Let’s have a disaster! 2-Minute Training on the Recovery Time Calculator

Let’s have a disaster! 2-Minute Training on the Recovery Time Calculator


We have a new Business Continuity & Disaster Recovery resource available and we want to share it with you through a quick training. Watch the video and/or read the transcript below.

Today’s training is on the Recovery Time Calculator that you can use to estimate the cost of downtime for your organization. The Recovery Time Calculator is available on our website. Play the video below for a full explanation of the calculator.

Let’s take a look at the calculator.

First, we have the recovery time objective, which is the amount of time we are willing to wait before our system is back online and operational. So, I’ll say that we’d like our system back and online within 2 hours of when the incident takes our system offline.

The recovery point objective is how far back in time we need to be able to restore data. In this example, I’ll say that we need to be able to restore data from 8 hours ago.

Now it will ask us how much data is on our critical business systems and I’ll say that we have 1TB or 1,000 GB of data. I’ll say that we backup our data every 24 hours.

How long does it take to initiate a recovery process? To answer that, I might need to call our IT provider, RoundTable, let’s say to ask them for their input on this figure. We will estimate 2 hours of time that goes by before we initiate the restore process. Let’s say we’re using something like Crashplan or Mozy and we’re restoring from the cloud. We don’t have any local backups. We’re restoring our backups from a cloud solution.

We’ll say that we have 25 staff at our organization and we’ll say that our staff earn an average of $25/hour, which is roughly the equivalent of a $50,000/year salary.

I’ll add in $5/hour for overhead.

Revenue lost as a result of the system failure is a difficult figure to calculate, but we’ll say that if we’re down and unable to access our systems, perhaps that that might costs us as much as $50/hour as an organization while we are down.

I’m going to go ahead and hit the calculate button. The calculator will run the numbers.

The result it comes up here is a total cost of $4000, and that our recovery time objective and our recovery point objectives are not met, meaning that we are not able to recover as fast as we would like, and we’re not able to restore our data from 8 hours ago, since we backup every 24 hours.

This report is something that I can print and it can be a useful tool for discussion in order to gauge what it’s worth to invest in better backup and recovery systems for your organization. Run the calculator now on our website here.

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