Assessment Task 2: Risk Identification and Analysis Project

Task summary

This assessment task requires you, in the role of Project Manager at NatureCare Products, to identify, analyse and evaluate human resources risks associated with establishing new retail outlets for the company. This will involve identifying risks and then meeting with Senior Management to consult on the risks you have identified. Following this, you are required to document risks and control measures in a risk register.

This assessment is to be completed in the simulated work environment in the RTO.

Required

• Computer with Microsoft Office and internet access
• Risk Management Policy and Procedures
• Risk Register Template
• Risk Management Plan Template
• Space for a meeting
• Roleplay participants

Timing

The assessor will advise you of the due date of this submission.

Submit

• Email to your assessor with your risk management plan attached.
• Email to your assessor with your completed risk register attached.

Assessment criteria

For students’ performance to be deemed satisfactory in this assessment task, they must satisfactorily address all of the assessment criteria. If part of this task is not satisfactorily completed they will be asked to complete further assessment to demonstrate competence.

Re-submission opportunities

Students will be provided feedback on their performance by their Assessor. The feedback will indicate if you have satisfactorily addressed the requirements of each part of this task.

If any parts of the task are not satisfactorily completed your assessor will explain why and provide you written feedback along with guidance on what you must undertake to demonstrate satisfactory performance. Re-assessment attempt(s)will be arranged at a later time and date.

Students have the right to appeal the outcome of assessment decisions if they feel they have been dealt with unfairly or have other appropriate grounds for an appeal.

Students are encouraged to consult with their assessor prior to attempting this task if they do not understand any part of this task or if they have any learning issues or needs that may hinder them when attempting any part of the assessment.

Assessment Task 2 Instructions

Carefully read the following:

NatureCare Products is an Australian company based in Brisbane. The company commenced business in 1996 and manufactures and eco-friendly, high quality beauty skin care products. The business was established to cater for a growing demand for skin products that contain eco-friendly and natural ingredients. There is also an emphasis on eco-friendly packaging.

The company sells its products in health food shops across the country, as well as on-line through its own web site. The company targets customers that want high quality, eco-friendly products. Market research has identified that around 70% of customers are professional women aged 25 to 55.

The company currently has a small range of products that include:

• Cleansing creams to soothe skin during make-up removal. Primary ingredients include Shea butter to nourish the skin and plants extracts that are also rich in essential oils with regenerating and anti-inflammatory properties. This product will be for delicate and mature skins and could also be used as a baby cream.
• Multi Protection Day Moisturizing Creamsfor dry to normal skin types that help protect the skin during the day and includes Shea butter and extracts from fragile green algae that provides hydrating and protective properties.
• Regenerating facial scrub to clean off dead skin cells to promote regeneration of healthy new cells. This product will be used for most skin types.

The strategic objectives of the company are to increase market share by 20% At a recent board meeting the two company shareholders and the CEO discussed options for expanding the business and have decided to establish a chain of retail outlets in central Sydney and Melbourne within the next six months.

The company is also currently developing more products focusing on a range of products to meet particular skin needs rather than a one-size fits all. The new products are timed to be ready for sale at the same time as the opening of the new retail outlets.

The CEO has asked you to take on the role of Project Manager for the business expansion project.

Complete the following activities:

 

1. Identify project risk

Review the scenario information, as well as the Risk Management Policy and Procedures.

Review also the Risk Management Plan Template and the Risk Register Template

Take project risk notes that include the following:

• Identify risk objectives and standards.
• Summary of the risk identification methods used to identify the project risks.
• Establish the project risk context.
• Identify an appropriate risk ranking system
• Determine risk analysis classification criteria
• Classify the identified risks within risk categories
• Determine risk priorities

You will be determining the risks and their context more clearly during the meeting with the project team, but these preliminary notes should demonstrate that you can identify the case study project’s risks yourself.

