Elements and Performance Criteria

The Range Statement provides information about the context in which the unit of competency is carried out. The variables cater for differences between States and Territories and the Commonwealth, and between organisations and workplaces. They allow for different work requirements, work practices and knowledge. The Range Statement also provides a focus for assessment. It relates to the unit as a whole. Text in bold italics in the Performance Criteria is explained here.
Strategic advantages of a risk management culture may include:
increased ability to deal with continually evolving risks and opportunities
aggregated risk information for decision making, as opposed to reporting by function or business unit
alignment of strategy, people, technology and knowledge on an enterprise-wide basis
economic benefit
improved business performance
improved client service
innovative, creative staff who are not risk averse
greater capacity for flexibility and managed responsiveness to change
risk optimisation rather than risk minimisation
politically acceptable decision making
reduced resource wastage
improved sustainability
Risk management :
is a logical and systematic process of identifying, analysing, evaluating, treating, and monitoring risks related to any strategy plan, process, program or procedure that will enable the organisation to minimise losses and maximise opportunities
may be considered in relation to an organisation's:
people
assets and physical environment
reputation and image
legal issues
business continuity
finances
decision making approaches
processes/procedures
is being recognised as inseparable from strategy development, capital allocation and other core management processes
needs to be integrated into the management actions of staff at all levels of the organisation
at strategic or enterprise level overcomes a fragmented approach, such as managing risk by silos, and provides an integrated, aligned, holistic, synergistic and inclusive process
Legislation, policy and procedures may include:
Commonwealth and State/Territory legislation relating to risk management
national and international codes of practice and standards, such as SIRCA 8001: 2003
the organisation's risk management policies and practices
codes of conduct/codes of ethics
Australian and New Zealand standards - Risk management AS/NZS 4360:1999 or as revised
Guidelines for managing risk in the Australian and New Zealand public sector - HB 143:1999 or as revised
professional standards for risk management, for example CPRM - certified practising risk manager
jurisdictional policies, guidelines and web sites, for example www.riskmanagement.qld.gov.au
Stakeholders may include:
all those individuals and groups both inside and outside the organisation that have some direct interest in the organisation's behaviour, actions, products and services, including:
boards of management
clients
community organisations
contractors
employees at all levels of the organisation
government
Ministers
other public sector organisations
self-insurers
service providers
suppliers
the public
union and association representatives
volunteers
Strategies to communicate with stakeholders may include:
oral advice and guidance
one-on-one meetings
small group meetings
telephone contact and/or electronic mail
information presentations
written documentation
policy and procedure statements
guides
information brochures and pamphlets

The Evidence Guide specifies the evidence required to demonstrate achievement in the unit of competency as a whole. It must be read in conjunction with the Unit descriptor, Performance Criteria, the Range Statement and the Assessment Guidelines for the Public Sector Training Package.
Units to be assessed together
Pre-requisite units that must be achieved prior to this unit:Nil
Co-requisite units that must be assessed with this unit:Nil
Co-assessed units that may be assessed with this unit to increase the efficiency and realism of the assessment process include, but are not limited to:
PSPETHC701A Lead and influence ethical practice in the public sector
PSPHR703A Provide leadership in strategic human resource management
PSPMNGT701B Provide strategic direction
PSPMNGT702A Influence and shape diversity management
PSPMNGT703A Lead and influence change
Overview of evidence requirements
In addition to integrated demonstration of the elements and their related performance criteria, look for evidence that confirms:
the knowledge requirements of this unit
the skill requirements of this unit
application of the Employability Skills as they relate to this unit (see Employability Summaries in Qualifications Framework)
enterprise risk management in a range of (2 or more) contexts (or occasions, over time)
Resources required to carry out assessment
These resources include:
legislation, policy, procedures and protocols relating to risk management
principles and practices of enterprise risk management
case studies and workplace scenarios to capture the range of situations likely to be encountered when undertaking enterprise risk management
Where and how to assess evidence
Valid assessment of this unit requires:
a workplace environment or one that closely resembles normal work practice and replicates the range of conditions likely to be encountered when undertaking enterprise risk management, including coping with difficulties, irregularities and breakdowns in routine
enterprise risk management undertaken in a range of (3 or more) contexts (or occasions, over time)
Assessment methods should reflect workplace demands, such as literacy, and the needs of particular groups, such as:
people with disabilities
people from culturally and linguistically diverse backgrounds
Aboriginal and Torres Strait Islander people
women
young people
older people
people in rural and remote locations
Assessment methods suitable for valid and reliable assessment of this competency may include, but are not limited to, a combination of 2 or more of:
case studies
demonstration
observation
portfolios
projects
questioning
scenarios
simulation or role plays
authenticated evidence from the workplace and/or training courses
For consistency of assessment
Evidence must be gathered over time in a range of contexts to ensure the person can achieve the unit outcome and apply the competency in different situations or environments