Statement of Intent - Managing in a changing environment
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Managing in a changing environment
New Zealanders have the right to trust the Ministry and to have confidence in the way it operates. Given the Ministry's size, and the breadth of its policy and delivery roles, risk management is an essential part of everyday business. Fraud and abuse of the benefit system, both internal and external, is a key risk for the Ministry.
We have well-established and effective performance and risk management processes, headed by the Chief Executive and Leadership Team. Our approach is delivered through an extensive programme of risk management activity, incorporating strategic risk reviews and risk stock-takes that assess the risk maturity levels of individual business groups.The full impact of the recession on the Ministry cannot be predicted. We anticipate a continued growth in the number of new clients. We know that greater client numbers, combined with the impact of the recession, will be likely to increase the number of attempted frauds. Our approach to risk management is even more important under these conditions.
How we manage fraud
We take an intelligence-led approach to benefit fraud and abuse. This means that we scan the environment for emerging threats, use risk profiles to identify areas of vulnerability, and analyse the results of our fraud investigations for future work. This allows us to efficiently and effectively target clients who are the most likely to commit benefit fraud and abuse. This approach addresses both the changing patterns of fraud and abuse in the system, and emerging threats.
Zero tolerance to fraud means that any deliberate fraud will not be tolerated. In every case where a staff member has been found, after due process, to have committed internal fraud they will be dismissed. We actively recover all overpayments resulting from fraud and abuse, and prosecute people where there is evidence of deliberate, planned, and premeditated fraud.
Our leadership and governance
Once a month, the Chief Executive chairs a meeting with the Leadership Team and key senior managers to discuss organisational performance and financial management. A separate monthly meeting convenes to manage Strategic and Business matters.
The Audit Committee and a Value for Money Advisory Board, operating independently of the Leadership Team, provide expert advice from people outside the Ministry. Both are chaired independently by individuals with extensive private sector business experience. The Audit Committee includes two other external members, and the Value for Money Advisory Board includes private sector experts and representatives from the Treasury. Both governance committees operate with a clear mandate from the Chief Executive.
We will continue to strengthen and enhance our practices and procedures to build a risk-smart culture to maintain the public's confidence in the Ministry.
