[OR] Guiding Principles for Operational Resilience

Guiding Principles for Operational Resilience

In operational resilience, Guiding Principles are fundamental ideas or beliefs that serve as the foundation for building and maintaining an organisation's ability to withstand, adapt to, and recover from disruptive events.

These principles act as a constant focal point, providing direction and focus throughout the operational resilience lifecycle from the initial plan phase, followed by the implement phase and settling down with the Sustain phase, which is the ongoing management and improvement.

Operational resilience should be guided by consistent principles throughout its lifecycle, from planning to sustaining. Here is the breakdown of critical principles for the three operational resilience planning phases.

Focus on Critical Business Services

• Identify the critical business services or operations for business continuity and prioritise resilience efforts around them.

Proactive and holistic approach

• Consider potential disruptions, from internal failures to external threats, and plan for diverse scenarios.

Risk-based approach

• Assess and prioritise risks based on their potential impact on critical operations and allocate resources accordingly.

Governance and Ownership

• Establish clear leadership and accountability for operational resilience, with defined roles and responsibilities across all levels of the organisation.

Scenario Planning and Testing

• Develop detailed scenarios of potential disruptions and regularly test response plans to identify vulnerabilities and improve preparedness.

Integration with Existing Frameworks

• Align operational resilience initiatives with existing risk management, business continuity, crisis management, cyber resilience and third-party risk management programs to avoid duplication and leverage existing resources.
  

Communication and Engagement

• Foster open communication about operational resilience goals and plans across all departments and stakeholders, actively involving them in the implementation process.

Resource Allocation and Investment

• Allocate adequate resources, including funding, technology, and personnel, to build and maintain robust operational resilience capabilities.

Technology and Automation

• Leverage technology and automation tools to improve risk monitoring, incident response, and recovery efforts.

Metrics and Reporting

• Establish clear metrics to track progress, measure the program's effectiveness, and inform continuous improvement.
  

Continuous improvement

• Regularly review and update operational resilience plans based on learnings from testing, exercises, and real-world incidents.

Adaptability and Flexibility

• Maintain a flexible and adaptable approach to respond to emerging threats and evolving risk landscapes.

Culture of Resilience

• Foster a culture of risk awareness, preparedness, and continuous improvement within the organization.

Learning and Knowledge Sharing

• Encourage open communication and collaboration to share best practices and lessons learned across the organization.

External Collaboration

• Build strong relationships with external partners, such as vendors, regulators, and industry peers, to learn from their experiences and access necessary resources during disruptions.

Summing Up ...

By adhering to these guiding principles, organisations can build and maintain robust operational resilience, ensuring continued business operations and adapting to challenges in a constantly changing environment.

Remember, operational resilience is not a one-time project, a “one-time-exercise-and-done” or a “point-in-time” exercise, but an ongoing process that requires commitment, collaboration, and continuous improvement.

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