Running head: CASE STUDY 1

British Petroleum made it clear that their main goal was the focus on oil expansion and production. They created a culture, which made it look like some degree of risk was allowed to have some jobs done. The environment is the last level one category present. Since conditions were not ideal, British Petroleum thought of expanding their exploration in some parts of the world, dangerous. Surprisingly they lacked resources to support the crew. Similarly, they did not comply with the locations' safety regulations since they did not regulate the exploration as done by the US (Shekari et al. 2019).

Subsequently, the possible risks consumed remained recognized; the scheme team then assesses apiece danger founded on the likelihood that a danger occasion will happen and its possible loss. Non all risks are equivalent. Risk proceedings are more probable to occur than others, and the price of risk can differ significantly. Assessing the danger for the likelihood of incidence and the harshness or the possible loss to the scheme is the following stage in the risk organization process.  These are the dangerous few possible risk proceedings that the scheme organization team must emphasize once emerging a scheme risk extenuation or organization plan. Danger assessment is about emerging a sympathetic of which possible dangers have the utmost option of happening and can have the utmost negative influence on the scheme (Haer et al. 2019).

The risk verge is distinct as a development management instrument to quantity the grade of doubt and the equal of impact in which a investor or group may have an attention. As the designation suggests, it sets a sure worth that the investor or group will receive a specific risk or not. Fair put, it is the amount of risk that managements and stockholders are eager to take. The risk verge is measured as an extra step in risk liberality; thus, it totals the risk broad-mindedness with an careful number. This revenue that though risk broad-mindedness has limits, the risk verge gives an exact number of the danger. Conclusive, the risk verge needs sessions and conferences with savers. This is vital to find out about what their danger hungers are. Originated on their risk hunger, the scheme boss must scrutinize the danger liberality first before devious the edge (Haer et al. 2019).

The risk verge is a quantity of risk that a group or discrete is eager to receive. Roughly for your scheme, a 10,000 USD price swarming is satisfactory to your group, but no additional. Rendering to the PMBOK Attendant, the 6th version, "Risk verge is the equal of contact above which risks are addressed and below which risks may be accepted." The risk verge is the following stage up after risk broad-mindedness; it counts the risk broad-mindedness with an exact number. You take restrictions in risk broad-mindedness, but in risk verge, you have an amount. For instance, your group cannot income a danger with an influence of extra than 10,000 USD. The verge is the border outdoor, which your collection will not attitude the danger. Nowadays, your verge is 10,000 USD. Your determination grasp meetings and conferences with investors to determine their risk hunger and examine their risk broad-mindedness. Later, you will describe the risk verge (Haer et al., 2019).

Haer, T., Botzen, W. W., & Aerts, J. C. (2019). Advancing disaster policies by integrating dynamic adaptive behavior in risk assessments using an agent-based modeling approach. Environmental Research Letters, 14(4), 044022.

Schneider, D., & Trapp, M. (2018). B-space: dynamic management and assurance of open systems of systems. Journal of Internet Services and Applications, 9(1), 1-16.

Shekari, E., Khan, F., & Ahmed, S. (2019). Dynamic risk management of assets susceptible to pitting corrosion. Corrosion Engineering, Science and Technology, 54(6), 463-475.

Risk Workshop and Risk Register

Student’s Name:

Institution Affiliation

Date of submission

Introduction

In this report, I will be looking into the risk register by British Petroleum and providing all the necessary details about the company's pre-workshop activities under discussion. In my report, I will be looking at the risk workshop plan found in the course materials. I will also look into the risk register identifying the different risk register threats basing on the different levels they are within, which are an essential part hen coming up with the risk register. The report will also look into the probabilities of the identified risks and their impacts upon British Petroleum after the in-depth analysis of the potential threats within the risks. To analyze the importance of the risk, I will discuss the organization's risk opportunities and opportunities. 

Pre-workshop Activities

The pre-workshop entails looking into the people, devices, and programmer for conducting the workshop. The project supervisor is responsible for evaluating, organizing, and assembling the required resources to effectively conduct the workshop. First of all, the project coordinator will assess and identify all the workshop participants who take part in an essential responsibility in the workshop. In this case, the participants will be British petroleum employees since it is not a new market. Certain groups of individuals form the participants, including the project support, supervisory crew for the organization, and Microsoft. 

