3e - fd as a leader on risk compliance and governance - simon hopkins

The FD as leader onRisk, Compliance

& Governance

Simon HopkinsMay 2012

“Accentuate the negative”

How do our colleagues view these disciplines?

Are we given them for the wrong reasons?

The FD as leader on Risk, Compliance and Governance

The FD as leader on Risk, Compliance and Governance

Staying in the Game

FD as “rescue service”

…and a true story (part 1)

The FD as leader on Risk, Compliance and Governance

Winning the Game

Working without the burning platform…• Attitude of your organisation• Use of language• The growth curve and the danger zone• Some more war stories• Influencing tactics• The technical bit

The FD as leader on Risk, Compliance and Governance

Attitude of your organisation

Receptive? Indifferent?

Risk averse?

Or the opposite?

The FD as leader on Risk, Compliance and Governance

Use of language

“Our Audit/Risk/ [insert name here] committee want us to fill in this form”

“We have to complete this return to the Charity Commission/ HMRC”

“Let’s set up a committee to look at this”

The FD as leader on Risk, Compliance and Governance

Or we could try this…

Some things are so important we tend to assume that someone must be taking care of them. But we simply can’t know everything that’s going on all the time – so let’s organise ourselves so we know systematically that the right thing is being done and that everyone knows exactly what they’re accountable for. How bad might it be if we all assumed someone else was “dealing with it” and no one actually was?

The FD as leader on Risk, Compliance and Governance

Or even this…

And while we’re at it, let’s make sure we remove any ambiguity over who has the authority to do what and that everyone understands exactly where, when and how decisions need to be made.

By the way, writing things down will almost certainly make us think about them in a structured way and understand who’s doing what.

The FD as leader on Risk, Compliance and Governance

The growth curve

“Just enough governance” – size matters

How do you ensure everybody’s actions and accountabilities fit together seamlessly?

Governance and control tends to lag growth

Is it possible to have “over-governance”?

The FD as leader on Risk, Compliance and Governance

Time

Size

The “Danger Zone”

The FD as leader on Risk, Compliance and Governance

2 more (short) war stories

• “Your people knew about it”

•From “intimate” to “corporate” – recognising the tipping point

D

C

The FD as leader on Risk, Compliance and Governance

Influencing tactics

Fit with business improvement &

other tools

War stories & case studies

“We scare because we care”

Find your network

What’s in it for me?

The FD as leader on Risk, Compliance and Governance

The technical bit –some observations

• Is your risk register dynamic?• Do you use techniques such as BPR and use these to break test key processes?

• Do you get things “right” by accident or systematically?

• Do you have someone whose role it is to horizon scan emerging legislation and regulation?

• Do volunteers comply because they understand?

The FD as leader on Risk, Compliance and Governance

Changing the Game

Administrative or transformational?

Using the skillset

Compliance – passive obedience vs. effective design and advocacy

A true story (part 2)

Call to arms

The FD as leader on Risk, Compliance and Governance

ANYQUESTIONS?

hopkinss@bhf.org.ukor via LinkedIn