661 words - 3 pages
University of Phoenix Material
Week Four Individual Assignment: Financial Transaction Risks
Describe the risk exposure(s) in the following financial transactions. Identify which transactions are influenced by interest rates or interest income. (CAUTION: Some can be influenced by both!)
Risk Types: Interest rate risk, Credit risk, Technology risk, Foreign exchange rate risk, Country or sovereign risk
|Financial Transactions |Risk Type |Describe and justify risk type |Interest Rate or
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Credit Risk Management: Credit risk can be defined as risk of failure of customer/counterparty of the bank to meet financial obligations. Another major source of credit risk could be concentration risk, which arises when a bank’s credit portfolio tend to be non-diversified i.e. large single borrower exposure or lending exposure to clients having similar economic factors (single sub-sector, industry, geographic region etc.) that would adversely impact the repayment ability of mass obligor during any possible economic downturn. To ensure the portfolio health, the bank has distributed the overall credit concentration among different segments/industry/trading. For example, branches are
2188 words - 9 pages
The Importance of Managing Risk
A variety of academics have provided numerous definitions of risk, with some being centred around a specific business environment and others being a more generic definition of risk. A comprehensive risk definition that is tailored around the business environment can be defined as an event that will likely lead to substantial losses for an organisation, which could also be made more dangerous by the likelihood of the risk event occurring (Harland, et al., 2003). Furthermore, The English Oxford Dictionary defines risk as "A situation involving exposure to danger" or "The possibility that something unpleasant or unwelcome will happen". (Oxford
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Introduction of Risk Management
Risk management is a culture which involved of the cooperation of all individual in the organization or group. The main achievement of risk management is not to discuss how the risk can be managed or prepare, but, more important, is to understand why the risks need to be managed and why it is so important. There are many techniques, tools, guidelines or processes to assist risk managers to manage risks. However, the main job of a risk manager and most efficient way to manage risk is to educate, to influence teammates in the organization to understand the definition, meaning and background of risk and how risk can change their company, their career and even
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Impact of Risk Management in Application Development
Nowadays, software is becoming a major part of enterprise business. Software development is activity connected with advanced technology and high level of knowledge. Risks on software development projects must be successfully mitigated to produce successful software systems. Lack of a defined approach to risk management is one of the common causes for project failures. To improve project chances for success, this work investigates common risk impact areas to perceive a foundation that can be used to define a common approach to software risk management. Based on typical risk impact areas on software
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IMT 4762 Risk Management 1 Report Police
Group: Sumanth Ramanujapuram Vinay Krishna Vemuri Deming Yin
0. Executive Summary As we have been reviewing the current situation of Skyri police, the duties and tasks of Skyri police fall into the following categories: ● Develop effective collaborative solutions with other operators and service providers. ● Coordination of the goals, plans and work of the regional police districts and the special units ● Management of the police service ● Administration services to the public As with other public services in Skyri, the IT services in Skyri police is also outsourced. Currently all IT services are run by the
1244 words - 5 pages
Risk is a commonly used term and its usually liked with bad impacts on our objectives. The Oxford English Dictionary define risk as “ a chance or possibility of danger, loss, injury or other adverse consequences”. There is no agreeable technical definition of risk as it went through many developments. The first stage was the management of threats only then the term is extended to cover the threats and the opportunities which face the organisations. The latest stage which is the management of the threats, opportunities, uncertainties and its sources. Of uncertainty (Ward and Chapmen, 2003). Therefore, Dowie argues to banned use the term “risk” in the risk management because of its misleading
1055 words - 5 pages
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 is an event that has a positive or negative impact to a project and is inherent to any project. The plan contains analysis of risk as a high or low impact as well as the mitigating strategies that aid in meeting the schedule of the project. The
1343 words - 6 pages
Quality Control Risk
A speculative (possibility of a positive or negative outcome; not a “pure risk”) uncertainty associated with relying on the quality controls of outsourced supplier.
