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BCM] [MOM] [E4] [CR] [BIA] [P2] Impact Area Of Business Functions for CBF-1 to CBF-6

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[P2] Consolidated Report for Impact Area Of Business Functions for CBF-1 to CBF-12

This chapter introduces Part 2: Impact Area of Business Functions, focusing on the six Critical Business Functions (CBF-1 to CBF-6) of the Ministry of Manpower (MOM).

The intent of this chapter is to systematically examine how disruptions to MOM’s core regulatory, operational, policy, and corporate functions may translate into tangible and intangible impacts across financial, legal, operational, reputational, and socio-economic dimensions.

Given MOM’s central role in safeguarding labour market stability, workforce safety, and national manpower resilience, even partial degradation of these functions can have cascading consequences for employers, workers, and the wider economy.

This chapter therefore, provides readers with a structured lens to understand where and how impacts manifest when critical functions are disrupted.

 

Dr Goh Moh Heng
Business Continuity Management Certified Planner-Specialist-Expert
MOM Legal Disclaimer Banner


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Banner [BCM] [E3] [BIA] [P2] Impact Area of Business FunctionsConsolidated Report for Impact Area Of Business Functions for CBF-1 to CBF-6 for MOM

This chapter introduces Part 2: Impact Area of Business Functions, focusing on the six Critical Business Functions (CBF-1 to CBF-6) of the Ministry of Manpower (MOM).[BCM] [MOM] [E4] [CR] [BIA] [P2] Impact Area of Business Function for CBF

The intent of this chapter is to systematically examine how disruptions to MOM’s core regulatory, operational, policy, and corporate functions may translate into tangible and intangible impacts across financial, legal, operational, reputational, and socio-economic dimensions.

Given MOM’s central role in safeguarding labour market stability, workforce safety, and national manpower resilience, even partial degradation of these functions can have cascading consequences for employers, workers, and the wider economy.

This chapter therefore, provides readers with a structured lens to understand where and how impacts manifest when critical functions are disrupted.

Purpose of Chapter

The purpose of this chapter is to support informed Business Impact Analysis (BIA) decision-making by establishing a consistent, evidence-based assessment of impact areas across CBF-1 to CBF-6.

Readers are guided to identify the severity of potential impacts, articulate estimated financial losses using defined calculation approaches, and assess the extent to which Minimum Business Continuity Objectives (MBCOs) may be affected.

By the end of this chapter, readers should be able to clearly differentiate between high-impact and lower-impact business functions, understand the rationale behind impact prioritisation, and apply this understanding to subsequent continuity planning, resource allocation, and resilience enhancement activities.

 

Banner [Table] [BCM] [E3] [BIA] [P2] Impact Areas of Business Functions  [BIAQ]

Table P2: Impact Area Of Business Functions for CBF-1 to CBF-12
Sub-CBF Code Sub-CBF Impact Area Financial Impact - Monetary Loss (Estimated) Financial Impact - Calculation of Monetary Loss (State Formula for Calculations) Impact on MBCO - Affect MBCO Impact on MBCO - Impact Remarks - Description

1.1

Policy & Regulation Design

Strategic / Regulatory Compliance

High (e.g., S$10M - S$50M annually)

Loss = GDP Impact × % Workforce Disruption × Duration

Yes

Critical – Policy failures disrupt the entire labour market framework

Development of fair and sustainable labour policies. BCM Institute Blog

1.2

Licensing & Permits

Legal / Operational / Reputational

Moderate to High (S$5M-S$20M)

No. of Delayed Permits × Average Loss per Worker per Month

Yes

Significant – Direct impact on workforce deployment

Issuance of work passes and permits. BCM Institute Blog

1.3

Inspections, Monitoring & Investigation

Legal / Compliance / Safety

High (S$10M-S$30M)

No. of Incidents × Avg. Compensation + Reputational Cost

Yes

Critical – Workplace safety and compliance

Conduct inspections and investigations. BCM Institute Blog

1.4

Adjudication & Dispute Resolution

Legal / Industrial Relations

Moderate (S$2M-S$10M)

No. of Disputes × Avg. Productivity Loss × Duration

Yes

High – Failure may escalate industrial action

Mediation and resolution of disputes. BCM Institute Blog

1.5

Enforcement Actions & Sanctions

Legal / Deterrence / Reputational

High (S$5M-S$25M)

No. of Non-Compliant Cases × Penalty Avoided + Enforcement Costs

Yes

Critical – Weak enforcement erodes trust

Sanctioning non-compliance. BCM Institute Blog

1.6

Stakeholder Engagement & Education

Reputational / Social / Compliance

Moderate (S$1M-S$5M)

(No. of Misguided Stakeholders × Avg. Compliance Cost) × Non-Compliance Rate

Yes

Moderate – Impacts overall compliance

Public awareness & education. BCM Institute Blog

1.7

Regulatory Intelligence & Risk Management

Strategic / Risk / Policy

High (S$10M-S$40M)

