Risk Prevention
Risk is the effect of uncertainty on a business. In China, significant risks can accompany opportunities-- both large and small. A Louie & Associates helps clients identify those risks and protect their long-term interests in China. Volatile business environments, regularly changing policies and legislation, legal obstacles, employee dishonesty, cultural differences and opaque market information are commonplace in China. Such risks directly impact employee productivity, cost effectiveness, profitability, service, quality, reputation and brand value, as well as distracting the management team from focusing on the core business.
Such risks can be greatly decreased through careful planning and use of the right resources. A. Louie Associates can help you develop a customized strategy to coordinate and effectively deploy resources to mitigate, monitor, assess the probability and/or control the impact of these risks on their China operations.
Risk Management Planning Process
Throughout the process, we collaborate with the local China management team and international headquarters to create a tailored China Composite Risk Index (CCRI) to better understand your company and best identify potential threats to your business in China. Using the results of the index we create an effective risk management plan.
CCRI Equation:
Case Example:
-Created an operational JV risk management analysis for a Sino-American JV operation. A. Louie identified weaknesses in the supply chain that included its interior supply of raw materials and transportation risks. Through these findings and updated action plan, it created a huge cost savings for the client. -Worked with an American MNC to devise evacuation plans for expatriate staff during times of crisis. Furthermore, A. Louie created plans for media control and government relations.