Detailed Solution for BSBRSK501 Manage Risk Assessment Task

This document presents a comprehensive solution to a risk management assignment, covering various aspects of risk assessment and mitigation. The assignment addresses key concepts such as the purpose of risk management standards, outlining the AS/NZS ISO 31000:2009 risk management principles, and explaining the requirements of WHS legislation. It further explores factors in determining risk control measures for hazardous manual tasks, the purpose of risk management policies and procedures, and the impact of unidentified risks. The solution also outlines a step-by-step procedure for analyzing risks, sources of information for gathering potential risks, and tools and techniques for identifying risks. Furthermore, it details options for controlling and minimizing risks in a workplace setting, along with a case study involving NatureCare, including PESTLE analysis, stakeholder identification, strengths and weaknesses, and a risk management plan. The plan includes identifying risks, creating a risk register, analyzing and evaluating risks, and identifying risk triggers, providing a complete overview for effective risk management practices.

Running head - MANAGE RISK
Manage risk
Name of the student
Name of the university
Author’s note

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Assessment Task 1
Question 1 - Discuss the purpose of risk management standards. Include an example of
a risk management standard in your answer.
Answer - The purpose of risk management is to identify potential problems before they occur
so that risk-handling activities may be planned and invoked as needed across the life of the
product or project to mitigate adverse impacts on achieving objectives.
For example – One of the biggest risk management standards could be seen at the
construction sites. There are abundant types of risks in the working site that risk assessors
should be aware off.
Question 2. Outline the AS/NZS ISO 31000: 2009 Risk Management Principles and
Guidelines and each of the 11 principles.
Answer - ISO 31000:2009 can be applied throughout the life of an organization, and to a
wide range of activities, including strategies and decisions, operations, processes, functions,
projects, products, services and assets.
ISO 31000:2009 can be applied to any type of risk, whatever its nature, whether having
positive or negative consequences.
Although ISO 31000:2009 provides generic guidelines, it is not intended to promote
uniformity of risk management across organizations.
The introduction of the 11 Principles of risk management
1. Creates and protects value Good risk management contributes to the achievement of an
agency’s objectives through the continuous review of its processes and systems.

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2. Be an integral part of organisational processes Risk management need to be integrated with
an agency’s governance framework and become a part of its planning processes, at both the
operational and strategic level.
3. Be part of decision making the process of risk management assists decision makers to
make informed choices, identify priorities and select the most appropriate action.
4. Explicitly address uncertainty by identifying potential risks, agencies can implement
controls and treatments to maximise the chance of gain while minimising the chance of loss.
5. Be systematic, structured and timely The process of risk management should be consistent
across an agency to ensure efficiency, consistency and the reliability of results.
6. Based on the best available information to effectively manage risk it is important to
understand and consider all available information relevant to an activity and to be aware that
there may be limitations on that information.
7. Be tailored an agency’s risk management framework needs to include its risk profile, as
well as take into consideration its internal and external operating environment.
8. Take into account human and cultural factors Risk management needsto recognise the
contribution that people and culture have on achieving an agency’s objectives.
9. Be transparent and inclusive Engaging stakeholders, both internal and external, throughout
the risk management process recognises that communication and consultation is key to
identifying, analysing and monitoring risk.
10. The challenging environment we operate in requires agencies to consider the context for
managing risk as well as continuing to identify new risks that emerge, and make allowances
for those risks that no longer exist.

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11. Facilitate the continual improvement of organisations Agencies with a mature risk
management culture are those that have invested resources over time and are able to
demonstrate the continual achievement of their objectives.
Question 3. Explain the requirements of WHS legislation in relation to risk
management.
Answer - An approved code of practice applies to anyone who has a duty of care in the
circumstances described in the code. In most cases, following an approved code of practice
would achieve compliance with the health and safety duties in the WHS Act.
Question 4. List the factors that must be taken into account in determining risk control
measures for hazardous manual tasks as stated in the model Work Health and Safety
Regulations 2011.
Answer –
 Engage workers to undertake work for them, or if they direct or influence work
carried out by workers
 May put other people at risk from the conduct of their business or undertaking
 Manage or control the workplace or fixtures, fittings or plant at the workplace
 Design, manufacture, import or supply plant, substances or structures for use at a
workplace
 Install, construct or commission plant or structures at a workplace.
Question 5. Explain the purpose of risk management policies and procedures in the
workplace.
Answer – The policies and the procedures are -
 Embed risk management into the culture of the council

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 Raise awareness and work with partners, providers and contractors to develop a
common understanding of the council’s expectations on risk management
 Identifying, assessing and effectively managing strategic and operational risks across
the council
 Establishing clear roles, responsibilities and reporting lines for risk management
across the council
Question 6. List three examples of the impact of risks for a workplace if risks are not
identified or actioned.
Answer – Some of the event that could occur in the workplace if risks are not identified
properly like
1. Loss of lives of employees or other health related hazards.
2. Loss of productivity of the organization.
3. Loss in their brand image and reputation.
Question 7. Outline a step-by-step procedure that companies can use for analysing risks
Answer –
Step 1: Identify the Risk
Step 2: Analyze the risk
Step 3: Evaluate or Rank the Risk
Step 4: Treat the Risk
Step 5: Monitor and Review the risk
Question 8. Outline three sources of information that a company could use to gather
information on potential risks.

