ERI – Being the best you can be.

Greg SaundersRisk Manager – Service to Youth Council Inc.

What is ERI? Enterprise A legally recognized body

designed to provide goods, services, or both;

Risk Effect of uncertainty on objectives;

Intelligence The collection of information of value to an organisation

Where do we begin?Recognition of the need to have in place processes to:

• Make better decisions • Gather and retain valuable corporate knowledge • Provide a set of options for problem solving• Have a more confident and rigorous basis for

decision making and planning• Ensure better identification of opportunities and

threats• Gain value from uncertainty and variability• Provide more effective allocation and use of

resources• Ensure better corporate governance.

You need a plan

• Recognition of the importance• Ensuring an innovative and flexible approach• Awareness of the operating environment• A consistent and coordinated approach• Access to appropriate resources• A clear aim to embed the RM philosophy• RM must be an integral component• Ensure RM consideration in place

About SYC• Established 1958• Assists young homeless people 16 – 25• Has Largest RTO outside TAFE in SA• Is a provider for Job Services Australia• June 2009 – 100 staff• June 2010 – 300+ staff• Profit (surplus) 09/10 $2.8M (> 1958 - 2009 combined)

The opportunities

• Greenfield operation• Commercially immature• Sound business model• Solid reputation with stakeholders• Major tender wins• 18 months of relative stability• The people

The challenges

• Understanding of RM• Three culturally diverse divisions• The rapid growth• Lack of business management systems• Corporate knowledge• Identity• Cultural change

So what have we achieved?

• A commitment from the board for RM focus• A policy • A plan• RMSS application fully configured• A commitment to quality system• A commitment and funding for internal audit• Common language• Risk registers that identify risk• RM consideration at all levels of SYC

A blueprint for success• Get to the stage of a common understanding of

the fundamentals of what is risk management• Ensure there is a common language spoken• Look beyond your backyard for a risk framework

that will broaden your outlook on risk. • Don’t be surprised in the early stages as to what

are identified as key risks.• ERI has a place in your strategy when you start

linking all risk information a very clear picture will begin to emerge.

• Be patient – take the organization on an enlightening journey.

Being the best you can be

• Clearly define the expected value of RM program• Hold the program accountable • Establish a clear and logical governance structure• Provide increased visibility• Right information at the right time to the right

people• Utilise technology to provide insightful decision

making support• Be bold – be prepared to challenge the

effectiveness of executive decisions if they are not being made with good analytic support

RMSS and SYCAt SYC we have made the decision to utilise the RMSS suite to manage ERI and our Risk Management Program. The application provides:

• Certainty• Flexibility• Accuracy• Inclusive, relative and meaningful process • Value Creation

The system knows few boundaries. It can be whatever you want it to be.

What is the best you can be?

• The best we can be will be vastly different this year to what it will look like in 2011 and beyond.

• Full implementation of our RM program, our internal audit program, our quality management system, and having built up a significant database of incidents of many descriptions will provide the ERI that will see a maturing organisation that gains competitive advantage from an integrated approach.

• 2015 the best we can be is the best – our peers will look to us for leadership - others will look to us for guidance and advice, I will be getting nearer to retirement and I hope all of you will look back at today with you all being the best you can be.

Questions??