$20 Bonus + 25% OFF
Securing Higher Grades Costing Your Pocket? Book Your Assignment at The Lowest Price Now!

Board Composition And Operational Risk

tag 0 Download14 Pages / 3,295 Words tag Add in library Click this icon and make it bookmark in your library to refer it later. GOT IT


Discuss about the Board Composition and Operational Risk.



The report helps in understanding about the different kinds of operational risks that are involved in a company. The company that has been taken in this particular report is HG Metal Manufacturing Company that is situated in Singapore. An operations manager is appointed in the respective company as to properly assess the risk and suggest as well as implement different measures to reduce such operational risks from the company. The risk management approaches and framework of HG Metal Manufacturing Company has to be properly analyzed as well.

The main aim of the report is to understand as well as analyze the different incidents in the past that has occurred as the operational risks in the respective company as well as the industry. The main purpose of the report is to analyze the good practices of the safety technologies with proper tools and techniques as well. The impact of the hazardous substances treatment has to be implemented as this will help in treating the risk.

The structure of the report will include the proper process of treatment of the different kinds of risk and this will help in reviewing the good practices that will help in reducing such operational risks from the respective company. The impact has to be properly discussed that will affect the company and recommendation has to be properly implemented by the Operations Manager as this will help in assessing the risk that can be a danger to the entire company.

HG Metal Manufacturing Limited is a metal company that was founded in the year 1971 that is the retailer of steel as well as metal products. The respective company provides end to end solution to the customers that range from services relates to distribution to the downstream along with the value added services.  The HG Metal Manufacturing Limited Company is properly equipped with different kinds of sourcing capability that is strong in nature and they have a huge network of suppliers from different countries namely Japan, Russia, Tokyo along with other European countries. The nature of the business is that the company has also offered steel and metal solutions that are customized in nature for different industries namely transportation, energy as well as electronics.


Structure of the risk management team

The main duty of the risk managers is to analyze the safety of the supervision along with proper handling of different claims. The operations manager has to report to the higher officials in the management regarding any kind of losses, other programs related to prevention of loss of the company as well as results of the insurance marketing. Proper identification of the exposures related to exposure has to be ascertained as this will help them in identification of the solutions of the insurance related products. The entire team will work effectively to minimize the payment of the loss for litigation as well as claims.

The operational management of risk has focused previously on the mitigation of the risks from the internal processes that are internal in nature but due to the increase in the regulatory requirements along with the requirement of the improvement in the performance of the business the scope of Operations Risk Management has been expanded. The ORM program of the respective company is based on framework of the sponsoring company and this will help their clients in reimagining the different risks as well as compliance process with internal control that will offer:

  • Reliable reporting that is financial in nature
  • Proper safeguarding of assets (Armstrong and Taylor 2014)
  • Efficient and effective programs
  • Proper compliance with regulations and law

Risk Management Team

  • This is the duty of the operations manager that all the workings that are manufactured in cost effective as well as timely manner as this will help in meeting the quality requirements
  • Proper improvement of the operational systems along with processes is the other duty that guarantees the well being of the entire organization and ensure the efficiency at the warehouse
  • Proper examination of the financial statements as this will be used to improve the profitability
  • Proper contribution towards the achievement of the operational as well as strategic objectives
  • Lastly, it is the duty of the operational manager to cater to the concerns of the different personnel (McNeil, Frey and Embrechts 2015)

These are the different activities that have to be performed by the operations manager of the respective company HG Metal Manufacturing Limited wherein they have to handle and manage the raw materials as well as personnel. The proper oversight of the entire inventory along with supplies as well as purchasing has to be properly taken care by the operations manager. The operations manager has to analyze the kind of operational risk that is affecting the brand image of the company and in this particular scenario, the change in the organization can come in different forms that can affect the structure of the entire business.


Review of Past incidents

In HG Metal Manufacturing Limited Company, there was a risk that has been faced by the respective company due to the low quality of the products that are produced by them. In the past, there was a risk related to the poor quality of the metal products that are sold by HG Metal Manufacturing Limited Company and the customers faced lot of difficulties as well. The proper quality assurance is essential for the company to provide to the customers as the customers trust the brands and they go ahead with the purchase of different goods as well as different services. HG Metal Manufacturing Limited Company supplied different metal and steel products that were sold to the customers but they were of low quality as the assurance of quality was not provided to the clients and this created bad reputation for the defective products that were sold by the company. There were different kind of defects in the steel and metal product and there is a policy of replacement that has been provided by the company to the customers when the problem is discovered (Aven 2016).

