Business Risk Management

Business Risk Management
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Contents
PURPOSE OF REPORT.................................................................................................................3
TASKS.............................................................................................................................................3
2.1 Overview about British Airways...........................................................................................3
Organizational Objectives...............................................................................................................4
2.2.1 Define the organizational objective that intends to achieve and may impacts by risks......4
Regulatory Context..........................................................................................................................4
2.2.2 Describe about the regulatory context in which organization operates and manages its
risks..............................................................................................................................................4
Risk assessment Method..................................................................................................................5
2.2.3 Define the probable risk assessment method applicable within organization to assess
threats by representing an appropriate risk scoring matrix and also outline threshold...............5
2.2.4 Develop and Design risk register that identify risks could impact on organizational
objectives and identify risk form area of business.......................................................................9
REFERENCES..............................................................................................................................13
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PURPOSE OF REPORT
Business risk management is based on the subset of risk that will be used to evaluate overall
enterprise risk and involves any type of change occurs in operations, process and system. it
useful for identifying the addresses and priorities risk which automatically minimize risk with
penalties from happen unexpected incidents. The business and other type of non-profit
organizations face unexpected risk events which directly affects on entire enterprise operations
and functions. The purpose of report is to determine about potential risk that generated within
British airways. On the other hand, potential risk is affecting on the business operations in
realistic manner. It can be determined about the objective of airways for eliminating risk by
implementing risk management plan in business activities.
TASKS
2.1 Overview about British Airways
British Airways is one of largest airline which offers different types of flight services to
passenger more than 550 destinations. The airway has provided different types of classes which
influence passenger. It mainly involves economy class, first class and premium. It also offers the
food items, entertainment options including games, TV and other type of music even also shop in
the on-board highlife. It is based on global airline which maintain proper services and give offer
on occasion in price, fares. The airways were established in 1987 September, becomes privatize
and expand their business in global world (Amankwah-Amoah and Wang, 2019). The British
airways act for movement against the virgin airline because of their damage of company and
legal prices. British airline starts the first flight from Havilland to Johannesburg which must split
into different time zone. The change occurs within airline industry that start of mass package
holiday enterprises. British airway is becoming successful airline which holds dominant position
in terms of time-slots and thus, has unrivalled world wide route network from international
airport. The profit rate has increased from £400million to £600million in 1997. It can be falling
back to £225 Million because of unexpected share price down in marketplace.
In British airways, it can be identified the risk related operational complexities which
inherent in business together with highly commercial and regulated competitive level in airline
industry. It also exposed the various type of risk and always focus on mitigating risk, although
remain out of control.
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Organizational Objectives
2.2.1 Define the organizational objective that intends to achieve and may impacts by risks.
 To Manage the capital for continue safeguard to reduce cost which provide returns to
shareholders.
 To increase the predictability of cash flows and profitability in global marketplace.
 To engage with the employee for understanding need and requirement of customer to
deliver outstanding services.
Regulatory Context
2.2.2 Describe about the regulatory context in which organization operates and manages its risks.
The government regulation applicable within British airline which help for reducing level of
terrorism and availability for proper financial controls (Berry and Berry, 2018). It can be
analysed about the significant impact on long-term achievement of British airways.
 The Economic regulation: This type of legislation applicable for operating bases by UK
CAA. It mainly set up maximum level of charges in airport where organize investment
programme for maintaining service quality. A major for cutting cost of capital allowance
for airports and also reduces charges. On the other hand, it also increasing service quality
which are beneficial for customer service and business operations (Chapman, 2019).
 Safety and security: it is major concern about customer and staff members security
which are fundamental duties for British airways to maintain moral and values. In case
any type of failure occurs, it has needed to prevent major safety incident that could
adversely impact financial performance and business operation. For Example: - In
Boeing, 777 aircraft are mainly involved in landing accident in 2008, Investigation are
ongoing to identify stage of causes. It does not appear to be related wither business
operation and maintenance.
 Government intervention: The British airways is becoming increasing regulation due to
scope of regulation range from other issues related infrastructure. It is related to the
capacity of slot and applicable routing fly rights through security needs. The ability is to
comply with influence any change where regulations help for maintaining overall
business financial and operational performance. The British government is mainly
focused on the rule and regulation so as airline industry adopt in their operations and
functions.
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