| CODE | ACC5970 | ||||||||
| TITLE | Risk Management and the Professional Accountant | ||||||||
| 今日黑料 LEVEL | 05 - Postgraduate Modular Diploma or Degree Course | ||||||||
| EQF/MQF LEVEL | 7 | ||||||||
| ECTS CREDITS | 5 | ||||||||
| DEPARTMENT | Accountancy | ||||||||
| DESCRIPTION | The study-unit covers: 1. The main risk exposures faced by modern institutions, and how these can be addressed both qualitatively and quantitatively: - General risk management - Credit risk management - Market risk management and hedging techniques - Operational risk management and business continuity planning 2. Risk management for the accountant, covering: - Internationally recognised risk management frameworks - Ethical decision-making - Professional standards and regulatory compliance - Risk management techniques for emerging risk areas Study-unit Aims The study-unit is designed to provide both theoretical and practical insights into the main risk exposures faced by modern institutions. It provides students with a detailed understanding of risk management theory and its practical application to policies and practices adopted by professional accountants. The study-unit is structured around internationally recognised frameworks, including the COSO Enterprise Risk Management Framework, ISO 31000 risk management guidelines, and the four-line defence model. Students will develop proficiency in applying quantitative risk management techniques, including Value-at-Risk (VaR) methodologies and expected credit loss calculations. Learning Outcomes 1. Knowledge & Understanding: By the end of the study-unit the student will be able to: - Evaluate and compare enterprise risk management frameworks, including COSO ERM, ISO 31000, and the four lines of defence models, demonstrating understanding of their application across different organisational structures and cultures. - Explain the dynamic nature of risk assessment and the importance of management responses to changing risk assessments. - Define and compare financial, strategic and operational risks. - Describe general risk policies and practices that can be adopted by organisations as part of their corporate governance structure. - Explain the risk management principles relevant to accountants in public practice. 2. Skills: By the end of the study-unit the student will be able to: - Create and use risk registers and heat maps to systematically identify, assess, and monitor risks across organisational processes and functions. - Apply the concept of embedding risk in an organisation's culture and values, and the concept of diversification as appropriate. - Assess the importance of the TARA model (Treat, Avoid, Reduce, Accept) in developing appropriate risk response strategies, demonstrating understanding of risk appetite and tolerance levels. - Calculate and interpret Value-at-Risk using various methods, perform credit risk calculations including probability of default estimation, and conduct stress testing to assess the impact of different risk events on organisational performance and financial stability. - Assess and communicate climate-related financial risks and opportunities, including preparing sustainability-related financial disclosures. - Evaluate ethical dilemmas in risk management contexts by applying professional ethical frameworks and codes of conduct to resolve complex situations while safeguarding stakeholder interests. |
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| ADDITIONAL NOTES | Pre-requisite Qualifications: Bachelor of Commerce with Accountancy Stream Pre-Requisite Study-units: ACC3411/ACC3412 |
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| STUDY-UNIT TYPE | Lecture | ||||||||
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The University makes every effort to ensure that the published Courses Plans, Programmes of Study and Study-Unit information are complete and up-to-date at the time of publication. The University reserves the right to make changes in case errors are detected after publication.
The availability of optional units may be subject to timetabling constraints. Units not attracting a sufficient number of registrations may be withdrawn without notice. It should be noted that all the information in the description above applies to study-units available during the academic year 2026/7. It may be subject to change in subsequent years. |
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