The dependence on information technology (IT) in all functional areas of the organization as illustrated during the recent Y2K crisis clearly demonstrates the need for effective IT contingency planning and disaster recovery strategies. To date, research on IT disaster recovery planning is very sparse. The present study aims at broadening our understanding of why some firms appear to be more crisis prepared than others and proposes a contingency model of IT disaster recovery planning. It extends previous research on IT planning by testing the utility of the strategic grid model for IT disaster planning.