This website uses cookies to ensure you have the best experience. Learn more

Commodity Risk Assessment Plan Essay

1096 words - 5 pages

Commodity Risk Assessment Plan

The following provides guidance regarding the format and content of a risk assessment plan that should become part of a commodity strategy. Risk assessments can also be developed independent of commodity strategies.

Section 1: This section includes an external intelligence report that describes in detail the supply market for the commodity/material. Who are the major suppliers and where are they located? Who are the major customers? What are the supply trends? Are there specific supply and demand price drivers? What is the overall competitive environment of the market for this commodity?
The major suppliers are small, family-run cocoa farms in ...view middle of the document...

Meanwhile, with the fact that more customers begin to choose chocolates based on their good flavors and potential health benefits, chocolate companies are strict on the selection of good-quality and enough-quantity cocoa, thus may rising the demand price. The competition between different chocolate companies may also end up with a potential increase of demand price. As stated above, the overall competitive environment of cocoa market was formed by increasing demand from manufacturers fighting for limited cocoa resources.

Section 2: This section identifies and categorizes risk(s), including a detailed description of each risk (i.e., not a generalization such as “potential supply disruption” or “bad weather”).
Hazard risk:
1. Like other crops though, cocoa trees can be attacked by a number of pest species including fungal diseases, insects and rodents - some of which (e.g. frosty pod rot and cocoa pod borer) have increased dramatically in geographical range and are sometimes described as "invasive species". Among those potential diseases, Cacao swollen-shoot virus (CSSV) is most terrible one. Within one year of infection yields decrease by 25%, and within two years by 50%. The trees are usually killed by CSSV within 3 to 4 years.
2. In 2001, About 120 hectares of cocoa farms at Nyinase Kwafre and Tarabere in the Nkoranza district, have been destroyed by bushfire. And the same thing may happened in the future as coca trees are such Inflammable plants.
3. Early in this year, the drought parching Singapore and swaths of Malaysia and Indonesia threatens most crop farming industries in this world’s oldest tropical rain forests. Cocoa plants also suffer from this climate volatility. And this becomes a thing that need to pay attention to by the supply chain management due to aggravation of climate changing during the recent years.
Strategic risk:
1. The most critical strategic risk may come from policy changes made by governments or professional associations. It is a fact that cocoa is less profitable comparing with some other planting such as rubber. Therefore, if the local government promote policies with aim of improving local fiscal revenue, more cocoa farmers will switch to other planting activities due to incentive from governments.
Section 3: This section requires the development of a risk scenario map with each risk plotted on the map. The dimensions of the map can include the probability of a risk...

Other Papers Like Commodity Risk Assessment Plan

Risk Management Essay

1055 words - 5 pages Risk Management Student Name Institution Risk Management for a Satellite Development Project When a project manager talks about a project risk management plan, what comes in the participant mind? The list and document that have a number of foreseeable risk, estimated level of impacts as well as the established responses to issues. This establish the risk assessment matrix which help to assess the level of impact as it occur. The risk

Monitor and Maintain Health and Safety Practic Salon

1301 words - 6 pages Assessment 1 – monitor and maintain health and safety practice in the salon Outcome 1 : be able to carry out risk assessment B) state the reason for carrying out risk assessment It is a legal requirement to ensure that safe working environment is provided for everyone the repressibility of employees. Current knowledge of all relevant Heath and safety legislation and any updates. The aim is to make sure that no one gets hurt

Project Management

613 words - 3 pages RISK ASSESSMENT TABLE JOB RISK ACCESSMENT | JOB:INSTALLATION OF THREE GEN-SET FOR FIELD BASE LOCATION | Assessed by:OKOLO DANIEL | Date: 17-6-16 | | Pre-Control | Controls | Post-Control | TaskMOUNT 1MVA GENERATOR SET | HazardStruck by moving equipment | At RiskSupervisor, personnel and vehicle | Initial severity (IS)4 | Initial likelyhood (IL)3 | Initial Risk (IR)16


825 words - 4 pages Assessment Task 2 BSBRSK501B Manage Risk Risk Analysis Assessment description: Using the information gathered in Assessment Task 1 and the case study provided, examine the likelihood and consequences of identified risks, prioritise the risks and determine options for treatment of each risk. Using this information you are required to develop an action plan for implementing risk treatment, document the plan as required, and

Continuous Assessment

2395 words - 10 pages and projects). Another definition by Airasian (1991) describes continuous assessment as an assessment approach which should depict the full range of sources and methods teachers use to gather, interpret and synthesise information about learners; information that is used to help teachers understand their learners, plan and monitor instruction and establish a viable classroom culture. On their own part, Baker and Stites (1991) opined that

