Risk Register: risks in the sales process (For each situation)

Risk Identification/ Categorization

The present situation in a company is given what could be a cause for risk to take place

1. What risk can this situation cause?

2. What kind of effect will this risk have on a company?

3. What Risk type it is( Strategic, Tactical, Operational, Information, Reputation, Ethical )

4. What Risk Category it falls under Generic / strategic risks, Operational risks, Financial risks, GRC Risks or other

5. Which department or person in a company would be a risk owner

6. Hypothetically how often that could happen if the company owns 20 stores and has 20000 customers

Situations:

Sales contract process:

• Using old profitability templates
• Cost spreadsheets are not automatically updated
• Cost prices are inflated
• A sales representative's assessment determines the risk profile.
• No formal creditworthiness assessment
• There aren't many rules when it comes to discounting.
• Each customer has a random set of conditions.
• Changes have to be made manually

Sales order process

• Stock levels are unknown when receiving an order
• Not knowing what other clients have already ordered/history of previous orders
• When taking an order, failing to check the client's credit limit
• Over the phone, a seles representative placed the order into the system manual.

Sales order preparation and delivery

• Pickers discover that certain things requested are out of stock.
• When there is no replacement item, they often call the consumer and figure out a solution.

Invoicing process

• The financial condition of the majority of consumers is unclear.
• Payment terms and credit limits are determined by a customer's interaction with sales representatives.
• The invoice may contain numerous deliveries
• A single invoice cannot be generated automatically by the current ERP system.
• Someone in accounting has to consolidate all deliveries into a single invoice manually