Each year, as the Atlantic typhoon season approaches many businesses have a nagging conclusion that they can be at risk scheduled to a catastrophic “Black Swan ” event. Dark Swan events are a frequent source of risk in states like Florida where many communities are subject matter to disruption due to coastal storms. This risk is particularly acute for businesses that rely upon the storage of on-line data if there is the opportunity their critical data could become lost or damaged. But the threat from Black Swan events just isn’t restricted to Florida, neither is it restricted to large scale disruptive occasions like hurricanes. The dark swan theory or theory of black swan occasions describes a disruptive event that comes as a surprise, has a serious impact, and is often wrongly rationalized after the simple fact with the benefit for hindsight. The word is based on an ancient saying which assumed black swans would not exist, but the declaring was rewritten after dark-colored swans were uncovered in the wild. Consider the following scenario… price of gold
“We have a tendency to think of unfortunate occurances in conditions of the attacks on the soil Trade Center, Hurricane Katrina, or other mega situations. Sometimes, however, less distinctive events occur that may have a catastrophic impact on a business. In February 1981, an electric powered fire in the cellar of the State Workplace Building in Binghamton, Fresh York, spread throughout the basement of the building setting fire to a transformer containing over a thousand gallons of toxin-laden oil. Originally thought to be PCBs, the harmful toxins were soon determined to contain dioxin and dibenzofuran, two of the most dangerous chemicals ever created. The fire was dark and quickly filled the 18-story building with smoking. As the transformer burnt, the soot entered the buildings ventilation shafts and quickly spread toxic soot throughout the building. House was so badly contaminated it took 13 years and also $47 million to clean prior to building could be reentered or used. Because of the characteristics of the fire, the building and its particular contents, including all paper records, personal computers, and personal associated with the people who performed there, were not recoverable. This type of event would be irrecoverable for a lot of businesses. ” – Businesses Due Diligence, Published by McGraw Hill
What influence would a catastrophic typhoon that afflicted an whole region or a local disruptive event like a fire have on the procedure of your business? Could you survive that kind of interruption or loss? As the dependence on-line data has expanded in nearly every type of business, so has the risk that reduction of their data could disrupt the procedure of the business and even cause its complete failing. Reacting to these dangers, there has been an evolution in the methods used to mitigate these risks as the quantity of on-line data has continued to grow. Formerly, the idea of Tragedy Recovery (DR) emerged as a mitigation strategy that focused on the restoration of critical data after having a disruptive event by giving the organization the ability to restore disturbed IT operations.
Disaster Restoration (DR) involves a set in place of policies and types of procedures that permit the repair of critical business data and allows the THAT infrastructure to be renewed to a prior point out. DR was formerly viewed as the domain of the IT department who were given responsibility for minify the danger. To minimize the risk, system backups were scheduled frequently and intense DR plans that included server cold start types of procedures and data backups were implemented.
The goal was to restore the facilities to the last point where the data acquired been copied (at the time, typically on tape). The acceptable DR procedures at the time allowed the IT system to be rebooted when the facility power was finally restored… Unless it was in a flood area or the off-site back-up storage facility had also been impacted. In either case, the procedure of the facility could possibly be disrupted for a few time frame and the data restoration was also potentially in danger depending on where backups were stored.
Now let’s move the calendar ahead… Because technology evolved so would the Disaster Recovery strategies, which lead to new concepts that evolved to the requirements for a small business Continuity solution as a means of mitigating risk. Still viewed as the site of IT, as technology moved towards solutions like shadow servers, distributed data locations and broadband mass data transmission with excitable connectivity. Data did not have to be “recovered”, it merely requires had to be linked in distributed locations where it could be remotely accessed. Business Continuity mitigated the risk of data loss and allowed a business to restore much more quickly and proficiently from an African american Swan event because the servers never went completely down.
Business Continuity formerly encompassed planning and prep to ensure that the organization’s IT infrastructure continued to be intact enabling the business to proficiently recover to an operational state within a reasonably short time pursuing a Black Swan event. Technology today has developed towards cloud solutions that put both the data and the applications into remote “cloud” locations so it would seem to be the IT responsibility for excuse the risk of on the web loss of data or corruption has been fixed. With highly connected, completely distributed solutions, some individuals feel the need for business continuity may be diminishing in criticality. Nothing could be farther from the truth…