New business continuity standard is a route to competitive advantage: Aon

Hugh Leighton, risk consultant director at Aon, comments on today’s launch of British Standard Institute’s specification for business continuity management (BS 25999 Part 2) which formally assesses a business’s plans.

‘Gaining certification for business continuity plans is the next step in strengthening competitive advantage for organisations, while offering a benchmark for insurance and risk professionals,’ said Leighton.

He added: ‘Part 2 is about how to gather the evidence and develop techniques, either through internal assessment or formal certification, to measure an organisation’s ability to react when things go wrong. Over the next few years, we anticipate buyers demanding that their key suppliers demonstrate evidence of independent assessment or self-assessment as a matter of course. For example, even though the standard is not a legal obligation, a retailer may request that all suppliers submit confirmation of compliance as part of their tender.’

“Demonstrating robust business continuity processes could have a positive impact on the bottom line by strengthening the supply chain and acting as a marketing opportunity for businesses looking to attract new customers

Hugh Leighton, risk consultant director at Aon

Continuing: ‘As such, demonstrating robust business continuity processes could have a positive impact on the bottom line by strengthening the supply chain and acting as a marketing opportunity for businesses looking to attract new customers.’

‘Meanwhile, insurers have long recognised the value of good business continuity management as evidence of active risk management. We’re actively encouraging the insurance market to adopt BS 25999 as their default standard and in turn reward organisations through more favourable premiums.’