Finance and Resources Service Update

Renfrewshire Council · 3 April 2025
Back to Finance, Resources and Customer Services Policy Board — 3 April 2025 and its agenda

Text extracted from the council's PDF. Layout and reading order may differ from the original.

Original council PDF · Download plain text

Page 1

___________________________________________________________________
To:  Finance, Resources and Customer Services Policy Board
On:  3 April 2025
___________________________________________________________________
Report by: Director of Finance and Resources
___________________________________________________________________
Heading: Finance and Resources Service Update
___________________________________________________________________
1 Summary 
1.1 The Finance & Resources department delivers a range of internal and external
facing services, including the provision of professional and expert advice to
wider Council services. This structure is an efficient and effective route to
ensuring consistent and professional advice is available in a timely basis,
drawing on best practice from each profession. 
1.2 The report outlines a number of proposed changes to service management
arrangements which will improve the overall level of resource available within
specific corporate services, improving the focussed delivery of expert advice,
governance and support to the wider Council. 
___________________________________________________________________ 
2 Recommendations 
2.1 Agree the revised service reconfigurations and revised management
arrangements as outlined in the report. 
2.2 Note that any changes to employee roles and/or grades will be undertaken in
line with existing HR policies, and further note that it is not anticipated there will
be any reduction in employee numbers or requirement for redeployment. 
___________________________________________________________________

Page 2

3 Background
3.1 This report outlines a number of changes to management structures, roles and
responsibilities within the service which are being proposed to ensure the
service continues to deliver professional and expert support to the wider
Council. The changes proposed have been informed by both external reviews
and the Council’s objectives in terms of ongoing improvement and
transformation. 
Internal Audit 
3.2 The Board considered a report in June 2024 which outlined the potential of a
shared service delivery model for internal audit which was being developed in
conjunction with West Dunbartonshire and Inverclyde Councils. This was being
considered predominantly in order to address concerns in relation the resilience
of respective internal audit and fraud teams in each Council.   
3.3 Considerable work was undertaken in conjunction with the other Councils to
examine potential options for delivery models, and the respective staffing
structures which would be required to service the internal audit and fraud
requirements of not just the three Councils, but all the other associated bodies
which the current services support eg Valuation Joint Boards, Integration Joint
Boards, ALEOs such as OneRen and so on. The complexity of servicing this
number of public bodies under a single operational management structure
became apparent as the options for a delivery model were developed. 
3.4 A review of the respective audit plans for each Council and associated body
was also undertaken, and it was concluded that the current level of resource in
terms of both qualified and support staff in both internal audit and fraud was at
a level where there is no potential for efficiencies in terms of the overall level of
staffing. In addition, it also became apparent that there are currently
inconsistencies in the level of resource available within each Council which
would make funding the preferred staffing structure for a single service
impossible within the existing budgets available across all three Councils. There
also appear to be inconsistencies in terms of the role profiles in each Council,
and addressing this would also potentially incur increased cost should a lead
Council model be adopted where staff would all be employed by a single
Council. 
3.5 Outwith staffing and financial considerations, it is also now apparent that there
would be very considerable information governance, data sharing, and legal
considerations to overcome with there being a requirement to develop and
implement formal policies and protocols around these and associated systems
access. Complicating matters further would be ensuring consistent systems
access and cyber security arrangements where employees from one Council
would be accessing the core systems of another. The introduction of Global
Internal Audit Standards coming into effect in 2025 also remains to be fully
understood in terms of their impact on current arrangements for the delivery of
internal audit and fraud services.

