September 2017 Q2 paper 2

[sma09gc]

Hi,

I am confused by this question, as the solutions are directed towards the ACC whereas the question mentions the Risk management control cycle. I was wondering whether you would still get the marks for using the steps of the risk management control cycle: identification, measurement, control, financing and monitoring rather than the ACC stages? I know these two cycles are very similar, I was just wondering whether it is always safer to lean towards the ACC in questions such as this?

Thanks!

 

[jon93]

Hi
Sorry I'm pretty new to this, but I would have thought that it shouldn't matter as the risk management process is just one example of using the ACC. If you look at the solution in the examiners report, the names of the stages in the first point are expressed as the ACC but the subsequent solution points are then all about identifying, measuring, controlling, financing and monitoring - which are the stages of the risk management version of the control cycle.
I would personally be aiming to answer any question on the RMCC by covering all of the steps of the risk management process (as you have listed) but maybe also making some references to ACC terminology (like they do in the first point of the solution and also when talking about the feedback loops) to show that you are really thinking about it as a control cycle rather than just a straight line process.
But whether you wrote about it in terms of the RMCC headings or the ACC headings, I reckon you would still be able to do just as well, provided you covered the risk management process stages thoroughly and linked your answer properly to the capital investment projects bit that they mention in the question - like they say about needing to apply principles specifically to the given situation.
Hope that helps a bit

 

[sma09gc]

Yes it does, thank you