M. Phil. / Risk management comprises of risk identification, risk analysis, response planning, monitoring and action planning tasks that are carried out throughout the life cycle of a project in order to ensure that project objectives are met. Risk is a fact of life in all mining type projects. This research dissertation documents the risk management practices of an EPCM company involved in mining projects. Risk analysis techniques are discussed and the author goes deeper to examine what risk means to a project, and how the project team perceive, identify and quantify project risks. This dissertation uses a case study to focus on an EPCM firm‘s approach to risk management in the mining projects environment. This study aims to illustrate how the risks involved in a project have to be identified, controlled and managed. The purpose of this dissertation is therefore to act as an implementation risk management model for the case company and for use in a typical mining projects environment. Risk is an integral part of engineering projects, and it is necessary to manage the risks in order to ensure project success.

This study was conducted to establish whether risk management strategies could be developed to enable stock market investment portfolio managers to reduce the risk involved in stock market trading. The awareness of stock market risk elevates the requirement for risk management strategies as discussed in Chapter 1. The research scope is identified, and an overview of the study gives further guidance as to what lies ahead. The theory behind macroeconomic forces and how they influence share prices is discussed in Chapter 2. It is established that market sectors and companies within those sectors react differently to macroeconomic forces. Technical analysis is discussed as a mechanism to identify buying and selling signals. In Chapter 3, risk management strategies are developed from the literature. The hypothesis of the study as described in Chapter 4 is that these risk management strategies are able to reduce the risk associated with trading in the stock market. The market simulation in Chapter 5 offers the opportunity to observe the risk management strategies at work in a simulated stock market investment portfolio. In Chapter 6, the outcome of the market simulation is compared to the criteria set in Chapter 4, and the conclusion that the risk management strategies were able to reduce the risk involved in stock market trading is drawn.

Risk and the management thereof play an ever increasing role in modern engineering project management. This is also true in residential property development. International developers have seen growing opportunities for investing in foreign developments as a direct result of globalization. Yet the anticipated profits are not necessarily concomitant with the risks experienced. These risks are apparently increasing with increasing foreign investor in residential property as there is often a significant difference between the developer’s country of origin and the country in which the development takes place. Residential development as a process requires developers to invest substantial capital with an expectation of a reasonable return on investment, but the sources, forming processes, potential damage mechanisms, and political impacts of the project risk are extremely complex and difficult to document. No single management process, engineering technique, financial engineering, or organizational management design is fully effective in the development of such a risk management framework. It is proposed that the unifying nature of Systems Engineering may provide a reasonable approach to manage the related complexity. The process of developing the risk management model using the systems engineering approach is discussed and important items are highlighted. The systems complex of the project and associated risk management system are divided into sub-systems that are discussed at the relevant level of detail and the risks associated with each sub-system are analyzed. There is an old Chinese saying: prevention is better cure. There are many ways to deal with the identified project risks, for example, risk avoidance, risk prevention, risk decentralization, risk retention, risk transfer, risk control and risk utilization. The most important thing is to identify risks early on in the project and take possible preventative measures thus enabling project re-engineering. A method of preventing risks by system thinking is introduced and discussed. An unsuccessful international residential property development project in South Africa is analyzed within the systems engineering context. It is the emphasis of this thesis that engineering risk management should be regarded as a system and that the achievement of an optimal level of risk for a particular participant cannot be realized without making use of the methods of systems engineering. / Prof. L. Pretorius

M.Ing. / This research study is about evaluating the practicability of using systems engineering approach to rural electrification project risk management. The research was motivated by rural electrification projects in South Africa that have suffered planning, design or operational problems due to uncertainties at project site level. The dissertation begins by describing the rural electrification background in the first chapter. The process of electrifying rural areas, challenges, and achievements so far in South Africa are presented. The government target for universal access to electricity is also highlighted. The next two chapters address the theory of systems engineering, and project risk management as one of the elements of project management. The theory of systems engineering approach to risk management is then applied to a typical electrification project structure. The electrification project is viewed as a system, with risk management as a sub-system of project management. A case study is presented for a rural electrification project in KwaZulu-Natal that has experienced design and operational problems. A risk system is identified from work breakdown structure, and risk hierarchy framework is produced based on project life cycle cost model. Risks are ranked in terms of their impact and probability. The aim of the study is to understand the impact of each risk on general project risk, and risk mitigation measures that should be taken to address those risks. The research finishes by drawing a conclusion that electrification projects are complex, risks are manageable, and systems thinking can be successfully used to manage electrification project risks. Risk management must focus on the project as a whole, including operation and maintenance, rather than focusing at individual project stages.

