Reference no: EM133185998

BSBRSK501 Manage Risk

Task 1 Questions

Question 1 Write definitions for the following risk management terminology.

Risk Matrix

Risk Treatment

Scenario analysis

Scope

Stakeholders

SWOT Analysis

SMART Goals

Question 2 Comment on the following saying in relation to the risk management policies and practices of an organisation.

"Organisations that fail to plan, plan to fail".

Question 3 How is Risk defined according to the Australian Standard ISO 31000:2009 and what standard did it replace?

Question 4 What is the purpose of the standard AS/NZS ISO 31000:2009 for Risk Management?

Question 5 List TEN (10) key aspects of business operations that may be affected by the provisions of relevant legislation and regulations from all levels of government.

Question 6 What does duty of care refer to and how does it apply in the workplace?

Question 7 Why is it necessary to have a working knowledge of the legislation involved in business?

Question 8 List and describe the key legislative and regulatory frameworks that you are required to have knowledge of within an organisation in relation to risk management.

Question 9 Why is it advantageous to consider stakeholders throughout the risk management design process?

Question 10 Create a response as to how each of the following factors can influence and impact an organisations risk profile.

Political

Economic

Social

Legal

Technological

Policy

Question 11 Undertake a SWOT Analysis for the current risk management practices of an organisation with which you are familiar.
SWOT Analysis for:
Core Functions:

Question 12 Summarise your SWOT findings from Question 9. Consider the following and include in your response:
- Are the current arrangements adequate?
- Why / Why not?
- What steps do you recommend be taken and why

Question 13 "Getting people on board and keeping them engaged is a key part of managing risk"

Outline the importance of seeking support for risk management plans and processes

Question 14 Create a checklist outlining the qualities required for a risk management champion.

Question 15 Outline the dangers of attempting to manage risks without researching them

Question 16 List TEN (10) factors that should be included when researching any given risk.

Question 17 Describe FIVE (5) common methods of researching risks. Use examples where appropriate.

Question 18 List the SEVEN (7) key tools and techniques that can be used when undertaking the risk audit process

Question 19 Create a Flowchart for a problem or issue with which you are familiar. Use the appropriate flowchart symbols. Your flowchart can run either horizontally or vertically.

Question 20 Using the following scenario, create a Check sheet that could be used to record data.

You are counting the number of defects on a production line that is turning out gadgets. There are 3 main types of defects that are seen which are:
- Misshapen gadgets
- Undersize gadgets
- Oversize gadgets

You will need to collect the data for 3, 12-hour shifts but need to be able to separate the data for each of the shifts.

Using the following scenario, create a Check sheet that could be used to record data.

Question 21 Outline the benefits of plotting Business Risks on a risk matrix?

Question 22 Describe some of the typical problems that could be encountered when trying to determine priority of risks

Question 23 What does the ALARP acronym stand for?

Question 24 What does the term ALARP mean? Give an example to illustrate your understanding.

Question 25 For each of the following risk treatment strategies, provide an example of how each one could be managed.

A. Avoid the risk

B. Reduce the risk

C. Share the risk

D. Retain the risk

Question 26 Outline the elements that should be included in a risk recovery plan.

Question 27 Describe the 3 key components of a solid risk recovery plan

Question 28 Who should be involved in the design and development of risk recovery plans for a project? Why?

Question 29 List at least FIVE (5) areas of risk for which an organisation can develop a contingency plan for.

Question 30 Using the following template, create an Action Plan to show how you would implement a risk management strategy for a written Evacuation Procedure.

Risk 1: Evacuation procedure written
Action to be taken By Whom By when (Date) Resources KPI's

31 Based on Standards Australia (2001) guidelines, list the criteria for an efficient documentation storage system

32 Outline the reasons why risk management documentation needs to be in order and appropriately stored.

33 Discuss the importance of an action plan and suggest at least THREE (3) ways this plan can be monitored once it has moved into its implementation phase.

