Modern Motors Risk Management and Business Contingency Plan Tyler J

Modern Motors Risk Management and Business Contingency Plan
Tyler J. Russell
Western Governors University

Modern Motors Risk Management and Business Contingency Plan
A. Company Overview
Modern Motors is an international, multi-billion-dollar automotive manufacturer that specializes in designing and manufacturing cars, trucks, and crossover vehicles. Recently, Modern Motors publicly announced that it would become the first major automotive manufacturer to implement a fully autonomous ride-sharing program in several major metropolitan areas in the United States by the end of 2019. The company employs more than 100,000 employees and has acquired several start-up companies within the autonomous vehicle space, or within the field of emerging technologies related to autonomous vehicle technologies.
A1. through A3a. Risk Register

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Description Source Likelihood of Occurrence* Severity of Impact* Control-
1. Tariffs Rise of taxation on raw materials may increase the cost of production for autonomous vehicles. This risk has a global marketplace impact due to the rising costs of imported materials required to build the vehicles, and a reduced profit margin for international sales. Government taxation on building materials imported from countries which are required to assemble the vehicle.
The U.S. Government increases the taxation on building materials imported from other countries which increase the cost associated with producing a vehicle. High.
The U.S. Government has already imposed some taxation on building materials, such as aluminum and steel. Further taxation may occur by the U.S. Government, or by other countries which will increase cost of manufacturing vehicles even more. High.
If Modern Motors produces 100,000 autonomous vehicles in 2019, an increase of $300 dollars in building materials will cost an additional $30 million in production cost. Low.
While Modern Motors is a major employer, it has limited control over government taxation.
2. Government Regulation Lack of or continuously evolving regulation in the autonomous vehicle market could delay the production of vehicles, ban the vehicles entirely, or change the required specifications of autonomous vehicle technology. Federal and State regulation may limit or change how Modern Motors sells or manufactures vehicles. Regulation, such as imposing bans on fully autonomous vehicles, or imposing strict safety requirements may change or completely limit Modern Motors ability to introduce autonomous vehicles into the marketplace. Current regulation for autonomous vehicles is sparse and could drastically affect the timeline for introducing these vehicles to the marketplace. High.
Many states have yet to impose any sort of regulation on autonomous vehicles. Since fully autonomous vehicles are still unavailable for consumer purchase, Modern Motors should expect increasing regulation as the technology becomes more available for consumers. High.
If technology out-paces regulation, Modern Motors may need to re-engineer components of the vehicle to meet government regulation, thereby increasing the cost of production and delaying launch date. Similarly, local governments may impose bans on autonomous vehicles until certain regulations are met. Low.
The company has limited control over state or federal government regulation.
3. Inadequate staffing Lack of trained engineers in modern autonomous technologies, such as LIDAR, to complete the project on time. Limited autonomous vehicle specialists in the current job market, and lack of formal training in autonomous vehicle technologies.
The current job market does not have a surplus of trained engineers on autonomous vehicle technologies. Therefore, the company will have difficulty finding already trained professionals or will be required to offer high compensation and benefits to attract qualified individuals. Similarly, few schools offer formal training in autonomous vehicle technologies, and formal schooling can be lengthy. Medium. Autonomous vehicle technology is gaining popularity, therefore, sparking interest in the engineering community and increasing desire to learn autonomous vehicle technologies and fill potential job market gaps. Medium. Current vehicle engineers can be called in from other departments to assist with the production of autonomous vehicles and meet target deadline. Medium. The company already employs thousands of vehicle engineers that could be quickly trained in aspects of autonomous vehicle technology.
4. Natural Disasters The manufacturing facility that produces autonomous vehicles for Modern Motors could be damaged by natural disasters such as earthquakes, tornadoes, or wildfire. Natural disasters, such as tornadoes, earthquakes, hurricanes, and fires.
The company’s designated manufacturing facility could be damaged by natural disasters that could temporarily pause or shut down production of autonomous vehicles. Low.
