Interested Parties List

Interested Party Int / Ext

Certification Body External
Direct Customer External
Employee / Staff Internal
End User External
Investors Internal
Labor Union Representatives Internal
Local Community External
Partners Internal
Public External
Regulatory Body External
Supplier External
Top Management Internal

1
2
Interested Parties List
Reason for Inclusion
Audit for ISO compliance, issue certifications
Purchase our products and services
Directly responsible for manufacture of products, delivery of service
End user of our products and services
Have direct concern over the financial health of the company
Concerned with compliance to labor contract, represent workers
Impacted by our activities in the region
Assist in financial support and management guidance of the company
Concerned with compliance to labor contract, represent workers
Mandate regulatory requirements
Provides our raw materials and critical support services
Has direct responsibility for management of the company

3
4
 11

5
6
 Issues of Concern

Issues List
Ln Interested Party Issue of Concern Bias Processes Affected Prioritiy Treatment Method Record Reference / Notes
1 Certification Body Level of compliance to ISO 9001. Mixed Process 1 Low Internal Auditing See audit records

3 Employee / Staff Expect to be compensated Risk QMS Management Medium Manage company finances appropriately Financials (confidential)
4 Employee / Staff Expect satisfactory equipment, facilities Risk QMS Management Low Internal Auditing , Maintenance programme See audit records
5 Employee / Staff Require appropriate training Risk QMS Management Medium Training provided, assessed through audits See training records

7 Management Company must remain financially healthy Risk QMS Management Medium Manage company finances appropriately Financials (confidential)
8 Management QMS processes must be efficient Risk QMS Management Medium Internal Auditing See audit records
9 Management Concerned with growth of company Opportunity QMS Management Medium Management Review Activity See Opportunity Register

11 Direct Customer Expect high quality products Risk Manufacturing Medium Risk Register / FMEA See Risk Register Line 4, 7, 15
12 Direct Customer Expect on time delivery Risk Manufacturing Medium Risk Register / FMEA See Risk Register
13 Direct Customer Could be source of referrals to new customers Opportunity Quoting and Orders Medium Marketing Enhancement See Mgmt Review records
14 Direct Customer Flows down QMS requirements Risk Quoting and Orders Medium Internal Auditing Internal audit records

16 Local Community Expect us not to pollute environment Risk QMS Management Low other
17 Local Community Expect us to be good citizens locally Risk QMS Management Medium Other Good management practices
18 Local Community Hope we will hire and retain local workers Mixed QMS Management Low No Action: Accept Risk per Mgmt Decision We do this naturally
19 Local Community Can provide positive press Opportunity QMS Management Low No action, proceed normally for now Maintain good relations locally

21 Regulatory Body Must comply with all regulations and statutes Risk QMS Management High No Action: Accept Risk per Mgmt Decision Do this as normal part of business

23 Supplier Expect to be paid promptly Risk Purchasing Medium Manage company finances appropriately Financials (confidential)
24 Supplier Require clearly defined requirements Risk Purchasing Medium Risk Register / FMEA See Risk Register
25 Supplier Require adequate notice of rush jobs Risk Purchasing Medium Risk Register / FMEA See Risk Register
26 Supplier Vendor performance impacts on our reputation Mixed Purchasing Medium Vendor Auditing Flowdown of reqs on POs; auditing if needed

30
31
32
33
34
35
36
37
38
39
40
41
42
43
44
45
46
47
48
49
50
51
52
53
54
55
56
57
58
59
60
61
62
63
64
65
66
67
68
69
70
71
72
73
74
75
76
77
78
79
80
81
82
83
84
85
86
87
88
89
90
91
92
93
94
95
96
97
98
99
100

7
Ln
Process
#

Human Resources

Purchasing

8
8

Sales

10

11

12

13

14

QC

9
15

Management

16

Receiving and stripping of new jobs

17

18

19

20

21

22

23

10
 Materials/Spares Receiving Process

24

25

26

27

28

29

30

31

Issuing of stock items

32

11
33

34

35

36

Control of stock items

37

38

39

40

41

42

12
43

Welding process

44

45

46

47

48

Machining process

49

50

51

13
52

53

54

Incoming inspection of new jobs

55

56

57

58

59

Assembly and Testing of Jobs

60

14
61

62

63

64

Painting and Packaging

65

66

67

68

69

70

15
 Drawing generation

71

72

73

74

75

76

16
 Risk

Disciplinary

BBEEE Requirements changing

Processes affected by Absenteesim

Processes affected by incompetent personnel

Supply of Non Conforming products

Failure to meet On time delivery

Work related injuries resulting into loss of production

17
Lack of compliance with procedure

Breakdown of equipment

Non Conforming products leading to Dissatisfied Customer

Off product line items leading to mark ups not being achieved.

