1. Estimate outage duration
Enter the number of hours the affected process is unavailable or materially degraded.
2. Enter hourly business loss
Use lost revenue or contribution associated with the blocked process.
3. Count affected employees
Include only people who cannot perform productive alternate work.
4. Set loaded labor cost
Enter wages plus relevant employer costs per employee-hour.
5. Add exceptional costs
Include response, vendor, communications, workaround, and recovery expenses not captured elsewhere.
6. Review the components
Use the breakdown to see whether business loss, labor, or extra costs drive the estimate.