Business Risk Management Report for Suite Success Private Limited

This report provides a comprehensive analysis of risk management strategies for Suite Success Private Limited, a Canadian company specializing in MRI suite design and construction. It identifies key risks, including strategic, compliance, financial, and reputational risks, and examines their potential impact on the company's operations. The report details the identified risks, such as the ineffectiveness of the current business plan, compliance issues with international regulations, financial constraints due to high design costs, and potential damage to the company's reputation. It then explores various risk management approaches, including accepting, avoiding, transferring, mitigating, and exploiting risks. The report recommends a proactive risk management plan, emphasizing the importance of strategic objectives, customer feedback, media engagement, and employee development. It concludes that addressing strategic and financial risks is crucial for the company's long-term stability and success, offering five key options for systematic risk control.

Running head: MANAGEMENT
Risk management
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Table of Contents
Introduction......................................................................................................................................2
Risks involved.................................................................................................................................2
Managing risks.................................................................................................................................3
Recommendations and conclusions.................................................................................................4
References........................................................................................................................................6

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Introduction
Suite Success Private Limited is regarded as a company in Canada having its
headquarters at Winnipeg. SSL construct and design MRI suites but the company consists of a
team of designers and engineers, who would create a functional space where the clients would
deal with these MRI machines. However, the company is facing certain risks in terms of its
business level operations. Therefore, it is important to identify the risks involved and repair them
accordingly.
Risks involved
Strategic Risk: The business in Suite Success Private Limited initially made a business
plan and it did not come to use. It involves Strategic Risk, where the strategy of the company is
becoming less effective as the company depends upon the testimonials from the customers and
its cost for designing the MRI suites is high (Pritchard et al 2015;Reason 2016). Therefore, the
company is not following strategic business plan, which might led to its failure in a long run.
Compliance risk: The businesses of Suite Success also involved compliance risk such as,
the MRIs of the company are sold all over the world, however, the risk involved here is that the
company has not properly judged the changing rules and regulations of the other countries. For
example: Europe might have adopted stringent rules, the company did not comply with the rules
of tax and local accounting. This also is anyway increasing the cost for the business.
Financial risk: Financial risk is considered one of the important risks in terms of extra
costs involved. The state of financial risk is referred particularly to the flow of money out and in
business and the sudden possibility of the loss in finance. SSL accordingly, is not having enough

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capital to maintain its present level of operations due to the cost increase in the designing
customs. This has lead to the reduction in the company’s sales. This financial risk, if it continues,
can take a dangerous shape in future and might lead to the fall of the company.
Reputational Risk: If the reputation of the company is damaged then the firm would
witness a huge loss of revenue. The employees working in the company become demoralized
and this increases the rate of turnovers. The company might find hard to hire potential candidates
as good replacements (Hull 2012). Reputational risk involved the embarrassing recall of the
products. Therefore, the company accordingly needs to function properly to retain its global
reputation.
Managing risks
It is significant for the company to identify the risk in the beginning by creating the
recovery plan, which incorporates back up, as well as the plans, which involves to give alerts to
the employees of the company about what is going on.
Accepting the risk:
The SSL must accept the risk that the company has identified and decide to deal with the
risks.
Avoiding the risk:
The company can also change plans to avoid risks. The company can welcome good
investors across the world to invest in their company and accordingly it can well attract the
media. The company can also participate in the trade shows for the media attraction. Therefore,
the company can better avoid testimonials from the customers.

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Transfer of risk:
The company is spending too much for the custom design and this in turn increasing its
cost, which is affecting the cost of operations of the company. In order to avoid this, the
company can hire the designers from the third party in order to reduce cost (Reason 2016).
Mitigating the Risk:
. The sales person of the company needs to understand the product and need to give
demonstrations. The sales people are needed to have idea about the product that the Canadian
company looks forward to sale (Sadgrove 2016). Therefore, in order to increase the sale, the
company can arrange training session for the sales person in order to make them effective.
Exploiting the Risk:
As the financial crisis in the company can bring down the business, it is important for the
business to accept, avoid, transfer and mitigate the risk as the risks can have a negative impact on
the future project of the company.
Recommendations and conclusions
It is significant to have a risk management plan in order to frame out the objectives that
the company must achieve in order to secure their position. It is important for the organization to
take into account not only the testimonials of the customers, it is rather important for the
organization to increase the participation of mass media. The company must employ potential
employees for the better servicing and must follow the strategic objectives to make its financial
base stronger. For these the five options are seem to be logical, as it is a systematic control of the
risks that are being recommended to the company. Strategic and financial risks are the main

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components of the business and they are necessary to be mitigated properly before the risks take
a dangerous shape.

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References
Hull, J., 2012. Risk management and financial institutions,+ Web Site (Vol. 733). John Wiley &
Sons.
Pritchard, C.L. and PMP, P.R., 2014. Risk management: concepts and guidance. CRC Press.
Reason, J., 2016. Managing the risks of organizational accidents. Routledge.
Sadgrove, K., 2016. The complete guide to business risk management. Routledge.