Agenda item

The Committee considered a report on the adoption of a revised Risk Management Strategy and Framework 2017.  Risk management was an integral part of the Council’s governance framework, but it was an everyday occurrence within services, whether the decision making process was formal or informal.  The Committee noted that its terms of reference included ‘monitoring the effective development and operation of risk management and corporate governance in the Council’. 

Risk was not just about identifying negative events, it was also about identifying the positives and the opportunities within day-to-day service delivery or projects.  This had become more relevant and important given the Council’s ambitious Corporate Plan, the financial pressures that the Council as facing and the desire to look for income generating business opportunities.  It was also sound business practice.  

The Council’s objectives for risk and opportunity management were to:

(i)       embed risk and opportunity management into the culture of the Council

(ii)      embed the culture of risk and opportunity management at a strategic and operational level and within all projects and partnerships

(iii)    identify and manage the key risks and opportunities facing the Council

(iv)    maximise the opportunities for achieving the corporate objectives and minimise the risks of service failure

(v)     learnfromopportunityoutcomesandriskfailurestoimprove awareness and our systemsandprocesses.

(vi)    use risk and opportunity management to support the decision-making processes - both strategic and operational

(vii)   comply with our legal obligations and ensure that effectiveriskandopportunitymanagement arrangements were inplace tosupportthe Annual GovernanceStatement and the overall governance framework of the Council.

Risk management was designed toensurethatthekeyrisks andthe opportunities relating to corporate objectives were identified and managed. Failure to do so could have a significant impact on the Council’s performance and ability to achieve stated objectives.  However, it was recognised that risk could not be eradicated and to try to do so would mean that the organisation would not change or move forward.  

The challenge for the Council was to achieve high performing, innovative services through the sensible management of risk and opportunity.

Having considered the report, the Committee

RESOLVED:    

That the Committee commends to the Executive the adoption of the Risk Management Strategy and Framework 2017, subject to the following comments:

(a)   the inclusion in Step 8: Review, Report and Monitor of the requirement for an annual report to be presented to the Corporate Governance and Standards Committee reviewing progress on the management of risk within the Council generally and monitoring future progress against the Strategy and Framework; and

(b)   the inclusion in the corporate report template of a separate section on “Risk Management Implications”

Reason for Decision:

To ensure that there is a system for effective monitoring, development and operation of risk management in the Council.