According to Farrell and Gallagher (2015), operations risk is the kind of issue that affects the internal ability of the company to supply as well as produce different goods as well as services. There can be different risks that can affect the reputation of the firm as well as the impression upon the customers as well. In the last few decades, Barakat and Hussainey (2013) commented that risk management in the supply chain management has properly developed but there are different operational risks in the different companies. Chiu and Choi (2016) outlined that the risk management is the area with different conflicting terms along with proper critical reflection on the principles as well as regulations (Chen, Sohal and Prajogo 2013).

The operational risks that has been faced by Reliance Company as the gap analysis was done with the help of proper vulnerability assessment. The root cause analysis was properly reviewed as this will help in resolving such issues with proper implementation of different strategies as shown in the picture below:

Identification of hazard risk

There are different methods of the identification of the risks by HG Metal Manufacturing Limited Company on the basis of the databases of the different events that has happened in the past as this will be helpful in nature to understand such issues that has occurred in the future and try to resolve such issues as this will help in understanding the potential risks that are involved in such kind of cases (Thomas, Crook and Edelman 2017).

HG Metal Manufacturing Limited Company has to identify the root causes of the different operational risks wherein proper identification of the undesirable events that has gone wrong and proper identification of the potential impacts is essential as well in such events. Secondly, it is essential for the company to identify the different functions that are essential in nature and possible modes have to be identified that are crucial for gaining success (Xu et al. 2014). The method of the qualitative risk assessment is essential to be done by HG Metal Manufacturing Limited Company wherein the following steps have to be followed:

  • Screening of the risk is essential to be done by the respective company as this will help in identification of the different risks that are operational in nature. The operational risks has to be properly omitted by the company as this will help the company along with the employees of the organization to understand the causes of the operational risks and resolving such issues with proper implementation of different strategies as well. It is determined with proper analysis of:
  • High impact and low probability (Lam 2014)
  • Low impact and high probability
  • Low impact and low probability
  • High impact and high probability (Soin and Collier 2013)
  • Pareto diagram helps in identification of the different operational as well as other risks with proper implementation of the different strategies that will help in mitigating the risks and this helps in improving the brand name of the organization as well.
  • Analysis of the failure modes as well as effects helps in assessing the risk of the organization that has caused failure in the organization as well. The failures can be related to the operational risks of the company wherein there is impact on the demand as well as supply of the goods and services (Wiengarten et al. 2016).

There are two different tools and techniques that help in identification as well as analysis of the operational risks of HG Metal Manufacturing Limited Company are as follows:

  • Information gathering technique is one such technique that helps in rating the risk that is high or low in nature. The respective company has to understand whether the risk is dangerous, then the company should immediate stop such process as this will help in implementation of the control techniques. The proper information from the past records has to be collected by the operations manager in the organization as this will help in emphasizing the requirements that are essential in nature to reduce such risks with the help of proper protection.
  • Root Cause Analysis is another technique wherein the level of the risk has to be identified and the involvement of such risks as well. This will help in determination of the risks that are hazardous in nature and such risks have to be controlled with reviewing and monitoring the hazards that can affect at the workplace.

There are different kinds of documentation required for the proper assessment of the risks in the workplace that are as follows:

  • Level of the risk that is involved (Heckmann, Comes and Nickel 2015)
  • The requirements that are legislative in nature
  • Implementation of different kinds of control measures that will help in reducing the operational risks in the company
  • Reviewing as well as monitoring the hazards at the workplace as this will help in reducing the kind of risks and this will help in measuring the suitable risk factor as well.

These are the different kinds of tools and techniques as this will help them in understanding the level of risk and implement the safety technologies with the help of proper advancement of technologies.

