3. Contents
•Types of risk
•DRP components
•Recoverable risks
•Non Recoverable risks
•Risk Prevention and Planning
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4. Types of Risk
•Natural disasters
•Financial
•Technological
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• Geopolitical
• Regulatory
• Terrorism
“any event or uncertainty that may enhance or impede
the organisations ability to achieve its current or future
objectives”
6. Disaster Recovery Plan Components
•Purpose and scope
•Impact assessment
•Recovery management team RACI
•Recovery process
•Response strategies
•Communication plan
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7. Response: Risk Reduction
1.Early warning indicators (project slippage)
2.Escalation internally & externally
3. Supplier visit to assess and/or progress
4.Cash flow – expedited payments
5.Logistics – Air vs Sea
6.Supplier Relationship Management
7.Improvement Plan
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8. Response : Contingency Planning
1.Recover inventory
2.Transfer to alternative supply chain partners
3.Design
4.Value Engineering
5.Vertical Integration
6.Alternative manufacturing process
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9. Risk Planning for Prevention
• Strict adherence to an approved supplier list
• Risk assessment as part of periodic audits
• Risk management built into design – component obsolescence
• Risk register maintained to identify risks and likelihood of occurrence
• Risk register review and scores updated
• Check and test Disaster Response Planning & Business Continuity
plans are in place with supply chain partners
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