I acknowledge that copying someone else's assignment $($or part of it$)$ is wrong, and

declare that my assignments are my own work.

Mark allocation

Each question receives a mark allocation. However, you will only receive a final percentage

mark and will not be given individual marks for each question. The mark allocation is there

to show you the weighting and length of each question.

Assignment questions

This assignment requires that you assess the risk rating of $5$ risks that can potentially

affect the Innov$8$ company from the case study provided. The case study describes the

risks that the organisation is facing in a broader context. Below that you will find the $5$

risks described in more detail. You have to assess each of the $5$ risks and determine where

they fall on the Risk Rating Matrix below. Each risk should be assessed for impact and

likelihood over a one$-$year timespan.

The Impact Assessment criteria are provided after the case study, to explain Innov$8\text{'}$s risk

appetite, or the characteristics that define each level of impact severity.

You have been given enough information to determine each risk's position on the matrix.

To demonstrate the determination of a risk's position, the following example is provided:

ABC manufacturing co$.$ is concerned with their newly developed product not meeting

customer expectations. The Marketing Director believes that it is likely that a major

proportion of the customers will be negatively affected.

To determine the position on the risk matrix, you will need to identify both the impact and

the probability. Given the information you have, the best assessment of impact would be in

relation to the customer on the Risk Impact Assessment Matrix. Reading through the

narrative, you see that a "major impact on customers" implies a "high" rating on the matrix,

i$.$e$.$ the second row from the top. From a probability perspective, you read that it is "likely",

i$.$e$.$ a probability of $70\%-90\%$ on the Risk Rating Matrix, which equates to the second column

from the right. The two columns intersect at VH$16$ on the Risk Rating Matrix, which is where

the result should be plotted.

Case Study: Innov$8$

Innov$8$ is a public company listed on the JSE and as such their focus is on delivering long$-$

term value to the shareholders. They design, manufacture and assemble computer chips

which automate many of the functions for the luxury car market, particularly the ABS

braking and fuel injection systems. Fully $60\%$ of the of its inventory purchases, which are the

parts being used in the manufacturing process, are imported from Japan. Manufacture and

assembly $i{s}_{{?}_{?}}$ done in South Africa using local labour, and then the final product is supplied to