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Architect's Guide to Business Continuity

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Architect's Guide to Business Continuity Architect’s Guide to Business Continuity Guidance for reducing firm disruption Business Continuity Planning is preparation—of people, premises, technology, information, supply chains, stakeholders, and reputation—for adverse events so the firm can continue to provide services, generate revenue, and reduce the negative consequences of business interruption Interim release published March 2020 Update published June 2021 The 2021 update includes a refined Business Continuity Planning Process that includes a resource inventory, business impact analysis, recovery strategies and solutions, risk assessment, and risk treatment plan, updated worksheets, new interactive workbooks and case studies, and additional checklist items in the guide’s section on preparing for and responding to a disruption. Acknowledgements The American Institute of Architects (AIA) recognizes that buildings and communities are subjected to destructive forces from natural and human-caused hazards. Architects and their businesses must also be resilient to disasters and disruption in order to protect themselves and service clients. The AIA would like to recognize the expertise and generosity of the following individuals that contributed to the creation of this Guide: 2019–2021 Resilience & Adaptation Adrienne Montare, FAIA Ann Casso, Hon. AIA** Advisory Group: Contributing authors William Robarge, AIA Behrooz Emam, AIA, PE, CFM Allison Anderson, FAIA, 2019 Chair Matthew Tierney, AIA James Germano, Esq.** Dr. Janice Barnes, AIA, 2021 Co-chair** Meghan Walsh, AIA Scott Knudson, AIA Aaron Bowman, AIA Sandi Worthman Kathleen McCormick, CAE Elizabeth Camargo, AIA* Danilo Lopez, AIA* Louis Conway, Intl. Assoc. AIA 2019-2021 Small Firm Exchange Kyle Martin, AIA* Jori Erdman, AIA representatives: Reviewers & advisors William Melby, AIA Jeffrey Gill, FAIA Harry Gaveras, AIA Michael Mitchell, CFM Rosemarie G. Grant, AIA Jay A. Knetter, AIA Jenifer Navard Ann Kosmal, FAIA Michael W. Lassel, AIA** Kristen Nyht, AIA* Nancy McNabb, AIA Michael Lejong, AIA Praveen Patel, PMP, CSPO, CSM Gail Napell, AIA, 2020 Chair** Warren Lloyd, AIA Brian Poppe, AIA* Robert Phinney, AIA Kurt Neiswender, AIA* Jay Raskin, FAIA Dr. Nicholas Rajkovich, AIA Bill Peck, AIA Mark Ripple, FAIA Megan Recher, AIA, 2021 Co-chair** Lara Presber, AIA Fredric W. Schultz, CPCU, ARM Robin Seidel, AIA Eva Read-Warden, AIA Chris Schmitt, AIA* Business continuity consultants 2019 & 2020 Disaster Assistance Bruce Sekanick, AIA* Fiona Raymond-Cox, FBCI, Principal, Raymond-Cox Consulting* Committee: Contributing authors & peer Christopher A. Toddy, AIA, 2019 Chair Victor Vela, CBCP, Sr. Consultant, Raymond- reviewers Cox Consulting* John Blumthal, FAIA 2019–2020 Center for Practice: Ava Christie, AIA Reviewers & advisors Climate science consultant Albert Comly Jr., AIA Stacey Keller, AIA Anne Waple, Founder and CEO, Studio 30K* J. Scott Eddy, AIA, 2019/2020 Chair Katherine N. Peele, FAIA Kenneth J. Filarski, FAIA David Richards, FAIA, AIA, 2019 Chair Shawn Gillen, AIA Editors Lindsay Brugger, AIA, Sr. Manager, Resilient Janine Glaeser, AIA Peer contributors, reviewers, & advisors Communities** Kathleen Gordon, Assoc. AIA Michael Bomba, Esq.** Rachel Minnery, FAIA, Sr. Director, Resilience, Christopher Kiefer, AIA Glenn Birx, FAIA Adaptation, & Disaster Assistance** Lester Meu, AIA Islay Burgess, AIA *Indicates contributors to the 2021 update of this Guide Architect’s Guide to Business Continuity **Indicates contributors to the 2020 interim release and 2021 update of this Guide 2 We want to hear from you! Take this survey and tell us about your experience using this guide. “The AIA supports policies, programs, and practices that promote adaptable and resilient buildings and communities. Buildings and communities are subjected to destructive forces from natural and human-caused hazards such as fire, earthquakes, flooding, sea level rise, tornadoes, tsunamis, severe weather, and even intentional attack. The forces affecting the built environment are evolving with climate change, environmental degradation, population growth, and migration; this alters long term conditions and demands design innovation. Architects design environments that reduce harm and property damage, adapt to evolving conditions, and more readily, effectively and efficiently recover from adverse events. Additionally, the AIA supports member training and active involvement in disaster assistance efforts, providing valuable insights and aid to communities before, during, and after a destructive event.” –AIA Resilience and Adaptation Position Statement, approved December 2017 Legal notice Copyright © 2020, 2021. The American Institute of Architects. All rights reserved. The