Pre-work is an essential procedure to be conducted by an organization before carrying out the actual workshop risk. Some of the actions that need to be performed include establishing and agreeing on the workshop goals to be carried out, establishing whether there is a need to select an outside facilitator for the workshop, organizing and taking any necessary pre-workshop tests, identifying the individuals, groups, and stakeholders that will take part in the venture and the preparation of the workshop plan and presenting it to members prior the workshop.

Prepare a risk workshop agenda based on Figure B-8,

The first morning of the workshop is critical to plotting precisely how we will go through the following 48 hours together. The presentation is significant on the grounds that we are being individuals together some unexpectedly and this would fill in as an ice breaker. This makes everybody acquainted with the individuals in the room and gives them a face with a name to reference. This additionally offers everybody a chance to distinguish the individual of interest who may affect their zone of core interest. Having this included helps break the ice with everybody and makes the gathering individual. The following thing to examine would be the guidelines. Understanding the lines or regard for one another is significant if this undertaking is to be fruitful. The goal and extent of the undertaking should be unmistakably characterized. It assists everybody with pursuing one shared objective and let them understand what their cutoff points are with regards to chance in the task. Last before lunch would be the danger the board brief. It is essential to get danger and how it tends to be overseen in our individual zones of core interest.

In the early evening, we would dive into the meet of the workshop. We would plot the desires and result to everybody. This would promote more commute home what is required. At that point we would begin to distinguish all the conceivable danger. Nothing would be excused. All contemplations and conceivable outcomes would be recognized. We would then assess the danger that were recognized. At that point would then offer us a chance to draw the rundown down. Followed would be the danger reaction. We would have the option to recognize on the off chance that we really had all the notable individuals at this workshop or were there things that had not been thought of. After all realize all our danger would permit us to be ready for the chance of them really happening.

The morning of day two would start with a recap of what occurred yesterday to realize where to start. This would likewise offer us a chance to perhaps proceed in the event that we couldn't complete the conversation for hazard reaction. We would then officially report all our danger which has been recognized. Having all prospects considered is in every case in a way that is better than not being set up by any means. We would then framework the probability of the danger happening and the effect it would have on the undertaking. The probability would not have more weight than the effect in this circumstance. We would need to guarantee we focus on the high effect yet low likelihood hazard. The beneath outline Figure 1, gives a perspective on how our interests should be graphed. This will at that point permit us a simpler method to figure out what positioning our danger ought to have. This will at that point help our work force distinguish where and how our assets should be allotted to react to the danger in the event that it happens.

The evening will comprise of wrapping up our workshop. We will relegate danger to the proper regions and distinguish the zones who might be influenced to give help. We would then build up a configuration for hazard update. As we understand what danger to expect and probability when they will happen would have them continually checked. This would require a stand design for report the advancements of the danger distinguished. The arrangement would likewise contain a spot to distinguish if the danger must be expanded or decline and the purpose behind the change. At that point would then we surveyed and decided on by the partner. At long last, we would conclude the workshop. Being certain to address any extraordinary inquiries which might be waiting. We would give a way to pose inquiries later if any creates and would prompt all that the minutes and records of the workshop would be conveyed to all the next week.

Risk Registers

British Petroleum contains the following entries in the risk register, with all the details mentioned in 5 columns. The risk register clearly mentions everything that is required in a risk register for British Petroleum.

Justification of Probability and Impacts of Threats

I. Improper training

The state of work safety and health administration is an essential part to an organization. It is true that untrained workers are more vulnerable to injuries at the workplace. This is so since when workers are not adequately trained, they lack the necessary knowledge and skills in utilizing the equipment’s and tools provided for their safety. In case a risk occur in such a place that utilizes heavy machinery and dangerous materials such as petroleum, the incident will be fatal, (Smith, 2018).

II. Wrong technology set up

There is need to change the operation culture within the organization since there are a lot of modernization that come with inventions and coming up with new ways to do things. As technology expands, it also becomes more dangerous in the event that it fails. The operators of this technology also operate under high pressure by the organization to economize the cost, perfume duties within the specified time, and maximize profits. In the short run the process will yield desirable results blinding the organization from looking at the larger picture. In this case, the safety culture is given less weight as compared to the need to meet deadlines and maximize profits.

