BSBPMG415A
Apply project risk-management techniques

This unit describes the performance outcomes, skills and knowledge required to assist with aspects of risk management in a project. It specifically involves planning for, controlling and reviewing risks associated with the project, and assisting in this process where required.

Application

This unit applies to a project practitioner working in a project support role.

The individual may be operating in a large or small organisation and applying skills in the context of enterprise projects.

The project practitioner may be part of a project team under the direction of a project manager, or may work as part of a smaller scale self-directed team.

This unit has generic application to a range of industries and organisations and a range of projects, from simple to complex.

In the context of this unit a project is defined as involving:

a practical and comprehensive project plan

a documented communications strategy

a detailed project budget

strategic engagement with stakeholders

a risk, issues and change-management methodology

a quality plan with assurance and control processes

a supportive team-based environment.

The functions performed in project work, where formal project management methodology is not the main focus, are covered by BSBPMG522A Undertake project work.


Prerequisites

Not applicable.


Elements and Performance Criteria

1. Assist with risk analysis and planning

1.1 Contribute to identifying and prioritising potential risks throughout the project life cycle, using established risk-analysis methods, techniques and tools

1.2 Contribute to developing risk-management strategies and risk-management plans according to established guidelines

1.3 Contribute to developing and implementing risk-reporting mechanisms

2. Perform risk-control activities

2.1 Monitor risks according to agreed project and risk-management plans and advise project manager of changing circumstances

2.2 Regularly review progress and future activity for the purpose of identifying potential and actual risks and opportunities

2.3 Contribute to implementing agreed risk-management approaches and amending plans to reflect the changing environment

2.4 Contribute to corrective action on risks according to the risk-management plan and delegated authority

2.5 Contribute to the review of contingency plans on an ongoing basis and, where required, ensure tasks allocated to individuals and/or team are clarified with the project manager before implementation

2.6 Apply and monitor risk-contingency measures according to the risk-management plan

2.7 Identify and report opportunities in the same way as risks

3. Contribute to assessing risk-management outcomes

3.1 Contribute to the ongoing review of project outcomes to determine the effectiveness of risk-management activities by accessing project risk records and other available information

3.2 Report risk-management issues and responses to others for lessons learned or application to future projects

Required Skills

Required skills

communication and teamwork skills to contribute to collective processes for risk management

initiative and enterprise skills to think laterally about risks and how they may occur

planning, organising and analytical skills to assist with risk analysis, risk-management planning and review of risk-management outcomes.

Required knowledge

risk-management methods and standards

risk-management processes.

Evidence Required

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Evidence of the following is essential:

applying risk-management techniques in relation to workplace projects

knowledge of risk-management methods, techniques and tools.

Context of and specific resources for assessment

Assessment must ensure access to:

examples of project-management documentation for risk management.

Method of assessment

A range of assessment methods should be used to assess practical skill and knowledge. The following assessment methods are appropriate for this unit:

direct questioning combined with review of portfolios of evidence and third-party workplace reports of on-the-job performance by the candidate

analysis of responses addressing case studies and scenarios that present issues and problems in project risk management

oral or written questioning to assess knowledge of strategies for managing project risk and their application to different situations

review of risk-analysis methods, techniques and tools

review of risk-management plans

evaluation of reporting of risk-management issues and responses.

Guidance information for assessment

Holistic assessment with other units relevant to the industry sector, workplace and job role is recommended.


Range Statement

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Risk-analysis methods may include:

risk categorisation

risk data quality assessment

risk likelihood and consequence ranking

risk urgency assessment.

Risk-management strategies may include:

accepting some or all of the consequences of a particular risk

avoiding the risk

mitigating the likelihood of the risk

sharing risk with another party

transferring risk to another party.

Risk-management plans may include:

definitions of risk likelihood and consequence

identified risks

methodologies

risk categories and priorities

risk context for project

roles and responsibilities in regard to risk management

stakeholder tolerances

tools for determining risk rank and priority

tracking risks.

Monitoring risks may include:

recommended corrective actions

recommended preventative actions

requested changes

reserve analysis

risk audits

risk reassessment

risk register and updates

status meetings

technical performance information

variance and trend analysis.

Risk-management approaches may include:

risk identification

risk quantification

risk response control

risk response development.

Delegated authority may be:

subject to frequent change in different project contexts

under limited guidance and supervision

within agreed authorisation and limits

within established organisational framework, procedures and routines.

Risk-contingency measures may include:

alternative project plans and approaches

degree of acceptable variation

planning for risk

project planning tolerances.

Opportunities may include:

better means of achieving a result

changes in the project or broader environment that offer scope for rescheduling activities to better effect

efficiencies or methods to work more effectively, such as ways of shortening an activity

initial project activities that reveal entirely different sets of priorities, for example product development, research and policy development

responses to changing commercial or competitive conditions.

Risk records may include:

lists of potential risk events

project and/or organisation files and records

risk analysis and reappraisal

risk diaries, risk registers, incident logs, occurrence reports and other such documentation

risk-management lessons learned

risk-management plan.


Sectors

Management and Leadership – Project Management


Employability Skills

This unit contains employability skills.


Licensing Information

No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.