TCS Strategic Plan-Risk Management

In this document we will discuss about TCS Strategic Plan and below are the summary points of this document:- The strategic plan of Town and Country Services (TCS) to open a new office in Orange, NSW, in order to develop a new customer base and get a strong hold on the regional markets. The report includes identifying the risks associated with the move and developing suitable risk management methods. The company mainly provides different architectural services, and it is looking to explore new promising regional markets that have steady and sufficient economic and population growth. The project goal is to establish a strong market share in the regional market and gain the benefit from steady economic growth. The critical success factors include gaining popularity in the new region and gaining a major portion of the regional market in Orange, NSW. The success of business of the company in the new region depends on several external factors, such as economic growth and market competition. The stakeholders of the project are identified, and the PESTL and SWOT analysis of the project is presented.

Running Head: RISK MANAGEMENT
Risk Management
Name of the Student
Name of the University

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1.0 Introduction
Town and Country Services’ (TCS) has developed a new strategic plan in which, the
company will open a new office in Orange, NSW. The main reason behind this strategic plan is
that the city has significant regional population and also steady and sufficient economic growth.
This strategic plan will help the company to develop a new customer base and get a strong hold
on the regional markets. However, before implementing the plan, the company needs to identify
the risks that are associated with the move and develop suitable risk management methods.
This report includes the identification of the risks and preparation of appropriate risk
management plan that will enable the company to go ahead with the new strategic plan.
2.0 Background Information and Project Success Factors
2.1 Business
TCS mainly provides different architectural services that include the following.
 providing a panel of consultant architects who will visit the office 1 day per week
 drawing plans for owners and builders
 making appointments for local people to meet with the consultants
 conducting dispute mediation between the individual and the local authorities
about planning and building matters
 supervising construction projects
 collecting fees and charges for services delivered

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The company is currently looking to explore new promising regional markets that have
steady and sufficient economic and population growth. Thus the company has chosen Orange, a
city in NSW that has a huge regional population and a steady economic growth. The company
wants to earn a strong hold on the regional market in Orange and will look to establish their
business in the city before their main competitors in the market.
2.2 Project Goals
The project goal is to establish strong market share in the regional market and getting the
benefit from steady economic growth. Hence, the company is looking to open a new office in
Orange, NSW and accordingly, has developed a new strategic expansion plan.
2.3 Critical Success Factors
The critical success factors are developed by analyzing the scope and objectives of the
new strategic plan as shown as follows.
Scope The scope of the project includes opening a new
branch office of the company at Orange, NSW and
start business operations as soon as the office is set
up.
Objectives The main objectives of the project are to expand
the company over a new region and to gain access
to a regional market with steady economic growth.
Critical Success Factors The critical success factors of this business project
include gaining popularity in the new region and
gain a major portion of the regional market at
Orange, NSW.

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3.0 External Factors
The success of business of the company in the new region depends on several external
factors that play major roles in determining the roadmap of the new strategic plan. Some of the
main external factors are as follows.
Economic Growth – Any business venture in a new region depends strongly on the
economic growth of the region. If the region has very little or no economic growth, the business
is more likely to fail in spite of having popularity and brand value1. On the hand, in a region with
steady economic growth, the business is more likely to be successful.
Market Competition – Market competition is another major factor behind the success or
failure of a new business venture. If the company decides to open a new office in a region that
already has strong market competition, the business is more likely to fail2. However, market
competition can be partially overcome by various attributes like brand value, high popularity,
international reach and others.
4.0 Identification of the Stakeholders
The stakeholders are identified and shown in the following table.
Stakeholder Internal /
External
Role in process Stake in process
1 Harris, E., 2017. Strategic project risk appraisal and management. Routledge.
2 Flammer, C., 2015. Does product market competition foster corporate social responsibility? Evidence
from trade liberalization. Strategic Management Journal, 36(10), pp.1469-1485.

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CEO Internal Preside over the expansion plan
and provide guidance to project
team
High
Finance
Manager
Internal Manage and allocate funds for the
expansion project
Low
Sponsor External Provide funds for the project High
New Branch
Manager
Internal Initiate operations at the new
branch
Medium
Human
Resource
Manager
Internal Recruit staffs for the new branch Low
All the communications with the stakeholders will be done through telephonic calls and
emails in which important files can be attached and sent to the relevant stakeholder in the
project. In case of face to face communication, team meeting can be called where all the
stakeholders can interact with each other as per their requirements.
5.0 PESTL and SWOT Analysis
5.1 PESTL
Political – Political condition of Orange may not allow the company to grow as some
other competing companies can grow owing to political backing. Thus, TCS may face political
obstacle in the new city.

