Crown Institute BSBRSK501: Risk Assessment Project Report

This document presents a comprehensive risk assessment project undertaken for the BSBRSK501 module. It begins with responses to specific questions regarding risk management principles, WHS legislation, and risk control measures. The project then transitions into a detailed risk briefing report, analyzing potential risks associated with expanding a business line into new markets. This includes a PESTLE analysis to identify political, economic, social, technological, legal, and environmental factors. The report outlines specific risks, such as those related to product chemical content, consumer demand, and environmental standards, and proposes corresponding treatment strategies. The project further involves an internal and external stakeholder analysis, identifying key issues and concerns. It also presents a risk management plan, including a risk register, risk action plan, and communication strategies, such as emails to the CEO and team members, along with a meeting minute. The risk management plan details the consequences, severity, and likelihood of various risks, along with proposed control methods and priority ratings. The risk action plan provides a structured approach to addressing each identified risk, including recommended responses, resource requirements, and reporting/monitoring schedules. The overall project provides a thorough framework for managing and mitigating risks within a business context.

Running head: RISK ASSESSMENT PROGRAM FRAMEWORK (ASSESSMENT 1)
RISK ASSESSMENT PROGRAM FRAMEWORK
(ASSESSMENT 1)
Name of the student:
Name of the university:
Author Note:

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PART A
Response to question 1
The purpose of risk management standard is to identify the risks, test the degree and
likelihood of the risks and therefore, propose a risk management framework for the
organization . The ISO 31000 standard for example act as a guideline in framing the proper
risk management procedure and correction steps for mitigating the risk.
Response to question 2
The eleven principles as per AS/NZS ISO 31000: 2009 Risk Management Principles
and Guidelines are :
1. Create and protect value
2. Part of decision making
3. Systematic, structured and timely
4. Explicitly address uncertainty
5. Integral part of organizational process
6. Dynamic and responsiveness to change
7. Facilities continual improvement
8. Transparent and inclusive
9. Consider human and cultural factors
10. Tailored approach to each situation
11. Based on accurate and best information
Response to question 3
The requirements of WHS legislation in relation to risk management are:
1. It divides the risks into high, medium and low as per their timeframe and control level

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2. Undertake risk assessments and identify the risks through assessment tools
3. A systematic process for regular monitoring of risks
4. Documentation of corrective activities for controlling the risks
5. All the employees and people in an organization should be responsible to report the
workplace hazards
6. The hazards reported, inspected and control mechanisms taken through re-design of
safety standards.
Response to question 4
The factors taken into account in determining risk control measures for hazardous
manual tasks as stated in the model Work Health and Safety Regulations 2011 are:
1. Work area design and layout
2. Nature, size, weight and number of things performed in the task
3. Systems of work
4. Environment in which it performs the task
5. Exposure to body
6. Involvement of force
7. Duration of task
8. Movement, postures and force used to perform the task
Response to question 5
The purpose of risk management policies and procedures in the workplace :
1. Identifying the potential risks
2. Risk assessment
3. Risk evaluation
4. Risk control

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5. Risk monitoring and review
Response to question 6
The three examples of the impact of risks for a workplace if risks not identified or
auctioned are :
Example 1- Compay goodwill image going down
Example 2- Low employee productivity and profit
Example 3- Inefficient company management functioning
Response to question 7
The step-by-step procedure that companies use for analysing risks is :
Step 1 – Identify the hazards
Step 2- Determine who will get exposed to the hazard
Step 3- Determine the impact of hazard
Step 4- Using the risk matrix tool to assess the likelihood and severity of the hazards
Step 5- Rank the hazards as per their urgency to control
Step 6- Test the hazards as per the control parameters
Response to question 8
The three sources of information that a company could use to gather information on
potential risks are:
1. Company annual report
2. Environmental audit
3. Performance records of employees

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Response to question 9
The three examples of techniques that a company uses to identify risks as part of a
risk assessment process are :
1. Risk assessment matrix
2. PESTLE analysis
3. SWOT analysis
Response to question 10
The four options that a company could take to control risks are :
1. Avoid the risk
2. Transfer the risk
3. Decrease the likelihood of risk
4. Decrease the consequences of risk
Response to question 11
The four procedures that a company could use to minimise risk are :
1. Remove or substituting the hazard
2. Minimizing through engineering controls
3. Design systems to eliminate the hazard
4. Protection to people involved in that hazard

