Disaster recovery is the process, policies and procedures related to preparing for recovery or continuation of technology infrastructure critical to an organization after a natural or human-induced disaster. Disaster recovery is a subset of business continuity. While business continuity involves planning for keeping all aspects of a business functioning in the midst of disruptive events, disaster recovery focuses on the IT or technology systems that support business functions.
As IT systems have become increasingly critical to the smooth operation of a company, and arguably the economy as a whole, the importance of ensuring the continued operation of those systems, or the rapid recovery of the systems, has increased.
It is estimated that most large companies spend between 2% and 4% of their IT budget on disaster recovery planning, with the aim of avoiding larger losses in the event that the business cannot continue to function due to loss of IT infrastructure and data. Of companies that had a major loss of business data, 43% never reopen, 51% close within two years, and only 6% will survive long-term.
As a result, preparation for continuation or recovery of systems needs to be taken very seriously. This involves a significant investment of time and money with the aim of ensuring minimal losses in the event of a disruptive event.
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