Risk management and internal audit

Risk management

The Directorate has a formal Risk Management Plan in place that establishes the overarching principles, framework and processes for risk management in the Directorate.

The objectives of the plan are to:

  • minimise the Directorate’s exposure to significant risks through the identification, assessment, management and reporting of risk
  • enhance the Directorate’s ability to capitalise on opportunities through minimising risk and improving overall performance.

In response to recommendations from the ACT Auditor-General’s Office about the need for the Directorate to address concerns with the monitoring and reporting of risk, and the Internal Audit Committee regarding strategic risk management, the Executive approved a comprehensive review of the Risk Management Plan.

The Risk Management Plan review is intended to ensure the Directorate has an up-to-date and fit-for-purpose plan in place. The aim is to ensure ownership of the plan by senior management and staff, and to establish the overarching reporting framework and commitment to the effective identification, management and escalation of emerging risks in the Directorate. PricewaterhouseCoopers was engaged to undertake the review following a select tender process. A draft Risk Management Plan and associated framework were developed during the reporting period following consultations with the Executive and independent members of the Audit Committee, a risk management workshop with the Executive and various other initiatives.

Audit Committee

The role of the committee is to oversight the Directorate’s governance, risk, fraud, legislative compliance and internal control environment on behalf of the Director-General. The committee operates in accordance with its Audit Committee Charter. As such, the committee undertook an annual review of the Charter to ensure it remains current and reflects the committee’s role and objectives, with the recommended changes approved by the Director-General.

The committee does not have executive powers, but undertakes a review and advisory role to ensure corporate governance, expressed through management processes and control measures, remain effective.

The committee comprises five members – an external chairperson, deputy chairperson, an external member and two internal members appointed from the Directorate’s executive and management group.

Audit Committee membership
Name of member Position Meetings attended

William Laurie

Chairperson

6

Carol Lilley

Deputy Chairperson1

3

Liesl Centenera

External Member

6

Karen Wilden

Member

4

Aaron Oshyer

Member1

2

Michael Harris

Deputy Chairperson2

3

Adrian Walsh

Member2

1

Kathryn Tracy

Member2

2

1 Indicates this person joined the committee during the 2013–14 financial year.

2 Indicates that this person left the committee during the 2013–14 financial year.

The committee developed a one year audit program for 2013–14. PricewaterhouseCoopers, RSM Bird Cameron, Axiom and Oakton were selected from a whole-of-government panel to provide internal auditing services.

The reports presented to the committee during 2013–14 included:

  • Review of Fraud/Corruption Prevention in the Environment and Sustainable Development Planning Approvals Process
  • Review of Records Management
  • Carbon Neutral Government Fund
  • Fieldwork Security Policy and Framework Review.

In seeking to ensure the audit program maximises value to the Directorate, the Internal Audit Section undertakes surveys after each audit, conducts an annual survey of Audit Committee members and reports to the Executive on key outcomes after each meeting.

SERBIR

The Executive Director, Regulation and Services held the position of the Directorate’s Senior Executive Responsible for Business Integrity and Risk (SERBIR).

During the period there were no investigations undertaken by the SERBIR.