Professional Documents
Culture Documents
1. What steps in the process should have highlighted to senior management that
there may be higher risks in the Victorian market?
Identify the risk : To operate and run business successfully it is important to know
laws and policies of federal states as different states have different policy. In this context,
the laws of Queensland was not evaluated and business have to suffer huge risk. They
wereunable to identify and manage risk.
Establishing the context: In the given case study, the company did not
evaluate the market , available resources and did not researched on scope and
focused on financial aspect only which resulted in huge loss of company. It was
necessary to establish the context evaluate the plans and focus on the market that
has greater scope rather that the market that is yet to be developed.
Analyse the risk : There is always possibility for risk to occur it is necessary
to analyse the risk and reduce the consequences of risk occurred.
Monitor and review the system : The operation of the company should be
reviewed on the basis of current financial situation and functioning of organization
in order to reduce risk factors by bringing changes in risk management procedure.
2. Explain what senior management could have done or set in place at the outset to
ensure a better understanding of the risks in both markets.
The things senior management could have done at the outset to ensure a better
understanding if the risks in both markets are as follows :
1. Explain
why its essential all stakeholders are involved in identifying risks.
- Every stakeholders can give different opinions by brainstorming various ideas one of the
opinion from different ideas can be useful and related with minimizing and identifyingrisks.
- It helps in identifying risk easily as many stake holders are discussing together about the
possible risks and risk factors
- Every stakeholders are concerned about the upcoming risk so each and every individualwill
be providing excellent reasons and they will be playing great role throughout the process in
minimizing loss and reducing loss effects
2. List five research methods that may be used in determining operating risks
relevant to a small car-tyre retailer, and describe what general type of information
may be retrieved or gained from these methods.
The methods that may be used in determining operating risks relevant to small car-
tyre retailer are as follows :
Public consultant: Consulting with public about product is the best way to upgrade
the products and spread the market. It is important to maintain costumer satisfaction with
thecompanys product. Gathering response from public reduce risk as it encourages on
producing the product within the interest and demand of costumer.
Stake holders: Stake holders can provide response on the product of the company
andgives opinions to improve and upgrade products which helps to reduce risk and
improve the quality of product.
Information from other business areas: Information from other business areas helps
to acquire knowledge about the product you are launching and the risk factors involved in
the business relevant to this product which helps in minimizing risk as possible risk factors
will be evaluated before running business and managed.
4. File the practice tasks you have completed that provide evidence you have
established:
a) the people you will speak to and what they can offer
Flowchart
Fishbone diagram
Scenario analysis
The personnels EMQ should invite to participate in risk identification and research
process are :
2. What appropriate methods could be used to ensure all possible risks have
been identified?
The appropriate method that could be used to ensure all possible risks identified are as
follows :-
Analysing the risk and proper planning to minimize it.
Regular inspection on bushy areas.
Scenario analysis and brain storming
Using diagrams to analyze highly affected areas and less affected areas and
prepare plan according to it.
The following is a list of risks that may commonly face a business enterprise.
a) Apply a risk rating scale to the likelihood of the risks listed above occurring (A
E; extremely likely to rare).
b) Assign a consequence or level of impact value (15; insignificant to
catastrophic/outstanding) to each of the risks.
c) What overall risk priority would you assign these risks for treatment (high, medium,
low)?
Case study
Read the case study, and then answer the questions that follow.
The basic rule of thumb assessment of consequence GM should have applied is as follows:
2. With rising oil prices, falling confidence in the finance markets and raised
environmental concerns among the general public, what likelihood and consequence
would you assign to this situation, and what resultant overall risk priority would you
generate?
1. What risk control options might you select for the following risks.
a) Increased competition
b) Decline in demand for the organisations services.
c) Expenditure exceeds budget forecast
d) IT system doesnt meet company requirements
e) High staff turnover
The risk control options I select for above risks factors is as follows:-
Research market and fulfill costumer demand.(Avoid the risk)
Increase quality of product , produce according to market demand.
(Change the likelihood).
Try to fix within the budget (change the consequences).
Sharing risk with insurance or business partner is important as the loss can be shared
mutually (Share the risk with third party)
Minimise the risk that have occurred by mobilizing the resources and staffs you have
(Retain the risk).
2. Research what type(s) of risk reduction or sharing strategies may be applied or are
available if you are looking to address the risk of litigation from the actions or
inactions of you or your staff.
The risk sharing strategies that can be applied after visualizing possibility of risk is
as follows:
The risk can be avoided proper planning and consultation with expertise
The risk occurred can be shared with business partners and insurance which
minimizes the loss occurred.
Initiating joint ventures with technical experts.
Can mobilize the available sources in case of risk to minimize the effect of loss.
3. Name four business areas for which there may be a legal requirement to retain
or destroy documentation. Give examples.
4. List the information you would include in your risk management action
plan and explain the purpose of this information.
The list of information that I can include in my risk management action plan are as
follows:
5. Explain the role a manager plays in monitoring and evaluating their risk
management action plan and storing the information.
The role of a manager in monitoring and evaluating the risk management plan and
storingthe information is as follows:
Analyse the reports , identify risk and prepare plan to reduce them.
Conduct risk management activities time by time.
Review the risk management process and research on outcomes to implement it on
future.
Prepare report and maintain the privacy on crucial information of organization.
Supervise and utilize the available resources.
6. In one or two sentences, describe why you need to maintain communication with
stakeholders and/or participants throughout the risk management process.
7. What difficulties do you think might arise when implementing the plan?
Provide solutions to the difficulties you have identified.
The difficulties that may arise implementing the plan are as follows:
Case study
Read the case study and answer the questions that follow.
The types of risk treatments available to the business to provide risk coverage for
identified risks are as follows:
2. Determine which risk treatment would best suit each risk, with a brief
The company is analyzing the market, market scope on the field they are upgrading.
For upgrade the company is co-operating with boat manufacturing companies to make a
big deal. The next step company is taking through is good as business needs to be
upgraded as they aremaking profits and it is the best time for them to upgrade but there is
also risk in the same way. The company is at good position making profits and it have
good employees and managers whoare leading the company well but the risky part is
company has not cleared previous debt and there is minimal cash reserves for
advancement and also they dont have much reputation on marine good manufacture so its
risky. I suggest CEO that they can currently upgrade on :
OPD employees are willing to change business operations to take
advantage of the functionality offered by the new mobile technology.
Management will ensure that project team members are available as
needed to complete project tasks and objectives.
The Steering Committee will participate in the timely execution of
the Project Plan (i.e., timely approval cycles and meeting when required).
Failure to identify changes to draft deliverables within the time
specified in the project timeline will result in project delays.
Project team members will adhere to the Communications Plan.
Mid and upper management will foster support and buy-in of
project goals and objectives.
The City will ensure the existence of a technological infrastructure
that can support the new mobile technology.
All project participants will abide by the guidelines identified
within this plan.
The Project Plan may change as new information and issues are
revealed
Project Timeline