ANSWER-

Introduction-

Nature care” is a well-established company from 1996 that produces skin care products. The products that are being produced by the company are eco-friendly and sustainable. The company produces a wide variety of natural products such as cleansing creams, moisturizing creams and facial scrubs. The company also sells its products through its website where its sales are good enough and is looking forward to improving the sales in the future.

The company is now financially stable but has recently found their competitors selling the same sort of products in the market. So, the company decides to improve its sales by at least 20% in the next three years. So, the marketing manager is required to come up with recommendation based on his analysis and research.

OBJECTIVES

• Increase the number of people who make a purchase while visiting the online store by 20%.
• Increase the number of retail outlets selling NatureCare Products by 150.
• To increase product awareness amongst the target market by 20%.
• To increase market share to 15%.
• To expand into at least one international market.
• To identify new products and new markets.
• To attain annual growth of at least 10% over the next three years.

There are numerous ways to identify risks. Project managers may want to use a combination of these few techniques such as Interviews, select key stakeholders, brainstorming, checklists, assumption analysis, cause and effect diagrams, nominal group technique (NGT), and

affinity diagram.

Risk-identification methods may include:

• Conducting or supervising qualitative and/or quantitative risk analysis, such as schedule simulation, decision analysis, contingency planning and alternative strategy development
• Lessons learned from previous projects
• Personal experience input
• Previous risk registers
• Risk workshops
• Subject matter experts
• Using specialist risk-analysis tools to assist in the decision-making process.

Risk Ranking Risks: Rare to Certain, Disadvantageous to Disaster and Risk is a notion that indicates a prospective adverse effect on an asset or some value characteristic that may emerge from a process or incident in the future. Risk is often used synonymously with the likelihood of a known loss in everyday use.Company’s weakness could be a risk for it such as Limited product range For males, babies and teenagers, the business does not manufacture products. The business is also not producing sunscreen lotions or creams in a nation like Australia where the summer temperatures are too big and also it can be ranked based on classification rankings from low to high · consequence of risk scale

• Impact of risk scale
• Manual or software-based systems
• Organisational risk policies and methods
• Predetermined ranking criteria
• Target and trigger settings.

Project risk context includes llegislation and regulation controls, nature of project, organizational risk policies and procedures, project environment, stakeholder expectation etc…

Risk-identification methods include:

• conducting or supervising qualitative and/or quantitative risk analysis, such as schedule simulation, decision analysis, contingency planning and alternative strategy development
• lessons learned from previous projects
• personal experience input
• previous risk registers
• risk workshops
• subject matter experts
• using specialist risk-analysis tools to assist in the

Decision-making process and Risk categories may

Include:

• communications
• compliance
• consultative organizational brand
• physical
• political
• project assumptions
• project constraints
• project process risks
• quality
• social
• Technology.

10.  Send an email to the General Manager (your assessor).

The text of the email should be in grammatically correct English, written in an appropriate (polite, business-like) style.

It should introduce and summarise the contents of the attachment, and ask for the place, time and date of your meeting.

Attach your project risk notes to the email.

Dear Sir/Madam,

I have prepared a risk management plan ask you asked, for our project about our plan on increasing sale of our products through new stores in Melbourne and Sydney and I am sending you all the attachments with all the plan, strategies.

I also want to discuss the place, time and date for the meeting to discuss all the risk management plan for our business.

Please find the attachment below.

Thank you

Best Regards

Beiant Kaur

 

11.  Participate in a meeting with the Project team and the CEO.

At the meeting, go through your risk management plan with the attendees, ensuring that they agree with the assumptions that you have made. Describe each of the risks that you have identified, as well as the questions you considered to identify the risks.

Ensure that the meeting participants agree with your risk ranking system, and how it applies to your analysis classification criteria.

Discuss the likelihood and the severity of each risk, and its overall risk rating as set out in the Risk Register.

Discuss also possible treatments for each risk. For each treatment, identify and discuss their strengths and weaknesses asset out in your report.