Risk evaluation and analysis

There are different safety control technologies that will help HG Metal Manufacturing Limited Company in order to reduce the operational risks in the respective company. The analysis can be done with the help of the following the steps that are as follows:

  • Proper segregation of the task as this will help in reducing the risks related to theft as well as fraud. This will help in proper prevention of taking proper advantage of the different numerous aspects of business practices as well as transactions.
  • Secondly, the risks has to be curtailed in the process of the business as this will help in reducing the complexities in the business and this will help in mitigating the operational risks. The respective organization can achieve and reduce the complexities with curtailing the different manual activities along with proper implementation of the processes of business (Therivel and Paridario 2013).
  • The respective organization named HG Metal Manufacturing Limited Company has to create a proper ethics that is related with proper mitigation of the operational risks management. The ethics of the organization has to be properly enforced by proper combination of the different workplace principles along with the personal values as well
  • The respective organization needs to allocate the right individuals for the right kind of tasks as this will help in reducing the issues that pertains to the execution of the entire process of the business along with the proper skills as well as usage of advanced technologies (Adeusi et al. 2014). This will help in resulting proper and appropriate utilization of the workforce as well as proper adherence to the technologies as well as timelines with proper enhancement of the technologies as this will help in reducing the number of errors as well as breakdown of the processes.
  • Proper monitoring as well as evaluation at proper intervals is essential and necessary in nature as the process of the business is effective as well as efficient in nature and this will help HG Metal Manufacturing Limited Company in reducing the operational risks from the different areas of the business (Hopkin 2017). The well designed indicators of the performance have to be properly implemented by the company as this will help in enhancing the process of business. The key performance indicators are critical in nature as this will help in making timely decisions as well as proper mitigation of the different operational risks that can impact the performance of the entire business. The continuous monitoring as well as reviewing is essential in nature as this will help in identification of the discrepancies proactively as well as manage them accordingly (Sharifi et al. 2016).
  • The assessment of the risk has to be done periodically in the company HG Metal Manufacturing Limited Company as this will provide proper relief to the entire organization and this will help in making the regulatory frameworks for the entire organization to mitigate such operational risks in the organization. It is imperative to be properly risk ready by properly gauging the regulatory obligations along with the different competencies of the skills of information technologies as well (Alexander 2013).

The risk incidents as well as different activities those are remedial in nature for proper effectiveness in the entire organization. The strategies that are effective in nature will help in countering the future risks. The risk occurrences that has happened previously has to be properly analyzed by the company in order to make some amendments in the future as well as in the present as this will help in handling the current operating scenario at the workplace. The task in hand that is critical in nature is wherein the organization can implement different the steps in reducing such kinds of risk. Proper corporate governance as well as the compliance platform enabled proper advancement of technologies and this helped in effectively support the proper implementation of the 7 step approach to reduce the operational risk management (Hora and Klassen 2013). This will help the respective company HG Metal Manufacturing Limited Company in handling such risks and this helped them in maintaining and this will help in mitigating the operational risks and this helped the entire company along with the employees to support proper implementation of different technologies (Sturm 2013).

Review of proper good practices and safety technologies

There are different advantages as well as disadvantages in the risk treatment of the operational risk in the respective company wherein the risks can be nurtured and with the proper handling of the previous risks, the future risks can be mitigated with proper implementation of technologies.

However, on the other hand, there are disadvantages as well wherein there can be unmanaged losses that can impact the entire business and the external entities along with ambiguity that is uncontrollable in nature (Wang and Hsu 2013). The potential threats cannot be managed properly as there are external uncertainties that cannot be controlled by the management.


Therefore, it can be recommended that the respective company has to adopt certain other strategies in mitigating the different kinds of operational risks and this will help in focusing properly on the assessment of the risks and this will help in understanding the impact of the risk on the entire business as well. This will help in promoting the culture of the entire organization as well. Lastly, the risks can be nurtured properly by compensating the risks within rigid comparisons along with different choices that will help in mitigating the risks as well from the entire business. These are the different process through the advancement in technologies that will help in mitigating the operational risks.



Adeusi, S.O., Akeke, N.I., Adebisi, O.S. and Oladunjoye, O., 2014. Risk management and financial performance of banks in Nigeria. Risk Management, 6(31).

Alexander, K. ed., 2013. Facilities management: theory and practice. Routledge.

Armstrong, M. and Taylor, S., 2014. Armstrong's handbook of human resource management practice. Kogan Page Publishers.

Aven, T., 2016. Risk assessment and risk management: Review of recent advances on their foundation. European Journal of Operational Research, 253(1), pp.1-13.

Barakat, A. and Hussainey, K., 2013. Bank governance, regulation, supervision, and risk reporting: Evidence from operational risk disclosures in European banks. International Review of Financial Analysis, 30, pp.254-273.