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PART B
1. RISK BRIEFING REPORT
Introduction
The risk analysis done to expand the business line in new markets of central Sydney,
Melbourne and Brisbane. The skin product market is a highly risky and sensitive market to
diverse business. As the market thrives on eco-friendly products, the risk analysis is crucial.
Scope
The risk management process will get performed in a systematic procedure through
identification of the potential risks by performing a PESTLE analysis and then risk evaluation
being done. Based on this, the risk control measures taken and finally risk monitoring
performed.
PESTLE Analysis
Political Factor
Factor Risk treatments as applicable
Government regulations on manufacturing
industries
Ensure the government certificates of
manufacturing
Economic Factor
Factor Risk treatments as applicable
Less customer demand on new market Increase promotion and market entry
strategies

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Social Factor
Factor Risk treatments as applicable
Racial and gender biasness Ethical advertising and awareness
Technological Factor
Factor Risk treatments as applicable
High content of chemicals in product Use of eco-friendly treatments
Legal Factor
Factor Risk treatments as applicable
Customer protection law Ensure customer protection standards
Environmental Factor
Factor Risk treatments as applicable
Greenhouse gas emissions protocols to meet Use sustainability practices

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Risks
Risk Treatment
Use of high chemical content in skin
products
Use of green labelling standards for consumer
rights protection
Less consumer demand in the particular
region
Increase the promotion and customer segment
diversification
The less compliance to environmental
standards
Use of eco friendly resources and
manufacturing operations
The inadequate employment staff Training of existing staff and recruitment in
future
The selling and distribution rights in skin
industry
Manufacturing licenses and ethical distribution
right allocation
Internal and external stakeholder analysis
The 3 internal stakeholders are:
1. Shareholder
2. Supplier
3. Distributor
The issues are:
a. The goodwill of the company in terms of environmental sustainability is important for
shareholder to invest further.
b. The supply chain with ethical practices

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c. The third party channels in distribution with just-in-time reach of product to customer
The 3 external stakeholders are:
1. Customer
2. Public
3. Government agencies
The issues are:
a. The proper awareness and healthy environmental friendly products with labels
b. The corporate sustainability issue for public
c. The compliance to laws and proper regulations in the manufacturing processes
Strengths and weaknesses
The company’s strength lies in using eco-friendly approach to products and the green
technology in manufacturing them. The company’s weakness lies in the less qualified staff as
well as the usage of environmental resources at an excess.
Costs
The costs are huge in investing at eco-friendly product manufacturing.
Profits
It can achieve the profits from the unique selling proposition and the customer
retention score.
Inventory
The skin products and the various product lined reintroduced.
Competition
All the direct and the indirect competitors in the industry selling skin products as well
as natural substitute skin products .

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Marketing
The female gender segment mainly targeted with the communication approach of
advertising and direct sales .
Critical success factors
1. Support from top management in leadership
2. Communication to all the organizational members
3. Organizational culture
4. Change in organizational structure
5. Training of staff
6. Change in information technology
7. Trust and cooperation from staff

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2. EMAIL TO CEO
To ,
Ben Johnson,
CEO of Nature Care Products
7th January,2020
Dear Sir,
I would like to inform you that the risk management plan will be performed fousing
on the 3 main critical success factors like top organizational commitment, organizational
culture and communication. The government regulations, less consumer demand in the new
markets, inadequate employment staff, selling and distribution rights in skin industry along
with use of high chemical content in skin products are the risks identified through PESTLE
analysis. The necessary treatment methods are suggested too with them.
The risk briefing report is attached with the mail.
Thereby, I would like to seek your valuable feedback regarding the design of this
plan and would wait for the approval to carry the risk program forward.
Yours sincerely,
Jonathan Matthews
Operations Mangaer of Nature Care Products
7th January,2020

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3. EMAIL TO TEAM
Dear team members,
I would like to cordially invite you all to to take part in the meeting of company’s ew
proposal expansion on Wednesday 18th January,2020.
We will hold the meeting for joint discussion regarding the risk management process
of Nature Care . The organization is planning to diverse it’s business in three other locations
because of which it has conducted a risk assessment through PESTLE analysis. The 3 most
severe risks identified are the inadequate staff, consumer demand and the non-compliance to
environmental standard. These risks tested for mitigating them followed by quarterly
monitoring.
Please attend the meeting and give your valuable feedback and suggestions regarding
the risk management process adopted in the organization. Your ideas in the treatment
measures provided in the meeting being highly appreciated.
Meeting Time : 11 AM
Location : Meeting Room No. 7
We request you to attend the meeting on time.
For further doubts and clarification, we request you to contact :
Ms. Samantha Jackson and Mr. John Potts for the functioning of the meeting and the
documents to carry.
Yours sincerely,
Jonathan Matthews
Operations Manager