III. Inefficiency of funding addressed safety issues

In a workplace where employees are required to undertake physical duties such as working as a foreman or at a warehouse, lack of adequate training to such an employee would be so dangerous to their health and a violation of the federal health and safety law. It is a requirement by the work safety and health administration that the employer should inform and educate the employees on all the procedure to make sure that they observe the health and safety policies. When the organization is unable to adequately fund the training, repairs and the preventive measures can lead to massive loss for the organization

IV. Increased government regulation

There are many guidelines that have been put forth by the government to control organizations. The organizational be forced to change the way they operate the moment the guidelines change. There are several guidelines like Exchange guidelines that outlines the lowest pay as regulated by the law and licenses which has adverse effect on the organization. In most cases the origination will have to spend a lot of money bin order to conform with the set regulations of which in the long run ends up to bring loses within the organization. The increase in government regulations will increase the cost of operation of the organization bringing about a negative impact, (Pardue, et al, 2020).

V. Consumer opinion:

The increase by the organization to look into the concerns of employees in the workplace and the effects that the organization has in the environment it is operating is a challenge British Petroleum. The opinions by the customers and their trust in the organization reduced significantly after the tragedy that happened leading to the death of workers. The loss of trust by the customers and negative opinions can lead to losses in the organization since the customers will tend to prefer shopping in other organizations that they feel more secure. There is need for the organization management to advance security and the environment within they operate, (Project Management Institute, 2016).

Opportunities

It is significant that opportunities be recognized during the hazard workshop. Opportunities are risks that on the off chance that they happen, positively affect at least one anticipate destination.

· Work efficiency increased and product outcome

On the off chance that organization can deal with their financial plan on the plant recuperation, they won't have more fatalities, item result failure and different issues. Since the laborers are given proficient work preparing, wellbeing climate, they could simply zero in on their obligations and work all the more productively.

· Gain profit and company reputation

Due to those issues, the organization lost their standing and offer cost plunged. To uncovered various bits of proof to propose that wellbeing at the treatment facility was being undermined as fixes or overhauling were not successfully finished in endeavors to set aside cash or when laborers basically couldn't follow the security methodology. A report in the Financial Times specifies ―broken alerts, diminished line, lumps of cement falling, jolts dropping 60 feet, and staff being overwhelmed with exhaust just as ―numerous laborers at the plant griping of weight not to report wounds and wellbeing infringement. To get back their standing on the lookout, they shouldn't reduce their expenses and burning through cash on perfect spot, (Hunter & Trevor, 2018).

· Company growth

Running Head: RISK WORKSHOP AND RISK REGISTER 1

RESK WORKSHOP AND RISK REGISTER 10

After every one of these issues unraveled, the organization could zero in on their future, for instance, opening new plant, growing the plant, creating new item and so forth Their future is more splendid and addition to an ever increasing extent

Justification of Probability and Impact for Opportunities

Venture the board includes specialists from various societies, dialects, and countries. The language boundary has consistently been a basic test in the venture the board when all is said in done. Be that as it may, in the Risk Management Plan, the pioneer is relied upon to gadget and evaluates potential obstructions to the executives of plausible risks and their effects. As recognized in rule number three dialects are a key component for correspondence. Compelling correspondence gives the premise of getting, coordination, and company. In zones 2 and 3, correspondence will restrict access to significant data notwithstanding the exchange of crucial data to the accomplishment of the undertaking (Smith, 2003). Language hindrance helps in correspondence breakage crashing the channel and sourcing of data from one gathering to the next.

Capacity to move the way of life to accentuate representative and natural wellbeing:

This thing was introduced as a hazard beforehand but at the same time is a chance. In the event that BP can effectively incorporate and set up representative and condition wellbeing as central to their corporate culture, they can set another way ahead.

Increased government regulation:

This thing was recently introduced as a hazard but at the same time is a chance. In case of expanded government guideline, BP is compelled to improve security and hazard. While guideline that requires an organization to build burning through regularly disapproves of BP ought to consider this inspiration to make a move on things that as of now ought to have been thought of. Expanded guideline ought to be seen as inspiration, (Hillson & Simon, 2017).