There is a risk that Bulldog Trailers Ltd may obtain inferior quality “extras” from suppliers , should the suppliers change their strategy in future and decide reduce their input costs to survive possible recessionary times. (NB: Made those words bold to show my understanding of how risk relates to an uncertainty)
Bulldog Trailers Ltd has no quality control over the “extras” sourced from external suppliers. This is because the “extras” require specialised
907 words - 4 pages
Operational Risk is the monetary risk that a corporation faces when people, processes, or system failures occur. The concept of operational risk is a constant in the workplace and has a major impact on decision making within the corporation. In my current workplace, we are considering a major change in workflow, and must measure the operational risk to the benefits of the proposed changes.
Explanation of the Key Term
Many factors must be considered when a change is proposed within an organization. Benefits and detriments must both be weighed in order to make the most informed decision; however, even after careful consideration, some decisions are poor
1482 words - 6 pages
Risk management is the practice that identifies the potential risk before the risk becomes a problem. Risk management will allow an organization to take the necessary steps to reduce or prevent the risk from becoming a major problem for an organization (The Economic Times, 2012). Risk management will also include identifying the various risk of an organization within a risk assessment, to assessing the risk and potential threats it may pose to an organization. Risk management will have different approaches to assess the risk; each organization will have different levels and types of risk. An organization without the knowledge of the
1428 words - 6 pages
Dr. Â Glenn Hines
Risk Management is one of the major components for a company to be successful as if it is neglected than a single threat can exploit its infrastructure. Risk is a possibility that a loss will occur, which happens when a threat is exposed to a vulnerability. Thereby, managing the risk is an important factor for every company. This paper
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The future of an organization can be affected by my many things. The negative things are called risks while the positive ones are called opportunities. Risk Management is needed in any organization today than ever before. In the past, many organization were either not aware or ignored risks or worse all lived through the unfortunate consequences caused by them. In many cases, there were no designated persons charged with the responsibility of looking at or out for potential risks that could adversely impact the company. This unorthodox way of conducting business caused many companies to go bankrupt and some to permanently close down.
808 words - 4 pages
24 January 2016
A risk assessment is a way to identify, evaluate, quantify, and prioritize risks (Gibson, 2011). They are primarily used to assess the overall security of a network from the eyes of an attacker in order to protect the network from intruders (Schmittling, n.d.). There are no regulations instructing organizations on how systems need to be controlled or secured, however there are regulations requiring systems be secure in one way or another (Schmittling, n.d.). The rationale for conducting an assessment include: cost justification, productivity, breaking barriers, self analysis, and communication
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576 words - 3 pages
Social protection historical involved traditional welfare instruments like labour, social insurance and provision of social assistances in welfare states. The onset of globalization causes a rethink of approach to social protection especially for those in the developing countries after the Asian financial crisis.
This paper examines social protection from the perspective of social risk management approach were the notion of poverty reduction is seen through the lens of vulnerability of the poor and its instrumentalities. Social risk management approach involves four main goals; poverty as in vulnerability of the poor, consumption smoothing, enhancing equity and
2055 words - 9 pages
Central Counterparties: New Uses for Century-Old Market Mechanisms
By: Allan D. Grody
Dr. Dilshad Khawaja
July 31, 2011
Central counterparties (CCP) have been existence since the last decades before the nineteenth century. There forms and structures have evolved over the last century but there purpose has remained the same. CCP have created an institution that essentially takes away systematic risk from a network of customers that are trying to provide products or services in an investment market. In the article I reviewed, Grody suggest that even though there is risk associated with central counterparties they rarely fail. There have
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Discuss the principles and objectives of Risk Management from the perspectives of both company directors and Auditors, explaining how you consider the appropriate assessment and prioritisation of recognised and documented risks could have possibly have prevents or minimised the impact of any of the recent prominent corporate failures worldwide.
Table of Content
Executive Summary 04
Veiling Some Concepts regarding Risk 05
Why Should Firms Manage Risk? 06
An Example of Merrill Lynch 07
The Aims/Objectives of Risk Management 09
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Project management is the application of knowledge, skills, tools, and techniques to project activities in order to meet or exceed stakeholder needs and expectations from a project. Project risk management includes the processes concerned with identifying, analyzing, and responding to project risk. It includes maximizing the results of positive events and minimizing the consequences of adverse events.
