The objectives of this policy are to:

a)    outline the University’s approach to risk management;

b)    align the University with best practice AS/NZS ISO 31000:2009 Risk management – Principles and guidelines;

c)    establish the roles and responsibilities of staff in risk management; and

d)    affirm the University’s commitment to developing a compliance framework in line with AS ISO 19600:2015 Compliance management systems – Guidelines, incorporating a risk based approach to compliance that:

i. facilitates compliance with legislation and regulation (University’s Regulatory Framework);

ii. continuously improves attention to compliance obligations within the Regulatory Framework; and 

iii. stimulates the identification, reporting and rectification of non-compliance.

This policy applies to all staff and honorary appointees of the University, and to people authorised to undertake University business. 

This policy is made under the University of Melbourne Act 2009 (Vic) and Council Regulation, and supports management of risk according to applicable legislative and regulatory standards and codes to which the University is subject. 

4.1.    Council, through Council’s Audit and Risk Committee, is responsible for overseeing and monitoring the assessment and management of risk and compliance.

4.2.    Risk is managed in accordance with the University’s risk process for risk assessment (identification, analysis and evaluation) developed by Legal and Risk, and approved by the Vice-President (Strategy & Culture), informed by advice from the University’s Risk Management Advisory Group (RMAG).

4.3.    The management of risk aligns with the University’s strategic risk appetite, as approved by Council.

4.4.    The Vice-President (Strategy & Culture) oversees the development of the strategic risk profile and risk appetite statement and advises the University Executive on risk, taking into account any recommendations made by RMAG. 

4.5.    Risk management and compliance obligations are formally integrated into planning processes and management activities, and incorporated into ongoing ‘business as usual’ practices by those with management responsibilities.

4.6.    The head of division is responsible for ensuring compliance breaches are monitored and reported. 

4.7.    In the event of a critical incident, the University's response will prioritise:

  a)    human life, safety and wellbeing; 

  b)    animal life, safety and wellbeing; 

  c)    environmental protection; and

  d)    the protection of property interests; 

taking into account the nature of the incident and all relevant circumstances. 

5.1.    Legal and Risk maintains the:

  a)   University-wide Risk Register; and

  b)   University-wide Compliance Obligations Register.

5.2.    Legal and Risk:

  a)   provides risk management advice and training;

  b)   provides compliance training; and

  c)   documents process in support of risk management.

5.3.    Legal and Risk is responsible for internal audits, taking into account any recommendations made by RMAG in relation to the conduct of risk-related audits. 

5.4.   The Vice-President (Administration & Finance) and Chief Operating Officer is responsible for:

  a)   developing and implementing a University-wide critical incident management program;

  b)   developing processes to align with the Australian Inter-service Incident Management System; and

  c)   coordinating the University's response to any critical incident that may occur, in accordance with the critical incident management program described in section 5.4(a) and all relevant University policies and processes. 

5.5.    The Vice-President (Administration & Finance) and Chief Operating Officer is responsible for developing and implementing the Business Continuity Management Program aligned to ISO 22301:2012 Societal security – Business continuity management systems – Requirements.

5.6.    Risks are identified and managed to ensure that:

  a)   activities on behalf of the University are performed in an informed manner; and

  b)   areas of risk or potential risk undertaken in day-to-day activities are the responsibility of all staff, including persons authorised to undertake University business and/or activities (eg service providers and contractors).

5.7.    All staff, including people authorised to undertake University business and/or activities (eg service providers and contractors) have a responsibility to comply with legislative and regulatory compliance obligations, specifically to ensure that:

  a)   activities on behalf of the University comply with applicable laws and related University policies, and are performed in an ethical, lawful and safe manner; and

  b)   they are aware of areas of legislation/regulation that affect their day-to-day work.

5.8.    A breach of the University’s compliance obligations may result in disciplinary and/or legal action.

Business continuity management means the identification of potential threats to the University, the impact those threats, if realised, might cause, and the management of those threats and impacts.

Compliance means meeting all of the University’s compliance obligations.

Compliance obligations means the requirements and commitments of state and federal legislation and regulation, mandatory and voluntary codes and standards, and commitments made by the University.

Compliance obligations register means a comprehensive list of the compliance obligations of all University functions and activities.

Critical incident/emergency means an occurrence that significantly disrupts the normal operation of the University and possibly jeopardises the health, safety, wellbeing or sustainability of the University community.

Effect means a deviation from the expected, either positive or negative.

Risk means the effect of uncertainty on objectives.

Risk management means the coordinated activities to direct and control the University with regard to risk.

Risk register means the comprehensive list that describes the type of risk and related characteristics, inherent and residual risk ratings, controls in place, control effectiveness, risk owners and identification of a business continuity plan in place.

Uncertainty means the state of understanding or knowledge of an event, the consequence or likelihood.

University Risk Register means the database used to store data on University strategic and operational risk.

Council

Executive Director, Legal & Risk and General Counsel

This policy will be reviewed by 24 August 2022.