Identify the key risks and illustrate the risk assessment » Full Grade
Assignment Instructions
Save your time - order a paper!
Get your paper written from scratch within the tight deadline. Our service is a reliable solution to all your troubles. Place an order on any task and we will take care of it. You won’t have to worry about the quality and deadlines
Order Paper NowAssignment ID: FG133137061
Question – Sinar Bhd. (Sinar) is a listed company in Bursa Malaysia. It was founded many years ago. It is located in Kajang, Selangor. Under the listing rules and regulations, the company is required to have an Enterprise Risk Management system as part of corporate governance to safeguard the stakeholder’s interests.
Sinar has a large warehouse. It provides storage spaces for insulation materials for electrical manufacturers located in the Klang Valley. In recent years, flash floods occur quite often in Kuala Lumpur and Kajang is of no exception. Insulation material that is stored in the warehouse is flammable. The internal auditor has highlighted to the management that the store hands have manipulated the client’s stock level balances, resulting in bad reputation. Accordingly, a report was submitted to the Risk Management Committee to review the company’s internal control in their next meeting.
Growth of the warehousing industry is slow, as most industries are affected by the Covid-19 pandemic. The Board of Directors has decided to diversify into the generation of green energy using solar panels. This industry has attracted many investors. The capital outlay is large and the finance director commented that the company current liquidity is an issue. The company’s gearing is high and it is very difficult to obtain additional finance from the local financial institutions to fund this green energy project. Besides, receipts from trade debtors are slow and debtors outstanding at end of each accounting period is significantly high.
Required –
(a) Identify the key risks and illustrate the risk assessment on the storage of insulation materials using the concept of impact and likelihood approach. Recommend how the risks could be managed and mitigated by Sinar Bhd.
(b) Identify THREE (3) the risks could be managed and mitigated by the company.
(c) Discuss FIVE (5) reasons why corporate governance is important to multinational companies.
Looking for a Similar Assignment? Let us take care of your classwork while you enjoy your free time! All papers are written from scratch and are 100% Original. Try us today! Use Code FREE15
Chat with us on Whatsapp