Training - Risk Management
Additional documents:
Minutes:
The Head of Strategic Finance and Property presented a training briefing on Risk Management. He explained that risk management is the process by which risks are identified, evaluated and controlled, and how this enables the Council to effectively use its resources, secure its assets, successfully achieve its objectives and deliver its strategies.
The Head of Strategic Finance and Property described the different types of risks faced by the Council, and included examples of both strategic and operational risks. He explained the Council’s risk management strategy, covering the identification, reporting and monitoring mechanisms, the methodology to be used and the roles and responsibilities of officers and Members, including that of the Audit and Governance Committee.
The Head of Strategic Finance and Property said that governance processes relating to risk monitoring had improved over the past eighteen months. He explained how risks are identified, recorded and scored using a matrix. He showed an example of the risk register, explaining the importance of the narrative. He said that risk management was subject to frequent auditing.
The Head of Strategic Finance and Property said that there were no proposed changes to the Risk Management Strategy or processes for 2022/23. He outlined the reintroduction of operational risk monitoring, the monitoring of the highest level of operational risks by Leadership Team and the development of risk management training for staff.
The Chairman asked if external audit looked at the risk register. Debbie Hanson from Ernst Young LLP said that the risk register does feed into external audit, allowing auditors to judge value for money.
The Chairman asked how much time was spent considering emerging risks. The Head of Strategic Finance and Property said that consideration of emerging risks was part of the risk management process, and that this was looked at by the Leadership Team, the Executive and the Audit and Governance Committee. He stressed the importance of having an enquiring mind, and a risk management ethos which enabled suitable opportunities to be capitalised upon.
The Head of Strategic Finance and Property said that with regard to emerging climate change it was a case of how quickly and how often these extremes of weather will happen, and how adapted to these changes the Council was. He gave examples of the effect of weather extremes on Council buildings and the possible operational changes needed within refuse contracts.
The Chairman asked if there could be a section devoted to emerging risks within the risk report. The Head of Strategic Finance and Property advised that this could be accommodated.
Councillor Huggins suggested that rather than a separate emerging risks section, a tracked change could be used within the risk register to show new emerging risks. The Chairman said that this was a valid suggestion.
The Chairman thanked The Head of Strategic Finance and Property for his briefing.