BSBOPS504 Task 1 - Jacob Lloyd Jones

 

RTO No: 91223

Assessment Task 1

BSBOPS504 Manage business risk

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Strathfield College RTO: 91223 CRICOS Provider Code: 02736K

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Assessment Task 1 Cover Sheet Student Declaration To be filled out and submitted with assessment responses   I declare that this task is a allll my own work and I have not cheated or plagiarised the work or

colluded with any other student(s).   I understand that if I am found to have plagiarised, cheated or colluded, action will be taken against me according to the process explained to me.   I have correctly referenced all resources and reference texts throughout these assessment tasks.

Jacob Lloyd Jones

Student name Student ID number 

SCS1787 J. Jones

Student signature Date

Assessor declaration   I hereby certify that this student has been assessed by me and that the assessment has been carried out according to the required assessment procedures.  Assessor name name  Assessor signature signature Date  Assessment outcome outcome

S

NS

DNS

Resubmission Resubmission

Y

N

Feedback

Student result response   My performance in this assessment task has been discussed and explained to me.   I would like to appeal this assessment decision.

Student signature Date

 A copy of this page page must be be supplied to the office a and nd kept in tthe he student’s student’s file with the evidence. evidence.

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Assessment Task 1: Knowledge questions

Information for students Knowledge questions are designed to help you demonstrate the knowledge which you have acquired during the learning phase of this unit. Ensure that you: 

review the advice to students regarding answering knowledge questions in the

Business Works

Student User Guide 

comply with the due date for assessment which your assessor will provide

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adhere with your RTO’s submission guidelines

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answer all questions completely and correctly

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submit work which is original and, where necessary, properly referenced

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submit a completed cover sheet with your work

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avoid sharing your answers with other students.

i Assessment information Information about how you should complete this assessment can be found in Appendix  A of the Business Works Student User Guide . Refer to the appendix for information on: 

where this task should be completed

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the maximum time allowed for completing this assessment task

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whether or not this task is open-book.

Note:

You must complete and submit an assessment cover sheet with your work. A template is provided in Appendix C of the Student User Guide. However, if your RTO has provided you with an assessment cover sheet, please ensure that you use that.

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Strathfield College RTO: 91223 CRICOS Provider Code: 02736K

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Questions Provide answers to all of the questions below: 1.

Explain Explain the risk risk managem management ent pr process ocess.. You may an answer swer using using a labelle labelled d diagram diagram or in words words (or both) and must include: 

 

a definition of risk management: Risk management: Risk management in business is about using sound  judgement  judgeme nt and decision-makin decision-making g skills to reduce reduce the conse consequences quences of of risk while still making making the most of the opportunities available to you. It is about establishing, mitigating and responding to risks and setting up a plan to deal with them. a list or illustration of the steps in a risk management process:

Identify

 

Analyse

Control

M o n i to r  

a description of what each step involves.

The typical risk management process essentially comprises of four steps or stages: o

risk identification: reveal what, where, when, why, and how something could affect a company's ability to operate

o

risk analysis: involve examining how project outcomes and objectives might change due to the impact of the risk event

o

risk mitigation (or control): prepare for and lessen the effects of threats faced by a business

o

monitoring implemented risk control measures: involve regular checking or surveillance to ensure the effectiveness of control measures

2.

Describe Describe a cu curre rrent nt risk risk m mana anagem gement ent s stand tandard. ard. In your your answer: answer: 



 

3.

name the standard: AS/NZS standard: AS/NZS ISO 31000:2018 explain the purpose of the standard: give standard:  give terms and definitions relating to “risk management” and provide information and step-by-step guidance. It is considered ‘best practice’ or the benchmark against which an organisation’s risk management practices can be judged. list key elements of the standard: o

principles underlying risk management

o

the risk management framework

o

the risk management process

Complete Complete the ttable able belo below w to describe describe the ttypes ypes of busin business ess risk. risk.

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Type of risk

Description

Example

Strategic risk

sells natural These risks can occur at  A business sells any time and are related sunscreen in lotion form but over time people’s to the business or preference for lotion organisation’s strategy.

Key responsibility (at least two people) 

CEO

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Managing director

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Head of safety

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Head of operations

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CFO

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Financial controller 

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Head of operations

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Managers/supervisors

declines and more people want a spray form of sunscreen. Compliance risk

Financial risk

These risks involve having to comply with rules set by government or regulatory bodies.

Complying to all regulations due to COVID-19 and having a COVID Safe plan that meets requirements.

These risks affect the financial health of a business (cash flow,

Customers not paying on time (or paying in instalments).

liquidity, financial position, debt burden etc.) Operational risk

4.

These risks are associated with a business or organisations’ organisa tions’ systems and processes.

Targets not being met because a machine breaks down.

Complete Complete the the table to explai explain n three three differen differentt tools an and d techn technique iques s that may be used used to identif identify y risk. The first row has been completed as an example for you to follow.

