Strategic Risk Register -Appendix 1
Argyll and Bute Council · 15 September 2022
Back to Audit and Scrutiny Committee — 15 September 2022 and its agenda
Text extracted from the council's PDF. Layout and reading order may differ from the original.
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NEXT REVIEW DATE February 2023 Imp Like Sc Imp Lik Sc 1 Population and Economic Decline Failure to identify relevant factors contributing to the decline and failure to develop strategies and actions targeting these factors. Our Economy is diverse and thriving Population decline reduces available funding impacting on Councils capacity to deliver services. A circle of decline with reduced employment, lower earning and failing businesses and poor perception of the area. Combined population and economic decline may increase the need for and cost of services. Insufficient people of working age with appropriate skills and experience to fill vacancies across CPP. Residual impact of withdrawal from EU. Insufficient housing infrastructure to meet long term demands for those seeking refugee status. 5 4 20 1. Local outcome improvement plan targets population and economic recovery 2. Maximise external funding opportunities 3. Economic Strategy 4. Strategic infrastructure plan 5. Area economic development action plans 6.Promote and Market Argyll and Bute 7. Maximise social-eco benefits via effective partnership working 8. Single Investment Plan 9. Refugee sponsorships are fully supported 10. Temp accommodation is in place for all refugees 4 4 16 Treat 1. Lobbying activity in pursuit of regional immigration policies and related strategies 2. Rural Growth Deal Outline Business Cases and Final Business Cases to be developed in 2022/23 and Deal to be signed late 2022 or early 2023. 3. Submission of Levelling Up Fund bids by required timescale of 2 August are nearing completion as at end of July (submission date amended by UK Government). 4. Settlement Officer post agreed to be funded 50:50 from HIE/Council focusing on barriers to people living in communities, housing and others. Recruitment carried out and officer commenced post. 5. Preparation of a pipeline of projects across Argyll and Bute in order to be able to react to any other bid funding as and when it is announced. 6. UK Shared Prosperity Fund Investment Plan for next 3 years prepared and submitted to Policy and Resources Committee on 11th August 2022 - next iteration will provide further update. 7. Multi-agency approach to refugee settlement underway linking with national processes and agendas. SMT 29 August 2022 Kirsty Flanagan 2 Condition and suitability of Infrastructure & Asset Base Infrastructure and asset base does not meet current and future requirements and is not being used or managed efficiently and effectively. Our Infrastructure supports sustainable growth Infrastructure and asset base does not support or is not aligned to business outcomes and does not aid effective service delivery. Infrastructure and asset base is allowed to deteriorate resulting in cost, lost opportunities and wasted resource. 4 4 16 1.Asset management board 2.Robust capital planning and monitoring 3. Asset management work plan 4. Business case modelling including sustainability, development and strategic change 5. Intelligence and best practice sharing via Heads of Property Group. 6. Community Empowerment and Community Asset Transfer – Arrangements in place to evaluate and determine requests. 7. Roads Asset Management Plan 8. Status and Options Report 9. R&A Services control hub and joint operations team 10. One Council Property Approach 4 3 12 Treat 1. Development of capital strategy in 2022. 2. 'Modern Workspace Programme will review, engage and rationalise property portfolio for future needs of the Council. Changes will take place on phased and town by town basis. Programme will be running for 3 years - April 2024 SMT 29 August 2022 Kirsty Flanagan and Douglas Hendry STRATEGIC RISK REGISTER Key Actions and Deadlines Risk OwnerGross Risk Residual Risk Last ReviewedNo Risk Consequences Current Mitigation ApproachCorporate Outcome
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Imp Like Sc Imp Lik Sc Key Actions and Deadlines Risk OwnerGross Risk Residual Risk Last ReviewedNo Risk Consequences Current Mitigation ApproachCorporate Outcome 3 Financial Sustainability Insufficient resource to meet current and future service requirement. Budget not aligned / does not support business outcomes. Enablers Unable to deliver Local outcome improvement plan. Reduction in performance. Reputational damage. 4 4 16 1. Longer term financial planning and financial strategy 2. Income generation activity 3. Robust budget preparation and budget monitoring protocols 4. Maintaining adequate contingency with reserves. 5. Digital transformation 6. Effective workforce planning model 7. Business Outcomes 8. Financial Services resilience building project including knowledge sharing and development of guidance notes 4 3 12 Treat 1. Discussions are continuing in respect of a change programme that will include ensuring that the Council can operate within its budget (2022 for year 2023/24). 2.Rural Growth Deal Outline Business Cases and Final Business Cases to be developed in 2022/23 and Deal to be signed late 2022 or early 2023. 3. Implementation of new general ledger system with enhanced budget planning and forecasting capabilities (July 2022) 4. Investment in professional training through Grow Our Own Activity. 5. Officers considering implications of service concessions guidance and capital accounting review Terms of Reference and how that impacts future financial sustainability. SMT 29 August 2022 Kirsty Flanagan 4 Governance and Leadership Governance and leadership arrangements are not conducive to effective working and lead to a lack of strategic direction. All Corporate Outcomes Poor decision making, lack of strategic direction. Lack of operational direction. Confidence in, and reputation of, the Council harmed. Deterioration in performance 4 4 16 1. Administration in place with working majority 2. Members Seminar programmes 3. Mentoring and Coaching Support for policy leads and Senior Management 4. Priorities agreed by Council 5.Corporate Plan sets out objectives 6. Performance Improvement Framework and Service Planning. 