Managing risk therefore, is an integral part of good project management, and fundamental to achieving good business and project outcomes and the effective procurement of goods and services. Risk management provides a structured way of assessing and
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Question: Impact of risk and uncertainty on business growth and sustainability in Nigeria.
Business Risks Facing Small and Medium Enterprises (SMEs) and large firms operate in the same business environment but there are evidences that they derive different benefits and opportunities therein. More so, they are exposed to diverse categories of risks. This is because of their differences in economic capacity including asses to human capital and material resources. Kelkar (2008) posits that SMEs are weak in terms of business plan, management structure and in decision making when compared to large organizations. This further increases SMEs’ inability to absorb most business
1257 words - 6 pages
Running Head: RISK MANAGEMENT
HCS 451- Health Care Quality Management and Outcomes Analysis
May 16, 2011
When looking at organizations and the risks that they have to manage on a daily basis, we see where policies, procedures, and outcomes come into play. Though risks are different and challenge organizations in different ways, there are steps that every organization should take to identify and manage their risks. These risks that organizations take affect not only the organization but the stakeholders as well. There are types of education, training, and/or policies that help the hospital to mitigate risks within
703 words - 3 pages
Applied Microeconomics Coursework 1
To derive and describe the effect of stock 2 and that of correlation between stock 1 and 2 prices on the overall portfolio risk.
Standard deviation (SD) is used to measure risk by determining the volatility of a stock. It is a statistical term that measures the amount of variability around an average mean price.
Correlation measures the relationship between two variables. Coefficient of Correlation can range between -1 and +1 depending on the degree and direction of the relationship. Positive correlation denotes that both stocks will follow similar movement whereas negative correlation denotes the opposite relationship
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The first category of credit risk models are the ones based on the original framework developed by Merton (1974) using the principles of option pricing (Black and Scholes, 1973).
* the default process of a company is driven by the value of the company’s assets and the risk of a firm’s default is therefore explicitly linked to the variability of the firm’s asset value.
* The basic intuition behind the Merton model is relatively simple: default occurs when the value of a firm’s assets (the market value of the firm) is lower than that of its liabilities.
* The payment to the debt holders at the maturity of the debt is therefore the smaller of two quantities
4636 words - 19 pages
Risk Management in Islamic and Conventional Banks:
A Differential Analysis
Salman Ahmed Shaikh*
Dr. Amanat Ali Jalbani
Islamic banking is interest-free banking which makes it necessary for Islamic banks to
take active part in the operations of the business, i.e. share profits as well as losses.
Banks including Islamic banks prefer to take minimum risk. On the surface, it may seem
that Islamic banks face more risk and hence, will have more volatile or even negative
returns on their assets.
This paper analyzes the risk management procedures of Islamic banks by giving a
differential analysis of risk management discussing only the unique characteristics of
675 words - 3 pages
Using the information asset valuation/impact evaluation method presented in chapter 8, conduct a preliminary risk assessment of the organization’s critical information. Answer each of the questions covered in the chapter. What would it cost if the organization lost all of their data?
[Insert Answers Here] The cost would honestly be potential loss of human life, therefore Billions.
1. What is risk management? A process that identifies vulnerabilities in an organization’s information system and takes carefully reasoned steps to assure the confidentiality, integrity, and availability of all components in the organization’s information system.
