Australian Business Academy ABN: 17 072 355 090 ACN: 072 355 090 CRICOS: 01752G RTO : 88201
Unit Assessment Assessment
BSBRSK501 Manage risk Assessment guidelines Please read these assessment guidelines carefully: •
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You may use your student notes, magazines, brochures, periodicals, books, scholarly publications, the internet, etc. to research and obtain information, though you are not limited to these. Citing sources of information: Identify all sources of information. List all references alphabetically (by first author's name) in a reference section at the end of your assessment. Make sure that all references cited in the assessment are cited in the reference section and vice-versa. If you consulted a source but did not use any of that information, do not list it in the reference section. If you are not sure how to do in-text citations and references, you should consult your assessor or check the Learner guide. You should put your name and student ID along with the number of the question you are answering (header or footer).
Grading is applied to each unit of competence(C) once com petence is determined. Grading is transparent (informs the level of performance to the candidate and reflects the methodology used). Criteria will be developed for each of the levels of reporting below which could include, for example, employability, depth or breadth of knowledge, work quality, originality and creativity, positive approaches to learning, level of independence or mastery.
Student’s guidelines •
Students are required to type/write their answers in their own words, cut and pasting from the internet will not be accepted.
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Prior to attempting the unit assessments, students are encouraged to read all e-handouts, key concepts and notes, slides and recommended websites, as they a directly related to t he unit assessments.
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Your assessor may conduct an oral questioning of your research (so make sure you remember what you write/type).
Assessment condition Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the regulation, licensing and risk - risk management field of work and include access to: •
relevant legislation, regulations, standards and codes
Part A – Essential Knowledge Gathering Assessment Instructions This is an individual assessment. The purpose of this assessment is to assess the students’ knowledge required to manage risks in a range of contexts across an organisation or for a specific business unit or area in any industry setting. To make full and satisfactory responses you should consult a range of learning resources, other information such as handouts and textbooks, learners’ resources and slides. All activities must be answered in order to gain competency for this assessment.
Answer all activities 1. In your own words, explain the term ‘Risk’.
possibility of an event (something happens) to the possibility of an effect and, in particular, an effect on objectives 2. In your own words, explain the term ‘Risk Management’.
Risks affecting organizations can have consequences in terms of economic performance and professional reputation, as well as environmental, safety and societal outcomes. Therefore, managing risk effectively helps
Part B – Work product (Report on risks) Assessment instruction This is an individual assignment. The purpose of this assessment is to assess your ability to determine the risk context associated with establishing a new business outlet within the existing business structure. You will be required to review internal and external environment factors, obtain support for activities and liaise with relevant stakeholders to identify risks. The assessment task is due on the date specified by your assessor. Any variations t o this arrangement must be approved in writing by your assessor. Submit this document with any required evidence attached. See the required evidence below for details. To make full and satisfactory responses you should consult a range of learning resources, other information such as handouts and textbooks, learners’ resources and slides. All assessment requirements must be answered in order to gain competency for this assessment.
Assessment description For the MacVille Pty Ltd simulated business scenario provided, you are required to assume the role of Brisbane store Assistant Manager, Ash, who has just been promoted to be Manager of a new store. Ash has been tasked with conducting a risk management analysis of this new venture. There are three stages to this project: (1) review, (2) analyse and plan, and (3) monitor. This project
Excerpt of email from CEO Paula Kinski From: CEO – P. Kinski To: Assistant Manager – Queen Street store Re: New Toowoomba store Congratulations on your new appointment. Prior to taking up your position as Manager of our new Toowoomba store, located in Ruthven Street, the Board of Directors has asked that the risks in this project be appropriately managed. I want you to undertake this task as it will give you significant insight into the store’s operations, it will ensure a smooth transition for Hurley’s Café staff into the MacVille family and will encourage you to give ongoing support for our risk management initiatives. I would like you to approach this task in three stages and meet with me at the end of each phase to review your work and discuss your plans for the subsequent phases. The three stages in this risk management task will include:
1.
Review.
2.
Analyse and plan.
3.
Monitor.
… Once I have received your risk review report, we will need to discuss the steps that you will take in the risk management process. Regards P. Kinski CEO MacVille Cafés (Qld)
g.
Complete the analysis of risk for the scenario by summarising the scenario and identifying a list of risks to the project.
Note: Ensure your report is written in a style appropriate to your stakeholder audience, for example, using appropriate language and including appropriate illustrative material (such as checklists, diagrams or flow charts) and attachments to support your summary.