Consumer opinion:

The court of public opinion is another potential risk turned opportunity. BP has the opportunity to make significant changes and strengthen its brand in a way that consumers no longer associate the company with loss of life and environmental detriment.

References

Hillson, D., & Simon, P. (2017). Practical project risk management the ATOM methodology. Tysons Corner, Va.: Management Concepts.

Hunter, Trevor (2018). British Petroleum (PLC) and John Browne: A Culture of Risk Beyond Petroleum (A) [Case study]. Ivey Publishing.

Pardue, H., Landry, J. P., & Yasinsac, A. P. (January 01, 2020). E-Voting Risk Assessment: A Threat Tree for Direct Recording Electronic Systems. International Journal of Information Security and Privacy (ijisp), 5, 3, 19-35.

Project Management Institute. (2016). A guide to the project management body of knowledge (PMBOK guide). Newtown Square, Pa: Project Management Institute.

Smith, S. (2018, September 12). ExxonMobil Chemical Co.: 'Nobody Gets Hurt' Retrieved August 01, 2016, from http://ehstoday.com/mag/ehs_imp_36584

Morning

8:00am Introductions

8:30am Workshop rules

9:00am BREAK

9:15am Confirm project objectives

10:00am Confirm scope of risk

11:30am Risk management briefing

Noon LUNCH

Afternoon

1:00pm Expectations and Results

1:30pm Identify risks

3:00pm Evaluate Risk

4:00pm Discuss risk response

5:00pm Adjuorn

Morning

8:00am Recap of risk identified

8:30am Document risk

9:30am BREAK

9:45am Assess risk probability and impact

11:00am Risk ranking

Noon LUNCH

Afternoon

1:00pm Risk assignment

2:00pm Develop format for risk update

3:00pm Close workshop

DAY 1

DAY 2

Running Head: Dynamically Managing Residual Risk 1

Dynamically Managing Residual Risk

[Institution affiliation]

[Course]

[Date]

Question 1

An organizations ability to handle risks is measured by the Critical Success Risk Factors (CSF). The CSF highlights essential factors an organization should mandatorily possess to mitigate various risks. In this case, study, The Critical Success Risk Factors play a significant role. To begin with, the British Petroleum facility in Texas experienced an explosion in 2005. This should have led to alteration in the manner in which they operated. The initial step in the CSF is organization to provide support to their pool of employees. (Zafar, 2010). 

In the British Petroleum case in 2005, the explosion did not provide a suitable environment for their employees. The organization paid more focus into making profits at the expense of employee safety. Their stock price decreased by $7 dollars after the explosion. Top management struggled putting a Band-Aid to the problem rather than finding a suitable solution to it. Employee were not well equipped on how to properly handle and respond to explosions. Likewise, after the occurrence of the incident, the organization also did not train the employees since they were ignorant to realize that the company had a problem. (Hunter, & Richard, 2008). 

Majority of organizations often conduct training to their employees based on lesson learnt from unfateful event in a bid to prevent further occurrence of the same. Since they feared that their stock price could experience another further drop, they dint pay attention to the company problem. After an investigation chaired by the BP with assistance of the former Secretary of state, John Baker, an independent investigation was conducted by the US Hazard Investigation Board and the US Chemical Safety and it was found that BP had been ignorant in their operations. The investigation between BP and Baker made it appear like the organizations operations were on par with the federal safety implications. However, this was proved otherwise by the independent investigations.

Through the research conducted, it was discovered that the safety deficiencies were apparent to al levels s of the organization. It was clear that British Petroleum was more concerned with profit maximization motive as opposed to employee safety. No evidence of formal or on-job-training was provided. Focus was more on productivity. According to Critical Success Factors, it recommended to have competent personnel in all organizations level to help in risks mitigations.

If training were conducted, the operation of the British Petroleum could have been efficient that could have led them to focus more on employee safety as opposed to profits. It was apparent their the focus for profits cost them more since stock value decreased as a result of the 2005 mishap as well as Deep Water Horizon (DWH) explosion and oil spills. With regard to supporting infrastructure, they had expanded their branches to many parts of the world.

