EXPECTING THE UNEXPECTED
CFO Survey Finds Not All Companies Have Disaster Recovery Plans in Place
MENLO PARK, CA -- Most executives hope for the best but still prepare for the worst. In a new survey, 57 percent of chief financial officers (CFOs) said their companies currently have a business continuity plan in place to recover from a disaster. But more than one-third (36 percent) of respondents said their firms are not prepared for a catastrophic event or other major disruption.
The survey was developed by Robert Half Management Resources, the world's premier provider of senior-level accounting and finance professionals on a project basis. It was conducted by an independent research firm and includes responses from 1,400 CFOs from a stratified random sample of U.S. companies with more than 20 employees.
CFOs were asked, "Does your company currently have a business continuity plan in place in case a catastrophic event impacts your firm's operations?" Their responses:
|Don't know/no answer||7%|
"Companies cannot afford to ignore the possibility of a disaster or significant business disruption that can jeopardize physical assets, operations and employees," said Paul McDonald, executive director of Robert Half Management Resources. "Business continuity plans should be current and flexible -- outdated or untested methods provide a false sense of security, leaving companies at greater risk of operational failure."
McDonald added that while the New York Stock Exchange and the National Association of Securities Dealers have proposed rules that would require business continuity plans for member organizations, all firms could benefit from contingency planning. "The basic elements of a strategy include the prioritization and recovery of both critical business processes and supporting systems. Companies should avoid focusing solely on one aspect of a business continuity plan, such as IT systems, at the risk of overlooking another critical function such as customer service."
Robert Half Management Resources has locations in major cities throughout North America, Europe and Australia, and offers online job search services at www.roberthalfmr.com.
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