Estimated Reading Time: 5 minutes
By Christy Grano
Resource Type: Risk eNews
Topic: Business Continuity Planning, Data Privacy, Tech Risk, Cybersecurity
For most of us, the word “disaster” usually brings to mind a natural disaster like a hurricane or a tsunami, but in the risk management world technology disasters immediately come to mind. An unexpected loss of data or communication can bring an entire organization to a halt if power, internet, email, or cell service is compromised. Today, Information Technology professionals use the word “disaster” to refer to data loss—a disaster because the traumatic loss of records, websites, files, and other data is devastating to organizations. Data loss can be caused by internal mishaps like an employee losing a laptop, a sprinkler system going off in a server room, or a colleague accidentally wiping a financial record. Losses also come from outside an organization in the form of ransomware, phishing attacks, or other cybersecurity threats.
Unfortunately, many nonprofit leaders are unaware of where their data lives, much less what steps to take should it be lost. To combat technology risks thoughtful organizations develop disaster recovery plans to map out recovery strategies for various types of data loss, and business continuity plans that prepare the organization’s critical operations to continue running smoothly through a technology mishap.
Rather than anticipate every technology disaster that could occur, at NRMC we encourage nonprofit leaders to delve into tech risks by focusing on three areas of vulnerability: data, communication, and technology personnel. Here are some basic questions to ask yourself as you start to build your disaster recovery and business continuity plans with respect to technology:
If your answer is ‘no’ or worse, “I don’t know,” resolve to get up to speed with the answers before the data is lost, the phone lines are down, or the webmaster gets the measles! You don’t want to be taking care of your technology on the fly in mission critical situations.
A bit of good news is that since technology concerns and risks are virtually universal—regardless of organization type or size—there are countless resources, advisors, and tools to help organizations of any size anticipate and prepare for technology mishaps. With so much critical information being sent back and forth on the internet today, technology providers are motivated to provide secure data solutions. With the help of a knowledgeable IT professional, affordable plans can usually be created to prepare for most types of technology loss.
After identifying assets and exposures related to data, communication and personnel, it’s time to put a plan in place that will reduce the time it takes to get back up and running with your regular IT assets and resources. Don’t forget to test and reinforce your recovery and back up plans. Organizations that conduct emergency drills and tests are much more likely to find calm in the storm of a true crisis. Reinforcing your policies and practices can be as simple as reminding employees where an emergency handbook can be found, including your plan as part of new employee orientation sessions, or conducting periodic data recovery exercises. A robust, tested plan will be well worth it when a real technology disaster arrives.
For additional information on risks related to technology use, see these additional NRMC resources:
“First let me congratulate you on a conference well done. I had a great time at the Nonprofit Employee Benefits Conference and walked away with some valuable tools and questions that we’ll need to be addressing in both the short and long term. Thanks to you and your staff for all you do to provide us with quality resources in support of our missions.”
“BBYO’s engagement of the Center to conduct a risk assessment was one of the most valuable processes undertaken over the past five years. Numerous programmatic and procedural changes were recommended and have since been implemented. Additionally, dozens (literally) of insurance coverage gaps were identified that would never have been without the work of the Center. This assessment led to a broker bidding process that resulted in BBYO’s selection of a new broker that we have been extremely satisfied with. I unconditionally recommend the Center for their consultative services.
“Melanie Herman has provided expert, insightful, timely and well resourced information to our Executive Team and Board of Directors. Our corporation recently experienced massive growth through merger and the Board has been working to better integrate their expanded set of roles and responsibilities. Melanie presented at our Annual Board of Director’s Retreat and captured the interest of our Board members. As a result of her excellent presentation the Board has engaged in focused review which is having immediate effects on governance.”
“The Nonprofit Risk Management Center has been an outstanding partner for us. They are attentive to our needs, and work hard to successfully meet our requests for information. Being an Affiliate member gave us access to so many time- and money-saving resources that it easily paid for itself! Nonprofit Risk Management Center is truly a valued partner of The Community Foundation of Elkhart County and we are continuously able to optimize staff time with the support given by their team.”
“The board and staff of the Prince George’s Child Resource Center are extremely pleased with the results of the risk assessment conducted by the Nonprofit Risk Management Center. A thorough scan revealed that while we are a well run organization, we had risks that we never imagined. We are grateful to know that we have now minimized our organizational risks and we recommend the Center to other nonprofits.”
Great American Insurance Group’s Specialty Human Services is committed to protecting those who improve your communities. The Center team has committed to delivering dynamic risk management solutions tailored to nonprofit organizations. These organizations have many and varied risk issues, hence the need for specialized coverage and expert knowledge for their protection. We’ve had Melanie speak on several occasions to employees and our agents. She is always on point and delivers such great value. Thank you for the terrific partnership and allowing our nonprofits to focus on their mission!