Saturday, July 31, 2021

Business Impact Analysis (BIA)

A business impact analysis (BIA) is the process of determining the criticality of business activities and associated resource requirements to ensure operational resilience and continuity of operations during and after a business disruption.

Four key purposes of the BIA

  • Obtain an understanding the organization's most critical service 
  • Inform business leaders on maximum tolerable period of disruption for each service
  • Provide the resource information from which an appropriate recovery strategy can be determined
  • Identify dependencies that exist both internally and externally

Getting data: Questioner, Interviews, workshops,  Documents and research
Reaching maturity.
Impact determination.
Financial impact: loss of revenue, higher operating cost, potential/legal contractual penalities.
Client and supplier  may be lost
Employee staff loss.
Reputational damage
Legal/contractual/obligatory

Understanding the impact
  • Mission Critical
  • Business Critical
  • Business Core
  • Business Supporting
It helps determine Maximum Tolerable period of disruption (MTPD) and Minimum Business Continuity Objective (MBCO)

7 Key BIA Output



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