Risk Management Order 831724
Name
Institution
Unit 6 Assignment Template:
Name AB297 Section #: Date:
Checklist:
- Using the table fill in the risks.
- Consider the essential values statement derived from the company’s Code of Conduct and the company’s plans and goals.
- Use what you have learned regarding ethical decision-making and problem-solving to suggest a management solution to the company to expand its customer service teams in an ethical and effective manner.
- Explain how your suggested solution will or will not mitigate the risks you identified.
| Risks: | To the Employees | To the Company | Mitigation |
| Timing | Risk scale-5
The timing is terrible for the employees due to security issues and the air quality that could affect their health (Lecture notes, n.d.). |
Risk scale-1
For the company, there is no wrong time to expand its activities as long as it is ready, and all the factors have been considered, so it is the right time for the company. |
The lease has already been done, and nothing can be done now, the company can make the offer more appealing to motivate the employees to move to the new location or those that are unwilling to transfer be replaced with locals. |
| Scale | Risk scale-3
No scaling because new ones will be needed |
Risk scale-3
The company can grow but will need to hire new staff |
The company can fire 40% of employees to reduce overhead costs. |
| Competition | Risk scale-5
The company could hire new employees |
Risk scale-2
It has to maintain the quality of services offered to customers |
There is competition for job opportunities in this organization, so employees should do their best to keep their jobs. The company has to stay ahead of the competition by offering quality services. |
| Economic, political, sociological, environmental | Risk scale-5
The old environment favors them, but the new location does not favor them |
Risk scale-1
The three sectors of the environment are okay for the company activities |
Employees will have to cope with the new environment if they want to stay in the company in the new location in Mexico where the business has already leased. The company could look for measures to make the working environment better for employees. |
| Budgetary | Risk scale-5
The shifting costs could be high |
Risk scale-5
It would need to increase hiring budgets for the additional supervisors |
The company could organize to move the employees using a big vehicle to cut the transportation costs each employee could use. The company can add some employees with supervisory tasks to minimize the budget of hiring new supervisors. |
| Transportation | Risk scale-5
Is high for employees |
Risk scale-5
High for the company |
Big vehicles can be used to transfer the office and the employees’ stuff |
| Relationships/partnerships | Risk scale-3
Some relationships will be affected by the transfer |
Risk scale-2
Relationships with the local communities will be affected |
Employees can take with them their families, the company to build a new relationship with the new community. |
| Licensing/Duties/Copyrights | Risk scale-4
Will have to meet the new location requirements |
Risk scale-4
Meet the new location requirements |
Do an assessment of all the local authorities’ requirements for the company and the employees to avoid collision with the law. |
| Know-How | Risk scale-2
No risk for old employees. There is a risk for the new ones that will be added |
Risk scale-1 Low risk | Employees and the company are well equipped with what they do, and therefore the company will only need to be careful with the experience of the new employees they will hire. |
| Legal | Risk scale-5
New location laws could differ from the old location |
Risk scale-5
New location laws could differ from the old location |
Studying and understanding the new location laws would reduce the risks of legal consequences. |
| Market /Public perception | Risk scale-5
They do not have a good perception of the new location |
Risk scale-1
They are concerned about public image |
The company, together with the employees, could do thorough research to establish how to maintain the security and health safety of employees in the new location. For example, get residential houses in a secure place away from a busy industrial area. |
| Cultural | Risk scale-1
The risk is low |
Risk scale-1
The risk is low |
The company employees are fluent in at least two languages, so it would be easy to interact with the new location cultures. |
| Infrastructure | Risk scale-1 | Risk scale-1 | The company has already leased a new building; it is therefore set for the movement. |
| Technology | Risk scale-3 | Risk scale-3 | Technology is always evolving, and therefore employees and the company should conduct some pieces of training to keep up with the new technology |
| Climate/Terrain | Risk scale-4 | Risk scale-2 | The employees might find it hard to adapt to the new climate, and therefore doing some research will enable them to learn and adapt quickly. |
| Access to technology | Risk scale-3
The risk is not too high |
Risk scale-2
The risk is not too high |
Flexibility will enable the company and the employees to adapt and be able to access new technology. |
| Security | Risk scale-5
The risk is high |
Risk scale-5
The risk is high |
There is gang violence, and that means the security risk is high. The company can implement security control measures to enhance the security of its operations and that of the personnel |
| Quality Control | Risk scale-1
It is low since they have stayed long in their positions, five years average |
Risk scale-1
It has been doing good and entrusted by several corporations to provide services |
The company should ensure that the new location does not affect its service delivery by maintaining the same quality same thing for employees. |
| Synergies | Risk scale-5
Can lose their jobs if they do not move to a new location |
Risk scale-3
It has already evaluated the potential for moving to the new location |
Employees not willing to move could lose their jobs as the company is implementing a growth strategy, so they have to decide if they will move or not. The company has already evaluated that they will succeed in their growth strategy, so it should put more effort into staying focused on the new strategy. |
| Impact on stakeholders | Risk scale-1 | Risk scale-1 | The new strategy poses a low risk to the stakeholders since they will keep on providing the same services since nothing else apart from the location has changed. |
| Training | Risk scale-3 | Risk scale-1 | New and the old employees alike will need some training so they can adapt easily to the new environment. The company can get a local trainer who is accustomed to the new location. |
Address the checklist items here:
Risks differ from one location to the other. The risks that the company and the employees are facing in the old area will not be the same in the new site. The company should, therefore, set aside some funds and risk analysis personnel to assess the risks inherent to the company in the new location so they can be able to devise measures to ensure that the risks will not negatively affect the company, employees and the operations. If possible, the company can ensure all the steps are put in place to ensure business continuity and better stakeholder relationships.
Reference
Lecture notes (n.d.) case study scenario.