34 List the monitoring factors that should be included in a risk management plan

35 Based on the review scope and frequency triangle below, identify what each of the 3 levels represents and provide 2 examples of activities that could be performed at each level.

36 Outlines the advantages and disadvantages of employing external contractors to conduct risk audits.

Advantages

Disadvantages

TASK 2

CASESTUDY

Case study 1: Kupfull Taxation solutions and wealth solution

Kupfull Taxation and Wealth Solutions is a national company of over 1300 employees that offer taxation and wealth management services across the country. It is a highly regulated industry and there are many laws that must be adhered to.

The company is divided into 5 divisions which are:

• Personal Taxation

• Small Business Taxation

• Corporate Services

• Personal Wealth Creation

• Corporate Asset Management

PART A: Scope

You have been asked to conduct a risk management assessment for the entire organisation. Your manager has requested that you prepare a response to this request in the form of a report. This report (approx. 500 words) will need to cover the following elements:

• Synopsis of the scale of the program:

• Advantages of a scope of this size:

• Difficulties and Challenges of a scope of this size:

• Alternative approaches/strategy to the management of risk at Kupfull Taxation Services:

Case study 2: Wavelength Boat hire
Wavelength Boat Hire is a family owned business that has been operating for just over 6 years. It is located at a marina at the mouth of a major river in regional Victoria. The businesses boat hire product mix and target customers are made up as follows:

Wavelength Boat Hire is currently researching whether to expand their business offerings to include Houseboat Hire to families and groups. They recently conducted a range of surveys which revealed that a significant number of their client base were tourists from interstate and overseas. Most were single use hirers who had no knowledge of local waters and weather conditions.

The owner's business planning processes have identified the following potential risks regarding the new Houseboat Hire offering:

• Drowning risks: People are not generally strong swimmers especially children

• Navigation risks: House boat clients may get lost and or get stuck on sandbanks

• Boat control risks: Clients may find the houseboats very difficult to control in strong winds - resulting in damage to the houseboat and/or land structures

• Weather risks: Clients getting sunburnt and/or dehydrated on not summer days

• Noise risks: When boats are moored clients may make a lot of noise causing local residents to complain

PART A: Critical success factors, goals and objectives

Using the information provided in the above scenario, develop a set of recommendations regarding the goals and objectives that Wavelength Boat Hire could adopt for managing these potential risks.
Recommendations for goals:

Recommendations for objectives:

PART B: Communicate with relevant parties about risk management process and invite participation
The Owner has appointed you to oversee the risk management program for the Wavelength Boat Hire company. For the key stakeholders that you will need to communicate with, outline:

• Their interests

• The primary and secondary communication methods that you will use with them

• The key messages to engage and obtain their input

• The contributions that you expect from them

PART C: Likelihood of risk occurring
Rank the likelihood of each of the following new Houseboat Project risks occurring using the criteria in the Risk Likelihood table below:

• Drowning risks: People are not generally strong swimmers especially children

• Navigation risks: House boat clients may get lost and or get stuck on sandbanks

• Boat control risks: Clients may find the houseboats very difficult to control in strong winds - resulting in damage to the houseboat and/or land structures

• Weather risks: Clients getting sunburnt and/or dehydrated on not summer days

• Noise risks: When boats are moored clients may make a lot of noise causing local residents to complain

PART D: Impact or Consequence if risk occurs
Using the Likelihood ratings from Assessment C, transfer each of these to Matrix 1 and add an assessment of the severity of the impact for each of the identified risks. Then plot the risks on Matrix 2.

PART E: Evaluation and prioritise risks
Using the severity and likelihood matrix in Part C, list the Risks in order of priority. Give reasons for your rankings.

Case study 3: Security System Inc

Security Systems Inc. are a small security provision service and products company that have been operating out of an office and small storage facility in the outer northern suburbs of Melbourne for over 3 years.

The business currently supplies the following security services and products:

• Security guards at banks, hospitals and the local university

• Armed guards for money and valuable goods transport

• Metro Mobile security patrols to schools and industrial estates

• Business Alarm systems and Personal security device products

Due to rapid business growth, the company have recently relocated to a new office and warehouse space based in the inner eastern suburbs. This move requires the new premises to undergo a number of modifications as the building was constructed over 80 years ago and the asbestos register has indicated that there are still significant amounts of asbestos still in situ.

The Managing Director is currently considering how to best manage the upcoming re-furbishment project by appointing a contract maintenance team to make modifications to the building, which requires removing 2 walls and part of the floor.

Works are planned to be undertaken during normal business hours with nearly half of the current staff including guards, administrative staff and management team likely to be exposed to significant dusts that will be created during the works from drilling, sawing, manual dusting and sweeping

PART A: Relevant parties assist in identifying risks
Using the information provided and the table below, identify the key stakeholders that should be consulted or involved in identifying the risks associated in the building modifications to be undertaken. You will also be required to outline the reasons for their involvement and suggest the appropriate mechanisms for their involvement.

Case Study 4: One plus one accounting services
OnePlusOne Accounting services are a small Accountancy firm located in the inner Melbourne suburb of Richmond. A senior partner at the firm has just called in to advise that they had their laptop stolen from a restaurant while they were Interstate at a client Dinner in Brisbane.

The laptop contained over 4 weeks of data and client information that had not been backed up. This represents the loss of a significant volume of personal information regarding their clients and new business opportunities. To make matters worse, the partner is now without his laptop and still has more client meeting and appointments to complete before returning to Melbourne.

This situation has prompted OnePlusOne Accounting to undertake a risk assessment for all company employees with Laptops. This leads to the creation and implementation of an action plan to ensure that this type of situation is minimised in future.

The Action plan recognises that the use of laptops is a critical function, particularly for all Accounting staff and that the information that they contain must be protected to ensure client confidentiality.
The plan contains details regarding the following:

o Protocols for safeguarding laptops while travelling

o Protocols for the backing up of data

o Procedures for updating the asset register with laptop warranty and insurance details

o Procedures for how to report the loss of a laptop and how to expedite a replacement
PART A: Communicate risk management process to relevant parties
For this Part you will be required to outline who the Action plan and its associated details needs to be communicated to and when and how this could best be achieved

TASK 3 Risk Management Plan

You will be required to develop a Risk Management Plan for an agreed organisation of your choice. This will involve you planning, conducting and evaluating a Risk Management Program. For the purposes of this Assessment, an organisation can refer to a small business, work group, division with a larger organisation or sporting group.

Your Risk Management Plan will need to be in the format of a written report and outline the scope and context of the risk management process you propose and include the following:

• A detailed stakeholder analysis

• An explanation of the risk context and the impact that each of the following will have on your organisations approach to risk management:

- Political

- Economic

- Social

- Legal

- Technological

- Policy

• Any arrangements that are currently in place

• Outline of key goals, objectives and critical success factors for the area included in the scope

• A SWOT diagram identifying the risks that may apply to the scope

• Identify each of the Internal and External stakeholder groups and outline a list of the key issues for each group

• Include a rationale for how you plan to communicate the risk management process with key stakeholders. You should outline how you plan to identify and assess risks and determine the appropriate risk treatment actions and priorities and what the Key messages and Delivery strategies are as well as how input and participation will be encouraged and supported

• Your analysis of the risk should be illustrated on a risk matrix and include an assessment of the likelihood of the risk occurring; the impact or consequence if the risks occur and an evaluation and prioritisation of the risk for treatment

• How you propose to develop and implement your action plan to treat the risks

• Your proposed system for monitoring and evaluating the action plan and any risk management processes you intend to implement

• A list of the documentation (Risk Action Plan and documentation) you will require and a proposal for how you plan to maintain this

Attachment:- Manage Risk.rar