Introduction
Sydney IVF Limites is an Australian business that is engaged in the research of stem cells received from human embryos obtained through in vitro fertilization. Robert Jansen is the CEO of the company and holds the ultimate position in the decision-making process. The research of stem cells is associated with numerous risks, which range from organizational to ethical ones. Jansen used a special strategy in order to manage risks, which is based on risk categorization and leveling.
Discussion
Jansen applied the concentric circles model in order to manage risks. All the risks were divided into categories, which were related to different operational aspects. The outside ring was associated with daily activities and included patient communication and dealing with mistakes. The central part was related to “board-level concerns, enterprise risks, and signoffs by the audit committee” (Simons et al., 2009, p. 8). The middle ring comprised all the operational risks, divided into four categories, including ethics, science, community interests, and business. The use of the model allowed Jansen to develop appropriate protocols and procedures to manage different levels of risks associated with the business.
Additionally, in order to manage any risks related to ethics and moral aspects, Jansen decided to implement a list of actions that were permitted at Sydney IVF. These points were further used to develop policies that helped guide the daily activities of the organization. Among the most important aspects related to ethics, Sydney IVF described cloning, sex selection, and anonymous sperm and egg donations. Jansen’s strategy on moral regulations allowed the company to protect itself from possible ethical debates in society.
Conclusion
Jansen, as a CEO, holds full decision-making power in order to manage or mitigate risks. It is noted that he has the most comprehensive knowledge of all the policies and regulations, which helps to regulate and adjust the activities of the company (Simons et al., 2009). Additionally, Jansen is responsible for the fulfillment of the board’s requests and concerns, which is often associated with managing risks in the short term. Overall, the risk management strategy of Sydney IVF relies on risk categories identification and leveling, as well as developing appropriate protocols for their prevention.
Reference
Simons, R., Rosenberg, K., & Red, N. K. (2009). Sydney IVF: Stem cell research. Harvard Business School Case 109-017. Web.