Activities for Risk assessment
The ultimate objective of risk assessment in
design functions is to identify such risk occurrences, analyse these, and initiate
countermeasures for preventing risks.
The activities include
i. Designate Risks Assessment team (CFT-Cross-functional team)
ii. Identify aspects
that can contribute to organization-level risk mentioned
iii. Design risk
assessment templates for the organization-level risk.
iv. Software
programming of risk templates.
v. Populating the “organization
level Risks” template by the design functions in
consultation with CFT
1.1 Organisation-level
risks – Developing risk assessment templates
The design of the risk template ought
to be comprehensive and should capture the following in a document.
i)Risk statements developed by each
Head of Department-HOD of the design functions i. e. Chief Architect or &
Chief Interior designer or & Chief MEP engineer as applicable vis a vis
the aspects such as:
·
End customer’s changing needs
·
Competitor’s offerings
·
Statutory policies
·
Changes in economic, political, and
social environments
·
IT (Hardware, software, network) outages
impacting design delivery, etc.
ii) Thereafter, each risk statement is
to be analyzed to capture the likely adverse impact of each risk on the
organization
iii) After analysis of impact, HODs
need to capture (in the same template) countermeasures, Timelines for
implementation & responsibility for implementing countermeasures. This may require
dialoguing/interfacing with HOD of other functions like sales, projects, purchases,
and contracts, Finance & legal, IT, etc.
iv) Top management comments on risk
impact and countermeasures identified in the template.
iii)Accordingly, categorizing the risk
as High or medium, or low
1.2 Activities that can
adversely impact business
§ Inappropriate levels /positions of CFT members
vis-à-vis “Design functions” and consequent inadequate skills for
comprehending organization risks
§ Inadequate participation by a nominated member
of “Design functions”
in deliberation meetings of CFT for identifying organization risks.
§ Inappropriate software development and
workflow of “organization level risks” template (standard for all
functions) making risk capturing cumbersome and inefficient
§ Non-comprehensive review by CFT of all aspects
vis-à-vis “Design functions -” that can contribute to Organisation risks
in the Risk template resulting in inaccurate/non-comprehensive capturing of the
following: *
§ Risk statements
§ Risk Analysis and implications
· Inaccurate classification by CFT of risk at
the organization level (High, Medium, or Low) vis-à-vis “Design
functions” due to improper risk analysis and implications *
· Inadequate time commitment by top management
to review Risk template developed by CFT vis-à-vis “Design functions” and
hence non-comprehensive or not accurate capturing of countermeasures *
·
Non-periodic/non-timely
review of previously populated risk template in “Design functions to
incorporate changes in business environments like customer demands, statutory
changes, economy changes, and so on *
The
above-listed activities, that are marked* reflect activities that can have
adverse statutory implications.
Handbook
of the author