Monitor, Assess and
Manage Risk
US ID 252025
Learner Formative Assessment Workbook
FORMATIVE ASSESSMENTS WORKBOOK
Formative Assessment 1: SO1 AC1
Concept of Risk
Complete the following task
1.1 Explain each of the following terms in your own words and give an example of each from
your organisation/ unit:
Term
Explanation
Example
Risk
Probability
Upside risk
Downside risk
1.2 Risk categories:
Explain how your organisation/ unit can be exposed to the following risk categories:
Financial
Equipment
Organisational
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Security
Legal and regulatory
Reputation
Operational
Contractual
Service delivery
Commercial
Project
Safety
Workplace safety
Stakeholder
management
Client-customer
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relationship
Strategic
Technology
Place any extra evidence after this page, clearly marked for easy reference.
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Formative Assessment 2: SO1 AC2
Factors that could Constitute Risks to a Unit
Complete the following task
2.1 Explain how the following factors could constitute risks to a unit:
a. Occupational health, safety and environmental risks
b. Financial risks
c. Fraud
d. Theft of intellectual property
2.2 Identify possible risks in your workplace in each of the following areas:
Area of Risk
Possible risk(s)
Operations
Service delivery
Staffing
Governance activities
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Formative Assessment 3: SO1 AC3
Role of Organisational Policies and Procedures
Complete the following task individually
3.1 Any of the work you do throughout the day is a procedure (or often called a process).
Filing a report, preparing statements, designing a training course, writing a software
program and producing a part are all processes. Regardless of what work you do or where
you complete it, most of your work is done as a procedure (process) and there a number
of outputs which could be affected by the quality of the procedure.
Analyse your work responsibilities for your job function by creating a job profile. To
create a job profile, you need to:
a. List 6 outputs of the role
b. List the quality requirements / standards for each output and refer to legislation and/or
industry standards where required
Use the following table to present your findings:
Output
Quality Requirement / Standard
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3.2 Use the table of information created in 3.1 and identify and list:
a.
The implications of exceeding quality requirements / standards (make reference to the
implications for your unit and for the organisation)
b.
The implications of not performing to the required standards (make reference to the
implications for your unit and for the organisation)
Outpu
t
Quality
Requirement
/ Standard
Implications of
exceeding the
standard
Unit
Company
Implications of
not performing
to the standard
Unit
Company
1.
2.
3.
4.
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5.
6.
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Formative Assessment 4: SO2 AC1
Identify Potential Risk Factors for Critical Processes
Complete the following task individually
4.1 Write down 10 potential risk factors for critical processes present in your workplace in
random order, as they spring to mind. They can be long- or short-term. Rank them in terms
of probability, 1 being most probable and 10 least probable. Also rank them in terms of
severity, with 1 being most severe and 10 being least severe.
Risk
Critical process
Probability
Severity
4.2 Make a decision as to which 3 risks need your most urgent attention and say how you came
to that conclusion:
4.3 Draw an Ishikawa diagram to determine potential causes of ONE of the most urgent risks to
critical processes identified above (4.2):
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4.4 Explain where you get data to determine the risks in your workplace:
4.5 How do you verify the accuracy of the data?
4.6 Describe the consequences if you were to get inaccurate data:
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Formative Assessment 5: SO2 AC2
Scenarios that could Constitute a Risk occurring
Complete the following task individually
5.1 Describe 3 preventable accidents of human origin that can/ do occur in your workplace:
5.2 What steps can /do you take to minimise or prevent accidents of human origin?
5.3 Describe 3 risk scenarios related to machinery or technology that can/do occur in your
workplace:
5.4 What steps can /do you take to minimise or prevent risk scenarios related to machinery or
technology?
Place any extra evidence after this page, clearly marked for easy reference.
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Formative Assessment 6: SO2 AC3, 4 & 5
Rate the Impact of Each Scenario and determine Priorities
Complete the following task individually
6.1 Describe 3 risk scenarios
workplace/organisation/industry:
that
are
unique
to
or
characteristic
of
your
6.2 Evaluate the possibility of each scenario occurring. Give reasons for your evaluation.
6.3 Perform an analysis and describe and rate the impact of each scenario on your unit
6.4 Determine priorities for managing the risks identified from the impact analysis and explain
why you regard them as priorities:
Place any extra evidence after this page, clearly marked for easy reference.
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Formative Assessment 7: SO3 AC1
Develop Contingency Plans
Complete the following task individually
7.1 Explain what is meant by the following terms related to risk management:
a. Mitigation
b. Avoidance
c. Elimination
d. Acceptance
7.2 How do you minimise risk to property in your business unit? Give three examples.
7.3 How do you manage risk to income? Give a short description of at least three of the ways in
which you implement cost-cutting in your business unit.
7.4 Explain how your organisation protects and enhances its reputation among employees and
the community. What could damage your organisation’s reputation in the community?
Describe a scenario that could or has happened
7.5 Identify the "people assets" in your organisation and list five risks to the people in your
organisation
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7.6 Draw up a contingency plan for one of the risks you identified in previous activities in
accordance with the organisation's policies and procedures:
Step 1: Risk Management Planning
Step 2: Risk Identification
Step 3: Risk Probability
Step 4: Risk Response Plan
Step 5: Risk Monitoring and Control
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Formative Assessment 8: SO3 AC2 & 3
Communicate, Distribute and Store Contingency Plans
Complete the following task individually
8.1 Explain who the relevant stakeholders are to whom you will need to communicate the
contingency plan in accordance with the organisation's risk management procedures
8.2 Explain how the contingency plan is distributed and stored in accordance with the
organisation's risk management procedures
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Formative Assessment 9: SO4 AC1
Test Contingency Plans
Complete the following task individually
Explain how you will test the contingency plans in accordance with the organisation's risk
management procedures
Place any extra evidence after this page, clearly marked for easy reference.
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Formative Assessment 10: SO4 AC2 & 3
Recommendations on Improvements to Contingency Plans
Complete the following task individually
10.1 Explain how you will document recommendations on improvements to the contingency
plans in relation to the findings of the testing
10.2
Explain when contingency plans are revised to incorporate recommendations from the
testing in accordance with the entity's policies and procedures
Place any extra evidence after this page, clearly marked for easy reference.
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