Now let me brief you about how the responses to each of the risk will have an impact on the
business.
Reputational Risk- with the implication of compliance and ethics program and conducting
meetings for that will definitely create a higher morale and the employees will make an effort to
keep up what is expected from them. And which will help in improving the reputation of the
company.
Human Resource risk - With better incentives and concrete structure with in the organisation
employees will have better focus and if by any chance if there is a sudden absence of an
employee succession plan will help the company to not have any disturbance with their daily
operations.
Regulatory risk - With the response to risk of regulations company it will make it easier for the
company to have access to compliance law program and can easily update them. Which will
overall help clients to have a clear picture of what is expected from the company.
Operational Risk- After developing a better working environment for the employees and having a
recovery plan it will indeed help the company to come out of sudden natural disaster with trying to
have the least impact on the firm. Also investing on cybersecurity systems will improve the
authentications of the informations delivered to the clients.
Solutions
On priority basis we should relocate Agarwal and promote Chen. Since 2007 she has been in the
company and is amongst the highest experienced person, so the operations could be handled by
her with achieving all the targets. And since Mr. Agarwal was from consulting background he has
the ability to bring in more clients and maintaining the PR of the firm.
As we saw Chen being the important part of the company and asking for more employees to be
hired in order to achieve what was expected by the company, the company should hire qualified
employees who already have the basic knowledge about the industry and know what was being
expected from them.
And lastly providing authentic information is also a must. Investing on cybersecurity will help and
deliver correct and authentic information to the clients which will have a better impact on the
reputation of the company in long run.
•
Reputational Risk:
• Compliance and ethics program implementation
• Conducting meetings for higher morale
• Employees will make an effort to keep up with
expectations
• Improving company reputation
•
•
•
•
•
•
Human Resource Risk:
• Better incentives
• Concrete structure within the organization
• Employee focus
• Succession plan for sudden employee absence
• No disturbance to daily operations
Regulatory Risk:
• Response to risk of regulations
• Access to compliance law program
• Easy updates
• Clear picture for clients of what is expected
Operational Risk:
• Better working environment for employees
• Recovery plan for natural disasters
• Least impact on firm
• Investment in cybersecurity systems
• Improved authentication of information delivered to clients
Solution 1:
• Relocate Agarwal
• Promote Chen
• Chen is experienced and can handle operations and
achieve targets
• Agarwal can bring in more clients and maintain PR of the
firm
Solution 2:
• Hire qualified employees
• Basic knowledge about the industry
• Meet expectations of the company
• Address Chen's request for more employees
Solution 3:
• Provide authentic information
• Invest in cybersecurity
• Deliver correct and authentic information to clients
•
Better impact on reputation of the company in the long
run