Case Study AJ McDonalds & Co Pty Ltd is an Accounting company recently established with its office located at 44 George Street, Sydney, 2000. Its board is composed of 7 directors responsible for overall supervision and management of the company. Products & Services The Company is planning to offer following services to its clients which would include corporate clients, trusts, partnerships and individuals: • Financial & investment Planning • Audit & assurance • Internal audit outsourcing • Tax Planning • Seeking Private Rulings on specific tax issues • Tax returns Vision Statement of AJ McDonalds & Co Pty Ltd “To be one of the best professional accounting and management consultancy company in Pacific region” Mission Statement of AJ McDonalds & Co Pty Ltd “Our mission is to provide a largest range of accounting, taxation, risk management and management consultancy to SME and large businesses and financial institutions in Pacific region, to also contribute towards increase in their shareholders’ value. You have been appointed as Risk Management Officer of the company. The CEO has tasked you to develop a risk management strategy for the company and its implementation plan. Meeting with CEO You held a meeting with the CEO on the Risk Management strategy. You explained that it was not possible to have a totally risk-free environment. Many decisions involve managing risks according to the Company’s assessment of what constitutes an acceptable level of risk and its judgments about the costs and benefits of particular courses of action. CEO advised to prepare a risk matrix to assess the level of acceptable risk. You also explained following objectives of Risk Management function in the company and sought his support to ensure that the objectives are achieved through a series of actions including strategy and implementation: