Issue - meetings

To receive a report setting out the Council’s Risk Management Strategy for review.

Executive Councillor: B Mickelburgh

With the aid of a report prepared by the Director of Finance and Corporate Resources (a copy of which is appended in the Minute Book) the Cabinet reviewed the Council’s Risk Management Strategy that detailed how the Council manages risks associated with the organisation. The appended document provided details on the proposed Risk Strategy and how it fits within the Council’s governance and risk reporting. 

By way of background, the Executive Councillor for Finance and Resources introduced the report explaining that an effective Risk Management Strategy will ensure the Council maximises its opportunities and manages those threats that may hinder the delivery of its priorities so that the opportunities for continuous improvement are maximised. Risk therefore needs to be considered at all stages of the management process, from the setting of corporate priorities through to the delivery of the service to the customer. Risk management therefore becomes an integral element of the Council’s corporate governance arrangements. This Risk Management Strategy aims to integrate risk management into the Council’s culture and processes and raise awareness amongst all employees and Members of the benefits and opportunities that successful management of risk can bring. 

Having had their attention drawn to the comments of Overview and Scrutiny, the Executive Councillor highlighted that the Panel whilst giving praise for an excellent report had expressed concern over the seniority of the ownership of risks. Cabinet noted that the Panel had assured that whilst some risks are more appropriately managed at a strategic level, there is also accountability across all risk by senior managers. 

The following matters were then raised and discussed and can be summarised as follows:

The Cabinet decided that the (i) aim of the Risk Strategy is to have a functional approach to risk; and (ii) Risk Strategy should be part of the Councils culture and that it needs to be a living document that is updated on a regular basis. Whereupon it was

RESOLVED

that Council be recommended to approve the Risk Management Strategy.

The Panel is to comment on the Review of the Council’s Risk Management Strategy.

Executive Councillor: M Hassall

By means of a report by the Director of Finance and Corporate Resources (a copy of which was appended in the Minute Book) the Review of the Council’s Risk Management Strategy was presented to the Panel.

Following a question from Councillor Jennings, the Panel heard that there is a clearly defined risk appetite across all risks facing the Council, clarifying and simplifying the approach in the previous strategy which broke this down by cross cutting function, and falling in line with partners. The Panel were also advised that the original strategy would be shared via email to help highlight the adjustments in the updated strategy.

The names of the key officers who make up the Assurance Board were advised to the Panel, in response to a question from Councillor Harvey, with further details of the Board to be circulated following the meeting.

Councillor Martin observed that the risks highlighted within the Risk Management report did not appear to marry with the risks mentioned within reports which are presented to the Panel. The Panel were advised that all reports brought to the Panel should highlight the risks, however there may have been discrepancies whilst the strategy was being updated, this would be rectified moving forward.

Councillor Gleadow praised an excellent report but expressed concern over the seniority of the ownership of risks. The Panel were assured that whilst some risks are more appropriately managed at a strategic level, there is also accountability across all risk by senior managers.

Following a further concern raised by Councillor Martin on the difficulty to recruit into the 3C Shared Services Legal Team, the Panel heard that this was a national issue, however would be managed through the use of locums as necessary.

Following the discussion, it was

RESOLVED

that the comments of the Overview and Scrutiny Panel be passed to Cabinet for their consideration when making a decision upon the recommendations contained within the report.