Application
This unit of competency covers the skills and knowledge required to develop, implement and evaluate an organisation-wide risk management plan. Risk management is defined as coordinated activities to direct and control an organisation with regard to risk. It incorporates an assessment of all potential risks facing the organisation and the approach, management components and resources to be applied to the management of risk. It focuses on avoiding/eliminating critical incidents rather than on recovering from a disaster.
This unit of competency applies to managers or work health and safety (WHS) specialists who are developing or maintaining a risk management plan for their site or organisation.
This unit of competency is based on AS/NZS ISO 31000:2009 Risk management - Principles and guidelines and can be applied to any aspect of risk in an organisation. When applied to health, safety and environment (HSE) risks the business and other risks consequent on them are also considered.
This unit of competency applies to an individual working alone or as part of a team or group and working in liaison with other shift team members and the control room operator, as appropriate.
No licensing, legislative or certification requirements apply to this unit at the time of publication.
Elements and Performance Criteria
Elements describe the essential outcomes | Performance criteria describe the performance needed to demonstrate achievement of the element | ||
1 | Develop risk management plan | 1.1 | Analyse and interpret strategic position and policy on risk management |
1.2 | Identify risk management context and potential areas of risk | ||
1.3 | Analyse organisational capability to manage risk and achieve objectives | ||
1.4 | Generate a comprehensive list of risks that could affect the achievement of the organisation’s objectives | ||
1.5 | Establish or review risk management policies | ||
1.6 | Evaluate the requirement for training/education for all groups and individuals | ||
1.7 | Access external specialist assistance as required | ||
1.8 | Establish appropriate risk assessment techniques | ||
1.9 | Consult stakeholders in the development of the plan |
2 | Implement risk management plan | 2.1 | Define, in consultation with stakeholders, the criteria used to evaluate the significance of risk |
2.2 | Evaluate and prioritise risks for treatment | ||
2.3 | Determine and select the most appropriate options for treating risks | ||
2.4 | Implement and monitor risk treatment plan | ||
2.5 | Document strategies for risk treatment options |
3 | Evaluate risk management plan | 3.1 | Establish procedures to regularly review risk management activities |
3.2 | Ensure stakeholders have input to the review | ||
3.3 | Examine activities that do not achieve their objective/performance outcomes to determine cause | ||
3.4 | Identify targets for improvement and update plan | ||
3.5 | Establish evaluation of risk management as a key component of all projects/activities |
Evidence of Performance
Evidence required to demonstrate competence in this unit must be relevant to and satisfy the requirements of the elements and performance criteria and must include the ability to:
select and apply techniques to develop a risk management plan
identify and interpret information from a range of internal and external sources
communicate with a range of stakeholders to:
identify and assess impact
prioritise risks
develop and evaluate treatment options
evaluate risk management activities
evaluate organisational capability and identify training needs
plan, implement and monitor risk management activities
write reports, policies and procedures.
Evidence of Knowledge
Must provide evidence that demonstrates knowledge relevant to their job sufficient to operate independently and to solve routine and non-routine problems, including:
regulatory framework
legal requirements for operating the business relevant to the area of responsibility
the legal implications of deeming identified risks as acceptable
internal or external audit methods
focus group processes
risk analysis processes
criteria for evaluation and prioritisation.
Assessment Conditions
The unit should be assessed holistically and the judgement of competence based on a holistic assessment of the evidence.
The collection of performance evidence is best done from a report and/or folio of evidence drawn from:
a single project which provides sufficient evidence of the requirements of all the elements and performance criteria
multiple smaller projects which together provide sufficient evidence of the requirements of all the elements and performance criteria.
A third-party report, or similar, may be needed to testify to the work done by the individual, particularly when the project has been done as part of a project team.
Assessment should occur in operational workplace situations. Where this is not possible, or where personal safety or environmental damage are limiting factors, assessment must occur in a sufficiently rigorous simulated environment reflecting realistic operational workplace conditions. This must cover all aspects of workplace performance, including environment, task skills, task management skills, contingency management skills and job role environment skills.
Knowledge evidence may be collected concurrently with performance evidence (provided a record is kept) or through an independent process, such as workbooks, written assessments or interviews (provided a record is kept).
Assessment processes and techniques must be appropriate to the language, literacy and numeracy requirements of the work being performed and the needs of the candidate.
Conditions for assessment must include access to all tools, equipment, materials and documentation required, including relevant workplace procedures, product and manufacturing specifications associated with this unit.
Foundation skills are integral to competent performance of the unit and should not be assessed separately.
As a minimum, assessors must satisfy the Standards for Registered Training Organisations 2015 assessor requirements.
Foundation Skills
This section describes those language, literacy, numeracy and employment skills that are essential to performance.
Foundation skills essential to performance are explicit in the performance criteria of this unit of competency.
Range Statement
This field allows for different work environments and conditions that may affect performance. Essential operating conditions that may be present (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) are included. | |
Regulatory framework | The latest version of all legislation, regulations, industry codes of practice and Australian/international standards, or the version specified by the local regulatory authority, must be used, and include one or more of the following: legislative requirements, including work health and safety (WHS) industry codes of practice and guidelines environmental regulations and guidelines Australian and other standards licence and certification requirements AS/NZS ISO 31000:2009 Risk management - Principles and guidelines award and organisation agreements and relevant industrial instruments All operations to which this unit applies are subject to stringent HSE requirements, which may be imposed through state or federal legislation, and these must not be compromised at any time. Where there is an apparent conflict between performance criteria and HSE requirements, the HSE requirements take precedence. |
Procedures | All operations must be performed in accordance with relevant procedures. Procedures are written, verbal, visual, computer-based or in some other form, and include one or more of the following: emergency procedures work instructions standard operating procedures (SOPs) safe work method statements (SWMS) formulas/recipes batch sheets temporary instructions any similar instructions provided for the smooth running of the plant |
External specialist assistance | External specialist assistance includes: any group or individual who has the expertise to assist the organisation to deal with any event/incident which may occur |
Risk | Risk includes one or more of the following: injury or disease environmental factors product failure financial/economic loss/failure damage to property/plant/equipment industrial disputes professional incompetence natural disasters security failure, including criminal or terrorist activities equipment/system failures political events |
Sectors
Competency Field
Work health and safety