Knowledge questions

Question 1

An external consultant is someone that works for the organization to solve problems and give suggestions to the organization. An agency that works for public relations is an example of an external consultant.

A strategic plan is a process that defines a vision or goals for the future to identify the objective of the organization. example of a strategic plan such as making a plan to grow online sales.

A budget and forecast are a plan to set a limit for certain areas of business activities it helps to determine and detail the goals of the business. An example of budget and forecast is setting up the budget for payroll spending.

Legislation and regulatory authorities work to set the policy and procedures for businesses to make the rules and regulations. The Australian Securities and investments commission is an example of legislation and regulatory authorities.

Organizational policies and procedures provide guidelines to make decisions and policies and procedures help to increase the transparency and stability in the organization. code of conduct is an example of organizational policies and procedures (Rowley and Hartley, 2017).

Question 2

Physical resources are tangible items that can be used in business activities some of the resources are used to operate in business or products or services. Acquiring resources means finding team members and physical resources like facilities, equipment, and material to accomplish the project.

The procurement process includes procurement based on identifying the needs of the business, the scope of the procurement and determining the method, preparing the approach to the market, and managing the contract.

Relevant organizational policies and procedures such as code of conduct, recruitment policy, and health and safety policies.

Financial resources are the funds and assets that help to do the organizational activities and investments. The documents provide information about financial resources in the Profit & loss statement.

The budget and actual finance refer to the difference between a company’s income and expenses it affects the profitability and productivity of the operational plan.

Additional finances are obtaining recover the outstanding debt, new marketing techniques, and additional payments.

A human resource is a group of people who is responsible for managing employees such as hiring, recruiting, training, etc. The first step for recruiting staff is to review the current staff members, find the position, and potential of the candidate, and evaluate the applications.

Two induction strategies are:

Induction strategies set up the core guidelines that new employees are equipped and have the knowledge they effectively perform in new roles. Preparing a checklist, encouraging the team members, and encouraging social interactions with the team.

Relevant organizational policies and procedures are:

Code of conduct

Recruitment policy

Health and safety policy

Anti-discrimination and harassment policy

Question 3

Budgetary control setting up a budget by management it also helps to measure the expenses and profit of the organization against the initial forecast it is an ongoing process budgetary control helps to set the limit for business activities and it ensures the limits and helps to ensure that the organization is not overspending on unnecessary things in business. It establishes limits or boundaries in, a budget that helps to promote profit in the organization. it also helps to utilize budget sources and monitor the cost and profit of the business (Weygandt, et al.,2020).

 Question 4

Cost plans are very useful and important to manage and assist costs helps to set up the budget limit to utilize the resources it also promotes costs control it is very important to use or allocate the resources to the right areas of the project to control overspending on unnecessary thing in the project. Cost plans include both indirect and direct costs of a project a cost plan over the project life cycle helps to determine the financial feasibility of an initiative its done by setting up the project life cycle and cost control.

Question 5

Organizational policies and procedures are guidelines to give direction to help the project managers helps to complete the project successfully it assures the quality of project policies and procedures and also ensures that the project is completed in a specific time. A cost management plan is a process of planning, managing, controlling and project costs organizational policies and procedure includes every single activity of a project that activities are done by the policies and procedures the procedures includes the steps which help in completing the project.

Question 6

The four procedures that help to minimize the risk in business:

1. Avoiding risk means trying to avoid and eliminate hazards that might harm the organization, its assets, or the equipment of the company.
2. Risk reduction is risk management it is very important in business it’s risk management techniques that involve the reduction of financial losses, and harm to machinery o other assets.
3. Risk transference is one of the main risk mitigation strategies. It includes passing the risk to a third party by hiring third-party vendors to perform the business activities.
4. Acceptance is a very common way to avoid risk it is commonly applicable in business field acceptance in business that the potential loss is not very big enough it can avoid by spending money (Liedtka, 2015).

Question 7

The legislation and its regulatory requirements related are related to risk management it provides the consensus that how to deal with risks, and they offer best practice to deal with problems.

Two legislative requirements are:

1. Occupational Health and Safety Act 2004.
2. Occupational Health and Safety Regulations 2017.

Regulatory requirements:

The first requirement is identifying any risk that may be related to their duty legislative and regulatory requirement means the relevant legislation, rules, and regulations.

The other requirement is to protect the business from the hazards and risks in the workplace. It is important to minimize the hazardous risks.

Both requirement Occupational Health and safety act seeks to protect the health and safety of employees and other people in the organization.

One example of legislative and regulatory supports Occupational Health and Safety Act 2004.

The Act allows employers and employees to deal with workplace health and safety consultation.

Question 8

The broader environment includes the main components of business including economic, competitive, social, technological, and global factors of business. The impact of the broader environment affects the decisions, strategies, processes, and performance of business. An example of government priorities that can impact business and risk management is a strategy to reduce risk management the government of a country may decide to ban some harmful products due to their health hazards or other issues.

 Question 9

Risk management standards are designed so that to carry out risk management these standard helps to provide a guideline to help the work these standards helps in providing consensus on how to deal with certain risks it also offers best practice advice on how to deal with others. The main purpose of these standard helps to identify or reduce the risk and ways to manage the risk and implement risk control (Hubbard, 2020).

References:

Weygandt, J. J., Kimmel, P. D., & Aly, I. M. (2020). Managerial Accounting: Tools for Business Decision-Making. John Wiley & Sons.

Liedtka, J. (2015). Perspective: Linking design thinking with innovation outcomes through cognitive bias reduction. Journal of product innovation management, 32(6), 925-938.

Hubbard, D. W. (2020). The failure of risk management: Why it’s broken and how to fix it. John Wiley & Sons.

Rowley, J., & Hartley, R. (2017). Organizing knowledge: an introduction to managing access to information. Routledge.