Brazos Valley, Inc. (BVI), a medical device manufacturing firm, has a small systems staff that designs and writes BVI’s customized software. Until recently, BVI’s transaction data were transmitted to an outside organization for processing on its hardware.

BVI has experienced significant sales growth as the cost of medical devices has increased and medical insurance companies have been tightening reimbursements for cost containment purposes.

As a result of these increased sales, BVI has purchased its own computer hardware. The data processing center is installed on the ground floor of its two-story headquarters building. It is behind large, plate-glass windows so that the state-of-the-art data processing center can be displayed as a measure of the company’s success and attract customer and investor attention. The computer area is equipped with halon gas fire suppression equipment and an uninterruptible power supply system.

BVI hired a small computer operations staff to operate its data processing center. To handle BVI’s current level of business, the operations staff is on a two-shift schedule, five days per week. BVI’s systems staff and programming staff, now located in the same building, have access to the data processing center and can test new programs and program changes when the operations staff is not available. Because the systems and programming staff is small and the work demands have increased, systems and programming documentation are developed only when time is available.

Periodically, but not on a scheduled basis, BVI backs up its programs and data files, storing them at an off-site location.

Unfortunately, due to several days of heavy rains, BVI’s building recently experienced serious flooding that reached several feet into the first-floor level and affected not only the computer hardware but also the data and program files that were onsite.

Requirements

1. Describe at least four computer control weaknesses that existed at BVI prior to the flood occurrence.

2. Describe at least five components that should be incorporated in a formal disaster recovery plan so that BVI can become operational within 72 hours after a disaster affects its computer operations capability.

3. Identify at least three factors, other than the plan itself, that BVI’s management should consider in formulating a formal disaster recovery plan.