Bromiley, P., McShane, M., Nair, A. and Rustambekov, E., 2015. Enterprise risk management: Review, critique, and research directions. Long range planning, 48(4), pp.265-276. (Bromiley et al. 2015)

Chen, J., Sohal, A.S. and Prajogo, D.I., 2013. Supply chain operational risk mitigation: a collaborative approach. International Journal of Production Research, 51(7), pp.2186-2199.

Chiu, C.H. and Choi, T.M., 2016. Supply chain risk analysis with mean-variance models: a technical review. Annals of Operations Research, 240(2), pp.489-507.

Farrell, M. and Gallagher, R., 2015. The valuation implications of enterprise risk management maturity. Journal of Risk and Insurance, 82(3), pp.625-657.

Heckmann, I., Comes, T. and Nickel, S., 2015. A critical review on supply chain risk–Definition, measure and modeling. Omega, 52, pp.119-132.

Hopkin, P., 2017. Fundamentals of risk management: understanding, evaluating and implementing effective risk management. Kogan Page Publishers.

Hora, M. and Klassen, R.D., 2013. Learning from others’ misfortune: Factors influencing knowledge acquisition to reduce operational risk. Journal of Operations Management, 31(1), pp.52-61.  

Lam, J., 2014. Enterprise risk management: from incentives to controls. John Wiley & Sons.

McNeil, A.J., Frey, R. and Embrechts, P., 2015. Quantitative risk management: Concepts, techniques and tools. Princeton university press.

Sharifi, S., Sharifi, S., Haldar, A., Haldar, A., Rao, S.N. and Rao, S.N., 2016. Relationship between operational risk management, size, and ownership of Indian banks. Managerial Finance, 42(10), pp.930-942.

Soin, K. and Collier, P., 2013. Risk and risk management in management accounting and control.

Sturm, P., 2013. Operational and reputational risk in the European banking industry: The market reaction to operational risk events. Journal of Economic Behavior & Organization, 85, pp.191-206.

Therivel, R. and Paridario, M.R., 2013. The practice of strategic environmental assessment. Routledge.

 Thomas, L., Crook, J. and Edelman, D., 2017. Credit scoring and its applications. Society for industrial and Applied Mathematics.

Wang, T. and Hsu, C., 2013. Board composition and operational risk events of financial institutions. Journal of Banking & Finance, 37(6), pp.2042-2051.

Wiengarten, F., Humphreys, P., Gimenez, C. and McIvor, R., 2016. Risk, risk management practices, and the success of supply chain integration. International Journal of Production Economics, 171, pp.361-370.

Xu, G., Dan, B., Zhang, X. and Liu, C., 2014. Coordinating a dual-channel supply chain with risk-averse under a two-way revenue sharing contract. International Journal of Production Economics, 147, pp.171-179.


Cite This Work

To export a reference to this article please select a referencing stye below:

My Assignment Help. (2018). Board Composition And Operational Risk. Retrieved from

"Board Composition And Operational Risk." My Assignment Help, 2018,

My Assignment Help (2018) Board Composition And Operational Risk [Online]. Available from:
[Accessed 26 May 2020].

My Assignment Help. 'Board Composition And Operational Risk' (My Assignment Help, 2018) <> accessed 26 May 2020.

My Assignment Help. Board Composition And Operational Risk [Internet]. My Assignment Help. 2018 [cited 26 May 2020]. Available from:

With a decade's experience in providing essay help, has emerged as the leading assignment writing company in Australia. We have gained our popularity not because we provide top-quality essay help, but because we understand students' needs. In order to help students, we have introduced proposal essay help, literature essay help, etc into our services. Some of our popular services include English essay help, nursing essay help, law essay help, MBA essay help and much more.

Latest Management Samples

MPE781 Economics For Managers 3

Download : 0 | Pages : 14

Answer: 1. The long queues represent the high demand for the given restaurant’s foods and service. The people value the restaurant high and are willing to stand in the waiting lines. The people have high opportunity cost associated with the time spent in the line. On the other hand, the restaurant with empty chairs may have high prices which make their food and services unaffordable to a large number of customers. The owner can increas...

Read More arrow

BUS703 Managing Research 3

Download : 0 | Pages : 4

Answer: Background to the problem: Failures in managing research are mainly associated with the lack of preparation in readiness for a project. This leads to businesses failing to prepare for problems leading to the projects encountering serious management hurdles (Cleden, 2017). To overcome these problems every business must address the following research issues so as to address research problems. Define business and research o...

