Elements and Performance Criteria

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 in the performance criteria is detailed below. Add any 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.
Sources of information may include:
agency records
experience
industry practice and experience
legislation
market research
published literature
specialist or expert advice from:
government agencies
professional and industry associations.
Tools for identification may include:
documentation to assist in the process of identifying risks and assessing impact and likelihood of occurrence
standard instruments developed for the agency and contextualised for sections of the workplace's operations, such as checklists and testing procedures
tools to prioritise risks, including where relevant, numerical scoring systems for risks.
Actual and potential risks may relate to:
administrative and business systems, policies and practices
commercial and legal relationships between the agency, consumers and other organisations, such as buyers, sellers, employees, landlords, tenants, subcontractors, developers and suppliers
consumer risk
economic and financial circumstances
individual actions, such as discrimination and ineffective communication
management activities and controls
natural events
non-compliance with legislative and regulatory requirements, such as:
consumer protection
OHS
trade practices
non-compliance with quality systems, such as:
enterprise
franchise
International Standards Organisation (ISO)
OHS
physical and personal security

political circumstances, such as legislative change
property ownership, including intellectual property
technological and technical issues, both internal and external to the agency, such as loss of data.
Agency, clients and other stakeholders may include:
consumers and clients
co-owners
financial institutions with an interest in the agency
principal
staff and others to whom a duty of care is owed.
Agency representations and information provided by clients may refer to:
anticipated income and expenditure
bankruptcy
business status and ownership
compliance with legislative and regulatory requirements
condition of property
covenants
customer base
easements
family law matters
financial records
insolvency
leases or tenancy agreements
legal action
licences
permits
property status and ownership
quotas
stock
value of property.
Causes of risks may include:
commercial and legal relationships
economic circumstances
human behaviour
inaccurate information provided by clients
individual activities
management activities and controls
natural events
political circumstances
technological issues.
Potential impact of risks may adversely affect:
capital reserves
cash flow viability and resulting liquidity
goodwill value
nett worth of the business
return on investment.
Consequences, likelihood and severity of risks may refer to:
consequences - extreme, very high, medium, low and negligible
likelihood - almost certain, likely, moderate, unlikely and rare
severity - severe, high, major, significant, moderate and trivial.
Risk categorisation may refer to:
administration - misrepresentation, personal injury and misappropriation
commercial sales and leasing - miscalculating rentable floor space and exclusivity of business (retail)
property management - maintenance, consumer protection and discrimination
property sales - incorrect disposal of chattels, code of ethics and conduct, loss of documents, trade practices, consumer protection, unauthorised disclosure, and sale of goods under warrant of execution.
Risk priorities may refer to:
assessing consequences and likelihood
assigning a value to identified risks using available tools.
Options for minimising risks may include:
avoid the risk - deciding not to become involved in a risk situation
finance the risk - funding risk treatment and the financial consequences of risk

reduce the risk - applying appropriate techniques and management principles to reduce the likelihood of an occurrence and its consequences
retain the risk - intentionally or unintentionally retaining responsibility for loss or financial burden of loss
transfer the risk - shifting responsibility or burden of loss to another party through contract, insurance or other means.
Procedures and systems for controlling risks may include:
documentation
procedures, including:
assessment
confidentiality, security and privacy procedures
control measures
identification
monitoring
organisational procedures
treatment
systems, including:
company operations manual
induction and training.
Risks to consumers may relate to:
advertising and marketing
moneys held in trust
property management
property sale
provision of information and advice
tenancy agreements.

EVIDENCE GUIDE
The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, the range statement and the Assessment Guidelines for this Training Package.
Overview of assessment
This unit of competency could be assessed through case studies and practical demonstration of identifying, assessing, treating and monitoring risks to the agency and consumers. Targeted written (including alternative formats where necessary) or verbal questioning to assess the candidate's underpinning knowledge would provide additional supporting evidence of competence. The demonstration and questioning would include collecting evidence of the candidate's knowledge and application of ethical standards and relevant federal, and state or territory legislation and regulations. This assessment may be carried out in a simulated or workplace environment.
Critical aspects for assessment and evidence required to demonstrate competency in this unit
A person who demonstrates competency in this unit must be able to provide evidence of:
analysing the causes and potential impact of risks on agency, clients and other stakeholders
establishing ongoing monitoring and reporting systems to minimise risks to agency, clients and other stakeholders
identifying and implementing agency policies and procedures for minimising and treating risks
identifying actual and potential risks to agency, clients and other stakeholders
identifying, minimising and responding to consumer risks associated with agency operations.
Context of and specific resources for assessment
Resource implications for assessment include:
access to suitable simulated or real opportunities and resources to demonstrate competence
assessment instruments that may include personal planner and assessment record book
access to a registered provider of assessment services.
Where applicable, physical resources should include equipment modified for people with disabilities.
Access must be provided to appropriate learning and/or assessment support when required.
Assessment processes and techniques must be culturally appropriate, and appropriate to the language and literacy capacity of the candidate and the work being performed.

Validity and sufficiency of evidence require that:
competency will need to be demonstrated over a period of time reflecting the scope of the role and the practical requirements of the workplace
where the assessment is part of a structured learning experience the evidence collected must relate to a number of performances assessed at different points in time and separated by further learning and practice with a decision of competence only taken at the point when the assessor has complete confidence in the person's competence
all assessment that is part of a structured learning experience must include a combination of direct, indirect and supplementary evidence
where assessment is for the purpose of recognition (RCC/RPL), the evidence provided will need to be current and show that it represents competency demonstrated over a period of time
assessment can be through simulated project-based activity and must include evidence relating to each of the elements in this unit.
In all cases where practical assessment is used it will be combined with targeted questioning to assess the underpinning knowledge. Questioning will be undertaken in such a manner as is appropriate to the language and literacy levels of the candidate and any cultural issues that may affect responses to the questions, and will reflect the requirements of the competency and the work being performed.