Lack of work, customer order volume decreases.

Un realistic promises given as regards turnaround times

Political instability in RSA resulting in recession (lack of work)

Incorrect drawings or lack of drawings.

Difficult/ Demanding Customer

18
Measuring equipment not calibrated

Company must remain financially healthy(budgeting and financial control)

Damage could be done whilst off -loading items , injury could occur if poor
handling practices are followed

Incorrect description could be attached to the wrong item, resulting in

incorrect quotations and possibly eventually the supply of the incorrect items.

Incorrect drawing number allocated which could possibly result in inaccurate

quotes and repairs which do not conform to customer original goods.

Attaching the wrong job number tag onto the wrong job which would result in
incorrect quotations being done .Not attaching the tag in the first place will
result in the unit not being stripped or inspected and hence a delay in the
quotation to the customer.

Incorrect number stamped onto the job could possibly lead to the wrong job
being pushed into the go-ahead system by mistake.

Use of excessive force or incorrect tools could lead to the repairs being more
expensive and more extensive than is necessary.

If all components are not placed in the correct bin they could get misplaced
causing unnecessary cost of replacement or possibly not being able to
complete the job for lack of sample spares.

19
Late deliveries of spares resulting in loss of production

Delivery of incorrect spares resulting in loss of production

Delivery of scrap components resulting in loss of production

Incorrect invoiced amounts/discounts

Items not supplied due to accounts being placed on hold resulting in loss of pro

Cost of sales incorrect

Shrinkage or misuse of components and materials

Shrinkage or damage

Possible loss of production due to unavailability of responsible persons

20
Damage to components caused by poor handling practises

Poor allocation of work load leading to loss in production.

Unavailability of spares resulting in loss of production.

Shrinkage of stock

Bin card system not being used accurately, historical usage information may
be incorrect. Could result in lack of essential stock.

Stock issue register incomplete and ineffective. Can result in stock shrinkage.

Stock checks not being completed as required. Can result in shrinkage.

Lack of stock due to poor stock levels not being reported. Downtime in
machine shop

Minimum and maximum stock levels are not determined, resulting in

depletion of stock or having excessive stock levels.

Unauthorised personnel in stores resulting in stock shrinkage.

21
Items not all identified by job number resulting in shrinkage or misplacement.

Unavailability of drawing could lead to components being welded incorrectly.

The incorrect welding pre and post heat being applied and incorrect filler
materials being used to join unknown materials, this could lead to poor weld
structure and failure of the same.
The weld prep machined or ground into each component before welding is
carried out is not checked other than visually , this again could lead the
incorrect type of weld being done and failure of the component down the line

The form, shape and size of the weld is incorrect. This could lead to poor
fitment of components when fitted, or possibly failure of the weld at a later
stage.

Incorrect handling of components could lead to unnecessary damage and

possible rework or remanufacture.

The Final inspection may still fail the weld at the pre-assembly stage, this could
involve massive rework costs and down time leading to potential late deliver.

Materials missing due to poor stock levels or buying practices. Material

damaged due to poor handling. Components or materials mixed between
different jobs.

Drawing not available on job control system causing down time and delays and
incorrect incoming inspection leading to wrong repair requirements.

Incorrect machining of components sizes leading to re-work or scrap. Not

accessing the correct drawing also leading to rework or scrap.

22
Poor handling could lead to unnecessary damage, machined surfaces not
protected correctly. Injury caused by flying debris whilst air cleaning
components.

PCS or contractor poor handling or lack of protection of components can lead

to damage requiring re-work or replacement.

Poor storage or handling of machined components could lead to rework.

Use of the incorrect drawing could lead to incorrect assessment and hence
wrong quote.

Measuring equipment may be reading incorrectly or be in a poor condition

leading to incorrect sizes being measured.

