Question：Which of the following risks would normally be classified as operational risks?
A. An accident to staff resulting in the loss of a fortnight's production while the cause of the accident is investigated
B. Tougher health and safety legislation requiring investment in new machinery
C. A threat by the health and safety authority to close the company down
D. A $50,000 fine levied by the health and safety authority
The correct answers are: A $50,000 fine levied by the health and safety authority; An accident to staff resulting in the loss of a fortnight's production while the cause of the accident is investigated.
A threat by the health and safety authority to close the company down and tougher health and safety legislation requiring investment in new machinery are examples of strategic risks.
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