Although natural disasters are difficult to predict, the company has strategically identified a manufacturing facility in a geographical location that has a low probability of natural disaster. High.
If significant damage is inflicted on the manufacturing facility, production of vehicles could be halted for a significant period of time and delay targeted deadline. Medium. The company can identify a secondary facility to produce autonomous vehicles in the case of shutdown or delay at the primary site.
5. Software Malfunction Inadequacies in the software development life cycle that compromises function and safety of vehicle operation. Bugs or vulnerabilities in software loaded into the autonomous vehicle platform.
Improper testing in the software development lifecycle could overlook flaws in the code that could later be discovered and push back project deadline. These flaws could be potentially very dangerous and affect the safety or reliability of the operation of the vehicle. Medium.
It is often difficult to account for every scenario when developing new software. Some bugs are bound to be exposed in the final stages of the product, however, testing should reveal most of them. High.
Flaws in autonomous vehicle software could cause human fatalities or injury if the flaw impacts the functionality of the vehicle during operation. High.
The company’s software developers and test analysis will follow standard code testing and debugging prior to release that will reveal potentially fatal flaws in the code.
6. Vehicle Security Modern information security technologies may not be secure enough for autonomous vehicles. New security protocols may need to be developed to ensure vehicle security on modern highways. Vulnerabilities in autonomous vehicle security.
Vulnerabilities in autonomous vehicle security found through penetration testing may require the company to pause rollout of the vehicles until the security vulnerability is patched, or new technology is developed to overcome security gap that could expose the vehicle to hijacking by a malicious hacker. Low.
Initial penetration testing during the testing phase should identify a majority of vulnerabilities in vehicle security. Using a multi-layered security approach will mitigate potential attack vectors.
If hackers are able to penetrate through security defenses they could take over various components in vehicle functionality. High.
The company has the ability to perform rigorous penetration testing prior to launching the vehicle.
7. Consumer Response Consumers unwilling to adapt to new vehicle technology. Negative press, such as car crashes, or fear of the unknown could impact consumer uptake of autonomous vehicles. Negative press and public fear of the unknown.
Since autonomous vehicle technology is new it is expected that critics of the technology will attempt to spread fear to consumers. Negative press, such as emphasizing crashes involving autonomous vehicles, can increase consumer fear. High.
Almost all revolutionary technologies are faced with criticism and fear. Autonomous vehicle technology is a highly disruptive innovation in transportation and will certainly generate some initial fear. Medium.
Consumer fear could affect initial sales of the vehicle. However, as fear subsides, vehicle sales should improve. Medium.
The company can counter negative publicity by launching advertising campaigns that show how autonomous vehicles result in fewer car crashes than human-operated vehicles.
8. Financial Risk Risk of acquired companies declaring bankruptcy or budgeting concerns due to rising supply costs, government regulation, lack of consumer interest, and other unforeseen financial risks. Acquired autonomous vehicle company could experience financial hardship.
Increasing cost to manufacture autonomous vehicles, lack of consumer interest, increased government regulation, or other unforeseen financial risks could cause the acquired autonomous vehicle partners to declare bankruptcy or delay project due to budget constraints. Low.
The company has already acquired multi-billion-dollar loans to fund autonomous vehicle manufacturing. Acquired companies are thriving economically. High.
Budget constraints could significantly impact production of autonomous vehicles, and potentially lose financing from various external sources.
The company is able to influence some of the financial risks through its ability to leverage its buying power to keep production costs down.

B. Risk Responses
Risk 1 – Tariffs: To proactively prepare for increased taxation on imported materials, Modern Motors can choose to increase its purchase of American-made goods, where possible. If the cost of the American-made material is on par with, or less than the price of a potentially taxed imported material, then Modern Motors could begin purchasing from the American supplier to mitigate possible ongoing taxation of imported materials. If additional tariffs are placed on the imported goods that affects Modern Motors bottom line and threatens the affordability of vehicles for consumers, then Modern Motors should publicly condemn the policy and encourage other American automobile manufacturers to follow suit. To protect the affordability of vehicles for consumers, if tariffs are imposed that will significantly affect the cost of vehicle production, Modern Motors will be forced to cut costs in areas such as Research and Development, design, and potentially cut back on the workforce or compensation for workers.