M.Tech. / The question whether risk management contributes to project success is considered relevant considering the long history and high rates of failure in Information Technology (IT) projects. Much work and research has been done to investigate the relationship between risk management and project success but very few studies provide empirical evidence to substantiate the claims made on the relationship between these two concepts. Poor risk management has been associated with project failure while the question whether good risk management results in project success still cannot be unequivocally answered. The goal of this study is therefore to investigate the implications of project risk management maturity on project success in the South African telecommunications industry. To achieve the goal of this research a literature review was carried out to unearth the research questions relevant to this study. A survey questionnaire was compiled and sent out to IT project managers in the telecommunications industry in Gauteng, South Africa. The questionnaire gathered quantitative data from a purposive sample large enough to produce the results needed for this research. The questionnaire evaluated the risk management maturity of organisations in the telecommunications industry. It also determined definitions of project success that are prevalent in the industry and ranked factors that influence project outcomes. Furthermore, the questionnaire set out to establish current IT project success and failure rates in the telecommunications industry. This data was then analysed and conclusions drawn about risk management maturity and project success. Recommendations to the telecommunications industry were made based on the findings of the data analysis. The purpose of a literature study in this research was to provide clarity and focus for the research problem. It also broadened the researcher’s knowledge about the specific research area, thus allowing the researcher to become acquainted with the available body of knowledge regarding why and how risk management is associated with project success or failure. The quantitative research approach was used as it is on the basis of quantitative data that a correlation between risk management maturity and project success can be determined. A survey questionnaire was used as it provided anonymity, confidentiality and ease of administration. The findings of the research indicate that risk management maturity in the telecommunications industry is low. Organisations that claim higher levels of risk management maturity also have higher rates of IT project success. However this correlation is not significant when the responses are considered out of the organisational context. This is an indication that the organisational environment plays a role in determining project outcomes. The delivery of business benefits and customer satisfaction are more important than the traditional view of measuring project success by time, budget and scope/quality. Furthermore, communication within the project team and between team members and the customer has been found to be necessary for the delivery of successful IT projects. The improvement of risk management practices increases the chances of project success. Organisational effort in improving risk management practices does yield positive project outcomes. This research highlights areas for further investigation in the study of the relationship between risk management and project success.

D.Ing. / It is said that the development of innovative new products is set to become the economic battleground of the twenty-first century. Specifically, the innovative identification, development and subsequent marketing of financial products designed in order to allow organisations to manage their financial risk profiles will assume increased importance as volatility within the global business environment and capital markets increases. The discipline responsible for the development of such financial products, financial engineering, will increase in importance as financial services organisations compete to be the first to satisfy the needs of the market. The ultimate aim of financial engineering, as with any product development process, must be to develop the required product in an optimal manner at a minimised economic life-cycle cost to the organisation. Simultaneously, if correctly applied, the process of financial engineering can be a significant source of competitive advantage to the financial services organisation in an industry characterised by intense competitive pressures and exponentially increasing complexity and volatility. The financial services organisation which is able to successfully combine these two elements will have the capability to position itself as a leader in the identification and development of innovative financial products, a capability critical for success within the financial services industry. The science of engineering has within it a special subset devoted to the optimisation of the process of product development. This discipline, known as system engineering, has been extremely effective in the enhancement of product development processes within a traditional manufacturing environment. Tangible benefits of the application of system engineering include a reduced product development cycle, increased product adherence to client specifications, and a reduction in the economic life-cycle cost of the product. Within this thesis the author suggests that the optimal development of financial products in an increasingly competitive environment requires a two-pronged approach. In the first instance the financial services organisation must choose to develop the product which best promotes the medium to long-term strategic aims of the organisation. This is the concept of strategic fit. In the second instance the financial services organisation must have the capability to develop this product more effectively, and more efficiently, than its competitors. As an implementation mechanism the author develops a Financial Product Development Model based on system engineering principles chosen for their applicability to the process of financial product development. Simultaneously, the author develops a Competitive Strategy Framework, a collection of five strategic elements designed to ensure that the financial product development decision displays a measure of correlation to the strategic aims of the organisation. This Competitive Strategy Framework is implemented within the Financial Product Development Model via the use of a Strategic Circuit Breaker, a concept developed by the author and based on the concept of trading circuit breakers as used on the world's major stock exchanges. The aim of the Financial Product Development Model proposed within this thesis is to enhance the process of financial engineering and in so doing provide the financial services organisation with a means of improving its strategic competitiveness within the financial markets. The proposed Financial Product Development Model is validated via the practical application of the model. The results of this validation indicate that significant benefits may be obtained by correctly implementing the model. In addition the author conducts a limited scope industry survey designed to determine the opinion of financial services professionals to the major concepts underlying the model. The favourable results of this survey indicate that (1) the proposed model is practical and applicable within the financial services industry, and (2) the financial services industry in general is unaware of the importance of the process of product development and the manner in which system engineering can be used to enhance this process. By implication the financial services organisation that is able to differentiate its financial product development process from its competitors stands to achieve a significant competitive advantage.