2. List and describe the key areas of concern
1523 words - 7 pages
Risk Paper 1
Pm595 Risk Paper: Buying a new house
Project Risk Management
Professor: James Reckon
By Magued Farag
May 24, 2014
TITLE: BUYING A NEW HOUSE
TABLE OF CONTENTS
RISKS RANKING MATRIX
RISKS MONITORING CONCLUSION
Whenever considering a major purchase in life one must carefully consider the risks associated with making these purchase decisions. These decisions should be treated as projects in such a way that proper planning, analysis, risk assessment and contingency should all be aspects of the purchase process whether formal or informal. In this paper, I will discuss about a project
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Risk Prediction 1
The case studies involving Colleen M. and Xander L. are extremely diverse. Colleen M. has experienced extreme dysfunction in her family life since she was an infant. She has also experienced drug abuse at an early age, based on her mother’s drug problem. She has been forced to move in with a family member, who has lost some control of Colleen, based on her conduct, and her association with individuals who pose a negative influence on her. As a result she has been placed in a situation that has caused her to react in such a manner that she has been charged with involuntary manslaughter. While on the other hand, Xander L. has continued to live in somewhat of a stable
682 words - 3 pages
I decided to take the cervical cancer health risk assessment. I chose this particular one because, when I was pregnant with my son and was having regular pap smear . I was told by my doctor that I had been exposed to one of the main causes of cervical cancer which is HPV(Human Papilloma Virus). I will get to what HPV is in a moment. Cervical cancer is cancer that forms in the tissues of the cervix. It is a disease in which the cells of the cervix become abnormal and start to grow uncontrollably, which can cause tumors to grow. HPV is a cause of at least seventy percent of all cervical cancers. HPV is a sexually transmitted disease and is one of the most common. It is so common that every
988 words - 4 pages
Agricultural risk are element or factor that constraint agricultural production and expose them to danger or loss.
Agricultural risks can range from independent (for example, localized hail losses or an individual farmer’s illness) to highly correlated (for example, market price risk or widespread drought). Managing risks in agriculture is particularly challenging, as many risks are highly correlated, resulting in whole communities being affected at the same time. Clearly, given the widespread nature of resultant loss, financial recovery is particularly difficult and challenging. For governments, the fiscal implications of social safety net payments or the rebuilding of
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Introduction of the purpose and importance of risk management
Risk management planning is a critical and often overlooked process on every project.Â Allowing for the proper amount of risk planning in your project schedule can mean the difference between project success and project failure when those potential risks become real issues. The plan is only the output of the process. It details how the process will be implemented, monitored, and controlled through the life of this project. It details how the group will manage risks but doesnâ€™t attempt to define the responses to individual risks. Risks come about for many reasons, some are internal to the project, and some are
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Risk Assessment and Mitigation Techniques
Any solution will have inherent risk, the key is to identify and explore the consequences of the risks so mitigation can be incorporated into the implementation plan through contingency plans. Lawrence Sports faces several risks in attempting to implement a working capital policy. The first risk is the extension of credit to customers. If Lawrence Sports is too liberal with extending credit they will be faced with the need to borrow money to meet the target cash balance. On the contrary, if Lawrence Sports has a strict credit policy, sales may suffer as a result. The mitigation of this risk is for Lawrence Sports to have a conservative credit
769 words - 4 pages
I have been hired by AEN (Abdulaziz Essam Nassruldin) company as a Chief Information Officer (CIO) to manage its IT Department . The company’s CEO requested me to prepare a report pointing out potential security vulnerabilities at the AEN company.
For that I started with risk assessment exercise which will identify the relations between company assets, threats and vulnerabilities that may lead to the loss of confidentiality, integrity, availability, authenticity, or accountability. The output of the risk assessment will determine the actions for managing security risks and for implementing the appropriate controls needed to protect the company assets. The risk assessment process consists
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Part 19 : Corporate Governace Model
* Corporate Governance
Kelola perusahaan mdalam manajemen risiko merupakan salah satu bagian penting didalam sebuah organisasi, karena hal tersebut menyangkut tentang risiko risiko yang ada didalam perusahan itu dan risiko bisnis yang dihadapi. Tujuan dari tata kelola perusahaan adalah untuk memfasilitasi akuntabilitas sehingga perusahaan berjalan secara efektif dan efisien. Dalam tata kelola tersebut maka perusahaan perlu menunjuk beberapa orang untuk dijadikan sebagai komite dalam pelaksanaan hal tersebut. Komite tersebut adalah:
1. Risk Management Committee
2. Audit Committee
3. Disclosure Committee
4. Nomination Committee
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Risk Assessment Report for LOGISTIX, Inc.