Est. Workforce Affected × Avg. Cost × Duration

Yes

Critical – Intell gaps undermine policy

Risk detection & forecasting. BCM Institute Blog

2-1

Policy & Planning

Strategic / Regulatory / Economic

SGD 1M-2M

Loss of productivity hours × avg GDP + policy delay cost × # sectors

High

Delay in policy updates impacts labour inflow management

Foreign workforce policy planning. BCM Institute Blog

2-2

Work Pass Application & Issuance

Operational / Reputational / Legal

SGD 2M-5M daily

(# pending apps × avg employer downtime cost per worker)

Very High

Directly impacts employer ops and worker availability

Work pass processing. BCM Institute Blog

2-3

Arrival, Onboarding & Deployment

Service / Social / Health & Safety

SGD 500K-1M

(# delayed workers × avg daily wage × downtime)

High

Bottlenecks affect onboarding & deployment

Worker entry and orientation. BCM Institute Blog

2-4

Monitoring, Compliance & Enforcement

Legal / Regulatory / Reputational

SGD 1M-3M

Estimated penalties avoided × compliance downtime + trust loss

High

Reduced ability to detect violations

Employer/worker compliance. BCM Institute Blog

2-5

Renewal / Transfer / Exit Management

Operational / Economic / Legal

SGD 1M-2M

(# expiring passes × avg renewal delay cost)

Moderate to High

Impacts manpower continuity and transition

Pass renewal & cancellations. BCM Institute Blog

2-6

Support Services & Well-being

Social / Health & Reputational

SGD 500K-1M

(# affected workers × avg support cost × duration)

Moderate

Affects worker welfare & public confidence

Welfare & mediation support. BCM Institute Blog

3.1

Policy & Standards Development

Regulatory governance

Medium (S$200K-S$500K)

Cost of policy delays + remediation

Yes

Delays compromise regulatory leadership

WSH policy & standards. BCM Institute Blog

3.2

Legislative & Regulatory Oversight

Legal compliance

High (S$500K-S$2M)

Regulatory non-compliance penalties + legal costs

Yes

Breach of statutory obligations

Oversight of WSH laws. BCM Institute Blog

3.3

Risk-Based Inspections & Enforcement

Worker safety, assurance

Very High (S$1M-S$5M+)

Increased accident costs + enforcement backlog

Yes

Direct threat to worker safety & credibility

Prioritised inspections. BCM Institute Blog

3.4

Monitoring & Surveillance Programmes

Early warning

High (S$800K-S$3M)

Cost of undetected risks + reactive interventions

Yes

Reduced ability to detect emerging risks

Workplace surveillance. BCM Institute Blog

3.5

Accident Reporting & Investigation

Incident response

Very High (S$1M-S$10M)

Delayed investigations + litigation + compensation

Yes

Delays undermine trust

Accident intake & investigation. BCM Institute Blog

3.6

Stakeholder Engagement & Education

Industry compliance

Medium (S$150K-S$400K)

Cost of re-engagement + non-compliance incidents

Partial

Disrupted outreach affects awareness

Engagement with employers/workers. BCM Institute Blog

3.7

Competent Person Certification

Workforce competency

High (S$500K-S$2M)

Backlog processing + interim controls

Yes

Delays affect industry capability

WSH professional certification. BCM Institute Blog

3.8

Performance Monitoring & Reporting

Governance

Medium-High (S$300K-S$1M)

Cost of inaccurate reporting + audits

Yes

Impaired strategic decisions

WSH performance tracking. BCM Institute Blog

4.1

Labour Market Analysis & Forecasting

Economic stability

Estimated cost of delayed policy response

(Cost of Delay) × (# Affected Programs)

Yes

Delayed insights affect policy making

Labour market forecasting. BCM Institute Blog

4.2

Job Matching & Placement Services

Employment services

Cost of unemployment benefits if delayed

(# Unmatched × Avg Unemployment Benefit)

Yes

Rise in unemployment

Job placement continuity. BCM Institute Blog

4.3

Work Pass & Foreign Talent Policy Services

Immigration policy compliance

Loss of foreign talent, business delays

(# Delayed Apps × Avg Salary)

Yes

Hiring delays affect sectors

Work pass & policy services. BCM Institute Blog

4.4

Skills Development & Transition Support

Training continuity

Loss of training funds due to cancellations

(# Cancelled Sessions × Cost per Session)

Yes

Training delays affect workforce

Skills programs. BCM Institute Blog

4.5

Incentives & Employment Support Schemes

Scheme disbursement

Cost of delayed disbursements

(Delayed Incentive) × (# Recipients)

Yes

Affects vulnerable employment groups

Support schemes. BCM Institute Blog

4.6

Stakeholder Engagement & Tripartism

Labour relations

Cost of missed engagements

(# Missed Engagments × Negotiation Cost)

Partial

Indirect effects on policy alignment

Stakeholder engagement. BCM Institute Blog

4.7

Monitoring & Rapid Response

Crisis response efficiency

Cost of delays in crisis response

(Delay Duration) × (Cost of Response)

Yes

Delays worsen disruption

Rapid response functions. BCM Institute Blog

4.8

BCM Integration & Continuity Processes

Organizational resilience

BCM system failures increase response times

(System Downtime × Avg Downtime Cost)

