Enterprise Risk Management in Supply Chain of Nestle Analysis Paper narrow your topic down a little and then write how you would utilize Enterprise Risk Ma

Enterprise Risk Management in Supply Chain of Nestle Analysis Paper narrow your topic down a little and then write how you would utilize Enterprise Risk Management for these topics. You an narrow the topics down to a specific company but want the overall theme to align with the list. Your research paper should be 6-10 pages and follow the same structure we did at Residency. Keep in mind that these are individual research papers and SafeAssign will be utilized. No plagirarism and intext citations and references are mandatory. APA format required.Attaching reference research paper for structure of paper. Running Head: ENTERPRISE RISKMANAGEMENT OF GOOGLE COMPANY
Enterprise Risk Management of Google company
University of the Cumberlands
Bhagirath Bhunedri
Srinivasreddy Dendi
Sundeep Somisetty
Purushotham Reddy Teegela
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Table of contents
Table of contents ………………………………………………………………………………………………………………………… 2
Introduction ……………………………………………………………………………………………………………………………….. 4
Strategy used by google company to combat risk in its business activities …………………………………………. 6
Google organizational security policies ………………………………………………………………………………………. 7
Management of data asset policies ……………………………………………………………………………………………. 7
Infrastructure security strategy …………………………………………………………………………………………………. 8
Disaster recovery and business continuity ………………………………………………………………………………….. 9
Recent financial performance of Google company ………………………………………………………………………… 10
Risks that Google company face. …………………………………………………………………………………………………. 11
Political risk …………………………………………………………………………………………………………………………… 12
Economic risk ………………………………………………………………………………………………………………………… 12
Legislative risk ……………………………………………………………………………………………………………………….. 12
Social risk………………………………………………………………………………………………………………………………. 13
Environmental risk …………………………………………………………………………………………………………………. 13
Traditional risk management methods…………………………………………………………………………………………. 13
Enterprise Risk Management method ………………………………………………………………………………………….. 15
Benefits of using Enterprise Risk Management. …………………………………………………………………………….. 18
Align the risk appetite together with the company strategy………………………………………………………… 18
ERM links company’s growth, risk and return ……………………………………………………………………………. 19
ERM helps in enhancement of risk response decisions ……………………………………………………………….. 19
Help the organization to reduce the operational surprises and losses ………………………………………….. 19
ERM also take into consideration the cross-company risks …………………………………………………………. 19
ERM offers integrated responses to multiple risks ……………………………………………………………………… 20
Limitations of using ERM ……………………………………………………………………………………………………………. 20
Costly and time consuming ……………………………………………………………………………………………………… 20
Human errors ………………………………………………………………………………………………………………………… 20
Problem in identifying key indicators of the risk ………………………………………………………………………… 20
Scoring model ……………………………………………………………………………………………………………………….. 21
Roles of ERM …………………………………………………………………………………………………………………………. 21
Key items company needs to address when it comes to ERM …………………………………………………………. 21
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Political risk …………………………………………………………………………………………………………………………… 22
Economic risk ………………………………………………………………………………………………………………………… 23
Legislative risk ……………………………………………………………………………………………………………………….. 23
Social risk………………………………………………………………………………………………………………………………. 24
Environmental risk …………………………………………………………………………………………………………………. 25
Recommendations …………………………………………………………………………………………………………………….. 26
Conclusion ………………………………………………………………………………………………………………………………… 27
References ……………………………………………………………………………………………………………………………….. 27
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Introduction
Google company is a multinational corporation that deals in internet related services and
products. Some of these services and products offered include a search engine, online advertising
technologies, cloud computing, software and hardware. It offers products for general public in
the entire world which includes Gmail, connected home, daydream view, Google Duo, Waze,
Google+ (which was recently shutdown), Google Play and YouTube. It also serves the business
line by providing products such as Blogger, Ad Mob, G Suite, Google Ad, Google Merchant
Center, Google Trend, Hire, and Waze Local.
Google company has its headquarters located in Mountain View in US 1600
Amphitheatre Parkway with other offices in 69 locations headed by the CEO Sundar Pichai.
According to Yahoo finance (2020), the top 10 competitors of Google company are Baidu which
is the biggest rival, Microsoft corporation, Apple, Amazon, Facebook, Altaba, Bing, Yandex,
Oracle, and Salesforce. Among these companies, Google company is ranked 3rd based on its
revenue and 5th in terms of employee with an average of 118,899 employees.
