risk management 91

Answer the questions:

Chapter 19: Kilgore Custom Milling

1) Assume that the management team has hired you to advise them on their overall risk profile and has asked you to prepare a SWOT analysis for their review and as input to the upcoming strategic planning session. What would you put into your analysis? Additionally, how does your analysis affect the risk management strategies that Kilgore might choose to utilize?

2) What are the main financial risk management issues that Cathy and the rest of the management team at Kilgore need to focus on?

3) What factors need to be considered when integrating financial risk management into an enterprise risk management framework?

4) Provide pros and cons?

Chapter 25 – Uses of Efficient Frontier Analysis in Strategic Risk Management

How does efficient frontier analysis (EFA) differ from other forms of complex risk assessment techniques?

What limitations might an analyst encounter through the use of EFA?

How can efficient frontier analysis results be communicated and utilized with nonmathematical decision-makers?

Provide the pros and cons?

References: Fraser, J., Simkins, B., & Narvaez, K. (2014). Implementing enterprise risk management: Case studies and best practices. John Wiley & Sons.