Contingency Management

Preparing for an event of emergency, system failure or a disaster is what contingency management is all about. Utilizing risk management, it intends to identify vulnerabilities and threats to a business and implements countermeasures in order to prevent an incident or to limits the impact of its occurrence. The key components of contingency management include planning for operational continuity and disaster recovery.
A business must operate without excessive interruption to improve efficiency and be successful. To support this, businesses use contingency management by creating plans, procedures and technical measures which lets businesses to recover efficiently after a business disruption or disaster.

To identify the vulnerabilities of a business is a vital step in contingency management and its implementation. It could be their weakness, internal controls, security procedure, etc. which can be exploited through a source of threat. And it can include natural calamities like flood, earthquake, tornado, or due to manmade accidents that may be chemical, biological, radiological, electrical or mechanical in nature, or even an act of terrorism, bomb, assault, theft, etc.

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