Business Impact Analysis
BIA is carried out by an auditor with the objective of identifying a single point of failure. The auditor checks for any component whose failure would significantly impair or halt a company’s operations. The auditor evaluates the potential impact of disruptions, considering aspects such as loss of sales, additional expenses such as regulatory fines, and the potential procurement of new equipment. BIA primarily focuses on understanding the consequences, both operational and financial, that may follow a disaster or disruption. Some key concepts of BIA include the following:
- Recovery Point Objective (RPO): The RPO is determined by identifying the maximum age of files or data that an organization can afford to lose without experiencing unacceptable consequences. It’s fundamentally related to data backup frequency. For instance, if a company sets an RPO of three hours, it means the organization must perform backups at least every three hours...