Question: What Is The Meaning Of Contingency Plan?

What is an example of a contingency?

Contingency means something that could happen or come up depending on other occurrences.

An example of a contingency is the unexpected need for a bandage on a hike.

The definition of a contingency is something that depends on something else in order to happen..

What is the meaning of contingency?

dependence on chancedependence on chance or on the fulfillment of a condition; uncertainty; fortuitousness: Nothing was left to contingency. a contingent event; a chance, accident, or possibility conditional on something uncertain: He was prepared for every contingency. something incidental to a thing.

How do you start a contingency plan?

Here are the steps you need to follow in a contingency planning process.Step 1: List down the key risks. … Step 2: Prioritize the Risks Based on Their Impact. … Step 3: Create Contingency Plans for Each Event. … Step 4: Share and Maintain the Plan.

Is a contingency plan a backup plan?

A contingency plan is a backup plan, activated in the event of a disaster that disrupts a company’s production and puts employees in danger. The goal of the plan is to safeguard data, minimize disruption and keep everyone as safe as possible.

What is contingency planning in project management?

A contingency plan is essentially a “Plan B.” It’s a backup plan in place for when things go differently than expected. In other words, a contingency plan in project management is a defined, actionable plan that is to be enacted if an identified risk becomes a reality.

How do you use the word contingency?

If you plan to walk home if the weather is nice, but bring subway fare just in case, then taking the subway is your contingency plan. A contingency is an event you can’t be sure will happen or not. The noun contingency describes something that might or might not happen.

What is a contingency plan example?

A contingency plan is a plan devised for an outcome other than in the usual (expected) plan. … Contingency plans are often devised by governments or businesses. For example, suppose many employees of a company are traveling together on an aircraft which crashes, killing all aboard.

What is the purpose of a contingency plan?

The purpose of a contingency plan is to allow an organization to return to its daily operations as quickly as possible after an unforeseen event. The contingency plan protects resources, minimizes customer inconvenience and identifies key staff, assigning specific responsibilities in the context of the recovery.

What is a 10% contingency?

Most construction projects use a rate of 5%-10% from the total budget to determine contingency. Typically that will cover any extra costs that might come up. … If issues arise, having budgeting issues could delay the whole project, and prevent work from being completed.

What’s another word for contingency?

What is another word for contingency?possibilityeventeventualitychanceemergencyuncertaintycasecontingencecontingentoccurrence10 more rows

What must a contingency plan include?

A good contingency plan should include any event that might disrupt operations. Here are some specific areas to include in the plan: Natural disasters, such as hurricanes, fires, and earthquakes. Crises, such as threatening employees or customers, on-the-job injuries, and worksite accidents.

What are the different types of contingency plans?

9 Examples of Contingency PlanningDisaster. A school near the sea plans for a tsunami. … Environment. A city plans what it will do if air quality reaches dangerous levels. … Infrastructure & Facilities. … Partners. … Talent. … Markets. … Political. … Trade.More items…•