D.Litt et Phil. (Public Management and Governance) / Public Private Partnerships (PPPs) are contractual arrangements between the public and private sector, which are generally long-term in nature. If correctly implemented PPPs can mobilise socio-economic goals. The implementation of PPPs is to permit the delivery of continued, lucrative public organisation or services, by mobilising private sector proficiency and conveying a substantial amount of risk to the private sector, towards value for money. The incentive of the research is centred on the guiding principles of PPPs and the challenge of risk-sharing. The aim of this study is to encourage the systematic management and strategic control of PPPs in South Africa. In doing so, this study aims to determine how the PPP model can be improved to necessitate effective risk management in PPPs, and to provide for improved strategic control. The study supplies recommendations for improved practice, in both the public and private sectors, through strategic planning and shared apparata in PPP arrangements. Furthermore, the study suggests guidelines for effective risk sharing and management in PPPs, through integrated systems management. Integrated systems management proposes that the strategy, structures, systems and culture of PPPs are entrenched in organisational settings, in both the private and public sector, as well as in the PPP arrangement, to encourage capacity development and more developed institutions in South Africa. Effective risk management in PPPs necessitates the anticipation of risks; sufficient planning to address these risks and achieve project objectives; and, lastly, the entrenching of risk management within the organisation and project structures. The study commences with an overview of the development of public management and conceptual approaches of governance, providing a contextual synthesis of past and current theoretical perspectives. The study conceptualises the theoretical standpoints relevant to PPPs and the labelling of peripheral approaches. The research provides a synopsis of the role and functions of PPPs, international best practices in PPPs, and the nature of risk management in PPPs. This affords a foundation for investigating the trials and issues associated with PPPs and the challenges experienced in managing risks in PPPs. This is augmented with a systematic breakdown of the research design and methodology, to structure the research. In addition, a preliminary quantitative survey assessment is conducted, in order to derive preliminary findings for the primary analysis in the research.

D.Com. (Business Management) / Please refer to full text to view abstract

This study examines the notion that the term “Industrialisation” within the banking system is not clearly understood, nor its impact on the whole value added chain. The goal is to establish a clear definition of the term “Industrialisation” in an international context and study the manifestation and impact of Industrialisation across the length of the banking value added chain. Four indicators of Industrialisation (standardisation, automation, specialisation, quality management) were identified through a systematic literature review. The work focuses on one of the ‘three pillars’ of the German banking system: the East German Savings Banks Group. The research uses a homogenous multi method approach utilizing statistical financial information, existing documentary evidence and questionnaires. The data (quantitative and qualitative) was derived from files held by the national association on the 48 savings banks, and from 36 quantitative questionnaires returned by respondent banks. The 36 complete data sets were systematically combined using a comprehensive regression approach. The data was used to test three over-arching hypotheses, each relating to connections between the (generally understood) four stages of the value-added chain, activities related to each stage and indicators of banking success. The research clearly identified that: 1) Industrialisation dominates the savings banks value added chain. 2) Industrialisation augments financial outcomes and ‘perceived success’ in product development, marketing, settlement and transactions. 3) Outsourcing functions are negatively correlated to banking success in these value added stages. 4) Success in risk management was shown to be contingent on settlement and transactions, but no other activities. Automated services, such as self-service terminals and internet banking, are successful in the areas of settlements, transactions, marketing and customer relations. Increasing automation and standardisation can increase the perceived and quantitative measured success within the value added chain. Conclusions & Implications: The developed model extends knowledge in the area of banking and Industrialisation, showing increasing interaction between stages along the value-added chain. The closer the stages, the stronger the effects. The model provides a guide for managerial attention in adding value through Industrialisation techniques in the industry. The management implications of the study are that the savings banks should focus on their core competencies in providing a holistic in-house service in routine transactions, as well as supporting exceptional financing and investment tasks for their clients. To enhance the efficiency of Industrialisation across the value added chain, savings banks should find standards and routines contributing to Industrialisation success in risk management, and seek to comprehensively link the function of risk management to the value added chain stages.

Effective risk and financial management possess a great challenge for the multinational companies operating globally. Despite the increasing development of diverse hedging strategies against foreign exchange risk, global firms cannot fully foresee and measure the degree of the impact of foreign currency fluctuations. This paper aims to evaluate the exchange risk management and financial performance of the BMW Group from the year 2005 to 2016. Moreover, this paper is devoted to provide explanatory information on the impact of foreign exchange exposure on the financial performance of the company by the usage of information provided by the annual reports. The first section of the paper establishes the theoretical concepts of risk management with emphasis on exchange rate risk and financial performance analysis, which support the following study. The analysis of the industry and BMW Group business operations worldwide, currency movement, detailed accounting examination, financial ratio, peer group, exchange rate exposure and hedging strategies are performed to examine the relation between the financial performance and foreign exchange risk management. The analysis reveals that the effective hedging strategies against the foreign exchange risk may substantially impact the financial performance and overall positioning of the company in the competitive environment.