ManagementMania AppMania EduMania JobMania BusinessPages


What is Contingency Plan
Contingency Plan, plan B or back-up plan is an alternative plan intended to be implemented in case of unexpected or unwanted situation, such as a disaster or unexpected expenditure.

Contingency Plan, plan B or back-up plan is an alternative plan intended to be implemented in case of unexpected or unwanted situation, such as a disaster or unexpected expenditure.

Where do we use contingency plan?

The contingency plan is devised for unexpected or unwanted situations, such as:

  • natural disaster (floods, earthquake, etc.)
  • man-made disaster (explosion, etc.)
  • robbery
  • unexpected staff change
  • unexpected financial situation etc.

Risk management, crisis management, or project management are the major areas that work with contingency planning. For example, a back-up plan may entail the need to create a budget reserve in the event of unexpected expenditure, or the need to prepare various scenarios of how to proceed in the event of a disaster.

If everything goes according to plan, there is no unexpected situation that would result in implementation of a contingency plan. That’s why such a plan may never be used. However, it is definitely a good idea to have it ready so that there is no need for improvisation which is always risky - there might be no time to improvise or the team might be lacking enough experience to handle the situation.

Contingency planning is part of Risk Management, business continuity management or disaster recovery.

How does such a plan look like?

It is a set of steps that would be applied if an unexpected situation occurred and the original plan couldn’t be used. Depending on the situation, it may take the form of a master plan or a detailed sequence of steps that are to be taken in a particular unexpected situation in the future, so that either the original objectives can be met, the situation can be restored or at least the situation can be saved.

The contingency plan is devised based on a prior risk analysis or an impact analysis. It is created for scenarios that are critical to the business or its processes.

Related terms and methods:

Related standards:

  • NIST 800-34

Related management field:

previous next
Did this article help you?
Rating:
Last update: 21.04.2018

Comments

play game 8 months

Play free solitaire games without download,it is not high concept game,such a great and amazing simple game solitaire online i really like this beautiful graphic and other functions.

Was this helpful?
Rating:
Gerald Gerald about 1 month

thank you for sharing v bucks generator no verification

Was this helpful?
Rating:

Some websites are very informative where we can read informative blogs. To get solution of assignments on assignment writing services we can just submit our assignments then can pay amount after that we can solves assignments from writers. So it is easy to get support from essayontime.com.au/assignment-writing-services and we can check all essay writing tools from this site.We can get information about latest news and events also. We can join such websites easily by login our accounts easily.

Was this helpful?
Rating:


To enter the discussion you must be signed in

Sign in


Related consulting companiesmore...