Description
Description of the Assessment Using the concepts, tools and techniques studied on this module/course you are to explore the Strategic Decision and Risk Analysis within an organisation of your choice company (do not use the company that you have presented). In doing so you are expected to critically assess how the organisation develop /make their Strategic Decision and Risk Analysis and how, (if any) they use concepts, tools and techniques and how they influence the development of Strategic Decision and Risk Analysis.
The assignment should be completed in report format of no more than 1500 words and should include the following: 1. 2. 3. 4
- A short Executive summary/Introduction (what the report covers)
- A background to the organisation’s strategic activities and how that relates to its organizational structure, business conduct and operational activities.
- Application and analysis of Strategic Decision and Risk Analysis activities, strategies, tools and techniques employed by the organisation (this can include future planned or proposed changes).
- Practical recommendations (with implementation plan) to improve Strategic Decision and Risk Analysis.
GUIDANCE NOTES: This is an individual assignment that should be 1500 words maximum (excluding references and Appendixes). 10+ or- any longer assignments will be penalized.

Explanation & Answer

Attached.
OUTLINE
Strategic Decision-Making and Risk Management at Tesla
A. Executive Summary/Introduction
✓
Overview of Tesla’s organizational structure, centralized decision-making, and
risk management practices.
✓
Use of strategic frameworks (PESTLE, SWOT, Porter’s Five Forces).
✓
Key proactive measures and practical recommendations for resilience and
competitive advantage.
B. Organizational Background
✓
Tesla’s founding, mission, and operational strategy.
✓
Centralized decision-making and functional structure supporting innovation and
sustainability.
✓
Achievements and challenges, including product recalls and global expansion
plans.
C. Strategic Decision and Risk Analysis
✓
Application of strategic tools (PESTLE, SWOT, Porter’s Five Forces) for market
insights and competitive positioning.
✓
Risk assessment aligned with NIST guidelines addressing cybersecurity, supply
chain, and geopolitical risks.
✓
Role of technology (AI, big data, cloud computing) in decision-making and risk
mitigation.
✓
Examples of proactive strategies: Gigafactory expansions, supply chain resilience,
cybersecurity measures.
D. Practical Recommendations
✓
Cybersecurity: Zero trust architecture, ethical hacker partnerships, advanced
encryption, employee training.
✓
Supply Chain Diversification: Global supplier networks, recycling facilities,
secondary sourcing agreements.
✓
AI-Driven Decision-Making: Predictive analytics for market trends, production
efficiency, and customer behavior.
✓
Geographic Diversification: Expansion into stable and emerging markets to
reduce geopolitical risks.
Student’s Name
Course Title
Instructor’s Name
Institution Affiliation
Date
1
Strategic Decision-Making and Risk Management at Tesla
Executive Summary/Introduction
This report looks at Tesla, Inc.’s organizational structure, decision making and risk
management. As a global leader in electric vehicles (EV) and renewable energy Tesla operates a
functional organization with a centralized decision making process. The company’s strategy is to
grow sustainably through vertical integration, technology and geographic expansion. PESTLE,
SWOT and Porter’s Five Forces are used to identify opportunities and navigate challenges in a
competitive market. Risk management practices aligned to NIST guidelines address cybersecurity
threats, supply chain vulnerabilities and geopolitical risks. The report highlights Tesla’s proactive
measures including expanding its Gigafactory network, using AI driven decision making tools and
diversifying its supply chain. Practical recommendations are given to enhance these strategies so
Tesla remains resilient and stays ahead in the EV industry.
Organizational Background
Tesla, founded in 2003 and based in Silicon Valley, is an EV, energy and sustainable
technology leader. They have a functional organizational structure with centralized decision
making and function based hierarchies. This allows them to integrate and align globally and
innovate and operate fast (Hadad, 2024). The structure is designed for growth with divisions for
automotive and energy generation so they can focus on different product lines and markets.
Tesla’s strategy is to accelerate the world’s transition to sustainable energy. This means
designing, manufacturing and selling EVs, solar panels and energy storage. They leverage vertical
integration by producing key vehicle components and managing their supply chain internally to
have control over quality and cost (Gong & Jia, 2024). Their global Gigafactories are an example
of their operational strategy to produce locally to reduce cost and meet local demand. Their
2
business is focused on innovation, sustainability and customer centricity. They have integrated
technology such as cloud computing and big data into their operations to collect data in real time
and analyze to improve continuously (Mo & Wang, 2021). This has enabled them to do over the
air software updates and autonomous driving.
Despite all the achievements, Tesla has challenges, production delays and product safety
issues. Product recalls due to safety concerns has exposed areas for improvement in quality control
and supply chain management (Mo & Wang, 2021). But they are committed to innovation and
expansion as seen in their plan to build a Gigafactory in Mexico to expand their global presence
(Zheng, 2024). Their centralized but flexible org structure matches their strategy of innovation and
sustainability to support their operations and business to grow long term.
Strategic Decision and Risk Analysis
Tesla uses a range of strategic decision making and risk analysis tools to navigate the
competitive and fast moving EV space. At the heart of its strategy is the integration of advanced
tech, innovative manufacturing and sustainable practices. Tesla uses PESTLE and SWOT analysis
to look at external and internal facto...
