Losing sellable products

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The business is not set up to effectively distribute, sell or maintain products for existing or new customers. Businesses basically fall into two categories: product providers and service providers. Product providers sell the products to the customers. Service providers maintain customer’s throughout the life-cycle. This means that special needs have to be made to take care of the customer so that they will continue to use your services.

Risk Factors:

• Irate customers

• Equipment, services and/or features missing from applications frustrates users

• Network and application failures upsets both users and customers

• Profits decrease for the company.

Example: A sales tool application is down for two hours which impacts users to sell products to customers. The Service Level Agreement (SLA) of the application is not met. Potential loss of revenue for those two hours is estimated at $200K. (Note: each application has its own SLA agreement pre-determined and an Application Business Impact Analysis (ABIA) survey determines the financial loss).