FINAL EXAM (UTS)

RISK MANAGEMENT

Dosen :

Tony Simmonds, MBA.

Disusun oleh :

FELINDA

122011806001

MAGISTER MANAJEMEN-SUSTAINABILITY

UNIVERSITAS TRISAKTI

JAKARTA

2019
 Final Exam
Questions
Multiple Choice Questions (2 marks per question)
1. The definition of a risk is:
a. An uncertain event
b. A positive outcome
c. Any individual or organization involved in or impacted by an activity
d. The effect of uncertainty on the objective

2. Which of these statements reflects the purpose of Risk Treatments:

a. They are used to modify risks
b. They are mechanisms to treat risks
c. They may include any process, policy, device, practice, or other actions
designed to modify risk
d. a and b only
e. all of the above

3. A proactive treatment strategy is designed to:

a. identify and develop strategies to lower the probability/likelihood of a
risk occurring
b. identify and develop strategies to lower the consequences/impact of a
risk once it has occurred
c. a and b
d. none of the above

4. How are the treatment options communicated to the stakeholders ?

a. Using the Risk Breakdown Structure (RBS)
b. Using the risk control plan
c. Using the Risk Management Plan
d. All of the above
e. a and c only

5. Why is a risk owner identified and allocated to a risk and its treatment ?
a. To mitigate the risks
b. To ensure responsibility is given to the right person to manage that risk and to
implement its treatment
c. To ensure compliance to the Risk Policy
d. a and c only

TOTAL: 10 Marks
Short Answer Questions (3 marks per question)

1. In the space provided draw the risk management process steps

1. SCOPE,CONTEXT, CRITERIA
7. COMMUNICATION AND CONSULTATION 8. MONITORING AND REVIEW
Identifikasi Isu, membuat project brief, membuat RBS (Risk
Breakdown Structure)

2. RISK ASSESSMENT
Identification, Analysis, Evaluation

3. RISK TREATMENT
Menyikapi resiko sebelum terjadi (proactive) maupun sesudah
terjadi (reactive)

6. RECORDING AND REPORTING

2. What activities are involved in the context step?

Identify internal and external factors that may impact the project

3. What is involved in the Risk Assessment process step?

Risk Identification, Risk Analysis, Risk Evaluation

4. What are some of the activities involved with the risk treatment step?
 Checking of existing/new controls for efficiency and effectiveness shall be
undertaken on a regular basis for use with all risk
 Document treatment options including cost/benefit and preferred option
 Identify residual risk
 Specifying contingency
 Assigning a risk owner, timetable for implementation and review schedule

5. What is the purpose of a reactive strategy to treat a risk event ?

To address the risks that have already occurred (consequences)
TOTAL: 15 Marks

CASE STUDY
As the CSR risk coordinator prepare a risk management plan that includes:

1. Project Brief
2. External & Internal Factors
3. Risk Breakdown Structure (RBS)
4. Risk Register
5. Risk Treatment Plan

Use the formats supplied in class.

Identify 5 risk events only.
Develop Treatment options for your Priority 1 and 2 risk events only
Use the criteria table provided.

Case Study Scenario

You have just been appointed as a risk coordinator for PT Agung. The
company focuses on the energy sector where it is involved in producing
power that is then delivered into the national grid for distribution to
customers/end users.
It is an Indonesian, privately owned company. It has some international investors
as equity partners and shareholders. It is listed on the Jakarta Stock Exchange
and it has plans to be listed on the New York Stock Exchange in the New Year.
The company is structured with a BOD consisting of department heads (HR,
Quality, Operations, IT, Finance). It has recently acquired a company that
operates a coal mine to ensure its sustainability into the future. It also has a
number of subsidiary companies (smaller power stations that generate power
using natural gas as the energy source).
There is a new CSR project being submitted for approval by the CSR Manager.
The project is the construction of a school for the local community. The local
community is located within 10 km of the power plant. The project will include
the supply of furniture and books but not teachers. The company has also
agreed to provide electricity to the school as part of the project scope but not air-
conditioning or electrical distribution to individual homes. The justification for the
project is to improve the company’s community relations and to improve the
educational standards for the local children.
The project budget is set at $100,000 and an initial duration of 12 months.
As the risk coordinator you have been tasked to assist the project manager
to undertake a risk assessment to support the project. Some of the Key
stakeholders may include:
o The BOD
o CEO (Chief Execution Officer)
o PM (Project Manager)
o COO (Chief Operation Officer)
o CIO (Chief Information Officer)
o International investors & equity partners
o Risk Manager
o Subsidiary company representatives
o Village Chief & Local community representative
ANSWER CASE STUDY
1. PROJECT BRIEF
SOCIAL ISSUE (S) The demands of the surrounding community will be inadequate children's
education facilities and infrastructure not far from the operational area of
PT. AGUNG

