Golf NT
RISK MANAGEMENT PLAN
November 2015
Version Control, Change History and Distribution
Version Control
Document Name:
Prepared by:
Endorsed by:
Date endorsed:
Version:
Golf NT Risk Management Plan 2015
Strategic Associations Support
Golf NT Board
11 December 2015
1
Change History
Amendment date
Version No.
November 2015
Draft
Page No(s)
replaced.
This document
supersedes original
Golf NT RM Policy
2014
Distribution
Golf NT Risk Management Policy (November 2015)
Description of change
Golf NT RM Policy as
approved in September 2014
was revised to form the Golf
NT Risk Management Plan
Table of Contents
1. Scope
2. Context
3. Policy Statement
4. Definitions
5. Responsibilities
6. Stakeholders
7. Key Risk Elements
8. Criteria Related to Objectives
9. Identifying Risks
10. Assessing Risks
11. Treatment of Risks
12. Monitoring
13. Reporting
4
4
4
4
5
6
7
7
8
8
9
9
9
Appendices
1. Golf NT Risk Register Template
2. Golf NT Risk Action List Template
Golf NT Risk Management Policy (November 2015)
10
12
1. Scope
This Risk Management Plan documents Golf NT’s approach to the management of risk and the associated
responsibilities of the Board and Golf NT employees.
This Plan includes a policy statement, identification of Golf NT stakeholders, key elements of Golf NT business
and the related activities, identifies our objectives for managing risk, articulates the criteria and methodology by
which we identify, assess, analyse, monitor , record and review Risk.
Golf NT is committed to achieving optimal practice in risk management and applying its principles and practices
throughout Golf NT in accordance with AS/NZS ISO 31000:2009 Risk management - Principles and guidelines.
2. Context
Golf NT is the peak body representing the sport of golf in the Northern Territory and responds directly to Golf
Australia in respect of all matters relating to Golf in the Northern Territory. There are currently 11 golf clubs
spread across the Northern Territory which are affiliated with Golf NT.
Golf NT has a number of regulations, policies and procedures that guide the administration of the sport in the
Northern Territory. Where there is no local policy or rule Golf NT defers to those of Golf Australia. This Risk
Management Plan articulates the framework used by Golf NT to identify, assess, analyse and treat risks that
pose a threat to the objectives of Golf NT and the sport of Golf in the Northern Territory. Golfers, coaches,
officials, administrators and volunteers that participate in Golf will be made aware of these regulations and
policies and ensure that they adhere to them when administering or participating in the sport.
Most Golf NT regulations, policies and procedures by their very nature, have inherent risk management
elements as they put in place measures and requirements that control the way Golf is conducted in the Northern
Territory and therefor reduce the exposure that could result from a lack of control. The purpose of this Risk
Management plan is to overtly state the risk criteria and methodology used in the decision making processes
behind those regulations, policies and procedures.
In adopting this approach to risk management planning Golf NT relies upon member Associations’ adherence to
its regulations, policies and procedures. Golf NT endeavours to make policies, procedures and regulation only
where it has legitimate authority to do so. Copies of all Golf NT regulations, policies and procedures can be
found on the Golf NT website
3. Policy Statement
Golf NT is committed to achieving optimal practice in risk management using AS/NZS ISO 31000:2009 Risk
management - Principles and guidelines to ensure risk management is an integral part of its’ decision-making
processes.
3.1 Principles
a. Golf NT uses a structured risk management framework to minimize reasonably foreseeable
disruption to operations, harm to people and damage to the environment, property and reputation of the
sport.
b. Golf NT’s risk tolerance level acknowledges that it must identify and take advantage of opportunities
at the same time as avoiding adverse impacts.
4. Definitions1
Audit and Risk Committee – the subcommittee formed at a meeting of the Golf NT executive
Committee and delegated the authority to investigate and make recommendations in relation to risk
management and audit.
1
Source: AS/NZS ISO 31000:2009
Golf NT Risk Management Policy (November 2015)
risk – effect of uncertainty on objectives
risk management – coordinated activities to direct and control an organisation with regard to risk
risk management framework – set of components that provide the foundations and organizational
arrangements for designing, implementing, monitoring, reviewing and continually improving risk
management throughout the organisation.
risk management process – systematic application of management policies, procedures and
practices to the activities of communicating, consulting, establishing the context, and identifying,
analyzing, evaluating, treating, monitoring and reviewing risk.
5. Responsibilities
5.1 Ultimate accountability
The Golf NT committee has ultimate responsibility and accountability Golf NT’s performance, including
the overall management of risk.
