Why a Unified Approach to Critical Event Management Improves Operational Resilience

1. The Value of Taking a Unified
Approach to Critical Events
March 28, 2019
Forrester Consulting Study: Sep 2018
John van Laerhoven
Managing Director Benelux

2. 1. Examines the impact of critical
events on personal safety,
operations and business continuity
2. Measures the maturity of critical
event processes and technology
3. Tracks the progress to unify critical
event management
2018 Critical Event
Management Survey
Source:
A commissioned Study conducted by Forrester
Consulting on behalf of Everbridge | September 2018

3. Background and Methodology
42%
39%
20%
$500M to $1B
$1B to $5B
> $5B
Annual Company Revenue
100% US
28%
33%
39%
48%
100%
Africa
LATAM
Asia Pacific
Europe and/or the Middle East
North America
In which Region(s) does your company do business?
23%
24%
26%
26%
Technology and technology
services
Oil & gas
Manufacturing and consumer
packaged goods (CPG)
Financial services
Industry
Company Headquarters
Base: 214 Critical event management and operations executives in the US at enterprises with global operations
Source: Forrester Consulting September 2018

4. Respondent Demographics
8%
9%
16%
18%
21%
28%
Physical security/corporate
security
Information security
Business continuity/disaster
recovery (BCDR)
Risk management
Information technology
Operations
14%
22%
64%
C-level executive
Vice president
Director
Job Title Current Position or Department
Base: 214 Critical event management and operations executives in the US at enterprises with global operations
16%
49%
36%
I am the final decision maker for my
company’s CEM strategy
I am part of a team making decisions for
my company’s CEM strategy
I influence decisions related to my
company’s CEM strategy
Responsibility Level

5. Impact of Critical Events

6. Companies Need to Prepare for the Inevitable
To the best of your knowledge, how many discreet critical events
of any type has your company suffered in the past 24 months?
(Enter a whole number.)
1 - 3 critical
events
60%
4 - 6 critical
events
34%
7 - 10 critical
events
6%
Average # of critical
events per 2 years:
4
Base: 214 Critical event management and operations executives in the US at enterprises with global operations
Organizations
reporting 2 or more
critical events per 2
years:
40%

7. Most Common Critical Events
From which of the following types of critical events has your company suffered in the past 24
months? (Select all that apply)
Base: 214 Critical event management and operations executives in the US at enterprises with global operations
11%
11%
14%
21%
22%
23%
23%
24%
24%
25%
28%
33%
Active shooter
Geopolitical events/social unrest
Terrorism or acts of terror
Ransom / extortion
Supply chain disruption
Executive protection threat
Brand / reputational crises
Utility outage
Cyberattack
IT failure of a business-critical system or application
Theft of physical/intellectual property
Natural disaster/extreme weather

8. Critical Events Impact Safety, Brand Value
and Revenue
Thinking back to the critical events your organization have faced in the past 24 months, how
severe was the impact overall in each of the following categories? (Select one per row)
18%
16%
25%
29%
23%
26%
29%
29%
31%
34%
21%
27%
25%
21%
30%
27%
24%
27%
28%
25%
IP/competitive differentiation
Strategy/investments/expansion
Employee productivity
Supply chain and partner ecosystem stability
Operational efficiency
Executive protection/VIP safety
Revenue
Brand and reputation
Employee safety
Customer safety
Severe/critical impact Large impact
Base: 214 Critical event management and operations executives in the US at enterprises with global operations
59%
59%
56%
53%

9. Critical Event Response

10. Less Than 1/3 Report Optimized Tools and
Procedures
25%
26%
26%
28%
29%
30%
30%
31%
31%
31%
32%
Business continuity planning and response system
Team testing/crisis simulations
Dedicated critical event response team/s
Incident management system
Predictive analytics to help improve future…
Instant conferencing, chat, and collaboration tools
Common operating picture for critical events
Real-time threat tracking and identification
Social media monitoring
Real-time reporting
Documented roles and responsibilities
Which of the following statements best reflects the current state of your company’s maturity of critical
event response/remediation (regarding related tools and procedures)? (Select one per row)
Base: 214 Critical event management and operations executives in the US at enterprises with global operations

11. Current Tools and Procedures Cause Lack of
Coordination and Slow Response
21%
23%
25%
25%
28%
28%
29%
29%
29%
29%
30%
31%
36%
39%
Siloed teams/response plans
Lack of skilled and experienced personnel
Critical event reporting is too manual a process
Lack of visibility/buy-in with executives/leadership
Poor field intelligence during escalating events
Unclear roles and responsibilities
Unclear process for identifying and responding to critical events
Burdensome legal and regulatory requirements
Lack of budget for critical event planning/response
Locating/communicating with employees
Poor business continuity during critical events
Lack of automated response/communication workflows
Response systems aren’t integrated/too many response systems to track
Slow speed to critical event resolution
What challenges do your company experience in planning for or responding to
critical events? (Select all.)
Base: 214 Critical event management and operations executives in the US at enterprises with global operations
46%
of organizations
report 4 or more
challenges

