3.6.3. Scenario Planning

Question 1

Identifying key risks through risk assessment

Answer 1

-Identify risk/ threat faced
-Quantify the possible costs to business if it occurs
-Attaching probability of chance of risk occurring

Question 2

Common risks

Answer 2

-It failure
-Natural disasters
-Loss of key staff

Question 3

Planning for risk mitigation

Answer 3

1.Natural disaster- Have relationships with alternative suppliers, organise potential outsourcing production, find alternative transport routes

2.IT failures- have back up system ready to switch on

3.Loss of key staff-Succession planning

Question 4

Succession planning and business continuity

Answer 4

Succession planning-Preparing replacements for key personnel in advance of their departure

Business continuity- getting a crisis hit business back to normal after major disruption
~Effective communication
~Clearly defined responsibility
~Secure financial position