Managing in a changeable operating environment
The Ministry manages a broad range of risks that can affect our business, including organisational risks arising from our strategic direction and our operating environment. The Ministry’s risk approach is implemented through business processes such as strategy and priority setting, policy advice, operational planning, monitoring and reporting, and project management.
Regular reviews of the Ministry’s risk management framework ensure that risks are identified and managed on an ongoing basis. Organisational risks identified through this process are incorporated into the Ministry’s development goals under the Shaping our Future programme.
The oversight of risks is the responsibility of the Ministry Leadership Team, which receives monthly reports on any work programme risks. Progress on the work programme is regularly reviewed through the weekly meeting of the Ministry Leadership Team, the Transport Managers’ Group and the Minister of Transport. Advice on risk management is also provided by the Ministry’s Performance and Risk Advisory Group.
Our major risk is associated with a failure to deliver on our core role, and to not be responsive to changing demands and the constrained fiscal environment. The previous section describing Shaping our Future is our primary mitigation strategy — to build a flexible, high-performing organisation.
The Ministry has in place emergency management plans and a business continuity plan which can be activated if there is a building, local, regional or national emergency. In the event of a national emergency we play a coordination role with transport agencies, providing strategic leadership to the sector, ensuring the sector can respond quickly and effectively in an emergency. The Ministry manages this risk by maintaining the Transport National Emergency Response Plan which governs the work of the Transport Response Team (TRT). The TRT, managed by the Ministry, ensures that the Ministry and transport agencies provide coordinated advice in the whole-of-government response to a national emergency. This plan continues to develop, incorporating lessons learned from emergency exercises and events.
Departmental capital and asset management intentions
Each year the Ministry prepares a capital programme to ensure the Ministry has the infrastructure required to fulfil its functions. The draft programme is subject to approval by management. The assets of the Ministry and the capital programme are detailed briefly below.
Property, plant and equipment
The Ministry of Transport operates from three offices, with the main site, and the majority of the staff, located in Wellington. All of its premises are leased, so the majority of the assets are leasehold improvements, computer equipment, fixtures and fittings.
The Ministry has no plans to incur significant leasehold improvement expenditure in the next 4 years. The Ministry moved into its Wellington office in April 2006, its Auckland office in July 2005 and its Christchurch office in May 2008.
The Ministry has a 3–5 year rolling replacement programme for computer equipment.
Milford Sound/Piopiotahi Aerodrome
The Ministry owns the infrastructure at Milford Sound/ Piopiotahi Aerodrome.
Fixtures and fittings
All of the Ministry’s offices are fully equipped, but there is an ongoing need to make small purchases of replacement or additional equipment.
The Ministry has an investment in its own operational systems. A programme is in place to ensure systems continue to be fit for purpose.
Proposed capital programme
|2009/10 $000||2010/211 $000||2011/12 $000||2012/13 $000|
|Property, plant and equipment||500||500||500||500|
|Intangible assets - software||300||300||300||300|