3. Submit your report as per the specifications (see required evidence) on the next page. Be sure to keep a copy for your records. 4. After you have developed your report, write an email that is intended for relevant stakeholders (identified in Step 2). Your email should clearly ask stakeholders for input, include a list of risks you have identified and invite them to assist in identifying any additional risks. 5. Send the email to the CEO (your assessor) for review and request a meeting to discuss identified risks and further risk management processes. 6. Meet with the CEO to: a.
discuss your findings, particularly your understanding of the critical success factors and goals
b. explain the MacVille risk management process c.
discuss how you can communicate with stakeholders about the risk management processes in this scenario and invite them to participate in discussions to further identify risks associated with the scenario
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ability to interact with others using appropriate conventions when communicating to, and consulting with, stakeholders ability to sequence and schedule activities and manage communication ability to analyse relevant information to identify scope, goals and objectives and to evaluate options ability to use familiar digital technology to access information, document findings and communicate them to stakeholders.
Part C – Work product (Analyse and treat risk) Assessment instruction This is an individual assignment. The purpose of this assessment is to assess your ability to analyse the risks you identified in the simulated business scenario to assess the likelihood and c onsequence of risks, evaluate and prioritise risks, and determine options for t reatment. You are also required to develop a risk management action plan for the treatment of risks and communicate it to relevant stakeholders. The assessment task is due on the date specified by your assessor. Any variations to this arrangement must be approved in writing by your assessor. Submit this document with any required evidence attached. See the required evidence below for details. To make full and satisfactory responses you should consult a range of learning resources, other information such as handouts and textbooks, learners’ resources and slides. All assessment requirements must be answered in order to gain competency for this assessment.
Assessment description For the MacVille Pty Ltd simulated business scenario provided, you are required to assume the role of Brisbane store Assistant Manager, Ash, who has just been promoted to be Manager of a new store. Ash has been tasked with conducting a risk management analysis of this new venture.
b. For each risk, assess the consequence of the risk occurring. c.
Develop a risk matrix to assist in prioritising the treatment of the identified risks, including numerical values (e.g. risk matrix)
d. Once you have prioritised the risks, for each, outline at least two suitable options for treatment. e.
Include an explanation of the process you used to identify risks and assess likelihood, consequence and priority. Also include an explanation of why the options you have suggested for treating the risks are: i.
likely to be effective
ii.
feasible for the organisation.
Note: Ensure your report is written in a style appropriate to your stakeholder audience, for example, using appropriate language and including appropriate illustrative material (such as checklists, diagrams or flow charts) and attachments to support your findings and process.
3. Develop an action plan (you may use the Risk Management Action Plan template provided in the Appendix- part C) for implementing risk treatment and attach it to your report. 4. Communicate your analysis to the Board of Directors by submitting your risk analysis report, along with your risk management plan, to the CEO (your assessor) for internal distribution.
Task B
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ability to sequence and schedule activities and manage communication
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ability to analyse relevant information to identify and evaluate treatment options
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ability to use familiar digital technology to access information, document findings and communicate them to stakeholders.
Australian Business Academy ABN: 17 072 355 090 ACN: 072 355 090 CRICOS: 01752G RTO : 88201
Part D Work product (Monitor risk and evaluate processes) Assessment instruction This is an individual assignment. The purpose of this assessment is to assess your ability required to review the implementation of the risk management action plan you developed in Part B, and prepare a monitoring report. The assessment task is due on the date specified by your assessor. Any variations to this arrangement must be approved in writing by your assessor. Submit this document with any required evidence attached. See the required evidence below for details. To make full and satisfactory responses you should consult a range of learning resources, other information such as handouts and textbooks, learners’ resources and slides. All assessment requirements must be answered in order to gain competency for this assessment.
Assessment description For the MacVille Pty Ltd simulated business scenario provided, you are required to assume the role of Brisbane store Assistant Manager, Ash, who has just been promoted to be Manager of a new
ii.
Implementation – a summary of all actions taken to date in attempting to manage identified risks.
iii. Outcomes – a clear statement identifying continued and/or reduced risks, with supporting information in tables or graphs where available. iv. Evaluation – a clear analysis of the effectiveness of the risk management plan, including risk assessment (e.g. risk matrix), by comparing the implementation with the outcomes. Note: Ensure your report is written in a style appropriate to your stakeholder audience, for example,
using appropriate language and including appropriate illustrative material (such as checklists, diagrams or flow charts) and attachments to support your findings and process. 3. Submit the required documents for assessment as per the specifications below. Be sure to keep a copy for your records.
