Managing Quality & Risk Week September Introduction to Module & Topic Module leader – Tim Rose

If you want to be in business in ten years time you have to ask three questions: 1. What are the worst things that could happen to us? 2. How likely are they to happen? 3. Are we taking the right steps to prevent them? [Sadgrove (2015), The Complete Guide to Business Risk Management]

What is the purpose of this sign?

Module route map Semester 1Date (W/c)Content Week 107/09/2015Introduction to Module & Topic Week 214/09/2015The Properties of Risk Management Week 321/09/2015The Properties of Quality Management Week 428/10/2015Risk and Failure Week 505/10/2015Risk and People Week 612/10/2015Quality Monitoring and Controlling Processes 19/10/2015College closed for staff development 26/10/2014Reading week Week 702/11/2015Risk Management Systems [1] Week 809/11/2015Risk Management Systems [2] Week 916/11/2015Independent research Week 1023/11/2015Peer review Week 1130/11/20151:1 Tutorials Week 1207/12/2015Assignment workshop/ revision N/a11/01/2016Exam

Outline of Assessment 1: Audit report  Deadline: 10 December 2015  Grade Award – 70% of overall grade  Report: 2,500 word count  Subject: “Conduct a Quality and Risk Audit on a given organisation.”  Students must submit an report of 2,500 words  Degree criteria - no extension to deadline

Outline of Assessment 2: Written exam  Deadline: 14 January 2016  Grade Award – 30% of overall grade  Subject: Examination  Format: 2 hour unseen, short answer examination  Degree criteria - no extension to deadline

Intended learning outcomes By the end this session you will:  Explore your perceptions of quality  State key milestones in the development of Risk and Quality Management  Discuss risk in your own area of employment  Use existing knowledge to judge the results of uncontrolled risk  Research the results of uncontrolled risk in the business world.

“Quality” What’s the first word that comes to mind when you think about ‘Quality’? Write your word down on a post-it note…

Collection Stick your post-it note on the board… What do the individual words have in common?

Commonality Group your post-it note with others on the board in clusters of threes… What have you constructed?

A brief history of Risk and Quality Management  1970’s – Japanese manufacturers increasing market share by producing high quality products at affordable prices (Toyota car industry)  Europe & United States soon followed and adopted similar techniques  Direction led to CI – “Continuous Improvement” and the art of ‘Kaizen’.

Risk In groups, discuss and record a definition of ‘risk’ in relation to your industry/ profession.

Risk - defined Risk is:  “A risk is the likelihood that a hazard will actually cause its adverse effects, together with a measure of the effect.” [Health & Safety Executive, 2014]Health & Safety Executive, 2014

What Risk means to you in your work  Share your views at… 

The Results of Uncontrolled Risk [1] Activity Part 1:  As a group, look at the cards and assemble the ‘types’ of risks with their initial and ultimate effects  You Have 5 minutes.

The Results of Uncontrolled Risk [2] Type of riskInitial effectUltimate effect Quality ProblemProduct recall; customers defectFinancial losses Environmental pollutionDamage to the environment. Bad publicity; customer disfavour and defection; court action; fines Financial losses Health and safety injuryBad publicity; worker compensation claims; work- force dissatisfaction; statutory fines Human suffering; financial losses FireHarm to humans; loss of production and assetsHuman suffering; financial losses Computer failureInability to take orders, process work or issue invoices; customers defect Financial losses Marketing riskMarket share falls. Revenue dropsFinancial losses FraudTheft of moneyFinancial losses SecurityTheft of money, assets or plansFinancial losses International tradingForeign exchange lossesFinancial losses Political risksForeign government appropriates assets; prevents repatriation of profits Financial losses [Sadgrove, p.11 (2015), The Complete Guide to Business Risk Management]

The Results of Uncontrolled Risk [3] Activity Part 2:  In pairs, research your allocated type of risk to find real-world examples of this type of occurrence  Complete the one-page fact sheet  Include as much detail as possible  Include links to your sources of information.

Learning outcomes from this session Throughout this session you have: Explored your perceptions of quality Stated key milestones in the development of Risk and Quality Management Discussed risk in your own area of employment Used existing knowledge to judge the results of uncontrolled risk Researched the results of uncontrolled risk in the business world PLUS you’ve presented the findings your Risk and Effect fact sheets!

Out of class activity  Suggested reading: Sadgrove, K (2015) The Complete Guide to Business Risk Management  Chapter 1: A Powerful Tool for Protecting the Business  Explore