These dimensions could be incorrect or listed against the incorrect

component, once again this could affect the compilation of the quotation

Missing out any details of the repair requirements will lead to extra ordinary
costs being incurred and a delay in the repair process of the component.

Spares could be misplaced or lost if control over their disposition is exercised;

this will result in a delay in the repair process and additional costs being
incurred.

Mis handling of components could potentially lead to damage and rework

costs/downtime. The use of thinners on hot components has potential to
cause fire, and overspray or splashing could damage eyesight or cause illness if
ingested.

23
Damage to components could occur due to poor handling practises, injury to
personnel could happen for the same reason.

Sealing components could be fitted in the incorrect position, close tolerance

bushes and bearings could be mis-aligned whilst fitting causing damage and
potential harm from airborne debris. Major components could possibly be
fitted in the wrong position or wrong orientation.
Hoses could be fitted incorrectly leading to leakage of oil under pressure.
Damaged sealing elements could lead to oil under pressure being squirted
from the unit. The actioning of the cylinder under pressure could cause injury
to bystanders. Spillage of oil could leave underfoot conditions hazardous.

Oil being drained could lead to slippery underfoot conditions, open porting
could allow foreign objects and dirt into the unit leading to potential failure.

Poor handling of the unit could lead to damage requiring rework.

Debris arising from this cleaning action could cause injury. There is potential
for damage to exposed machined components or sealing elements, this would
require rework or replacement in some cases. The incorrect job number could
be erased by mistake which could lead to difficulty in identification of unit.
If the supports are unsteady or faulty the unit could fall off causing potential
damage to the unit or personal injury. If the supports are not suitable for the
spray painting operation it could result in poor results.

Inhalation of paint or related substances could be harmful to the health of the

painter. Potential for flash fires could lead to injury.

If the unit is not properly dried the paint coating could be rubbed off or stick to
the packaging when wrapped. Poor handling at this stage could lead to a poor
quality finish on the paint.

The incorrect fixing of the identification plates in the wrong area could
potentially damage the unit leading to rework or replacement of parts.

24
Incorrect identification of the make , model , or even customer details.

Critical details or components are omitted from the drawing.

Assembly sequence of components laid down incorrectly.

Components not measured accuratly , material identified incorrectly.

When converting from sketch to CAD drawing details could be left out.

Different components could be allocated the same drawing number.

25
 Risk Register
Probability (of risk occurring)

Prob. Rating
Likelihood Previous Occurrences

4 5 4.50

4 3 3.50

4 3 3.50

5 5 5.00

5 5 5.00

4 4 4.00

3 3 3.00

26
2 3 2.50

4 5 4.50

3 5 4.00

3 5 4.00

3 2 2.50

3 3 3.00

4 4 4.00

4 4 4.00

3 2 2.50

27
2 3 2.50

2 3 2.50

4 5 4.50

2 2 2.00

2 2 2.00

3 4 3.50

2 4 3.00

5 5 5.00

2 4 3.00

28
4 5 4.50

2 4 3.00

2 3 2.50

2 5 3.50

2 3 2.50

2 4 3.00

4 5 4.50

4 5 4.50

5 5 5.00

29
3 5 4.00

3 5 4.00

3 5 4.00

4 5 4.50

4 5 4.50

4 5 4.50

5 5 5.00

5 5 5.00

5 5 5.00

3 5 4.00

30
3 5 4.00

3 5 4.00

3 4 3.50

3 4 3.50

3 5 4.00

4 5 4.50

3 5 4.00

3 5 4.00

2 5 3.50

31
2 5 3.50

3 5 4.00

3 5 4.00

4 4 4.00

2 5 3.50

2 4 3.00

3 5 4.00

3 5 4.00

3 4 3.50

32
3 4 3.50

3 3 3.00

2 3 2.50

3 3 3.00

3 4 3.50

3 4 3.50

3 3 3.00

3 3 3.00

3 5 4.00

3 4 3.50

33
2 5 3.00

2 5 3.50

2 2 2.00

2 3 2.50

2 3 2.50

1 1 1.00

34
sk Register
Consequence (if risk is encountered)
Inability to Meet Potential Impact on
Potential Loss Potential Harm Est. Cost of
to User Contract Terms / Violation of Company
of Contracts Correction
Requirements Regulations Reputation