Required evidence (specification) You must provide: •
a monitoring report.
Your assessor will be looking for: •
reading skills to review, interpret and analyse text-based business information from a range of sources in order to evaluate effectiveness of risk management implementation
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written skills to organise and deliver information to effectively communicate evaluation of
Australian Business Academy ABN: 17 072 355 090 ACN: 072 355 090 CRICOS: 01752G RTO : 88201
Assessment criteria The purpose of the table below is to provide criteria for the review of the evidence you provide and to provide you with detailed feedback about your performance within this unit of competence. Component
Not competent Shows no evidence of meeting industry expectations
Competent-Pass Meets industry expectations
Competent-Credit Perform above industry expectations
Competent-Distinction Shows a level of mastery
Part B – Work product (Report on risks) Element 1: Establish risk context 1.1 Review organisational processes, procedures and requirements for undertaking risk management in accordance with current risk management standards 1.2 Determine scope for risk management process 1.3 Identify internal and external stakeholders and their issues 1.4 Review political, economic, social, legal, technological and policy context 1.5 Review strengths and weaknesses of existing arrangements 1.6 Document critical success factors, goals or objectives for area included in scope
Work product did not achieve the aims of the task set due to any of the following: lack of basic understanding of processes non-compliance with legislation or industry standards errors in fact.
Work product meets industry expectations but contains minor errors which should be corrected in future
Work product exceeds industry expectations and contains no errors of fact or process, compliance to standards or compliance with legislation.
Work product demonstrates deep level of knowledge command of skills and proficiency.
Competent-High Distinction Shows excellence in all areas Work product surpasses industry expectations in all aspects.
Component
1.7 Obtain support for risk management activities 1.8 Communicate with relevant parties about the risk management process and invite participation Part B – Work product (Report on risks) Part C– Work product (Analyse and treat risk) Element 2: Identify risks 2.1 Invite relevant parties to assist in the identification of risks 2.2 Research risks that may apply to scope 2.3 Use tools and techniques to generate a list of risks that apply to the scope, in consultation with relevant parties Part B – Work product (Report on risks) Part C – Work pr oduct (Analyse and treat risk) Element 3: Analyse risks 3.1 Assess likelihood of risks occurring 3.2 Assess impact or consequence if risks occur 3.3 Evaluate and prioritise risks for treatment
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Not competent Shows no evidence of meeting industry expectations
Competent-Pass Meets industry expectations
Competent-Credit Perform above industry expectations
Competent-Distinction Shows a level of mastery
Competent-High Distinction Shows excellence in all areas
Work product did not achieve the aims of the task set due to any of the following: lack of basic understanding of processes non-compliance with legislation or industry standards errors in fact
Work product meets industry expectations but contains minor errors which should be corrected in future
Work product exceeds industry expectations and contains no errors of fact or process, compliance to standards or compliance with legislation.
Work product demonstrates deep level of knowledge command of skills and proficiency.
Work product surpasses industry expectations in all aspects.
Work product did not achieve the aims of the task set due to any of the following: lack of basic understanding of processes non-compliance with legislation or industry standards errors in fact
Work product meets industry expectations but contains minor errors which should be corrected in future
Work product exceeds industry expectations and contains no errors of fact or process, compliance to standards or compliance with legislation.
Work product demonstrates deep level of knowledge command of skills and proficiency.
Work product surpasses industry expectations in all aspects.
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Component
Part C – Work pr oduct (Analyse and treat risk) Part D Work product (Monitor r isk and evaluate processes) Element 4: Select and implement treatments 4.1 Determine and select most appropriate options for treating risks 4.2 Develop an action plan for implementing risk treatment 4.3 Communicate risk management processes to relevant parties 4.4 Ensure all documentation is in order and appropriately stored 4.5 Implement and monitor action plan 4.6 Evaluate risk management process Part B – Work product (Report on risks) Part C – Work pr oduct (Analyse and treat risk) Part D Work product (Monitor r isk and evaluate processes) Required knowledge: 1. outline the purpose and key elements of current risk management standards 2. outline the legislative and regulatory context of the organisation in relation to risk
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Employ
Not competent Shows no evidence of meeting industry expectations
Competent-Pass Meets industry expectations
Competent-Credit Perform above industry expectations
Competent-Distinction Shows a level of mastery
Work product did not achieve the aims of the task set due to any of the following: lack of basic understanding of processes non-compliance with legislation or industry standards errors in fact
Work product meets industry expectations but contains minor errors which should be corrected in future
Work product exceeds industry expectations and contains no errors of fact or process, compliance to standards or compliance with legislation.
