Question

Since unforeseen events are difficult to pinpoint, how would you as the Contingency Planning Coordinator (CPC) be able to identify those events that are more likely to negatively impact your organization?

Answer 1

Answer

identify the potential threats to these critical resources. Meet with employees, executives, IT and everyone in between to get a holistic idea of the events that could impact your resources. If necessary, consider bringing in a consultant who specializes in identifying risk.

there are 3 steps which form a business’s continuity plan. You can think of contingency planning as being proactively planning for disruption, whereas crisis management planning is a more reactive strategy.

report this ad

Buy the Book

report this ad

Categories

• Career Skills
• Change Management
• Communication Skills
• Decision Making
• Finance
• Human Resources
• Interpersonal Skills
• Leadership
• Marketing
• Personal Development
• Program Management
• Strategy
• Team Management

Sponsored Content

• Indians Born Before 1965 Are Now Eligible For Free Hearing Aid TrialFit and Healthy 24/7

• This Simple Trick Melts Belly Fat While You Sleep (Try Tonight)timesnow.today

• These Tv Shows And Movies Should Get An Oscar And Here's WhySocialGoat

• Zaira Wasim in Instagram post: Kashmir continues to suffer, no outlet for our frustrationsIndia Today

Recommended by

Follow Us

• http://pinterest.com/https://www.pinterest.co.uk/expertpm/

Contingency Planning

Contingency Planning arises from the fact that exposure to risk in business is unavoidable. In business, risk can be defined as a threat that might prevent the business or organization from hitting its objectives. The purpose of contingency planning is thus to create planned responses to events that might adversely impact an organization.

What happens if sales suddenly slump by 50%? What happens if a key team member leaves for a new position? What happens if your entire customer support team (who share the same room) fall ill at the same time?

All of the above questions are risks to the operations of an organization. If an organization doesn’t handle any of these situations well, then there might be an adverse impact on business operations, customer perception of the organization, and even the future profits of the business.

Pro Tip

Although contingency plans typical specify how to deal with the materialization of negative risks, good contingency plans should also identify how to handle positive unexpected disruptions, for example, if media exposure suddenly lead to product orders increasing by 300% overnight then how would this surge in demand be handled by the business?

Developing contingency plans is part of a broader process around managing business risk, and comprises the following three components:

1. Risk Management: Identify and manage those risks, both positive and negative, which threaten the organization.
2. Contingency Planning: Develop plans for unforeseen events
3. Crisis Management Planning: develop plans for handling sudden crisis situations.

We Create the Contingency Plan

At this stage we have a prioritized list of risks, that is, a list of things that might go wrong including how they might go wrong, and what impact that might have on the organization.

Now it’s time to create our contingency plans, detailing how we’re going to react if any of these things actually do go wrong. The most sensible way to start this work is to tackle the highest priority threats first.

There is no right or wrong way to create a contingency plan, but the plan should contain step-by-step instructions detailing what needs to happen and when to get the business back to normal operations.

Despite there being no right or wrong way to put together a contingency plan, you may find the following pointers useful:

• Determine the precondition: what event has to happen for the contingency plan to be activated?
• Specify exactly who is in charge at each stage of the contingency plan.
• Identify the needs of all stakeholders up front and involve them in creating the contingency plan.
• For each action, you include in your plan be sure to include who is responsible for that action, who they report to, how long the action will take, and what communication will happen.
• Document communications: different contingency plans will require different communications. For example, the company website crashing may require internal communications to coordinate the resolution of the problem as well as email communications with customers to keep them abreast of progress towards resolution. However, if your product was found to cause actual bodily harm to one of your customers then this would require not only internal communications but also very carefully managed public relations.

Once you’ve created your plan you’ll need to get it approved and included in any standard operating procedures so as everyone understands when the plan should be triggered and their part in it.

It can be useful to test your plans. That is, to simulate the triggering of a contingency plan to perform a dry run through the steps detailed in the plan. This will help ensure that the plan is fit for purpose.

Dear friend hope you get your answer .If you like my answer please hit like and comment to encourage me for more suitable answer for you.Thanks