BSBRSK501 Manage Risk Case Assignment
BSBRSK501 Manage Risk Case Assignment
Read through the following case study and, using the information provided, your own research and reflection on your learning within this unit answer the three (3) Tasks that follow. The attached workbook contains useful information and templates for use in your responses. Attach all documents, including any templates used, with your submission.
You are employed by Office Supplies to You (OSY), a small business providing office supplies to small and medium-sized businesses within the South-East Queensland market. The business is starting to grow with a staff of two (2) business owners/partners, three (3) Administration staff and Finance Manager, all of whom work in head office, and two (2) sales staff who mostly work remotely. As growth is continuing, the business projection is to employ an additional three (3) staff over the next 12 months, one of whom will join the sales team.
The market trends show that there has been a decline in Industry revenue as paper consumption declines. The Stationery Goods Retailing industry includes companies that retail stationery goods, writing materials, art supplies, ink, pens, pencils, and notebooks. The industry is a very small component of the overall Retail Trade division and is subject to increasing external competitive pressure and threats. For example, an increasing number of alternative retail channels that also sell stationery items, including online retailers, are challenging the industry’s long-term survival, as is the ongoing move towards a digital economy. As a result, the industry has been gradually shrinking. Over the five years through 2016-21, industry revenue is expected to fall by an annualised 1.7% as it continues to contend with external variables.Organisational processes and procedures currently used at OSY were developed by the Partners to meet original requirements and are all paper-based. Because OSY is expanding, risk management needs to be reviewed and updated to ensure the business remains competitive.
To establish risk context, your CEO has asked you to prepare a risk management plan by firstly reviewing current practises and applying a performance management model; also, to consider political, economic, legal, technological and policy context. You will need to seek the assistance of stakeholders in your research of identified risks and generate a list of applicable risks that may apply to scope using relevant techniques and tools. The current administration systems are paper-based, including all HR documentation, customer accounts and financial reporting; there is no formal input by stakeholders. These systems and processes need to be streamlined and improved as the business continues to grow.
Answer the following three (3) questions. Templates used must be included in your response:
- Explain the strategies you will use in your review of current organisational processes, procedures and requirements in accordance with current risk management standards. Include in your response the resources you would access.
- Use the template provided to demonstrate how you determine scope for risk management process and to review current strengths and weaknesses of current arrangements and any relevant policy context.
- Explain how you will document critical success factors to accurately reflect on legislation and to ensure compliance with requirements within OSY’s procedures. You may choose to use the Template in your response.
Answer the following two (2) questions:
- Why is it important to include stakeholders when developing the risk assessment plan and who are the internal and external stakeholders you will invite to participate in the risk identification and research process?
When identifying risks and controlling hazards its necessary to understand the importance of involving different parties during the process. Different stakeholders have different roles within the organisation and are likely to differ in the way they like to have information communicated to them. Communication is a two way process and it is important to encourage a culture where both stakeholders and the person or persons responsible for the WHS information feel able to communicate freely and in an open manner.
Consultation and involvement will motivate your employees and encourage them to contribute to continuous improvement in safety in your organisation.
Stakeholders can comprise of a group or a body of people.
They might include:
- What research methods will you apply for risk management activities?
Risk assessments are qualitative, semi-quantitative and quantitative.
Qualitative assessment results are usually descriptive and do not imply an exact quantification of risk. The qualitative assessment often provides support for further investigation of quantitative but can also provide information needed for risk management.
Qualitative risk assessment is the impact probability matrix. The two variables such matrices are in fact risk component. Actual technique of this method is the assignment of scores (values) for likelihood and impact of risk categories identified.
A risk profile achieved by qualitative methods can easily be improved further by a quantitative assessment given that it is interesting and useful to decision makers.
Your stakeholders will assist in the identification of risks and in researching risks that may apply to the scope developed in Task 1. Explain the consultative approach you will use with these stakeholders and use the Template provided to generate a list of risks that apply to the scope.
In the “planning” stage, the aims and objectives need to be clarified, along with identification of the usefulness of the process, i.e. the likelihood that stakeholder views will be incorporated into strategic planning. The availability of resources to carry out the process will need to be established and a method of consultation designed that is reflective of this. Consideration will need to be given as to whether any pre-release information is required e.g. about a project design, brief, plans, strategic positions, etc.
The “process” stage is the “doing” stage; this involves carrying out the consultation. Good planning will ensure this stage runs smoothly. Considerations in this stage mainly centre on developing effective relationships with stakeholders and facilitating open and honest sharing of views, and accurate recording of the process and the data.
The next stage, “presentation “, is concerned with the analysis and the reporting of the data. The data will need to be analysed and reporting prepared for the relevant audiences i.e. back to the corporation, to policy makers, etc. but also feedback to those who have engaged in the process and taken part.
The final stage relates to actions as a result of the consultation; the “promise“. Part of the process of engaging with stakeholders is the investment in a longer-term relationship of mutual benefit and trust. Without demonstrable use of stakeholder feedback in resultant action, this can be damaged.
communications about resultant actions need to be carefully considered to reach stakeholder audiences.