MCD 5/2003 - Business Continuity Management (BCM) Guidelines

Circular No : MCD 5/2003

30 June 2003

To the Chief Executive Officers of Registered and Exempt Insurance Brokers

 

Dear Sir/Madam

BUSINESS CONTINUITY MANAGEMENT (BCM) GUIDELINES

          In January 2003, MAS published a Consultation Paper ('CP') outlining sound principles for Business Continuity Planning in response to requests from financial institutions ('institutions') for guidance.  The paper proposed seven principles and sought comments from financial sector participants and interested parties. The consultation period closed 10 February 2003.

2        Respondents generally welcomed the proposals in the consultation paper. However, there were general concerns over the level and extent of compliance required and the cost of implementing Principle Seven.

3        MAS has considered all responses carefully and has incorporated the feedback where feasible. The consolidated feedback to the CP is available on MAS's website at ResponseTo Feedback (PDF, 84.5 KB).

4        The seven principles are:

  • Board of directors and senior management should be responsible for their institution's Business Continuity Management ('BCM').
  • Institutions should embed Business Continuity Management into their business-as-usual operations, incorporating sound practices.
  • Institutions should test their Business Continuity Plan regularly, completely and meaningfully.
  • Institutions should develop recovery strategies and set recovery time objectives for critical business functions.
  • Institutions should understand and appropriately mitigate interdependency risk of critical business functions.
  • Institutions should plan for wide-area disruptions.
  • Institutions should practise a separation policy to mitigate concentration risk of critical business functions. 

5         The guidelines are sound BCM principles and institutions are encouraged to accept and adopt the sound principles, and develop implementation plans taking into consideration their business activities and operating environment.

6         The final guidelines are available on the MAS website at BCM Guidelines (PDF, 82.8KB).

7         Institutions are encouraged to conduct a self-assessment of their business continuity preparedness against these sound principles.  Deficiencies should be brought to the attention of their senior management.  Ultimately, the responsibility for business continuity preparedness rests with institutions.

 

Yours faithfully,

(sent via MASNET)
ENOCH CH'NG
EXECUTIVE DIRECTOR
SPECIALIST RISK SUPERVISION DEPARTMENT

Last Modified on 26/11/2016