3. Management and accountability
Risk management
A draft risk management and fraud control plan was prepared for 1 July 2003 to 30 June 2004. The draft plan covered activities in the planning, monitoring and controlling of actions that would address the threats and problems identified as part of the analysis of risk process and the likelihood of PSR as an organisation achieving its stated objectives.
A review of the draft plan conducted by PSR Management in May and November 2004 included:
- updating the risk register by conducting a revised risk analysis (identifying new risks, updating the assessment of risks, removing now irrelevant risks)
- updating action plans to address the risks for new key risks
- identifying new action plans.
The Risk Management Plan is inclusive of the outcomes of the review and incorporates subsequent follow-up action needed to ensure PSR’s risk management is responsive to the organisation’s changing needs. The review has enabled a revised PSR Risk Management and Fraud Control Plan to be developed for 2004–05. (Following the first meeting of the Audit Committee in June 2005, PSR has undertaken to further refine the Plan early in 2005–06 and develop a stand-alone fraud control plan.)
To date, PSR has only lodged one minor insurance claim and is confident that all significant risks are being managed effectively.