Year 2000 Business Continuity and Contingency Planning

2.0 Business Impact Analysis

The principal objective of the Year 2000 business impact analysis is to determine the effect of mission-critical information system failures on the viability and operations of agency core business processes. During the assessment phase of the Year 2000 program, agencies have assessed the impact of potential Year 2000-induced failures on core business areas and associated processes. The business impact analysis takes this process further and provides greater detail. It examines business processes composition and priorities, dependencies, cycles, and service levels, and, most important, the business process dependency on mission-critical information systems.
Key Processes
2.1 Define and document information requirements, methods, and techniques to be used in developing the business continuity plan
2.2 Define and document Year 2000 failure scenarios
2.3 Perform risk and impact analyses of each core business process
2.4 Assess and document infrastructure risks
2.5 Define the minimum acceptable level of outputs and services for each core business
process

2.1 Define and document information requirements, methods, and techniques to be used in developing the business continuity plan

Define the information requirements for constructing a business continuity plan. These requirements generally fall into four categories: Each area has detailed information requirements that are essential to providing effective business continuity. For example, the analysis of business process support should provide information on the technical, functional, organizational, and infrastructure support requirements. When collected, analyzed, and synthesized, the information defines a model of critical processes and risks to the business.

2.2 Define and document Year 2000 failure scenarios

Assess business vulnerabilities and their impacts and define the Year 2000 risk scenarios. Assume the loss of all mission-critical information systems due to post-implementation failures or delays in renovation and testing. Consider the possibility that Year 2000 date problems may be encountered earlier than expected, and address the potential disruption of essential infrastructure services, including electric power, telecommunications, and transportation.

2.3 Perform risk and impact analyses of each core business process

Monitor the status and progress of the Year 2000 program and review and verify risk metrics and critical milestones for all mission-critical systems undergoing renovation or replacement. Evaluate Year 2000-related risks posed by customers, suppliers, information technology vendors, and business partners. Determine the impact of internal and external information system failures and infrastructure services on each core business process. Consider acquiring business impact analysis tools. These tools will provide consistent analytical structure and processes, and help to standardize the impact analyses throughout the enterprise. For the core business processes and supporting business areas, analyze both manual and automated functional requirements, manual and automated system support requirements, infrastructure support requirements, suppliers, customers, service levels, processing cycles, and the external and internal business drivers. Identify critical functions, recovery priorities and timing, and dependencies to other systems and processes. If a core business process receives data from an external organization, contact that organization and obtain the status of its Year 2000 remediation effort. If there are reasons to be concerned, address these concerns in contingency plans. Estimate the potential cost of service disruptions. In estimating impacts, address the duration of each disruption. Consider using a scorecard to aggregate and track the risk and impact information.

2.4 Assess and document infrastructure risks

Monitor the Year 2000 readiness of the public infrastructure, including power and telecommunications services. Assess the risk of service outages, and the potential impact of outages on the core business processes. Review existing contingency and disaster recovery plans to determine whether emergency services may be available to mitigate outages.

2.5 Define the minimum acceptable level of outputs and services for each core business process

For each core business process, define the minimum acceptable level of output and the recovery time objective.
Overview| |Initiation| |Business Impact Analysis| |Contingency Planning| |Testing
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Formated from text provided by: The United States General Accounting Office Accounting and Information Management Division HTML format Copyrighted by The Disaster Center 1998