Financial Statements 2017 Financial Statements 2017 | Page 49

Risk: Contractor or repairs service/failure to maintain existing stock to the required standard (Consumer Standard) Key controls and risk reduction include: Regular contract review meetings. Compliance reporting data. Internal monitoring information. KPI data and analytics. Customer satisfaction data. Contract improvement notice controls and processes. Stock condition surveys. Process audit to verify contractor void performance. 1-5 6-10 11-16 Residual risk score 2017 15 Residual risk score 2016 15 16+ Risk: Financial performance is adversely affected by rent reductions Key controls and risk reduction include: Early and ongoing financial modelling. Revision of key corporate priorities and objectives. Board approved income generation and cost reduction strategies. Ongoing review against efficiency plans including Board reporting. Efficiencies embedded in budget and business plan. Unit cost analysis data. 1-5 6-10 11-16 Residual risk score 2017 15 Residual risk score 2016 15 16+ Risk: CQC/OFSTED/Regulated Services ratings impact on reputation and ability to win new business Key controls and risk reduction include: Close working relations with all regulatory bodies. Transparent approach to reporting. Action plans to address concerns. Quality management systems. Regulatory returns completed as required. Inspection compliance reporting to regulatory bodies. 1-5 6-10 11-16 Residual risk score 2017 15 Residual risk score 2016 15 16+ Risk: Housing services - Bedroom tax, benefit cap & Local Housing Allowance - arrears increase as a result of pressure on income collection Key controls and risk reduction include: Arrears KPI reporting to Board. Embedded policies and procedures in place. Internal audit review of compliance with policies and procedures. Resources redirected accordingly. Budgetary controls. Increased Local Authority & DWP engagement. Customer support from Accord Money Advisors supported by customer personal plans. Customer insight & intelligence. Board reporting on the impact of welfare reforms. 1-5 6-10 11-16 Residual risk score 2017 12 Residual risk score 2016 12 16+ Financial Statements 2017 47