Comprehensive Risk Management Report for BSBRSK501 Course

This report presents a comprehensive risk management plan for a business scenario, covering various aspects from initial assessment to implementation and monitoring. The report includes a review of the scenario, stakeholder analysis, and the development of a communication plan. It details a risk management plan identifying risks, their likelihood, and control measures. An action plan is outlined, specifying responsibilities, timelines, and resource requirements for each risk. The report also includes email communications to stakeholders, including the CEO, to update them on progress and seek approvals. Furthermore, it incorporates SWOT and PEST analyses to provide a holistic view of the business environment, along with detailed answers to knowledge-based assessment questions, covering topics such as risk assessment methodologies, risk treatment strategies, and the importance of communication and stakeholder involvement in risk management processes. The report emphasizes the importance of continuous monitoring and review to ensure the effectiveness of the risk management plan.

BSBRSK501 Manage
risk

Contents
Contents...........................................................................................................................................2
Unit Knowledge Assessment...........................................................................................................1
Unit Skills Assessment....................................................................................................................6
Part 1................................................................................................................................................6
Task 1...............................................................................................................................................6
a) Review of scenario and briefing report...................................................................................6
b) E-mail for stakeholders to attend the meeting-.......................................................................8
c) Communication Plan...............................................................................................................8
Part 2................................................................................................................................................9
Task 1...............................................................................................................................................9
a) Risk management Plan............................................................................................................9
Task 2...............................................................................................................................................9
a) Action Plan..............................................................................................................................9
b) Email to Update CEO............................................................................................................10
c) Filing and storing risk management......................................................................................12
Part 3..............................................................................................................................................12
Task 1.............................................................................................................................................12
a) Post Monitoring Action Plan Implementation Training Session...........................................12
b) Email to update CEO.............................................................................................................13
REFERENCES..............................................................................................................................14