7. Leadership development programme. 8. Council constitution regularly reviewed and updated. 9. Established partnership governance arrangements 10. Scrutiny arrangements in respect of Police, Fire and Health. 11. Governance arrangements for scrutiny established 4 2 8 Treat 1. Monitor delivery of BV action plan (ongoing date) SMT 29 August 2022 Pippa Milne 5 Engagement and Understanding the needs of the Community The Council fails to understand service user needs and emerging demographic trends and does not align service delivery to meet these. People live active, healthier and independent lives Enablers Prioritisation of services may not be aligned to community needs/views Gaps between community needs and Council services. Ineffective partnership working Services not configured to meet user/citizen requirements 3 4 12 1. Community Planning partnership 2. Community Engagement Strategy 3.Customer Service Board 4. Operation and development of panels and forums. Young people’s plan, citizens panel 5. Budget Consultation 6.Comprehensive Complaints Protocols 7.Demographic and end user analysis 3 3 9 Treat 1. Deliver agreed actions in BV3 action plan relating to Work with Communities and Community Groups to improve engagement - March 2022 SMT 29 August 2022 Pippa Milne
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Imp Like Sc Imp Lik Sc Key Actions and Deadlines Risk OwnerGross Risk Residual Risk Last ReviewedNo Risk Consequences Current Mitigation ApproachCorporate Outcome 6 Service Delivery Insufficient resources to ensure effective service delivery Enablers Services fail to achieve agreed performance levels and as a result are not contributing fully to Council objectives Resources are poorly managed with result that agreed outcomes and objectives are not fully achieved. Unable to achieve continuous improvement and improve effectiveness and efficiency 3 3 9 1. Performance Improvement Framework 2.Service Improvement plans 3.Argyll and Bute Manager programme 4. Customer needs analysis Protocols 5.Demographic and end user analysis 6.Workforce Planning 7.Internal and External Scrutiny Arrangements 8.Complaints process 3 2 6 Treat 1. Monitor progress of performance mgt project and implement recommendations (Ongoing from Oct 2020 to Sept 2022) 2. Budget approach being developed to look at longer term rather than 1 year focus - will be discussed at first Budget Working Group meeting in September. The approach looks at duties/powers and discretionary services. SMT 29 August 2022 Kirsty Flanagan and Douglas Hendry 7 Health and Social Care Partnership Failure to deliver strategic objectives and integrate Health and Social Care services in an efficient and effective manner exposes the Council, as a key partner, to unacceptable financial and reputational risk. People live active, healthier and independent lives Partnership viewed as having failed or not achieved strategic objectives Partnership Failure or weakness exposes Council to significant Financial liability Confidence in, and reputation of, the Council harmed Unclear repercussions of financial and staffing effects of the implementation of the National Care Service on the Council and HSCP Residual Covid-19 implications for ongoing health and social care services 5 4 20 1. HSCP integration scheme approved by Scottish government 2. Strategic Plan in place 3. Performance and Financial reporting arrangements in place 4. Independent audit arrangements in place. 5. Integrated Joint board with elected member representation including Council Leader 6.Chief Officer member of ABC Senior Management Team with co-location of officers 7. Tripartite leadership agreement 8. Monitoring of HSCP financial position. 9. Medium term Financial Plan in place. 10. Establishment of Strategic and Tactical Groups with links to HSCP, NHS and national/regional resilience groups 4 3 12 Treat 1. Develop options to deliver sustainability of future years budgets (ongoing) 2. Develop a long term Financial plan. 3. Assessment on impact of COVID on services in short, medium and long term. 4. Financial assessment of the financial implications on the Council of services transferring to the NCS. 5. Development and regular review of Economic Recovery workstream with input from representatives across the organisation and the Health and Social Care Partnership. SMT 29 August 2022 Fiona Davies and Pippa Milne 8 Civil Contingency & Business continuity arrangements are not effective. People live in safer and stronger communities Ineffective management of major emergencies affecting Council services and communities in Argyll and Bute. Incident and recovery phase of an emergency lead to greater inconvenience and hardship and a longer timescale for return to normal. Council unable to effectively deliver its own services 2 4 8 1. Emergency Planning Test events 2. Critical Activity Recovery Plans 3. Roll out of Community resilience partnership programme 4. Peer review of major exercises undertaken to provide external validation of planning process 5. West of Scotland local resilience partnership 6.Cross sector expertise and partnership working 7. Emergency Management Support Team (EMST) meetings 8. Training 9. EU Withdrawal Tactical Working Group with arrangements for reporting to the West of Scotland Resilience Partnership 2 3 6 Treat 1. ‘Develop long term test schedule for DRPs to be presented to the SMT (December 2021) - UPDATE? SMT 29 August 2022 Douglas Hendry
