...A Report on “Risk Management Analysis in the Mining Industry” Submitted by D Veera Bhadra Anjaneyulu (1226114112) Submitted to Prof Kalpagam Uma Shankar Visiting faculty of Gitam School of International Business Visakhapatnam Introduction The word "risk" comes from the Italian "risicare," meaning "to dare." Developing or acquiring a mine anywhere takes plenty of daring. Undertaking a mining project overseas borders on the foolhardy - unless you understand the risks and take steps to manage those risks. Every business endeavor carries some risk, and the astute businessman, over time, develops a sense of the kinds of risk presented by a business proposition, and a set of strategies designed to deal with those risks. Mining anywhere in the world has its own particular set of risks, in the form of commodity prices, engineering puzzles, and geologic uncertainty. When a company pursues mining on a global scale, additional risks arise, and things like political risk and currency risk come to the fore. Risk can be approached systematically, indeed scientifically, with statistical modeling and sophisticated mathematics. Few businesses make decisions based solely on the inevitability of mathematics, however. At the end of the day, a company must exercise its business judgment, based on its experience, and on what is most important to it, and make the hard decisions about how (or whether) to proceed. 1. Identifying Risks: The Risk Baseline: A mining company should...
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...When we look at the terms of risk reduction and hazard control we get the terms of eliminating and reducing the issues. Where control of hazards seek to maintain instead of removing the process. The term that risk reduction is applied to is a complete understanding of the intent of the criterion to ty risk- reducing the probability of the events occurring. In the terms of the second and third definitions of risk because they include both the probability of the event and the severity of the harmful consequences. Risk reduction is a term that capture the fundamental concept that harmful events consist of the three phases. Jensen, R. C. (2012). Risk-Reduction Methods: For Occupational Safety and Health (1st e A physical model is one that thing would be (like if you were creating a model of say a building, park, airplane or other large structure or area), sometimes it's actual size if it is small enough. You build or have built that you can touch. Sometimes it is a miniature version of what the real. What I mean by physical models is those that are meant to represent the physical world, as opposed to – for example – biomechanical, or computers models. Jensen, R. C. (2012). Risk-Reduction Methods: For Occupational Safety and Health (1st ed.). Whenever you are planning or one have to deal with risk and hazards we should looking in to the process from the beginning to the end. Where do we want to be at this point in the project as...
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...Risk Factor Analysis— A New Qualitative Risk Management Tool John P. Kindinger, Probabilistic Risk and Hazards Analysis Group, Los Alamos National Laboratory John L. Darby, Probabilistic Risk and Hazards Analysis Group, Los Alamos National Laboratory Introduction Project risk analysis, like all risk analyses, must be implemented using a graded approach; that is, the scope and approach of the analysis must be crafted to fit the needs of the project based on the project size, the data availability, and other requirements of the project team. Los Alamos National Laboratory (LANL) has developed a systematic qualitative project risk analysis technique called the Risk Factor Analysis (RFA) method as a useful tool for early, preconceptual risk analyses, an intermediate-level approach for medium-size projects, or as a prerequisite to a more detailed quantitative project risk analysis. This paper introduces the conceptual underpinnings of the RFA technique, describes the steps involved in performing the analysis, and presents some examples of RFA applications and results. project activity flow chart to help organize the RFA. The flow chart defines the tasks to be modeled and their interrelationships for the project schedule analysis. WBS and schedule tasks may be consolidated and/or expanded to explicitly highlight those tasks and influences that are expected to have a significant technical risk and/or significant uncertainty in schedule or cost performance. The flow chart is developed...
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...struggling to understand what the threats to their information assets are and how to obtain the necessary means to combat them which continues to pose a challenge. The ISF’s Information Risk Analysis Methodology (IRAM) enables organizations to access business information risk and select the right set of security controls to mitigate that risk. IRAM2 Founded in 1989, the Information Security Forum (ISF) is an independent, not-for-profit association of leading organizations from around the world. It is dedicated to investigating, clarifying and resolving key issues in cyber, information security and risk management by developing best practice methodologies, processes and solutions that meet the business needs of its Members. ISF aims its products at large public and private sector organizations, and produces an annually updated Standard of Good Practice for Information Security. This approach has three phases: a business impact assessment which determines the security requirements of the business, a threat and vulnerability assessment, and control selection. IRAM2 is a simple, practical yet rigorous business essential that helps ISF Members identify, analyze and treat information risk throughout the organization. The standard and its related tools, which must be purchased from ISF, make for a thorough risk management package. The price of the materials includes user guides and attendance at some ISF events....
