Example: quiz answers

Risk Management Implementation Plan …

Risk Management Implementation plan executive summary Torbay Council has acknowledged the need to implement an holistic and structured process for assessing and managing corporately its exposure to risk. To this end a draft Policy statement summarising the aims and objectives of the Council and a draft strategy document outlining a possible organisational and procedural framework for managing risk within the Council have already been produced and adopted. This action plan seeks to explain how and when these documents will be translated into practical effect through processes which as far as possible actively involve Torbay Council s internal and external stakeholders. Context In July 2001 the Audit Commission produced a Management paper entitled Worth the Risk: Improving Risk Management in Local Government . This paper reiterates the principles of corporate governance set out in the Turnbull Report.

Risk Management Implementation Plan EXECUTIVE SUMMARY Torbay Council has acknowledged the need to implement an holistic and structured process

Tags:

  Management, Implementation, Risks, Plan, Summary, Executive, Risk management implementation plan, Risk management implementation plan executive summary

Information

Domain:

Source:

Link to this page:

Please notify us if you found a problem with this document:

Other abuse

Transcription of Risk Management Implementation Plan …

1 Risk Management Implementation plan executive summary Torbay Council has acknowledged the need to implement an holistic and structured process for assessing and managing corporately its exposure to risk. To this end a draft Policy statement summarising the aims and objectives of the Council and a draft strategy document outlining a possible organisational and procedural framework for managing risk within the Council have already been produced and adopted. This action plan seeks to explain how and when these documents will be translated into practical effect through processes which as far as possible actively involve Torbay Council s internal and external stakeholders. Context In July 2001 the Audit Commission produced a Management paper entitled Worth the Risk: Improving Risk Management in Local Government . This paper reiterates the principles of corporate governance set out in the Turnbull Report.

2 It states that: Risk Management is an integral part of good governance and is a process whereby: There is a shared awareness and understanding within the authority of the nature and extent of the risks it faces; the extent and categories of risks regarded as acceptable; the likelihood and potential impact of the risks materialising and its ability to reduce the incidence and impact on the organisation of the risks that do materialise There is regular and ongoing monitoring and reporting of risk including early warning mechanisms An appropriate assessment is made of the cost of operating particularly controls relating to the benefit obtained in managing the related risk The authority conducts at least annually a review of the effectiveness of the system of internal controls in place and The authority reports publicly on the results of the review and explains the action it is taking to address any significant concerns that it has identified The process outlined above has to be an ongoing culturally-embedded activity, positively contributing to the performance improvement of the organisation.

3 The focus is expressly not limited to the areas of health and safety and insurable risk that historically it was widely perceived to focus solely upon within the Council. For this reason weaknesses in the Council s risk Management procedures were identified as part of the Corporate Governance inspection completed by the Audit Commission in February 2003. The Audit Commission s report stated that the Council needed to ensure that it took decisions and deployed resources having an explicit regard to risk assessment. The report made the following recommendations: To develop and articulate clearly an approach to risk Management to be employed in both its decision and policy-making process To demonstrate the use of risk Management as an integral process in determining priorities across Directorates and to free up resources in those areas where a higher level of risk is deemed acceptable.

4 To re-launch the whistle-blowing policy and identify a programme to embed an anti-fraud and corruption strategy. In response Torbay Council has set specific targets within its Change Management Implementation plan for 2003-4 with the objective of achieving good stewardship of resources with risks identified, assessed and planned for to minimise their impact. An agenda was set to achieve this objective which led to the formulation of a working draft risk register; policy and strategy developed with risk Management specialists, Willis. Adopting a Risk Management Implementation plan including clear risk assessment procedures is the next step required to achieve the above objective. Management Arrangements The Council s Risk Management Strategy document sets out general and specific roles and responsibilities regarding risk Management for both Members and officers.

