Business Continuity Exercising: What It Is, Why It Matters, and How to Do It Effectively

In today’s unpredictable environment, where cyber-attacks, extreme weather events, and global pandemics have become increasingly common, organisations must ensure they can continue operating through disruption. One of the most effective ways to prepare for such events is through business continuity exercising – a proactive approach to validating and strengthening an organisation’s resilience strategies.

What Is Business Continuity Exercising?

Business continuity exercising involves testing an organisation’s business continuity plans (BCPs) to determine whether they are fit for purpose. It is distinct from a one-off test or simulation; exercising is a structured process designed to validate the effectiveness of recovery procedures, decision-making capabilities, and communication mechanisms during a disruption.

According to the Business Continuity Institute (BCI), an exercise is “a process that validates the capability of an organisation to effectively respond to an incident that threatens its ability to deliver its prioritised activities” (BCI Good Practice Guidelines, 2018).

Exercises can range from simple discussions around a table to complex, real-time simulations involving multiple departments or external stakeholders.

The Benefits of Business Continuity Exercising

There are several compelling reasons for organisations to engage in regular business continuity exercising:

• Identifying Gaps: Exercises reveal flaws, omissions, or unrealistic assumptions in the business continuity plan that might otherwise go unnoticed.
• Building Confidence: Practising plans instils confidence in staff and leadership that the organisation can respond effectively during an actual crisis.
• Improving Coordination: Exercises test inter-departmental and cross-functional coordination, highlighting communication issues or confusion around roles.
• Meeting Regulatory Requirements: Many regulators and standards bodies, including ISO 22301, expect organisations to conduct regular exercises as part of a robust business continuity management system.
• Enhancing Readiness: By simulating different types of disruptions, exercises help ensure that both technical systems and human elements are ready for action.

In short, business continuity exercising turns theoretical plans into actionable capabilities.

When Should Exercises Be Conducted?

Exercising should not be a one-off or annual afterthought. The timing and frequency of exercises depend on several factors, including organisational size, complexity, and regulatory requirements.

Best practice recommends that organisations:

• Conduct at least one formal exercise annually for key business continuity plans.
• Hold exercises after major changes to the business, such as a merger, office relocation, or technology overhaul.
• Perform exercises following significant incidents to assess whether lessons have been learned and plans updated accordingly.

In addition to scheduled exercises, ad hoc drills may be appropriate following risk assessments or as part of staff onboarding and training.

Types of Business Continuity Exercises

Exercises come in various forms, each with specific purposes and levels of complexity:

1. Tabletop Exercises

These are discussion-based sessions where participants walk through a hypothetical scenario using the existing business continuity plan. They are low-cost and effective for assessing roles, responsibilities, and decision-making processes. Tabletop exercises are especially useful for training new team members and gaining senior leadership buy-in.

2. Simulation or Scenario-Based Exercises

These exercises present participants with a realistic, unfolding scenario (e.g., a cyberattack, fire, or flood) and require live responses. They test communication channels, escalation protocols, and reaction times under pressure. Simulations are more resource-intensive but yield valuable insights into operational readiness.

3. Live or Operational Exercises

Sometimes referred to as “end-to-end” or “full-scale” tests, these involve actual execution of continuity procedures – such as relocating to a recovery site, activating IT disaster recovery systems, or conducting emergency evacuations. These are the most rigorous type and should be planned meticulously to avoid unintended disruption to the business.

4. Desk Checks and Plan Reviews

While not exercises in the traditional sense, desk-based reviews and walkthroughs are valuable for ensuring documentation remains current and relevant. These are particularly useful following organisational changes.

Who Should Be Involved?

The success of any exercise depends on the active participation of the right people. In general, involvement should include:

• Crisis Management Team: Senior leaders responsible for high-level decisions during disruptions.
• Business Unit Representatives: Key personnel from departments critical to maintaining essential services.
• IT and Facilities Teams: These functions are often central to recovery operations.
• Communications Teams: Responsible for internal and external messaging during a crisis.
• Third Parties or Suppliers: Where continuity depends on external entities, their participation may be crucial.
• Observers or Evaluators: Ideally, neutral individuals should monitor the exercise and provide feedback and recommendations for improvement.

Ensuring broad participation not only tests readiness across the organisation but also reinforces a culture of resilience.

Conclusion

Business continuity exercising is a cornerstone of effective organisational resilience. Far from being a mere compliance obligation, well-planned exercises provide critical opportunities to test assumptions, train personnel, and improve response capabilities. Whether through tabletop discussions or full-scale simulations, every exercise contributes to a more agile, prepared, and confident organisation.

As the BCI aptly notes, “exercising and testing are the only way to validate the effectiveness of business continuity arrangements before an actual incident occurs”. In an age of escalating risk, this validation is not just beneficial – it is essential.

How AJC Can Help

At AJC, we help organisations move beyond static plans with customised scenario design that reflects your real-world risks and priorities. From real-time testing and simulation to structured risk evaluation and impact analysis, our team works closely with you to uncover vulnerabilities, build team preparedness, and strengthen your continuity plans.

We offer ongoing support and monitoring to ensure your resilience strategy remains effective and up to date — not just during exercises, but in the long term. With every engagement, our goal is the same: to embed a lasting commitment to resilience across your organisation. Whether you’re running your first exercise or refining a mature programme, AJC can provide the practical, tailored support you need.

Contact us on 020 7101 4861 or email us at info@ajollyconsulting.co.uk if you think we can help.

Sources:

Business Continuity Institute (BCI). (2018). Good Practice Guidelines 2018 Edition.

ISO. (2019). ISO 22301:2019 Security and resilience – Business continuity management systems – Requirements.

UK Government. (2013). Business Continuity Management Toolkit. https://www.gov.uk/government/publications/business-continuity-management-toolkit

Image accreditation: Getty Images from Unsplash.com+. Last accessed on 1st August 2025. Available here.