Risk Management System ( Name Rms ) - 1678 Words

10. Risk Management 10.1 Name Risk Management System (Name RMS) Name Risk Management System (Name RMS) aims to effectively and efficiently manage and assess all the critical risks due to both external and internal factors with the suitable action plans on specific risks, which gives the least possible adverse effects to the customers and company. The holistic framework of the system includes 4 key steps: risk planning, risk assessment, risk handling and risk monitoring showed in Figure 1. Figure 1: Name RMS process layout1 10.2 Risk Planning The project manager such as the product creator in Name Company takes the responsibility of reviewing the risk assessment documents and tracking the progress of control measures with†¦show more content†¦The PESTEL analysis model is firstly applied to identify the external risks from the light switch products which impact the surrounding business environment. The PESTEL model includes 5 different aspects of external risk factors such as Political, Economic, Social, Technological, Environmental and Legal. To complete the risk identification, the internal risks is required to consider by understanding 4 key areas to the company like Strength, Weakness, Threats and Opportunities in the SWOT analysis model. By thinking the company’s internal factors such as Strength and Weakness and finding out the potential external factors such as Opportunities and threats from the environment to the company, help to establish better mitigation measures and strategies to prevent uncertainties events and serious consequences to occur in short term and future. Both of the model results can be found in Appendix. The risk register spreadsheet tool called Circa RiskCom spreadsheet tool is employed for a good and detailed risk assessment table which is shown in Appendix. It combines the both analysis models with residual risk assessment and evaluation of control strategy costs. The risks are split into 3 categories like L– Least, M–Medium and H–Highest for assessing the likelihood and severity consequences of each key risk. 10.3.2 Risk Analysis From the risk