Tuntutan masyarakat sekitar akan sarana dan prasarana pendidikan anak-

anak yang kurang memadai yang tidak jauh dari lingkungan operasi PT.
Agung
CSR Project
PROJECT NAME Supporting the improvement of the quality and quality of early childhood
education and kindergarten in ring 1 area
Name update : TK-PAUD KARYA AGUNG
Kelompok Taman Kanak-Kanak Riang Gembira Anak Gunung

Dukungan peningkatan mutu dan kualitas pendidikan dasar anak usia dini
dan taman kanak-kanak pada area ring 1 perusahaan
PROJECT OBJECTIVE Construction of TK-PAUD school buildings and provide supporting
infrastructure so that the teaching-learning process can run well

Renovasi gedung sekolah TK-PAUD dan menyediakan sarana prasarana

penunjang agar proses belajar-mengajar dapat berjalan dengan baik
PROJECT SDGS #4 (Quality Education)
JUSTIFICATION Improving the quality and quality of basic education

SDGS #9 (Industry, Innovation and

Infrastructure)
Building strong infrastructure, inclusive and
sustainable industrialization, and fostering
innovation

ACTIVITIES, COST AND TIME

ACTIVITIES COST (Rp) TIME
Design Program Third Party 50.000.000 1 month
Forum Group Discussion with local government 15.000.000 1 month
Licensing (IMB) 10.000.000 1 month
Construction (Total Renovation) 630.000.000 4 month
Procurement of facilities 159.500.000 2 month
- teacher uniform (10 pasang)      
- kinder gate uniform (50 pasang)      
- early childhood uniform (50 pasang)      
- toys education      
- book and stationeries      
 - outdoor game      
- table and chairs      
-modul, raport, saving book      
Event ceremonial hand over 100.000.000 1 month
Capacity Building for available teacher and
comparative study 100.000.000 3 month
Sertifikasi 90.000.000 2 month
Assistance School Committee 210.000.000 1 month
Electricity installation for building 3.500.000 1 month
Communication and publication 32.000.000 1 month
TOTAL 1.400.000.000 18 months
*Activities carried out in parallel (18 months it means 12 months)

INTERNAL & EXTERNAL FACTORS & STAKEHOLDERS

INTERNAL & INTERNAL & EXTERNAL FACTORS
EXTERNAL FACTORS Internal Factors
& STAKEHOLDERS  Current activities
(+) there is a budget allocation for new projects related to
education
(+) the company's policy to pay attention to the education and
complaints of the surrounding community
(-) policies arise because of the lack of good relations with the
community
 Current conditions of the community
(-) the unavailability of supporting facilities for early childhood
education
 Resources available for the project
(+) CSR, risk, internal technical contracting
External Factors
 Political
 (-) Pressure from the village governmentEnvironmental
(+)Number of early childhood (1-6 years)
(-)Inadequate building and infrastructure
 Regulatorly including legislation, compliance
(+)Support government policy
(+)Promote the early education sector
 External stakeholders
(-)the demands of community groups in ring 1 of the company

INTERNAL & EXTERNAL STAKEHOLDERS

Internal Stakeholders
SUPPLY : CIO, COO

INPUT : The BOD, CEO

PROCESS : CEO, CFO, PM, COO, CIO, Risk Manager

 OUTPUT :
Risk Manager, CIO, PM

CONSUMERS :
CSR Manager (Public Policy Government and Affairs), CIO (for
communication), contractor

