Lloyds TSB
Financial Markets Division
Exercising your Top Team
FXJSC Global Operational Managers
Conference April 2005
Allen Drew
The Incident Response Structure in Lloyds TSB
Group Level:
• GIE (Group Incident Executive)
• GIO (Group Incident Operations)
Business Unit Level: Financial Markets
• Financial Markets Recovery Team
–
strategic role responsible for direction of the business in contingency
• Crisis Management team
–
responsible for recovery of business functions/operations
• Contingency Control Teams x 3
– responsible for managing the incident
So what test/exercising do we do?
User Test
• Annual tests over a weekend
System Test
• Test undertaken twice a year to prove IT’s ability to
switch systems from our live site to our contingency site
within SLA
Telephone Cascades Test
• Annual exercise
Scenario/Walkthrough Exercises for Emergency Teams
• Variety of exercises with different scenario’s, different
teams and each with different objectives
Group Incident Response Exercises
Financial Markets Recovery Team Exercise
June 2004
Why we needed to test this team:
• Never tested!
• Need to validate roles & structure
• Need to confirm communications both internal / intra Group &
external
• Enhance the profile of BCM & the Top Team’s understanding
of incident response issues
Financial Markets Recovery Team Exercise
June 2004
Exercise Preparations:
• Decision whether to use external consultants?
• Selection Process
• Development of the scenario (local event vs. market impact)
• Validation of the scenario & its potential impacts
 Group Economist
 Consultation with other Group businesses
Financial Markets Recovery Team Exercise
June 2004
Exercise Outcomes & Learning Points:
• All the issues identified were captured in the consultants
exercise report along with recommended actions / areas to
be addressed
• The findings prompted a further Group exercise utilising the
scenario’s potential market impacts to further develop the
Group’s incident response plans
• The divisional & emergency team plans were updated to
reflect the exercise findings
• An internal report by the BCM Team on the exercise
including all the Group responses on the potential scenario
impacts
Financial Markets Recovery Team Exercise
June 2004
Learning points cont.
• Increased awareness and buy in, particularly if you exercise
the top team
• Research the scenario before exercising to ‘make it real’
• Remember your Executive Team’s are inundated with papers &
reports / issuing plans & role descriptions is no substitute for
exercises
• Don’t regard using consultants as the easy option / it is your
business and they are your plans hence they require your
involvement throughout the process
• Get the timings right – what is the right time and duration for
the business?
• People, structures and systems all change and so you need to
have a repetitive cycle of exercising.
Thank you