Inland Revenue's governance system leads and guides us, helping us make sure we're doing the right things in the right way and at the right time. The system ensures we successfully balance competing priorities, take up the right opportunities, and deliver for government and customers in the face of risks and challenges.
This year, we made some updates to ensure our governance is fit for purpose for our post-transformation world and focused on what's next for Inland Revenue. This includes embedding and leveraging our transformation assets and capabilities for customers and government. The governance system is made up of a board and four committees. The members are a mix of our executive and senior leaders.
Inland Revenue is moving away from separately funded, centrally managed programmes and projects to a portfolio of prioritised initiatives, large and small, technology and non-technology, which are managed by business groups. We've evolved our governance bodies to enable this way of delivering change while still providing robust oversight and guidance where needed.
A Risk and Assurance Committee provides independent advice to our Commissioner on risk management and our system of internal controls. The members are external and independent, with a mix of skills in assurance, financial management, risk management and organisational change. The members for 2021–22 were Michael Ahie (Chair), Sandi Beatie QSO, Melanie Templeton, Mark Darrow, Karen Jordan and Mary Craig, Inland Revenue's representative.
Inland Revenue takes a holistic and integrated view of all our risk and assurance-related activities. Our Strategic and Investment Board oversees risk management, and other governance bodies monitor specific areas of risk and performance. Our Enterprise Risk Management Framework is based on international standards to identify and manage risks.
We regularly discuss and update these risks, alongside the triggers that could cause each risk to eventuate, the consequences that could result, and the controls in place to reduce the likelihood of the risk occurring and the impacts if it did.
Inland Revenue is managing seven enterprise risks. These are strategic, apply to our whole organisation and managed by our Executive Leadership Team. We have multiple controls in place to manage these risks.
- Failure to deliver for customers or government priorities.
- The levels of voluntary compliance are reduced to a point of having a material impact on revenue collection for the Crown.
- Unable to ensure continuity of business services.
- Insufficient people capability and capacity to deliver outcomes.
- Our approach to data and information governance is sub-optimal.
- Unexpected negative stakeholder reaction to change.
- Failure to provide appropriate stewardship of the tax and social policy system.
Our governance system has been refocused to help guide and manage change as we move on from transformation.
- Commissioner and Chief Executive of Inland Revenue
- The Commissioner (CIR) has a dual role as our governor and manager. The role has statutory independence from Ministers, which ensures the CIR can carry out their duties independently.
- Strategic and Investment Board (SIB)
- Provides overall governance and strategic direction for Inland Revenue. This means deciding what we want to achieve, by when and what is important to us along the way.
| Commissioner and Chief Executive of Inland Revenue | |||
|---|---|---|---|
| Strategic and Investment Board | Risk and Assurance Committee | ||
| Technical Governance Committee | Portfolio Governance Committee | Data and Information Governance Authority | Enterprise Priorities and Performance Committee |
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Working groups, networked teams and non-executive level committees Inland Revenue people work across functions and business groups to prioritise, problem solve and drive work programmes. |
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| Technical Governance Committee Ensures that Inland Revenue's legal/technical business and significant tax technical issues are well managed and coordinated. |
Portfolio Governance Committee Governs our change initiatives to help ensure we can achieve our strategic direction as set out by SIB. Makes key strategic decisions about our initiatives, manages their risks, and guides us to keep initiatives focused on our customers. |
Data and Information Governance Authority Ensures we are accountable for how we use data and information. Also ensures that the way we use data and information is effective and transparent. |
Enterprise Priorities and Performance Committee Governs our performance and organisational health, which helps ensure we can achieve our strategic direction. Also ensures we prioritise well so we can deliver for our customers and for the government. |