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...The automobile industry is growing rapidly with the introduction of newer technologies and car models. Latin America is quite a preferable location for auto manufacturers. Countries like Brazil, Argentina and Mexico are well known for manufacturing automobiles. As a Chinese automobile company who wants to set up their operation in Latin America, several major factors must be considered while selecting the country. Some of the factors which are considered when deciding on which country to invest are as follows: A. Infrastructure: Latin America lags behind in terms of infrastructure. This is a disadvantage for Latin America since it has a negative implication on its production and foreign direct investment. The proportion of paved roads in Latin America is comparatively low. i) Brazil: Brazil, the biggest economy in Latin America is ranked 104 in 2014 according to the “Global Competitiveness Report” by the World Economic Forum. This significantly increases the set up costs for new firms. ii) Argentina: Argentina lags even further behind Brazil in terms of infrastructure according to “Global Competitiveness Report” by the World Economic Forum published in 2014. This makes Argentina unsuitable for setting up new subsidiary. iii) Mexico: Mexico is ranked 73rd in the “Global Competitiveness Report” published in 2014, by the World Economic Forum. This shows Mexico is better in terms of infrastructure than Brazil and Argentina. Hence, Mexico will be the better choice...
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...AFFECT THE INSURANCE INDUSTRY Contents Introduction 3 Problem statement 4 Delimitation 4 Methodology 5 Risk management 6 Charateristics of insurance industry 6 Risk qualification 8 Approximate cost for a threat determination 8 Probability of threat accuracy or that vulnerability will be affected 9 SWOT analyses 10 Matrix between Strengths-Threats and Opportunities-Weaknesses 11 Conclusion of SWOT analysis 13 CONCLUSION 14 Introduction Climate change is a significant and lasting change in the statistical distribution of weather patterns over periods ranging from decades to millions of years. It may be a change in average weather conditions or the distribution of events around that average. Climate change may be limited to a specific region or may occur across the whole Earth. Nowadays the impact of the climate change can be seen around the globe - seasons are shifting, temperatures are climbing and sea levels are rising. And meanwhile, our planet must still supply us – and all living things – with air, water, food and safe places to live. Weather related consequences, caused by climate change, present challenges that threaten the understanding of extreme weather and natural disaster related damages. Many natural disasters (like floods, earthquakes, tsunamis and volcanic eruptions) all around the world have showed that people are now exposed to extreme weather events. The lack of financial preparation to face the risk of extreme weather events...
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...APPENDIX 6C Strategic Systems Auditing (SSA) Approach to Understanding Business Risk INTRODUCTION This section expands on the business analysis techniques explained in the chapter. The 1990s saw a trend toward developing new audit approaches that apply a technical knowledge of the theory of organizational strategy to evaluating a client’s competitive position and its effect on the client’s business risk. These developments have been referred to as the strategic systems auditing (SSA audits) approach to auditing. An SSA audit can be characterized as a top-down approach that starts with understanding the corporate strategy and the business as a whole to determine the effects on the financial statements. A key innovation in the SSA audit was that the auditor must try to understand the business as management runs it, but with an objective point of view. In contrast, the traditional financial statement audit tended to focus on a bottom-up approach, or gathering evidence on individual transactions and aggregating them to the financial statement level. The strategic systems approach is an application of systems thinking, as discussed in the chapter. The audit team obtains an understanding of management’s strategy by interviewing the senior managers and the managers of the various business units in the organization. The auditors learn about the business objectives (e.g., cost leadership, differentiation, market share) and strategies that management has in place to meet those objectives...
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...Economy of Bangladesh 7 2.2 Economic outlook 7 Industry Analysis 8 COMPANY ANALYSIS 9 ANALYSIS & INTERPRETATION 9 Conclusion 13 EXECUTIVE SUMMARY Today’s business world is so much competitive as a result every person has to be very cautious while taking an investment decision. Various types of analysis are performed by the investors to choose the most perfect securities. In a portfolio construction a person analysis the whole macro as well as micro economic scenario of a nation, in industry analysis the industry condition, movement is closely examined and in a company analysis the specific firm is analyzed to take a decision. This are steps of fundamental analysis.. In this report all this are performed on ten firms. Our selected firms are from different industries. All of these companies’ shares are category A shares in DSE. We have collected our necessary information from primary and secondary sources. In our entire report we try to focus on portfolio construction from an investor’s perspective. We have divided the topics of the report into different segments. First we have discussed about the origin of the report, objectives and scope of the study, the method of preparing the report, limitation of the study. Then we have chosen the companies. At first we did the macro economic analysis, than industry analysis and last company analysis. Then we constructed the portfolio including with and without short sells. After all analysis we have given our suggestion as well as findings...
