Final answer:
The completion of a Business Impact Analysis (BIA) is a mandatory requirement by the Office of Management and Budget (OMB) and FISMA to ensure federal agencies can identify and prepare for potential impacts on their operations. It is part of a broader set of responsibilities of the OMB to assist the President in policy execution and safeguarding information resources.
Step-by-step explanation:
The completion of a Business Impact Analysis (BIA) is a requirement of the Office of Management and Budget (OMB) Circular A-130, "Management of Federal Information Resources," Appendix III, "Security of Federal Automated Information Resources," and Title III of the E-Government Act, entitled the Federal Information Security Management Act (FISMA). A BIA is a critical component in the development of a comprehensive security program. It enables an organization to identify and evaluate the potential effects (financial, operational, regulatory, or reputational) of natural or man-made events on business processes. The outcome helps in the creation of strategies for the protection of information assets and ensures that resources are focused on the most critical areas.
The OMB oversees a wide array of management tasks, ranging from budgetary responsibilities to overseeing the performance of federal agencies. By implementing a BIA, the OMB aids the President in shaping and executing policies in the context of safeguarding federal information resources. The requirement of a BIA reflects the intricate relationship between policy formulation and the necessity of understanding the potential impact of interruptions to governmental services and operations.