E Governance

564 words - 3 pages Today, businesses are increasingly reliant on their IT infrastructure, like never before. Hence it becomes even all the more critical that IT is mapped to business goals and processes, so that it can delivery true business value. It is at this stage that IT ceases to be a cost center and starts yielding return on investment. We use the Infrastructure Assessment Framework to assess, analyze, plan and deploy an IT roadmap for your organization

Pressure Area Care

1070 words - 5 pages Unit Title: Unit sector reference: Level: Credit value: Guided learning hours: Unit accreditation number: Undertake agreed pressure area care HSC 2024 Two 4 30 T/601/8721 Unit purpose and aim This unit is aimed at health and social care staff providing care to maintain healthy skin and prevent skin breakdown, by undertaking pressure area care in accordance with an individual’s care plan and risk assessment. Learning Outcomes The learner will

Risk and Protection

1725 words - 7 pages work groups to achieve the various steps in implementing the Communities That Care system. * In March of 2013, the Risk- and Protective-Factor Assessment work group attended the Community Assessment Training and developed a plan for completing the community risk- and protective-factor assessment. This report is the result of that assessment. The Community Assessment Dr. Hawkins and Dr. Catalano have identified risk factors that predict

Ethical Leadership

943 words - 4 pages Assessing Risk   Abstract This paper examines the development and use of a risk assessment tool for the Telecommunications Center project. Risk is an important part of this project. Any tool that assesses risks will assist project managers in foreseeing any challenges that may surface. It also helps them identify and control each risk accordingly. Project managers can also utilize this tool to decipher the amount of harm, damage or

Credit Risk

587 words - 3 pages meet up any withdrawal/disbursement request by a counterparty/client. ALCO reviews liquidity requirements of the Bank, maturity of assets and liabilities, deposit and lending pricing strategy and the liquidity contingency plan. The Asset Liability Committee also monitors balance sheet risk. The RMU risk assessment tools in regards to ALM risk management are as follow:  Equity investment risk Value -at-risk (VaR) on equity position  Liquidity Coverage Ratio (LCR)  Liquidity Risk  Net Stable Funding Ratio (NSFR)  Stress Testing (Duration and Sensitivity Analysis)”  Interest Rate Risk Assessment of Interest Rate Risk in Banking Book

Http: //Www.Mbaclubindia.Com/Forum/Risk-Assessment-Methodology-3639.Asp#.Upuskdlbg8W

689 words - 3 pages Needs Assessment (ANA) and Annual Audit Work Plan. The main definitions of risk and risk assessment to enable a better understanding of the Risk Assessment process undertaken by IAOD: Risk Assessment Definitions Risk It is an uncertain future event which could adversely affect the achievement of an organization’s objectives. Risk Likelihood It is the probability that a risk can occur. The factors that should be taken into account in the

Related Essays

Risk Assessment Plan Essay

4148 words - 17 pages Risk Management Plan | Baylor University Dormitory Project | | Presented by: | Approved by: | Version 3 | 10/16/2012 | | Table of Contents Table of Contents………………………………………………………………………………………………………2 Introduction…………………………………………………………………………………………………………….3 Project Description and Objectives…………………………………………………………………………………….3 Objectives of the Risk Process………………………………………………………………………………………3-4 Project Sizing

Management Essay

302 words - 2 pages : “ Organisations that fail to plan, plan to fail” If an organization does not have a risk plan is likely that any risk occurring with negative consequences occur organization. If the organization has a risk prevention plan is very likely that the risk does not occur and the organization and its workers could produce know how to deal with the negative consequences of that risk to minimize that consequences. Assessment activity 2: Determine scope for

Risk Management In Banking Essay

9309 words - 38 pages related to enhancing internal control in the banks? 1.4 OBJECTIVES ← Covering different aspects of risk assessment ← Identifying keys for effective risk management ← To understand the challenges and impact of Implementing Basel II ← To analyze the current progress of Basel II in Hubli. 1.5 METHODOLOGY ← Literature Review ← Data collection ← Primary information: Personal interview/ Questionnaire

Risk Management Assessment Essay

619 words - 3 pages Risk Management Assessment Summary Community Mental Health HCS/451 March ##, #### Mister Misty Community Mental Health Being hired as a consultant for a community mental health facility my main focus will be risk assessment and management that will be used to identification of quality patient outcomes. This would mean that any projects that are done in the community mental health facility will need to be