The Recovery Point Objective (RPO) is a key concept in disaster recovery and business continuity planning. It defines the maximum acceptable amount of data loss measured in time. For example, if a company has an RPO of four hours, it means that in the event of a disruption, they can afford to lose up to four hours' worth of data. RPO helps organizations determine how frequently they should back up their data. By understanding their RPO, businesses can implement appropriate data protection strategies, such as regular backups or real-time data replication, to minimize potential data loss and ensure continuity in operations.