Release 

Comments 

1

This unit was released in PSP Public Sector Training Package release 1.0 and meets the Standards for Training Packages.

This unit supersedes and is equivalent to PSPGOV417A Identify and treat risks.

• Unit code updated
• Content and formatting updated to comply with the new standards
• All PC transitioned from passive to active voice

ELEMENTS

PERFORMANCE CRITERIA

Elements describe the essential outcomes

Performance criteria describe the performance needed to demonstrate achievement of the element. Where bold italicised text is used, further information is detailed in the range of conditions section.

1. Establish the risk context 

1.1 Establish the nature and extent of the work activity within the broader organisational context.

1.2 Identify and document outcomes to be achieved.

1.3 Analyse relationship between the activity and its environment and identify critical factors in the environment that may impact on the achievement of outcomes.

1.4 Identify and consult stakeholders to understand their opinions, concerns and needs.

1.5 Determine risk evaluation criteria for the activity.

2. Identify risks 

2.1 Select method/s for identifying risks in accordance with risk management policy and procedures, budgetary and time constraints relative to the type of activity to be undertaken.

2.2 Identify and document sources of risk as required.

2.3 Identify and record risk events related to each source of risk.

2.4 Undertake consultation to ensure all possible risks are identified.

3. Analyse risks 

3.1 Analyse and rate the probability of identified risks occurring and consequences.

3.2 Consider current control measures for any of the identified risks in the risk analysis, and analyse and include residual risks if necessary.

3.3 Determine levels of risk in accordance with risk matrix used by the organisation.

3.4 Consult as required to confirm risk levels, and document analysis.

4. Evaluate risks 

4.1 Evaluate risks by comparing the level of risk with risk evaluation criteria established at the beginning of the risk management process.

4.2 Consider the importance of the activity, its outcomes and the degree of control over the risks.

4.3 Consider potential and actual losses which may arise from the risk.

4.4 Take into account benefits and opportunities presented by the risk.

4.5 Identify risks as acceptable or unacceptable in accordance with risk evaluation criteria, and obtain approval.

4.6 Prioritise unacceptable risks and document the reason/s for acceptance of risks.

5. Treat risks 

5.1 Determine options for treating risks.

5.2 Select the best treatment option and undertake a cost-benefit analysis.

5.3 Prepare, approve and communicate a risk treatment plan to those who will be involved in implementation.

5.4 Negotiate changes required to operational structure, procedures or staffing in order to implement risk treatments.

5.5 Organise resources and implement risk treatment plan.

6. Monitor and review risk treatment plan 

6.1 Monitor changes in the organisational environment and factors impacting on the organisation for their impact on risks and existing risk treatments.

6.2 Monitor and adjust risk treatments for unacceptable risks as required.

6.3 Monitor acceptable risks to ensure these risk levels do not increase over time.

6.4 Consult and collect, analyse and use data relating to risks and risk treatments to improve risk management in own area of operation.

6.5 Review risk treatment plan in accordance with timetable for review of plan and updated as required.

6.6 Provide input into formal reviews of risk in the organisation to improve risk management outcomes.

Release

Comments

1

These Assessment Requirements were released in PSP Public Sector Training Package release 1.0 and meet the Standards for Training Packages.

• Assessment Requirements created drawing upon specified assessment information from superseded unit