Verdant Bites Co. — Risk Analysis & Mitigation
A comprehensive risk assessment has been conducted in accordance with Big 4 enterprise risk management frameworks. The following risk register identifies the principal risks, their assessed impact and likelihood, and the specific mitigation strategies that will be implemented:
Section 12 · Business Plan
Risk Analysis & Mitigation
A comprehensive risk assessment has been conducted in accordance with Big 4 enterprise risk management frameworks. The following risk register identifies the principal risks, their assessed impact and likelihood, and the specific mitigation strategies that will be implemented:
A comprehensive risk assessment has been conducted in accordance with Big 4 enterprise risk management frameworks. The following risk register identifies the principal risks, their assessed impact and likelihood, and the specific mitigation strategies that will be implemented:
| Risk Category | Impact | Likelihood | Mitigation Strategy |
|---|---|---|---|
| Competitive Intensity | High | High | Differentiated health positioning, superior technology, loyalty programme, and aggressive brand building in pre-launch phase |
| Economic Downturn | High | Medium | Flexible pricing strategy with value combos; diversified revenue streams; subscription model providing predictable income |
| Load Shedding | Medium | High | 30kVA backup generator; UPS for POS and critical systems; solar panel installation planned for Phase 2 |
| Supply Chain Disruption | Medium | Medium | Diversified supplier base (minimum 3 suppliers per critical category); 7-day safety stock policy; local sourcing priority |
| Regulatory & Compliance | Medium | Low | Dedicated compliance officer; ongoing legal advisory retainer; proactive engagement with municipal health inspectors |
| Key Person Dependency | High | Low | Key-person insurance for CEO and COO; documented SOPs; cross-training programme for all management positions |
| Food Safety Incident | High | Low | HACCP-certified kitchen; daily food safety audits; staff training; product liability insurance of ZAR 10M |
| Technology Failure | Medium | Low | Cloud-based systems with 99.9% uptime SLA; offline POS capability; dedicated IT support contract |
| Rand Volatility | Medium | Medium | 90%+ local sourcing strategy minimises FX exposure; imported items hedged through forward contracts |
| Talent Retention | Medium | Medium | Above-market compensation; performance bonuses; staff equity participation scheme (ESOP) from Year 3 |
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