RISK MATRIX
An impact or risk matrix is a decision-making tool used by Anchor Management Limited to help make decisions more effectively which in turn, has an efficient effect on time management.
We assesses the different activities and operations that need to be run based on the level of input required by the task and the consequential/potential impact or benefits they will have.
RISK MATRIX
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STRATEGIES AND SMART TERM TARGETS
The following table provides all the big issues raised by our stakeholders. Each risk is addressed, the influences on the business is explained and the solution and goals for each risk had been laid out. Minor issues will be addressed on our blog page.
| Description of risk | Stakeholder group who raised concern | Why the risk could negatively influence the ability to create value in the future | Risk mitigation strategy | SMART short term targets / KPI’s for next year (and resources required) |
| Potential loss of jobs due to Covid-19 and regulations set out by the government. | Fisherman (employees). | Not being able to export to Italy and China means the company does not need to catch as much anchovy, this implies less workers are needed and less profit made. | There is a plan to provide hand sanitisers and to send people home that are able to work from home. We plan to keep our employees out of effected areas and not allow a large group of workers to be present at one time. We will also split teams into smaller ones, so that if someone in a department contracts the virus it will not be needed to send the entire team home. | SMART: Strive to lay-off no workers during the COVID-19 epidemic through the payment of minimum wage and the request of unpaid leave. KPI: Review of performance with regards to goal in the following year. |
| Unsustainable harvest of the oceans could lead to the depletion and collapse of worlds major fish stocks. | Activist Group | With over fishing in Aqua Waves, it could wipe out the anchovy species, this would mean that Anchor Management ability to create value in the future will be negatively impacted because it would either have to close down it’s operations or move to another ocean. This may require new licensing and permits, which could be extremely costly. | Anchor Management Limited has a goal of sustainable fishing. We are committed to this and strive to achieve it everyday. We plan to work with other fishing companies in the same oceans to ensure that us as a collective do not over fish. We strictly follow the rule of Aqua Waves and only catch the quantity and species of fish and we allowed to, and someday we catch less. | SMART: Aim to create the perfect balance between maximum profit and over harvesting while still leaving the fishing environment in a healthy and easily recoverable position after the fishing season. KPI: Analysis of Anchovy populations and their comparison at the beginning and end of the fishing season. |
| Anchor Management’s competitors have the ability to out perform us with their new technology which affects our shareholder’s dividends. | Shareholders | Anchor Management will lose sales and will not be able to operate as efficiently as it’s competitors which will limit it’s ability to create value in the future and will have a negative effect of dividends. | There are plans in place to improve our machines and to operate more efficiently. With this it will allow us to compete at a higher level with our competitors. In doing this, Anchor Management Limited creates a better image and hopefully bring in more investors. In doing all of this, our overall performance will improve and shareholder’s dividends will remain constant. | SMART: Aspire to use research and new technology (relating to both the fishing and management side of the business) to achieve an increase in market share at the end of each financial year. KPI: Comparison of market shares between current and previous financial year. |
| Consumers may not buy the product if there is potential it contains any other species. | Consumers | This may cause a drop in demand from our wholesalers. With a drop in demand for our product, there is no ability to create value in the future. | If dolphins or whales are caught accidentally, it will deplete the companies reputation because endangered species are caught negligently. However to minimize this risk the company must ensure that there is always a supervisor overseeing the daily catch where he ensures that no sea life is caught that is not for the necessary for business practices. | SMART: Aim to put back any breed of fish besides anchovy caught on the fishing boats immediately to ensure its survival. KPI: Track fish that come through the processing plant and record anything that isn’t anchovy. |
| Failing to address pollution of the estuary and addressing unemployment in the local community | Local Communities | By harming our local communities, we may lose their support and it may even start strikes against us. Not having the local community on our side will negatively affect our ability to create value inn the future. | Unemployment in the community is a big problem and our company has implemented a program for the education and the skills development of the local community to secure that the unemployed are the future employees of the company whilst maintaining the high level of productivity. The pollution in Estuary must be tackled to save our natural resources and to secure sustainable development that our company can also prosper in the future. We can minimize climate change by slowly only making use of alternative resources for example wind power. | SMART: Strive to remain committed to the regulations put in place by both Anchor Management and the government on a daily basis to ensure local communities and the environment are not harmed. KPI: Analysis of the anchovy populations after a fishing season as well as Anchor Managements CO2 emissions and waste disposal strategies. |
| There is potential that our rights empowerment credentials are not enough to obtain the rights. | Government | There is a that we will not obtain our rights to continue fishing, this will completely stop the ability to create value in the future. | Anchor Management Limited will ensure we have enough credentials to obtain the right. We will do this by going through the list of activities/items that need to be in place and ensure everything is ticked off. The quantity of credentials will be way above the minimum needed, to ensure we obtain the rights without an issue. | SMART: Strive to consistently be above the credential requirements at the end of each financial year to ensure rights are obtained. KPI: Achievement of obtaining the rights. |
| Potential harming of pedestrians due drivers being reclus. | Local Community (pedestrian) | It will create a bad image for Anchor Management Limited, if this man is not treated and compensated correctly. It also must be ensured that our truck drivers are safe else this will affect our ability to create value in the future. | For this particular case, clearer evidence is required. It needs to be identified if the pedestrian was allowed to be on the road, and ask why he was not on the sidewalk rather. If the driver is found to be wrong, fair compensation will be given. In general, the drivers have been instructed to drive according the rules of the roads. We have also placed a telephone number on the back of the trucks, other driver will be able to call this number and rate the driver’s driving. This will hold our drivers accountable and ensure safer roads. | SMART: Strive to keep number of crashes in which Anchor Management is involved in to no more than 1 per year. KPI: Record incidents during financial year and review performance. |
| Failing to adapt the UN Global Compact. | Social Justice League | If we do not comply with the compact, it runs the risk of wholesalers might not buy from the business because it does not follow the UN Global compact. This will impact our ability to create value because we will have no one to sell our anchovy to. | Consider our company’s UN global impact by striving to exterminate slave labour and thus subsequently creating a better environment for our workforce by always abiding by the rules and regulations of the UN and by trying to set the elite standard for other companies in the same industry | SMART: Aim to guarantee the satisfaction of the various sectors of employees within Anchor Management through meetings on a monthly basis to discuss pay, working conditions and other concerns. KPI: Anchor Management’s salaries and wages are in-line or above industry norms. |
Anchor Management Ltd. 