Agenda item

The Executive Director Core Services will submit a covering report presenting a report to be submitted to Cabinet on the 1^st May, 2019 on the latest review of the Strategic Risk Register.

The Executive Director Core Services submitted a covering report presenting a report to be submitted to Cabinet on the 15^th May, 2019 on the latest review of the Strategic Risk Register.

The report, which was presented by Mr A Hunt, Risk and Governance Manager, formed part of the Committees assurance process where it was agreed that following the completion of the review of the Strategic Risk Register, the Committee consider the latest version and provide comments thereon.

The Register contained these high level risks that were considered significant potential obstacles to the achievement of the Authority’s Corporate Objectives.  It was important that the Register remain up to date and be reviewed regularly in order to accurately reflect the most significant risks to the achievement of objectives and facilitate timely and effective mitigations to those risks.

Following a review of the Strategic Risk Register in October 2018, a further review had been undertaken in March 2019 the outcomes of which were detailed within the report.

Mr Hunt then went on to outline the way in which the current register had been reviewed and he commented on the main components of the review and the items included.

The report outlined the following:

·         Risk 3026 ‘Failure to achieve a reduction in health inequalities within the Borough’ remained red as it was still relevant to the Councils objectives an further analysis indicated that this risk was not currently improving

·         Risk 3033 ‘Failure to adapt the authority into a sustainable organisation – Failure to maintain current services’ had been removed and replace by Risk 4154 ‘Failure to ensure that the Future Council model is sustainable and provides the best services and outcomes possible to our customers’

·         Risk 4271 ‘Failure to ensure the Digital First Programme objectives are met….’ Was a newly added risk

·         Risk 3543 ‘Failure to ensure the adequate supply of land for housing and commercial property growth’ had improved from an amber ‘4’ to a green ‘5’ following the approval of the Local Development Framework

·         Risk 3022 ‘Inability to direct corporate strategy’ had been reassessed from a green ‘5’ to an amber 4’ to reflect proposed changes to the Scrutiny Committee Structures and allow time for these to ‘bed in’

·         The above changes attributed to a slight improvement in the average concern rating from October 2018

·         Other material changes including a direction of travel indicator was provided as an appendix to the report

·         A further appendix provided the Risk Profile for the Register within a ‘highlight’ report.  This had been developed with the assistance of an external communications and market company.  This presented the key information in a simple, visual easy to understand format

·         The report and Register which was appended to the submitted report provided assurances that all significant risks were being managed appropriately

The recent Corporate Peer Review highlighted as one of its key findings that the Register needed some refinement to enable the Senior Management Team to focus its attention on the current key risks.  In the light of this, a further review was to be undertaken and the outcome of this would be reported into Cabinet in the near future.

In the ensuing discussion, particular reference was made to the following mitigations:

·         The Risk Profile summary was generally welcomed.  It was felt that this would assist in engaging employees at all levels and would assist in adopting a risk management culture across the whole organisation.  In addition, it was envisaged that this would be published on the Council’s intranet so that stakeholders and other interested parties could better understand risk management arrangements and increase the overall transparency of strategic risk.  The wording in the document would be amended to reflect the most up to date position prior to distribution and an updated version would be provided for members of the Committee

·         Arising out of the above, reference was made to the use of consultants to prepare the Risk Profile Document and the costs involved which were considered to be reasonable

·         In response to specific questioning an explanation was provided as to why it had been decided that Risk 4154 ‘Failure of the Future Council Change Programme’ should be logged as amber ‘4’ given the importance of this issue as well as the financial restrictions facing the authority which could have a significant impact on the ability of the Council to address issues identified.  It was noted that the ‘risk holders’ were the Chief Executive and the Executive Director Core Services.  Whilst there were significant challenges, there was a high level of awareness of the risk and it was felt that the savings previously achieved demonstrated that such risks were well managed.  The score merely reflected how the risk was being managed

·         Reference was made to Risk 3022 ‘Inability to direct corporate strategy’ particularly as this related to plans to further develop of the Scrutiny Function.  If approved, these arrangements would give a better level of coverage of strategic matters and provide improved member satisfaction.  It was proposed that the risk rating be amended given that no problems were anticipated.  The new arrangements would become effective following the Annual Council on the 17^th May, 2019

·         Information was provided in relation to the timescale for the servicing of debts in relation to Risk 4170 ‘Failure to ensure the Glassworks Programme delivers the appropriate levels of retail…..’  It was noted that information detailed within the Register would be amended to reflect the current position.  Members also noted the current challenging retail environment and the work that was ongoing to ensure that the appropriate levels of retail, market and leisure space were achieved.  A further update on the Glassworks project would be submitted following consideration by the Scrutiny Committee

·         There was a discussion of Risk 3026 ‘Failure to achieve a reduction in health inequalities within the Borough’ and it was noted that this issue had also been picked up following the Corporate Peer Review.  It was suggested that further analysis was required particularly in relation to age profiling and life outcomes.  The Executive Director Core services reported that discussions had taken place and were progressing with the Director of Public Health to identify issues underpinning this risk so that the Council could ensure that it was taking appropriate action to address and influence health outcomes.  It was suggested that if this remained at its current level, the Director of Public Health could be called to address this Committee on the action proposed to address issues identified

RESOLVED

(i)            that the report on the outcome of the recent review of the Strategic risk Register in relation to the management, challenge and development of the Register be noted and the Committee continue to receive periodic updates as to the progress of the actions taken and their impact on the Strategic Risk Register; and

(ii)          That the report be referred to Cabinet on the 15^th May, 2019 for consideration.