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Answer – The potential sources are – Risk registers and risk reports, Issues log, Audit reports
and Business Impact Analysis (BIA)
Question 9. Describe three examples of tools or techniques that a company could use to
identify risks as part of a risk assessment process.
Answer – Some of the tools are
 Documentation Reviews - The standard practice to identify risks is reviewing project
related documents such as lessons learned, articles, organizational process assets,
 Information Gathering Techniques - The given techniques are similar to the
techniques used to collect requirements.
 Brainstorming - Brainstorming is done with a group of people who focus on
identification of risk for the project.
Question 10. Explain four options that a company would take to control risks.
Answer -
Avoidance of Risk
The easiest way for a business to manage its identified risk is to avoid it altogether. In its
most common form, avoidance takes place when a business refuses to engage in activities
known or perceived to carry a risk of any kind.
Risk Mitigation
Businesses can also choose to manage risk through mitigation or reduction. Mitigating
business risk is meant to lessen any negative consequence or impact of specific, known risks.
Transfer of Risk
In some instances, businesses choose to transfer risk away from the organization.

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Risk Acceptance
Risk management can also be implemented through the acceptance of risk. Companies retain
a certain level of risk brought on by specific projects or expansion if the
anticipated profit generated from the activity is far greater than its potential risk.
Question 11. Explain four procedures that a company could use to minimise risk.
Answer –
Employee health
Whether people are sitting behind a desk for long periods of time or on a construction site,
they’re at risk of injury.
All employees must be covered by Workers Compensation insurance, but it’s wise to be
proactive about lowering their risk.
On-site security
Whatever the size of the business, protecting the people and property should be high on the
list of priorities. Options include alarm systems, CCTV cameras and nightly patrols by
private security guards.
Liability claims
Public liability –Such as a customer slipping on a wet floor because organization failed to
post a warning sign
Product liability – if the sell or distribute goods that could be held liable if they cause injury,
death or property damage

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Professional liability – As a professional services provider, they could face claims of
negligence, error or omission when they provided a service or advice.

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Assessment Task 2
1. Risk management brief
Introduction
NatureCare risk management policy and procedure outlines the principles to ensure
the organisational objectives are aligned with an effective risk management process.
Scope of the risk assessment process
The scope of the process is a commitment to implement risk management effectively
and a commitment to training and knowledge development in the area of risk management.
Outline of the risk management project
The risk management process of NatureCare aligns with risk management standards
because all the risk processes are appropriately documented and provided as formal
acknowledgement of their responsibility to comply with risk management policies and
procedures.
PESTLE Analysis for NatureCare Products
P E S T L E
Political Economical Social Technology Legal Environmental
Potential
changes to
the
legislation
for Beauty or
Economic
growth.
Lifestyle
factors.
Access and
changes in
information
technology.
Industry
regulations
Regulations and
restriction.

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Care
products.
Global
influences
and new
politics to
regulate
processes or
raw material
market.
Employment
rates.
Income
distribution.
Health and
safety.
Final deposition
politics.
TAX policies.
Employment
politics and
procedures.
Internal and external stakeholders
Internal: Managers, Employees and internal supervisors.
External: Government organisations, risk consultants, external advisors, risk auditors.
The above internal and external personnel will have responsibilities in the hazard
identification process. They need to be skilled at identifying a risk and determining the exact
nature of a problem. They need to be able to view the situation objectively and have the
ability to communicate any advice they have in regard to handling the risk.
Strengths and weaknesses

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Strengths Weaknesses
Eco-friendly products. Poor product variety.
Experience with online marketing. Non-qualified staff for new retail shops.
Experience with natural care and beauty
products.
Partial understanding about risk policy and
procedures.
Government support
Politic and procedures align with current
standards.
Critical success factors
The main objective of NaturalCare Products is to become in the number one retail
store company in Australia, by selling the highest quality and better price natural products,
using ecofriendly manufacture processes, expanding its product range in 10 % and having a
minimum customer satisfaction of 95%.
2. Email to the CEO (your assessor)
Dear Sir,
I would like to bring your kind attention by briefing the risk management plan
through this email. The risk management project would be would outline all the policies and
the procedures that were endeavoured in terms of making good success for the organization.
The risk management project would be following the mentioned analysis of the factors that

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were found by the PESTLE analysis. It is an earnest to you that you provide your quality
feedback so that we could move forward with the project and apply it on the organization.
3. Email to the team (your assessor)
Dear members’,
I would like you all to gather around at the meeting room by 12.30 pm today. The
purpose of the meeting would be discussing about the factors and actions regarding the risk
management project.
4. Team Meeting
At the team meeting, a brief overview of the risk management would be provided. As
per the policy of the risk management, all the action regarding accessing the risk at the
organization would be created in essence to the culture of the organization. Ideas from the
team in assessing the risks would be highly appreciated.
5. Risk management plan
Identifying the Risk and Creating a Risk Register
Use a brainstorming session with the project team members, subject matter experts,
and stakeholders to gain an insight into categories and proper identification of risks. The risk
register contains the following information about each risk associated with the project and
goes through the all the phases of project risk management:
Unique identification
Brief description
Level of impact to the project
Possible frequency of occurrence