4 4 4 3 3 4

4 1 1 1 3 3

4 1 1 1 3 3

4 4 4 2 5 3

4 4 4 3 3 4

3 1 3 1 5 3

2 5 1 3 1 4

35
4 5 4 4 5 3

2 1 3 1 4 3

3 1 3 1 5 3

3 1 3 1 4 3

4 1 1 1 4 4

5 1 5 1 5 4

4 1 1 1 2 1

4 1 1 1 4 4

4 1 1 1 4 4

36
2 1 3 1 4 3

4 2 4 3 4 4

2 4 2 1 3 3

3 1 2 1 5 4

3 1 2 1 5 5

3 1 3 1 4 3

3 1 3 1 5 5

4 4 3 1 4 4

2 1 3 1 4 4

37
4 1 2 1 4 1

4 1 2 1 4 1

4 1 2 1 4 1

2 1 1 1 2 1

4 1 2 1 3 1

2 1 1 1 3 1

2 1 2 1 3 3

2 1 2 1 3 3

2 1 2 1 3 3

38
3 1 2 1 2 4

4 1 2 1 2 5

4 1 2 1 3 5

4 1 2 1 3 5

4 1 2 1 4 2

4 1 2 1 4 2

4 1 2 1 4 2

4 1 2 1 4 2

4 1 2 1 4 2

4 1 2 1 4 2

39
4 1 2 1 4 2

3 1 1 1 4 2

2 1 1 1 2 3

2 1 2 1 3 3

3 3 2 1 3 3

3 1 1 1 3 3

3 3 2 1 4 4

2 1 2 1 4 4

3 1 2 1 2 3

40
3 3 2 1 3 3

3 1 2 1 4 3

3 1 2 1 4 3

4 1 3 1 4 4

2 1 1 1 2 2

3 1 3 1 3 4

2 1 2 1 4 4

4 1 2 1 4 3

4 3 2 1 2 3

41
4 3 2 1 3 3

2 1 1 1 2 3

2 1 1 1 1 2

2 2 1 1 1 2

3 2 2 1 3 3

2 2 1 1 3 3

4 2 2 1 1 3

2 3 1 1 1 2

3 1 2 1 3 2

2 1 1 1 3 3

42
3 1 3 1 3 4

3 1 3 1 3 4

1 1 1 1 1 1

2 1 1 1 2 3

1 1 1 1 1 1

1 1 1 1 1 1

43
Cons. Risk Factor
Rating (Prob x Cons)

3.67 8.17

2.17 5.67

2.17 5.67

3.67 8.67

3.67 8.67

2.67 6.67

2.67 5.67

44
4.17 6.67

2.33 6.83

2.67 6.67

2.50 6.50

2.50 5.00

3.50 6.50

1.67 5.67

2.50 6.50

2.50 5.00

45
2.33 4.83

3.50 6.00

2.50 7.00

2.67 4.67

2.83 4.83

2.50 6.00

3.00 6.00

3.33 8.33

2.50 5.50

46
2.17 6.67

2.17 5.17

2.17 4.67

1.33 4.83

2.00 4.50

1.50 4.50

2.00 6.50

2.00 6.50

2.00 7.00

47
2.17 6.17

2.50 6.50

2.67 6.67

2.67 7.17

2.33 6.83

2.33 6.83

2.33 7.33

2.33 7.33

2.33 7.33

2.33 6.33

48
2.33 6.33

2.00 6.00

1.67 5.17

2.00 5.50

2.50 6.50

2.00 6.50

2.83 6.83

2.33 6.33

2.00 5.50

49
2.50 6.00

2.33 6.33

2.33 6.33

2.83 6.83

1.50 5.00

2.50 5.50

2.33 6.33

2.50 6.50

2.50 6.00

50
2.67 6.17

1.67 4.67

1.33 3.83

1.50 4.50

2.33 5.83

2.00 5.50

2.17 5.17

1.67 4.67

2.00 6.00

1.83 5.33

51
2.50 5.50

2.50 6.00

1.00 3.00

1.66 4.16

1.00 3.50

1.00 2.00

52
 Mitigation Plan
Risk Mitigation
(required for risk factors >0)
Value
May reference external plan document

Counselling session 60%

keep aligning with changing legislation and requirements 60%

Manages employees absenteeism 40%

effective management of employees and training requirements to make 60%

Manage suppliers 60%

Keep to delivery dates 40%

Regular housekeeping,audits on operations 40%

53
Clarify SOP's;Training ;Induction;Active supervision 40%

Regular Maintenanace of equipment 60%

Understanding Customer requirements.Quality Machining Proactive follow-up 60%

Sales meetings and implementation of KPI should prevent this. 60%

Regular interaction with Customer 40%

Delivery dates only given after inpection and proper quotation carried out.

