2022-09-12 General Committee Meeting Agenda

GENERAL COMMITTEE MEETING AGENDA   12 SEPTEMBER 2022




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GENERAL COMMITTEE MEETING AGENDA                                                           12 SEPTEMBER 2022

              COUNCIL POLICY — ENTERPRISE RISK & OPPORTUNITY MANAGEMENT

              Principle             Commitment
               Structured &         Council’s approach to managing current, emerging and potential risks is
               comprehensive        structured and comprehensive to improve outcomes, accountability and
                                    consistency.
               Customised &         Council adopts a fit for purpose risk management approach that is flexible,
               Dynamic              adaptable and customised to the context within which Council operates.
               Integrated &         Council fosters a culture where employees understand their role and
               inclusive            responsibilities in order to proactively manage risks as part of everyday
                                    business operations and have confidence in making decisions within
                                    acceptable risk levels.
               Best available       The inputs to good risk and opportunity management include engaging with
               information         the right people and expertise and obtaining timely and relevant information
                                   to assist in decision making, such as current and historical data, lessons
                                    learned, industry trends, benchmarking and future expectations.
               Continual            Council reduces the impact of risks by proactively seeking and implementing
               improvement         ways to continually improve risk and opportunity management through formal
                                    review, learning and experience.

              RISK APPETITE

              Risk appetite is the amount and type of risk that Council is willing or able to absorb, accept or retain
              in the pursuit of its objectives and in making both strategic and operational decisions. Risk appetite
              varies and is a broad and general position. Defining Council's risk appetite establishes boundaries
              for prudent decision-making and risk taking. It creates ‘freedom! within boundaries by promoting
              flexibility and accountability to management and the community.
              Given the requirement of risk management to be iterative, adaptive and customised, risk appetite
              and tolerance statements are to be used only as a tool or a guide for decision making and planning
              purposes. Naturally, there will be exceptions and other considerations which warrant taking a
              different risk appetite position and this requires a case-by-case assessment.
              Council's risk appetite levels are defined below.

               (Little to no appetite)  (Small appetite)         (Medium appetite)         (Larger appetite)
               Avoid exposure to     A general preference for Options are selected based Seek opportunity and
               risks, even when      safer options with small on outcome benefits with a outcome benefits while
               potential outcome     amounts of adverse      reasonable degree of       monitoring potential
               benefits are higher   exposure                protection                 exposure

              Council's risk appetite approach is to minimise its exposure to risk relating to categories of risk, which
              are summarised below and may be adjusted periodically.

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