Compare and contrast a minimum of three different definitions of risk..
Australian English & Context
This assignment is worth 30 marks
In order to complete the three assignments in this subject you will need to select a significant problem from your workplace. This will become known as your ‘work case problem’ and will form a critical framework for reconstructing risk theory and relating the risk theory to a real world situation. You will be asked to refer to this work case problem again in assignments two and three as you continue to learn and build a more complete picture of risk in a working environment.
The three compulsory assignments address both theory and workplace application with limited marks awarded for technique (communication and referencing).
Theory (15 marks)
Answer all of the following:
- Compare and contrast a minimum of three different definitions of risk. Draw some conclusions about the meaning of risk by proposing your own definition of ‘risk’.
- Analyse how business risk differs from risk in general. Evaluate the components of business risk. Using various academic/theoretical viewpoints argue and justify a case for (or against) any one individual risk component having a higher priority over other risk components.
- Explain decision making heuristics, bias and risk preference. Assess and evaluate how the existence of decision making heuristics, bias and risk preference impacts the analysis and management of risk for decision makers.
Application to workplace (12.5 marks)
Using your chosen work case problem, answer the following:
- Briefly outline your chosen work case problem and any relevant background. (see reference information at end of this document)
- Examine the three decision-making heuristics to determine how each of the three heuristics could apply to your work case problem. Use appropriate examples to justify your claims.
- Looking to the 13 decision-making biases, determine which three biases which could apply to your work case problem. Explain how these would work and use appropriate examples to justify your claims. (see reference information at end of this document)
- Apply the risk management process to your chosen work case problem and assess the risk implications your chosen work case problem present to the workplace case company. Appraise your solution by reflecting on any reservations you may have had about this process. For example, were there any shortfalls in the process you have undertaken?
Communication skills (1.25 marks)
- Presentation of the work including: structure, format, grammar and images.
Referencing skills (1.25 marks)
- The correct application of APA 6th referencing.
This assignment has been designed to examine the key concepts of risk and addresses the following subject learning outcomes:
- be able to critically interpret the risk management concept and discriminate and appraise different definitions of risk and risk management;
- be able to assess and critically evaluate the role of the decision maker in risk and the influences of decision making heuristics, bias and risk preference in the risk management process.
The first part of the assessment requires you to generate a discussion about the key concepts of risk, the types of risk, the link between risk and uncertainty, the link between risk and change, and the impact of human emotion on risk.
The second part of the assessment is designed to implement these key concepts into a case study based from your own professional experience.
This exercise is a critical analysis and as such there is no right or wrong answer. As this assessment is a stepping stone to the second assessment, it is strongly recommended that you consider your chosen work case problem as you progress through the online modules.