In the past few years, many have debated whether risk management and Business continuity are interrelated, different views have come up, Some say risk management encompasses business continuity, others say they work hand in hand and there are those that do not agree with the hierarchy in which they follow.
In contrast, some argue that we have to monitor and manage risks in order for the business to continue hence making risk management a component for business continuity. This analysis too has its flaws.
In business, there are portions of business processes that address risks to running a business and there are also control procedures that deal with risks to the business continuing to function. The two are separate but work for hand in hand. Much as an organization should look at how to mitigate a risk from happening it should also plan ahead how to keep the critical assets to the business running in case of a disaster or risk happening, shorten the recovery period and minimize downtime hence when the two are applied in concert they ensure that resilient organizations recover faster and learn from incidents to improve future responses.
However interrelated, the two processes are focused on different outcomes. Enterprise Risk Management helps organizations ensure that identified business objectives are met whereas Business Continuity Planning helps make sure that business operations are maintained.
At Summit Consulting, our practical Enterprise Risk Management and Business Continuity training help companies and organizations prepare holistic enterprise risk management plans that incorporate best practices of business continuity management.
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