Step 3) Identify Risks and Assess Impacts

Step 3

IS YOUR COMPANY PREPARED FOR THE WORST?


Every organization is at risk from different types of risks such as natural hazards, human caused hazards
and technological hazards. Every risk has unique needs which may require special planning.

Download our Risk Matrix Template (PDF).
  

STEP ONE: Start with a list of all the hazards your business might face


Security: Theft, vandalism, cyber attack, fraud, sabotage
Infrastructure: Fire, hazardous materials, power outage, loss of utilities
Operational: Supply chain, transportation, IT and telecommunications disruptions
Severe Weather: Flooding, tornado, hail, windstorm, lightning
Personal: Pandemic, loss of staff, labour action

STEP TWO: Create an inventory of critical business assets and processes

 
What things are essential to keeping your business running?

STEP THREE: Develop a Risk Analysis for your business


Imagine how each hazard might affect the items on your business inventory.

STEP FOUR: Develop a Business Impact Assessment


Assess each risk and imagine how they could potentially affect your ability to continue operating as well as
the financial impact for your business.

Potential impacts on your business could be:

  • Loss of services (power, water, gas and communications);
  • Damage to building, parking facilities and neighbouring buildings;
  • Loss of important files and critical business data;
  • Damage to inventory and equipment;
  • Employee injury;
  • Damage to employee homes, school closures and to roads or transportation networks;
  • Disruption to business network.