Risk Criteria

Risk Criteria

JCU Risk Criteria

The JCU Risk Criteria is outlined in the below tables. The tables have been taken from the JCU Risk Management Framework and Plan for viewing directly.

Likelihood Ratings

RatingLikelihoodDescriptionQuantification
1RareThe event may occur but only in exceptional circumstances and/or no past event history.May occur within every 10 year period or more.
2UnlikelyThe event could occur in some circumstances. No past event history.Could occur within a 5 to 10 year period.
3PossibleThe event may occur sometime. Some past warning signs or previous event history.Could occur within a 1 to 5 year period.
4LikelyThe event will probably occur. Some recurring past event historyCould occur within a 3 to 12 month period.
5Almost CertainThe event is expected to occur in normal circumstances. There has been frequent past history.Likely to occur within a 3 month period or during the performance of an actual task.

Consequence Rating (Catastrophic)

 

Impact on Specific Business Areas (To guide assessment)

Level

Impact on Objectives

Area

Impact

5

Catastrophic

Most business objectives can no longer be achieved. Complete revision of long term business model required.

Financial

>10% recurrent reduction in operating fund revenue, one off loss of > $50m, Inability to pay staff and creditors,

Academic

Loss of accreditation of multiple courses, institutionalised and/or  systemic fraud or misconduct in academic activities including enrolments and examination processes, loss of flagship research projects

Reputation

Sustained negative national and international publicity resulting in significant loss of funding, staff and/or students

Business Disruption

Unavailability of critical infrastructure, utilities and/or ICT services > 2 weeks, inability to deliver face to face courses > 1 semester

People

Systemic failure to properly deal with serious grievances, sustained high levels of staff turnover across entire university, university-wide staff unrest and/or sustained industrial action

Compliance & Liability

Successful class actions or serious prosecution, repeated breaches of significant contractual arrangements, significant statutory intervention due to serious breach of legislation

Workplace Health & Safety

Fatality, prosecution or legislative non-compliance impacts a substantial part or whole of University with significant works > $100k.

Consequence Rating (Major)

4

Major

A number of significant business objectives can no longer be achieved.

Financial

Between 5 & 10% recurrent reduction in operating fund revenue, one off loss of between $20m & $50m, short term inability to pay staff and creditors,

   

Academic

Loss of mandatory accreditation of single course, localised fraud or misconduct in academic activities including enrolments and examination processes, loss of multiple significant research projects

   

Reputation

Significant negative publicity resulting in some loss of funding, staff and/or students

   

Business Disruption

Unavailability of critical infrastructure, utilities and/or ICT services between 1 and 2 weeks, inability to deliver face to face courses between 1 month and 1 semester

   

People

One off failure to properly deal with serious grievances, inability to attract or retain key staff in multiple disciplines, significant staff unrest and/or industrial action at Division level

   

Compliance & Liability

One off serious successful prosecution or adverse findings, breach of significant contractual arrangement, statutory intervention due to breach of legislation

   

Workplace Health & Safety

Significant lost time injury (> 6 months), notifiable event, finding, notice, suspension of work impacts a substantial part or whole of University with major works between $50-100k.

Consequence Rating (Moderate)

Some important business objectives can no longer be achieved.

Financial

Between 1 & 5% recurrent reduction in operating fund revenue, one off loss of between $5m & $20m

Academic

Loss of voluntary accreditation of single course, localised fraud or misconduct in academic activities, loss of significant research project

Reputation

One off negative publicity requiring some management resources to deal with

Business Disruption

Unavailability of critical infrastructure, utilities and/or ICT services between 3 & 5 days, inability to deliver face to face courses between 1 & 4 weeks

People

Multiple injuries requiring medical treatment, inability to attract or retain key staff in one or two disciplines, negative impact on morale across university

Compliance & Liability

One off breach of legal or contractual arrangements requiring legal or regulatory intervention

Workplace Health & Safety

Lost time injury (< 6 months); impacts a moderate to substantial part of University with moderate works between $10-50k.

Consequence Ratings (Minor and Insignificant)

2

Minor

Some reprioritisation of resources required to enable key business objectives to be achieved.

Financial

Between 0.25 & 1% recurrent reduction in operating fund revenue, one off loss of between $1m & $5m

Academic

One off instances of minor misconduct dealt with according to normal procedures, loss of research project

Reputation

One off negative local publicity not requiring management intervention

Business Disruption

Unavailability of critical infrastructure, utilities and/or ICT services between 1 & 3 days, inability to deliver face to face courses between 2 & 7 days

People

Inability to attract or retain key staff in specialised area, negative impact on morale in a Division

Compliance & Liability

Minor breach of regulations or standards

Workplace Health & Safety

Incident including medical treatment, near miss, safety finding resolved in 3 days, impacts a minor part of University with minor works < $10k.

1

Insignificant

Little or no impact on business objectives.

Financial

< 0.25% recurrent reduction in operating fund revenue, one off loss of <$1m

Academic

Minor academic indiscretions dealt with according to normal procedures

Reputation

One off media enquiries or neutral press coverage

Business Disruption

Unavailability of critical infrastructure, utilities and/or ICT services < 1 day, inability to deliver face to face courses< 2 days

People

Minor incidents or near misses, one off localised negative impact on morale

Compliance & Liability

Minor technical breach of standards

Workplace Health & Safety

Incident including first aid, workplace hazard contained immediately and no ongoing safety risk impact. No known similar risk within University.

Control Effectiveness Ratings

RatingEffectivenessDescription
1Not EffectiveControl(s) does not address risk or no controls identified, or controls identified and address risk, but not implemented.
2Somewhat EffectiveControl(s) exist, but not very effective as control design can be iimproved, better communicated and implemented.
3Reasonably EffectiveControl(s) mostly reliable and effective. Documentation exists, but can be better communicate. Testing and monitoring of controls needs to be improved.
4Highly EffectiveControl(s) fully verified and tested as reliable and effective. Fully documented process and well communicated.