Small Holes Sink Big Ships - Business Continuity

There’s a common fallacy that we have as human beings, we think there is always a direct correlation between the size and visibility of an event, and the impact of its consequences. And whilst, wars, pandemics and power outages do wreak havoc on business, it’s also true that smaller events, if not prepared for and managed, can cause an existential crisis that can cause you to close your doors for good

In simple terms, risk management is all about business continuity. Given the reliance our customers have for our services, our employees have for their livelihoods, and our suppliers have for our customs, we have a broad social responsibility to ensure that we are doing all that is reasonable to ensure we are robust and can continue trading. Nobody wants to be the person who let everyone down because they weren’t prepared.

Who’s responsible?

Ultimately, it’s leadership’s obligation to ensure that the organization has adequate business continuity, it’s their job to ensure that plans are in place, practical steps have been taken, and that a practice of continuous improvement is in place regarding business continuity.

Whilst this is all true, in reality, it’s impossible to plan for each and every possible event, especially when our technology is as diverse and distributed as it is today. What is more useful, and certainly more achievable, is to identify the high-level risks that a modern organization is exposed to and ensure that there are sufficient protections in place, so that should an event ever occur, you are in the best position possible to keep your business running.

Some key risks to consider:

Cybersecurity Threats: One of the most pressing IT risks for SMBs is cybersecurity. Cyberattacks, such as ransomware, phishing, and data breaches, can cripple operations, leading to significant financial losses and reputational damage. SMBs are often seen as easier targets due to potentially weaker security measures compared to larger enterprises. What makes cybersecurity threats more concerning is that they have intent and intelligence behind them. Other threats are at worst a result of negligence or circumstantial bad luck, but cybersecurity criminals are actively hunting your organisation and pushing through your defences in order to cause you harm.

Data Loss: Every business is critically dependent on data. IT failures, human error, or malicious attacks can result in the loss of vital data. Without proper backup and recovery solutions, data loss can halt business operations and even result in regulatory penalties, especially if personal or commercially sensitive information is compromised. Many contracts now include a section on data privacy, holding liable partners who have a material breach of their data.

System Downtime: Whilst some employees may see an IT outage as an opportunity to enjoy a cup of coffee and some fresh air, the impact of outages can be significant on your organisation. IT systems are integral to various business functions, from communication to transaction processing and so hardware failures, software bugs, or network outages can cause significant downtime. For SMBs, even a few hours of downtime can result in lost revenue, decreased productivity, and annoyed customers.

Supply Chain Disruptions: Many organisations rely on IT systems to manage their supply chains. From automated ordering based on warehouse stock levels, to managing lead times for raw materials, disruptions in IT infrastructure can directly affect delivery schedules, leading to delays and potential loss of business.

Compliance and Regulatory Issues: Whether founded in contract terms, legislation or industry standards, there can be significant implications for organisations that breach conditions which are delivered by IT systems. From the obvious Privacy Act requirements to loosing your status as an ISO accredited entity, the consequential effects can result in significant fines or the requirement to stop working, especially if the technology is responsible for ensuring a healthy and safe work environment.

How to build business continuity resilience.

So with all this impending threat, that can seemingly attack from any angle, at any time, how can you transition from a position of vulnerability to resilience? It’s very much a case of a ‘little now can save a lot later.’ What follows are some simple controls that you can put in place to manage your risks and ensure your business has a better chance at surviving what might otherwise be a critical event.

Develop a business continuity plan specifically regarding IT: This plan should include risk assessment, prioritization of critical systems, and detailed response strategies for different types of IT incidents. The purpose is to be prepared and ready with response plans should the unthinkable happen. If you’re unsure where to start, give us a call and we’re happy to support you in this.

Implementing Strong Cybersecurity Measures: Today’s technology is increasingly consumable, Houston Technology can easily advise on the best firewalls, antivirus software, intrusion detection systems, and encryption technologies for you. It isn’t a ‘one size fits all’ so getting some solid advice on what to deploy, and where to best spend your money is critical.

Regular Data Backup and Recovery Plans: Regularly backing up data and documenting recovery procedures are crucial for ensuring that business operations can resume quickly after an IT incident. Ensure your recovery procedures include key contact details and key roles and responsibilities so that everything runs smoothly when they are used. Don’t forget to include customers and those outside of your organisation you may need to inform that your systems are down.

Annual business recovery drill: Each year, run a test to restore your systems from backup to a new test environment. How long did it take? Was it possible? What were you dependant on to make it a success? To be as real as possible, this emergency restore drill should be run with no warning. The simple question to answer is ‘can you restore soon enough to meet your operational requirements’.

Training and Awareness Programs: Employees are often the first line of defence against IT threats and also a key attack vector for criminals. Regular training programs can educate staff about cybersecurity best practices, how to recognize phishing attempts, and the importance of adhering to IT policies. An annual refresher is useful to bring staff up to speed on the latest security issues, ensuring that cybersecurity remains present in their minds.

Ensuring Compliance with Regulations: SMBs must stay informed about relevant regulations and ensure that their IT practices comply with these requirements. Regular compliance audits and consultations with experts can help identify and address potential issues before they lead to regulatory penalties.

Conclusion

It can seem daunting, especially if you are also looking after finance, customers, service delivery and all the other expectations that a small business places on leadership. However, getting business continuity right will help you sleep at night and ensure that you have a level of confidence in being able to survive an IT event, no matter how large or small.

Here at Houston Technology, we understand what it’s like to run businesses of all sizes, and are happy to help you think, plan and act through this rapidly changing topic.

Reach out to us for an easy conversation to see how we can help.