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Environmental and Cultural Impact on Risk

Organizational and project risks can originate from various sources, and stakeholders can take a number of stances in response to prepare for possible risk. In the same way that individuals of varying age, gender, and socioeconomic status encounter and respond differently to distinct risks, the nature of an organization’s product or service influences the types of risk it will incur and the responses available to it. If you think about a time in your own life when you have tried to anticipate and plan for the future, you may have realized that a strategy that proved effective for a family member or co-worker was not equally effective for you.

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The PMBOK® Guide (Project Management Institute, 2017) refers to these environment/cultural aspects as Enterprise Environmental Factors and suggests that these factors play an important role in managing risks.

For this Assignment, read Chapter 1 and Appendix 1 in Fundamentals of Enterprise Risk Management (Hampton, 2015). Considering the Russian Frozen Chicken case study.

Now answer the following questions in 2- to 4-page paper (not including the title and reference pages).

  • How did the environment/culture surrounding the buyer (Russian company) impact the risks that were identified on this project?
  • How did the environment/culture surrounding the buyer (Russian company) impact the choices available for risk responses?
  • Considering the risks and the responses made by the buyer, would you have made the same choices? If not, what choices would you have made? Explain and defend your choices.

References:

Hampton, J. J. (2015). Fundamentals of enterprise risk management: How top companies assess risk, manage exposure, and seize the opportunity. New York, NY: American Management Association.

Project Management Institute. (2017). A Guide to the Project Management Body of Knowledge (PMBOK® Guide). Sixth edition. Newtown Square, PA: Author.

Rubric

Element 1: Environmental and Cultural Impact on Identified Risks

Provide a thorough and detailed explanation of how environment/culture impacted risks identified in a case study project from the buyer’s perspective. There are no errors or missing details. Relevant resources are provided to support the response.

Element 2: Environmental and Cultural Impact on Risk Responses

Provide a thorough and detailed explanation of how environment/culture impacted risk responses in a case study project from the buyer’s perspective.

Element 3: Risk Response Options

Provide a thorough and detailed assessment of the buyer’s risk responses in a case study project.

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