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Imp Like Sc Imp Lik Sc Key Actions and Deadlines Risk OwnerGross Risk Residual Risk Last ReviewedNo Risk Consequences Current Mitigation ApproachCorporate Outcome 9 Welfare Reform Implementation of welfare reform is not managed well resulting in increased poverty and deprivation or short term crisis People live active, healthier and independent lives Financial crisis and hardship for individuals Increase in demand or costs for Council Services 4 3 12 1. Financial Inclusion and Advice Group established 2. Joint working with DWP, CPP and other agencies 3. Child Poverty Planning Group set up and active 4. Flexible Food Fund created. Supporting householders in our area with funds and advice to address food and fuel insecurities 3 2 6 Tolerate 1. Extend Flexible Food Fund Contract for a further year to March 2023. 2. Council, HSCP and third sector deliver range of 20 Covid related support projects under the Flexible Fund banner by March 2023. 3. Deliver sustainable school clothing bank across the Argyll and Bute area by December 2022. 4. One-off top-up payments of £75 per child issued to School Clothing Grant recipients by end of February 2022. 5. Argyll and Bute centric anti-poverty training delivered to 600 Council, NHS and third sector staff by March 2022. 6. "Worrying about money" leaflet to be issued with Council Tax bills containing advice and support for people with money worries in March 2022. Update website with information and support. SMT 29 August 2022 Douglas Hendry 10 Waste Management Unable to dispose of waste in landfill sites due to the implications of the biodegradable municipal waste (BMW) landfill ban in 2025 Our Infrastructure supports sustainable growth Alternative delivery models would be likely to be more expensive than the current one which would result in cost pressures having to be accommodated by other services and service provision reduced 5 4 20 1. Helensburgh and Lomond waste solution available via third party offtakers 2. Waste strategy 4 4 16 Treat 1. Options Appraisal undertaken by external consultants and will be reported to EDI Committee in December 2022, which will determine a compliant solution on the BWN ban by the deadline of December 2025. 2. Decision will be required by Council as to whether they request a derogation in respect of waste to end the Waste PPP Contract. 3. Officers are keeping a watching brief on implications of the Barr Environmental position. 4. DRS is being reviewed and officers are keeping a watching brief on this which is due to be implemented in August 2023 and what implications this could have for the Council. SMT 29 August 2023 Kirsty Flanagan
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Imp Like Sc Imp Lik Sc Key Actions and Deadlines Risk OwnerGross Risk Residual Risk Last ReviewedNo Risk Consequences Current Mitigation ApproachCorporate Outcome 11 Service Delivery - Cyber Security Unable to deliver services to customers because of failure of ICT systems following major cyber security breach Our Economy is diverse and thriving Threat of ransomware attacks. Data corruption of ICT system caused by malware and/or loss of confidential data. ICT Systems unavailable for considerable period whilst recovery from uncorrupted backups takes place. Meanwhile Services fail to achieve agreed performance levels and as a result are not contributing fully to Council objectives. Reputational damage to Council and potential financial losses (fines, loss of income). 5 4 20 1. ICT Security & compliance officer in post, producing weekly threat analyses, member of CiSP 2. PSN and Cyber Essentials Plus accreditations for corporate network 3. Regular patching regimes in place 4. ICT Disaster recovery plans tested regularly 5. All critical activities have recovery plans developed (CARP’s) 6. Review the issuing of regular communications to raise awareness of importance of cyber security and awareness again 5 3 15 Treat 1. Review will be ongoing on all contingency plans with updated knowledge from SEPA and UHI Cyber Attacks. 2. Work with Scottish Government Cyber Resilience Team to test ICT response 3. Security training videos being issues on a monthly basis, as mandatory training exercises for staff 4. Enforce password changes when found to be weak 5. Cyber Resilience Exercise completed in March 2022 followed by a Digital Office led Cyber Risk session for ELT in April . 6. Continued close review of disaster recovery plan and associated tests, finalise and test incident response procedure, and review of mirroring between the 2 data centres (monthly at ITMT) and backup 7. Review and progress requirements for Education Network to achieve CE+ accreditation SMT 29 August 2022 Kirsty Flanagan 12 Cost of Living Crisis The Council are unable to respond to the implications arising from the 'Cost of Living' crisis Our Economy is diverse and thriving 1. Unable to meet demands for assistance stemming from financial hardship 2. Increases on the demand for Council services such as homelessness 3. Financial implications for the Council as revenue income could fall correlating to financial hardship - Financial Sustainability 4. Implications for staff, particularly those working from home 5. Adverse impact on workforce, communities with regards to economy and demographic statistics 5 5 25 1. Financial stability and support to HSCP 2. Social Welfare and Poverty Funding assistance. 3. Focused support and multi-agency approach where risk is highlighted 4. Monitoring of trends in service use to high light any significant change as a result of financial hardship 5. Targeted measures - for example to those receiving Council Tax reductions - via Gift Cards and Flexible Food and Fuel Fund 4 3 12 Treat 1. Review and monitor changes in demand for key services which correlate to personal effects arising from financial distress. 2. Assessment of the 'Cost of Living' crisis on wellbeing and service capacity/sustainability - December 2022 SMT 29 August 2022 Pippa Milne and all ELT