Public sector risk management framework pdf

Despite this, there is a lack of systematization of this body of knowledge. The purpose of this paper is to analyze the state of art by examining the knowledge gaps and defining the emerging themes of RM in the public sector to guide future research agendas. The authors conducted a structured literature review SLR. They analyzed 63 papers, by using Scopus database, published from to All papers were categorized and analyzed according to 11 criteria defined by the literature.

Results show that there is an increasing attention to RM with a need for more effort to consolidate research knowledge. Findings also established a lack of theorization, with a limited explanatory capacity of most studies. The paper defined four main areas for future developments to increase the body of knowledge. Namely, RM and managerial systems i. MCSs and performance management , integrating RM systems and the building blocks of RM that the authors identify will also play a role in helping the authors to understand the diffusion of RM within public sector organizations.

Despite the increasing attention to RM in the public sector, more research is required. In fact, integration with the managerial systems and the strengthening of the building block could help to exploit the potential of RM in the public sector. The authors' contribution to the development of the paper is a follow: Sections 1, 2, 4. The authors wish to thanks the editors and the two anonymous referees for their contributions in the development of the paper. Bracci, E. Report bugs here. Functions of the Audit Committee with respect to risk management.

Functions of the Risk Management Committee. Functions of the Chief Risk Officer. Functions of Management with respect to risk management. Functions of other officials with respect to risk management.

Functions of the Risk Champion. Functions of Internal Auditing with respect to risk management. Functions of the External Audit with respect to risk management. Functions of the National Treasury with respect to risk management. Functions of the Provincial Treasury with respect to risk management. Evaluation of value add. Performance Indicators.

Companies Act No. Framework for Managing Programme Performance Information King Code of Governance for South Africa Municipal Finance Management Act no. Public Finance Management Act no. Public Service Regulations, Print the Executive Summary. Sign In. Page Content.

Applicability 1 The Framework recognises that Institutions are not homogenous hence it is not possible to produce a blueprint that can be generically replicated across all Institutions. Background 1 Institutions are bound by their Constitutional mandates to provide services or products in the interest of the public good. Human resource capacity 1 Adequate human resources capacity, represented by the requisite number of people with the right skills, is fundamental to implementing the risk management strategy.

Tools and technology 1 Tools and technology can produce considerable efficiencies by simplifying complex processes and accelerating otherwise time consuming tasks in the risk management process. Funding the risk management activities 1 Funding is required to cover the cost of implementing, maintaining and continuously improving the state of risk management and control. Enterprise-wide risk management ERM 1 ERM is a broad-based application of risk management in all major functions and activities of the Institution, rather than only in selected areas, to isolate the material risks.

Focus points of risk identification 1 To ensure comprehensiveness of risk identification the Institution should identify risk factors through considering both internal and external factors, through appropriate processes of: a a Strategic risk identification to identify risks emanating from the strategic choices made by the Institution, specifically with regard to whether such choices weaken or strengthen the Institution's ability to execute its Constitutional mandate: i strategic risk identification should precede the finalisation of strategic choices to ensure that potential risk issues are factored into the decision making process for selecting the strategic options; ii risks inherent to the selected strategic choices should be documented, assessed and managed through the normal functioning of the system of risk management; and iii strategic risks should be formally reviewed concurrently with changes in strategy, or at least once a year to consider new and emerging risks.

Risk assessment 1 Risk assessment is a systematic process to quantify or qualify the level of risk associated with a specific threat or event, to enrich the risk intelligence available to the Institution.

Responding to risks 1 Risk response is concerned with developing strategies to reduce or eliminate the threats and events that create risks. Designing control activities to mitigate risks 1 Management is responsible for designing, implementing and monitoring the effective functioning of system internal controls.

Communication and reporting 1 Relevant information, properly and timeously communicated is essential to equip the relevant officials to identify, assess and respond to risks. Risk monitoring 1 Monitoring concerns checking on a regular basis to confirm the proper functioning of the entire risk management system. Functions of Executive Authority with respect to risk management 1 The Executive Authority should take an interest in risk management to the extent necessary to obtain comfort that properly established and functioning systems of risk management are in place to protect the Institution against significant risks.

Functions of Management with respect to risk management 1 Management is responsible for executing their responsibilities outlined in the risk management strategy and for integrating risk management into the operational routines. Functions of other officials with respect to risk management 1 Other officials are responsible for integrating risk management into their day-to-day activities.

Functions of the Risk Champion 1 The Risk Champion is a person with the skills, knowledge, leadership qualities and power of office required to champion a particular aspect of risk management. Functions of the External Audit with respect to risk management 1 The external auditor Auditor-General provides an independent opinion on the effectiveness of risk management. Evaluation of value add 1 Evaluation of risk management effectiveness is vital to maximise the value created through risk management practices.

Performance Indicators 1 Everyone in the Institution has a part to play in achieving and sustaining a vibrant system of risk management and to that extent must function within a framework of responsibilities and performance indicators.

Executive Summary. What is Risk Management? Risk Management Policy. Fraud Prevention Policy. Fraud Prevention Strategy.

Risk Management Strategy. Risk Response Strategy. Risk Identification. Risk Assessment. Control activities. Risk Assurance. Risk Tolerance. Reporting Lines.