External Stakeholders
SUPPLY :
Masyarakat, Tenaga Pengajar

INPUT :
Village Chief, Gerakan Masyarakat

PROCESS :
Tenaga Pengajar anak-anak, Village Chief, contractor

OUTPUT :
Local community representative (masyarakat lokal yang terlibat)

CONSUMERS :
Anak usia 1-6 tahun, Local community
Pemerintah Desa

PROJECT PRIORITY & Priority 1 (SDGS #4)

WHY Construction (Total Renovation) TK KARYA AGUNG
The need for building early childhood education in improving the
education standards of surrounding communities

Priority 2 (SDGS #9)

Communication to BOD
To maintain the company's operations through innovative programs that
support the needs of the surrounding community

2. RISK BREAKDOWN STRUCTURE (RBS)

Area Category
Design Program Third Party
Approval program
Planning
Procurement third party
Forum Group Discussion with local government
Execution Licensing (IMB)
Construction (Total Renovation)
Procurement of facilities
Event ceremonial hand over
Capacity Building for available teacher and comparative
 study
Capacity Building for available teacher and comparative
study
Sertifikasi
Assistance School Committee
Electricity installation for building
Communication and publication
- The BOD
- CEO (Chief Execution Officer)
- PM (Project Manager)
- COO (Chief Operation Officer)
Internal - CIO (Chief Information Officer)
- International investors & equity partners
- Risk Manager
- Subsidiary company representatives
- Village Chief & Local community representatives
 RISK REGISTER (5 risk only)
AREA CATEGORY RISK RISK (There is a risk CAUSED BY… RESULTING IN… LIKELI CONSEQ RISK RISK PRIORITY
that…) HOOD UENCE RATING
# ADA RESIKO BAHWA DISEBABKAN OLEH MENGAKIBATKAN
Planning Design Program Third 1 The design made is not in the team assigned to losses to carry out the 2 2 4 / E
Party accordance with the make the design is not design process in the
3
demands of the competent form of time / nominal
community money of IDR 50 million
Planning Forum Group Discussion 2 The village government The approach with the Emerging community 4 3 12 / E
with local government has a list of requests that village government is demands are greater
1
are more numerous than not going well than the company's CSR
the initial communication budget
Execution Construction (Total 3 Development does not The contractor is in a losses in the form of 3 3 9 / E
Renovation) comply with standards hurry to work on it faster building 2
(company request) depreciation
Execution Event ceremonial hand 4 Local people and village the company did not bad company reputation 2 3 6 / T
over government do not involve the role of the
5
support the event community and local
village government
Internal The BOD 5 not satisfied with CSR expectations for the CSR budget reduction in 4 2 8 / T
4
activities program are too high the next period
RISK TREATMENT PLAN
RISK RISK EVENT DESCRIPTION TREATMENT OPTION RISK OWNER
PRIORITY
TIART: Proactive:
The village government has a list of communicating and re-approaching the village government
requests that are more numerous than
the initial communication
CB:
1 CSR Manager
The approach with the village government Reactive:
is not going well
RI: remain committed to the original plan and hold information for future program plans
Emerging community demands are
greater than the company's CSR budget
TIART: Proactive:
Development does not comply with Conduct periodic evaluations during construction
standards (company request)
CB: Contractor dan CSR
2
The contractor is in a hurry to work on it Reactive: Manager
RI: Building evaluation and improvement
losses in the form of faster building
depreciation
TIART: Proactive:
The design made is not in accordance with initial coordination with stakeholders
the demands of the community
CB:
the team assigned to make the design is Risk Coordinator, CSR
3
not competent Reactive: Manager
RI: re-design the program
losses to carry out the design process in
the form of time / nominal money of IDR
50 million
4 TIART: Proactive: Risk Manager, CSR
 The BOD is not satisfied with CSR activities report and describe the design of the program to the BOD team before it is
implemented to get input and direction

CB:
expectations for the program are too high Reactive: Manager
RI: reporting the chronology and causes of program failure, and corrective actions

sanctions against management for

changing teams
TIART: Proactive:
Development does not comply with invites the public to participate in formulating the handover program
standards (company request)
CB:
The contractor does not have enough
5 CSR Manager
time to work on Reactive:
RI: invites the public to fill and oversee the running of the event

The company and the community did not

receive the results of development