Operational Risk and Resilience

The difference between success and failure in today's business environment is often dependent on organizations achieving and maintaining best in class service delivery levels with processes that are more reliable, less costly, more efficient or better than those of competitors.
At an operational level, the management of processes particularly those supporting e-business initiatives that meet or exceed demanding strategic objectives and operational service level requirements involves a number of core activities:
planning and maintenance;
defining performance measurement processes;
setting and monitoring operational buffers;
establishing operational back-up and recovery arrangements;
preparing and implementing operational contingency facilities; and
managing external communications.
Each of these actifities is examined in more detail in the following paragraphs.
The design, build and maintenance of processes should be a structured process subject to strict project management disciplines that ensure that every aspect of the process has been evaluated and its potential weaknesses identified and addressed. The design and maintenance process should ensure that process change is managed to maximize the speed of transformation with minimal impact on service delivery levels.
Today, most organizations have far too many performance measures. However, in most cases these measures generally do not include measurements relevant to the management of operational resilience. To ensure the development of a relevant and useful performance measurement system, some basic design principles must be followed. Performance measures should be selected by establishing a clear view of the organization's business goals and operational performance...