Public Sector Series – Session 3: Risk management and Internal Controls

Governments have a responsibility to provide services to the citizens of a country. They need to protect and grow the country’s resources and ensure the creation and maintenance of generational capital for future generations. 

Service delivery is a complex, multi-faceted concept that is dependant on many variables, some within the control of the country, and some that emanate from global issues. Because so many variables can impact the success and quality of service delivery, risk management in the public sector is a critical process in the management of public finances. A government must assess the following points regarding risk:

• The risk that that service delivery will not happen; 
• The risk that service delivery will not happen fast enough; and
• The risk that service delivery will be at a quality that corresponds with the needs of the public. 

This risk assessment process must happen throughout government and at all levels. Most public servants do not understand that their day to day activities either serve to identify, or to manage risks through policies and procedures and internal controls.