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Part 3  Implementation

 Questions 

   

1 

  What does this case study suggest are the main 

challenges for different stages of introducing 

a wiki or other Enterprise 2.0 approaches in a 

large  organisation?  

  

2 

  Which solutions does Nathan Wallace describe as 

being effective for overcoming these problems?   

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Chapter 10  Change management

   

Activity 10.5

 

Digital business risk management 

  Purpose 

 To highlight risks that are part of a digital business implementation and suggest solu-

tions. This activity acts as a summary of many of the change management concepts 

reviewed in this chapter.  

  Activity 

 Review this chapter with reference to  Chapters   4    and  5  and produce a grid with four 

columns describing the risk for a company with which you are familiar, or for a typical 

B2C company, assessing its probability on a scale of 0 (no risk) to 10 (very high risk), 

its impact from a scale of 0 (no impact) to 10 (catastrophic), and possible solutions. 

  Answers to activities can be found at    www.pearsoned.co.uk/chaffey    

  Risk  management 

 To conclude this chapter and act as a bridge to the final two chapters we review the prob‑

lems associated with change when managing a digital business implementation. Risk man‑

agement is intended to identify potential risks in a range of situations and then take actions 

to minimise the risks. We all unconsciously perform risk management throughout our lives. 

For example, when crossing a country road we will assess the likely risk of a car approach‑

ing, or a silent cyclist approaching around the blind bend, and perhaps increase our pace 

accordingly. Activity 10.5 is intended to illustrate these risks.  

Risk management

   involves 

these  stages:   

   1 

  Identify risks, including their probabilities and impacts.  

  2 

  Identify possible solutions to these risks.  

  3 

  Implement the solutions, targeting the  highest‑  impact, most likely risks.  

  4 

  Monitor the risks to learn for future risk assessment.   

  Risk  management 

  Evaluating  potential  risks, 

developing strategies to 

reduce risks and learning 

about future risks.   

 As an alternative view of risks with a wider organisation context, Simon (1999) presents a 

simple risk calculator based on different types of risks faced at a company level ( Table   10.6   ). 

This calculator can be usefully applied to digital business change or a  high‑  growth  dot‑  com 

company since significant change may accentuate these risks.       

 Many businesses are not yet at this level of sophistication since social media marketing 

is still new to many companies. Many seem to use social media as another broadcasting 

channel for talking  at  rather than  with  customers. Very few organisations have developed an 

integrated and coordinated social media strategy fully aligned with, and supportive of, core 

business goals and objectives.   

 

  

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