Before you can build a business continuity plan, you need to have a good understanding about the risks facing your business. Many of your stakeholders may already assume that your business has a complex risk management process already in place, and they expect leaders to actively identify, assess, monitor and manage risks.
Businesses need to understand the risks so they can see gaps or understand their organisation, what their comfort levels are, and what options are available to address the risk. Once you know what risks you have, you can decide to prevent it through mitigation or awareness, transfer the risk through insurance, or you can also just decide to accept the risk (but at least it is then an informed decision).
Businesses that practice good risk management create a positive risk culture, and reduce the likelihood of an event occurring. You’ll also increase the confidence of the board and senior management by demonstrating that risks are proactively identified, assessed and managed. It’s seen as less of a compliance ‘tick the box’ and instead helps drive good business performance. These organisations are more likely to be proactive than reactive. After all, why wait to learn from your mistakes when you can learn from the mistakes of others?
As your insurance broker, we can help to mitigate your risks and minimise what can be a significant financial impact on your business should the unexpected happen. If you would like to know more or discuss this further, please contact one of our experts and we look forward to assisting you.