BSBRSK501 Manage Risk: McVille Cafe Hurley's Detailed Risk Report

This report provides a comprehensive risk assessment and management plan for McVille Cafe, focusing on the rebranding of Hurley's Cafe. It covers various aspects including scope, goals, and stakeholders. The report utilizes SWOT and PESTLE analyses to identify internal and external factors influencing the business. Key risks such as employee safety and business success are analyzed using likelihood and consequence scales, leading to the development of a risk management table with control measures and timelines. The document also addresses communication strategies with stakeholders and emphasizes the importance of their input in mitigating risks and fostering business growth. This student assignment is available on Desklib, a platform offering a range of study tools and resources.

Assessment Tool BSBRSK501
Manage Risk
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Contents
Introduction......................................................................................................................................3
Assessment Task 1: Establish Risk Content....................................................................................4
Assessment Task 2: Risk Analysis................................................................................................11
Assessment Task 3: Monitoring report..........................................................................................17
Assessment Task 4: Knowledge test..............................................................................................19
Conclusion.....................................................................................................................................23
References......................................................................................................................................24
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Introduction
This report is based on the McVille cafe which deals in coffee and gourmet food and ensures that
high-quality products are served to the customers. As per the case study, McVille is planning to
rebrand Hurley’s safe which is situated in Toowoomba. The manager is responsible to handle all
the operations and activities of the cafe. There are various risks which are associated with
Hurley’s cafe which is to be managed by the manager considering all the aspects of the business.
Stakeholders are essential in the development of the business as a result of which they are
required to be considered in the various operations and Process of decision making of the
company.
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Assessment Task 1: Establish Risk Content
After reviewing the case study and the entire risk management policy of McVille, some of the
following points were obtained.
Scope: Managing the risks associated with the business is quite important for the company. The
areas in which the risk management is required and its scope as discussed as follows:
 Managing the cash of the business.
 Policies, as well as procedures, are mentioned in the form of document which becomes
easy for the employees to access.
 The company is a family owned business which is required to be made professional.
 Influence and impact of the external factors are required to be assessed.
 All the legal compliance of the company are to be ensured (Aebi, et. al., 2012).
Goals: For the success of the plan of risk management, it is quite important and essential for the
management to set the goals and objectives to be achieved in an effective manner. The designed
goals should be aligned with the company’s policies. The business goals of McVille are as
follows:
 Increasing the number of customers by making them available with the quality products
as well as services.
 Expand the business and maximize the stores across Australia.
Stakeholders: Stakeholders are the one who affects the operations of the business or the ones
who gets affected by the business operations. They are employees, vendor, manager, society,
government etc.
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(Source: Stakeholder of the business, 2015)
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Stakeholder
s
Internal/
External
Role Stake in process
CEO Internal Sponsor Responsible for overall project
FARM Internal Management Review and advice on the financial
matters to the top management.
Suppliers (E) External Supply the materials
required by the company
Expand its connection with the
business and build a long-term
relationship.
Staff Internal Carry on the process of
the business.
Grow the business and work with the
company for a longer time.
Council External Compliance Makes sure that the business is carried
on within the legal rules and
regulations.
Government External Collect the taxes and
makes the company free
from harmful activities.
Reduce the negative effects of the
company over the society and benefit
the society with the collected taxes.
Union External Manage employee
relations
Manage relations with the employees
with the company and safeguard the
interest of the employees.
Analysis: Analysis includes SWOT and PESTLE tools which enables the company to analyze
the internal and external factors influencing the business.
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SWOT: This is a tool used by the company to evaluate the internal factors and take effective
measures to control them.
Strengths  The location is easily accessible.
 The existing staff is quite skilled and knowledgeable.
Weakness  The existing staff of the acquired company is not much competent
and skilled to handle the operations of the business.
Opportunities  Expand the business by merging or acquiring the other businesses.
 Training costs are saved due to the experienced employees.
Threats  The practices of the company may not be effective enough which
affects the profitability of the business (Alhawari, et. al., 2012).