Risk 2 – Government Regulation: Prior to being affected by potentially unwanted or damaging government regulation, Modern Motors can encourage employees and consumers to petition their state’s Representatives and Senators, or local government, and express their desire for autonomous vehicles and indicate that strict regulation could significantly impact research into this disruptive technology, or set back production of autonomous vehicles. Furthermore, Modern Motors can lobby Congress and State Governments for more relaxed regulation so that the technology can be adequately researched and developed. If strict regulation is imposed, Modern Motors will be forced to comply with the new regulation, which could affect research into autonomous vehicle technology or production of these vehicles. Modern Motors will quickly respond to such regulation and re-adjust production timelines to maintain a competitive advantage.
Risk 3 – Inadequate Staffing: The company will proactively combat the potential for inadequately trained staff by implementing several internal programs to train existing vehicle engineers on autonomous vehicle technology. These training programs will be in the form of rigorous ‘boot camps’ that will quickly train engineers on company proprietary technology. Modern Motors will also provide tuition incentives for currently employed vehicle engineers to return to Higher Education to pursue programs in this field. If the company is unable to keep up with the demand for trained engineers, the company will consider increasing compensation and benefits programs and increase recruiting to entice outside engineers to seek employment at the company.
Risk 4 – Natural Disasters: While Modern Motors strategically identified a manufacturing site with a lower probability of natural disaster, it is nevertheless important for the company to prepare for the occurrence of one. The company will publish an emergency evacuation plan for employees, and special emergency response teams will be identified and trained in their roles in the event of a natural disaster. The company will ensure that all emergency communication devices, such as alarms, emergency mass notification services, and radio systems are fully functional and tested regularly. Furthermore, Modern Motors will safeguard its data by establishing an off-site backup. If a natural disaster does occur that causes damage to, or destroys the manufacturing site, Modern Motors will take appropriate action to keep their employees safe. Depending on the damage, employees who are able to work from home will be encouraged to do so. Vehicle production can be reallocated to one of many other manufacturing sites in nearby cities, and vehicle engineers will be provided with a stipend to commute to a secondary nearby facility. While vehicle production will slow, the company should be able to continue production while the primary manufacturing facility is repaired.
Risk 5 – Software Malfunction: To proactively identify defects in autonomous vehicle software, the company can build upon current software quality testing and develop specific risk-based tests for autonomous vehicles. These risk-based tests will prioritize testing based on the severity of a risk to guarantee that all vital systems will function as expected when the vehicle is delivered to a customer. If software bugs are identified in the system after the vehicle has shipped to the customer, Modern Motors can react in two possible ways. First, depending on the what vehicle function the software bug affects, the company can deliver patches in over-the-air updates. Examples of this are glitches in the infotainment system, or head-up display (HUD). If the code defect affects vehicle safety or performance, then Modern Motors will issue a recall and all vehicles will be repaired by a certified dealer.
Risk 6 – Vehicle Security: The company will take a similar approach with vehicle security as it does with software testing. Prior to mass vehicle production, the company will conduct rigorous security testing on vehicle software and systems. Testing will include several layers of penetration testing. If new protocols need to be developed to ensure vehicle security, then the company will determine if the protocols can be developed within the company, and if not, then Modern Motors will elicit support from a third party. Since vehicle safety is of primary concern for the company, no vehicles will be delivered until all known security vulnerabilities are resolved. After the vehicle is delivered, the company can provide security patching through over-the-air updates, or through a certified dealer, depending on the severity of the vulnerability being patched.
