Assessment Task 1
1.
Give three examples of risks that should be taken into account in developing and
implementing strategic plans.
Economic Uncertainty
The arrival of an economic slump may necessitate altering application schedule.
Demand for company’s goods and services may turn out to be lower than what presumed
it would be.
Faced with failing economic conditions, you could make the conclusion to scale back
your marketing plan in order to diminish expenses.
Competitive Factors
The competitive background a small commercial faces is constantly shifting.
New opponents enter the market. Existing competitors unveiling new products and
services and take aggressive steps such as cutting prices.
You have to adjust your strategies and implementation steps to counter actions taken by
your competitors.
Delays in Project Completion
Implementation of a strategy may require the completion of a series of steps by different
departments within your organization.
If one department can’t complete its assigned projects on schedule, implementation of the
strategy will be delayed.
For example, you may plan to launch a new product in the upcoming year, but if delays in
product design or prototype testing occur, your strategic implementation will also be
delayed.
2.
Give two examples of risk management strategies that can be used when developing and
implementing strategic plans.
Avoidance of Risk
The easiest way for a business to accomplish its recognized risk is to sidestep it altogether. In its
most common form, avoidance takes place when a business refuses to engage in activities known
or perceived to carry risk of any kind.
Risk Mitigation
Businesses can also choose to achieve risk through mitigation or reduction. Mitigating business
risk is meant to lessen any negative moment or impact of specific, known risks, and is most often
used when business risks are obligatory.
3. Give an example of a risk management strategy that can be used to manage intellectual
property risks inherent in strategic planning.
Confirm that all employment contracts include a section that states that the individual will not
bring any intellectual property established for a third party or earlier employer into your
company. Point this out and confirm they understand what this means. It is never a bad idea to
have them exactly initial this clause in the engagement agreement to accentuate its importance.
Ensure all your employees sign a confidentiality agreement that states they will not disclose any
intellectual assets or trade secrets if they leave the company. It should also state that anything
they create during their employment with your company belongs exclusively to your company.
4.
Outline the benefit of conducting a SWOT analysis as part of a strategic planning process
and how a SWOT analysis is conducted.