PESTLE: This is a tool used by the company to evaluate the external factors and reduce the
impact of such factors.
Political  The issue of conserving water.
 Laws on development may affect the business.
Economic  The economic condition of the country affects the business.
 Unemployment rates are below the average of national level.
Social  Behavior and attitude of the customers towards the company
influences the business (Bolton, et. al., 2013).
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Technology  Wi-Fi facilities, payment technology, equipment, etc. available with
the company influences the business.
(Source: Performance works, 2013)
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Research: On reviewing the case study the following information is available-
 The location of Hurley’s cafe is easily accessible to the customers.
 The traveling time from Brisbane to Toowoomba is high due to the logging trucks in the
passageway.
 The cafe is a family owned business due to which the deliveries are authorized by any
member.
 No safety for the accidents occurred at the workplace.
 The procedures are not followed by the current staff members.
 No appropriate staff to handle the operations of the business.
 No proper infrastructure.
 The systems containing the details of the employees and the business are not protected by
the password.
Describe: From the analysis, it has been found that there are many changes which are required to
be done in Hurley’s cafe and risks associated with it are required to be minimised with effective
strategies and plans.
Summary Notes: The following points have been covered-
 The overall structure of Hurley’s cafe is ineffective.
 There are various risks which are involved in the business.
 The manager recommended formulating effective strategies to overcome the risks
involved in the business and also the company.
 Training is required to be provided to the staff to deliver high-quality services to the
customers.
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Communication draft: A draft has been developed mentioning the necessity of the involvement
of the stakeholders in the development of the business and seeking their opinions to grow the
business. The stakeholders are invited to put forth their viewpoints and the issues related to the
growth of the business (Ryan, et. al., 2013).
Draft script: The following information are required to be shared with the stakeholders-
 Laws related to the making of changes in the cafe.
 Procedure to be followed for development of the business.
 Installation of the water tanks.
 Local area developments.
 Local café surrounding developmental plans.
 Growth prospects for Hurley’s cafe.
 Strategies for local surrounding issues.
 Plans for a hygienic environment.
 Security measures and cameras arrangements
The input of the stakeholders: The managers and existing staff of Hurley’s cafe are invited to
give their views on the several issues and risks which are associated with the business. They are
required to be asked with several aspects of the business and develop strategies according to the
issues and risks they have mentioned so as to make the business more effective (Frigo &
Anderson, 2012).
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Assessment Task 2: Risk Analysis
Risk analysis and Management plan
A completed risk analysis report
Risk analysis is that business process which helps the organization in defining and evaluating all
the threats or dangers which can influence negative impact on employees, organizational
functions and future growth of a company. This concept is applied to business projects, security
issues, information technology and other actions where risk can be evaluated on a qualitative and
quantitative basis.
(Source: Risk assessment in industry, 2016)
The biggest advantage of risk analysis is that it assists a company in removing all those potential
risks or dangers which can affect organizational growth as well as financial profit. As per given
case scenario, McVille organization which wants to rebrand its existing café namely Hurley's
cafe and for that, it needs to analyze all those risks which can affect financial operations,
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technical factors, and human resource management. There are various risks which have been
analyzed by key people of McVille and these are followed as under:
A) Less employee safety:
The biggest problem with McVille and its key people is that there is no safety measures and
equipment which can be used by employees at the time of emergency. There are some tools and
techniques like likelihood scale, consequences scale and risk treatment table (Sadgrove, 2016).
Likelihood scale: In this scale, a likelihood of risk is determined in terms of rate. The likelihood
scale of above-mentioned risk is followed as under:
Level Likelihood Description
A Almost certain This type of business risk occurs when business
enterprise implements some new changes within a
workplace and also takes some big decision.
B Likely It occurs when the changes are fairly equal of having
and not having.
C Rare When the chances are not present of any risk.
Consequences scale: This risk analysis tool helps the organization in determining financial and
non-financial consequences of potential risk.
Level Health and safety consequences Financial consequences
1 Minor medical treatment required Small impact
2 No medical treatment is required No Impact
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