Business continuity: smaller firms most vulnerable to problems.

For business continuity planning, size does matter, according to John Medaska, vice president of business development with Relational Technology Services (www.relationaltechnology.com). Medaska says small companies are probably the most vulnerable to business interruptions because they don't have the financial base to absorb disruptions for very long. Being out of touch with customers even for a few days, or having customer history or other key records destroyed, can result in a loss of business from which a small company may never recover.

Medaska advocates having a business continuity plan in place that can negate the effect of a terrorist attack, either direct or residual. Some key points are:

* Location, Location, Location -- A business continuity site doesn't have to be buried deep into the side of a mountain like NORAD. In fact, Medaska recommends keeping it within an hour's drive of the main site. This is far enough away to not be directly affected by an attack, but close enough that personnel will be willing to go there in a time of crisis and emotional upheaval.

* Planning Is No Tape Job -- When setting up a business continuity plan, most small and mid-sized organizations rely solely on backup tapes. But where do the tapes go if you don't have a mirror site and the original site loses power? This is especially critical since most small and mid-sized businesses are ill-equipped to absorb the loss of a few days of business.

* Choosing the Team -- Technical expertise is only one of several qualities needed when putting together a business continuity team. Among the other factors to consider: leadership, the ability to remain calm in a crisis and an understanding of the business sufficient to make key decisions.

* The Right Stuff -- Equipping a mirror site with the right technology is important, but it doesn't have to be expensive. Refurbished equipment can be used, while making it easy for the business continuity team to transition from the main to the mirror site.