What are some examples of consequences of risk as a project is completed?

Solutions

Expert Solution

Some examples of consequences of risk as a project is completed, would be as follows-

A. Lesser amount of the profitability generation due to risk exposure into various different factors .

B. It can lead to difference in the the cash flows streams because of getting exposed to various risks and these difference can be leading to a variance between the estimated and the actual.

C. After completion of the projects the project can be exposed to risks like inflation and interest rate risk which will be reflective of macro risks and othe factors like change in the regulation which can pose subsequent threat to the overall profitability of the project.

D. It can even lead to various risks on the operational front like control and management risk along with employee turnover who were essentially entrusted with the purposes of operating on to the same project.

These risks can provide the the organisation with multiple threats as well as opportunities and they can help the organisation in order to maximize their profits.

jeff jeffy answered 1 year ago

Next > < Previous

Related Solutions

What is meant by the term "risk factor"? Give some examples?

Project Risk = Probability of event * Consequences of event Let’s investigate the quantitative risk identified...

Project Risk = Probability of event * Consequences of event Let’s investigate the quantitative risk identified for a company, last year. Probability of Failure Category Probability of Failure Consequences of Failure Category Process Maturity 30% Performance = 55% Technical Complexity 25% Schedule = 75% Vendor Dependency 30% Cost = $55 Workforce Availability 10% Reliability = 20% Use the table above to answer the following questions: Please calculate the total risk factor for this project. Would you assess this level of...

a) Explain the difference between systematic risk and unsystematic risk. b) What are some examples of...

a) Explain the difference between systematic risk and unsystematic risk. b) What are some examples of each? c) Assume you are considering an investment in a new medical company that has developed a tiny robot that enters the body and (hopefully) destroys cancer tumors. If it works in clinical trials, the company will have cured cancer (and be very valuable); if it fails in clinical trials, the robot will be killing patients (and the company will be worthless). Under the...

What are the dimensions of country risk? Give some examples about political risk can include.

What are some examples of shared risk models, such as population health, For Rural Hospitals? What...

What are some examples of shared risk models, such as population health, For Rural Hospitals? What are some budgetary and financial implications of shared risk models on health care management practices and decisions for rural hospitals?

What do we mean by a risk? What are some examples of risks companies face? •...

What do we mean by a risk? What are some examples of risks companies face? • What are internal controls? What is the relationship between an internal control and a risk? Be able to identify internal controls that can be used to address specific risks.

Question