| The management of local government units today resembles a slalom |
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said prof. Michał Kulesza – one goes with full speed, avoiding poles. On June 24th inst. a conference on „Risk management in local government units – a tool supporting a safe and efficient functioning” was held in Warsaw. The conference was organized by the Insurance Monitoring and Risk Management Institute (IZMUiZR) with the cooperation of Erigo Risk Management Ltd. The conference was attended by administrative officers, mayors, but also treasurers, internal auditors and representatives of local governments’ infrastructure departments from all over Poland.
Lecturers threw light on the essence of risk management and the level of the development of this domain in Western Europe and North America. Afterwards, the issues of risk were discussed as an element of various types of business conducted by local government units. A considerable part of the conference was dedicated to the risk connected with securing and utilizing EU funds and to public-private partnerships, still regarded by local government representatives with suspicion and reserve. An important subject was risk management in public orders’ procedures. The role of internal auditors as an important support for units’ managers in risk management processes was stressed. Auditors attending the conference pointed out the necessity of strengthening the independence of internal auditors and the rank of this post. Employing internal auditors part-time – a practice in the majority of communes – is fiction. Managers in local government units, who notice the weight of risk management, appreciate also the role of external audits conducted by independent consulting companies. Justyna Grabkowska, Chairman of the Board in IMUiZR, underlined the fact that the question of risk management in local government units should become a standard. Local governments are condemned to investments. Meeting the needs and expectations of local government environment half-way, the Insurance Monitoring and Risk Management Institute set up the Academy of Risk Management in Local Government Units – a big educational project that will start in the autumn.
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