Agree on risks that need to be documented in the Risk Register as set out in the Policy and Procedures, as well as actions (treatment control measures) that should be taken for each risk.

Allocate risk responsibilities to project team members. Discuss with management who should be responsible for each risk management treatment or control method. These staff may not be senior management but may be appointed to the project team for this reason.

During the meeting, you will need to demonstrate effective communication skills including:

• Speaking clearly and concisely
• Using non-verbal communication to assist with understanding
• Asking questions to identify required information
• Responding to questions as required
• Using active listening techniques to confirm understanding

Assessor: set up a quiet space for the meeting.

Other students should continue with their assessment tasks.

Prior to the meeting, read the student’s plan to review the risks they have identified.

Review the Risk Management Plan Assessor to identify additional risks that they may have not identified. Jointly discuss all identified risks and agree on the six most important for documentation in the Risk Register.

Go through each of the risks and discuss their severity and likelihood, as well as the consequences of each.

Discuss treatment methods as set out in the student’s report and in the Risk Management Plan Assessor.

Discuss the strengths and weaknesses of each control method and agree on appropriate treatments for inclusion in the risk register.

Vary your responses to avoid collusion amongst students.

You will need to organise at least two other students to attend the meeting. They should have successfully submitted their project risk notes, and should conduct their own meetings in the same session to minimise any advantages not hosting the meeting first may give.

12.  Analyse project risks

Following the meeting, you are to perform an analysis of the project risks, and incorporate this into a Risk Management Plan.

Your risk management plan should include, as a minimum:

• Project risk context
• Existing risk controls
• Risk management objectives and standards
• Risk identification methods
• Risk categorisation process
• industry sector risk classifications
• Risk analysis classification criteria
• Risk Management approaches
• Risk monitoring and review processes

Describe the frequency of regular risk monitoring to identify changed circumstances.

Schedule a full review of the risk management process within six months of the new stores opening.

• Risks identified

Under the Risks Identified heading, develop an initial list of risksto discuss at a meeting with senior Management.As a guide, this should be between 6 to 10 risks.

• Classify project risks
• Potential treatment methods

For each of the risks that you identify, suggest at least two potential treatment measures for discussion, including the strengths and weaknesses of measures of each for discussion at the meeting.

Use the Risk Management Plan Template to guide your work. Your risk management plan should be about four pages long.

13.  Revise your risk management plan.

Use the input from the stakeholders at the Project Team meeting to revise your risk management plan.

Make sure that risk responsibilities are allocated to project team members

Name this document Revised Risk Management Plan.

14.  Complete the Risk Register.

Use the Risk Register Template to guide your work.

Your Risk Register should include the following:

• Documenting all of the risks as discussed at your meeting.
• Including an analysis of each risk including the likelihood of the risk occurring, as well as the severity of the risk should it occur, as well as an overall risk rating.
• Documenting risk control measures.
• Document actions for each identified risk including:

15.  Send an email to the CEO (your assessor).

The text of the email should be in grammatically correct English, written in an appropriate (polite, business-like) style.

It should introduce and summarise the contents of the attachments.

Attach your revised risk management plan and completed risk register to the email.

Assessment Task 2 Checklist

Student’s name:
Did the student:		Completed successfully		Comments
		Yes	No
Determine risk objectives and standards, with input from stakeholders?
Establish project risk context to inform risk management processes?
Identify project risks using valid and reliable risk identification methods?
Classify project risks within agreed risk categories?
Determine risk analysis classification criteria and apply to agreed risk ranking system?
Use risk analysis processes, within delegated authority, to analyse and qualify risks, threats and opportunities?
Determine risk priorities in agreement with project client and other stakeholders?
Document risk analysis outcomes for inclusion in risk register and risk management plan?
Identify and document existing risk controls?
Consider and determine risk treatment options using agreed consultative methods
Task Outcome:	Satisfactory   ¨			Not Satisfactory   ¨
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