Unit of competency Outline
Date retreived
23/07/2026 9:07 PM AWST
23/07/2026 9:07 PM AWST
Whilst all efforts are made to provide accurate and timely information from the relevant source/documentation, please be aware that the information supplied may not be the most current version. The accuracy of the detail has not been confirmed by the Department and therefore should not be relied upon without first confirming the contents.
Implement risk management strategies
Implement risk management strategies
Unit of competency
National Code
FNSRSK401A
FNSRSK401A
State Code
D4310
D4310
TGA Status
Replaced
Replaced
DTWD Status
Replaced
Replaced
State Implementation and Classification
Approved Date
29/07/2014
Field of Education
080399 - Business And Management, N.e.c.
Original Release Date
29/07/2014
Nominal Hours
35
Description
This unit describes the performance outcomes, skills and knowledge required to interpret an organisation's financial risk management strategies in terms of own work and effectively use risk mitigation and elimination techniques and tools.No licensing, legislative, regulatory or certification requirements apply to this unit at the time of endorsement.
Notes
Elements and Performance Criteria
1. Identify application of risk management strategies to job role
- 1.1. Legislative and regulatory requirements relating to risk management are researched and related to own job role
- 1.2. Organisational policies and procedures for risk management are accessed and accurately interpreted
- 1.3. Risk management role is clarified and confirmed with relevant stakeholders as required
2. Apply risk management strategies
- 2.1. Appropriate organisational strategies and tools for controlling risks in own job role are determined
- 2.2. Control measures for cross-organisation risks are identified and applied
- 2.3. Control measures for own area of operation and responsibilities are chosen and implemented
3. Identify and propose changes to improve risk management strategies
- 3.1. Currency of understanding and application of risk management strategies is maintained
- 3.2. Audit and review of risk strategy implementation to improve the treatment of risks is undertaken
- 3.3. Improvements in risk management relevant to own job role are recommended to management
- 3.4. Best practice risk management is modelled in own performance
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, if used in the performance criteria, is detailed below. 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) may also be included.
Risk can involve:
commercial and legal relationships
economic circumstances
human behaviour
individual activities
management activities and controls
natural events
political circumstances
positive risk
technological issues.
Organisational policies and procedures may include:
compliance risk in breaches of legislation such as Privacy Act
occupational health and safety (OHS) risk
policies on outsourcing and contractual obligations
reporting risk such as:
failure to lodge required documentation on time or at all
financial reporting
tax matters
reputation risk.
Stakeholders may be:
internal to the organisation including:
those providing services
policy makers
those receiving services
external to the organisation including:
suppliers
customers
regulators.
Organisational strategies and tools may include:
documentation to assist in process of identifying risk, and assessing impact and likelihood of occurrence
standard instruments developed for the organisation and contextualised for sections of the workplace's operations, such as checklists and testing procedures
tools to prioritise risks.
Control measures may include:
hierarchy of controls:
reduction in likelihood of risks
reduction of consequences of risks
retention of risks
risk aversion
transfer of responsibility of risks
specific organisational control measures.
Improvements in risk management may include:
reduction of costs
reductions in impact
reductions in likelihood
reductions in occurrence.
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, if used in the performance criteria, is detailed below. 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) may also be included.
Risk can involve:
commercial and legal relationships
economic circumstances
human behaviour
individual activities
management activities and controls
natural events
political circumstances
positive risk
technological issues.
Organisational policies and procedures may include:
compliance risk in breaches of legislation such as Privacy Act
occupational health and safety (OHS) risk
policies on outsourcing and contractual obligations
reporting risk such as:
failure to lodge required documentation on time or at all
financial reporting
tax matters
reputation risk.
Stakeholders may be:
internal to the organisation including:
those providing services
policy makers
those receiving services
external to the organisation including:
suppliers
customers
regulators.
Organisational strategies and tools may include:
documentation to assist in process of identifying risk, and assessing impact and likelihood of occurrence
standard instruments developed for the organisation and contextualised for sections of the workplace's operations, such as checklists and testing procedures
tools to prioritise risks.
Control measures may include:
hierarchy of controls:
reduction in likelihood of risks
reduction of consequences of risks
retention of risks
risk aversion
transfer of responsibility of risks
specific organisational control measures.
Improvements in risk management may include:
reduction of costs
reductions in impact
reductions in likelihood
reductions in occurrence.
EVIDENCE GUIDE
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Overview of assessment
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the ability to:
effectively interpret and comply with organisation financial risk management strategies
identify risk factors in own job role
recommend risk mitigation improvements.
Context of and specific resources for assessment
Assessment must ensure:
competency is demonstrated in the context of the financial services work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
access to and the use of a range of common office equipment, technology, software and consumables
access to Australian Standard 4360 Risk Management.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, are appropriate for this unit:
evaluating an integrated activity which combines the elements of competency for the unit or a cluster of related units of competency
verbal or written questioning on underpinning knowledge and skills
setting and reviewing business simulations or scenarios
evaluating samples of work
accessing and validating third party reports.
Guidance information for assessment
The Evidence Guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.
Overview of assessment
Critical aspects for assessment and evidence required to demonstrate competency in this unit
Evidence of the ability to:
effectively interpret and comply with organisation financial risk management strategies
identify risk factors in own job role
recommend risk mitigation improvements.
Context of and specific resources for assessment
Assessment must ensure:
competency is demonstrated in the context of the financial services work environment and conditions specified in the range statement either in a relevant workplace or a closely simulated work environment
access to and the use of a range of common office equipment, technology, software and consumables
access to Australian Standard 4360 Risk Management.
Method of assessment
A range of assessment methods should be used to assess practical skills and knowledge. The following examples, in combination, are appropriate for this unit:
evaluating an integrated activity which combines the elements of competency for the unit or a cluster of related units of competency
verbal or written questioning on underpinning knowledge and skills
setting and reviewing business simulations or scenarios
evaluating samples of work
accessing and validating third party reports.
Guidance information for assessment
Replaced By
| State Code | National Code | Title | Type |
|---|---|---|---|
| AUS87 | FNSRSK401 | Implement risk management strategies | Unit of competency |
| State Code | National Code | Title | Type |
|---|---|---|---|
| D705 | FNS40111 | Certificate IV in Credit Management | Qualification |
| D715 | FNS41811 | Certificate IV in Financial Services | Qualification |