Risk 7 – Consumer Response: Before Modern Motors delivers autonomous vehicles to customers, the company can launch an advertising campaign that displays the benefits of autonomous vehicles on the road. The company can focus on statistics from the National Highway Traffic Safety Administration (NHTSA) which claims 94% of all automobile crashes are caused by human error, and other pro-autonomous vehicle benefits to ease consumer fears for the new technology (Study of the Potential Energy Consumption Impacts of Connected and Automated Vehicles, 2017). If consumer fear is still high after vehicles are available for sale, the company should continue its advertising campaign, and the company should consider donating or providing significant discounts to city transportation authorities to get more autonomous vehicles on the road. As consumers see more autonomous vehicles on the road, and the autonomous vehicles perform well and are safe, then consumer fear will decline.
Risk 8 – Financial Risk: To offset any potential risk stemming from financial concerns, Modern Motors can acquire loans and sell bonds to help offset the cost of developing this new technology. Furthermore, implementing a strategic budgeting plan will help to proactively mitigate future financial problems. Should a bankruptcy, and subsequently lay-offs, occur through one of the Modern Motors subsidiaries, Modern Motors will make every possible effort to re-staff their workforce to retain skilled workers.
C. Business Contingency Plan
C1. Strategic Pre-Incident Changes
Modern Motors can strategically prepare for potential risk events by increasing their sale of bonds or notes to consumers and employees. The sale of bonds and notes will increase Modern Motors’ capital, and potentially reduce the amount of interest the company would pay if they secured a bank loan instead. Modern Motors can offer investors a plethora of enticing bond and note options to help the company achieve both their short and long-term financial goals. With more capital, Modern Motors will have a greater buffer in the event of financial risk.
In addition to increasing investor options, Modern Motors can incorporate an improved auditing function to help proactively identify potential pain-points for the company. Auditors can visit both internal and third-party supplier sites to verify that both Modern Motors and their third party contracted companies are operating efficiently, ethically, and safely. Continuous audits will help to identify and resolve any potential issues that could cause the business future disruption.
A third pre-incident change that Modern Motors can implement is a company-wide workplace safety program. This program will aim to educate employees in all types of facilities how to be safe at work, and how to report violations of workplace safety. The company can designate an entire week each year as a workplace safety week to reiterate the importance of workplace safety for every employee. Workplace safety will cover topics such as desk ergonomics, plant floor safety, improper use of machinery and equipment, active-shooter response, natural disaster evacuation plans, and more. The company should make reporting violations of workplace safety very accessible and respond to each violation promptly. Increasing workplace safety will not only decrease injury in plants and offices, but it could potentially improve employee morale and productivity.
C2a. Sensitive Data
Modern Motors identifies non-public information and employee information as sensitive data. Non-public information includes things such as vehicle designs, trade secrets, financial data, information technology plans and procedures, interactions with suppliers, or anything else that would be covered under a non-disclosure agreement (NDA). The unauthorized release of non-public information to the public could have a drastic impact on the company’s competitive advantage or could harm the reputation of the company.
Employee information, such as personally identifiable information (PII), for Modern Motors’ employees is also considered sensitive data. PII is any employee data that could potentially identify a single employee, such as names, phone numbers, home addresses, biometric data, social security numbers, drivers’ licenses, and more. Employee information is most often used by the Human Resources (HR) department to manage staffing functions.

C2b. Normal Data Protection
During normal operation, sensitive data storage will be restricted to physically protected data centers. These data centers will have a security guard staffed 24×7 and access will be restricted to the data center with RFID badges and biometric scans. Cell phones and removable drives will not be allowed into the facility and must be left in a lockable storage unit at the front of the data center with the security guard. Within the data center, all hardware racks will be enclosed with lockable cabinet doors. Furthermore, each rack will have a redundant power supply on a separate circuit in the event power is lost to one of the power supplies. Visitors that require access into the data center, such as hardware vendors, must be accompanied by a cleared employee. The outside of the data center will be enclosed by a 20-foot-tall fence and camera surveillance will be installed for a 360-degree view.