Google company is rooted back in a what is known as a “BackRub” research project that
was initiated by Larry Page and his counterpart Sergey Brin both PhD students in 1996 at
Stanford University, California (Claburn, and Thomas, 2008). The project was supported by the
third founder Scott Hassan who was the lead programmer and responsible for most of the code
for the original Google search engine but left before the Google become the company we know
today (Fisher, 2018). After more research and development and support from different personnel
and organizations like National Science Foundation Graduate Fellowship, Google company was
officially launched to market Web-based search engine in 1998 by Larry Page and Sergey Brin
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(Brin and Page ,1998). In 2003 the web-based search engine that was being marketed proved
successful and the company expanding moved several times and settled at Mountain View.
In 2004, the company experienced a phase of rapid growth where it made its initial public
offering and became one of the largest media company in the world. Before and after 2004,
google company made several additions in their company performance whereby they launched
Google news in 2002 (2 years before their public offering), Gmail in 2004 followed by Google
map in 2005 which is mostly used for direction purposes by millions of people across the globe.
In 2008, they also launched Google Chrome and the social network known as Google+ in 2011
which was later shut down last year April after it was noted to have low usage and security
liability for the Google company, and numerous other products.
In 2015, Google became the main subsidiary of the Alphabet Inc. In 2017, Google
announced its restructuring plan as a limited liability company (Google LLC), as a wholly owned
subsidiary of XXVI Holding, Inc. which was formed as a subsidiary of the Alphabet Inc. for the
purpose of holding other subsidiaries’ equity including Google LLC and other bet as mentioned
by the Bloomberg L.P article in September 1,2017.
Google company has actualized some partnership deals with many companies. For
instance, it engaged in partnership with AOL, NASA, Sky UK, Sun Microsystems and more. It
also set a charitable offshoot, Google.org in 2005. Google company got involved in a legal
dispute in last year in the US over a court order demanding a disclosure of URLs and search
strings and also subjected to a tax avoidance in the United Kingdom a case that date back in 2004
in which the Google company claimed that they had an overpaid tax amount.
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Strategy used by google company to combat risk in its business activities
Every business or enterprise are subjected to risk that interferes with their normal
operations. Google company is very vigilant in its way of combating risks that are associated
with it. Since google company is mostly involved in internet related services and product one of
the business that it is associated with is information access. Google company major business is to
act as intermediary in delivering information to millions of its users, safeguarding the privacy of
such information by placing security codes on them, hiding the access codes for each
information and preventing cyberattacks by hacker who might engage in malicious activity to get
access to its user private details. In a layman language, the core business activities of google
companies is to data storage, access and transfer. Those are the common activities of google that
are subjected to risk. For instance, Google’s one of the prominent product Gmail which has
billions of users across the world, requires high security protection to safeguard users with
different account from any fraud.
In order to safeguard such accounts, google initiate access control code that secure each
of the account from any fraud. According to their white paper on the IT security, Google
company mentioned a number of security strategy that they initiate to safeguard the information
of their users and the company database. These strategies are Google corporate security policies,
organizational security, access control policies, data asset management, personal security,
physical and environmental security, infrastructure security policy, system and software
development and maintenance policy, disaster recovery and business continuity. These strategies
are meant for safeguarding the company from any kind of risks ranging from political, economic,
legislative, technical and environmental risk and to begin with, following are some of the
policies.
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Google organizational security policies
Google company has devised several teams that are responsible for safeguarding the
organization. It has employed over 250 experts in information security and application and
network security. The team is subjected to maintenance of the company perimeter and internal
defense system, securing reviews, developing processes of secure development and building
customized security infrastructure.
Management of data asset policies
Google company has devised specific control on how its data asset is handled. Example
of its data assets are customer and end user assets and corporate data assets. In terms of
information access, the company has a control practice strategy that is aimed at securing
customer information to avoid risk of information leakage. Since Google applications operates in
a multi-tenant, distributed environment, its customers and consumer data are distributed among
shared infrastructures. These infrastructures are made up of Google’s numerous similar machines
that are located across Google’s data centers. Other strategy under this is that the company store
its data in a variety of distributed storage technologies for unstructured and structured data. For
example, they have Google File System (GFS) and distributed systems evolve from GFS such as
Big Table.
On the issue on Media disposal once one retires from the company system, disks
containing customer information is being subjected to destruction before exiting Google’s
premises. This strategy follows a policy where the disk is first wiped logically by the company’s
authorized individual and the approved process. To avoid another risk, another individual is
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appointed to conduct an inspection to the wiped disk by tracking the erased drive serial number.