information provided is for informational purposes only and not intended to provide professional advice of any kind, whatsoever. If the advice of a professional is needed, you should consult your own specialized advisors or counsel appropriate for your specific set of circumstances. Recommended citation The American Institute of Architects, (June 2021). Architect’s Guide to Business Continuity. The American Institute of Architects. (aia.org/resources/6282340-architects-guide-to- business-continuity--:56) Architect’s Guide to Business Continuity, Published March 2020. Updated June 2021. All rights reserved American Institute of Architects © 2020, 2021 Architect’s Guide to Business Continuity 3 Contents 5 Introduction 42 Review: Plan maintenance 6 Why business continuity matters 43 Prepare for and respond to disruption 7 What is business continuity planning? 44 Prepare: Mitigating risk 45 Contracts & Legal Management 8 The business case for business 46 Design Project Management continuity planning 49 Facilities Management 10 How to use this guide 52 Financial Management 10 Overview 55 Human Resources 12 Who to engage 58 Information Technology 12 Process approach 62 Triage: Responding to a disruption 13 Analyzing risk 63 In the event of: Extreme weather 13 Understanding hazards 70 In the event of: Cyberattack 17 Understanding disruptions 72 In the event of: Key team member vacancy 18 The Business Continuity Planning Process 73 Reference material 19 Inventory, prioritize, strategize, assess, mitigate 74 Definitions & concepts 20 Step 1: Resource inventory 24 Step 2: Business impact analysis 76 Resources 30 Step 3: Recovery strategies & solutions 77 Appendix 34 Step 4: Risk assessment 38 Step 5: Risk treatment plan 78 Printable worksheets Architect’s Guide to Business Continuity 4 Introduction Architect’s Guide to Business Continuity 5 AIA Business of Architecture firm survey report, of paperwork. And those are the effects for the only 15% of firms with 1-9 employees and less than fortunate and the prepared. Many businesses never Why business half (42%) of midsized firms of 10-49 employees reopen following disasters, and sole practitioners and reported having a business continuity plan. Even for small firms may be disproportionately impacted. continuity large firms (50 or more employees), there is still a Factors that impact the likelihood of business notable number without a plan--less than two thirds recovery, in addition to the cost of repairs, include matters (64%) report having one. This Guide incorporates revenue lost due to closure, compromised operations, lessons learned from previously impacted firms, or clients in the impacted area who are unable to Imagine your office is inundated with 4 feet of builds on best practices, and integrates business continue with their projects. The Federal Reserve water or endures 80 seconds of seismic shaking, aspects unique to the building industry profession studied the impact of 2017’s record-breaking natural damaging interior conditions and crippling lifeline to help firms remain open and profitable in the face disasters on small businesses and found that 35% utilities. Or imagine you open an email and suddenly of disruption, be aware of vulnerabilities in their lost more than $25,000 in revenues;1 for a small your project, accounting, and contract files are business, and expand firm resilient design services. business, this amount can make the difference held hostage and inaccessible. What would happen between recovering or not. if your most integral team member or firm leader The practice of architecture exists in a complex, suddenly dies, and you lose irreplaceable institutional unpredictable, and inherently risky environment. To Natural disasters are far from the only threat. knowledge? What if a global pandemic requires all survive and thrive in this world, firms need to draw Architecture firms are also at risk from everyday employees to self-isolate away from the office? Each upon their foresight, strategic planning, and creativity threats such as the sudden loss of a team member, of these is a type of disaster, and each represents to prepare, react, and quickly adapt to a wide range an extended power outage, or a cybersecurity breach. an actual disruption that a design firm previously of disruptive, business-altering events. According to the National Cyber Security Alliance, experienced. The question is, could work continue? 60% of hacked small and midsized businesses go out Disruption takes a variety of forms: mental anguish, of business within six months of the breach.2 So what AIA found that for too many firms, a plan was not displacement, temporary accommodations, lost is a firm to do? Create a business continuity plan. in place to mitigate such disruption. In the 2020 revenue, unexpected operational costs, and mountains Percent
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