C2c. Disruption Data Protection
In the event of disruption to the power grid, installed backup power supplies will transfer power over to secondary energy provider. If power is lost coming into the building for both energy providers, then backup generators will turn on to provide enough power – approximately 48 hours – for graceful shutdown of hardware or until power is restored to the building. In the event that the building is physically damaged and sensitive data needs to be moved to an alternate site, then authorized individuals will transport data drives in double-locked Pelican cases to the alternate site for secure storage.
C2d. Ethical Use of Data
Modern Motors will implement an acceptable use policy for sensitive data to ensure this information is being used ethically. Access to sensitive data should be based on the principle of least-privilege or a need-to-know principle so that only authorized individuals have access to employee information or non-public information. Access to data will be managed through a central portal so that business leaders and data owners know exactly who has access to the data. Furthermore, policies will include that sensitive data should not be used for personal gains, such as employee information being sold to advertising agencies. Employee information should, likewise, not be used to discriminate or segregate a group of people.
C3a. Customer Records
Modern Motors relies on dealerships to sell their vehicles. Therefore, the company’s primary customers are the thousands of dealerships throughout the United States. Customer records may include dealership information, dealership salespersons, finance management teams, billing information, and inventory projections. Through a Modern Motors’ subsidiary, payment card information, driver PII, and vehicle diagnostics are stored and maintained as customer records to provide drivers with subscription-based navigation, communication, and emergency services.
C3b. Normal Security Measures
Under normal conditions, customer records, whether for dealership information or for the subscription-based service, are stored in a secured data center within the United States. The data center will be protected by onsite security and located within a Modern Motors campus that does not have public access. Access into the data center will require an RFID badge and biometric scan. Server racks within the data center will have lockable cabinet doors to protect servers and networking gear from unauthorized access. All server racks will have redundant power supplies on two different electricity sources, and a backup generator capable of handling 48 hours of operation will be installed. All data stored on servers within the data center will be mirrored to a secondary data center in a geographically distant location. The outside of the building will have installed multiple security cameras and footage will be stored in an offsite location.
C3c. Disruption Security Measures
During a period of disruption, emergency response teams will be deployed to the data center to identify the scope of the disruption. If the data center is damaged, additional security will be requested to prohibit unauthorized access within 100 feet of the data center. If data needs to be moved to an offsite location, authorized individuals will transport data drives in Pelican cases with two locks to the secondary facility for secured storage. In the event of a power fault, the primary electrical source will failover to the secondary. If the secondary is unavailable, then the backup generator will start to provide the data center with up to 48 hours of required power to gracefully shutdown machines or restore power to the facility.
C3d. Ethical Use Protections
Ensuring ethical use of customer data is incredibly important to Modern Motors. The company will ensure policies are implemented that outline acceptable use of customer records. Customer data will not be sold to third-parties under any circumstances, however, will be shared with emergency services in the event of an emergency situation for the driver of the Modern Motors vehicle. Drivers who wish to subscribe to the monthly service will be alerted what data is collected and how it is used and shared with third-parties to provide them with in-car services. Modern Motors will not collect more driver or dealer data than is required to perform the company’s mission. Furthermore, data will be protected internally by need-to-know access to mitigate the unintended use of customer data.

C4. Communication Plan
During a period of disruption, Modern Motors will ensure that all stakeholders are included in the communication plan. As soon as a disruptive event is identified, Modern Motors communication teams will publish crisis communications to internal employees alerting them of the event and provide as much detail as known about the disruptive event. As soon as possible, employees will be made aware of what, where, and when the event occurred, the seriousness of the event, how the business has been impacted, and how the business is responding to the event. If employee well-being is of concern, the affected employees will be given additional information providing them with additional information regarding the event and what to do. Depending on the nature of the disruption, the communication plan will be tailored to the recipient of the message. The communications team will then devise a communication plan for non-employee stakeholders who may be affected by the disruptive event. Customers should be made aware as soon as possible if there will be any impact to dealings with Modern Motors and if so, what the company is doing during the disruptive event to resolve these issues.
