Research On Risk Management Of A Transnational Acquisition Project Of Foundation Brake Business To Be Conducted By S Group

Based on the overall development strategy of the company,S Group developed the strategy of conducting transnational acquisitions to enhance the comprehensive competitiveness of the company rapidly in March 2015.Recently,S Group received the information that there is an acquisition opportunity and has decided to do some prelimilary preparations after study.The target of the study in this research is the transnational acquisition project of foundation brake business that is to be conducted by S Group.Based on the theories of project risks management,the methods and tools of project risks management were used to design a complete risk management process for the upcoming acquisition project.Fistly,it is designed to work out an overall risk management plan from seven perspectives by S Group in a special risk management meeting.Secondly,SWOT technology,Risk Checklist method and Due Deligence method are used to identify the risks.The SWOT technology focuses on the weakness and threat analysis to identify the potential risks.The Risk Checklist method is used to identify the risks in every stage of the whole process.The Due Deligence method focuses on identifying the details of asymmetric information risk that has been identified.These three methods are used in different stages of the project and they muturally supportive and complementary.Thirdly,Expert scoring method is used to analyze and evaluate the risks that have been identified and risk levels are established,which helps S Group to deploy limited resourses more effectively so as to deal with the major risks.Fourthly,strategies and correspondent measures were developed to deal with those risks based on the risk priorities.Lastly,the risk monitoring process,strategies were designed and the technology of Project Risk Report was used to monitor the risks.All in all,this research has developed a risk management plan for the upcoming transnational acquisition project using the theories of project risk management.The result of the research could be used for the reference of S Group as well as similar acquisition project elsewhere in the future.