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The Need for Building an Effective Business Service Recovery Plan

Service recovery is an essential part of Effective business planning.  A Service Recovery Plan should address the activities and efforts that need to be made whenever your business is heading towards any sort of turbulence. If necessary steps are taken before time, this can lead to saving a lot of resources and time.  You never know what can go wrong during the execution of your business, so it is highly recommended that you provide your company with the probable solutions during unforeseen events. You need to analyze all the possible risks that you may encounter and develop a verified plan which can be implemented. If necessary steps have not been taken to recover from such incident, your company will suffer from massive losses.

An effective business strategy needs to encounter all the changes that might occur during the course of action. It is extremely important that you should review and analyses conditions like strategic company initiatives and business drivers. These factors need to be kept in mind before any decision has been made to salvage the service. Any business service is considered to be in trouble and needs to be recovered during its execution state, if it is anticipated that it might exceed the estimated budget or timeline. It may also be in danger if the overall quality is deteriorating, which can lead to unsatisfied customers.

An interesting case study which effectively demonstrates the advantage of building a successful recovery plan is given here. Aeneas is one of the leading operators of Mobile and Internet services. As the company is located in Tennessee, USA; they are very well aware of the natural disasters that might cause disruption in their services. Due to this reason they have designed a recovery plan for their services.

In 2003, Aeneas was among those 400 businesses that were hit by F4 tornado. This tornado was one of the most dangerous ones that hit Tennessee. A damage of $50 million was estimated to the local community beside the valuable lives that were lost.  A loss of more than $1 million was suffered by Aeneas due to damages in hardware and software. It was thought that this business might never be able to recover from this enormous loss, but the brains behind designing the business model for the company had made sure to inculcate a productive business recovery plan. They had efficient backup systems and the employees were able to work from other locations.

Due to their effective backup systems, there was no break in service delivery to the customers. Within 72 hours, after this huge natural disaster Aeneas was fully back in service. Most of the residential phone customers and smaller enterprise did not even notice any problems in the services. This all was a result of the long term and worst case planning of the company. The senior management had made the right choices and decisions to design the backup plan. As a result they were able to restore the core of their services, due to the vigorous spirit of the motivated employees who put in maximum efforts to restore the affected services of the company. In order to develop a Business recovery plan it is important to determine the scope and business possibilities of your company, only then you will achieve the desired results.