Corporate risk management and service planning


Service Planning Procedure &

Toolkit Appendix 9

Risk Management and Service Planning Guidance Notes

Good risk management is about establishing what the organisation’s tolerance is for risk and having good systems in place to ensure that potential risks are identified, evaluated and managed.

Hampshire County Council defines risk as the effect of uncertainty on objectives.

Risk management is about getting the right balance between innovation and change on the one hand, and the avoidance of shocks and crises on the other. It is as much about exploiting opportunities as it is managing threats.

A certain amount of risk taking is both inevitable and essential if the Council is to achieve its objectives. The way in which we manage the many risks we face contributes towards the implementation of the Corporate Business Plan and the achievement of corporate and departmental priorities.

Effective risk management helps improve the Council’s performance by contributing to:

 Increased certainty and fewer surprises to the Council and the public

 Better service delivery to the community

 More effective management of change and ability to respond to change

 More efficient use of resources and better value for money

 Better management at all levels through improved decision making

 A reduction in waste and as a guard against impropriety, malpractice and fraud

 Supporting innovation

 Avoidance of anything that could damage the Council’s reputation and undermine community confidence

The Council believes that risk needs to be managed rather than avoided. The Council will also ensure that its response to risk is proportionate.

When putting together your service delivery plan, ask yourself the following questions:

 Have I identified all the risks relating to the proposals in the service plan?

 Have I identified the gains or benefits to be expected from these developments?

 Have I also identified the risks of not proceeding with these developments?

 Have I identified potential control measures to eliminate any unacceptable risks or reduce them to acceptable levels?

 Have I identified how the effectiveness of these control measures will be monitored over time?

 Have I contingency plans in case the risks are realised?

 Have I adequate resources in both finance and staff to meet the needs of the plans?

 Have I recorded all of the above?

Proc 28/08 / 30 October 2008