CBCP-002 Certified Business Continuity Professional (CBCP) Questions and Answers

Business continuity planning is not a one-time activity, but a dynamic and ongoing process that needs to be reviewed and updated regularly to reflect changes in the internal and external environment. The frequency of review may vary depending on the nature and size of the organization, but it is generally recommended to conduct a review at least annually or whenever significant changes occur that may affect the continuity of the organization’s functions and processes. Such changes may include organizational restructuring, new products or services, new technologies, new regulations, new threats or vulnerabilities, or lessons learned from incidents or exercises. Verified References: https://www.ready.gov/business-continuity-plan https://drii.org/resources/professionalpractices/EN

Risk control is the control mechanism that is the process by which an organization reduces the likelihood of a risk event occurring or mitigates the effects should it occur. Risk control is the process of implementing measures or actions to modify or influence the risk level of an organization. Risk control can involve various strategies, such as avoidance, reduction, transfer, sharing, retention, or acceptance. Risk control can help to improve the organization’s resilience and performance. Verified References: https://www.investopedia.com/terms/r/risk-control.asp https://www.thebci.org/training-qualifications/good-practice-guidelines.html

The three components of a business continuity plan are emergency response, incident management, and disaster recovery. They are:

• Emergency response: This component involves the immediate actions taken to protect the life, health, and safety of people and the environment in the event of a disruption. Emergency response may include activating alarms, evacuating premises, contacting emergency services, or providing first aid.
• Incident management: This component involves the coordination and communication of the activities and resources required to manage and resolve a disruption. Incident management may include activating the business continuity team, declaring a disaster, assessing the impact, activating the recovery strategies, or communicating with stakeholders.
• Disaster recovery: This component involves the restoration and recovery of the IT systems, data, and infrastructure that support the critical functions and processes of the organization. Disaster recovery may include activating the backup systems, restoring the data, repairing or replacing the equipment, or testing the functionality. Verified References: https://www.ready.gov/business-continuity-plan https://www.csoonline.com/article/515730/business-continuity-and-disaster-recovery-planning-the-basics.html

A risk register is a register that maintains information on all the identified risks relating to an organization. A risk register is a document or a tool that records and tracks the details of each risk, such as its description, source, impact, likelihood, rating, owner, status, response strategy, action plan, and monitoring method. A risk register is a useful tool for managing risks and communicating them to stakeholders. Verified References: https://www.investopedia.com/terms/r/risk-register.asp https://www.thebci.org/training-qualifications/good-practice-guidelines.html

The four T’s of risk guidance produced by the Office of Government Commerce are transfer, tolerate, treat, and terminate. They are:

• Transfer: This strategy involves transferring or sharing some or all of the responsibility or impact of a risk to another party, such as an insurer, a supplier, or a partner.
• Tolerate: This strategy involves accepting or retaining a risk without taking any further action to reduce it, either because the risk level is acceptable or because the cost or effort of reducing it is not justified.
• Treat: This strategy involves taking steps to reduce the likelihood or impact of a risk to an acceptable level, such as implementing controls, mitigations, or contingency plans.
• Terminate: This strategy involves eliminating or avoiding a risk by discontinuing or changing the activity that causes it. Verified References: https://www.investopedia.com/terms/t/the-four-ts.asp https://www.thebci.org/training-qualifications/good-practice-guidelines.html

The primary reason for developing and implementing a business continuity plan is to ensure the continuation of a company’s critical functions and processes in the face of a disruption that may otherwise cause severe losses or damage to the company’s reputation, assets, customers,or stakeholders. A business continuity plan can help a company to resume operations as quickly as possible after a disruption, minimize the impact on its performance and profitability, protect its brand and image, and fulfill its legal and contractual obligations. Verified References: https://www.ready.gov/business-continuity-plan https://drii.org/resources/professionalpractices/EN

BIA helps to identify all of the above aspects of an organization’s functions and processes. It helps to identify the critical services and products that the organization delivers to its customers and stakeholders, and the functions and processes that support them. It also helps to identify the critical interdependencies and interested parties that are involved in or affected by the organization’s functions and processes, such as suppliers, partners, regulators, or employees. Moreover, it helps to identify the tangible and intangible impacts of a disruption tothe organization’s functions and processes over a period of time, such as financial losses, reputational damage, legal liabilities, or customer dissatisfaction. Verified References: https://www.ready.gov/business-impact-analysis https://drii.org/resources/professionalpractices/EN

In the event of a disaster, notification shall be given to each employee by either the HR Department Manager or through the firm’s emergency notice system. This is true because communication is a vital component of any disaster recovery and business continuity plan. Employees need to be informed of the situation, their roles and responsibilities, and the actions they need to take to ensure their safety and the continuity of the business. The HR Department Manager or the emergency notice system are the designated channels for communicating with employees during a disaster. Verified References: https://www.ready.gov/business-continuity-plan https://www.csoonline.com/article/515730/business-continuity-and-disaster-recovery-planning-the-basics.html

A formal “disaster” can only be declared by the firm owners or by the IT Department Manager. This is false because a formal “disaster” can be declared by any authorized person who has the responsibility and authority to activate the business continuity and disaster recovery plan. The authorized person may vary depending on the type, scope, and severity of the disaster, but it should be clearly defined in the plan who can declare a disaster and under what circumstances. The authorized person should also communicate the declaration of a disaster to all relevant stakeholders, such as employees, customers, suppliers, partners, regulators, media, or the public. Verified References: https://www.ready.gov/business-continuity-plan https://www.csoonline.com/article/515730/business-continuity-and-disaster-recovery-planning-the-basics.html