Archived decisions

Hampshire Fire and Rescue Authority Item 10

13 September 2006

Strategic Risk Register

Report of the Chief Officer

Contact: Nicki Whitehouse, Deputy Performance Review Manager

      Telephone: 023 8062 6850

1 Summary

1.1 The Risk Management Policy and Strategy was presented to the Authority on 9th February 2005. The Chief Officer, in consultation with the Chairman, was given delegated authority to make any subsequent amendments to the Strategic Risk Register, after consideration by the Corporate Management Team.

1.2 Since that time, the Strategic Risk Register has been reviewed on a quarterly basis by Service Management Team, and is being presented to Members for consideration and comment.

2 Recommendations

2.1 That the current version of the Strategic Risk Register be approved, and Members be invited to make any comments or amendments.

2.2 That the following two risks be removed from the current Register as they are now deemed to be low or very low risks:

    _ the failure to reduce the incidence of arson.

    _ the impact of Members of the Authority pursuing political and/or parochial interests and priorities.

3 Introduction

3.1 The Risk Management Policy and Strategy goes beyond those core business issues considered and addressed by the Integrated Risk Management Plan (IRMP), as it encompasses all business activities, as well as those specifically aimed at preventing, protecting, and responding. The Policy and Strategy aims to identify any risks that may have an impact upon the Service's objectives.

4 Risk Management Policy and Strategy

4.1 The aims of the Risk Management Policy and Strategy are to:

      · Anticipate and respond to changing external and internal pressures so that there are few surprises.

      · Raise awareness of the need for risk management by all those concerned with the delivery of our services.

      · Manage risk in accordance with best practice.

      · Support well thought through risk taking to ensure opportunities for improvement and development are not lost.

      · Integrate risk management into the culture of the Authority.

4.2 The approach taken is that Members and senior managers are responsible for identifying any significant strategic risks that could affect the Authority's ability to achieve its corporate aims and objectives. Day-to-day operational risks will be identified and managed within the service delivery and support departments. Risk assessments should be used to ensure effective collaboration with our key partnerships.

4.3 When issues of corporate significance are identified at operational levels they are escalated to Service Management Team to be further assessed. Service Management Team then examine the strategies, actions, initiatives, and controls that are put in place to mitigate or manage the identified risk. A risk score is determined, which comprises a score between one to five, relating to the perceived magnitude multiplied by the probability relating to that risk occurring. Risks remain on the Register until they are given a score of ten or below, which equates to Low or very Low risk. Members will note that there are two risks given such a rating currently on the Register. It is proposed that these are removed after this report has been accepted.

4.4 It is intended that the Risk Register will be presented to the Authority on an annual basis, at its September meeting to enable any budget implications to be considered ahead of the budget process. This process is seen as a key part of the review of the Strategic Risk Register.

5 Future Work

5.1 Training sessions took place in August for Group Managers to provide them with an overview of the Service Risk Management policy and methodology, to ensure that they understand the nature of risk, have the necessary skills to identify potential strategic risks, and also to identify, evaluate and assess risks that may impact on their area of responsibility. This will help to further embed the risk management culture and process throughout the organisation, as set out in the Risk Management Strategy.

5.2 Further training/awareness sessions will also be offered to Members to enable them to more fully understand the methodology that has been adopted.

6 Strategic Risk Register

6.1 The Strategic Risk Register is the document used to maintain information on identified risks considered of strategic risk to the Authority. A copy of the current version is attached to this report as Appendix A.

7 Contribution to corporate aims and objectives

7.1 Whilst all of our corporate aims seek to reduce risk to the communities we serve, it is essential that these, and their related objectives and activities are themselves subject to risk assessment and considered in terms of potential impact.

7.2 We aim to be one of the top performing fire and rescue services in the country. Sound risk management processes - that are embedded throughout the organisation - are critical to sound decision making. The process (which is an integral part of our strategic planning process and performance management framework) helps to identify new and emerging issues which could impact on existing corporate aims and provide a focus for new ones.

8 Risk Analysis

8.1 There is a need to ensure that the Risk Management Policy and Strategy is in place across the organisation to ensure that there is a consistent and robust approach to the identification, analysis and treatment of strategic risks to ensure that major threats are considered and managed appropriately with adequate control measures, and equally that opportunities are identified and considered.

9 Resource implications

9.1 The services of an external risk management consultant has been and is continuing to be used for advice and internal training. During the financial year 2006/07, the cost for these consultancy services is £9,000.

9.2 The Authority has a corporate membership with the Association of Local Authority Risk Managers (ALARM), and staff involved with the function have attended training courses and seminars in order to develop their knowledge, and keep up to date with good practices. These costs are being met from Training and Performance Review departmental budgets.

10 Equality Impact Assessment

10.1 Carrying out equality impact assessments will strengthen our risk management practices by ensuring that the consequences of our proposed policies and actions comply with current legislation and expectations for improving equality and diversity in the workplace and in the delivery of services to the public.

10.2 The proposals within this report are considered compatible with the provisions of the European Convention on Human Rights, the Human Rights Act 1998, and the Race Relations (Amendment) Act 2000.

11 Consultation

11.1 Advice and guidance has been sought from external consultants, who will deliver further training to Group Managers. In the course of this training, the opportunity will be taken to gather feedback from delegates on how the policy and strategy could be improved.

12 Conclusion

12.1 Risk management is about the management of threats and opportunities. By managing our threats and opportunities effectively, the Service will be in a better position to deliver our objectives, and provide value for money.

13 Background information (Section 100D of Local Government Act 1972)

13.1 The following documents disclose the facts or matters on which this report, or an important part of it, is based and has been relied upon to a material extent in the preparation of the report:

      Risk Management Policy and Strategy is accessible from the Authority's agenda, reports and minutes web pages /decisions/decisions-docs/050209-fireau-R0202104346

      Note: The list excludes: (1) published works; and (2) documents that disclose exempt or confidential information defined in the Act.

Sec/WP/Corporate/HFRA HFRA 13 9 06 Risk Register NW/JMW/4/9/06

Attachments

Appendix A - Strategic Risk Register