For automotive and military there is a requirement for Risk Assessment for the product. Has anybody attempted to do this? If so what did you do. I am not aware of anything out of the box from Epicor.
Risk assessment is very subjective and depends on the case. In case of a product the risk can be as under:
-
risk to supply chain – disruption, cost, quality, contamination
-
production – production machine breakdown, destroyed, etc
-
People – any limitations on skills required
These things are generally discussed and decided by brainstorming among people involved. The after listing all the risks involved a weightage and probability is assigned to each which will give the severity of each risk factor. This gives a matrix, sometimes called a risk heat map.
Once each risk is identified, action plan from the management is needed on how these risks are mitigated or minimized. All these are then tabulated and noted in what is typically called a risk register. But it is essentially an Excel spreadsheet tabulating everything.
If you are an ISO company, risk analysis is probably already being done as it is now required by the new ISO standards.
We do a total organizations level risk analysis once a year as part of our ISO Management Responsibility.
Vinay Kamboj
Thank you for your response. How do you get the information from the assessment into Epicor?
I am trying to find a way to get the assessment into Epicor. What you wrote is of great information to me and I appreciate it.
There is no way to put it in Epicor. Like for us risk factors for our raw materials and general risks include political risks, foreign exchange rates, hurricanes, general state of economy, strike by railway workers, etc. If you want you can use UD tables to tabulate them to have an ongoing risk register, with dates of review etc.
Vinay Kamboj
I don’t think E10 is a good place to store risk assessment. If you need to regularly re-calculate it on a product by product level, you’d need to assign some factor to each element of the MOM, and then develop a system to “roll-up” the risks to give you some sort of factor.
Think of it like a cost roll-up. Each part has “risk” (and as @Vinaykamboj pointed out there are various sources that contribute). Instead of rolling up the costs, you’d have to roll-up the risks.
Now how you assign the risk level to each part, operation or resource, is entirely up to you. Say your finished part needs to be manufactured on a very specialized machine. If you have only one of that machine then the risk related to that resource is high, as you can’t make it with out that machine. If you have 5 of that machine your risk for that resource is lower.
I don’t think I would try to do the risk tracking of the MOM elements (parts, operations, resources, etc…) in E10. An Excel spread sheet that you could paste an MOM into would be the path I’d go. Then I can fine tune my risk factors for each element, with out having to go into E10 and update all those elements individually.