BN4206 L7 Risk & Value Management Assignment Brief | University of Central Lancashire

THE BRIEF/INSTRUCTIONS

Choose an industry and a specific product. You are a project manager  in Stanbor Ltd. which manufactures the specific, named product you have  chosen. The main business of your company is the manufacture of the named  product which is distributed throughout the UK and Europe.

Your company’s factory is situated inside the Industrial Park of Shaby town in the UK and is close to three housing estates and a small village, which in  total have a population of about 3000 people (See map below). River Sleez passes  directly alongside your factory’s site boundary. The river is a successful habitat  for several kinds of fish and supports a thriving local small-scale fishing industry.

Recent incidents of flooding and explosions at the factory site have had  significant negative impacts on Stanbor Ltd.’s operations and adversely affected  the local population. As a result, a significant section of the community and some  environmental activists are demanding the closure and removal of the factory  from the present location and threatening legal and other actions against the  factory. In response to these threats, some of Stanbor Ltd.’s major shareholders  have proposed the relocation of the factory to a safer location. The relocation will  involve the construction of an entirely new factory with state-of-the-art  technology and systems. Five proposals (1, 2, 3, 4 and 5) in five different  locations have been put forward by different shareholder groups.

You are required to carry out the following tasks:

1. Prepare a disaster recovery plan for some possible hazards to your  company’s operations and environment in the current location. The plan  must include 2 environmental hazards and 2 technological hazards. The  format of your report should include a profile of the hazards as well as the  contingency plan and disaster response for each hazard.  

2. Assuming the board of directors of your company has approved the  proposed factory relocation project, identify and profile the possible risks  which can affect the project and prepare a quantitative assessment of the  project risks using an appropriate risk register. 

3. Explain the concept, processes and application of the Combinex®  methodology. With your own appropriate value assumptions and scores,  evaluate the 5 proposals using the Combinex® methodology to recommend  the best option to the board of directors based on the following attributes: 
• Capital costs (CC) 
• Operation and maintenance costs (OMC)  
• Risk levels (RL) 
• Locational factors (LF)- ease of transportation of raw materials and  finished goods  
• Environmental impact and sustainability (EIS)

Assessment Criteria

1 Hazard identification and profiling, Contingency plans & response strategy

2 Identification and brief profiles of appropriate project risks, Quantitative risk analysis with appropriate responses using an  appropriate risk register 

3 Clear discussion of the concept, processes and application of  the Combinex® methodology

Detailed analysis of the 5 project proposals using the  Combinex® methodology to choose the best option
Report presentation, quality of communication, research, and  Harvard style referencing

Learning Outcomes Assessed (from the Module Descriptor, available on  Blackboard):

LO1 Demonstrate an understanding of and the ability to identify and quantify risk and value at both  the strategic and project levels 

LO2 Develop and apply systems and tools to the management of risk and value

LO3 Develop and justify contingency and disaster recovery plans