5 It also uses new designations connected with the development of a framework for consultation and communication involving a senior officer responsible for risk , a risk Management co-ordinator, Directorate risk Management co-ordinators and Council and Directorate risk Management forums. Once implemented, the Strategy must be complementary to making risk Management not a periodic compliance issue but an everyday business approach. As part of the Implementation process, the Council will seek to ensure that risk Management is not seen as a separate exercise to be completed by staff and will use feedback generated through the consultation and training processes entailed by the Implementation plan to review the appropriateness of the proposed Management arrangements. In terms of their practicality and how complementary they are to introducing a culture where there is an understanding of risk Management as an integral part of Management .

6 Alternatives such as the use of the existing Management and team meeting structures for communication and the co-opting of necessary specialist officers for relevant portions of these meetings will be considered. Constraints The Council has recognised risk Management as a priority in achieving effective corporate governance and will address practical constraints upon effective Implementation accordingly. The chief constraint is availability of officer time at all levels, particularly in Management tiers and divisions of the Council attributed special responsibility for risk Management in the Strategy document. staff resources will also be an issue in connection with the commissioning and training of users of the risk element of the Council s performance and risk database programme. This and the Risk Register will also require a systems administration role to monitor and review content and access.

7 Outcome The Council aims to implement risk Management procedures which will achieve, in the terms of the Audit Commission paper Worth the Risk: Improving Risk Management in Local Government a shared awareness and understanding within the authority of the nature of risk enabling it to become a risk aware organisation . These procedures should: avoid unnecessary complexity and the addition of cost be accepted, understood and utilised by all stakeholders contribute positively to the achievement of Corporate objectives INTRODUCTION The Council s Risk Management Implementation plan seeks to ensure that the Council has fully addressed all areas of risk Management Implementation including: 1. Discussion about the need for better risk Management 2. Identification and prioritisation of areas of change, business objectives, critical success factors and risks that may be significant 3.

8 Identification of related significant risks that could undermine: i. the quality of service provision ii. the reputation of the Council iii. the reliability of internal and external reporting iv. the safeguarding of assets from inappropriate use, loss and fraud v. liabilities being identified and managed properly 4. Identification of key tasks to be completed in order to: i. continue the development of risk Management strategies and the Risk Management Policy Document ii. Consult with all internal and external stakeholders iii. Develop a risk culture iv. Provide members and senior Management with early warning mechanisms v. Monitor and report on the system of internal control 5. Set out the role of Members, officers and committees 6. Allocation of : i. resources including nominated Champions ii. responsibility for each stage of the plan iii. responsibility for the Management of each significant risk 7.

9 An achievable timetable. PLANNED Implementation STRATEGY The Council is committed to becoming a risk-aware organisation . The Audit Commission s Management paper Worth the Risk: Improving Risk Management in Local Government identifies a risk-aware organisation as follows: Staff understand the nature of risk Possesses the tools it needs to gather and assess risk information Actively considers risk information when planning and decision-making Plans its activities to mitigate impact of or minimise likelihood of adverse consequences and improve likelihood of successful outcomes. It is the intention of the Implementation Strategy to enable these key features to develop within Torbay Council. Key Output 1 Members and officers understand the nature of risk Needs: All participants in the Council s operations need to understand the risk Management processes available to them and understand why the processes should be consistently used.

10 The processes used should be appropriate to the diverse nature of the training recipients and their different exposures to risk. Key Activities: 1. WORKSHOPS TRAINING/CONSULTATION See Activities 1 and 2 of the Activity summary , Appendix 6, for details of the initial programme to be effected by the end of November 2003. a. Training workshops to present the following: Information on the nature of risk including the issues of pure complete negative risk and speculative risk Information on the types of risk that might affect Torbay Explanation for the reasons for and benefits accruing from implementing the risk Management process Information on the mechanisms, structures and tools that are being implemented to support the process Emphasis on the value that Torbay Council places on the successful Implementation of the process including presentation of the Risk Management policy and strategy working drafts b.


Related search queries