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Risk Management: XYZ Company

  1. Describe the Scenario.
  2. Provide an overview of the organisation, product/service, key stakeholders, and any other criticalinformation relating to your Scenario. This is an essential background for establishing the relevant context of what you are facing as a risk manager.
  3. Elaborate on Risk Identification (What, How, and Why in detail with examples).
  4. Describe how and why you quantified at least three (3) risks in detail.
  5. Discuss (in general) the development of risk response planning as expected in your scenario.
  6. Describe (in detail) the risk plan implementation as expected in your scenario.
  7. Develop an appropriate risk tracking, monitoring and control (TMC) system.
  8. Identify an incident that has occurred either in one of your identified risks, or related to all your risks, and describe the nature and extent of change that has taken place.
  9. Elaborate on the (in)effectiveness of your TMC in handling and dealing with the incident occurred in the above point.
  10. Give a summary of key issues in the scenario.

                                                                       SAMPLE SOLUTION

Introduction

Risk management is a process whereby risks are identified, assessed and strategies are developed to ensure the management of such risks (Deresky, 2017). A risk management plan is crucial to ensure the continuity of a business. in essence, by comprehending the prospective risks to one’s business and establishing ways to reduce the implications of such risks, one will be able to recover the business faster in case of an undesirable occurrence. The types of risks that exist are different from business to business. However, the establishment of a risk management plan encompasses a common procedure. A risk management plan must incorporate the strategy for handling risks to the business. It is vital to allocate resources, budget, and time for the preparation of a risk management plan (Cuervo‐Cazurra, 2012).

Particularly in relation to business, risk management denotes one of the most imperative elements of business. Within the context of business, risk management denotes the process of identification, assessment, and control of threats to a business’s earnings and capital (Quer et al., 2012). Notably, these risks could result from variable sources inclusive of natural disasters, accidents, strategic management errors, legal liabilities, and financial uncertainties. In the contemporary business world, risk management is considered to be an indispensable element (Cavusgil et al., 2014). Essentially, the identification and alleviation or elimination of various risk factors is one of the top priorities for several companies. The purpose of this paper is to examine a particular scenario from a risk management perspective.

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