An Organizational Structure Based on Risk and Quality Fundamentals

Decent Essays

Following the review cited above, it is apparent that risk management cycle (hazard identification, risk assessment for prioritizing the need for response, decision for actions according to available resources, measures implementation, monitoring, feedback and identification of new hazards) dominates every business activity and consequently comprises the process that drives the organisational management and operations. From a wider viewpoint, Risk Management comprises the inevitable and inextricable process that drives any human action lying from personal choices, to the family, team, social, workplace etc. levels and extending to the highest levels of decision making (e.g. States, Alliances etc.); Every …show more content…

The fundamental quality PDCA cycle (Plan-Do-Check-Act) concerned, it may comprise the driver for an effective and operational organisational structure since quality principles as discussed above may apply to every organisational activity. More particularly:
• In order to ensure that the “Act” stage that follows the assessment stage “Check” will comply with the organisational policies and will not provoke negative side effects due to lack of the big picture, an additional “Plan” stage between “Check” and “Act” is considered essential. Therefore, the complete cycle on the scope of more effective organisational management would be: “Plan-Do-Check-Plan-Act”.
• After the organisations’ initial development and the beginning of production and operations, the first two stages of the aforementioned modified cycle are actually omitted since additional planning is required only to improve the system during its monitoring, and the “Act” and the “Do” steps are mutually absorbed in a new stage that could be named as “Operate”; thus, the cycle may take the form: “Operate-Check-Plan”.
• Moreover, it may be claimed that the notion of cycle is not realistic since any stage of the cycle is present in parallel with the others, and it does not apply sequentially; the

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