What is operational resilience?
Operational resilience is the ability of the LME and LME Clear to absorb and adapt to shocks and disruptions - rather than contribute to them. It focuses on the continuity of services we provide to our end users. As financial market infrastructure (FMI) providers, we are committed to achieving and maintaining robust, market-leading resilience standards that are built into our operations by design and can withstand regulatory scrutiny.
The Operational Resilience and Business Continuity team has worked hard to put robust processes in place to deal with any disruptions to the smooth day-to-day running of our business, whether that is related to the orderly function of our trading platforms, or for our colleagues around the business should anything untoward happen.
Regulation and operational resilience
LME Clear is regulated by the Bank of England (BoE) and the LME is regulated by the Financial Conduct Authority (FCA) and we submit an operational resilience self assessment annually to each of the regulators.
What is business continuity?
Business continuity is defined as the capability of an organisation to continue delivering products and services within acceptable time frames and at predefined capacity during a disruption.
At the LME and LME Clear, we manage this through our business continuity management system (BCMS) - a suite of policies and documents that outline how we ensure continuity of essential services following a major disruption.
Certification
The LME and LME Clear is certified to ISO 22301:2019, the international standard for business continuity management (BCM).
To achieve this standard the team annually re-validates the certification with the British Standards Institute (BSI), going through a process involving a series of audits and close interrogation of our BCMS including:
- the crisis management plan
- business impact analysis
- contingency strategies
- exercising and testing