Page 3

3.6 Given all of the above considerations, the insufficient revenue resource
available to deliver the preferred model, and the complexity of putting a single
service into place (including TUPE arrangements), it was concluded that it
would not represent value for money to progress with the shared service
proposal at this point. However, the exercise has been useful in reaching a
shared understanding of the challenges we each face; and there is the potential
for a more informal resource sharing arrangement being put in place for
particular audits eg where one Council has expertise or capacity in relation to a
particular audit area, this could be supplemented by resource from another
Council on an informal ‘call-off’ arrangement assuming information governance
issues could be overcome. The improved communication and networking
between Council audit teams will also be of benefit. 
Risk management 
3.7 The Chief Auditor role in Renfrewshire has responsibility for overseeing the
Council’s risk management and insurance arrangements, and for the reporting
of these to the Audit, Risk and Scrutiny Board. While not a unique arrangement,
and there are benefits in the operational management of the two functions (risk
and internal audit) being closely linked, there are capacity issues in managing
these important control functions which are critical to the delivery of good
corporate governance.  
3.8 A recent external independent review of the Council’s risk management
arrangements concluded the Council has a well-established approach to risk
management with many positive features, especially in terms of strong
governance and a positive cultural attitude towards risk management at a
corporate level. The review recommended a small number of areas where
further improvements in risks management arrangement could be made eg
considering a software-based risk management system to allow the consistent
capturing, management and reporting of risk information; further expanding the
service risk representatives role etc; however much of this will not be possible
within the existing level of resource available for corporate risk management
activity. It is therefore proposed that a risk analyst post to support the risk
manager is considered. It is further proposed that the current management
arrangements for corporate risk and internal audit be separated, with the Chief
Auditor role being focussed on delivery of internal audit and fraud services for
the Council and associated bodies. Responsibility for the management of the
corporate risk function is proposed to come under the wider business services
management arrangements. The two functions would however continue to work
closely together through their governance and reporting arrangements to the
Audit, Risk and Scrutiny Board. 
3.9 The internal audit service has been managing with an interim Chief Auditor in
post since Summer 2024 while the shared service option has been explored. It
is proposed to move to the revised operating and management arrangements
outlined above in the coming months, including formal job evaluation of new or
revised roles. This will allow the Council to then progress to recruit a Chief
Auditor on a permanent basis.

Page 4

Health & Safety (H&S) 
3.10 The corporate health and safety function supports the delivery of H&S activity
across the Council, linking closely with service areas and their respective
officers who also have H&S responsibilities. The corporate H&S function also
provides specific support in terms of incident management, H&S reporting and
events planning and delivery. 
3.11 Following a recommendation in an internal audit report to the Audit, Risk and
Scrutiny Board in May 2024, an external review of the corporate H&S service
was conducted in recent months, with draft findings within the report outlining
significant strengths within the service in terms of incident management and the
expertise and competence of the staff within the corporate team. The report
also makes a number of recommendations in terms of the breadth of
responsibilities within the team and that they should be clearly focussed on core
H&S activity; while rebasing the relationship between the corporate team and
services would be of benefit with a clearer focus on key risks which will inform
a revised H&S policy, strategy and reporting arrangements. It was also
suggested that a specific H&S compliance system should be considered to
improve the efficiency of current arrangements for recording, monitoring and
reporting H&S compliance information. The report also made comment on the
overall level of resource within the corporate team and that this should be
supplemented in order to further improve monitoring and compliance, audit
activity and training. 
3.12 In order to address the recommendations in the report it is proposed that the
corporate H&S team is also brought under the management of the Council’s
business services arrangements – specifically to improve overall linkage with
the Council’s risk management arrangements and to clearly separate the
service from its current position within the People and OD service. Currently the
corporate H&S have responsibilities in terms of employee wellbeing,
occupational health and absence management; and while these responsibilities
are clearly of relevance to the Council’s overall H&S arrangements, they
potentially do not allow the team to focus on their core H&S objectives. It is
therefore proposed that responsibility for employee wellbeing, absence
management and occupational health are consolidated within a revised People
& OD structure as is outlined in further detail below, with the H&S team
therefore refocussing their efforts in core H&S objectives, linking more explicitly
with service representatives and the risk management function under the
business services structure. It is also proposed that the corporate H&S is
supplemented with a coordinator role which will assume responsibility for much
of the monitoring, administration and compliance responsibilities which are
currently undertaken by the existing officers. The impact of these proposed
changes on existing and new roles are the subject of ongoing job evaluation,
and any implications for existing staff will be managed under agreed HR
processes.

