Introduction Risk management is a critical aspect that provides organisations with the security to operate with limited danger. Managers can either reduce or avoid risks that are likely to encounter their respective organisations. This paper analyses in detail the risk situation faced by Aqua Plc., a water company. The firm has encountered increased competition due to its high operating costs and is seeking to lower the same through the acquisition of new equipment and materials. Project Objective The objective of the project is to address the poor market performance of Aqua Plc. The company has suffered mainly from two areas of technology and failure of control over its entire marketing procedure. As a result, its production has relatively been higher than that of its competitors in terms of cost, while the profit margins have also been smaller. Risk Equipment acquisition There is likelihood that the new production line equipment may not be supplied to Aqua Plc in good time. The new equipment is being ordered from a supplier who must also get involved in testing its operations prior to the full launch. This means Aqua Plc directly relies on an external company to help it install and launch the equipment (Kremljak et al. 2012, p. 1717). It has no direct control over the equipment’s supplier and thus this is resulting in heightened risk. Apart from the supplier of the main equipment, provision of materials also needs to be undertaken by suppliers (Kremljak et al. 2012 p. 1717). The main equipment’s supplier does not deal with the necessary materials required for the functioning of the equipment. Aqua, thus, needs to enter into agreements with other supplier firms to enable the delivery of the materials, such as injections moulds, plastic materials, as well as other accessories. This further causes the risk in the sense that Aqua is depending on various supplier firms to sustain its new programme yet it lacks direct control over the supplier firms. Even where one supplier firm fulfils its obligation of delivering the materials, the project may still fail to take off because all suppliers involved must fulfil their obligations in time to enable the project take off. Technological impacts and aspects could as well result into a risk. While the suppliers may deliver the equipments in time, technological challenges may hamper the immediate operation of the same. The equipment’s standards and requirements may fail to match with the actual production at Aqua Plc (Real, Leal, & Roldán, 2006, p. 284). In this case, it may require additional time for the supplier to acquire the right technology before launching the new equipment. Additionally, it may force Aqua Plc to spend additional capital, on top of the 1,500,000.00 already paid to have the proper alignment and installation of the new equipment. Impacts The suppliers’ delay to deliver the new production equipment will result in Aqua Plc continuing to operate under high production costs (Berry & Collier, 2007, p. 1005). The frequent equipment breakdowns at the firm will continue, which hampers Aqua from attaining the targeted volume within the next two years. The price of its finished products will remain high, thereby limiting improvement of the firm’s performance in the market (Morten, John & Harry, 2003, p. 369). Equally, the old equip