Risk Management Plan Assignment 2022

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Risk management plan
Student Name
(Affiliation institution)

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Part A
Introduction
The main aim of the paper is to develop a risk management plan for the WalMart
Company which is an American multinational retail corporation that operates a chain of grocery
stores, discount department stores and hypermarkets. The company was founded in 1962 by Sam
Walton and it is headquartered at Bentonville, Arkansas (Torres, Garcia-French, Hordijk &
Nguyen, 2012)
The risk management plan for WalMart Company
Stakeholder analysis
In a risk management context, Stakeholders are organization, groups or individuals that
are impacted by action plan of a risk management. The stakeholders of Walmart Company are
divided into two categories consisting of internal stakeholder and external stakeholders. Internal
stakeholders are individuals within a business who are affected by the performances or
operations of an organization. The internal stakeholders include employees, board of directors,
managers, supervisors and owners of the company. External stakeholders are individuals who are
not within the business although they are influenced by its performances and operations. External
stakeholders of Walmart include suppliers, customers and investors.
External and internal stakeholder analysis
stakeholder Classification Interest and their impacts on the organization
Employees Internal stakeholder High interest and high impact
Board of directors Internal stakeholder High interest and high impact
Managers and supervisors Internal stakeholder High interest and high impact
Owner of the Walmart Internal stakeholder High interest and high impact

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Investors External stakeholder High impact and low impact
customers External stakeholder Low interest and high impact
Suppliers External stakeholder High interest and low impact
Explanation of the risk context
A risk is something which might happen in the future. Risk context addresses group and
individuals’ behaviours and attitudes that may impact the way risks arise. The risk context
involves risk attitudes and risk appetite of the Walmart external and internal stakeholders. The
risk attitude affects the way the external and internal stakeholders develop response to risk and
how they will react when a risk event emerge. The two types of risk attitudes that will impact
Walmarts stakeholders include risk averse and seeking. A risk averse attitude will be useful for
the Walmart Company as it helps the concern stakeholders to provide insight of why some
situations are considered by the company more risky as compared to others. The risk appetites
involve amount of risk Walmart Company is prepared to encounter in order to achieve its
objectives. Walmart’s Board of directors will have to understand clearly the risk appetite of both
internal and external stakeholder in order to make sure they are managed in a manner which is
compatible with their risk appetite. For example, to meet some objectives, procedures and
policies will be delivered quickly but involving high-risk level which is acceptable to the
stakeholders who are not risk averse but risk-taking.
Critical success factors
Critical success factors (CFS) are factors that have an influence on readiness and inclination
an organization to implement a risk management plan. The critical success factors of Walmart
risk management plan will involve trust, functional organizational structure, information