Quarterly Update - Risk Management
Report of the Corporate Improvement and Performance Manager.
The Corporate Improvement & Performance Manager presented the report to Members. He highlighted that the report covered the strategic risks, and operational risks would be monitored by the Performance and Risk Board; which was Officer based and met monthly. Any risks considered to be high would be escalated through as a Strategic Risk. The Covalent system had been implemented but was a work in progress.
Mr Ludlow asked if the total Risk Score was Gross or Net and what controls were in place. The Corporate Improvement & Performance Manager confirmed it was the Gross figure and that the net score would also be included in future reports.
Mr Ludlow felt that the high level operational risks should be included for Members to see. The Corporate Improvement & Performance Manager said that Operational risks were reviewed on a monthly basis by the newly formed Performance, Risk and Audit Board. A risk deemed under the board’s Terms of Reference as high level would then be escalated as a Strategic risk and would be reported to the Audit Committee.
Councillor Clarke felt that Members should have sight of the Operational risks at a high level. He also added that the risk scores should include previous scores and also the direction of travel of that risk should be added.
The Corporate Improvement & Performance Manager said that he would like to show Members the Covalent system, however technology would not allow it at this time. This issue was being resolved, and he hoped to show Members the system at a future meeting. He had taken on board the comments from Members and the amendments would be shown in future reports.
Mr Ludlow raised concern that the risk score seemed low for the Business Continuity Plan especially when the Disaster Recovery for ICT had not been resolved.
The Internal Audit Consortium Manager (IACM) said that Business Continuity was well established and was reflected fairly within the risk score. Work on the Disaster Recovery was almost complete with testing of the ICT recovery plan taking place in February 2016.
The Chairman felt that Members should have an idea of the broad high level operational risks, and see the process of how a risk developed from operational to strategic. He also agreed that the addition of the direction of travel would be of use.
The Executive Director Commercialisation advised that a communications plan should be in place should any concerns be raised as to why a direction of travel had changed on a strategic risk.
The Corporate Improvement & Performance Manager said that work was currently underway looking at how risks were measured and monitored. A more robust procedure would be in place and would be presented at the next Committee, incorporating assurance on how operational risks in particular are managed and monitored.
Councillor Nunn added that with the Devolution discussion at the moment, Officers would spend a lot of time on this piece of work and felt there could be a risk of the slippage of day-to-day work as Officers would be devoting time to Devolution.
Mr Ludlow suggested that the risk should sit under ‘Failure to deliver the Council’s Corporate Priorities risk’. The Chairman added that as the workload increased on Devolution he would also expect to see the risk score increase.
Members noted the report.
- Quarterly Risk Report - BDC 7.12.15, item 63/15 PDF 58 KB
- BDC Strategic Risk Register (2) 7.12.15, item 63/15 PDF 106 KB