Managing in a changeable operating environment

Following establishment of the Leadership Team as part of the organisational realignment in late 2006, we have worked to strengthen its leadership and accountability, and enhance its decision-making. Governance structures were also reviewed, resulting in the establishment of two new governance boards during 2007. The Strategy and Implementation Board oversees major policy and strategy development and projects, and the Regional Board looks to integrate the knowledge and experience of our regional staff into the policy development process. These boards are sub-groups of the Leadership Team, and ensure close strategic direction and oversight on key areas of focus. The terms of reference for the Audit Committee are being revised, and will ensure a higher proportion of external representation. Information and communication technology (ICT) governance has also been strengthened.

We are developing a longer-term organisational assurance and risk framework to support how the ministry identifies and manages risks at different levels within the organisation. This will provide an improved structure for risk management and reporting, and a tool to support staff in making judgements about risk. The Leadership Team also canvasses risk issues weekly.

Following on from strengthened business planning processes put in place for the 2008/09 financial year, we will improve our performance measures to ensure they provide better information about our progress against intended outcomes. Improved reporting mechanisms will provide the Leadership Team and governance boards with more timely and relevant information with which to identify and manage risks.

The ministry has identified five broad categories of risk which have the potential to affect the achievement of the outcomes set out in this Statement of Intent. These are outlined below with a summary of the mitigation strategies.