Risk Assessment Report: Trading.com, MBA402, Semester 2, University

This report presents a risk assessment of Trading.com, a fictional company offering educational webinars and mentoring services for stock market investors. Utilizing the Risk Exposure Calculator (REC) developed by Robert Simons, the report evaluates various risk dimensions, including pressure points stemming from growth, organizational culture, and information handling. The analysis assigns scores to Trading.com across several risk categories, such as pressure for performance, rate of expansion, inexperience of key employees, rewards for entrepreneurial risk-taking, executive resistance to bad news, level of internal competition, transaction complexity and velocity, gaps in diagnostic performance, and the degree of decentralized decision-making. Based on the REC score, the report concludes that Trading.com operates within the "danger zone" and provides specific recommendations to mitigate identified risks, such as adjusting compensation, managing expansion, and improving employment standards. The report emphasizes the importance of creating a positive workplace culture and ensuring effective information handling to improve customer satisfaction and overall organizational performance. The report incorporates a minimum of 15 references including academic journals and textbooks to support the analysis and recommendations.