Practices for administration of physical & operations security
Dr. Khader Jabra
Keller Graduate School of Management
October 09, 2011
Table of Contents
|Subject |Page |
|Introduction |3 |
|Risk Assessment purpose |4 |
|Risk Assessment Scope
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Task 1 (4.1)
For the Two assessments carried out, outline the procedures to REVIEW the risk assessment in the light of a change in the process or work environment that you propose to make detail your intended changes.
Any changes in procedures need to be monitored, describe how you would monitor the effectiveness of your implemented changes.
Following a visit to the Wates construction site in May 2011 the following information has been collated in conjunction with the Hazard Identification sheet.
A risk assessment is an important step in protecting workers and businesses, as well as complying with the law. It helps ocus on the risks that really matter in the workplace – the ones
856 words - 4 pages
Risk management has developed into business segments that differ from the traditional insurance applications. Georgia Pacific (GP) has more than 400 locations and 61,000 employees in North America and Europe. Risk management applications in the areas of foreign currency and political issues need to be addressed to be a success in the international market. Risk management is ultimately the economic impact on the company, so methods have been developed companies have used to adapt to the changing business environment.
Financially GP uses a credit line and bonds for funds when cash flow is unable to cover capital requirements. The line of credit is at 2.3% but has restrictions on debt
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Operational Risk measurement
This is defined as “the risk of loss resulting from inadequate or failed internal processes,
people and systems or from external events. This includes legal risk, but excludes
strategic and reputation risk”.9 Such risks are likely to be significant in Islamic Banks
due to specific contractual features and the general legal environment. Specific aspects
that could raise operational risks in Islamic banks include the following:
(1) The cancellation risks in non binding murabahah and istisnah[’a contracts.
(2) Problems in internal control systems to detect and manage potential problems in
operational processes and back office functions
5711 words - 23 pages
Fatigue risk: The roles of
napping, depression and alcohol
Brad Strahan & Associates Pty Ltd
The present paper continues an exploration of the role of the individual in adding to or reducing fatigue risk within mining operations (see Strahan, 2002, 2003). Results are reported from three survey based investigations conducted during 2008 and early 2009 in two open-cut and one underground operation. The results indicate that (a) depression is a significant issue and linked to fatigue risk; (b) excessive alcohol consumption is linked to increased fatigue risk; and (c), napping is symptomatic of poor and inadequate sleep and poor coping
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Risk Assessment St Benedict’s Date: 13/11/14 Name: Connor Briscoe
Session Facility: Pool Number in group: 10 Coach Ability: Various
Key: 1=Very Unlikely, 2=Unlikely, 3=Possible, 4=Likely, 5=Very Likely
Hazard/Risk | People at Risk | Possibility(1-5) | Severity (1-5) | Overall Severity (Potential*Severity=25) | How to prevent risk |
Wet Floor/Slip and hit head | Everyone | 5 | 5 | 25 | Make sure there are don’t run signs everywhere |
Drowning/Death | People in the pool
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I am a human resource manager in PANCHIO SMOOTH FOOD LTD. Panchio Food is the leading manufacturer of chocolate in Australia.
The story of Panchio chocolate began on a small town in the Western Australia, where humble shepherds perfected age-old chocolate-making techniques passed down from father to son. In Australia since 1969, Panchio has acquired an enviable reputation for traditional specialty style chocolate. Now Australia’s largest chocolate producer, Panchio still uses old family recipes to create their chocolate.
Built on those strong foundations and with further moderniztion and development for our product
1383 words - 6 pages
Discuss the risk management of natural hazards using a range of examples to support your answer.
Natural hazard processes are an essential part of how Earth functions. These processes have been shaping the planet Earth for millions of years. In modern times risk management plans are a necessity because of the wide variety of natural disasters occurring all over the world. It is thought that because of the frequency and increase in severity of hurricanes, earthquakes, volcanic eruptions and tornadoes that the United States alone experiences an average loss of one billion dollars every week. (C. McMillan, 1998) Therefore it is obvious why a procedure of disaster preparedness, mitigation
2028 words - 9 pages
managing risks in international strategic alliances
Risks and guidelines to manage them
Emphasise protectionof the firm’s own primary resource
♣Risks are relatively low in protecting physical and financial resources, including patents, contracts, logos, and trademarks (ownership protected by law)
♣Risks are high in protecting technological, managerial, and organizational resources
♣Be careful about unintended transfer of knowledge and imitation; you have little legal protection here
Introduction: We now discuss the ways in which firms with particular resource orientations can manage the two kinds of risks—relational and performance—
inherent in strategic
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. Then prepare a monitoring report evaluating the risk management process.
