Impacts of Business Continuity Management (BCM) on Automobile Parts Makers Against Natural Disaster Events

Abednico Lopang Montshiwa; Akio Nagahira

doi:10.20965/jdr.2015.p1091

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JDR Vol.10 No.6 pp. 1091-1098

(2015)

doi: 10.20965/jdr.2015.p1091

Paper:

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Impacts of Business Continuity Management (BCM) on Automobile Parts Makers Against Natural Disaster Events

Abednico Lopang Montshiwa and Akio Nagahira

Graduate School of Engineering, Tohoku University
661180 Aza Aoba-ku, Sendai, Miyagi 980-8579, Japan

Received:

August 3, 2015

Accepted:

November 19, 2015

Published:

December 1, 2015

Keywords:

natural disaster, business continuity management (BCM), supply chain cooperation, business impact analysis (BIA) and competitive advantages (CA)

Abstract

Recently, automobile parts manufacturers have faced unprecedented natural disaster challenges in their operations. It is increasingly complicated to prepare for disruptions in this industry owing to both its elaborate and extensive supply chain network and the ever increasing number of natural disaster events around the world. We surveyed the impacts of business continuity management (BCM) on 92 automobile parts markers in disaster-prone regions (Asia and North America). The survey revealed that risk-conscious companies reported better business impact analysis (BIA) and supply chain cooperation status than did non-risk conscious companies. Of the companies that were satisfied with their BIA (59%), 40% stated that their business enterprises faced no risks at all. 56% of the 16% that were dissatisfied with their BIA status indicated that their business enterprises faced no risks at all. We also found that majority the of companies with weak supply chain network considered themselves to have no risks at all (58%), compared to 42% of the companies that had good supply chain network. The survey also found that 44% of respondents were satisfied with recovery time capability; similarly, the majority of respondents (54%) were confident that their BCM would yield competitive advantages.

Cite this article as:

A. Montshiwa and A. Nagahira, “Impacts of Business Continuity Management (BCM) on Automobile Parts Makers Against Natural Disaster Events,” J. Disaster Res., Vol.10 No.6, pp. 1091-1098, 2015.

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References

[1] American National Fire Protection Agency (NFPA), “1600 Standard on disaster/emergency management and business continuity programs,” 1 batterymarch Park, Quincy, MA, USA, 2010.
[2] S. Andersson, “The network perspective – Its origin and differences to the marketing management approach,” ESBRI, p. 91, 1998.
[3] R. Bhamra, S. Dani, and K. Burnard, “Resilience; the concept, a literature review and future direction,” Int. Journal of Production Research, Vol.4918, pp. 5375-5393, 2011.
[4] BS25999-1, “Business continuity management – part 1 code of practices,” British Standard, 2006.
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[6] Centre for strategy and Evaluation, “Evaluation of the SME definition report,” Sevenoaks, 2012.
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[8] S. C. Cha, P. W. Juo, L. T. Liu, and W. N. Chen, “Riskpatrol: a risk management system considering the integration risk management with business continuity process,” IEEE. Int. Conf. Intell. Secur. Inform., pp. 110-115, 2008.
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[16] B. Herbane, “The evolution of business continuity management. A historical review of practices and drivers,” Business History, Vol.52, pp. 978-1002, 2010.
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[19] P. Skidar, “Alternate approach to Business Impact Analysis,” Information Security Journal, A global perspective, Vol.20, pp. 128-134, 2011.
[20] Q. Y. Sun and X. Y. Li, “The fault tolerant framework of Large-scale disasters based on continuity management: A case of power network infrastructure,” Int. Conf. on Management Science and Engineering, 21^st, 2014.
[21] S. Tjoa, S. Jakoubi, and G. Quirchmayr, “Enhancing business impact analysis and risk assessment applying a risk-aware Business process modelling and simulation methodology,” The Third Int. Conf. on Availability, Reliability and Security, 2008.
[22] S. A. Torabi, N. Sahebjamnia, and S. A. Mansouri, “Integrated business continuity and disaster recovery planning: Towards organizational resilience,” European Journal of Operational Research, Vol.242, pp. 261-273, 2015.

