Enterprise Risk Management:
You are required to undertake research on Tata Motors Limited to produce a risk register for their Board of Directors. The risk identification and assessment process will cover the following stages:
a) What are the aims and objectives of the organisation? (Note: ERM links risks to aims)
b) What problems has the organisation encountered in the past?
c) What problems have other organisations in the same sector encountered in the past?
d) What regulation is applicable to the organisation/sector and are there any planned changes. Are there differences in regulatory requirements in different locations in which the organisation operates?
e) Are there any potential opportunities that could enhance company performance?
f) Utilising the information gathered, identify risks (both threats and opportunities) to the organisation, describe, assess and score each risk.
g) Define the acceptable risk threshold
h) Identify mitigation actions for risks that are above the stated threshold.
The research evidence you gather will be used to populate a standard format risk register, using the example provided overleaf.
Risk Register for Company X
Risk Number Risk Description Risk Information sources (ie references from research) Likelihood (1-5) Impact (1-5) Risk Rating (Likelihood x Impact) Above acceptable rating? Mitigation actions.