Then later on, the erased drive is disposed to the inventory for restructure and reuse.
Infrastructure security strategy
Google company have outlined a series of strategies to curb any threat and infrastructure
managerial risk. The first one is to prevent malware which is a significant risk in the field of IT.
As we know malware attack can cause serious consequences like data theft, account compromise
and addition of network unauthorized access and for this case Google company have designed
several strategic methods to address risks associated with malwares.
A strategic method for improvising infrastructure security is thorough monitoring
information gathered from internal network traffic, track any information on vulnerability
outside and monitor the actions of employees inside the organization which I think is one of the
act in many organizations where you will find a CCTV camera mounted on every corner of the
office department to track every move going on in the company and one of the efficient activity
of Google company is network analysis where the authority examines system logs to track any
malicious behavior. For instance, accessing the former employee account or using their
authorization code to get into the system. Google company also has a team of engineers that
routinely conducts a search alerts on public data repositories by reviewing inbound security
alerts blog posts, and web bulletin board systems. This analysis and review help the company in
identifying and dealing with the unknown threat which might have escalated to the Google
security staff
A second strategy on infrastructure security is on the incident management. Under this, a
process is developed to analyze every security event to detect any malicious threat that may
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affect confidentiality, integrity or the availability of the system data. After detecting the threats,
the process initiates a course of action for escalation and mitigation. Actually those responsible
for designing the process are a team of experts in forensic who prepares the security events and
responsible for conducting a post-mortem to investigate the root cause of single event and relate
it to multiple event in which they later develop a strategy for preventing it reoccurrence.
Third is on network and operating system security. Google company have formulated
multiple layer of defense to safeguard their network perimeter and only the authorized protocol
can be allowed to access the network perimeter. To protect their Operating System, the company
only uses Linux as their production server since it is customized to contain those components
that are necessary for Google application.
Disaster recovery and business continuity
Google has implemented disaster recovery programs to all its data centers to minimize
service interruption that might be caused by system failures or natural disaster that may be
catastrophe. Some of these strategies are;
Google has its operations geographically distributed set of data centers that is designed to
maintain service continuity in the event of disaster or incidents in a single region. For instance,
the current situation of Coronavirus in across the globe where some of the countries have banned
public gathering that has led to the closure of several organizations. So, in a case like this in one
particular region, google company has ensured that other data centers which are not affected take
the control of service and ensure that their operation are running as usual.
It has also set data replication and backup programs where application data is replicated
to multiple systems within data center with some in multiple data centers so that in case of
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breach or data being affected by malicious threat in one data center, a replicated one can be
obtained from other data center or a backup of the data can be done to retrieve the lost data.
Google also has a routinely planned disaster recovery plan that is always improvised annually.
Annual planning and restructuring of the disaster recovery plan give the company a better hand
on dealing with any disasters in times of risks. This is done by the team of data management who
conducts a research on the global trend in case of global pandemics and market trends in cases of
market failure by the company then strategize their ideas and gather every facility ready to fight
any risk affecting their operation.
Recent financial performance of Google company
Financial performance record of the company is very essential for its growth and credit
risks. The unstable financial position of the company puts it in a risk of losing investors and
credit worthiness reputation. Actually when a company like this has unstable financial position
they face a risk of losing revenue because most of their investors will withdraw out from the
business and they will have problem with the government official which will subject them to
legislative risk for instance being sued for tax evasion is a very big risk for the company since
the fine they will have to pay or amounts they will use to defend themselves in court will account
for a certain percentage of their earned revenue.
According to Clement (2020), he indicated that in the last quarter of 2019 google
company recorded a revenue amounted to 45.8 billion U.S. dollars up from 40.34 billion dollars
in the preceding quarter. He stated that the company’s main revenue source is advertising
through the google sites and its networks. In 2019, google company accounted for most of parent
company Alphabet’s revenues with 113.26 billion U.S dollars in its website and revenues alone.
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Majority of this company revenue came from advertising through Google owned and operated
properties such as Google search, Google Maps and more. Revenue from company’s networks
member websites were revenues from ads served through advertising programs such as AdSense
for Ad Search.
Therefore, as narrated and listed by the Yahoo finance (2020), the income statement of
Google company records that the company has annual total revenue of 161.857 billion U.S.
dollars, operating at an income of 54 billion U.S dollars and a net income after tax of 34.343
billion U.S. dollars. Earnings per share as t…
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