Page 5

People and Organisational Development
3.13 The People and Organisational Development (OD) function plays a critical role
in ensuring the Council has the workforce capacity, capability, and culture to
deliver high-quality services across our Council and to our communities. The
current structure and general priorities and vision of the team has remained
largely unchanged for over a decade.   
3.14 Given the significant changes in the public sector landscape, evolving needs of
our workforce and financial constraints, an internal review was undertaken by
the Head of People and OD which looked at the following four key areas: 
1. Ensuring the People and OD function is structured to provide strategic and
operational support effectively. 
2. Improving responsiveness to service demands by aligning resources with
key priority areas.
3. Introducing a business partner model that enhances service engagement
and collaboration.
4. Strengthening the Council’s approach to key workforce areas, with a specific
focus on: 
 HR Caseload Support.
 Equality, Diversity, and Inclusion (EDI).
 Health and Well-being.
 Workforce Planning and HR Policy.
 Data, Compliance, and ERP Development.
 Digital Learning.
 Reward and Recognition. 
3.15 The outcome of the review, when implemented, will align the team’s focus with
the Council’s strategic priorities, ensuring that future resources are deployed
efficiently and that services receive the best possible support. Significant
benefits are expected from the review which include: 
 Enhanced Service Support: A more strategic and proactive People
and OD function will improve service delivery across all services.
 Greater Efficiency: Optimising resources will ensure that expertise is
focused on areas of highest need.
 Stronger Workforce Planning: A dedicated focus on workforce
planning can help address skills gaps and future succession planning
needs.
 Improved Well-being and Inclusion: Strengthening EDI and health
and well-being initiatives can help us to continue fostering a more
inclusive and supportive workplace.
 Data-Driven Decision Making: Enhancing data and compliance
capabilities will allow for more informed workforce planning and policy
development.
 Digital Transformation: Expanding digital learning opportunities will
support workforce development and modernise training delivery.

Page 6

 Recognising and Rewarding Staff: Ensuring employees feel valued
can help improve morale, engagement, and retention.
 Improved Service Delivery: A business partner model will provide
tailored, proactive support to services, enabling them to manage their
workforce challenges more effectively.
 Increased Compliance and Governance: A focus on compliance
ensures adherence to employment regulations and Council policies. 
3.16 As part of the review, new job roles will be created and some job roles
deleted. The impact of these proposed changes on existing and new
roles are the subject of ongoing job evaluation, and any implications for
existing employees will be managed under agreed HR processes. 
3.17 As part of our commitment to supporting a modern and high-performing
workforce, the Council will be reviewing its current 2021-26 ‘Our People,
Our Future’ People Strategy, with a view to developing and implementing
a revised strategy in 2026. The new strategy will have a stronger focus
on financial sustainability and will set out our vision for the workforce,
ensuring that we continue to attract, develop, and retain the right people
with the right skills to meet the needs of our communities. To successfully
deliver this strategy, it is essential that the People and OD team are
structured effectively, with the right talented resources in place. The
review of the People and OD function is therefore a crucial step in
ensuring the team is in the best shape to lead and support this
transformation.
___________________________________________________________________
Implications of the Report
1. Financial – the recurring revenue implications of the above
recommendations will be managed within existing budgets. Any systems
development and implementation costs will be supported through
application of a draw down from the Service Modernisation and Reform
Fund. 
2. HR & Organisational Development – As outlined in the report. 
3. Community/Council Planning –  
 Our Renfrewshire is safe – the revised the revised management
proposals in the report will allow the corporate H&S team to focus
more clearly on their core objectives and will improve the efficiency
of current H&S administrative arrangements. 
 Building strong, safe and resilient communities – as above 
4. Legal - none 
5. Property/Assets – none

Page 7

6. Information Technology – the proposal to implement a bespoke H&S
management system, and the potential consideration of a risk
management system will be explored in line with the arrangements
outlined in the Council’s Digital Strategy. 
7. Equality & Human Rights - The Recommendations contained within
this report have been assessed in relation to their impact on equalities
and human rights. No negative impacts on equality groups or potential
for infringement of individuals’ human rights have been identified arising
from the recommendations contained in the report. If required following
implementation, the actual impact of the recommendations and the
mitigating actions will be reviewed and monitored, and the results of the
assessment will be published on the Council’s website.   
8. Health & Safety – the revised management proposals in the report will
allow the corporate H&S team to focus more clearly on their core
objectives and will improve the efficiency of current H&S administrative
arrangements. 
9. Procurement – the potential procurement of any ICT systems will be
conducted in line with relevant procedures, and in line with the Digital
Strategy. 
10. Risk – the revised management and staffing arrangements outlined in
the report will allow the service to implement the actions suggested from
an independent review of the service, further improving risk management
arrangements across the Council. 
11. Privacy Impact - none 
12. Climate Risk – none
13. Children’s Rights – none
14. Cosla Policy Position – none 
___________________________________________________________________ 
Author:           Alastair MacArthur, Director