Technology Obsolescence Technological shift rendering the Companys production

Technology obsolescence technological shift rendering

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Technology Obsolescence Technological shift rendering the Company’s production process inefficient Assessment: Likelihood: Medium Impact: High Intellectual/ Manufactured Capital External Major investments are made regularly to continuously improve product quality and process efficiency. Addition of Vertical Grinding Mills to produce finer quality of cement is one such example. The company has always led by bringing innovative technologies to its processes. Maintenance Risk Possibility of production loss due to capacity or breakdown factor. Assessment: Likelihood: Low Impact: Medium Manufactured Capital Internal Effective technical monitoring programs with regards to preventive maintenance are in place to ensure maximum plant efficiency and capacity utilization. Employee Retention and Succession Planning It is critical for the company to attract, develop, and retain the right talent to accomplish the company’s objectives. Succession planning is needed to ensure that the company has sustainable operations. Assessment: Likelihood: Medium Impact: Low Human Capital Internal Efforts are made to ensure growth and well-being of employees. As we greatly value our human capital; various programs are in place to identify and develop high potential teams. Initiatives are taken to increase workplace diversity, resulting in a more effective workforce. Strategy on succession planning is in place to support the management in assessing employee performance for future growth and identify potential placements. Information System Risk Loss of confidential information due to data theft IT Systems becoming unavailable because of System/Network failure, cyber-attacks etc. Assessment: Likelihood: Low Impact: Medium Financial Capital Internal / External Information is transmitted through secure connections and firewalls are in place to prevent malicious activities. Appropriate data back-up mechanism is in place. Moreover, alternative data processing sites are also available. Periodic systems audit is performed to identify any weaknesses / non-compliances and any areas for further improvements. Moreover, periodic log reviews further ensure that system related controls are in place and working effectively. 63 20 19
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FINANCIAL RISKS Type of Risks Area of Impact Source of Risk Mitigating Action Credit Risk Risk of default by Company’s customers to discharge their obligations and cause financial loss to the Company Assessment: Likelihood: Low Impact: Low Financial Capital External Lucky Cement extends credit only to Government institutions or against appropriate security and the risk is managed through established limits. Credits are selectively given considering the business potential and risk appetite of the Company. The Company regularly reviews and monitors the credit position and credit worthiness of its customers. Such credit reflects a fractional part of company’s sales. Interest Rate Risk Risk of Return’s rate fluctuation affecting value of interest-bearing assets Assessment: Likelihood: Medium Impact: Low Financial Capital
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  • Fall '19
  • Corporation, Types of companies, Limited Liability Company, Limited company, Kyoto Protocol, Lucky Cement, Karachi

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