Meeting documents
Cabinet
Wednesday, 7th June, 2006
Appendix A
Risk & Opportunity Management Strategy
Bath & North East Somerset Council
May 2006
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B&NES COUNCIL RISK & OPPORTUNITY MANAGEMENT STRATEGY Page 3 |
APPENDIX 1
RISK MANAGEMENT SUPPORT GROUP - TERMS OF REFERENCE
Mission Statement
"To work with the Council's Risk Manager in providing support and guidance to management to ensure the effective and efficient implementation of the Council's Risk & Opportunity Management Strategy."
Membership
The Group membership will consist of the Operations Director (Chair), the Council's Risk Manager and a minimum of two Senior Managers / Head of Service as nominated by Directors. The membership for each meeting will be dependent on the agenda to avoid possible conflicts of interest. Specialist Council Officers may be co-opted onto the Group to provide necessary expertise.
Remit
1. To review the overall arrangements for the management of risk within Services or Projects, i.e. :
a) Are risk register(s) actively used to manage service delivery?
b) How are staff of all levels involved in the management of risks?
c) How are new risks identified and evaluated?
d) How is the implementation of agreed actions monitored?
e) How do they use risk management to assist in decision making?
f) How is risk management incorporated into performance management?
g) How are cross service risks managed?
h) How do they use risk management to inform service planning?
i) Are Executive/Directors actively involved in risk management processes?
2. To review at a high level the Service Risk Register, i.e. :
a) Is the Council's adopted template being used?
b) Does the register accurately describe risks?
c) Does the assessment of these risks seem reasonable / consistent?
d) Do actions associated with individual risks seem reasonable?
e) Are alternative approaches considered (terminate/treat/tolerate/transfer)?
3. To recommend where necessary that the Council's Risk Manager should carry out a detailed review of Services / Projects risk management arrangements and risk registers and report back to the group.
4. To communicate good practice and recommend action to improve risk management within the Council.
5. To highlight any emerging corporate risks or issues to Directors Group for inclusion in the Corporate Risk Register.
Method of Operation
The Group will meet on a two monthly cycle unless otherwise deemed necessary by the Group and select no more than 2 Services / Projects to attend each meeting.
The Group will invite the relevant Service/Project Managers and Members to attend the Group to explain the risk management processes adopted by the Service / Project and present any related output including Service risk registers.
The Council's Risk Manager will liaise with each Service / Project prior to each meeting to ensure they fully understand the role of the Group and what is required from them when they attend, e.g. the format of presentation to the Group.
The Group will provide verbal feedback and record any recommended actions.
Reporting
The Group will:
Report back to the relevant Director / Head of Service after each meeting.
The Council's Risk Manager will:
Report the findings of the group through the normal performance management reporting arrangements to the Resources Director (Sponsor of Risk Management) for referral to Directors Group ,and
Report on a six monthly basis to Directors Group, Executive and the Corporate Audit Committee on the overall state of risk management arrangements within the Council including the work of the Group.
Interdependencies
The Group should ensure it does not duplicate the work of other services involved in the review of risk, notably the work undertaken by the Council's Risk Manager in preparing the Statement on Internal Control, review / consultancy support provided by the Council's Risk Manager and the assurance work provided by Internal Audit.
It is the responsibility of the Council's Risk Manager to ensure this work is co-ordinated and any potential duplication is reported to the Group when considering its agenda.
August 2005
APPENDIX 2
BATH & NORTH EAST SOMERSET COUNCIL
RISK & OPPORTUNITY MANAGEMENT
POLICY STATEMENT
B&NES Council view risk management as an integral part of good corporate governance. The Council provides a diverse range of services and it is essential that to continue providing services in line with the principles of Best Value that both tangible and intangible assets are protected. Innovation will continue to be encouraged, risk management is not about totally eliminating risk it is about identifying and understanding risk and therefore managing it more effectively.
The Council's risk management objectives are to:
· Embed RM into the culture of the Authority.
· Comply with statutory obligations.
· Preserve and enhance service delivery.
· Safeguard its employees, clients or service users, members, pupils, tenants and all other persons to whom the Council has a duty of care.
· Protect its property including buildings, equipment, vehicles and all other assets and resources.
· Maintain effective control of public funds.
· Protect the reputation of the Council.
· Support the quality of the environment.
These objectives will be achieved by:
· Establishing clear roles, responsibilities and reporting lines within the Council for risk management.
· Providing a framework for recording and reviewing potential risks and associated actions.
· Reinforcing the importance of effective risk management by offering training, good practice, and other support.
It is the responsibility of every member of the organisation to have regard for risk in carrying out their duties.
The Council's Executive and Directors Group are accountable for implementing this Policy.
B&NES COUNCIL RISK & OPPORTUNITY MANAGEMENT FRAMEWORK APPENDIX 3
SERVICE & CORPORATE RISKS
Existing Risks New Risks
B&NES COUNCIL RISK & OPPORTUNITY MANAGEMENT FRAMEWORK APPENDIX 4
MAJOR PROJECT RISKS