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Committees

Risk Oversight Task Force

Terms of Reference - as approved by the Audit and Finance Committee (19 May 2015)

1. Introduction

This document provides the Terms of Reference (ToR) for the ROTF.

The ROTF has commenced work on the basis of these ToR. They reflect more informal discussions and agreement with the Audit & Finance Committee. Formally, these ToR need to be approved by the Audit and Finance Committee. This formal process should be completed as soon as practical (and certainly prior to completion of the project).

2. Terms of Reference for IAA Risk Oversight Task Force (ROTF)

2.1 Context

The current (2011) Terms of Reference of the Audit & Finance Committee Includes:

4.2.2.(e) The Audit and Finance Committee shall be responsible for oversight of the IAA's risk management, including (i) identifying key risks to the IAA, (ii) quantifying risk exposures, (iii)assisting Council in defining risk tolerance, (iv) recommending risk management actions, and (v) providing risk information needed to support strategic objectives and decisions. The Audit and Finance Committee shall produce an annual report to Council on its oversight of risk management.

2.2 Risks to be considered

Risks to be considered by the ROTF are those that are relevant to the IAA as an organization.

Relevant stakeholders of the IAA will be surveyed to assist the identification of risks relevant to the IAA. The survey will include, but not necessarily be limited to, IAA Council, IAA Sections, IAA member associations, and the IAA Secretariat.

2.3 Risk management strategy

The ROTF will review existing IAA risk management strategies and how they are promulgated to and from current committees and the Secretariat. It will comment on them and provide recommendations for change.

2.4 Internal processes and controls

The ROTF will review existing IAA risk management internal processes and controls and how they are promulgated to and from current committees and the Secretariat. It will comment on them and provide recommendations for change.

2.5 Risk Register

The ROTF will review the existing IAA risk register, for both current committees and the Secretariat. It will comment on them and provide recommendations for change. It will update them appropriately and reflect any additional material risks identified.

2.6 Risk reporting and risk maps

The ROTF will review existing IAA risk reporting and risk maps and how they are promulgated to and from Council and current committees and the Secretariat. It will comment on them and provide recommendations for change. It will update them appropriately and reflect any additional material risks identified.

2.7 IAA Risk Appetite and Tolerance Statement

The ROTF will draft an initial IAA Risk Appetite and Tolerance Statement for the purposes of this Task Force. This is required to provide a basis against which risks to the IAA may be assessed. See also items 2.2 and 2.3.

2.8 Constraints and Limitations

Cost: No significant expense outlay or risk modelling is expected to be undertaken.

IAA Risk Appetite and Tolerance Statement: This Statement, ultimately, needs to be adopted and signed off by the Audit and Finance Committee.

2.9 Term and termination

Term: The ROTF has a limited term and is not intended to have an ongoing role or existence.

Termination: On delivery of the final ROTF report to the Audit and Finance Committee