5.2 Specific roles
The Golf NT Executive acquits its responsibilities by designating the following roles in relation to the
management of risk within Golf NT.
a. Golf NT Executive
- champion Golf NT's governance and risk management processes
- determine Golf NT's risk tolerance
- review Golf NT's strategic risks at least annually
- review recommendations from the Audit and Risk Committee and determine future actions
- incorporate risk management into all strategic and operational planning processes at all levels
within Golf NT
b. Audit and Risk Committee
- oversee the risk management framework
- ensure the risk management framework is implemented and adopted
- review and approve Golf NT's list of material business risks (risk profile) and risk treatment
strategies
- monitor the implementation of the risk management program against the endorsed
implementation strategy or plan
- confirm that the company’s risk management process is continually maturing to reflect the
changing environment and allows the company to identify and respond to emerging issues and
risks
- receive reports from Operations Manager on the effect of material business risks.
c. Finance Committee
- publicly report and make the necessary disclosures in the annual financial statements relating to
financial risk as required by Accounting Standards.
d. Operations Manager
- develop Golf NT's strategic risk profile by identifying and prioritising material business risks
- review Golf NT's risk profile periodically
- review and assess the current and planned approach to managing material business risks
- review and monitor the status of risk treatment strategies
- periodically report on material business risks to the Board/Audit and Risk Committee
- ensure the risk management framework is implemented across all areas of operations.
e. Office Manager
- monitor the material business risks for their areas of responsibility
- provide suitable information on implemented treatment strategies to the Audit and Risk
Committee through the Operations Manager to support ongoing reporting to the Board
- ensure staff are adopting Golf NT's risk management framework as developed and intended
Golf NT Risk Management Policy (November 2015)
6. Stakeholders
Golf NT stakeholders and the objectives they engender for consideration in the management of risk by the
Association are as follows:
Stakeholder
Objectives
Member Clubs
-increase their membership and improve their credibility by linking their members
with opportunities to compete in accredited Golf NT events and titles
- have matters relating to the game of golf considered and dealt with consistently
across the NT
- promote and advance the game of golf in the Northern Territory
Golf Australia
-maximise opportunities for development of elite talent.
-ensure equitable, consistent and transparent administration of Golf as a sport
throughout the Northern Territory
Individual Golfers
-improve their physical fitness,
-achieve personal goals of performance and status while playing in a competitive
but safe environment
-develop social and competitive connections with other golfers
-access to good quality and safe facilities and practices across the sport.
-access to inter club, interstate and national competitions
Communities and
-access to knowledge and advice about safe and enjoyable golfing. -opportunities
Schools
to participate in the sport.
Golf NT Executive
-promote and advance the game of golf, particularly in the Northern Territory;
-promote, manage and control Association golf tournaments;
- maintain and improve relationships with Member Clubs;
-engender by association a communal feeling amongst golfers and to promote the
best interests of the game;
-safeguard Golf NT’s assets – its people, property, finances, information and
reputation;
-meet their legal responsibilities under the Corporations Act 2001 (Cth), Golf NT
Constitution and other legislation;
-meet their responsibilities as a State Sporting Organisation affiliated with the
National Sporting Organisation for Golf (Golf Australia);
--improve the delivery of services to its members and stakeholders.
Officials
Sponsors- NTG
Sponsors
Volunteers and
Supporters
-advance their professional skills and positively contribute to the growth of the
Sport;
-develop collegiate relationships with officials in other member clubs;
- achieve accreditation under national and international standards.
-provide recreational opportunities for constituents
-support aspirations of voters who are also Golfers
-leverage economic opportunities from participation in a nationally and
internationally played sport
-promote the Northern Territory
-provide positive image relationships for dollars spent.
-enjoy an entertaining, healthy, ethical and safe recreational activity.
7. Key Risk Elements
Key elements provide a structure for risk identification by categorizing the kinds of risks that may occur.
Key Element
Finance
Governance
Types of Activities
Internal Controls, Budgeting, sponsorship, monitoring of financial
performance, subsidies/grants to Golfers, investments, theft and fraud
prevention, loans, license fees, membership fees, insurance costs,
lease payments and payout of damages claims or fines by the
government.
Leadership, planning, policies and procedures that support
compliance with the statutory and contractual requirements of the
Association (including the Associations Act, Golf NT Constitution,
Golf NT Risk Management Policy (November 2015)
Key Element
Stewardship
Natural Elements
Human Resources
Security
Technology and Technical Issues
Types of Activities
ASADA, State Sporting Organisation affiliated with the National
Sporting Organisation for Golf (Golf Australia)requirements and
accreditations, Working with Children rules, Privacy and
confidentiality) Board and committee structures and responsibilities,
staff duties and responsibilities and ethical standards.
