Understanding Business Continuity Plan Audits: Steps to Develop Your Own

A business continuity plan (BCP) audit helps evaluate how well a company’s business continuity processes are running. The main aim is to see if the plan is effective and matches the company’s goals.

You can conduct a BCP audit internally or bring in an outside firm. An external audit can provide an unbiased perspective, while an internal team typically understands the company’s specific needs better. The choice between the two depends on what fits the organization best.

The audit should enhance corporate resilience and critical business functions. An internal audit identifies risks that could derail the plan and assesses whether existing controls handle those risks effectively. It also highlights weaknesses in the plan and offers suggestions for improvement.

Using clearly defined frameworks, like those from the British Standards Institution (BS 25999) or the International Organization for Standardization (ISO 22301:2019), ensures the audit aligns with industry benchmarks.

BCP Audit Objectives
The key objectives of a good BCP are to reduce downtime during interruptions, protect employees in case of disasters, limit financial losses from incidents, and restore essential functions post-incident. An audit works to confirm that the plan meets these objectives. Each organization’s requirements may differ, so the audit team must keep those in mind while maintaining some common goals.

A BCP audit validates the effectiveness of the continuity plan and checks if all components work seamlessly. It assesses the plan’s execution, ensuring that business continuity and disaster recovery processes align with organizational standards. If there are any gaps, the audit should recommend necessary updates.

What Gets Audited in a BCP?
Several elements are scrutinized during a BCP audit. The organization needs to evaluate how effectively it manages risks and maintains critical operations, focusing on:

• Governance: Are roles and responsibilities clear?
• Risk Management: Does the plan cover all necessary risks? Is the business impact analysis comprehensive?
• Recovery Strategy: Are critical processes prioritized and protected, and are data protection measures outlined?
• Communications: Are there established protocols for stakeholder communication?
• Compliance: Does the plan meet industry standards? Has a gap analysis been done?
• Training: Are key personnel adequately trained for their roles in recovery?

Benefits of a BCP Audit
Organizations face unpredictable risks from various sources like cyberattacks and natural disasters. Auditing strengthens business continuity management by identifying strengths and areas needing improvement. A thorough audit delivers actionable feedback, aligning the plan with industry best practices.

As technology and risks evolve constantly, regular audits are vital to keep the BCP relevant and effective.

Considerations for a BCP Audit
Several factors must be taken into account during a BCP audit:

• Scope: Does the audit encompass both business continuity and disaster recovery plans?
• Management: Are roles and responsibilities well-defined? Is accountability clear?
• Accuracy: Are all reports current and readily available? Does the audit maintain objectivity?
• Maintenance: Is the BCP a living document that updates with organizational changes?
• Confidentiality: Are the results of the audit well-protected, especially given the rising cybersecurity threats?

Creating a BCP Audit
Developing a BCP audit can be straightforward or detailed, based on your needs. Here’s a simple framework:

1. Prepare your audit plan by outlining scope and schedule.
2. Review documentation like BCDR plans and risk assessments. Update any gaps.
3. Apply relevant standards and regulations to confirm initial findings.
4. Identify necessary audit controls and prepare paperwork reflecting continuity metrics.
5. Conduct interviews with key personnel across the organization.
6. Draft an audit opinion report to discuss with stakeholders.
7. Complete a final audit report and share findings.
8. Create an action plan to address audit results.
9. Implement the action plan on time.
10. Schedule the next BCP audit.

Familiarizing yourself with business continuity certifications can further ensure that your team possesses the necessary knowledge and skills for disaster readiness.