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Competence Unit 3 / Training Unit 3: Financial Risk management
Professional / Competence Standard Training Standard / Curriculum
Activities Tasks Knowledge Skills Competences
Training
Objectives
Training
Contents
Activities and Minimum
Duration, in Hours
(Theory and Practice, Physical
and Online Learning)
Training Methods,
Didactical Resources,
and Learning Media
Training
Target
Group
Risk
management
within business
administration
of cooperative
companies
Mapping ofthe
risks to
cooperative
strategy and
operations (risk
coverage)
Measurement
and evaluation
of the size of
the various
risks
Identification of
the acceptable
risk margin (risk
appetite)
Definition of
the modalities
for governing
risk taking in
cultural,
governance and
policies terms
Information
(risk data and
infrastructure)
needed for risk
management
Risks control
(control
Risks definitions and
typology
Risk management
principles and
application modalities of
them in specific
circumstances
Corporate regulatory
environment, corporate
governance principles
and the cooperative
company’s
accountability
Process of managing
risks : methods and
tools for identification,
assessment, and
prioritization of risks,
and for coordinated and
economical application
of resources to
minimize, monitor, and
control the probability
and/or impact of
unfortunate events or
to maximize the
realization of
opportunities
To identify the areas of
organizational exposure to risk
(including strategic) of the
cooperative company
To assess and prioritize the
risks to cooperative strategy
and operations, evaluating the
risk portfolio in the context of
all significant internal and
external environments,
systems, circumstances, and
stakeholders of the
cooperative company
To keep information on risk
data, by appropriate internal
and external risk data-related
infrastructure
To control risks environment
and to govern risk taking in
cultural, governance and
policies terms, defining the
response addressed to the
risks, and possible scenarios
and risks interrelation that
could hurt the cooperative
strategy and operations
To answer to
relevant
business
questions
within the
strategy
setting of the
cooperative
company,
identifying
potential
events that
may affect the
cooperative,
and managing
risk for
providing
reasonable
assurance
regarding the
achievement
of cooperative
objectives
Acquisition of
the competence
“To answer to
relevant
business
questions
within the
strategy setting
of the
cooperative
company,
identifying
potential events
that may affect
the cooperative,
and managing
risk for
providing
reasonable
assurance
regarding the
achievement of
cooperative
objectives”
Risks definitions
and typology
Risk management
principles and
application
modalities of
them in specific
circumstances
Corporate
regulatory
environment,
corporate
governance
principles and the
cooperative
company’s
accountability
Process of
managing risks :
methods,
techniques and
tools for
identification,
assessment, and
prioritization of
risks, and for
coordinated and
economical
application of
resources to
minimize,
monitor, and
control the
probability and/or
impact of
Theory: 8 hours
(in classroom)
Online: 4 hours
(online)
Training methods:
Frontal / Instructor-Led
Training (e.g., lectures,
conferences, storytelling, etc.)
Interactive methods (e.g., small
group discussions, case and
incident studies, simulations,
active summaries, quizzes,
question-and-answer sessions,
question cards, role-playing,
business and management
games, participant control, etc.)
Experiential / Hands-on
methods (e.g., coaching,
mentoring, understudy, job
shadowing, apprenticeship, job
instruction, committee
assignments, demonstrations,
drills, etc.)
Didactical resources:
Blackboard or whiteboard,
overhead projector, PC or
laptop, printer, broadband
internet access, etc..
Learning media:
Printed and digital texts
Learning Management Systems
(e.g., discussion pages,
threaded discussions, chat
rooms, group pages, grade
book, etc.)
Social Media Applications and
Peer-to-Peer Platforms (e.g.,
Facebook, Edmodo, Classroom
2.0, Peer2Peer University, etc.)
Web Conference Software (e.g.,
Online Meeting/Conferencing
Applications, Two-Way Audio,
etc.)
Co-op
members
elected in
the Board
of
Directors

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Activities Tasks Knowledge Skills Competences
Training
Objectives
Training
Contents
Activities and Minimum
Duration, in Hours
(Theory and Practice, Physical
and Online Learning)
Training Methods,
Didactical Resources,
and Learning Media
Training
Target
Group
environment)
Definition of
the response
addressed to
the risks
Definition of
possible
scenarios and
risks
interrelation
that could hurt
the cooperative
strategy and
operations
unfortunate
events or to
maximize the
realization of
opportunities

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Learning Activities List.
Activity 1: PowerPoint presentation (11 hours)
Activity 2: The ABC of Me Game – Slides 5-7; 10 min
Activity 3: Learner Expectations – Slide 8; 5-10 min
Activity 4: Financial Risk Drawing – Slide 23; 10-15 min
Activity 5: What’s in your wallet Exercise – Slide 44; 10-15 min
Activity 6: “Attitude” Exercise – Slides 45-46: 5-10 min

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Learning Activities Description.
Activity 1: PowerPointpresentation
Duration: 11 hours
Short description:
Board of directors should be able to analyse the sources of financial risk as well as the importance of
implementing effective financial risk management procedures in co-operatives. They will also should know
howto mitigate financial risksusingavarietyof financial derivatives.
The purpose of this module is to analyse how futures and forward markets operate and be able to calculate
theoretical forward and futures prices and values. Also how to analyse and apply a variety of hedging and
trading strategies using options, forwards, futures, options and swaps to hedge identified financial risks in
currencies,interestrates,commoditiesandsharesandto evaluate the outcomesof these strategies
 learningactivities:
- Lecture
 self-assessmentandpeer-evaluation:
- Evaluationduringnextgroupworks
Material:
 PC or laptopwithoverheadprojectorandbroadbandinternetaccess
 Individual didactic resources: personal folders containing notebooks, pens, pencils, eraser,
sharpenersanddocumentationof programme material.
Methodological recommendationforimplementationandevaluation:
 Facilitating in Face-to-Face Groups (these skills are very important when helping a group come to
consensus)
Documentation/InternetLinks: None
……………………………………………………………………………………………………………….
Activity 2: The “ABC’s of Me” Game – slides 5-7
Duration: 10 min.
Short description: This activity is used as an icebreaker to get learners to know each other. Learners have
to write their name down a page and then draw something about themselves, corresponding to the letters
of theirname.