Manage the Business as best one can during unstable times 40%

Identify requirements prior to beginning a job 60%

Regular interaction with Customer 40%

54
Regular calibration of Measuring equipment 70%

Manage Business effectively 60%

Qualified fork lift drivers to use this machinery only, all slings and lifting 60%
equipment registered and checked.

Draughtsman is to ensure physical component matches our drawing of the same description. 80%

Draughtsmen to double check that the correct drawing number is allocated. The incoming
inspector is to also carry out a cursory check before inspection is carried out. 80%

The draughtsman is to generate and attach the identification tags in good timer so the job can
be processed effectively. The incoming inspector is to act as a secondary responsible person 60%
ensuring that the correct tag is attached to each item.

The incoming inspector will check the job number corresponds to the description and 60%
information on the job repair system.

Wherever possible the correct tools required to remove certain fasteners or components are
to be available on hand for the stripping team. The incoming inspector is to monitor the 30%
method and progress of each item being stripped to minimise the risk of unnecessary damage.

Incoming inspector will make sure all relevant parts accompany the repair to the next stage. 60%

55
Suppliers selected from Approved suppliers list (QD13/04/2016) Availability established when
quote formulated. 60%

Suppliers selected from Approved suppliers list (QD13/04/2016). Purchase order sent through 60%
to supplier indicating spares/components required.

Suppliers selected from Approved suppliers list. Goods received voucher information on job 60%
control system.

TBA 60%

TBA 70%

TBA 70%

Identification of each individual component on receipt. 70%

TBA 70%

Minimise the possibility of all three responsible persons being unavailable at the same time. 40%

56
Visual aids giving best handling practises and tips. 70%

TBA 60%

TBA 70%

Implement proper stores control. 60%

Stock take to be implemented weekly as stated, bin cards used to indicate levels of stock 60%
required to be kept.

Stock take to be implemented weekly. The register will show opening stock levels as found
during the latest stock take. 60%

Assign periodic checks by either the purchasing assistant or the workshop manager. 60%

Stock issue register in conjunction with bin card system when properly used will prevent this.
Requisitions concerning minimum stock levels are used to notify the purchasing assistant of 60%
low stock levels.

Workshop manager along with purchasing assistant to determine these levels. 70%

Stores controller to retain access to stores area, store to be kept locked when not occupied 70%

57
Identification of all spares being kept in stores, order or job number. 60%

Use of the correct Pre and post heat charts at the welding stage. Weld profile identification 70%
charts.

Weld profile identification charts along with the specific gauges to be used prior to any welding 70%
taking place .Inspection personnel are to carry out weld prep checks prior to work taking place.

Gauges specific to this function are used to confirm that the weld profile is correct. 70%

Certified fork lift drivers are used to handle all goods. 70%

Inspection of the welded components at the welding bay by both the welders and inspection
personnel using the appropriate gauges and charts should eliminate poor quality welding 70%
reaching this stage of the production.

Refer to Process flow 003 Control of stock items. Competent trained forklift and crane
operators are to be used in the moving of components when necessary. The identification of 70%
components by way of hard stamping or the use of marking pen to indicate the job number
should reduce the risk of mixing components.

Draughtsman will generate the necessary drawing as required; the accuracy of the repair 70%
requirements will only be evident during the repair process or even only at final inspection.

Regular calibration checks on measuring equipment are carried out to prove the fitness for use
of such equipment. Roaming inspection carried out by the workshop foreman should help to 70%
identify problems with rework or scrap prior to processing the items through to the next
station.

58
All components are to remain in the plastic job bin when not being worked on. Certified slings
and lifting equipment only to be used to move components. Appropriate PPE, in these cases
70%
glasses should be worn at all times whilst carrying out any machining /cleaning operation on
parts.

Proper slinging and lifting practises to be followed at all times, only certified operators are to
use forklifts or cranes. 70%

Components to be stored on racks provided when possible or in the plastic job bins where 70%
needed.

