTOMERS’ NEEDS NO MATTER WHAT!!
    • 10. NO MATTER WHAT….
      • Remember 2004? 4 Hurricanes in 6 weeks!
    • 11. BUSINESS RESILIENCY What comes to mind? Physical Analogies?
    • 12. LET’S DISTINGUISH BETWEEN--- BACKUP CONTINUITY RESILIENCY
    • 13. LET’S DISTINGUISH BETWEEN--- BACKUP Retrieve information Supply alternative CONTINUITY The “whatever” is there for some time frame to keep things going RESILIENCY Business survives as if nothing happened under any circumstance
    • 14. Business Resiliency Before After Assets Finance Vulnerability and Risk Communications IT Customer Care
    • 15. VULERABILITY AND RISK
      • What is your business and the quality of its products vulnerable to? Have you thought about all the possibilities?
        • Weather
        • Terrorism (physical, biological, chemical)
        • Pandemics
        • Supplier default due to the same things
        • Customer default to the same things
      • What is the economic impact?
        • Hours, days, weeks, months, years?
    • 16. WHAT IS YOUR BUSINESS TOLERANCE?
    • 17. WHAT’S THE RISK?
      • Get real, but not doomsday (80/20)
      • Longer than you think
      • Short term vs. long term
        • Can you be replaced?
        • By whom?
        • Are the affected at the same time or not?
      • Physical, financial, structural
        • What affects the most customers and the future of the business
        • Reliability of resources planned upon
    • 18. COMMUNICATIONS AND DATA STRATEGIES
      • Employees
      • Suppliers
      • Customers
      • Internet and communication systems
        • Verizon story
      • Data backup
        • Not a different floor in the same hurricane prone building!
      • Cell phones OK until the power is off for several days—then what?
    • 19. CRISIS MANAGEMENT
      • Dependent upon the type of business
        • Chemical manufacturing
        • Knitting goods supplier
        • Newspapers, TV, radio
      • Who needs to know what, how, when, and how soon
    • 20. INCIDENT COMMAND SYSTEM
      • Originated with CA wildfire systems
        • Restore facilities
        • Assess, control, and minimize asset damage
        • Control the conditions
        • Focal point for communication and reporting
        • Business report
    • 21. BUSINESS RECOVERY
      • Grab and Go Box
        • Immediate needs, contacts, and information
        • Where to meet, assemble
          • Who?
          • What type of emergency?
      • Duration of Emergency
        • What if it’s months, not days?
      • Communication system and protocol for employees
      • Pay and benefits?
    • 22. IT RESTORATION
      • Backup what?
      • How?
      • Redundancy?
        • Where?
        • To what level?
        • How often checked?
      • Weather
        • Rain, wind, temperatures, salt water
    • 23. RESILIENCY: Before and After, Not Just During
    • 24. IT
      • BEFORE DURING AFTER
      • Survivability Backup Recovery
      • What are all the factors that might affect?
      • Which are most important?
      • Is the plan tested?
    • 25. ASSETS
      • BEFORE DURING AFTER
      • Survivability Protection Damage
      • Analysis; Assets Assessment
      • Prioritization Contacts Claims
      • Are these up to date? Competition for protection?
    • 26. Customer Care
      • BEFORE DURING AFTER
      • Who? When? Defined Contact
      • How? Re-contact
      • Alternative Contact Assess
      • Supplier Plan Partner Plan
      • Quality Impact? Check! Participate
    • 27. © 2006 Elliot Consulting Services. All Rights Reserved.
    • 28. AWARENESS
      • It IS possible!
      • Impact
        • Short term, long term
        • Equipment, suppliers, supplies, information, customers, people, cash
      • Before, during, after
        • How long after?
    • 29. BUSINESS IMPACT ANALYSIS
      • Translation of the risk into bottom line calculations
      • How much protection vs. cost
      • A trade-off, but easy to err on the side of optimism
    • 30. A WRITTEN BUSINESS RESILIENCY PLAN
      • Write it down!
      • Review it!
      • Memorize the key points of it—you may not have much time
        • Terrorism evacuation notice for Tampa
        • Second most dangerous port in the country (Anhydrous ammonia for fertilizer manufacturing in central Florida)
    • 31. TRAIN, PRACTICE, AND REVIEW
      • Practice, practice, practice!
      • A fire is the wrong time to do a fire drill
      • Simulate different conditions
      • Changes in political, health, and terrorist threats
        • Type, degree
    • 32. A SUPPORTING TOOL: PREDICTIVE FAILURE ANALYSIS ™ Note: Brief mention of this in 9/05 presentation made to section
    • 33. HOW DO WE NORMALLY TRY TO THINK OF ALL THE THINGS THAT MIGHT GO WRONG?
      • Imagine
      • Checklists
        • Our own
        • Industry
        • Technical or business society
      • Do these work adequately?
        • Chemical plant releases, defective products, unforeseen consequences
        • Recycle and learn over time
    • 34. AN ALGORITHM TO ASSIST
      • State the problem of concern
        • My business backup plan works
      • Invert the problem
        • I don’t want my backup plan to work
      • Exaggerate the inverted problem
        • I NEVER want my backup plan to work
      • How would I make that happen?
        • What has to happen? What resources do I need?
      • The list will always be longer than our fist list
      • Prioritize, plan, act
    • 35. EXAMPLES
      • Communication
      • Backup supply
        • Verizon Internet Example
      • Personnel
      • Customer service
      • Billing and invoicing
    • 36. Elliot Consulting Services Business Survival Solutions © 2006 Elliot Consulting Services. All Rights Reserved.
      • Business Continuity and Disaster Preparedness
      • Strategic Business Development, Sales, and Marketing
      • Communications and Technology solutions
      • Business Process Outsourcing