FUNDAMENTALS OF RISK MANAGEMENT

SHE Level 1
SCQF Credit Points 20.00
ECTS Credit Points 10.00
Module Code M1N325204
Module Leader Claire MacRae
School Glasgow School for Business and Society
Subject Risk
Trimesters
  • A (September start)
  • B (January start)
  • C (May start)
  • A (September start)-B (January start)
  • B (January start)-C (May start)
  • C (May start)-A (September start)
  • S-C (May start)-A (September start)

Summary of Content

This module introduces students to risk and encourages them to think about risk as a concept in its own right. Students will first examine risk in a variety of different national and international societal contexts before moving on to study risk in the business environment and the development of risk management as a corporate function. The module moves through various risk related themes eventually laying down the fundamental elements of the process of managing risk in a range of business settings. At the end of the module students will be equipped with the foundation knowledge required to successfully complete subsequent risk management modules which examine the key elements of the risk management process in greater depth. The Personal Development Element of the module will be expressed as both the development of personal skills and graduate attributes, and the development of an awareness of the risk management field and career the opportunities available.

Syllabus

-142 - Defining Risk and associated terminology - Issues in arriving at a Common Understanding of Risk - Risk & Everyday Experience: Recognising why and how Risk, Hazard & Uncertainty arise within society and impact upon our everyday lives - Analysing Risk Taking Behaviour - Lay Persons and Expert Perceptions and Portrayal of Risk - Case Studies - Cost of risk & managing risk v's The cost of not managing risk. - Historical Development of Risk Management - Risk Management as a Corporate Function - The Risk Management Process: - Overview -142 - Risk Identification, theory, methods and practical exercises. - Risk Analysis - theory and methods including frequency/probability and severity - Risk Control - theory and methods - avoidance, retention, transfer and reduction. - Risk financing - Retention and transfer mechanisms including an overview of the UK insurance market, - Reaction planning/contingency planning - Performance monitoring -142 - International Risk Management : An overview of Risk Management in an international context - Contemporary Case Studies: An examination of the impact of poor industrial/commercial risk management with reference to a range of recent case studies - Personal Development - Planning for a Career in Risk Management

Learning Outcomes

On successful completion of this module, the student should be able to:1. Discuss the meaning of risk and related terms and the variety of definitions of risk to understand where and why different usages might be appropriate. 2. Be able to recognise why and how Risk, Hazard & Uncertainty arise within society and impact upon business objectives by identifying a range of risks faced by multi- national and international organisations.3. Detail the constituent parts of the risk management process: a. identification, b. analysis c. control d. financing e. reaction planning/contingency planning f. monitoring 4. Describe the factors which affect individual and group risk taking behaviours and understand why perceptions and portrayal of risk differs and its significance in the business environment and decision-making. 5. Analyse historical events in relation to the impact they have had on risk management and understand the potential cost of not managing risk effectively by recognising the impact of ineffectual risk management in a business environment.

Teaching / Learning Strategy

This work based module adopts a blended approach to learning which combines face to face contact and online learning via GCU's virtual learning environment, GCU Learn. The teaching and learning strategy encourages an active and self-directed approach to learning. In the context of a work based ethos, teaching and learning methods use real world and real work scenarios to promote action learning, inquiry based learning, problem based learning and peer learning. These methods include lectures, seminars, online directed learning packages (power point presentations/study guides/videos), podcasts and discussion boards. These approaches will be used to directly involve the students in the process of learning and to encourage collaborative learning amongst students. Learners will be supported during the module by the module team which includes module tutors, work based mentors and Academic Development Tutors. Module tutors act as facilitators and also determine the level and accuracy of knowledge acquisition at key points in the delivery. Additionally, input, when necessary, either directly or with the support of external experts will add to the authenticity, credibility and application of education and learning to the workplace. Work based mentors provide a full spectrum of workplace support; helping apprentices to identify relevant work activity that can operate as a source for work-integrated learning, advise on the development of work-based projects, provide feedback on the development of professional competence, and formatively comment on progress in achieving negotiated work-integrated learning objectives. Academic Development Tutors will provide support to help maximise students' potential in relation to academic writing, referencing and the development of effective study techniques. Both formative and summative assessment strategies will be adopted during the module. Formative assessment will be used not only to encourage knowledge of the subject, but also to help develop transferable skills. Summative assessments will provide evidence of the learning achieved throughout the module. Summative assessments are compulsory. A mark of 35% must be achieved for each summative assessment and an overall mark of 40% must be achieved in the module. Students will have access to ongoing academic support as they work through the module assessment activities, and staff will assist students to reflect on and evaluate achievement of the learning outcomes. The percentage of Work Based Learning for this module, as represented by the Independent Learning 'Activity Type' is 72%. Work Based Assessment will account for 20% with the remainder of 8% accounted for by Lectures and Seminars.

Indicative Reading

Essential: FISCHOFF, B. & KADVANY, J., 2011. Risk: A Very Short Introduction, 1st Edition, Oxford: Oxford University Press HOPKIN, P., 2017. Fundamentals of Risk Management- understanding, evaluating and implementing effective risk management. 4 th ed. London: Kogan Page HOPKIN, P., 2009. Holistic Risk Management in Practice. London: Witherby Recommended Reading: BANNISTER, J., 1997. How to Manage Risk. JLLP Professional Publishing BANNISTER, J. E. & BAWCUTT, P. A., 1981. Practical risk management. London: Witherby. CROCKFORD, N., 1991. Risk Management. London: Witherby DENNEY, D. 2005. Risk & Society.UK: Sage JEYNES, J., 2002. Risk Management: 10 Principles. Oxford: Butterworth Heinemann BANNISTER, J., 1997. How to Manage Risk. JLLP Professional Publishing CROCKFORD, N. 1991. Risk Management. London: Witherby KAYE, D., 2003. Risk management. UK: CII Web pages for the following organisations: Chartered Insurance Institute: <http://www.cii.co.uk> Institute of Risk Management: <http://irmqt.co.uk> Association of Insurance & Risk Managers: <http://www.airmic.com> Health & Safety Exectutive: <http://www.hse.gov.uk> Financial Services Authority: http:// www.fsa.gov.uk <http://www.fsa.gov.uk> BBC: <http://www.bbc.co.uk> Journals and Newspapers: The Journal: Chartered Insurance Institute, London(bi-monthly) Post Magazine, London, Timothy Benn Publishing (weekly) Strategic Risk

Transferrable Skills

-Self-management: self-motivation, time management and critical self-reflection and evaluation of personal performance. -Interpersonal Skills: an ability to work collaboratively and constructively with others in seminars and outside of class in allocated groups. -Oral and written communication skills, negotiation skills and presentation skills -Group work when participating in the group work in seminars and outside of class in allocated groups. -Information technology skills will be developed through Internet searches and online communication. -Analytical, evaluative and creative problem solving will be developed throughout the module experience but especially through case studies, seminar debates. -Using Turnitin software to improve writing style.

Module Structure

Activity Total Hours
Lectures (FT) 3.00
Seminars (FT) 12.00
Assessment (FT) 40.00
Independent Learning (FT) 145.00

Assessment Methods

Component Duration Weighting Threshold Description
Course Work 02 n/a 40.00 35% Negotiated individual work based assignment essay(1500 words).
Course Work 01 n/a 60.00 35% Case study based assignment including CV/ PPD drafting (1500 words).