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...down on the A4 sheet in your answer. The A4 sheet is a SUPPORT not a CRUTCH!! 4. To help you answer the exam questions, I suggest you include data on: a. the external environment, cochlear implant industry and closely-related concentric industries and competitive environments.e.g. market share, value of market, major players, rates of change, growth rates; b. Internal analysis to determine organisational capabilities, core competencies 5. The 2-hour exam will comprise 1 section, with a choice of 2 questions. You will answer one of these 2 questions, not both. If both are answered, the answer that appears first will be marked. 6. Q1 looks at the competitive environment and asks you how to resolve a critical competitive issue where you need to devise real world solutions grounded in theory. What is your solution, and more importantly, show how your solution is viable given the firm and the environment. 7. Q2 asks about the appropriateness of a directional strategy. A course of action is suggested. Should Cochlear adopt this course of action or not? Why or why not, given the state of the external environment and the firm. 8. Study advice: c. make sure you know the industry and related industries d. internal analysis e. Business...
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...Marketing Plan for Starbucks Coffee BMM 364 Assessment-Part A Written by: Tianyi Wang (WAN12383771) Written for: Leo Billington 2012/10/19 * Table of Contents 1.0 Executive Summary 3 2.0 Introduction 4 3.0 Current External Marketing Situation 4 3.1 External/General Environment analysis and Trends 4 1 Demographic Segment 4 2 Economic Segment 5 3 Political/Legal Segment 6 4 Social-Cultural Segment 6 5 Technological Segment 8 3.2 Detailed Market Analysis and Projected Demand 8 1. Market Size 8 2. Market Growth Rate 9 3.3 Industry Analysis Including Porter’s Five Forces 9 1. Threat of New Entrants 9 2. Bargaining Power of Supplies 10 3. Bargaining Power of Customers 10 4. Power of Substitutes 11 5. Intensity of Rivalry 11 3.4 Competitors Analysis 11 4.0 Current Internal Analysis 12 4.1 SWOT of the Business and the Product/Service 12 1. Strengths 12 2. Weaknesses 13 3. Opportunities 13 4. Threats 14 4.2 Issues and Risk Analysis 14 1. Strategic Risk 15 2. Operational Risk 15 3. Political Risk 15 4. Country Risk 15 5. Technological Risk 16 6 Environmental Risk 16 4.3 Ethical and Corporate Socially Responsible Behavior 16 5.0 Identify a Commercially Viable Market Opportunity 17 5.1 Market Opportunity Including Potential Segments of the Market and Justification 17 5.2 Define the Value Provided 17 5.3 Positioning statement 18 6.0 Marketing Plan Objectives 19 7.0 Conclusion...
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...overview 5 1.2 Product & Services 5 2. INDUSTRY ANALYSIS 8 2.1 Industry overview 8 2.2 Competitors analysis 8 2.3 Current state of the economy 8 2.4 Porter’s five forces 13 2.5 SWOT Analysis 16 3. BUSINESS AND FINANCIAL RISKS ANALYSIS 16 3.1 Liquidity Risk 16 3.2 Capital risk 19 3.3 Strategic risk 22 3.4 Credit risk 23 3.5 Foreign exchange risk 25 3.6 Market risk 27 APPENDICES 29 REFERENCES 36 EXECUTIVE SUMMARY The main purpose of this report is to investigate Bendigo Bank’s business and financial risks for the sake of suggesting the most appropriate financially justified risk management strategy. The main content of the report is divided into four major parts including (1) Company analysis, (2) Industry and peer analysis, (3) Risk management analysis and (4) recommendation. The first section will critically provide a brief overview of the company background and detailed information about its core products and services consisting of personal banking, company banking and wealth management. Following section will discuss through macro-economic factors including the current state of the economy measured by relevant economic indicators. Then, the industry overview and the performance of major rivalries will be analysed and supported by conducting Porter’s five forces and Swot analysis. The critical section will deliver business and financial risks analysis via different categories of risks. The analysis will be complemented by the comparison...