Unit Knowledge Assessment
Answer 1:
 Risk Register
 Action Plan
 Risk Response Strategies
Answer 2:
Internal Areas: CSR, Sustainability, Legal relationships, relationship with internal stakeholders
(employees, board of directors, unions and investors), Management activities, quality control and
compliance with regulations
External Areas: Technological changes, economic changes, political stability, Human behaviour
and commercial relationship with consumers and external stakeholders (suppliers, consumers,
government bodies, contractors and insurance companies).
Answer 3:
SWOT of Apex Institute
 Strength: Skilled workforce
 Weaknesses: Low brand recognition
 Opportunities: Diversification of educational courses and vocational courses
 Threats: High Competition
PEST of Apex Institute
 Political Factor: Brexit
 Economical Factor: High Inflation in UK
 Social Factor: High number of international students in UK
 Technological Factor: Rise of online learning for higher education
Answer 4:
 Commitment and assistance from senior management
 Communication
 Culture
 Information Technology
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Answer 5:
Internal
Stakeholder
Obtaining their support Mode of
communication
Staff Increasing employee involvement in decision making Digital memos and
emails
Worker
Union
Building partnership with key union representatives Monthly video
conferencing
Senior
Leadership
Taking approval and guidance of senior leadership Weekly in person
meetings, reports and
emails
External
Stakeholder
Obtaining their support Mode of
communication
Contractors Starting feedback loop regarding risk management Emails, voice and video
calling
Suppliers Regularly informing the suppliers Emails
Consumers Asking consumers opinions and increasing consumer
engagement
Social media and
company website
Answer 6:
 Staff
 Senior management
 First Aid coordinators
 Media
Answer 7:
 Past records: This involves redwing past managerial data and OHS Data
 Relevant published credible literature: Investigating research papers and journal articles
on the risk
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 Market research: Here research is conducted directly with consumers to gain information
related to feasibility and market conditions
Answer 8:
Fishbone diagrams: These are cause and effect diagrams and are commonly used in
cases related to finding out the main cause of the risk.
Brainstorming: This refers to the practice of creatively gathering useful ideas and
solutions and is implemented to identify risk to organizational objectives.
Answer 9:
 Stage 1: Identify the Hazzard: Here the specific risks affecting the company are listed
clearly by reviewing external and internal environment.
 Stage 2: Decide who might be harmed and how: In this stage the impact of each risk
and causes of each risk are determined.
 Stage 3: Evaluating findings and determining precaution: In this stage the risks
affecting the firm are critically examined and their solutions are identified.
 Stage 4: Recording findings and implementing: The final results of analysis are
determined and the solution for each risk is implemented.
 Stage 5: Reviewing risk assessment and updating: The risk analysis is reviewed and
its successful areas as well as failure are identified to make relevant updates.
Answer 10:
Risk assessment of any risk can be completed by identifying the level of consequence for the
specific risk. This can be divided into four categories which are described below:
 Catastrophic: Profit damage. Human collateral damage and long term negative impact
 Major: Profit damage, legal trouble and medium term negative impact
 Minor: Profit or asset damage, local media negativity and sort term negative impact
 Insignificant: Low profit damage, absence of public concern and negligible negative
impact
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Answer 11:
 Risk Acceptance: Under this treatment, the consequences of risk usually insignificant are
accepted.
 Risk transference: Here the risk is transferred through contracts with external party to
accept the risk on behalf of the company.
 Risk Avoidance: Here the risk is avoided by ensuring that actions triggering the risk are
evaded.
Answer 12:
 Identifying risk exposure
 Determining risk control
 Reviewing risk control
Answer 13:
1. The risk: This involves identification of risk.
2. Risk rating/ranking: This involves prioritizing the risks.
3. Treatment activity and controls: Here appropriate risk solutions are determined
4. Roles and responsibilities: This requires identifying duties of each employee
5. Timeline: Here the time period of managing risk is set
6. Monitoring processes: Appropriate reviewing process is implemented to review the risks.
Answer 14:
 Decision making
 Planning
 Threats
 Opportunities
 Risk consequences
Answer 15:
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Naming and securing risk management documents helps improve communication and
maintain record of each step of risk management to review, utilize and monitor risk management
in future cases.
Answer 16:
The risk management plan of a company needs to be reviewed once in every three years.
Review of risk management plan involves Identifying its role in the broader business continuity
plan of the company to evaluate its positive and negative impact.
Answer 17:
Trust of employees, timely implementation and delivering satisfactory results to each
stakeholder.
Answer 18:
AS/NZS ISO 31000:2009 offers general principles and guidelines in context o risk
management and supports businesses regardless of the industry in managing risk effectively as it
offers general information for harmonizing risk management.
Answer 19:
Privacy law It is suitable in making risk management information collection fair and legally
compliant. Personal information of all the partiers is also safeguarded.
WHS
legislation
It improves safety of work including safety of machinery and equipment along
with implementing suitable safety audit and control measures. In this way it
