Reference no: EM132245152

RISK MANAGEMENT

ASSESSMENT ACTIVITY: RISK MANAGEMENT PLAN (RMP)

You are required to develop a Risk Management Planincluding how this plan would be implemented, monitored and evaluated for effectiveness for a small business or organization.

You are to go undertake research on the internet to know about an organization or similar type of organizationsand describe briefly the functions of the organization, if you desire you can choose you current place of employment.

Where required you have to use your common sense, creativity and imaginationto estimate and organize the data and information of the organization. For any issues and clarifications, you will have to consult with your Trainer and Assessor.

In order to prepare your Risk Management Plan, there needs to be clear evidence of a systematic approach to the identification of risk, the analysis and evaluation of risk and the development of plans to eliminate, isolate or protect organizational objectives, people and resources in the event of a potential negative event occurring.

Finally to demonstrate competency it is a critical aspect of assessment that you complete a Risk Management Plan that addresses and includes each of the following key points:

PART A

THE ORGANISATION/SMALL BUSINESS

Your Risk Management Plan (RMP) is to address each of the following required key points:
• Provides a clear and concise Company Overview and Summary
• Contains a considered Stakeholder Analysis: Lists and describeseach of the internal and external stakeholders the company has involvement with
• Explains and demonstrates the ‘Scopeof Risk Management' required for the Organization
• Includes a comprehensive‘SWOT' and ‘PEST' analysis of the organization or small business
• Analyzes and discusses the contexts of Risk or Associated Risks of the organization: Inner contexts: Organizational structures, resources, culture, power relations, risk perception, strategy, motivation; Outer Contexts: political, economic and market, social and cultural, legal, technological, environmental

PART B

RISK MANAGEMENT PLAN (RMP)

• Document your Risk Management objectives and critical success factors for the Organization or Small Business that also address each of the below points:

i. Includes examples of Mission, Vision, Objective and Critical Success Factors
ii. Discusses financial objectives
iii. Addresses and references WHS Requirements and Relevant Legislation
iv. Highlight any Business Relationships and/or Partnerships
v. Lists Business Goals (Short and Long Term): e.g. Reputation, Franchising or Expansion

• Identify and document the Associated Risksof the Organization or Small Business Operation.

i. What Risk Identification methods will you implement?
ii. List examples of your anticipated and proposed Risk Analysis Tools

• Analyze and evaluatethe risks for the Organization or Small Business.

i. Determine likelihood, consequences and level of risks
ii. Compare against criteria and set risk priorities
iii. Remember the Hierarchy of Control and if required useFishbone Diagrams to explain and justify your answer

• Prepare a risk treatment plan and schedule

i. Ensure the Treatment Plans identifies, evaluate and select options

• Prepare the risk action plan with a nominated timeframe for the Organization or Small Business

• Provide details of implementation of the Risk Assessment Plan including any Training, Briefings etc. you may feel appropriate.

• Provide details how you would monitor and evaluate the Risk Management Plan, Consider includingconsiderations for engaging Third Party Audits/Consultants.

• Ensure your Risk Management Plan (RMP) demonstrates knowledge and includes references to relevant legislation, acts, codes of practice international and national standards

RELEVANT INSTRUCTIONS

1. Complete the requirements of Part A and Part B

2. The analysis demonstrates a knowledge and understanding of relevant Risk Management, Hazard Identification, business, management or industry theory.

3. Evidence of critical thinking in preparing the responses for the Risk management Plan

4. The Risk Management Plan is incisive and includes a concise, relevant treatment of the issues and addresses the assessment criteria.

5. The Risk Management Plan critically discusses and analyses the topic, range statement, performance criteria and foundation skills of the unit descriptor

6. All sources are referenced consistently and comprehensively using the recommended referencing system as prescribed in the subject description/outline.

7. Use of language is appropriate to academic writing, the industry context, Risk Management themesand principles and the assessment criteria

8. The responses are succinctly and clearly written or presented in English

9. Overall presentation is professional including spell and grammar checked judicious use of headings, font size, layout etc.

10. The use of Pictures, diagrams (Fishbone) and logos are recommended in your Risk Assessment Plan

11. Underpinning knowledge and understanding of Document AS/NZS ISO 31000:2009will assist you in gaining successful competency in this Assessment Task