Understanding What Can Go Wrong
Luck: 1a, a force that brings good fortune or adversity;
1b, the events or circumstances that operate for
or against an individual; 2, favoring chance.
|•||The potential of a disaster occurring is called its risk. Risk is measured by how likely this is to happen and how badly it will hurt.|
|•||A disaster is any event that disrupts a critical business function. This can be just about anything.|
|•||A business interruption is something that disrupts the normal flow of business operations.|
Whether an event is a business interruption or a disaster sometimes depends on your point of view. An interruption could seem like a disaster to the people to whom it happens, but the company keeps rolling along. An example might be a purchasing department that has lost all telephone communication with its suppliers. It is a disaster to the employees because they use telephones and fax machines to issue purchase orders. The facility keeps running because their mitigation plan is to generate POs on paper and use cell phones to issue verbal material orders to suppliers.