1. Managing a functional exercise for the first time Graham Leonard, Business Continuity Manager Insights and lessons 17 June 2014

2. A case study in managing a functional exercise for the first time. PRESENTATION AIMS: provide insight into the benefits and challenges of and lessons learnt from managing a functional exercise advise how the Department of Agriculture tested its ability to continue critical functions when experiencing a total power outage across the ACT Department of Agriculture Managing a functional exercise for the first time Graham Leonard 2 17 June 2014 Introduction

3. Department of Agriculture 3 17 June 2014 Topics 1.The Department of Agriculture’s annual exercise schedule 2.Why conduct an exercise? 3.Why conduct a functional exercise? 4.Exercise Hollows Managing a functional exercise for the first time Graham Leonard

4. Topic 1: Annual Exercise Schedule Four essential components: 1.Executive endorsement 2.Audit Committee oversight 3.A range of exercise types across the department’s programs, based on risk 4.Consultation with programs on exercise development and timing 4 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard

5. Topic 2: Why conduct an exercise? Commence planning by identifying a need: 1.Identified by the department 2.Identified by you 3.Identified by the program area 5 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard

6. Topic 3: Why conduct a functional exercise? 6 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard

7. Topic 3: Why conduct a functional exercise? Aims and objectives: Help planners to determine the most appropriate exercise Functional exercise are most useful to practise, develop or assess: 1.procedures within a function 2.decision making skills within a function 3.the interaction between functional teams 4.higher level decision making Focus attention on control and coordination 7 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard

8. Topic 3: Why conduct a functional exercise? Costs: Functional exercises are considerably harder to conduct Expensive to the organisation but cheaper than field exercises Require more people to be involved Require far more organisation and planning 8 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard

9. Topic 3: Why conduct a functional exercise? Benefits: Functional exercises add dimensions to the exercise schedule that cannot be obtained any way other than through real events Test whether plans and staff will function as intended Provide rigour around: what people actually decide to do whether participants act in accordance to the BCP etc. whether the actions taken by staff in different functions actually align identifying erroneous assumptions 9 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard

10. Topic 3: Why conduct a functional exercise? Benefits: continued Provide rigour around: communication o whether participants act in accordance with the BCP etc. o determining whether contingency systems, processes and equipment actually work Obtaining a real sense of how long it takes to obtain information, make decisions and take coordinated actions under business disruption circumstances 10 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard

11. Topic 3: Why conduct a functional exercise? Cost vs. Benefits To resolve this: Reconsider the need The nature and degree of the need will determine the cost effectiveness 11 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard

12. Topic 4: Exercise Hollows Planning process and lessons learnt 12 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard http://upload.wikimedia.org/wikipedia/en/2/27/Melbourne_Terminal_Station.jpg

13. Topic 4: Exercise Hollows Lesson 1 13 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard If you have not run a functional exercise before: do no underestimate how much work is involved. start early and keep making progress on all the sub-tasks

14. Topic 4: Exercise Hollows The need 14 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard The executive approved a functional exercise to meet the following needs: Demonstrate that we could operate our systems independently of head office Test our ability to manage a complete power outage and failure of the site generator in head office

15. Topic 4: Exercise Hollows The need is extended 15 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard Due to the vulnerability of ACT’s power supply, we had to ensure our plans are robust enough to continue critical functions under a complete power outage in the ACT

16. Topic 4: Exercise Hollows Lesson 2 16 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard If you have not run a functional exercise before: it may as well be seeking to answer the hard questions

17. Topic 4: Exercise Hollows The importance of: 17 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard 1.Executive buy-in 2.Containing the scope 3.Planning

18. Topic 4: Exercise Hollows The importance of: 18 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard 1.Executive buy-in o To obtain key appointments, such as Incident Manager, Incident Management Team nominations, planning and evaluation team nominations o So that Division and Branch Heads support the planning process

19. Topic 4: Exercise Hollows The importance of: 19 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard 2.Containing the scope o Define who the major players are (eg. ISD and Property divisions) o Articulate that other programs are welcome but subject to the core scenario and will be playing significant but secondary roles

20. Topic 4: Exercise Hollows The importance of: 20 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard 3.Planning o Demands a full project management approach o All activities and products need to be identified, defined, scheduled and assigned o Planning team - delays

21. Topic 4: Exercise Hollows Lesson 3 21 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard If you have not run a functional exercise before, be prepared: for planning teams to talk but not produce the work requested on time to supplement the planning team meetings with individual meeting to ensure the work is completed

22. Topic 4: Exercise Hollows The benefits are experienced in three phases 22 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard 1.Planning 2.Conduct 3.Post-exercise evaluation

23. Topic 4: Exercise Hollows Some challenges are avoidable and some aren’t 23 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard Avoidable: Not starting early enough to plan the exercise Underestimating the amount of work involved Not getting sufficient buy-in. Don’t run it unless you have it at the highest level, because when things get busy you will be left to do the work yourself

24. Topic 4: Exercise Hollows Some challenges are avoidable and some aren’t 24 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard Unavoidable: You cannot keep everyone happy during the planning, the conduct or even the evaluation People have different expectations and preferences Be prepared for criticism; it is inevitable

25. Topic 4: Exercise Hollows Lesson 4 25 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard If you have not run a functional exercise before: be prepared for criticism; it is inevitable personally, judge your exercise on: o did it meet the objectives? o were the majority of people engaged? o will the findings make a difference?

26. Topic 4: Exercise Hollows Harnessing the lessons learnt 26 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard Incident Preparation We can maintain critical functions under this type of incident New IMT structure Need to further develop accommodation contingency arrangements Need to create a comprehensive communications plan Need to include the functions of critical staff in the BCP

27. Topic 4: Exercise Hollows Harnessing the lessons learnt 27 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard Exercise conduct Compressed timeframe caused inability to produce the required work Avoid key participants being appointed as role players Maintaining communications between the role players’ room and participants

28. Topic 4: Exercise Hollows Lesson 5 28 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard If you have not run a functional exercise before: be prepared for the exercise to generate a lot of work post ‑ exercise.

29. Questions? 29 Department of Agriculture 17 June 2014 Managing a functional exercise for the first time Graham Leonard