After a disruptive event has occurred, the company should publish a second communication to stakeholders. Similar to the communications sent out during the disruptive event, Modern Motors should tailor the communication to the stakeholder. Employees should be made away of what occurred that caused the disruption, how the company addressed the issue, and, if possible, how the company plans to change its current policy to help mitigate the issue from occurring again. Non-employee stakeholders will likewise be made aware of what occurred that caused the disruption, how the company plans to mitigate the issue, and how the company addressed the issue. Furthermore, if the financial loss was incurred by non-employee stakeholders like dealerships and subscription-based service customers, Modern Motors should include in the post-disruption communication how the company plans to alleviate some of the financial burden caused by the disruption. For subscription-based service customers this may mean providing a free month of service, and for dealers, this may include discounts on vehicle purchasing for a period of time.
C4a. Stakeholders
Modern Motors identifies stakeholders as the following:
Employees: Full-time individuals who work directly for Modern Motors and are paid on an annual basis.
Creditors: Individuals or institutions who purchase Modern Motors bonds, or loan money to Modern Motors to continue business operations.
Suppliers: Companies or individuals that provide parts or services to Modern Motors to manufacture vehicles.
Dealers: Dealerships who purchase vehicles from Modern Motors
Subscription-based Service customers: Individuals who purchase Modern Motors vehicles and then subsequently choose to purchase subscription-based services from the company.
C4ai. Stakeholder Communications
Modern Motors will employ several communication techniques to ensure stakeholders are aware of any risk event that causes disruption. Depending on the severity of the disruptive event, employees may be made aware of the event via company email or mass emergency cellular communication. As soon as possible after an incident is known by Modern Motors leadership, the company’s communication team will publish a mass communication via email to affected regions or globally. In the event of natural disaster or life-threatening conditions, the Modern Motors communications team will trigger an emergency mass communication system that will alert the employee via text message or automated call to their cellular device. As a tertiary fallback mechanism, the Modern Motors communication team will initiate a phone tree to spread the word to the affected employees. A phone tree begins by one employee calling a second employee, then that employee contacts another person in the phone tree list until everyone has been reached.
Creditors, suppliers, and dealers will each be communicated to in the same fashion. The Modern Motors communication team will publish an email announcement soon after the event is identified and debriefed to upper-level Modern Motors leadership. If email systems are down, the company will delegate responsibility to Account Managers to call their individual creditors, suppliers, or dealers to make them aware of the event. Once the disruptive event is resolved and the business resumes full functionality, a secondary email will be delivered to these stakeholders and a printed response will be delivered to their mailing address.
Subscription-based Service customers will be informed of any disruptive event that impacts their service via the subscription-based service webpage, and via their specific account portal. If the customer has agreed to receive SMS or email messages from the company, then those customers will also receive a text message or an email to their designated device alerting them of the disruption. In the event that the disruption causes an extended outage of the service, the customer will be informed via mailed letter that the company will pro-rate their billing to account for the downtime.
C5. Restoration of Operations
After a disruption event occurs and appropriate disaster recovery actions are taken to resume operations, Modern Motors will immediately initiate a business resumption plan (BRP) to restore business operations fully. First, Modern Motors will inventory people, documents, and equipment. The company will ensure that all employees are present and those who will be needed in the recovery event are available. The company will also inventory all physical equipment and assets to determine what inventory may be missing or damaged and need replacing. Furthermore, all intellectual property will need to be inventoried to ensure the company has retained all the documentation needed to resume business operations. This is a critical step in the resumption process since human resources, functioning manufacturing lines, and intact intellectual property will be necessary for normal business operations.