Read More arrow

BMAC5203 Entrepreneurship For Rectifying Distinct Business Issues

Download : 0 | Pages : 15

Answer: Introduction  In the modern era, there are several organizations that are functioning in the global economy each one of the companies have been performing according to their aims and objectives. The operations of a company is dependent on the style of the entrepreneur and the ability and the mind-set of the entrepreneur determines the process that would be undertaken with the help of which the company can gain competitive edge an...

Read More arrow

SG3034 Introduction To Business And Enterprise

Download : 0 | Pages : 6
  • Course Code: SG3034
  • University: University Of East London
  • Country: United Kingdom

Answer: Introduction The Yeo Valley is one of the most widely known organic dairy firms in the UK. This company works for bringing fresh and new products for all the milk lovers. At the same time, they believe that taking care of nature is also one of the most important activities that they have to carry on. This firm has been set up by the Mead family. They have been living and working in Somerset for a long time period. They had started their...

Read More arrow

BUSN20017 Effective Buisness Communication For Tools And Analysis

Download : 0 | Pages : 18
  • Course Code: BUSN20017
  • University: Central Queensland University
  • Country: Australia

Answer: Introduction: Communication is an important aspect of business management. Every professionals need to develop proper communication skills to enjoy success at workplace mentally and financially. The assignment will first help me identify my issues in communication. Depending on it, a literature review will be conducted which will be followed by an action plan.    Tools and analysis: The first tool that I have used is the ...

Read More arrow

Save Time & improve Grade

Just share Requriment and get customize Solution.

We will use e-mail only for:

arrow Communication regarding your orders

arrow To send you invoices, and other billing info

arrow To provide you with information of offers and other benefits




Overall Rating



Our Amazing Features


On Time Delivery

Our writers make sure that all orders are submitted, prior to the deadline.


Plagiarism Free Work

Using reliable plagiarism detection software, only provide customized 100 percent original papers.


24 X 7 Live Help

Feel free to contact our assignment writing services any time via phone, email or live chat.


Services For All Subjects

Our writers can provide you professional writing assistance on any subject at any level.


Best Price Guarantee

Our best price guarantee ensures that the features we offer cannot be matched by any of the competitors.

Our Experts

Assignment writing guide
student rating student rating student rating student rating student rating 5/5

755 Order Completed

95% Response Time

Douglas Cowley

Masters in Finance with Specialization in Audit

Wellington, New Zealand

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

134 Order Completed

95% Response Time

Thomas Nelson

MS in Information Systems Technology with Specialization in Database Administration

New Jersey, United States

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

1692 Order Completed

98% Response Time

Alfred Dodd

PhD in Computer and Information Science with specialization in Database

Wellington, New Zealand

Hire Me
Assignment writing guide
student rating student rating student rating student rating student rating 5/5

154 Order Completed

97% Response Time

Harold Alderete

PhD in Economics

London, United Kingdom

Hire Me

FREE Tools


Plagiarism Checker

Get all your documents checked for plagiarism or duplicacy with us.


Essay Typer

Get different kinds of essays typed in minutes with clicks.


GPA Calculator

Calculate your semester grades and cumulative GPa with our GPA Calculator.


Chemical Equation Balancer

Balance any chemical equation in minutes just by entering the formula.


Word Counter & Page Calculator

Calculate the number of words and number of pages of all your academic documents.

Refer Just 5 Friends to Earn More than $2000

Check your estimated earning as per your ability




Your Approx Earning

Live Review

Our Mission Client Satisfaction

Great job and Great experts! The follow up and process was fantastic. Also, communication with the expert was easy.


User Id: 426409 - 25 May 2020


student rating student rating student rating student rating student rating

The solution was done in time thank you do much for your efforts but please taking care for grammar is needed there was so many mistakes in grammar thank you


User Id: 371975 - 25 May 2020


student rating student rating student rating student rating student rating

good to do assignment was what I expected and thanks for that one I will use him again


User Id: 241498 - 25 May 2020


student rating student rating student rating student rating student rating

Great work in completing my assignment on time, was very helpful and great with communicating with the require details. will definitely use them again!


User Id: 285304 - 25 May 2020


student rating student rating student rating student rating student rating
callback request mobile
Have any Query?