At the initial job registration stage, the draughtsman will identify the job and check the 70%
appropriate drawing is available on the data base. (Process flow 001)

All measuring equipment falls under the company calibration system and will have individual
records of calibration and condition. Regular checks on the storage and condition of the 70%
equipment are conducted by the Quality manager.

The ability to use measuring equipment is a pre-requisite in this position but mistakes may
occur from time to time. The Procurement manager who compiles the quotation will review 70%
the details of the repair on the job control system to verify the layout is correct.

This unfortunately will only be evident when the job reaches the manufacturing or final
inspection stages at which time there will no choice but to re-work or manufacture those
components or spares that are incorrectly assessed. The root cause analysis will be identified 70%
and training where relevant will be given.

The incoming inspector is to ensure all associated spares and components are together before 70%
moving to the next station.

PPE is worn in the form of eye protection whilst cleaning components. Any components that
have had welding carried out will be cooled down to prevent potential fire hazard from 70%
occurring. Proper handling equipment is used by trained and certified personnel only.

59
As above regarding handling equipment and trained personnel. 70%

The system drawing will be used to ensure that each seal is fitted in the correct groove and in
the correct direction. Bearings and bushes are firstly tapped into the mouth of the housing,
checked for straightness and then only seated by means of the hydraulic press. Correct 70%
positioning of components can be verified by checking the drawing or digital pictures taken at
the initial receiving.

The final inspector will supervise the attachment of hoses and pipes prior to the test, the area
immediately surrounding the test area will be cleared prior to the test being carried out. Any 70%
spillage of oil that occurs is controlled immediately by use of saw dust or other absorbent
substance.

Spilt oil is dealt with as it happens; ports are plugged as soon as pipes or hoses are removed. 70%

Certified forklift or crane operators to be used for the moving of the components with certified 70%
slings or strops.

PPE in the form of eye glasses and dust masks to be worn during the course of this operation.
Extraction fans to be in operation during this time. The workshop foreman to issue verbal 70%
instructions as to the removal of incorrect numbers and other identifying marks.

Visual inspection of the supports to be used to be carried out prior to use, all slings, chains etc.
to be calibrated and in good condition. 70%

PPE to be used at all times during the spray painting process, as a minimum eye glasses and
mask or respirator to be worn. The spray bay to be secured and no naked lights or smoking to 70%
be allowed. Adjacent fire fighting equipment is to be in order and checked.

Paint must be left until it is dry to the touch, the unit must not be lifted until it is completely 70%
cured.

The required position of identification plates will be indicated by the workshop foreman. 70%

60
61
Risk Factor
after
Mitigation

3.27

2.27

3.40

3.47

3.47

4.00

3.40

62
4.00

2.73

2.67

3.00

3.00

3.40

2.60

2.00

63
1.45

2.40

2.80

0.93

0.97

2.40

2.40

5.83

2.20

64
2.67

2.07

1.87

1.93

1.35

1.35

1.95

1.95

4.20

65
1.85

2.60

2.00

2.87

2.73

2.73

2.93

2.93

2.20

1.90

66
2.53

1.80

1.55

1.65

1.95

1.95

2.05

1.90

1.65

67
1.80

1.90

1.90

2.05

1.50

1.65

1.90

1.95

1.80

68
1.85

1.40

1.15

1.35

1.75

1.65

1.55

1.40

1.80

1.60

69
70
OPP RATING: RISK RATING LIMIT:
8.0 8.0

RISK & ASSURANCE STANDARD RISK

Ha
MATRIX

1
Loss Type
Insignificant

Timeline No impact on overall project timeline

Budget No impact on the budget of the project

Investment Return – NPV loss Less than R5m

Quality No impact on quality

Safety / Health First aid case / Exposure to minor health risk

Environment Minimal environmental harm – L1 incident

71
 Legal & Regulatory No legal impact

Slight impact - public awareness may exist but no

Reputation / Social / Community
public concern

Likelihood

5
The unwanted event has
occurred frequently; has a
6 - Medium
90% and higher probability of
reoccurring
Almost Certain

4
The unwanted event has a
probability of between 60% 5 - Medium
and less than 90% of occurring
Likely

3
The unwanted event has a
probability of between 30% 4 - Low
and less than 60% of occurring
Possible

2
The unwanted event has a
probability of between 1% and 3 - Low
less than 30% of occurring
Unlikely

1
The unwanted event has never
occurred, has a probability of 2 - Low
less than 1% of occurring
Rare

1 - Risk
Effectively
Controlled Hierarchy of Controls

2 - Low 100% Elimination of Risk

3 - Low 90% Substitution of Risk

4 - Low 80% Isolate risk area

Engineering, substantial control
5 - Medium 70% methods

72
6 - Medium 60% Administrative Controls
Weak control methods/accept risk
7 - Medium 40% with parameters

