Members Present:
Martin Pitt, Chair
Marie Mallon
Terry McGonigal
Chantelle Reynolds (Boardroom Apprentice)
John Turkington
Rodney Allen, Chief Operating Officer
Dorinnia Carville, Comptroller and Auditor General
In Attendance:
Patrick Barr, Director (Agenda item 2.2)
Louise Donnelly, Board Secretary
Brian O’Neill, Director of Corporate Services
Suzanne Walsh, Director (Agenda item 11)
The Chair welcomed members to the meeting noting this was the first Board meeting for Dorinnia Carville in her role as C&AG and also the first Board meeting for Terry McGonigal and Chantelle Reynolds.
Apologies
No apologies were noted.
Declaration of Conflicts of Interest
There were no issues declared by members.
Minutes of previous meeting
The Chair noted the minutes of the meeting held on 17 May 2022 were agreed by all parties concerned. The Matters Arising from the meeting were also noted as having been actioned.
- Committee Updates
Report from meeting of Audit and Risk Assurance Committee (ARAC)
John Turkington provided an update to members on the ARAC meeting held on 27 September 2022 noting specifically the following:
- Risk Management – ARAC noted additional risk triggers, existing controls and actions, along with the scoring of risks. A paper on Horizon Scanning was presented and discussed.
- IT Assurance – Members took assurance from the IT Assurance Statement presented.
- External Audit – ARAC discussed the annual leave accrual figures for staff.
Report from the meeting of Remuneration Committee
Marie Mallon advised the last Remuneration Committee meeting was held in June 2022 to finalise the approach to a pay award for 2022-23. A pay award was agreed with staff and was paid in July salaries. It was suggested that the Committee meet early in 2023 to consider the 2023-24 pay award.
2. Progress Reports
2.1 Management Information Report
Brian O’Neill provided an overview to members on the Management Information Report, advising this is an interactive performance tool used by the Senior Leadership Team (SLT) at monthly meetings to monitor key performance outturns for the public reporting and financial audit programmes. The Board took assurance from information presented in the report and the ongoing monitoring by SLT.
2.2 Public Reporting Programme
Patrick Barr joined the meeting and provided an update to members on the current position with regard to the Public Reporting Programme. Patrick provided a list of short and medium term actions proposed and discussion followed concerning the current and future resourcing of public reporting. The Board agreed resourcing was key to ensuring the consistent delivery of the public reporting programme within the appropriate timescales.
2.3 Backlog Accounts
Brian O’Neill updated members on the position regarding backlog accounts and advised this is monitored monthly by SLT. Members raised concern about the backlog but took assurance that SLT agreed at the September SLT meeting to particularly focus on substantively clearing the backlog by the end of December 2022.
3. Attendance Management Report
As requested at the May Advisory Board meeting Brian O’Neill provided an update on the following:
- NIAO average days absence sickness per employee
- Detailed breakdown of absences
- Trends in sickness absence
- Managing absences
- Wellbeing
Members noted and discussed the absence figures presented. A breakdown between long term and short term figures was requested for review at the next Advisory Board meeting.
Members were given assurance that NIAO has a policy in place and that attendance management is closely and regularly monitored by the Senior Leadership Team.
4. Corporate Report
Brian O’Neill provided the Board with an overview on the current position and RAG status with regard to Finance and IT, HR People and Organisational Development (OD), Business Support and Audit Quality.
Discussion followed on key areas:
Finance
- Revenue - Members noted the current budgetary position.
- Accommodation Project – Members were advised the project is complete with the snag list actively being addressed. The process of securing tenants is ongoing. The Committee congratulated the team for completing the project on time and within budget and to a high standard.
People and OD
- Recruitment - An update on ongoing recruitment exercises was provided. Discussion followed regarding current staff resourcing and the exceptionally challenging market affecting recruitment and retention.
- Performance Management Compliance – members noted the figures presented and took assurance that ongoing monitoring by SLT will ensure full compliance.
Business Support
- Complaints - Members noted the position concerning an ongoing complaint.
- Branding Project - The new NIAO brand was formally launched in September 2022.
- Survey of Audited Bodies –An overview report has been presented to staff and will be communicated to audited bodies. The report will be presented at the next Advisory Board meeting.
Members commended the team on the revised content and layout of the Corporate Report, all agreeing they found the RAG status very useful.
5. Business Transformation Programme (BTP) Update
Rodney Allen advised members that SLT has decided that now is an appropriate time to stocktake the overall BTP and consider a refreshed way forward. All outstanding milestones are to be advanced as far as possible by 31 December 2022 to allow a refocus and reshape for 2023 consolidating remaining actions into regular business. The Board endorsed this approach and noted a final report on BTP will be presented at the February Advisory Board meeting.
6. Senior Leadership Team - Terms of Reference (ToR)
Following consideration by the Senior Management Team (SMT) of the role and functions of both the Operational Management Team (OMT) and SMT, a decision has been made to review and re-shape the Office’s corporate governance structure by merging the two SMT and OMT functions into a Senior Leadership Team (SLT). Rodney Allen presented the revised SLT ToR to the Board for consideration and approval.
Members queried the quorum required for SLT meetings and if the C&AG or the COO had to be present to chair every meeting and also requested some emphasis on the importance of digitalisation in the TOR. Rodney agreed to address the queries and members were content the ToR could be endorsed and operated.
7. Update on 106 University Street
A paper summarising the accommodation project for 106 University Street was presented by Rodney Allen. The Board took assurance that the project has been delivered on time, within budget and to a high standard. Members noted the positive early user feedback, all agreeing that NIAO will continue benefitting from this modern fit for purpose building for many years to come. Members were pleased to note the new accommodation has already been used by a number of external organisations.
8. Environmental, Social and Governance
Brian O’Neill updated members on developments and progress in NIAO’s approach to addressing the issues concerning sustainability.
Members were advised two working groups have been established:
- The Internal Climate Change Programme Team, which has been raising awareness on sustainability in the Office and working on the calculation of NIAO’s emissions; and
• An external working group which will be developing the approach to the future audit of climate change programmes across the public sector.
The Board welcomed the proactive work and commitment by the office in this area.
9. Leadership Development Programme including vision and charter
As a result of a leadership development programme undertaken by senior management, a Leadership Charter has been developed to demonstrate commitment to staff on how the C&AG, Directors and Audit Managers are going to lead the Office going forward. The Board welcomed and endorsed the Charter presented. The Board also welcomed the refreshed vision for the organisation which was also an outcome from the programme.
10. Stakeholder Engagement
The C&AG provided an update to the Board on how she has been engaging with internal members of staff and external stakeholders since her appointment. The Board welcomed and fully supported the C&AG in this important part of her role.
11. Financial Audit Manual, ISA 315 and review of Financial Process (RoFP)
Suzanne Walsh joined the meeting and provided an update to members on Financial Audit Manual, ISA 315 and review of Financial Process (RoFP). Discussion followed concerning staff resourcing for the work involved with all three initiatives. Members were advised that this was discussed at the September SLT and will continue to be monitored by them on a monthly basis. Members requested an update for the February Advisory Board meeting.
12. Date of Next meeting
6 February 2023 @ 10am