Understanding the risk environment

Good practice guidance for WA public authorities

The government sector is wide ranging, creating unique integrity risks that need to be identified, assessed and managed.

The authority’s approach to identifying risks associated with gifts, benefits and hospitality should be informed by a thorough understanding of its risk environment, functions (work performed by officers and their level of contact with stakeholders, clients and members of the community) and relevant legislation and government policy.

Common risks that can arise if officers accept gifts, benefits and hospitality that should be considered include:

  • introducing a conflict of interest and calling into question an officer’s ability to make fair and impartial decisions
  • encouraging officers to ‘return the favour’
  • creating a culture of entitlement where personal interests are prioritised
  • signalling to clients, suppliers and stakeholders this is ‘how things get done’.

Identifying and assessing risks

Consider circumstances where officers may be more likely to be offered, or have the opportunity to accept, gifts, benefits and hospitality.
Think about officers in high risk positions, functions and activities and those who have the most contact with clients, suppliers and stakeholders.

Consider circumstances where clients, suppliers and stakeholders may be more likely to offer gifts, benefits and hospitality.
Think about which clients, suppliers and stakeholders rely most on the authority’s decisions as they may seek to influence favourable outcomes. They may include people and organisations whose livelihoods, or those of their family members or associates, depend on the authority’s decisions.

Use data and information held by the authority to inform the risk assessment.
This could include trends identified from the authority’s gifts, benefits and hospitality declarations and register such as repeated offers from the same source; complaints and reports made about non-compliance with ethical codes and policy; and disciplinary cases undertaken.

Consider the potential consequences for the authority and officer if an offer is accepted.
Consequences could include reputational damage, disciplinary action, legal action and allegations of serious misconduct or corruption.

Use resources from integrity agencies to inform risk identification, assessment and possible management strategies.
For example, the Public Sector Commission, Corruption and Crime Commission and Office of the Auditor General.

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