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. Evaluate options for reconstruction | 1.1 Identify, locate and secure assets and liabilities to be included in reconstruction plan 1.2 Analyse organisation’s comparative market position to identify advantages and disadvantages of operations 1.3 Ensure sources of financing are tax efficient and that optimal balances are achieved between minimising costs of servicing, financing and maintaining liquidity 1.4 Establish and assess short-term and long-term financial obligations for organisation against client objectives and expectations 1.5 Establish reconstruction milestones in consultation with stakeholders to identify significant deviations from expected returns 1.6 Identify relevant legislative and regulatory requirements impacting on insolvency and reconstruction options |
2. Establish timelines and objectives | 2.1 Allocate operational liaison and reporting responsibilities to appropriate personnel to ensure completion of tasks 2.2 Develop implementation schedules with defined target dates, and communicate and confirm with stakeholders 2.3 Develop, modify and agree on performance indicators for completion of projects in planning process |
3. Monitor progress | 3.1 Identify, acquire and validate operational data relevant to reconstruction plan 3.2 Support day-to-day administration of program by liaison and regular reporting 3.3 Assess delays and bottlenecks in implementation, and develop and negotiate solutions 3.4 Analyse and document results of progress in accordance with plan |
4. Plan for disaster | 4.1 Confirm triggers for implementation arrangements with stakeholders and communicate to relevant personnel 4.2 Establish and document contingency plans in line with operational performance indicators |
Evidence of the ability to:
analyse asset and liability classification to evaluate options for reconstruction that comply with relevant legislation and regulatory requirements
establish reconstruction timelines and objectives, and monitor progress
develop contingency plans that include plans for disaster.
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:
identify and explain the key principles of legislation as they relate to insolvency management covering:
trade practices and corporation law
taxation assessment
workplace relations
consumer and competition
privacy legislation
explain the application of depreciation methods allowed by tax authorities
compare and contrast the duties and responsibilities of:
administrators and liquidators
auditors
discuss ethical considerations for the handling of financial reconstruction
identify and explain the key principles of valuation and processes for asset disposal.
Assessment must be conducted in a safe environment where evidence gathered demonstrates consistent performance of typical activities experienced in the accounting field of work and include access to:
common office equipment, technology, software and consumables
an integrated financial software system and data.
Assessors must satisfy NVR/AQTF assessor requirements.