Presentation to COMCOVER

GPCAPT Bennett

Our nomination

• A Risk Management Initiative leading to an enterprise wide approach to integrated strategic management

• 2 years into our journey • a 10-year journey

Background• A modern expeditionary Air Force, • the second-oldest air force in the

world. • Well established aviation and

operational risk management• Need to enhance our business

management through the integration of strategic planning and risk management

Why - our Challenges & Opportunities

• Transitioning to new systems and capabilities

• Extended high Op tempo• Implementing the White Paper • Resource constraints

Why integrating strategic planning & risk management?

• A shared understanding on what could compromise our Goals

• Encouraging strategic conversations• Identifying the priorities for resources • Alignment of the prioritised use of resources

across the organisation• Decision superiority through Key Result

Indicators at the strategy level

Eg. DETERMINING THE “STRATEGY”

Capability

Cost/Risk

Cost versus RiskPOTENTIAL DEFENCE STRATEGIES

Optimum Strategy

RiskCost

Our mission is to defend Australia and our national interests.

Enhancing governance arrangements

• Concurrent initiatives in enhancing Air Force governance arrangement• Roles and responsibilities of

Committees• Reporting arrangements

Our approach

• Based on • AS/NZS4360:2004 • The soon-to-be-released ISO 31000 • Need to broaden the traditional

approach to risk management

How• Champion (Deputy Chief of the Air Force)• Develop the frameworks• Front end loading

• Value adding• Robust discussion• Defensible judgements• Governance lens

Engagement

• Engagement with • Chief of the Air Force (CAF)

Deputy Chief of the Air Force (DCAF) and Air Commander identified the risks to their outputs

• Senior leadership validated the risks and identification of the sources of the risks

Contextual understanding

• Global• Governance• Activity• Relationship

Perspective on our business

Strategic Management

• Risks integrated into • Balanced Scorecard• Strategy Map

• KRIs at the strategy level

Our challenges

• ‘Changed out’• The belief that risk management is

negative• Limited alignment from Defence • Information management (new

paradigm needed)

Risk Committee

• Established a risk committee• Report to CAF• Identify Air Force enterprise risks and

develop risk management strategies for AFB review and endorsement.

• Responsible for approving appropriate risk management plans to treat the sources of each enterprise risk.

Where to from here?• Leadership

• wanting to update the• risks, • Strategies and• Air Force Plan

• managing the risks• Need to market to the organisation to

achieve active involvement

System of Systems

• Implement and roll out a ‘systems of systems’ approach to • strategic management

• strategy to task (cost)• other perspectives too

Questions?

Enterprise Cognitive Model

Areas of NeedAoN

AoNAoN

AoN

AoNSecurity Levels

Access

Collaboration