1. © Nicholas and Smith Pty LtdSlide 1 ’

2. © Nicholas and Smith Pty LtdSlide 2 Content points  Leadership & Culture  Management Systems  Risk Management Process Communication and Consultation Establish the Context Identify the Risks Analyse the Risks Evaluate the Risks Treat the Risks Monitor and Review

3. © Nicholas and Smith Pty LtdSlide 3 The aim is to manage risk An organisation can manage risk by screening out events which can either cause harm or which can reduce the chance of getting the best possible outcome.

4. © Nicholas and Smith Pty LtdSlide 4 Leadership & culture Leadership determines the direction and culture of the organisation. Leaders need to promote common goals and empower individuals at all levels to act.

5. © Nicholas and Smith Pty LtdSlide 5 Management systems Management systems, standards, procedures and practices, as well as industry and government requirements all have an implicit role in risk management.

6. © Nicholas and Smith Pty LtdSlide 6 Risk Management Process Communication and consultation Communication and consultation with internal and external stakeholders is the first step of the Risk Management Process. It is also essential to every step in the process.

7. © Nicholas and Smith Pty LtdSlide 7 Risk Management Process Establish the context No matter what an organisation does, it interacts with a wider environment.

8. © Nicholas and Smith Pty LtdSlide 8 Risk Management Process Identify the risks A risk that has not been identified cannot be managed.

9. © Nicholas and Smith Pty LtdSlide 9 Risk Management Process Analyse the risks The aim of risk analysis is to estimate likelihood and consequences in the context of any existing control measures.

10. © Nicholas and Smith Pty LtdSlide 10 Risk Management Process Evaluate the risks The output of risk evaluation is a prioritised list of risks for further action.

11. © Nicholas and Smith Pty LtdSlide 11 Risk Management Process Treat the risks The purpose of risk treatment is to change the risk to a level where the benefit exceeds the cost of treatment.

12. © Nicholas and Smith Pty LtdSlide 12 Risk Management Process Monitor and review The final step is to monitor the risk management strategy, plans and practices. Are there new risks? Will the risk treatments still be effective?

13. © Nicholas and Smith Pty LtdSlide 13 Risk management is part of normal business Risk management is a logical and systematic process which needs to be an integrated part of normal business.

14. © Nicholas and Smith Pty LtdSlide 14 The greatest risk is to take no risk “Without risk, there’s no discovery, there’s no new knowledge, there’s no bold adventure.... The greatest risk is to take no risk” June Scobee Rodgers

15. © Nicholas and Smith Pty LtdSlide 15 Further Information on Risk Management A DVD on this subject is available for staff to view. The DVD is approx 20 minutes in duration and it can be obtained from Andrew Wilsdon (contact tel no. 8412) For any further information you might want on Risk Management to help you in your work area please contact Andrew on 8412