1. Review the provided case study information in order to develop a report examining the ongoing implementation of a risk management action plan. Use the following headings.
a. Plan – a clear summary of the initial risk and the plan implemented to manage it.
b. Implementation – a summary of all actions taken to date in attempting to manage identified risks.
c. Outcomes – a clear statement identifying continued and/or reduced risks, with supporting information in tables or graphs where available.
d. Evaluation – a clear analysis of the effectiveness of the risk management plan, by comparing the
1218 words - 5 pages
When an organization is faced with a decision on whether to invest in a project, capital budgeting and risk assessment are important tools that can help to ensure that an accurate decision is made. Since capital investment in large scale projects can significantly impact the financial performance of an organization, capital budgeting is a process to ensure that the project selection will be beneficial to shareholders and address any risks that the project could run into.
Capital budgeting allows investors to make decisions concerning investments in the long-term assets of an organization. The most important part about capital budgeting is accurately identifying a projectâ€™s risks and
439 words - 2 pages
Business and Management
Assignment #2: Risk Assessment, Portfolio Management
Corp. Investment Analysis—FIN550
July 27, 2011
Assignment #2: Risk Assessment, Portfolio Management
1. You are given the following long-run annual rates of return for alternative investment instruments:
• US Government T-Bills 3.5%
• Large-cap common stocks 12.1%
• Long-term corporate bonds 6.2%
• Long-term government bonds 5.6%
• Small-capitalization common stock 14.6%
The annual rate of inflation during the period was 2.9%. Compute the real rate of return on these investment alternatives.
Invest. Category Rate of Return Rate of Inflation Real Rate of Return
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Solutions for End-of-Chapter Questions and Problems: Chapter Sixteen
1. What risks are incurred when making loans to borrowers based in foreign countries? Explain.
When making loans to borrowers in foreign countries, two risks need to be considered. First, the credit risk of the project needs to be examined to determine the ability of the borrower to repay the money. This analysis is based strictly on the economic viability of the project and is similar in all countries. Second, unlike domestic loans, creditors are exposed to sovereign risk. Sovereign risk is defined as the uncertainty associated with the likelihood that the host government may not
680 words - 3 pages
My evaluation of the risk of Malathion based on my outline of the four steps of risk assessment is that using it can cause 90 cases of related illnesses. Out of the 90 cases four of them may be fatal. So not only will there be 90 case related illnesses causing normally healthy people to become sick, four of these illnesses may cause them to lose their lives. Anyone who would be exposed to the pesticide applications may become sick and or die. The main time that the pesticide will be used will be in the summer, after rainfall, or anytime large numbers of mosquitoes are present. This can be extremely dangerous for children since summer is a time of the year when they are outside playing
2123 words - 9 pages
This paper explores the mistakes made in the past by The Big Three: General Motors (GM), Ford, and Chrysler and presents the risk factors that could potentially undermine GM again. GM made an enormous mistake when they ignored their customers’ demands for fuel efficient vehicles. GM primarily focused on the production and distribution of sport utility vehicles (SUV) because they could make a larger profit off of such a vehicle. With the downfall of the economy, customers were not looking to purchase a large vehicle that would be additionally costly in terms of fuel so they turned to such foreign competitors as Toyota. When all was said and done, GM incurred a financial loss
1718 words - 7 pages
In the risk assessment that there were two case studies which are similar however still have their differences in certain ways. The following assessment will identify ways in which the two cases are similar and how they differ. The principle of a risk assessment is to evaluate a scenario and suggest an idea or possible remedy in regards to the scenario involved. In reference to the assessment defined the two individuals are interesting when it comes to their activities and the situation involving the justice system. As this paper presumes it will identify the issues more in-depth and create ideas that may assist in restricting the scenario.
Evaluation of Case Study