TESLA COMPANY CASE STUDY

In Chapter 15, Edmonton usedthe PM-squared <a href=”https://www.homeworkgain.com/downloads/research-57/”>risk</a> scorecard process to manage risks, and that included five steps as per the textbook. To reflect on this, I bring up a recent lawsuit against Tesla, where the petitioner claimed that some Tesla cars accelerate suddenly causing crashes. A similar lawsuit was filed a few years ago against Toyota, however, as opposed to Toyota who took few months to investigate and finally conclude the claims are baseless, the response of Tesla was swift and complete denial. The immediate outcome was a share price spike in Tesla’s case and a sharp decline in Toyota’s case. Probably Tesla’s assessment of the impact and likelihood of the actual problem was carried out and led to their swift denial. If you were a Tesla executive, would you handle the issue differently? Please explain.
To complete this assignment, you must do the following:
Question 1: Create a new thread. As indicated above, assume that you are Tesla executive, would you handle the <a href=”https://www.homeworkgain.com/downloads/health-insurance/”>lawsuit</a> differently? How would you use PM-squared risk scorecard process to handle the crisis?
Requirements:
– 400 words
NOTE: These discussions should be informal discussions, NOT research papers. If you MUST directly quote a resource, then cite it properly in APA formatting.
– Strictly No plagiarism

Question 2: Select AT LEAST 2 other students’ threads and post substantive comments on those threads, evaluating the pros and cons of that student’s recommendations. Your comments should extend the conversation started with the thread.

Post 1:

Tesla’s decision to respond to the claims in a swift manner and completely denying the allegations is not a good decision without due diligence after a thorough investigation. There is no doubt that if the executive conducted adequate investigations, the company would have come up with results whether positive and negative that would have made the company develop a policy to prevent such allegations in the future. If I were the company’s executive, I would have first led the investigations to identify the risk. This step would have helped the company to uncover, recognize, and describe it (Phillips, Bothell &amp; Snead, 2012). In order to do this, I would have used project risk register to not only identify the alleged risk but to also identify any other risks that might be available.
The second step would have been analyzing the risk with the intent of determining the likelihood as well as the consequences of identified risks (Phillips, Bothell &amp; Snead, 2012). Instead of the executive dismissing the allegations that the high-speed acceleration causes crashes, this was the opportunity to analyze the allegations. The third step would have been evaluating or ranking the risk. This means that the investigations would have helped the company to identify both the likelihood and the consequences. This is the step to determine whether the allegations were serious to warrant actions to be taken.
The fourth step would have been the treatment of the risk, popularly known as the risk response planning which would have helped the company modify the risk in order to rectify the situation (Phillips, Bothell &amp; Snead, 2012). The fifth step would have been to monitor and review the risk. After some remedies have been applied to the identified risk, it would have been important to ensure that the remedies work properly.

References
Phillips, J.K., Bothell, W. T. &amp; Snead, G.L (2012). The Project Management Scorecard. New York: Routledge.

Post 2:

If I am a Tesla executive then I would have handled the same way Tesla has handled this crisis. Tesla denied unintended acceleration charges by swiftly releasing a denial report. In the report they clearly stated, they investigated every single incident including customer complaints on unintended acceleration periodically and confirmed car functioned as designed (Tesla team,2020). According to me, Tesla’s effective ERM implementation including performance management and strategy for claims and also an action plan for future risks helped them to release a swift denial report with accurate details on their investigation. I think this immediate denial report by Tesla improved the creditability and trust of them by customers which makes the price spike in Tesla’s shares. This is a great example of how an effective ERM implementation plays a major role in the organization’s overall success. In order hand, it seems Toyota did not implement an effective ERM to handle this kind of clams immediately.

If I need to handle this kind of crisis using PM squared risk scorecard process, I’ll use their six steps methodology. First I will work on the weighting of goals for claims as to the highest priority. Then identify the risks for these and score their likelihood and Impact. Any claim which has high impact and likelihood should be addressed immediately. I’ll also evaluate the current process of handling this kind of claim and score them. Also identify future initiatives and future mitigations (Fraser, Simkins, &amp; Narvaez, 2015). I believe Tesla already had an effective ERM implementation like a PM-squared risk scorecard. I think the reason for the Toyota crisis was they didn’t have an ERM like a PM squared risk scorecard process to handle this kind of claim. As they took a few months to investigate the claim they lost the credibility from customers and Toyota’s share price sharp declined.
Reference
Fraser, J., Simkins, B. J., &amp; Narvaez, K. (2015). Implementing enterprise risk management: case studies and best practices. Hoboken: Wiley
Tesla team(2020, January 20). There is no “unintended acceleration” in Tesla vehicles. Retrieved from https://www.tesla.com/blog/no-unintended-acceleration-tesla-vehicles

&nbsp;

Order a unique copy of this paper
(550 words)

Approximate price: $22

Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

We value our customers and so we ensure that what we do is 100% original..
With us you are guaranteed of quality work done by our qualified experts.Your information and everything that you do with us is kept completely confidential.

Money-back guarantee

At homeworkcheg.com, You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

The Product ordered is guaranteed to be original. Orders are checked by the most advanced anti-plagiarism software in the market to assure that the Product is 100% original. The Company has a zero tolerance policy for plagiarism.

Read more

Free-revision policy

The Free Revision policy is a courtesy service that the Company provides to help ensure Customer’s total satisfaction with the completed Order. To receive free revision the Company requires that the Customer provide the request within fourteen (14) days from the first completion date and within a period of thirty (30) days for dissertations.

Read more

Privacy policy

The Company is committed to protect the privacy of the Customer and it will never resell or share any of Customer’s personal information, including credit card data, with any third party. All the online transactions are processed through the secure and reliable online payment systems.

Read more

Fair-cooperation guarantee

By placing an order with at HomeworkCheg, you agree to the service we provide. We will endear to do all that it takes to deliver a comprehensive paper as per your requirements. We also count on your cooperation to ensure that we deliver on this mandate.

Read more

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency