Strategic Risks Register - Quarter One 2015/16democracy.southlakeland.gov.uk/documents/s10984/ITEM 7 - SRR A… · Appendix 1 1 Version: 1 Date: 02/07/2015 Quarter: 1, 2015/16 Strategic

Appendix 1

1 Version: 1 Date: 02/07/2015 Quarter: 1, 2015/16

Strategic Risks Register - Quarter One 2015/16

How to understand this report: This register contains the full and complete list of the Council’s Strategic Risks. Risks are prioritised on the risk matrix by considering the degree of their likelihood and impact:

Risks positioned in the blue zone of the risk matrix are unacceptable and require quarterly mitigation and management. Mitigating activity and quarterly progress updates are listed for these risks. Mitigations should be implemented by their due dates for the risks to be reduced effectively.

The Target risk matrix shows the position that risks should reach following mitigation and management.

Risks positioned in the green zone of the risk matrix are acceptable and require an annual review in quarter four.

All strategic risks have strategic level risk owners.

Lik

eli

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High

Medium

Low

Very Low

Negligible Marginal Serious Critical

Impact

Priority risks which require mitigating controls and

quarterly review

Low priority risks which require annual

review

Appendix 1


Risk 1 Income targets are not met due to ineffective debt collection

Risk Current Position

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X

Impact

Green zone: review annually Blue zone: manage quarterly

Review Date Annual – end of March

Description This risk is relevant to the Health and Wellbeing Portfolio Risk Target Position

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X

Impact Green zone: review annually Blue zone: manage quarterly

Target Date Not applicable risk is below tolerance

Mitigations Risks positioned in the green zone of the risk matrix are acceptable and require an annual review in quarter four.

Mitigations are not applicable as this risk is below tolerance.

Progress update

This risk is within risk tolerance and requires an annual review during Quarter Four. Q4 2014/15: on 09/04/15 Senior Management Team reviewed this risk as Impact Marginal and Likelihood Low.

Risk Owner Assistant Director of Resources (Section 151)

Appendix 1


Risk 2 Contracts do not deliver the standards of performance required within the contract fee agreed.


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X

Impact



Description This risk is relevant to the Finance Portfolio Risk Target Position

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Progress update

This risk is within risk tolerance and requires an annual review during Quarter Four. Q4 2014/15: on 09/04/15 Senior Management Team reviewed this risk as Impact Marginal and Likelihood Low. Risk ownership is allocated to each Assistant Director.

Risk Owner Assistant Directors

Appendix 1


Risk 3 Business Continuity Loss of South Lakeland House and Server room prevents access to systems and data. Loss of telecommunications due to external or internal infrastructure failure.


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Impact


Next Review Date

Quarterly

Description of risk

Loss of South Lakeland House and Server room prevents access to systems and data: Loss of main office and servers room due to major fire prevents access to systems and data. Likelihood is low due to fire prevention measures however impact is critical as affects all services at once, some at critical times. The remote access server that allows people to access systems and data from remote locations is based in South Lakeland House and if destroyed would severely limit services. A fire could also destroy most laptops. The delay in getting new laptops supplied with an SLDC configuration would again severely limit services. Loss of telecommunications due to external or internal infrastructure failure: Likelihood is at least significant as telephony issues occur several times each year. Impact is serious as affects all services for up to a day and inevitably at critical times. A current work around in extremis allows public calls to be redirected to Eden and then to Canal Head Depot, however staff would have to use mobiles to make external calls. The Emergency Control Room (SLDC Contact Centre) has independent phone lines and WIFI internet access and mobile phone reception in place.

Risk Target Position

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Impact


Target Date 31/03/16

Appendix 1


Mitigations Loss of South Lakeland House and Server room prevents access to systems and data: 1. On 01/04/15 there will be increased bandwidth for remote access by 01/04/15. Completed. 2. By 31/05/15 staff at home or alternative offices will be able to link via broadband to a remote access server at SLDC or EDC or virtually to

access data backed up at Sunderland by 31/05/15. Due date reviewed to 30/09/15 during Q1 2015/16 – see update below.. 3. Over 100 staff in SLDC currently have laptops. Investigate feasibility of staff taking laptops home during business critical periods to allow

immediate home working in the event of a fire – service managers responsibility by 31/06/16. 4. At Canal Head investigate putting in place ‘Fortigate’ WIFI to allow access to Eden DC’s remote access server by 31/03/16.

Explore what bandwidth is available at Canal Head as an alternative office site by 31/03/16.

Loss of telecommunications due to external or internal infrastructure failure: Put in place internet based telephony (‘SIP trunks’) and Lync at Sunderland to remove the dependence on physical phone lines into SLDC and EDC by 31/03/16.

Progress update

For previous updates please see earlier versions of this risk register. Q4: Risk is updated following approval of two escalated risks on 12/03/15. The risk is now above appetite and has mitigations in place. On 09/04/15 Senior Management Team reviewed this risk as Impact Critical and Likelihood Low. Q1 2015/16: New Gas fire suppression system, temperature monitor and alerting sensor installed in server room. Bandwidth for remote and homeworking has been significantly increased. ICT is currently testing a solution that will allow resilient remote access through either Eden or South Lakeland. This has taken Longer than expected due to the technical complexity of the network infrastructure. Solution will be in place for key staff by 30/09/2015. Eden and South Lakeland recently received Substantial Assurance for the Backup and DR solution in operation across both Councils. Risk reviewed as having Impact Critical and Likelihood Low.

Risk Owner Assistant Director Policy and Performance (This risk is relevant to the Innovation and Improvement Portfolio)

Appendix 1


Risk 4 Affordable housing targets are not met. Risk Current Position

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Description Risk Target Position

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X



Mitigations Risks positioned in the green zone of the risk matrix are acceptable and require an annual review in quarter four. Mitigations are not applicable as

risk is below tolerance

Progress update

This risk is within risk tolerance and requires an annual review during Quarter Four. Q4 2014/15: on 09/04/15 Senior Management Team reviewed this risk as Impact Serious and Likelihood Very Low.

Risk Owner Assistant Director Strategic Planning (This risk is relevant to the Strategic Growth Portfolio)

Appendix 1


Risk 5 Impact of the Welfare Reform on communities Risk Current Position

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X

Impact



Description This risk is relevant to the Health and Wellbeing Portfolio Risk Target Position

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X





Progress update

This risk is within risk tolerance and requires an annual review during Quarter Four. Q4 2014/15: on 09/04/15 Senior Management Team reviewed this risk as Impact Marginal and Likelihood Low.


Appendix 1


Risk 6 Medium Term Financial Planning Risks positioned in the blue zone of the risk matrix are unacceptable and require quarterly mitigation and management. Mitigating activity and quarterly progress updates are listed for these risks. Mitigations should be implemented by their due dates for the risks to be reduced effectively.


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Review Date Quarterly

Description Medium Term Financial Planning Current and future years proposed budget reductions (expenditure and income) are not achieved. Future year’s budget reductions (expenditure or income) are not identified. Significant existing income sources are not protected or effectively managed. Income from Central Government is reduced above the current assumptions. NDR income assumptions are not achieved. This risk is relevant to the Finance Portfolio


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Impact


Target Date Annual – end of March

Mitigations MTFP assumptions are reviewed, updated, and reported on a quarterly basis and options to resolve any issues are provided to the Cabinet each

quarter. Progress is on track.

Progress update

For previous updates please see earlier versions of this risk register. Q4 2014/15: Mitigations are on track. Risk remains positioned as having serious impact and significant likelihood. Q1 2015/16: Risk Owner has reviewed this risk as having serious impact and significant likelihood. Mitigations are on track.


Appendix 1


Risk 7 Information Management Risks positioned in the blue zone of the risk matrix are unacceptable and require quarterly mitigation and management. Mitigating activity and quarterly progress updates are listed for these risks. Mitigations should be implemented by their due dates for the risks to be reduced effectively.


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Target Date 31-Mar-2016

Mitigations 1/ Data Protection and Information Security Policies reviewed by 31-Mar-2015. Completed. 2/ Information governance awareness as the foundation for good information governance by 31-Mar-2015. 3/ Review of ongoing FOI, DPA and EIR processes by 31-Mar-2015.

Progress update

For previous updates please see earlier versions of this risk register. Q4 2014/15: on 09/04/15 Senior Management Team reviewed this risk as Impact Serious and Likelihood Medium. Information Governance Project mitigations are on track. Q1 2015/16: Policies are reviewed and report will go to Senior Management Team on 9th July and Cabinet on 28th August. Internal Audit of project is complete and received reasonable assessment. Actions are agreed for implementation by July 2015. Policy and Partnerships has assessed the risk as having Impact Serious and Likelihood Medium.

Risk Owner Assistant Director Policy and Performance (This risk is relevant to the Innovation and Improvement Portfolio)

Appendix 1


Risk 8 The infrastructure required to deliver the Council Plan priorities is not provided. Risks positioned in the blue zone of the risk matrix are unacceptable and require quarterly mitigation and management. Mitigating activity and quarterly progress updates are listed for these risks. Mitigations should be implemented by their due dates for the risks to be reduced effectively.


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Impact



Mitigations 1. Implementation of Community Infrastructure Levy (CIL) to provide funding stream for infrastructure delivery. CIL commenced 1st June 2015 – completed.

2. Annual update of Infrastructure Delivery Plan by 01/01/16. 3. Development of protocols for CIL Governance by 01/01/16. 4. CIL Review proposed as part of Development Management Policies process by 31/03/17.

Progress update

For previous updates please see earlier versions of this risk register. Q4 2014/15: on 09/04/15 Senior Management Team reviewed this risk as Impact Serious and Likelihood Medium as there is still uncertainty about infrastructure. Mitigations to be reviewed by 01/05/15. Q1 2015/16: Mitigations now recorded above. Risk is reviewed as having Impact Serious and Likelihood Medium.

Risk Owner Assistant Director Strategic Planning (This risk is relevant to the Strategic Growth Portfolio)

Appendix 1


Risk 9 Essential strategic partnerships required to deliver the Council Plan do not operate effectively. Risks positioned in the blue zone of the risk matrix are unacceptable and require quarterly mitigation and management. Mitigating activity and quarterly progress updates are listed for these risks. Mitigations should be implemented by their due dates for the risks to be reduced effectively.


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Review Date Annual


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Impact


Target Date 31-Jul-2015

Mitigations 1/ Ensure appropriate robust agreements are in place in relation to strategic partnerships by 31/03/15. Completed. 2/ Identify opportunities and resource implications supported through Localism agenda by 31/03/15. Completed. 3/ Maintain coordinated influence with One South Lakeland, Cumbria LEP and Cumbria Health & Wellbeing Board by 31/03/15. 4/ Monitor resource, cost and reputational impact with established strategic partnerships by 31/03/15.

Progress update

For previous updates please see earlier versions of this risk register. Q4 2014/15: On 09/04/15 Senior Management Team reprioritised risk as Serious Impact and Medium Likelihood. Q1 2015/16: Following appraisal by Policy and Partnerships it has been decided that mitigations 1 & 2 are met. Robust arrangements are in place across strategic partnerships and there are no cost implications to the council in maintaining partnerships. There is a Health and Wellbeing structure in place and a Public Health Alliance. Policy and Partnerships confirm that the risk has reached the target position of Likelihood Low and Impact Marginal.

Risk Owner Chief Executive (This risk is relevant to the Promoting South Lakeland and Finance Portfolio)

Appendix 1


Risk 10

Procurement compliance with new legislation Risk Current Position

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x

Impact


Next Review Date

Quarterly

Description of risk

New procurement regulations are approaching soon. Changes to SLDC processes will be required. This will be a significant piece of work at a time when workloads will be increasing significantly. This risk is relevant to the Finance Portfolio


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liho

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x

Impact



Mitigations 1. Implement training programme for relevant officers by 31/03/16. 2. Implement procurement process changes by 31/03/16. 3. Commission external support to assist with extra workloads

Progress update

For previous updates please see earlier versions of this risk register. Q4 2014/15: Mitigations agreed and Target date set by Assistant Director of Resources (Section 151). On 09/04/15 Senior Management Team amended the risk name and reviewed this risk as having Serious Impact and Significant Likelihood. Q1 2015/16: Risk Owner has reviewed this risk as having Serious Impact and Significant Likelihood. Mitigations are on track.


Appendix 1


Risk 11

Planning for the future of the major contracts and workload implications for support services


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liho

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x

Impact


Next Review Date

Quarterly

Description of risk

Services need to be able to accurately predict the level of work required in support of letting several major contracts. Work will need to start in 2015 to be on schedule. The current situation is as follows: Low workload uncertainty: Property Management contract for 2016. High workload uncertainty: Waste Collection / Street Cleaning Contract for 2017 and Grounds Maintenance Contract for 2017.


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Impact



Mitigations Future Waste Collection and Street Cleansing service delivery options are presented to Committee by 1/09/15.

Future Grounds Maintenance service delivery options are presented to Committee by 01/09/15.

Human Resources, Finance and Procurement are included in planning by 01/10/15.

Commission external support where required. Consideration be given to future renewal dates of major contracts being staggered in order to ease workloads.

Progress update

For previous updates please see earlier versions of this risk register.

Q4 2014/15: Risk mitigations agreed by key stakeholders and risk owner. On 09/04/15 Senior Management Team amended the risk name and reviewed this risk as Impact Serious and Likelihood High. Q1 2015/16: Risk mitigations are on track. Risk reviewed as having Impact Serious and Likelihood High.

Risk Owner Director of Policy and Resources -Monitoring Officer. (This risk is relevant to the Innovation and Improvement Portfolio)

Appendix 1


Risk 12

Health and Safety management of contracts Risk Current Position

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liho

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x

Impact


Next Review Date

Quarterly

Description of risk

Health and safety management arrangements require a review for officer led contracts. A review may indicate new requirements and resources. Expert legal advice is required in order to achieve compliance and reasonable cost.


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x

Impact



Mitigations 1. Contracts Management Health and Safety training is provided. Completed 09/04/15. 2. Officer leads carry out onsite monitoring which is proportionate to the risk. Ongoing requirement. 3. Officer led contracts are subject to spot checks/audits for onsite monitoring arrangements. By 31/12/15 and ongoing requirement.

Progress update

For previous updates please see earlier versions of this risk register. Q4 2014/15: On 09/04/15 Senior Management Team reviewed this risk as Impact Critical and Likelihood Medium. Q1 2015/16: Mitigations 2 and 3 have been developed following the Contract Management training on 09/04/15. Risk remains at Impact Critical and Likelihood Medium. Audits/spot checks will inform future reviews of likelihood and impact.

Risk Owner Chief Executive (This risk is relevant to the Innovation and Improvement Portfolio)

Appendix 1


Risk 13

Impact of new projects and initiatives Risk Current Position

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liho

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x

Impact


Next Review Date

Quarterly

Description of risk

New projects and initiatives risk taking the resources required by other projects and initiatives in the programme.


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Impact



Mitigations Potential new projects and initiatives are subject to a pre-assessment which measures their priority - by 01/06/16.

Progress update

For previous updates please see earlier versions of this risk register. Q4 2014/15: on 09/04/15 Senior Management Team reviewed this risk as Impact Serious and Likelihood Medium. Risk Mitigations are in development. Q1 2015/16: Risk reviewed as having Impact Serious and Likelihood Medium. Mitigations are on track.

Risk Owner Director of People and Places (This risk is relevant to the Innovation and Improvement Portfolio)

Appendix 1


Risk 14

Impact of efficiencies


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Impact


Next Review Date

Annual – end of March

Description of risk

New efficiencies: The changes brought about by one service can have a negative impact on the efficiency and running of another service – especially if proposals are not consulted on until to late in the process. These impacts can increase the cost of running other services.


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Impact



Mitigations This risk is managed via the Service Planning and Budgeting processes. Further mitigations are not applicable as risk is below tolerance.

Progress update

This risk is within risk tolerance and requires an annual review during Quarter Four. For previous updates please see earlier versions of this risk register. Q4 2014/15: Risk separated from risk 013/14’ impact of new projects’. Reviewed by Senior managers as Marginal Impact and Medium Likelihood. On 09/04/15 Senior Management Team reviewed this risk as Impact Marginal and Likelihood Medium.

Risk Owner Director of People and Places (This risk is relevant to the Innovation and Improvement Portfolio)

Documents

Strategic Risks Register - Quarter One 2015/16democracy.southlakeland.gov.uk/documents/s10984/ITEM 7 - SRR A… · Appendix 1 1 Version: 1 Date: 02/07/2015 Quarter: 1, 2015/16 Strategic