-Planning and policy development and implementation to foster
organizational resilience, maintain Golf as a preferred sport in the
Northern Territory and protect the reputation of Golf NT as a peak
body for the sport in the NT
-Development and implementation of membership, representative and
selection policies that maximise inclusion and participation in the
Sport, prevent discrimination and exclusion and ensure compliance
with Anti Discrimination legislation
Event Management, Asset Management, and contingency planning for
business continuity in the context of the NT’s diverse and varied
climatic conditions. In particular Cyclones and Monsoonal Rains in the
Top End Nov - May,
extreme arid heat in Southern regions and extreme rain events in all
regions
Employment and management of staff and volunteers wellbeing
Safety and protection of property, members, personnel and systems
Provision of Office systems and communication tools
Management of Intellectual property and Records of operations and
acquittals,
Strategic realization of technology for enhanced operations and Policy
development and implementation for the prevention of misuse of
Official systems and equipment
8. Criteria Related to Objectives
Golf NT will use the following criterion to measure and rate the scale of impact of risks.
Criterion
Notes
Sporting Success
Competitive results, level of participation, better sporting outcomes.
Safety
Safety for participants, coaches, officials, spectators, volunteers
Financial Viability
Direct costs, loss of revenue, budget certainty, sponsorship (private and
Government)
Compliance
Compliance with the law, regulations, standards of behaviour, duty of care, rules
Reputation and Member Providing optimal golfing experiences and opportunities for members whilst
services
maintaining public image and reputation with stakeholders, regulators, sponsors
and media.
9. Identifying Risks
Risks that have not been identified cannot be assessed. Golf NT will identify risks as Strategic, Operational or
Project by systematic consideration of the key elements and the related activities to ascertain what might go
wrong and how it would affect each of the Associations criteria and related objectives. Golf NT will use
historical data, organizational expertise and corporate memory of the Executive, the opinions of Golf NT
stakeholders, the Golf NT Strategic Plan 2014-17, Golf NT Constitution and anecdotal evidence of realized and
avoided risks in other like organizations to identify and list those events or outcomes that may have a
measurable impact on the achievement of agreed organizational objectives.
10. Assessing Risk
Golf NT combines risk analysis and risk evaluation to assess identified risks.
Golf NT Risk Management Policy (November 2015)
10.1 Risk Analysis
Risks are analyzed by a consideration of the consequences or impacts of their realization on the
organizations mission and the likelihood of those consequences or impacts occurring according to the
following scale.
Rating
Catastrophic
Major
Moderate
Minor
Negligible
Potential Impact
Golf NT would be permanently disabled, ie put out of business.
Most key elements threatened or severely affected.
Some key elements affected, considerable effort to rectify.
Easily remedied, with some effort the key elements could be restored.
Very small impact, rectified by normal processes.
The likelihood of specific risks arising and leading to the assessed levels of consequences are rated in
terms of their annual occurrence.
Rating
Almost Certain
Likely
Possible
Unlikely
Rare
Likelihood
Will probably occur – could occur several times a year
High probability – likely to arise once per year
Reasonable likelihood of arising over a 5 year period
Plausible – could occur over a 5 to 10 year period
Very unlikely but not impossible – unlikely over 10 years.
A simple matrix (Figure 1.) is used to combine the likelihood and consequence ratings to generate initial
priorities for risk:
CONSEQUENCES
LIKELIHOOD Negligible
Minor
Almost
certain
Likely
LOW
Possible
LOW
Unlikely
Rare
Figure 1. Risk Priority Matrix
Moderate
Major
Catastrophic
EXTREME
HIGH
MEDIUM
Treatment Required
10.2 Risk Evaluation
Golf NT evaluates its risks by Executive Committee ratification of the Audit and Risk Management
committee recommendations as to whether a risk is acceptable or not taking into account the following
- the controls already in place
- the scale (Strategic, Operational or Project) and cost impact of managing the risks or leaving them
untreated
- benefits and opportunities presented by the risk
- the risks borne by other stakeholders
The outcome of the evaluation is the Golf NT Risk Register which lists the ranked risks and their
relative classification. All risks at classified as Medium or above are considered for treatment. The Golf
NT Audit and Risk Management Committee is responsible for maintaining the Golf NT Risk Register but
may specifically delegate this task to an appropriate paid employee.
11. Treatment of Risks
Golf NT takes actions to treat risks that are identified and assessed as being unacceptable to Golf NT. Through
its Risk Management process Golf NT Executive undertake to:
- identify treatments that reduce the likelihood or consequences of each risk assessed as extreme,
high or medium.
- Evaluate identified risk treatment options in terms of feasibility, costs and benefit
Golf NT Risk Management Policy (November 2015)
-
Choose the most appropriate and practicable option to reduce the level of the risk to a tolerable or
acceptable level.
