Organisational Risk
MAF manages risk in every part of the organisation. We are recognised world leaders in the management of food safety and biosecurity related risk. Our success in managing these risks has a significant impact on the health and vitality of our economy, environment and people. To ensure we are able to manage these operational risks we need to be aware of the organisational or strategic risks that may prevent us from achieving our stated purpose and outcomes.
MAF has a firm commitment to taking a consistent approach to risk identification and management across the organisation. We must understand the events which may prevent us achieving our outcomes and manage the organisation to minimise the likelihood of these events occurring and their potential impact.
Over the past year risk management has been formally incorporated into the MAF planning and budgeting cycle. By taking a consistent approach to risk, MAF has supported the assertion that we are a knowledge-based organisation.
The “Big Five” risks (detailed on the following page) have been identified by aggregating the results from a series of risk workshops across the organisation. MAF uses these risks to inform our strategies and regular reporting provides assurance that risks throughout the organisation are being managed effectively.
MAF Assurance and Risk Committee
The purpose of the Assurance and Risk Committee is to advise the Director-General about MAF's viability as an organisation to pursue government policy and public good objectives including:
- the adequacy of the Ministry's risk management and internal controls;
- compliance with legal, ethical and regulatory requirements;
- co-ordination of the internal and external audit effort;
- the adequacy of the Ministry's response to audit and risk management findings;
- the robustness of financial and non-financial reporting systems and external reporting required by the Public Finance Act; and
- the appropriateness of MAF's governance framework and processes.
The committee has no executive powers, but has access to all parts of the Ministry and the power to call before it any staff member to provide advice or answer questions.
Committee Members
WILLIAM FALCONER (CHAIR), PROFESSIONAL COMPANY DIRECTOR AND FORMER CHIEF EXECUTIVE OF PETROCORP
PETER HUGHES, CAREER PUBLIC SERVANT, CURRENTLY CHIEF EXECUTIVE OF THE MINISTRY OF SOCIAL DEVELOPMENT
RICK BETTLE, PROFESSIONAL DIRECTOR AND FORMER CHIEF EXECUTIVE OF WRIGHTSON AND THE ALLIANCE GROUP
Adrian Sparrow, MAF Director Corporate Assurance and Risk is a non-voting member of the committee.
MAF's Top Five Organisational Risks
THE RISK - WE MIGHT NOT… |
KEY MITIGATION STRATEGIES |
Have the Right People – Right SkillsWe are operating in a tight labour market. We have a high proportion of long-service staff members combined with a high turnover of the workforce. We must manage our skill blend and our management of knowledge (as opposed to information). |
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Be engaging with stakeholdersWe rely on co-operation and compliance of industry and inter-departmental stakeholders. Internally we may not gain buy-in to our business initiatives, or fail to engage with the right people at the right time. |
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Provide LeadershipInternal and external leadership failures present a significant obstacle to achieving our objectives. Effective sector and industry leadership is critical as is ensuring we promote realistic and effective solutions and policies. Internally, we need to ensure we share a vision and have robust debates that support a clear unified direction. |
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Give robust Policy AdviceOur policy advice may produce unexpected or unwanted outcomes. Our policy advice may not be robust, leading to poor decision-making by the Government or inappropriate positions taken by farmers. If policy advice is not robust it may result in market access restrictions for primary produce. |
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Deliver (credibility)MAF has a leadership role for various aspects of the agricultural, food and forestry sectors. Failing to deliver at an outcome or operational level could be disastrous for the department. MAF must ensure it is always aware of progress against objectives and monitors the effectiveness of remedial action when required. |
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Contact for Enquiries
Strategy and Performance Group
Ministry of Agriculture and Forestry
Pastoral House
25 The Terrace
PO Box 2526, Wellington
Tel: +64 4 894 0100
Fax: +64 4 894 0738
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