FIT5057: Project Management-Bicycles To Go- Risk Report Assignment

Internal Code: MAS664

Risk Report Assignment:

Case Study- Bicycles To Go Bicycles To Go is a manufacturer of specialised bicycles and bicycle parts as well as bicycle accessories, which are sold to bicycle manufacturers and various retail outlets. Their head office is in Melbourne, which is also the headquarters for their main sales office. A secondary sales office is also located in Sydney, NSW. The company has two manufacturing plants in Australia: one in Melbourne, and one in Sydney. Distribution centres are also located at each of the current manufacturing plants. The company has recently added a China manufacturing division which includes a small sales and distribution centre. The company is also keen to expand further and establish a partnership with Giant Bikes. Until now all of the separate offices and manufacturing plants for Bicycles To Go have acted as independent companies, maintaining a separate set of accounts, inventory and customer details. The company feels that consolidating their information and processes will allow for better efficiencies, allowing for process standardization, centralized procurement and sales functions, and consolidated financial reporting. This is a big task and cannot be done immediately or all at once – therefore individualised projects will have to be selectively proposed, chosen from the business drivers.Bicycles To Go is a world class bicycle company which serves the professional and “prosumer” cyclists for touring and off-road racing. Bicycles To Go’s riders demand the highest level of quality, toughness, safety and performance from their bikes and accessories. Product development is the most critical element of Bicycles To Go’s past and future growth.Bicycles To Go has invested heavily in this area, focusing on innovation, quality, safety and speed to market. Bicycles To Go has an extensive innovation network to source ideas from riders, dealers and professionals to continuously improve the performance, reliability and quality of its bicycles. In the touring bike category, Bicycles To Go’s handcrafted bicycles have won numerous design awards and sell in over 10 countries. Bicycles To Go’s signature composite frames are world-renowned for their strength, low weight and easy maintenance. Bicycles To Go’s research and development arm is keen to develop ‘fixed-gear’ and ‘singlespeed coasties’ wheel bikes. (Fixed gear means a one-speed (one gear) bike where the pedals move whenever the bike moves). A fixed gear has real advantages but it does not allow coasting . Whereas the term singlespeed coasties bike (a one-speed bike with a freewheel, that is a bike that can coast without the pedals moving).Bicycles To Go also sells accessories product lines which are comprised of helmets, t-shirts and other riding accessories. Bicycles To Go partners with only the highest quality suppliers of accessories which will help enhance riders’ performance and comfort while riding Bicycles To Go bikes. Current Situation: Bicycles To Go is growing rapidly but their current IT systems and business processes lack the flexibility and scalability to support this growth. Furthermore the current systems do not provide the information needed to analyse and project the costs and profitability of different products, sales regions and manufacturing plants. Bicycles To Go is also looking to expand their reach into other markets by manufacturing parts for new bicycle manufacturers. Question: A risk management strategy is used to identify and assess a range of risks that may negatively impact on the project during the implementation. A risk management strategy typically includes three main areas: risk assessment, risk mitigation and risk monitoring and covers the life of the project. The risk strategy is usually managed by members of the project team. The risks may change in severity and likelihood at each phase of the project.In this assignment you will only be conducting the risk assessment. The risk assessment is usually depicted by displaying a risk register. You are required to identify six potential internal project risks that are likely to impact on the project during the course of an implementation. To do this you will need to identify a range of potential internal risks from the literature.In the literature internal risks are referred to as critical factors. Critical factors refers to those factors that if not identified, assessed and controlled for during the project implementation they are very likely to detrimentally impact on the successful outcome of the project by impacting on time cost and scope and quality.