How much will an IT systems failure cost?
Category : Uncategorised
Are you wondering what an IT systems failure could cost your company?
You will remember that BA had an IT meltdown last week because of a power surge. You and I would have thought that a power surge was a predictable event and that we would have separated our backup system from the same power source as the primary one. BA reports that the power surge was so powerful it took out both the primary and secondary systems! Sounds like a schoolboy error to have a critical system and its backup exposed to the same risk!
So what did that cost them? Reportedly the drop in share price came to around £350M and the cost of compensation and putting things right for passengers is likely to be another £86.6M. I can’t find out what the cost of the reputational damage will be. I imagine people may think twice about using BA in the future so it will take a while to tell.
If you need some help ensuring your systems and processes are resilient, give me a call or have a look for some helpful information in my blog section.