Page 18 - Nov/Dec 2020 Vol 38 No 5
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CYBER SECURITY                                                                           by Heather Phillips
A Business Continuity Plan –
Your Best Shot in the Event of Disaster

  A BCP (Business Continuity Plan)           service or product. The inability to        and should give guidelines with
gives an organization the best shot in       fulfill obligations to provide services or  requirements specifically defined. Rules
the event a disaster strikes. Whether it     products may result in legal liabilities.   and regulations provide a standard
is a fire, a building collapse, a malicious                                              of guidelines from a regulating body
attack, sabotage, a power outage, or           To ensure potential liabilities are       to form guidance under which good
a natural disaster like a tornado or         addressed in the BCP, an attorney           practices should be observed.
earthquake, a catastrophe can hit at any     should participate as a project team
moment without warning.                      member. Having an attorney involved           Issued by third-parties, standards
                                             as part of the BCP planning process         are worldwide and relate to Business
  The lack of a BCP does not mean            can help define exposure to legal           Continuity as a whole as part of
that the organization will not recover;      liabilities if a responsibility was not     compliance. Standards are adopted
it merely means the organization             fulfilled.                                  and put into practice to provide
will take longer to recover in an            Force Majeure                               organizations with an outline for
unorganized fashion and may face legal                                                   business integrity.
ramifications. The organization’s goal         Force majeure is a legal notion
is to maintain business functionality        that excuses a party under contract           An organization’s BCP needs to
or resume business functionality as          for unforeseen situations of disaster.      follow 15 different regulations to be
quickly as possible after a disaster.        Force majeure refers to unforeseeable       compliant with the United States
A BCP outlines procedures and                circumstances that prevent a party          Standards of regulation for compliance.
instructions the organization must           from fulfilling a contract. Common          An overview of the worldwide
follow to make the organization’s goal       force majeure provisions may cover          regulations can be found at www.BCI.
a success.                                   several categories of events that could     org.
Business Impact Analysis and Continuity      impact the supply chain.                    ISO Compliance
Plans
                                               The provision may cover risks that          The BCP must meeting three
  One part of composing a BCP is             are reasonably beyond the control of        additional regulations if the
the BIA (Business Impact Analysis).          the party claiming force majeure. Legal     organization is to be International
The BIA identifies the organization’s        implications in BCP disaster planning       Organization for Standardization
critical services or products as well as     go far beyond force majeure clauses.        (ISO) compliant. If the organization
the internal or external disruptions         Contracts are a major part in BCP           is a financial institution, a health
and legal impacts of disruptions.            development.                                care facility, a government agency, a
Information can be obtained to                                                           utility distributer, or involved with
determine the disruptions and legal            With the assistance of legal              manufacturing, numerous other
requirements for delivering specific         representation, contract requirements       regulations must be in compliance.
services or products.                        such as labor contracts, insurance          These additional regulations can be
                                             agreements, and mortgages should            found at www.BCI.org.
  Once these variables are identified,       be addressed in the BIA. An attorney
they must be prioritized. The impacts        should also assist in contract review for     Staffing plans during a disaster
of disruptions are identified along          recovery services.                          require evaluating current employees
with potential revenue loss and              Legal Representation                        and the resources in the departments.
additional expenses and losses. With                                                     During a disaster, establishing a labor
a major disaster, organizations are            Legal representation is                   pool is essential. The BCP should
usually not able to pay the full cost        recommended for Human Resources             answer: What minimal employees are
of recovery, so they have insurance          (HR) to ensure labor contracts are          needed to maintain essential services?
to aid financially. It is important for      not going to be invalidated upon BCP        Will alternate employees such as
the BIA to appropriately decide what         deployment. Legal representation also       contractors be an option? Will work
needs insurance coverage and the             is recommended to assure insurance          options such as telecommuting be an
corresponding insurance coverage.            agreements, especially Business             option?
                                             Interruption Insurance which covers
  Continuity plans should be made            loss of income suffered by a disaster,        The BCP establishes flexible leave
for each of the organization’s internal      are in compliance.                          options for employees who are
and external critical asset and critical                                                 unable to perform work duties due to
                                               The BIA should define what                attending to family needs. The BCP
                                             insurance claims can be filed

18	 TPW November/December 2020
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