Work product demonstrates deep level of knowledge command of skills and proficiency.
Shows little understanding of required content and or has misrepresented essential knowledge.
Ability to receive identify required knowledge from sources such as standards, legislation and to memorise required facts to perform necessary tasks
Ability to reproduce knowledge by specifying requirements, illustrate key concepts, discrimination between sources and explaining to others. Ability to transpose and translate and apply required knowledge to novel situations.
Ability to create knowledge through analysis
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Competent-High Distinction Shows excellence in all areas Work product surpasses industry expectations in all aspects.
Ability to evaluate and ability to influence others though clear presentation of ideas.
Component
management outline organisational policies, procedures and processes for risk management. Part B – Work product (Report on risks) Part C – Work pr oduct (Analyse and treat risk) Part D Work product (Monitor r isk and evaluate processes) Performance evidence: Evidence of the ability to: 1. analyse information from a range of sources to identify the scope and context of the risk management process including: stakeholder analysis political, economic, social, legal, technological and policy context current arrangements objectives and critical success factors for the area included in scope risks that may apply to scope 2. consult and communicate with relevant stakeholders to identify and assess risks, determine appropriate risk treatment actions and priorities and explain the risk
Not competent Shows no evidence of meeting industry expectations
Competent-Pass Meets industry expectations
Competent-Credit Perform above industry expectations
Competent-Distinction Shows a level of mastery
Competent-High Distinction Shows excellence in all areas
Work product did not achieve the aims of the task set due to any of the following: lack of basic understanding of processes non-compliance with legislation or industry standards errors in fact
Work product contained minor errors which should be corrected in future
Work product meets industry expectations and contains no errors of fact or process, compliance to standards or compliance with legislation
Work product demonstrates deep level of knowledge command of skills and proficiency.
Work product surpasses industry expectations in all aspects.
3.
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Component
management processes develop and implement an action plan to treat risks 4. monitor and evaluate the action plan and risk management process 5. maintain documentation. Part B – Work product (Report on risks) Foundation Skill Reading Comprehends a variety of relatively complex texts Gathers, interprets and analyses textual information from a range of sources to identify relevant information
Not competent Shows no evidence of meeting industry expectations
Competent-Pass Meets industry expectations
Competent-Credit Perform above industry expectations
Competent-Distinction Shows a level of mastery
Competent-High Distinction Shows excellence in all areas
No examples of this skill were observed Cannot use this skill within work processes Requires assistance with most tasks Cannot deal with complex issues Cannot deal with unfamiliar contexts
Examples of this skill were observed Can use this skill within some work processes Requires assistance with some tasks Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Requires assistance with some tasks Can deal with complex issues Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Does not require assistance with tasks Can deal with complex issues Can deal with some unfamiliar contexts
No examples of this skill were observed Cannot use this skill within work processes Requires assistance with most tasks Cannot deal with complex issues Cannot deal with
Examples of this skill were observed Can use this skill within some work processes Requires assistance with some tasks Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Requires assistance with some tasks Can deal with complex issues Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Does not require assistance with tasks Can deal with complex issues Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within all work processes Does not require assistance with tasks Can deal with complex issues Can deal with most unfamiliar contexts Consistently uses this skill Can use this skill within all work processes Does not require assistance with tasks Can deal with complex issues Can deal with
3.