Yes

Slows recovery

BCM integration. BCM Institute Blog

5.1

Environmental Scanning & Labour Market Analysis

Strategic disruptions

Loss in strategic alignment & revenue opportunities

Loss of revenue opportunities due to unforecasted labour market shortages

Yes

High delays in policy initiatives

Forecasting disruptions. BCM Institute Blog

5.2

Policy Development & Formulation

Policy delays

Loss of economic opportunity

Lack of timely policy responses causes inefficiencies in the labour market response

Yes

Medium – delayed response

Policy creation. BCM Institute Blog

5.3

Strategic Workforce Planning & Scenario Modelling

Workforce allocation

Reduced productivity & hiring cost increases

Inability to adjust workforce needs to meet strategic goals

Yes

High misalignment with goals

Strategic planning. BCM Institute Blog

5.4

Stakeholder Engagement & Consultation

Communication disruptions

Loss of support for policies

Inability to gain stakeholder buy-in, affecting policy effectiveness

Yes

Medium – implementation challenges

Stakeholder engagement. BCM Institute Blog

5.5

Policy Implementation Planning

Execution delays

Increased costs and inefficiencies

Inefficient implementation of policies leads to resource wastage

Yes

High inefficiency

Implementation planning. BCM Institute Blog

5.6

Monitoring, Evaluation & Feedback

Lack of feedback loops

Missed policy improvements

Continued ineffective policies and resource misallocation

Yes

High risk in adaptability

Monitoring & evaluation. BCM Institute Blog

5.7

BCM Integration & Contingency Policies

BCM breakdown

Disruption to strategic initiatives

Inability to ensure policy continuity during crises

Yes

Very High – long-term damage

BCM contingency integration. BCM Institute Blog

6.1

Governance & Strategic Planning

Strategic oversight loss

High (missed opportunities, fines)

Estimated cost of missed actions

Yes

Delays in project approvals & non-compliance

Strategic governance continuity. BCM Institute Blog

6.2

Financial Management & Resource Allocation

Delays in financial ops

Medium (budget impact)

% Operational budget × delays

Yes

Affects budget & staff compensation

Financial continuity. BCM Institute Blog

6.3

Human Resource Continuity

Loss of personnel

High (payroll/hiring cost)

Payroll cost + replacement cost

Yes

Workforce shortages affect services

HR continuity. BCM Institute Blog

6.4

Procurement & Contract Management

Delays in procurement

Medium

Avg cost of delayed contracts

Yes

Project delays & cost overruns

Procurement continuity. BCM Institute Blog

6.5

IT Infrastructure & Digital Services

Loss of IT systems

Very High (downtime + breach costs)

Downtime + cybersecurity + restoration

Yes

Halts operations, delays decision-making

IT continuity. BCM Institute Blog

6.6

Internal Administration & Facilities Mgmt

Facility disruptions

Medium (downtime & repairs)

Facility downtime & repair costs

Yes

Facility disruptions could affect the day-to-day operational efficiency and the safety of employees

Administrative and facilities management is essential for MOM’s internal operations. Facility disruptions could lead to inefficiencies and employee safety concerns.

 
 

Banner [BCM] [E3] [BIA] [Summing Up] [P2] Impact Areas of Business Functions  [BIAQ]

In conclusion, Part 2: Impact Area of Business Functions establishes a critical foundation for MOM’s overall Business Impact Analysis by translating abstract disruptions into concrete, assessable consequences.

The insights derived from evaluating impact areas across CBF-1 to CBF-6 enable management to prioritise recovery strategies, justify resilience investments, and align continuity objectives with MOM’s statutory and societal responsibilities.

This chapter serves as a key bridge between understanding MOM’s business functions and designing effective, proportionate, and risk-informed continuity and resilience strategies in the chapters that follow.

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Consolidated Report for BIAQ (Part 1 to Part 6) for CBF-1 to CBF-6
PM: BIA BIAQ T1 P1 BIAQ T1 P2 BIAQ T2 P3
Consolidated Report for BIAQ (Part 1 to Part 6) [BCM] [MOM] [E4] [CR] [BIA] [P1] Identification of Business Functions for CBF [BCM] [MOM] [E4] [CR] [BIA] [P2] Impact Area of Business Function for CBF [BCM] [MOM] [E4] [CR] [BIA] [P3] Impact Over Time of Business Function for CBF
CBF BIAQ T2 P4 BIAQ T3 P5 BIAQ T3 P6
[BCM] [MOM] [E1] [C10] Identifying Critical Business Functions [BCM] [MOM] [E4] [CR] [BIA] [P4] Supporting IT Systems and Applications for CBF [BCM] [MOM] [E4] [CR] [BIA] [P5] Inter-dependencies for CBF [BCM] [MOM] [E4] [CR] [BIA] [P6] Vital Records for CBF

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To learn more about the course and schedule, click the buttons below for the  BCM-300 Business Continuity Management Implementer [BCM-3] and the BCM-5000 Business Continuity Management Expert Implementer [BCM-5].

 

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