With so many contracts involved, it is important for real estate companies to have a data backup and disaster recovery plan in place.

Real estate companies may lack business continuity plans

Stephen Perkins

Even though documents are the lifeblood of their industry, a recent report commissioned by IndustryEdge and conducted by Travelers found that 57 percent of real estate owners and managers do not have a business continuity or disaster recovery plan in place. This means these companies and agents do not have proper data backup in case of a disaster or accidental loss, putting their businesses and clients at risk. Another 43 percent said they do not consider natural disasters to be an important business matter. 

"The lack of preparation could be detrimental for real estate managers and owners," said Deb Denker, real estate industry manager at Travelers Commercial Accounts. "To survive the increasing number and severity of disasters, real estate owners and managers need a strategic business continuity plan to help minimize downtime, organize a response and deploy the resources needed for a prompt recovery."

Denker said even a minor loss can impact the ability to manage a property, and a major event where materials, contracts and other documents are wiped out can really harm a business. She said it may be easy to forget, but companies must have risk mitigation measures in place to help minimize the loss if one occurs.

In order to help prepare the company for disaster, the report suggests real estate companies:
- Conduct a risk assessment to understand where vulnerabilities lie
- Analyze the business impact of events that may occur
- Figure out which protection and mitigation strategies need to be in place to help prevent a disaster from really affecting an organization
- Always test the efficiency and effectiveness of a plan and be sure to make it a routine to stay prepared

Homeland Security Today said having data backup is an insurance policy against the damage a disaster can cause. With events like this being unpredictable, not having a system that is constantly working to backup data cause be hazardous for companies who want to keep their data safe. This is easier said than done, the website said, but there should be a plan made to start backing up data as soon as possible.

Categories: Disaster Recovery