COVID-19, business continuity management and standardization: case study of Huawei
ISSN: 1750-614X
Article publication date: 15 September 2022
Issue publication date: 13 November 2023
Abstract
Purpose
This paper aims to theoretically and empirically demonstrate the role played by business continuity management (BCM) to address risks such as trade conflicts and natural disasters. This paper also answers whether compliance with international standards such as the International Organization for Standardization (ISO) 22301 is adequate.
Design/methodology/approach
A case study of Chinese telecommunications giant Huawei is conducted to examine how a robust end-to-end BCM system has been established in two decades and in what way it has helped Huawei to efficiently maintain growth under pressure, such as being added to the “Entity List” and the pandemic.
Findings
Huawei case contributes to BCM theory in its approach to establishing the BCM system and its well-established BCM model. Huawei establishes and continually improves its BCM system by applying the Plan (establish), Do (implement and operate), Check (monitor and review) and Act (maintain and improve) cycle. Characterized as 4Ps: BCM policy, BCM process, incident management plan and business continuity plan, Huawei BCM system is shaped into a loop with end-to-end BCM process, covering all steps along its value chain – from suppliers and partners to Huawei itself and then on to its customers – with key initiatives for all domains such as R&D, procurement, manufacturing, logistics and global technical services. In practice, implementing international standards such as ISO 22301 enables Huawei to develop business continuity but not enough. Optimizing the BCM system is an ongoing effort, and BCM maturity is ever present: continually improving Huawei’s own BCM system and benchmarking against best practices available worldwide.
Research limitations/implications
Apart from the case study, other methods such as counter-factual analysis can be used to further test whether Huawei’s BCM system is cost-effective. Another direction for future study is whether suggested BCM maturity levels should be supplemented into ISO 22301. In the digital age, how to use digitalization to ensure business continuity is a current issue not just for practitioners such as Huawei but also for researchers worldwide.
Practical implications
In practice, implementing international standards such as ISO 22301 enables Huawei to develop business continuity but not enough. Optimizing the BCM system is an ongoing effort, and BCM maturity is ever present: continually improving Huawei’s own BCM system and benchmarking against best practices available worldwide.
Originality/value
To the best of the authors’ knowledge, this is one of the first studies to focus on how an organization continually improves the suitability, adequacy and effectiveness of its BCM system, with special attention to standards compliance.
Keywords
Acknowledgements
The authors thank anonymous reviewers for their insightful feedback. The corresponding author acknowledges the financial support by the National Social Science Foundation of China, Grant number 20BJL047.
Funding: This work is supported by the National Social Science Foundation of China (20BJL047).
Citation
Chen, S. and Xu, J. (2023), "COVID-19, business continuity management and standardization: case study of Huawei", Chinese Management Studies, Vol. 17 No. 5, pp. 1117-1138. https://doi.org/10.1108/CMS-10-2021-0445
Publisher
:Emerald Publishing Limited
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