Risk Management Plan for Town and Country Construction Services

This presentation discusses the process of risk management for Town and Country Construction Services, including identifying risks, stakeholders, and measures to assess and control risks. It also includes an action plan, monitoring and evaluation, and organizational communication strategies.

LEADERSHIP AND
MANAGEMENT

Introduction
 Risk Management is a complex process involving various
levels of investigation and assessment before providing
appropriate measures that would help in controlling the
impacts of the risks. The concept of risk management, in
business industries, has become increasingly relevant, with
the expansion of the business market and new entries of
smaller organizations. The initial step to risk management
needs to identify and evaluate various risk factors and
prioritize them according to the objectives of the organization
(Lam, 2014).

Stage One- Establishing the risk context
and identifying risks
Context
 Understanding the context of the particular industry
 external factors that might affect the organization’s
performance (Rastogi & Trivedi, 2016).
 substantial information regarding the external industry
environment of the business

Stakeholders
 A risk management procedure for a business
organization requires us to think of the business
scenario from the perspective of each stakeholder in the
organizational processes. The stakeholders of the Town
and Country Construction Services are briefly
discussed below:
 Clients or Customers: As the Company deals with
providing construction services and quality guidance in
architecture planning, its success is heavily depended
on the satisfaction of the consumers. Consumers of the
Company could either be individuals or contractors,
developers.

Cont…
 Suppliers and Contractors: Suppliers of intermediary
raw materials or intermediary services like transportation
and delivery of products, play a very important role in the
process of managing organizational risks.
 Internal Personnel: Internal management authorities of
the Company are an important stakeholder as the
strategy-building and decision-making responsibilities are
carried out by them.
 Project Funding Body: External funding bodies, be it
governmental or non-governmental, are important
stakeholders as they economically support the project in
return of specific gains.

Table of Stakeholders
Stakeholders Internal/External Role in Process Stake in Process
Customers External Creating demand for the
deliverables
Specific consumer
requirements and expectations
Suppliers External Supplying intermediary raw
goods or services
Providing raw materials or
delivering finished goods and
services
Internal Personnel Internal Employment, Policy-making,
decision-making, strategy-
building
Economic and other value
returns
Project Funding Body External Providing financial support for
execution of processes
Benefits from Company-
profits

Stage Three- Identifying Measures
Risk Assess Risk
(L, M, H, E)
Controls Monitoring Timelines Responsible
Insurance risk H The policies must be
renewed
Proper documentation to
be maintained
Every year ending Financial manager
Customer
dissatisfaction
E Feedback to be gathered To ensure the need of
the customers are heard
All the time Customer relationship
manager
Spilling of water M Proper pipelines to be
maintained
To ensure there is no
leakage of water
All the time Operational manager
Electricity hazard L Proper electricity
powerpoint to be
installed
To ensure there is no
naked wire
Twice in every year Operational manager

Action Plan
 In order to successfully implement the risk management plan,
the strategies need to be clearly communicated to the various
stakeholders of the organization.
Employees must be clear about Company objectives so that
they can fully understand what is expected of them.
Suppliers must have a fair understanding of the risk
management practices.

Cont…
Investors in the business should be aware of the risk
factors and the management efforts.
 The official documents of the risk management plan
will be available at every office for further guidance
and reference of the stakeholders. It would be securely
uploaded on the online website for easy access from
anywhere at any time (Islam et al., 2016).
 Sustainability measures for the risk management plan
would infer regular monitoring at various construction
sites, offices and meetings with external stakeholders,
in order to maintain the relevance of the plan by
adapting it with the dynamic external environment
(Coombs & Holladay, 2015).

Monitor and Evaluate Risk
Management Plan
 The Risk Management Plan developed from the
assessment of various threats and opportunities of the
Company, as against its contemporary market position,
needs to be evaluated and monitored closely before
proceeding for implementation (Mahmoudi et al.,
2014).
 thoroughly checked with the contemporary real-life
business scenarios,
 existing competitors, entry of new entrepreneurs in the
industry, cultural acceptance of the consumers and
mutual profit of all the stakeholders.

Organizational Communication
 According to (Murata et al., 2017), in order to maintain
a smooth communication and understanding amongst
the stakeholders of the Company, the following
methods could be used:
 Staffs: Introducing employee-oriented benefits and
engaging them in organizational processes apart from
production.
 Internal and External Stakeholders: Holding periodic
meetings and discussions to incorporate the particular
feedback and grievances of each internal and external
stakeholder.

Cont…
 Specific teams: Appointing managers for
each team, who will be in charge of
maintaining coherence with the other teams
in the organization and incorporate their
voices.
 Technical Experts: Allowing regular
guidance and support with technical experts,
who can add value to the technological
aspects of service-delivery.

Conclusion
 Finally, an action plan is laid out and discussed with the
stakeholders for evaluation of the plan and further
amendments.
 However, during the implementation process, a number
of loopholes could be found in the strategies, which led
to dire consequences. Therefore, the research identified
the particular gaps in the assessment and provided
further recommendations to make it full-proof.

References
 Coombs, T., & Holladay, S. (2015). CSR as crisis risk: expanding how we
conceptualize the relationship. Corporate Communications: An International
Journal, 20(2), 144-162. DOI: https://doi.org/10.1108/CCIJ-10-2013-0078
 Islam, M. A., Ren, S., Mahmud, A. H., & Quan, G. (2016). Online energy budgeting
for cost minimization in virtualized data center. IEEE Transactions on Services
Computing, 9(3), 421-432. DOI: https://doi.org/10.1109/TSC.2015.2390231
 Lam, J. (2014). Enterprise risk management: from incentives to controls. John
Wiley & Sons. Retrieved from: https://books.google.co.in
 Mahmoudi, S., Ghasemi, F., Mohammadfam, I., & Soleimani, E. (2014).
Framework for continuous assessment and improvement of occupational health and
safety issues in construction companies. Safety and health at work, 5(3), 125-130.
DOI: https://doi.org/10.1016/j.shaw.2014.05.005
 Murata, K., Tezel, A., Koskela, L., & Tzortzopoulos, P. (2017). An Application of
Control Theory to Visual Management for Organizational Communication in
Construction. Retrieved from: http://iglc.net/Papers/Details/1385
 Rastogi, N. I. T. A. N. K., & Trivedi, M. K. (2016). PESTLE technique–a tool to
identify external risks in construction projects. International Research Journal of
Engineering and Technology (IRJET), 3(1), 384-388. Retrieved from:
https://irjet.net/archives/V3/i1/IRJET-V3I165.pdf

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