Originally posted on 17 Dec 2013

More than a third of public sector organisations fear they do not have effective mechanisms in place to manage risk, which could leave them vulnerable to major financial and operational failures, research has revealed in an article in Public Finance on 16 December, here.

A poll of 93 heads of internal audit in both Whitehall and local government found that 42% in central government and 37% in councils rated their organisation’s awareness of risk as ‘in the early stages’, ‘in development’ or even ‘non-existent’.

The Chartered Institute of Internal Auditors, which undertook the survey, warned this lack of expertise could lead to service problems in a large proportion of the public sector. The report highlighted that effective internal audit could help tackle poor management, such as occurred at Mid Staffordshire NHS trust, and improve poor governance, which led to the botched West Coast mainline franchise award.

The institute stated it had worked with CIPFA and other internal audit standard setters in the public sector to launch the first internal audit standards to apply across the whole of the public sector earlier this year.

All of this may be small fry compared to the risk from poor cybersecurity measures which I wrote about on 16 December 2013: It’s time for professional firms to step up and tackle “the cybersecurity problem”, view here.

Martin Pollins

Martin Pollins

Managing Director at Bizezia
Martin Pollins is a Chartered Accountant with wide experience in corporate finance and business management. He holds a number of directorships and has served on the boards of several companies, including those listed on the London Stock Exchange, AIM and OFEX.

He was a Council member of the Institute of Chartered Accountants in England and Wales from 1988 to 1996.

Martin Pollins ran his own firm based in Sussex and was the first Accountancy firm in the UK to advertise on television and Martin went on to create and launch the CharterGroup Partnership (the UK's first Accountancy network) and then LawGroup UK (one of the largest networks of lawyers in the country).

Martin started work on the Bizezia concept in 1996, developing the broad range of information resources and products over the past 18 years.
Martin Pollins