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Risky Thinking
On Risk Management, Business Continuity, and Security
24 June, 2017
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Activity

Resources are things an organization has to support its activities.

Key features of resources:

Typically you will create a resource by right-clicking on the location where the resource is located.

Resource Report Contents

Not all these sections will appear in every report.

Section Description
DescriptionA short description of the resource.
Location and ResponsibilityWhere the activity takes place and which part of the organization is responsible for it.
Replacement CostsThe cost of replacing the resource assuming it is destroyed. This should include shipping and any other costs that will be incurre3d to make the resource operational.
Recovery Time ObjectiveA table of values relating to how fast the resource can be replaced. See Recovery Time Objective.
Recovery Point ObjectiveA table of values relating to how much data the organization is prepared to lose in the event of a disaster. See Recovery Point Objective.
DependenciesA table of the activities and resources upon which this resource depends or which depend upon this resouce. It is assumed that dependent activities and resources will cease operation after the impact delay, if one is specified. Mutual dependencies are activities or resources which this activity directly or indirectly depends on and which also depend directly or indirectly on this resource. If one of a set of mutual dependencies is disrupted, then all of that set of mutual dependencies will (possibly after a delay) be disrupted.
ThreatsDirect Threats are threats which apply specifically to this activity. Indirect threats are threats which threaten the location where this activity is located, or threaten an activity or resource this activity depends on.
Disruption RiskBased on the direct and indirect threats, estimates of the probability of the activity being disrupted in a single year.
Direct ConsequencesA list of adverse events which will happen as a direct consequence of this resource being disrupted for a period of time.
Disruption Timeline (With Recovery)Assuming that only this activity is disrupted, and that the activity is recovered by its RTO, the sequence of events and costs that will be incurred until all activities are resumed.
Disruption Timeline (No Recovery)Assuming that only this activity is disrupted, and that the activity is not recovered, the sequence of events and costs that will occur along with the estimated costs. This can be used to estimate what will happen if the recovery time objective is not met.
Resource CategoriesThe set of resource categories to which this resource belongs.
NotesA section intended for additional notes on such topics as how any data was gathered and what assumptions were made.

Direct Costs of Disruption

In general the costs of a disruption to an activity will be a combination of hourly losses (due to the disruption) as well as the relocation costs required to run the activity at an alternative location.

The cost model allows for hourly costs to change twice to reflect possible changes in costs during an extended disruption.

Special care needs to be taken to avoid double-counting costs. For example, lost sales should only be counted once, and not at sales, shipping, and accounts receivable.


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