Technique/tool

Description

Brainstorming

A group discussion to produce as many ideas or solutions to problems in a pre-determined amount of time.

Interviews

During a structured interview, interviewees are asked a set of prepared questions to encourage the interviewee to present their own perspective and thus identify risks.

Checklists

Checklists are pre-populated lists of hazards, risks or control failures that have been developed usually from experience, either as a result of a previous risk assessment or as a result of past failures or incidents.

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Technique/tool

Description

Structured “What-if” Technique (SWIFT)

This is a systematic, team based exercise, where the facilitator utilises a set of ‘prompt’ words or phrases to stimulate participants to identify risks.

Bow Ti Tie An Analysis

Bow titie a an nalysis is is a diagrammatic wa way of of d de escribing, lliinking an and analysing the pathways of a risk from causes to effects/consequences.

Di Dire rect ct Ob Obse serv rvat atio ions ns

5.

Explain Explain four four options options tthat hat a comp company any could could use tto o tak take e to contr control ol risks. risks.

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6.

Th This is rela relati tive vely ly simp simple le tech techni niqu que e is is use used d dai daily ly in th the e wor workp kpla lace ce by staff who may observe risky situations and hazards regularly. A risk aware culture and well trained staff will improve people’s ability to observe potential risks and implement controls before the risk eventuates into an incident.

avoid the risk (for example, avoid the risk of employees being distracted by not allowing them access to any social media sites during business hours) prevent the risk (for example, prevent data leakages by limiting the number of people who have access to sensitive information) contain the risk (for example, contain the risk of hackers accessing data by installing a stronger firewall) accept the risk (when the risk level is very low, when the treatment cost is much higher than the cost of the damage or when the benefit of taking the risk far outweighs the potential damage)

Explain Explain how legisla legislation tion an and d its relate related d regul regulator atory y requirem requirements ents relate relate to risk manage managemen ment. t. In your  answer: 

identify two different legislative and regulatory requirements that may apply to risk management.

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for each legislative requirement, explain how it relates to risk management.

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provide one example of how regulations support one of the legislation.

Fair Work Act & Fair Work Regulations: Regulations : The Fair Work Act broadly covers workplace relations, and provides for the minimum employment standards and regulates on a range of employment and industrial matters. The Act is one of the primary pieces of legislation that govern the employment relationship in most of Australia’s private workplaces. It is the foundation of all minimum standards and regulations for employment that fall within the national workplace system. Failure to conform with this Act can lead to warnings, fines or more dire consequences for serious, continued or intentional and deliberate action (including imprisonment in some cases).

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WHS (Work Health and Safety) Acts & WHS Regulations: The benefits of regulations on risk management include maintaining economic stability, increasing transparency, protecting against fraudulent, illegal, and unfair practices. It can also involve negative media publicity when noncompliance becomes public especially in terms of the impact of social media. The WHS Act and Regulations require persons who have a duty to ensure health and safety to 'manage risks' by eliminating health and safety risks so far as is reasonably practicable, and if it is not reasonably practicable to do so, to minimise those risks so far as is reasonably practicable. 7.

Explain Explain the purp purpose ose of ris risk k mana manageme gement nt poli policies cies an and d proce procedure dures s in the workplac workplace e as they relate relate to risk management. Organisational documentation are workplace documents created by management and are relevant to risk management. Organisational policies and procedures are put in place to make sure everyone is as safe as possible and to ensure a successful outcome for the business or organisation. For example:

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

8.

Strategic plan & Operational plan Policies & procedures (e.g., document storage, privacy, confidentiality, recruitment, performance appraisal, work health and safety)

Complete Complete the the table below below tto o summaris summarise e how thr three ee po policie licies s and pr proced ocedures ures relat relate e to risk management.

Policy/procedure

Description

Record keeping policy and procedure

Records and information-related risk assessment can be used to enhance an organisation’s performance, reduce business risks and help information managers manage information strategically.

WHS WH S poli policy cy and and proce procedur dure e

WHS Risk Risk M Man anage ageme ment nt is a system systemati atic c pro proces cess s of of iide denti ntifyi fying ng hazards, assessing the risk associated with those hazards, eliminating or controlling those risks and monitoring and reviewing risk control measures.

Confidentiality policy/procedure

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Monitoring allows effective management of confidentiality risks. The relationship of Confidentiality policy/procedure and Risk management is the likelihood of a person or an organisation being identified and the confidentiality methods used to minimise the risk of identification. identification.

Strathfield College RTO: 91223 CRICOS Provider Code: 02736K

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Assessment Task 1: Checklist Student’s name: Did the student provide a sufficient and clear answer that addresses the suggested answer for the following?

Completed successfully? Yes

Comments

No

Question 1 Question 2 Question 3 Question 4 Question 5 Question 6 Question 7 Question 8  

Task outcome:



Satisfactory

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Not satisfactory

 Assessor signature: signature:  Assessor name: name: Date:

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Strathfield College RTO: 91223 CRICOS Provider Code: 02736K

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