Part B – Work product (Report on risks) Part C – Work pr oduct (Analyse and treat risk) Part D Work product (Monitor r isk and evaluate processes) Foundation Skill Writing Develops textual material and organises content in a manner that effectively documents risk
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Employ
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Component
Not competent Shows no evidence of meeting industry expectations
Competent-Pass Meets industry expectations
Competent-Credit Perform above industry expectations
Competent-Distinction Shows a level of mastery
management analysis and assessment priorities and processes Part C – Work pr oduct (Analyse and treat risk) Foundation Skill Numeracy Uses numerical tools to assess risk and uses numerical data to review plans
unfamiliar contexts No examples of this skill were observed Cannot use this skill within work processes Requires assistance with most tasks Cannot deal with complex issues Cannot deal with unfamiliar contexts
Examples of this skill were observed Can use this skill within some work processes Requires assistance with some tasks Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Requires assistance with some tasks Can deal with complex issues Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Does not require assistance with tasks Can deal with complex issues Can deal with some unfamiliar contexts
Part B – Work product (Report on risks) Part C – Work pr oduct (Analyse and treat risk) Part D Work product (Monitor risk and evaluate processes) Foundation Skill Oral communication Participates in interactions with stakeholders using questioning and listening to elicit opinions, and to confirm and clarify understanding
No examples of this skill were observed Cannot use this skill within work processes Requires assistance with most tasks Cannot deal with complex issues Cannot deal with unfamiliar contexts
Examples of this skill were observed Can use this skill within some work processes Requires assistance with some tasks Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Requires assistance with some tasks Can deal with complex issues Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Does not require assistance with tasks Can deal with complex issues Can deal with some unfamiliar contexts
Part B – Work product (Report on risks)
No examples of this skill were observed
Examples of this skill were observed
Consistently uses this skill
Consistently uses this skill Can use this skill within most work
Educate
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Employ
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Competent-High Distinction Shows excellence in all areas most unfamiliar contexts Consistently uses this skill Can use this skill within all work processes Does not require assistance with tasks Can deal with complex issues Can deal with most unfamiliar contexts Consistently uses this skill Can use this skill within all work processes Does not require assistance with tasks Can deal with complex issues Can deal with most unfamiliar contexts Consistently uses this skill
Component
Not competent Shows no evidence of meeting industry expectations
Competent-Pass Meets industry expectations
Competent-Credit Perform above industry expectations
Competent-Distinction Shows a level of mastery
Part C – Work pr oduct (Analyse and treat risk) Part D Work product (Monitor risk and evaluate processes) Foundation Skill Navigate the world of work Refers to organisational processes, procedures and requirements when making decisions about risk management
Cannot use this skill within work processes Requires assistance with most tasks Cannot deal with complex issues Cannot deal with unfamiliar contexts
Can use this skill within some work processes Requires assistance with some tasks Can deal with some unfamiliar contexts
Can use this skill within most work processes Requires assistance with some tasks Can deal with complex issues Can deal with some unfamiliar contexts
processes Does not require assistance with tasks Can deal with complex issues Can deal with some unfamiliar contexts
Part B – Work product (Report on risks) Part C – Work pr oduct (Analyse and treat risk) Part D Work product (Monitor r isk and evaluate processes) Foundation Skill Interact with others Establishes and uses appropriate conventions and protocols when communicating with stakeholders about risk management Consults and ne gotiates with stakeholders about risk management processes and outcomes Part B – Work product (Report on risks) Part C – Work pr oduct (Analyse and treat risk)
No examples of this skill were observed Cannot use this skill within work processes Requires assistance with most tasks Cannot deal with complex issues Cannot deal with unfamiliar contexts
Examples of this skill were observed Can use this skill within some work processes Requires assistance with some tasks Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Requires assistance with some tasks Can deal with complex issues Can deal with some unfamiliar contexts
Consistently uses this skill Can use this skill within most work processes Does not require assistance with tasks Can deal with complex issues Can deal with some unfamiliar contexts
No examples of this skill were observed Cannot use this skill within work
Examples of this skill were observed Can use this skill within some work processes
Consistently uses this skill Can use this skill within most work processes
Consistently uses this skill Can use this skill within most work processes Does not require assistance with
Educate
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Employ
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Competent-High Distinction Shows excellence in all areas Can use this skill within all work processes Does not require assistance with tasks Can deal with complex issues Can deal with most unfamiliar contexts Consistently uses this skill Can use this skill within all work processes Does not require assistance with tasks Can deal with complex issues Can deal with most unfamiliar contexts
Consistently uses this skill Can use this skill within all work
Component
Not competent Shows no evidence of meeting industry expectations
Competent-Pass Meets industry expectations
Competent-Credit Perform above industry expectations
Competent-Distinction Shows a level of mastery
Part D Work product (Monitor risk and evaluate processes) Foundation Skill Get the work done Sequences and schedules a range of routine and complex activities, monitors implementation, evaluates processes and manages relevant communication Systemat icallyanalyses information to decide on appropriate risk management treatments Uses digital t echnologies and systems to access information, document plans and communicate with others
processes Requires assistance with most tasks Cannot deal with complex issues Cannot deal with unfamiliar contexts
Requires assistance with some tasks Can deal with some unfamiliar contexts
Requires assistance with some tasks Can deal with complex issues Can deal with some unfamiliar contexts
tasks Can deal with complex issues Can deal with some unfamiliar contexts
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Employ
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Competent-High Distinction Shows excellence in all areas processes Does not require assistance with tasks Can deal with complex issues Can deal with most unfamiliar contexts