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Policy – The business policies at Orange may not support the business functions of TCS.
Hence, it is recommended to develop the business plan according to the policies of the city.
Economic – The steady economic growth at Orange is favourable for the business of
TCS.
Social – The strong social growth of the regional population in Orange will support the
business of TCS.
Technological – The company will select a suitable location that will be able to provide
sufficient technological support as per their requirements.
Legal – The company needs to consider and abide by legal guidelines before initiating
their business in Orange.
5.2 SWOT
Strength Weakness
The main strength of the company is that is already
well established and popular.
Another strength of the company is that it has an
efficient internal operations framework that allows
it to function properly as per the business
requirements.
The main weakness of the company is that it does
not have previous experience in regional markets.
The company does not have sufficient existing
manpower to support the new branch immediately.
Opportunity Threat
The company can gain significant number of
clients in the new regional market.
The steady economic growth of Orange provides
Although Orange has mostly regional population,
the city is fast growing and market competition will
increase steeply within the next few years.

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significant business opportunity for TCS.
6.0 Risk Assessment and Management
6.1 Risk Assessment Table
RISK ASSESSMENT:
Risk/Priority Risk
Rating
Action Plan
1
Legal risk 16 Ensure business license is granted and all
the legal guidelines are fulfilled before
initiating operations in the new city.
2
Technological risk 12 Purchase new technological equipments
that are required for the company’s
purposes and install them in the new office
building
3
Political Risk 15 Ensure there is no political obstacles or
politically backed competing companies
before expansion to the new city
4 Inadequate Staffs 9 Recruit new permanent and temporary

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staffs for the new office
5
Market competition 12 Use suitable marketing strategies and
brand value to overcome competition
6.2 Risk Management Table
Risk Controls Monitoring Timelines Responsible
Legal risk Business license Not Required 1 Month CEO
Technological
risk
Proper resources Not Required 3 Months Technical
Supervisor
Political Risk Supportive
interaction with
political party
Daily 3 Months CEO
Inadequate
Staffs
Recruitment Throughout
recruitment and
training period
1 Month HR Manager
Market
competition
Brand value and
popularity
Daily 6 Months Marketing
Manager

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7.0 Action Plan
The recommended action measures are listed as follows.
 Ensure business license is granted and all the legal guidelines are fulfilled before
initiating operations in the new city.
 Purchase new technological equipments that are required for the company’s
purposes and install them in the new office building
 Ensure there is no political obstacles or politically backed competing companies
before expansion to the new city
 Recruit new permanent and temporary staffs for the new office
 Use suitable marketing strategies and brand value to overcome competition
8.0 Strategy for Implementation of Risk Management Plan
The risk management plan has to be implemented keeping in mind the long term
solutions so that these issues are not faced in the near future. The highlighted risks have
significant impacts on the project and hence, they must be managed immediately. The main
strategy for the implementation of the risk management plan is to prioritize the risks in terms of
their impacts on the project and manage them accordingly.
9.0 Report on Implementation of Risk Management Action Plan and Process
In the latest scenario presented, the highlighted risks are currently under control but there
are some unforeseen risks that have arisen. Previously, these risks were not considered and
hence, the action plan does not contain any of these risks and possible mitigation measures3.
3 Hopkinson, M., 2017. The project risk maturity model: Measuring and improving risk management
capability. Routledge.

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Hence, it is now important to develop risk management plan to control and mitigate these risks
immediately. In order to do the same, the risk management action plan needs to be revised and
new risks that have currently arisen need to be documented. Accordingly, the mitigation
measures are to be implemented that will ensure immediate response to the risks4. However, long
term solutions must also be developed so that these risks do not reoccur in the near future. In
addition to the implementation of the risk action plans, manpower at the new office must also be
increased in order to enhance the organizational readiness towards risks.
10.0 Conclusion
Finally it can be concluded that in spite of the projected and current risks, it is advisable
for the company to go ahead with the expansion plan. The market condition and the economic
growth of the region both support the growth of the business in the city and hence, the company
can grow easily once the expansion is complete and the operations are initiated. The company
needs to ensure the risks highlighted in the document and the existing risks are mitigated on a
long time basis in order to ensure smooth course of operations in the current time and also the
future.
4 Cagliano, A.C., Grimaldi, S. and Rafele, C., 2015. Choosing project risk management techniques. A
theoretical framework. Journal of Risk Research, 18(2), pp.232-248.

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Bibliography
Cagliano, A.C., Grimaldi, S. and Rafele, C., 2015. Choosing project risk management
techniques. A theoretical framework. Journal of Risk Research, 18(2), pp.232-248.
Flammer, C., 2015. Does product market competition foster corporate social responsibility?
Evidence from trade liberalization. Strategic Management Journal, 36(10), pp.1469-1485.
Harris, E., 2017. Strategic project risk appraisal and management. Routledge.
Hopkinson, M., 2017. The project risk maturity model: Measuring and improving risk
management capability. Routledge.