What is it?
A systematic process by which an organization gathers information about its essential business functions and processes and evaluates the potential impact to the organization if those functions and processes were interrupted or otherwise adversely affected. Also referred to as a business impact analysis.
Why is it important?
This term is important because it helps organizations prioritize the allocation of time and resources to prevent, manage, and recover from incidents that affect critical business operations and assets. A business impact assessment also provides information to help create an incident response plan and a business continuity plan.