Acontingency plan, oralternate plan, also known colloquially asPlan B, is a plan devised for an outcome other than in the usual (expected) plan.[1] It is often used forrisk management for an exceptional risk that, though unlikely, would have catastrophic consequences.
Contingency plans are often devised bybusinesses orgovernments. There are five steps of implementing contingency plan, which are organize a planning team, assess the scope of the problem, develop a plan, test the plan, and keep the plan up-to-date.[2] For example, if many employees of a company are traveling together on an aircraft which crashes, killing all aboard, the company could be severely strained or ruined by such a loss. Therefore, many companies have procedures to follow in the event of such a disaster. The plan may also include standing policies to mitigate a disaster's potential impact, such as requiring employees to travel separately or limiting the number of employees on any one aircraft. Effective contingency planning can increaseorganizational resilience in the workplace.
During times of crisis, contingency plans are often developed to explore and prepare for any eventuality. During theCold War, many governments made contingency plans to protect themselves and their citizens fromnuclear attack. Examples of contingency plans designed to inform citizens of how to survive a nuclear attack include the bookletsSurvival Under Atomic Attack,Protect and Survive, andFallout Protection, which were issued by the British and American governments. Today there are still contingency plans in place to deal withterrorist attacks or other catastrophes.
TheNational Institute of Standards and Technology has published a contingency planning guide forinformation technology systems.[3]
In the United States, allHAZMAT operations require contingency plans. TheUnited States Environmental Protection Agency, through RCRA and EPCRA, has defined specific formats for Local Emergency Planning and the National Contingency Plan.[4]
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