supports safe risk management of the firm.
Contract law It plays an important role in risk management because contracts can be
breached and can lead to harm or legal incompliance.
Company law It helps implement control to ensure that internal process and conduct is
accordance with law.
Industrial
relations law
It is essential for risk management as it helps deal with unions and also provide
the workers appropriate safety net.
Duty of care This helps ensure that harm is minimized in situations where it is foreseeable
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supporting risk avoidance.
Freedom of
information
It helps manage relations with the public and provide effective results when it
comes to providing transplant communication to all parties.
Environmental
law
This is crucial in risk management as it helps he company become sustainable
and maintain less
Answer 20:
 Providing assistive technology
 Taking regular feedback
 Implementing sensitivity training for other staff
Unit Skills Assessment
Part 1
Task 1
a) Review of scenario and briefing report
i) The scope of risk management is to analyse the dept. of the issue faced by company and
provide alternatives of solutions to mitigate the risk effectively.
ii) The main goal of the risk manager is to enhance the issues effectively and the critical success
factors are commitment and support from management, effective communication,
training and trust.
iii)
Stakeholders Role in the process Issue and concern they face
Paula Kinski He is the CEO of the
company who will agree
for the policy at the end.
The main decision will be
implemented by his approval.
Hence, he need to approve for the
best out of various alternatives.
Ron Langford He provide government
opportunities for the
company in the meeting.
He faces the issue of taking
government acceptance for the
organisational policy.
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Sam Hunt He will discuss the
solutions of risk
discussing in the
meeting.
He can face the issue to put his
point of view in appropriate
manner to take CEO’s approval
iv) SWOT analysis
Strength-
 Effective planning
 Conduction of time to time
meeting.
Weaknesses-
 Late decision making
 Lack of monitoring in the
organisation.
Opportunities-
 Hiring a new position in the
company to monitor that decision
should be made on time.
 Effective expansion of the café is
essential.
Threats-
 COVID pandemic rules and
regulations.
 High competition for company
within the industry.
PEST analysis-
Political factors-
 No restrictions and regulations for trading activities.
Economic factors-
 High employment rate
 High cost of raw material
Social factors-
 Customers demand for high quality of goods and services
Technological factors-
 Advance and modern technological tools and machines.
 Effective training of employees
v) The case study is all about the risk management activities within the company which is
planning for further growth. Company conduct meetings, mails are exchanged between CEO and
other member of the company.
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vi)
b) E-mail for stakeholders to attend the meeting-
To- (FARM) Community
From- Risk Manager
cc.
Subject- Meeting for the risk management discussion.
Dear (FARM) Community, you are all are requested to attend the meeting on 26 September 2022
for discussing about the risk factors for achieving the new objective. The time for the meeting is
9:30- 11:00 in the morning. The meeting will be held within the office at conference room of 3rd
floor. The main risk which are discussed in the meeting are-
 Bank account opened late
 No excusal letter by the CEO issued yet
 Lack of written procedures on the water saving process due to store manager being too
busy
 Issues with monitoring a weekly water usage system
Thank you
c) Communication Plan
Target
audience:
Key
message:
Communication
methods:
Responsibility Deadline: Date
completed
Feedback
Finance
Department
Regards to
bank accounts
being opened
late
Email Risk manager 2/10/22 4/10/22 Improving
technology
Senior
leadership
Regards to
lack of proper
documentation
In person
meeting
Risk manager 5/10/22 5/10/22 Using
Knowledge
management
systems
effectively
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Part 2
Task 1
a) Risk management Plan
Risk Risk
Likelihood
(1-5)
Risk
Level
Controls/Treatment Monitoring Timelines Responsible
Ineffecitve
financial
recording
1 L Avoidance Monthly 3 months Finance
manager
Lack of
leadership
involvement
leading to low
productivity
3 M Transference Weekly 8 months Risk
manager
Ineffecitve
documentation
leading to
4 H Mitigation Weekly 4 months Risk
manager
Ineffecitve
monitoring of
water system
leading to
safety hazards
4 H Mitigation Weekly 2 months Stare
manager
Task 2
a) Action Plan
IDENTIFIED
RISK
ACTION BY WHEN? WHO IS
RESPONSIBLE?
WHAT
RESOURCES
ARE NEEDED?
Ineffecitve Improving 3 months Finance manager Financial
9

financial
recording
financial
recording
through IT
Resources,
Technological
resources
Lack of
leadership
involvement
leading to low
productivity
Creating cultural
change which
supports high
leadership
involvement
8 months Risk manager Financial
Resources,
Technological
resources
Ineffecitve
documentation
leading to
Implement
Knowledge
management
system to
enhance
documentation at
all levels
4 months Risk manager Financial
Resources,
Technological
resources
Ineffecitve
monitoring of
water system
leading to safety
hazards
Using Digital
technology for
real time
monitoring of
water system
2 months Café manager Financial
Resources,
Technological
resources
b) Email to Update CEO
Subject line — Progress of risk management
Respected Sir
The task you assigned to me risk management
The risk management template have been completed and risks affecting the firm are identified
Please let me know if you have any questions or would like further information, otherwise, no
response is needed.
Thanks,
Attached
Risk management Template:
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