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...1. Preliminary analysis to understand the client‘s business and risk - Understanding the auditee’s business, environment, and risks - Mature company, has been around for more than 15 years, simple business structure – manufacturing and merchandising, heavily based on inventory sales, however it is highly prone to competition in this industry. The intensity of rivalry is very high in this industry. - MIT is taking initiative in differentiating their products as they are seeking out new opportunities, such as importing from Italy. This would most likely allow MTI to be differed from the competitors in the industry, and improve brand image and gain customer loyalty. This industry has very high threat of substitute products as well as the barriers to entry are very low for this industry. These high level threats in the industry due to competition chip away the sales of the existing companies. These are business risks that MTI face due to the nature of the company and the industry. - The newly implemented sales strategy (importing from Italy) creates a new product line, and the business risks related to this addition are: getting familiar with the legal policy requirements for imported product requirements, exchange rate risks. The customers are newly introduced to this product line as well therefore the company is unfamiliar with the demand and needs of the Canadian customers with regards to internationally imported products. The uncertainty of the demand in the Canadian market...
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...CREDIT RISK ANALYSIS SYSTEM OF STANDARD CHARTERED BANK by Abdullah Bin Haroon ID: 2003210001013 An Internship Report Presented in Partial Fulfillment Of the Requirements for the Bachelor of Business Administration SOUTHEAST UNIVERSITY, BANGLADESH October 2005 TABLE OF CONTENTS Page LIST OF TABLES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . viii LIST OF FIGURES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ix CHAPTER 1 INTRODUCTION 1.1 Origin of the report. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1.2 Objective . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1.3 Scope . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 4. Limitations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 5. Methodology 1. Approach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2. Primary source . . . . . . . . . . . . . . . . . . . . . . . . . 3 3. Secondary source . . . . . . . . . . . . . . . . . . . . . . . . 3 4. Sample Information. . . . . . . . . . . . . . . . . . . . . . . 3 5. Data Collection Method. . . . . . . . . . . . . . . . . . . . 3 6. Data Analysis. . . . . . . . . ...
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...Case First Solar Case Analysis Due to consideration of rising energy demand, global warming and nature of solar power, the solar industry has experienced a rapid development these years. First Solar, as one of the dominant companies in the industry, is suspected and scrutinized by CFRA for aggressive accounting practices. CFRA’s investigation aims at identifying potential risks in several areas, including revenue quality and recognition, inventory levels, customer and geographic diversification, warranty policies, production capacity growth, and supply chain. This case focuses on whether CFRA should flag First Solar and add it to the “biggest concern” list. The stock of First Solar has always been popular among investors considering the company’s outstanding performance. The price-to-earnings ratios of First Solar from the last three years (2006 to 2008) were much higher than the industry average ratios. Therefore, it is reasonable to speculate that prospects for earnings in the future are great. Furthermore, positive opinions from the professional institutions, such as “outperform” and “buy”, gave investors much confidence. The analysts, as well as investors, believed that sustainable increasing earnings and new market expansion could provide solid growth prospects for First Solar. Business Environment Analysis – PEST Analysis Solar energy acting as a promising alternative energy marks a bright future of the solar industry. However, this emerging industry also faces lots of...
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...CREDIT RISK ANALYSIS SYSTEM OF STANDARD CHARTERED BANK by Abdullah Bin Haroon ID: 2003210001013 An Internship Report Presented in Partial Fulfillment Of the Requirements for the Bachelor of Business Administration SOUTHEAST UNIVERSITY, BANGLADESH October 2005 TABLE OF CONTENTS Page LIST OF TABLES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . viii LIST OF FIGURES . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ix CHAPTER 1 INTRODUCTION 1.1 Origin of the report. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1.2 Objective . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1.3 Scope . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 4. Limitations. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 5. Methodology 1. Approach . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 2. Primary source . . . . . . . . . . . . . . . . . . . . . . . . . 3 3. Secondary source . . . . . . . . . . . . . . . . . . . . . . . . 3 4. Sample Information. . . . . . . . . . . . . . . . . . . . . . . 3 5. Data Collection Method. . . . . . . . . . . . . . . . . . . . 3 6. Data Analysis. . . . . . . . . ...
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