This article is published under a Creative Commons Attribution-NoDerivatives 4.0 Internationa License.

[1] [1] American National Fire Protection Agency (NFPA), “1600 Standard on disaster/emergency management and business continuity programs,” 1 batterymarch Park, Quincy, MA, USA, 2010.

[2] [2] S. Andersson, “The network perspective – Its origin and differences to the marketing management approach,” ESBRI, p. 91, 1998.

[3] [3] R. Bhamra, S. Dani, and K. Burnard, “Resilience; the concept, a literature review and future direction,” Int. Journal of Production Research, Vol.4918, pp. 5375-5393, 2011.

[4] [4] BS25999-1, “Business continuity management – part 1 code of practices,” British Standard, 2006.

[5] [5] Business continuity management, “keeping the wheels in motions,” Australian Business Continuity Management Institute, 2000.

[6] [6] Centre for strategy and Evaluation, “Evaluation of the SME definition report,” Sevenoaks, 2012.

[7] [7] V. Cerullo and J. M. Cerullo, “Business continuity planning: A comprehensive approach,” Information systems management, Vol.21, pp. 70-78, 2004.

[8] [8] S. C. Cha, P. W. Juo, L. T. Liu, and W. N. Chen, “Riskpatrol: a risk management system considering the integration risk management with business continuity process,” IEEE. Int. Conf. Intell. Secur. Inform., pp. 110-115, 2008.

[9] [9] Chartered Institute Management, “Managing threats in a dangerous world – the 2011 Business Continuity Management Survey,” 2011.

[10] [10] F. Fasolis, V. Vassalos, and A. I. Kokkinaki, “Designing and developing a business continuity plan based on collective intelligence,” IFIP Int. Federation for information processing, Vol.399, pp. 278-285, 2013.

[11] [11] T. Fujimoto and Y. W. Park, “Balancing supply chain competitiveness and robustness through ‘vitual dual outsourcing’ Lessons from the Great East Japan Earthquake,” Int. J. Prod. Econo., Vol.147, pp. 429-436, 2014.

[12] [12] F. Gibb and S. Buchanan, “A framework for business continuity management,” Int. Journal of Information Management, Vol.26, No.2, pp. 128-141, 2006.

[13] [13] D. Guha-Sapir et al., “Annual disaster statistical review 2010,” Centre for Research on the Epidemiology of Disasters, 2011.

[14] [14] S. Harris, “CISSP All in one exam guide,” Vol.5, pp. 77-840, 2010.

[15] [15] B. Herbane, D. Elliot, and E. M. Swartz, “Business Continuity Management. Time for strategic role?” Long range planning, Vol.37, pp. 435- 457, 2004.

[16] [16] B. Herbane, “The evolution of business continuity management. A historical review of practices and drivers,” Business History, Vol.52, pp. 978-1002, 2010.

[17] [17] S. Okabe and A. Nagahira, “Organizational promoting factors for SME BCP,” Journal of Disaster Research, Vol.9, p. 5, 2014.

[18] [18] J. Sharp, “The route map to business continuity management,” Meeting the requirements of BS 25999 BSI, 2008.

[19] [19] P. Skidar, “Alternate approach to Business Impact Analysis,” Information Security Journal, A global perspective, Vol.20, pp. 128-134, 2011.

[20] [20] Q. Y. Sun and X. Y. Li, “The fault tolerant framework of Large-scale disasters based on continuity management: A case of power network infrastructure,” Int. Conf. on Management Science and Engineering, 21^st, 2014.

[21] [21] S. Tjoa, S. Jakoubi, and G. Quirchmayr, “Enhancing business impact analysis and risk assessment applying a risk-aware Business process modelling and simulation methodology,” The Third Int. Conf. on Availability, Reliability and Security, 2008.

[22] [22] S. A. Torabi, N. Sahebjamnia, and S. A. Mansouri, “Integrated business continuity and disaster recovery planning: Towards organizational resilience,” European Journal of Operational Research, Vol.242, pp. 261-273, 2015.