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Introductiontothe exercise:
Allow five to ten minutes setup and drawing. When all posters are complete, have people introduce
themselves using their name drawing. Depending on the size of the group, you may want to debrief in
smallergroups.If possible,leave the drawingspostedthroughoutyourtrainingsession.
ABCsof me
You have been hired by the Creative Classroom Company to illustrate a poster to help children learn their
ABCs.By happycoincidence,youandyourfirstname are the subjectof the poster!
First,take a piece of flipchartpaperandwrite yourname verticallydownthe leftside.
Next, choose a word that starts with each letter of your name. The words should describe something about
you. Write those words horizontally across the paper, using the letters of your name as the first letter of
each descriptiveword.
Afteryouhave listedyourwords,drawan accompanyingpicture toillustrate each.
Whenyouare finished,tape yourpostertothe wall.
Specifictasks andexercises of the learnersonfieldrelatedtopics,within:
LearningActivities:
Get to knoweachother
Self-AssessmentandPeer-Evaluation:
None
Material: Paper,Markersand Tape
Methodological recommendationforimplementationandevaluation
Thisis a group exercise conductedasa whole group.
Documentation/InternetLinks: None
……………………………………………………………………………………………………………….
Activity 3: Learner Expectations – Slide 8
Duration: 5-10 min.
Short description: This activity is used to capture the expectation of learners in relation to the days training.
It should be used at the start of the programme to check their understanding of what they need to get and
again at the end of the day, when the trainer should refer back to the expectations to assure learners their
expectationswereaddressed throughouttheday.

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Specifictasksandexercisesof the learnersonfieldrelatedtopics,within:
learningactivities:
participation in group forum
self-assessmentandpeer-evaluation:
None
Material: Flipchart& markers
Methodological recommendationforimplementationandevaluation
Thisis a group exercise conductedasa whole group.
Documentation/InternetLinks: None
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Activity 4: FinancialRisk Drawing – Slide 23
Duration: 10 - 15 min.
Short description: This activity is used to check the understanding of learners, relating to financial risk
management(FRM) and theroleof the director in FRM.
Specifictasksandexercisesof the learnersonfieldrelatedtopics,within:
In Groupsof 3-4
Draw pictures of your interpretation of what financial risk management and what your role as a director is
inrelation toFRM.
No words.Onlypicturesallowed.
Reportto the largergroup. Picka spokesperson.
learningactivities:
LearnersDraw Picturesto Illustrate bothconcepts.
self-assessmentandpeer-evaluation:
Group Discussions

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Material: Paper,Markers&Tape
Methodological recommendationforimplementationandevaluation
Thisis a group exercise conductedasa whole group.
Documentation/InternetLinks: None
……………………………………………………………………………………………………………….
Activity 5: What’s in your wallet Exercise – Slide 44
Duration: 10 - 15 min.
Short description: this activity is aimed at getting the learners to reflect on their past and apply to their own
personalfinances.
Specifictasksandexercisesof the learnersonfieldrelatedtopics,within:
Directions: “Pick a coin from your wallet. Look at the date. I’d like you to think on one thing that happened
that yearthat impactedyourfinancial situation(goodorbad!) .
Then,we’ll go aroundthe table andask youto share brieflyyouryear.”
learningactivities:
Self-Reflection andsharing
self-assessmentandpeer-evaluation:
Feedback& Discussion Forum
Material: Paper& Pens,Flipchart& Markers
Methodological recommendationforimplementationandevaluation
Thisis a group exercise conductedasa whole group.
Documentation/InternetLinks: None
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Activity 6:“Attitude” Exercise – Slides 45-46
Duration: 5-10 minutes.

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Short description: This activity is used as a bit of fun just after lunch, to emphasise the importance of having
the right attitude.
Specifictasksandexercisesof the learnersonfieldrelatedtopics,within:
Directions:
Askleanerstocalculate the total percentage of havingthe rightattitude.
Explainif A=1,B=2, C=3 etc.etc.thenaskthemto work outthe pointsfor the wordAttitude:
An example mightbe:
K+N+O+W+L+E+D+G+E
___________________________ = 96%
11+14+15+23+12+5+4+7+5
H+A+R+D+W+O+R+K
___________________________ = 98%
8+1+18+4+23+15+18+11
Solution:
A+T+T+I+T+U+D+E
___________________________ = 100%
1+20+20+9+20+21+4+5
learningactivities:
learners try calculate the answer,using theschematictable provided.
self-assessmentandpeer-evaluation:
None
Material: ActivitySheet
Methodological recommendationforimplementationandevaluation
Thisis a group exercise conductedasa whole group.
Documentation/InternetLinks: None