Probability Impact

1 Rare 1 Insignificant
2 Unlikely 2 Minor
3 Possible 3 Moderate
4 Likely 4 Major
5 Almost certain 5 Catastrophic

Operational Risks
Probability of
# Risk Impact
occurrence
R1 Fire in the factory 3 4
R2 Labor strikes 3 3
R3 Problems with suppliers 3 3
R4 Breakdown of equipment 3 3
R5 Slippery floor in the factory 3 2
R6 Inadequate occupational health safety 3 3
R7 Noisy surroundings 1 3
R8 Industrial machines accidents 2 2
R9 Employees personal conflicts 3 2
R10 Electricity shocks 2 2
R11 Collapse of the structures 2 4
R12 Terrorist attacks 1 4
R13 Robbery attacks 1 3
R14 Natural disaster 1 5
R15 Delay/Scarcity of raw materials 2 4
R16 Supply and demand risks 1 4

Operational Risks
5
R14

R16 R11
R1
4 R12 R15

R7 R2 R3
3 R4
Impact

R13 R6

R8 R5
2
R10 R9

0
0 1 2 3 4 5
Probability of occurrence
Financial Risks

Probability of
# Risk Impact
occurrence
R1 Fraudulent risk 2 3
R2 Lack of financial management experience 2 4
R3 Foreign exchange risk 3 3
R4 Lack of liquidity 3 4
R5 Deficit in cashflow 3 3
R6 Unfavorable supplier cartel 2 2
R7 Market risk due to financial instruments movement 3 2
R8 Asset bubble 1 2
R9 Credit risk 3 3
R10 Inherent risk 2 3
R11 Bankruptcy 2 5
R12 Taxation risk 2 2

Financial Risks
5 R11

R4
R2
4

R1 R3
3 R10 R5 R9
Impact

R6 R7
2 R8 R12

0
0 1 2 3 4 5
Probability of occurrence
Business Risks
Probability of
# Risk Impact
occurrence
R1 Competitors unethical business practices 2 2
R2 Ineffective in-house marketing strategy 2 3
R3 Lack of products and marketing innovation 2 1
R4 High rates of labor turnover 2 3
R5 Inadequate labor knowledge transfer 3 2
R6 Inadequate investment in R&D 3 2
R7 Low barriers of market entry to competitors 4 3
R8 Rapidly changing consumer lifestyle 5 2
R9 Unfavorable government policies 4 3
R10 Hostile macro-business environment 3 3
R11 Sub-standard supply of raw materials 3 3
R12 Breakdown or inaccessibility of infotech operations 3 3
R13 Unstable international relations and or economic environment 3 2

Business Risks
5

R2 R10 R7
R4
Impact

3 R11 R12 R9
R1
2 R6 R13 R8
R5
R3
1

0
0 1 2 3 4 5
Probability of occurrence