Risk managements

Activity 1.

1. In a short paragraph for each, explain the meaning of these terms:

a. Risk

b. Risk management

c. Risk appetite

d. Risk capacity

2. Organisational processes, procedures and requirements for undertaking risk management assessments and managing risk should be periodically reviewed. Why? (100words)

Activity 2.

You work for Australia Wide Taxations Solutions – a company of 1,500 employees offering taxation services across the county. The company is divided into five divisions: personal taxation, small business taxation, corporate services, personal wealth creation and corporate asset management. It is highly regulated industry and there are many laws that must be adhered to.

You have been asked to undertake a risk management process for the entire organisation. How will you identify the risk management scope? What advantages, difficulties and challenges does scope of this size pose? How else might you approach the management of risk at Australia Wide Taxations Solutions? (100-150 words)

Activity 3.

Why is necessary to consider stakeholder’s issues throughout the risk management process design? (75 – 100 words)

Activity 4.

Comment on the influence / impact each of the following factors has on an organisation`s risk profile:

·        Political

·        Economic

·        Social

·        Legal

·        Technological

·        Policy

 

Activity 5.

1.   Conduct a SWOT analysis for the current risk management practices of an organisation with which you are familiar.

 

SWOT analysis

Name of organisation:

 

Brief description of core function of the organisation:

·     Strengths

·     Weaknesses

·     Opportunities

·     Threats

 

2.   Summarise the findings of your SWOT. Are the current arrangements adequate? Why / why not? What steps do you recommend be taken and why? (75-100 words)

 

Activity 6

Nautilus Boat is a small business which is family-owned and operate. It is located in a marina at the mouth of a major river and has been operating for five years.

 

The business is based on:

·     Hire of eight aluminium runabouts (tinnies) to youth groups, anglers and tourists

·     Hire of two deep-sea vessels to serious anglers and scuba divers

·     Hire of fishing gear

·     Sale of bait and scuba tank refills

 

Nautilus Boat Hire is researching whether to expand the business offerings to include hire three houseboats to families and groups of young adults. A survey they recently conducted revealed that a significant number of clients are tourists from interstate or overseas. Most clients are once-only hirers who have no knowledge of local waters and weather conditions.

 

As part of their business planning, the company identified the following risks to the new business offerings:

·     People who are nor strong swimmers, especially children, drowning

·     Houseboat clients getting lost and/or stuck on sandbanks

·     Clients finding the houseboats very difficult to control in high winds – resulting in damage to the houseboat and/or land structures

·     Clients being sunburned and dehydrated on hot, sunny days

·     Clients making a lot of noise when moored and residents complaining

 

Using the information that you have been provided, determent the goals and objectives that Nautilus Boat Hire would include in their risk management plan. (200 words)

Activity 7

1.   Plans must be supported. Who should support them and why is this support necessary? (100-150 words)

2.   Create your own checklist for the qualities of a risk management champion.