12. Benefits of a Unified Approach

13. Source: Forrester Consulting September 2018
Customers expect your business to be
ready no matter what the disruption
Employees expect your business to be
ready no matter what the disruption
Partners expect your business to be
ready no matter what the disruption
Investors expect your business to be
ready no matter what the disruption.
You need a
Unified Approach
to
Critical Event Management

14. A Unified Approach Mitigates the Impact of
Critical Events
To what extent has a unified approach impacted the following at your company as they relate to
critical events? (Select one per row)
15%
27%
21%
19%
29%
31%
28%
36%
42%
40%
42%
38%
46%
49%
39%
40%
44%
38%
33%
38%
IP/competitive differentiation
Supply chain and partner ecosystem stability
Strategy/investments/expansion
Employee productivity
Operational efficiency
Executive protection/VIP safety
Revenue
Employee safety
Brand and reputation
Customer safety
High positive impact Moderate positive impact
Base: 156 Critical event management and operations executives in the US at enterprises with global operations
Top four
negatively
affected by
critical events
78%
75%
74%
72%

15. Unified Operations Reduces Time to Identify
and Resolve Critical Events
How effective are the critical event response/remediation tools and procedures you currently
have implemented in the following areas? (Sum of very effective and effective shown)
42%
42%
49%
40%
37%
22%
34%
33%
40%
28%
Reducing mean time to identify (MTTI)
Reducing mean time to know (MTTK)
Reducing mean time to fix (MTTF)
Reducing mean time to verify (MTTV)
Reducing mean time to resolution (MTTR)
Implemented All others
Base: 156 implemented, 58 all others; critical event management and operations executives in the US at enterprises with global operations

16. Companies Using a Unified Approach See
Significant Benefits
What are the benefits of a unified approach? (Select all that apply)
Those who said they have implemented a unified approach
Base: 156 Critical event management and operations executives in the US at enterprises with global operations
Improved/
easier critical
event reporting
57%
Increased speed
to critical event
resolution
56%
Improved response/
communication
workflows
56%
Better defined
roles/
responsibilities
51%
Improved business
continuity during critical
events
50%
#1 challenge overall #3 challenge overall #4 challenge overall

17. Use of Metrics

18. Few Track Time to Detect, Respond & Recover
Which, if any, of the following metrics do you use as key performance/risk indicators (KPIs/KRIs) to
track your critical event response efforts (formally or informally)? (Select all that apply)
23%
24%
25%
27%
28%
28%
28%
28%
30%
31%
36%
36%
37%
42%
47%
Mean time to respond
Percent false negatives
Percent false positives
Mean time to remediate and recover
Cost of downtime and response
Costs of legal and regulatory issues
Scope of safety incidents
Increased legal costs, insurance, and credit rates
Number of critical events per year
Diminished output
Lost revenue
Lost competitive advantage
Mean time to detect/identify
Reputation impact
Cost to repair, replace, or improve systems and processes…
Base: 214 Critical event management and operations executives in the US at enterprises with global operations

19. Mature Organizations Are More Likely to
Track Performance But Still Fall Short
31%
22%
17%
21%
17%
14%
33%
38%
30%
26%
34%
31%
31%
52%
Lost competitive advantage
Cost of downtime and response
Percent false negatives
Number of critical events per year
Increased legal costs, insurance, and credit rates
Mean time to remediate and recover
Cost to repair, replace, or improve systems and processes
post event
Implemented All others
Which, if any, of the following metrics do you use as key performance/risk indicators (KPIs/KRIs) to
track your critical event response efforts (formally or informally)? (Select all that apply)
Base: 156 implemented, 58 all others; critical event management and operations executives in the US at enterprises with global operations

20. CEM Maturity Model

21. Everbridge CEM Maturity Model
Key Benefits
+ Improved organizational
resilience
+ Faster response and
resolution = ‘Lower MTTR’
+ Common operating
environment for improved
responder and stakeholder
transparency
+ SaaS delivery and unified
platform lower admin costs
+ Reduced vendor costs
through vendor consolidation

22. Analyze - An organization’s ability to make data-driven
decisions, before, during and after an event to drive
continuous improvements.
Act - An organization’s ability to automate SOPs, team
activations and situational reporting to key stakeholders
during an event.
Locate - An organization’s ability to locate fixed, dynamic and
skill-based assets with high certainty to respond, act or be
kept informed during an event.
Assess – An organization’s ability to monitor events
and identify what will impact critical assets such as
people, places and systems.
Maturity Model Criteria

23. Evaluation Report
Personalized report contains:
• Current state of affairs at the organization
• Industry benchmark
• Best practices, path to improvement

24. Source: Forrester Consulting September 2018
1. Push towards an integrated approach to CEM.
2. Take an inventory of existing processes and metrics.
3. Double down on data and risk analytics.
4. Establish leading, lagging, and informational KPIs.
5. Relentlessly test your controls and contingencies.
Summary

25. Meet the Team!
Thank you
John van Laerhoven
Managing Director Benelux,
Respond, An Everbridge Company
www.respond.nl
www.everbridge.co.uk
@EverbridgeEMEA
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