Managing Operations - Risk Management Framework, PEST and SWOT Analysis

Running head: MANAGING OPERATIONS
Managing Operations
Name of the Student:
Name of the University:
Author’s Note:

MANAGING OPERATIONS
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Table of Contents
Assessment 1...................................................................................................................................2
Risk Management Framework.....................................................................................................2
Scope of Risk Management in Macville......................................................................................2
Critical Success Factors...............................................................................................................2
Table of Stakeholder Template....................................................................................................2
PEST and SWOT Analysis..........................................................................................................3
Identification of Risks..................................................................................................................4
Assessment 2...................................................................................................................................5
Occurrence of Risks.....................................................................................................................5
Consequence of Risk Occurring..................................................................................................6
Risk Matrix..................................................................................................................................6
Suitable Recommendation of Risks.............................................................................................7
Action Plan for Managing the Risks............................................................................................8
Assessment 3...................................................................................................................................9
Risk Management Plan................................................................................................................9
Reference.......................................................................................................................................10

MANAGING OPERATIONS
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Assessment 1
Risk Management Framework
The risk management system in a business is considered to be an important consideration
which affects the business. The risk management process which is followed by the business of
Macville should be according risk framework which is introduced in AS/NZS ISO 31000:2009.
The standard effectively outlines the 11 principles of risk management and the same is useful in
maintaining an appropriate risk management framework for different businesses.
Scope of Risk Management in Macville
The business of Macville is planning to invest in a new project which is expanding the
operations of the business in a new setting so that the business is able to generate more revenues
in the long run. The scope of risk management covers every aspect from the employee health and
welfare risks, financial risks and risks which are strictly related to the operational process of the
business (Sadgrove 2016).
Critical Success Factors
The critical success factor which can be identified for the business in terms of risk
management would be to effectively reduce or counter the risks which are likely to arise if
changes are not made in the internal control system of the business. In terms of welfare and
security of the employees, the critical success factor would be an appropriate internal control
system where the safety and security of the employees are the first priority.
Table of Stakeholder Template
Stakeholder Internal/ External Role in Process Stake in Process
Employees Internal Engaged in Wages, salaries,

MANAGING OPERATIONS
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Operational Process
of the business.
safety and security
Owners Internal Decision making
process of the
business
Profits, Revenue and
Growth of Business
Banks External Provides financial
assistances in the
form of loans
Interest on Loan and
Principle amount
Recovery.
Customers External Purchases products
from the business
Quality of products,
Safety in use and
appropriate price
charged for the
product.
PEST and SWOT Analysis
PEST analysis forms a part of external market analysis and the same is conducted for
Macville company and the same explained in details below:
 Political Factors: The new venture which the management of the company plans to
undertake would require some legal work for transferring the property to the new owner,
registration and undertake quality tests. The political factor covers the regulations and
interference of local bodies in the set up of the new venture.
 Economical Factors: These factors include financial factors which can have an impact
on the operations of the business such as hike in interest rate, inflation or increase in cost