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. Select risk mitigation for each risk | 1.1 Identify risk mitigation options for each risk in line with Australian risk management standards and treatments for risk mitigation 1.2 Quantify implementation time for each treatment, and costs and benefits arising from treatment options, before appropriate treatments are selected |
2. Develop risk mitigation plan | 2.1 Review treatment priorities and adequacy of existing controls, and establish need for additional or alternative controls 2.2 Identify, document and allocate required actions 2.3 Establish budget, timeframes and reporting schedules |
3. Develop implementation plan | 3.1 Identify tasks to be undertaken and organise personnel and resources to carry out actions 3.2 Determine indicators of progress and success 3.3 Establish monitoring system to determine effectiveness of treatments |
4. Communicate with relevant internal and external stakeholders | 4.1 Identify stakeholders and seek out their views 4.2 Provide information to stakeholders at each stage of treating organisation’s risks |
Evidence of the ability to:
analyse financial risks, perform associated cost analysis and select appropriate risk management practices
develop a risk mitigation plan
develop and monitor budgets and implementation schedules for risk mitigation strategies.
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:
explain risk management principles, practices and management tools
identify and explain the key features and purpose of the Australian standards as they relate to risk management
analyse and discuss the range of possible treatment options for financial and legislative risk
analyse areas of applicability of treatment options in an organisation
describe methods of comparing suitability of risk treatment options for particular applications
describe the key indicators for monitoring the success of selected risk mitigation strategies
identify and explain the role of internal and external stakeholders relevant to risk.
Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the risk management field of work and include access to:
office equipment, technology, software and consumables
relevant legislation, regulations and codes of practice
relevant Australian standards relating to risk management.
Assessors must satisfy NVR/AQTF assessor requirements.