Since some of their locations were not that stable, they were used to taking a number of risks. It began with oil exploration in the Middle East. The region was rampant with internal conflicts during that time which they knew from the beginning. They accepted any risk that would arise therein seems they had a strong belief that the only way to be successful in business is only through taking of risks. This idea from the start created an environment for oil exploration and its production.

Their main aim was to engage in whatever it takes to increase barrels they daily produced. Although the main aim of the British Petroleum was to produce oil, views changed as soon as John Browned was hired as a chief executive officer who ended up changing the organization culture of BP. John Browned did not only shift focus for creative more of alternative energy but also he brought into focus employee safety.

Question 2

The advantage of British Petroleum (BP) aggressiveness created an opportunity of control over their operations. They were willing to venture into parts of the world that seemed unfavourable for business. British Petroleum (BP) explored over 25 countries, which produced more than 4 million barrels daily. They had the willingness to enter into risky ventures in a bid to grow their organization. In as much as they risks they took had brought certain negative impacts, they success is owed to risks they per took. BP was willing to adopt change on the organization culture of the oil industry through advocating for change.

John Browned thought of BP being socially responsible. They became the first oil organization to announce publicly that they are to going to create more alternative energy as well as investing in environment protection. John Browned was interested into improving the organizations mage since they were under scrutiny. Texas refinery, which was acquired by British Petroleum in 1999, became the third largest refinery in United States. The organizations had prior occurrences, which led to the 2005 explosion, which could have given rise to certain issues.

Question 3

The first action that British Petroleum should execute is to engaging into how to improve their infrastructure. According to the Finical Times, a number of defects of BP were pointed out that could have been addressed promptly. BP could have created better working environments for their employees since it encompasses the risks. BP needs to shift focus from business expansion in various parts of the world to improving the pre-existing facilities they host. The implication of this is that workers will have a sense of pride since the organization cares about their safety.

Secondly, the British Petroleum should organize for training and safety talks. For an instance, if an employee dies in the event of a mishap, that incident should be thoroughly reviewed and used as a training tool. This can prevent the occurrence of similar risks in the future. Military applies this technique in their various branches. From past mishaps, they conduct training to come up with best practices. If such occurrence happen again, they will have safety stand-down from the operation to aid in reassessment of the operations. The main objective is to determine the cause of the incident and address it effectively. In the case of the British Petroleum, they have failed to implement policies, which need facilities to help in investigation of mishaps and to conduct which will work towards preventing them. (Hunter, 2008).

Last but least, the British Petroleum need to have in place continuity with the rest of their facilities within America. The BP case study suggests, “Each refinery has their own separate and distinct process safety culture”. It goes further to state that some refineries are good in promoting employee safety while other do not meet the standard. In my opinion, BP should look for an independent organization that will develop safety audit as well as conduct safety audits of their facilities. Both safety stand-own and training should be carried out at each facility to reaffirm the British Petroleum stance on safety wit their pool of employees.

Question 4

The first risk category that is evidenced with BP is operations management. It was clear that the management had failed to take correct measures to prevent future occurrence of the same events. Level two category could have consisted of facility supervisors and corporate supervisors. The next category would be internal factors. It is no doubt that the working environment was very poor. BP was under a lot of pressure to produce oil. Due to this, they ended up making irrational decisions since they did no welcome the idea of loosing their jobs.

British Petroleum made it clear that their main goal was the focus on oil expansion and production. They created a culture, which made it look like some degree of risks were allowed to have some jobs done. Environment is the last level one category present. Since conditions were not ideal, British Petroleum through of expanding their exploration in some parts of the world which are dangerous. Surprisingly they lacked resources to support the crew. Similarly, they did not comply with safety regulation in the locations since they did not regulate the exploration as done by US.

References

BP Case Study: After the Deepwater Oil Spill. (2012). Place of publication not identified: Datamonitor Plc.

Hunter, T., & Richard Ivey School of Business. (2008). British Petroleum (PLC) and John Browne: A culture of risk beyond petrol (A). London, Ont.: Richard Ivey School of Business, University of Western Ontario.

Zafar, H. (2010). Critical Success Factors for an Effective Security Risk ManagementProgram in an Organization: An Exploratory Case Study.