These identified treatments form the Golf NT Risk Action List (Template at Attachment to this Plan)
12. Monitoring and Review
12.1 Regular reviews
a. Golf NT Executive undertake major reviews of this Risk Management Plan and the associated Action
list and Risk Register as part of annual budget preparation.
b. The Audit and risk Committee will review the Risk Register and Risk Action List at each of its’ meetings
c. This Plan and related documents may be reviewed at other times during the year at the behest of the
Board or the Audit and Risk Committee to reflect any major changes to the Golf NT’s business activities,
staffing structure or changes in the overall operational risk and strategic risk profile of the Golf NT.
12.2 Designated Critical Review Dates
The following designated critical review dates apply to risks that have an overall risk rating extreme, high or
medium’:
a. Strategic risks - reviewed at a high level by the Board every twelve months based on advice from the
Operations Manager and the Audit and Risk Committee.
b. Operational risks - reviewed by the Operations Manager and/or Senior Managers who are directly
responsible for the respective business activity every six months.
c. Project risks - reviewed by the Senior Manager with major responsibility for delivery of the Project at
regular intervals determined by the Operations Manager or the Board, usually determined at the inception
of the Project.
13. Reporting Risks
All members, coaches, golfers, spectators, supporters and participants are required to:
- avert risk wherever possible,
- report risks that cannot be immediately averted to a Committee member or venue manager, as the
case may be.
Risks reported to committee members will be referred to the Operations manager for immediate triage and if
necessary averted out of session with the approval of the Risk and Audit Committee or discussed as part of the
next meeting of that Committee.
Golf NT Risk Management Policy (November 2015)
APPENDIX A
RISK REGISTER – GOLF NT
Element
RR
Number
1. Finance
1.1
Fraud
1.2
Accounting errors
1.3
Non payment of fees
1.4
Public Liability
2.1
Legislative Compliance failure
2.2
Conflict within Executive group
2.3
Executive member conflict of
Interest or exceedance of
powers
Golf Australia Relationship
Failure
Failure to realize opportunities
for hosting events
Compromise of Office systems
and official registers
Unauthorized use of generic
email or systems
Unauthorized use of
information or photographs
Cyclone
Heatwave
Monsoonal Rain
Lightning
Wildfire
Air Service Interruption
Workplace injury
Harassment and Bullying
Staff or volunteer Conflict of
Interest
2. Governance
3. Stewardship
3.1
3.2
4. Technology and
Technical Issues.
4.1
4.2
4.3
5. Natural Elements
6. Human Resources
5.1
5.2
5.3
5.4
5.5
6.1
6.2
6.3
Description of Risk
Golf NT Risk Management Policy (November 2015)
Existing Controls
Consequences
Likelihood
Audit and Finance
Committee – dual signatories
Audit and Finance
Committee
Audit and Finance
Committee
Audit and Finance
Committee
Audit and Finance
Committee
President manages
committee dynamic
President manages
committee dynamic
Major
Unlikely
Minor
Unlikely
Moderate
Unlikely
Major
Unlikely
Major
Unlikely
Moderate
Unlikely
Moderate
Unlikely
Major
Unlikely
Moderate
Unlikely
Computer protection
Major
Possible
Computer protection
Major
Possible
None currently in place
Moderate
Likely
WH&S Policy and Programs
MPIP
Employment Contract
Major
Minor
Minor
Minor
Major
Minor
Major
Moderate
Moderate
Possible
Likely
Likely
Likely
Unlikely
Likely
Unlikely
Unlikely
Unlikely
Golf NT Executive manages
this relationship
Criteria
Priority
Element
RR
Number
6.4
7. Security and safety
Description of Risk
6.5
Unethical behaviour or
exceeding authority
Poor Performance
7.1
7.2
Terrorism
Power failure
Golf NT Risk Management Policy (November 2015)
Existing Controls
Consequences
Likelihood
Employment Contract
Moderate
Unlikely
Employment Contract –
performance management
Moderate
Unlikely
Minor
Moderate
Rare
Likely
Criteria
Priority
APPENDIX B
RISK ACTION PLAN – GOLF NT
RR
Description of Risk
Number
Compromise of Office systems and
4.1
official registers
4.2
Unauthorized use of generic email
or systems
4.3
Unauthorized use of information or
photographs
7.2
Power failure
GolfNT Risk Management Plan – November 2015
Existing Controls
Agreed
Priority
Action Required
Action Completed
Operations Manager and Office
Manager to ensure up to date
computer protection
Operations Manager and Office
Manager to ensure up to date
computer protection
Develop agreement to have
photos published – all tournament
participants to sign
Ensure we have surge protector
at office
1