Second, if the disruptive event affected multiple business components, Modern Motors leadership will need to prioritize which components are most valuable to normal business operations and will require more human resources to fully resume these operations. Priority will be assigned to each business component based on the amount of time targeted to resume that business function. Since several business components may be impacted across separate business functions, high priority items can be assigned to each business function to ensure normal business operations are restored efficiently throughout the company. Human resources will be critical in resuming business operations, therefore, employees should be immediately tasked and made aware of which items they must engage in to restore operations.
Third, if an alternate site is required Modern Motors will ensure the alternate site is secured and required equipment, supplies and human resources are relocated to the alternate site to resume business operations. During this time, Modern Motors will employ contractors to resolve the issues at the primary site before migrating equipment, supplies and human resource back from the alternate site.

D. BCP Implementation Plan
D1. Implementation of the BCP
Modern Motors will assign a team of employees the task of researching, planning, developing, and implementing the business contingency plan. The team will be responsible for thoroughly conducting a business continuity impact analysis to research potential risks the company may face and devising an appropriate risk response to ensure that the contingency plan is effective when it is finally implemented. The team will, likewise, be responsible for determining the costs associated with developing and implementing the plan and ensure there is continued upper-level management support for the plan. The implementation team should ensure that all tasks required from the business contingency plan are delegated to appropriate teams, such as delegating communication events to the Modern Motors communications team. Finally, the implementation team should verify any necessary early-warning detection systems and mass communication systems are in place prior to the implementation of the business contingency place to guarantee effectiveness.
D2. Communication of the BCP
Prior to publishing the final business contingency plan, Modern Motors will create an internal website that will act as a repository for the main business contingency plan, along with business contingency plans specific to each area of the business and information technology critical applications and infrastructure. The website will be easy to find and user-friendly and will contain training courses for business continuity as well as safety training courses. Once the website is launched, the Modern Motors internal communications team will publish a mass email to employees alerting them of the new website. The email article will also be published on the main page of the internal Modern Motors employee portal.
In addition to launching a new website to house safety training and business contingency documents, the Modern Motors upper-level executive team will hold seminars with organization leadership to inform and train them on the new business contingency program. The upper-level executive team will delegate the designation of a business contingency officer for each department in the company. The business contingency officer will be responsible for ensuring all employees within the department have been trained on business contingency and business contingency plans for their department are up-to-date.
D3. Monitoring and Testing of the BCP
Semi-annually, Modern Motors upper-level executive management will delegate the responsibility to each department’s business contingency officer to perform a dry-run through the department’s business contingency plan. Throughout the dry-run, the business contingency officer should document any issues or inconsistencies noticed in the testing so that those functions may be corrected. Issues reported during the testing should be reported to management.
Annually, each department’s business contingency officer should perform a full simulation of a disruption scenario that is tailored to their business function. This could mean that the networking and telecommunications department performs a full disaster recovery of company-wide communications platforms and wide area network (WAN) link failover to ensure normal business operations continue as expected in a disaster scenario. The full simulation should be well documented and the results shared with upper-level management.
D4. Adjustment of the BCP
Each department’s business contingency officer will be responsible for maintaining the business contingency plan for their organization. The officer will ensure that application or business process owners re-evaluate their areas semi-annually for any changes in their technology or process that will need to be updated in the organization business contingency plan. Each department’s business contingency officer will then submit the department’s business contingency plan to the Modern Motors crisis management team to be compiled and maintained as a company-wide document.
D4a. Communication of Changes
Adjustments to both the department’s specific and company-wide business contingency plans will be updated on the business contingency internal website. Department specific changes will be highlighted by the business contingency officer to department management. If the change is determined as requiring employee awareness, then the business contingency officer will be responsible for alerting department employees of the change via email. Company-wide changes to the business contingency plan will be noted on the main page of the internal employee portal and will be highlighted in monthly or quarterly broadcasted events.

U.S. Energy Information Administration. (2017). Study of the Potential Energy Consumption Impacts of Connected and Automated Vehicles. Washington, DC: U.S. Department of Energy. Retrieved from:


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