Why Business Continuity Plan (BCP) Testing Is Important for Business Preparedness?

Disruptions happen. Whether it’s a natural disaster, a cyberattack, or a tech failure, unexpected events can throw your business off balance. That’s why having a Business Continuity Plan (BCP) is so important—it’s your roadmap to keep things running when the unexpected strikes.

According to FEMA, nearly 43% of small businesses never reopen after a disaster, and another 29% close within two years. This highlights the critical importance of not just having a BCP but also rigorously testing it to ensure it works when disruptions strike.

But having a plan isn’t enough. You need to know that it works. That’s where testing comes in. Testing your plan shows you how well it holds up in real life. Think of it like a fire drill—you practice so you’re ready when it really matters.

This guide will walk you through four simple steps to make your BCP testing easier and more effective. With these steps, your team will be prepared, and your organization will stay strong, no matter what challenges come your way.

Why Test Your Plan?

Without testing, you’re taking a big risk. An untested plan is like a car you’ve never started—you won’t know if it’s ready until you actually need it. Here’s why testing your BCP is a smart move:

Getting good at testing your business continuity plan can make a big difference. One of the first things you’ll notice is how it helps you find problems, like outdated emergency contact details or backup systems that don’t work properly.

Regular testing also makes it easier for your team to handle crises, helping them respond faster and avoid mistakes. A solid plan means less downtime and quicker recovery when something goes wrong.

Lastly, being prepared builds trust. Through plan testing, you demonstrate to your staff, customers, and partners that you are prepared to maintain operations even in the face of adversity.

Now, here are the four steps to make it happen.

Step 1: Use Different Testing Methods

Your BCP covers a lot of possible problems, so no one test can check everything. That’s why it’s a good idea to use different testing methods to fully evaluate your plan.

1. Talk Through Tabletop Exercises

This is a simple discussion with your team. You imagine a situation—like a server crash or a cyberattack—and talk through what everyone would do.

For example, if hackers shut down your system, your IT team could explain how they’d isolate the issue, HR could plan how to inform employees, and the leadership team would figure out how to keep things running.

It helps everyone understand their role and identify any missing steps in your plan before a real crisis happens.

2. Run Small-Scale Exercises

Go beyond talking by testing specific parts of your plan. For instance, simulate a server failure and check if the backup system works properly.

For example, you might find out your team knows how to recover files but isn’t sure who should make the final decision to restore the system. This kind of test helps iron out such issues.

The reason it is helpful is that it tests your systems and makes sure your team is capable of handling obstacles.

3. Do a Full-Scale Drill

This is like a dress rehearsal for a major crisis. Everyone in the company gets involved, and you simulate a big disaster like a flood or a long-term power outage.

It’s the closest you can get to testing your BCP in a real-world scenario, making it the ultimate test of your readiness.

Mixing these methods gives you a broader perspective and helps you feel more confident in your plan.

Step 2: Set the Right Testing Schedule

Testing your BCP regularly is key, but how often should you do it? Use these suggestions to find the right schedule for your business.

1. Test At Least Once a Year

For most businesses, testing the plan once a year is enough to catch updates and keep things fresh without overloading your team.

2. Test After Big Changes

If your company moves offices, switches vendors, or updates its systems, you’ll need to re-test your plan to make sure it still works. For instance, when you begin utilizing cloud-based storage, see how quickly your team can retrieve critical files in the event of an access problem.

3. Test High-Risk Areas More Often

Some parts of your business might need more frequent testing. For example, if your logistics team relies on uninterrupted delivery routes, run weather-related recovery drills every few months.

The best advice is to make a testing calendar so that everyone is aware of what is being tested and what is happening. This helps keep things organized without making it overwhelming.

Step 3: Work with Your Vendors

You don’t run your business alone—you rely on vendors like suppliers, IT providers, and communication services. They play an important role in your continuity plan, so it’s vital to include them in your testing.

Here’s how to get vendors involved:

1. Start a Conversation

Share your testing goals with your key vendors and ask for their input. For instance, simulate a shipping delay and work with your vendor to see how it affects your operations.

2. Test Vendor Services

Make sure your vendors can deliver during a crisis, whether it’s fixing a network outage or sourcing replacement materials.

3. Ask for Feedback

Vendors might spot things you’ve overlooked and help you improve your recovery plans. For instance, if your IT provider manages data recovery, see how quickly they react to a fictitious server failure. This way, you’ll know how quickly they can help in a real emergency.

Working with vendors strengthens your plan and ensures everyone is prepared to handle disruptions together.

Step 4: Take Notes and Improve

After every test, take the time to write down what you learned—this is one of the most important parts.

1. Track What Works and What Doesn’t

Record what your team did well and where things went wrong. For instance, if people were confused about their roles during the drill, that’s something to fix.

2. Fix Issues Right Away

If something didn’t work, assign someone to investigate and make it right. For example, if backups didn’t load as expected, figure out why and solve the problem.

3. Keep Your Plan Updated

Testing helps you figure out what needs to change. Make sure your updates are shared with the whole team so everyone is on the same page.

One piece of advice is to monitor how quickly your team fixes problems during testing. If it’s taking longer than expected, adjust your resources or expectations to better meet your goals.

Common Challenges and How to Tackle Them

Challenge 1: Fear of Failing the Test

Some managers avoid testing because they’re afraid of failure. But failing a test is actually a good thing—it shows you what to fix before a real disaster happens.

Solution: Remind your team that testing is about learning, not judging.

Challenge 2: Limited Resources

Testing can take time and manpower that smaller teams don’t always have.

Solution: Focus on simpler, smaller tests (like tabletop exercises) before moving on to full-scale drills.

Challenge 3: Unexpected Issues During Testing

Sometimes, you discover new problems—like a backup system that doesn’t actually work.

Solution: Treat these surprises as opportunities. Fix them now, not when it’s too late.

For instance, one business found that their backup internet connection was not properly switching over while testing. Because they tested it, they fixed the issue before a real outage hit.

Stress-Testing Your Success Plan: Why Preparation Pays Off

Testing your business continuity plan is essential—it’s how you make sure your team and systems can handle the unexpected. You will be prepared for anything that comes your way if you mix different tests, test frequently, involve vendors, and learn from your results.

Remember, it’s better to find a broken link during a test than during a real crisis. Start testing today and build a stronger, more resilient business for tomorrow.