List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.
ELEMENT | PERFORMANCE CRITERIA |
Elements describe the essential outcomes. | Performance criteria describe the performance needed to demonstrate achievement of the element. |
1. Identify elements of the business plan | 1.1 Identify purpose of the business plan 1.2 Identify and review essential components of the business plan 1.3 Identify and document business goals and objectives as a basis for measuring business performance |
2. Develop a business plan | 2.1 Research resources, legal and compliance requirements, specifically in relation to work health and safety (WHS), in accordance with business goals and objectives 2.2 Research market needs, and market size and potential 2.3 Identify sources and costs of finance, from financial plan, to provide required liquidity and profitability for the business 2.4 Identify methods, from marketing strategies, to promote market exposure of the business 2.5 Identify methods or means of production or operation from production or operations plan to conform with business goals and objectives 2.6 Identify staffing requirements to effectively produce or deliver products and services 2.7 Identify, assess and prioritise internal and external risks 2.8 Identify specialist services and sources of advice, where required, and cost in accordance with available resources |
3. Develop strategies for minimising risks | 3.1 Identify specific interests and objectives of relevant people and seek and confirm their support of planned business direction 3.2 Identify and develop risk management strategies according to business goals and objectives, and relevant legal requirements 3.3 Develop a contingency plan to address possible areas of nonconformance with the plan |
Evidence of the ability to:
develop a business plan which provides for finance, marketing and provision of products or services to facilitate all business goals and objectives
identify and plan all work health and safety (WHS) and duty of care responsibilities
identify and assess internal and external risks to the business
develop risk management strategies including a contingency plan for non-conformance.
Note: If a specific volume or frequency is not stated, then evidence must be provided at least once.
To complete the unit requirements safely and effectively, the individual must:
discuss all government legislative requirements relating to business operation, especially in regard to WHS and environmental issues, equal employment opportunity, industrial relations and antidiscrimination
explain methods of evaluation
summarise WHS responsibilities and procedures for identifying hazards relevant to the business
outline planning processes
describe preparation of a business plan
identify principles of risk management relevant to small business planning
outline common risks particular to the small business type or industry
explain reasons for, and benefits of, business planning
clarify relevant industry codes of practice
outline setting goals and objectives
explain types of business planning – feasibility studies; strategic, operational, financial and marketing planning.
Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the Management and Leadership – Small and Micro Business field of work and include access to:
business equipment and resources
relevant legislation, regulations, standards and codes
relevant workplace documentation and resources
case studies or where possible, real situations
interaction with others.
Assessors of this unit must satisfy the requirements for assessors in applicable vocational education and training legislation, frameworks and/or standards.