8 - High

9 - High

10 - High

73
 Type Priority
External Emergency
Internal High
Medium
Low

Hazard Effect / Consequence

2 3 4

Minor Moderate Major

May result in overall project timeline overrun of May result in overall project timeline overrun of May result in overall project timeline overrun of
less than 5% between 5% and less than 20% between 20% and less than 50%
May result in overall project budget overrun of less May result in overall project budget overrun of May result in overall project budget overrun of
than 5% between 5% and less than 20% between 20% and less than 50%

R5m to less than R50m R50M to less than R500m R500m to R5b

Minimal quality issues that can be addressed in a Some quality issues that requires immediate Significant quality issues that requires senior
short timeframe with minimal interactions management action project management interaction
Medical treatment case / Exposure to major health Single fatality or loss of quality of life /
Lost time injury / Reversible impact on health
risk Irreversible impact on health
Material environmental harm – L2 incident Serious environmental harm – L2 incident Major environmental harm – L2 incident
remediable short term remediable within LOM remediable post LOM

74
 Some legal concerns with manageable level of Serious legal concerns and significant impact on
Minor legal concerns with minor impact
impact operations

Limited impact - local public concern Considerable impact - regional public concern National impact - national public concern

Risk Rating

7 - Medium 8 - High 9 - High

6 - Medium 7 - Medium 8 - High

5 - Medium 6 - Medium 7 - Medium

4 - Low 5 - Medium 6 - Medium

3 - Low 4 - Low 5 - Medium

Risk still Present

0%

10%

20%

30%

75
40%

60%

76
 Treatment Bias Processes
No Action: Accept Risk per Mgmt Decision Opportunity All Processes
Risk Register / FMEA Style Risk Process 1
Root Cause Analysis Neutral Process 2
Internal Auditing Mixed Process 3
Root Cause Analysis Process 4
Corrective Action (CA) Process 5
Vendor Auditing Process 6
Other Auditing Process 7
Management Review Activity Process 8
Marketing Enhancement Process 9
Other Process 10
Other

Catastrophic

May result in overall project timeline overrun of

50% or more
May result in overall project budget overrun of
50% or more

R5b or more

Significant quality issues that requires sponsorship

intervention with significant resource and cost
implications for rework
Multiple fatalities / Impact on health ultimately
fatal
Extreme environmental harm – L3 incident
irreversible

77
Legal non compliance with risk of shutdown of
operations with significant cost impacts

International impact - international public attention

10 - High

9 - High

8 - High

7 - Medium

6 - Medium

78
 Likelihood Occurrences Potential Violation correction
Cannot occur / not applicable Has never occurred. None / NA None / NA R 0.00
Unlikely to occur Has not occurred in past 10 years. Minor Possible R 5,000.00
Somewhat likely to occur Has occurred in past 10 years. Moderate Definite R 20,000.00
Likely to occur Has occurred in past 5 years. High High R 50,000.00
Very likely to occur Has occurred in past year. Very High Legal Risk R 100,000.00

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 reputation cost reputation score Success
None R 0.00 No impact / NA 1 Opportunity Failed
Minimal R 5,000.00 Minimal impact 2 Opportunity Abandoned
Moderate R 20,000.00 Moderate impact 3 Met some expectations
Severe R 50,000.00 Good impact 4 Met all expectations
Very severe R 100,000.00 Great impact 5 Exceeded expectations

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Mitigation Plan
(required
) for risk factors >
May reference external plan document
Mitigation Plan
(required for risk factors >8)
May reference external plan document

Opportunity Pursuit Plan

(suggested
) for Opp Factors >
May reference external planning document
Opportunity Pursuit Plan
(suggested for Opp Factors >8)
May reference external planning document

81