Fundamentals of Risk Management

Risk governance
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TAbLE 
28.2
Nolan principles of public life
1 Selflessness
Holders of public office should act solely in terms of the public interest and 
should not seek benefits for themselves, their family or friends.
2 integrity
Holders of public office should not place themselves under any financial or other 
obligation to outside individuals or organizations.
3 Objectivity
In carrying out public business, the holders of public office should make choices 
on merit.
4 accountability
Holders of public office are accountable for their decisions and actions to the 
public and must submit themselves to appropriate scrutiny.
5 Openness
Holders of public office should be as open as possible about all the decisions and 
actions that they take and give reasons for their decisions.
6 Honesty
Holders of public office have a duty to declare any private interests relating to 
their public duties and to take steps to resolve any conflicts.
7 leadership
Holders of public office should promote and support these principles by 
leadership and example.
In government agencies, the driving principles include value for money and avoidance 
of inappropriate behaviour. Corporate governance is often seen by government 
agencies as establishing a framework of control that supports innovation, integrity 
and accountability and encourages good management throughout the organization.
Within the corporate governance framework, responsibilities of individual members 
of staff are frequently specified. The reporting structure for risk issues is also outlined. 
Linking risk management efforts to corporate governance can also enable specific 
areas of risk to be identified for particular attention. Typically, these will include 
value for money, business continuity, fraud prevention and IT security assurance. 
Underpinning corporate governance activities within a government department, 
agency or authority will be the principles of public life, often referred to as the Nolan 
principles. These principles are set out in Table 28.2.

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