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Offshore risks survey: interim results

Continuity Central and SunGard Availability Services are carrying out a joint survey into offshore risks. The interim results of the survey are published below and show some interesting trends.

Scene setting

India is by far the most popular location for shared service centre operations, with 72 percent of respondents having offshored to that country. The Philippines follow in second place (34 percent) and China in third (28 percent).

Respondents were asked to list the types of processes that are carried out at offshore locations. The results show that IT / development was the most likely service to be offshored, with 81 percent of respondents offshoring this; followed by call centre operations (52 percent) and finance/accounting (52 percent).

Main business continuity threats

Communication failure tops the list of the main threats or risks of disruption, with 73 percent of respondents identifying this as a risk in offshore locations. This was followed by power failure and IT disruption (both identified by 67 percent of respondents).

The full list of identified risks in offshore locations is as follows:

  • Communication failure: 73%
  • Power failure: 67%
  • IT disruption: 67%
  • Weather related: 55%
  • Civil unrest: 42%
  • Geological: 36%
  • Terrorism: 24%
  • Disease: 21%
  • Industrial disputes: 15%

Respondents have various business continuity measures in place to provide an alternative working environment should offshore locations be disrupted. The most popular were:

  • Divert the process to another office in country: 49%
  • Ask my people to work from home: 36%
  • Send my people to a workplace recovery centre 36%

12 percent of respondents stated that their organization had no credible provision in place.

Resiliency levels

Just under half (46 percent) of respondents said that the resilience of offshore operations was equivalent to levels in European/US locations. However a worrying 24 percent said that offshore operations were less resilient than those in Europe or the US; and almost 1 in 5 (18 percent) said that offshore locations had ‘Little or no levels of resilience.’

The survey is still open: please take part at https://www.surveymonkey.com/s/offshorerisks

•Date: 29th May 2013 • World •Type: Article • Topic: BC statistics

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