The Procurement Glossary » Business Continuity Planning (BCP)

Business Continuity Planning (BCP)

Compliance & Risk

Also known as: BCP

Definition

Planning to keep critical operations running, or recover them quickly, when disruption strikes.

Explanation

For procurement, BCP means ensuring supply of critical items survives a supplier failure or disaster — through backup suppliers, buffer stock, and supplier continuity requirements. It turns supply-risk awareness into concrete contingency plans.

Example

The BCP names backup suppliers and buffer stock for every critical component.

Related terms

• Supply Risk — The risk that supply of a good or service is disrupted, constrained or made more costly.
• Dual Sourcing — Deliberately using two suppliers for the same item to reduce dependency and supply risk.
• Just-in-Case (JIC) — An inventory strategy of holding extra stock to buffer against disruption, prioritising resilience over lean efficiency.
• Exit Plan — A pre-agreed plan for winding down a supplier relationship smoothly, covering handover, data and continuity of supply.

Frequently Asked Questions

What is Business Continuity Planning (BCP)?

Planning to keep critical operations running, or recover them quickly, when disruption strikes. For procurement, BCP means ensuring supply of critical items survives a supplier failure or disaster — through backup suppliers, buffer stock, and supplier continuity requirements. It turns supply-risk awareness into concrete contingency plans.

Can you give an example of Business Continuity Planning (BCP)?

The BCP names backup suppliers and buffer stock for every critical component.

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