GO ff” RELEASED REPUBLIC OF THE PHILIPPINES NATIONAL IRRIGATION ADMINISTRATIO| CENTRAL OFFICE MEMORANDUM CIRCULAR TO + THE SENIOR DEPUTY ADMINISTRATOR, DEPUTY ADMINISTRATORS, DEPARTMENT MANAGERS / REGIONAL MANAGERS, DIVISION MANAGERS / IRRIGATION MANAGEMENT. OFFICE MANAGERS, AND ALL OTHER CONCERNED PERSONNEL. FROM; THE ADMINISTRATOR ‘This Agency SUBJECT : RISK MANAGEMENT PROCEDURE REVISION NO. 03 ‘The agency has been recommended for continuing validity of our 1S0.9001:2015 Certification, As a Certified Agency, NIA is required to maintain and consistently comply with our Quality Management System and the ISO 9001:2015 Standard. In line with this, the Risk Management Procedure is continually being enhanced to address the opportunities for improvement raised during the first surveillance audit. This will enable us to further improve the actions to address risks and opportunities and thus, drive the agency to be more proactive and allow us to meet our objectives. The Central Office Departments, Regional Offices, or Head Offices, Division Offices (MARIS and UPRIIS), Irrigation Management Offices (IMOs), are required to update their Organizational Level Risks and Opportunities Registries while all divisions are required to submit Process Level Risks and Opportunities Registries semi-annually and as needed. All offices are directed to comply and follow the procedure All issuances or parts thereof inconsistent with this Memorandum Circular are hereby repealed and modified accordingly. National Government Center, EOSA, Diliman, Quezon City, P Trunk ine Nos. (02) 8 9296071 wo 78 Telater No. (02) 8 928 3 Webste vi TIN 000816845 {04 Bi Facebook sir facebook china ssNATIONAL IRRIGATION Document ADMINISTRATION eevisioniaaeaae: Issue Date: RISK MANAGEMENT PROCEDURE Page(s) PURPOSE: 1.1 To establish, document, and maintain a procedure for risk management of the National Irrigation Administration (NIA); 1.2 To define the system for assessment, which includes identification, analysis, and evaluation, and treatment of risks and opportunities 2. SCOPE: 2.1 This proceduré applies to the quality management system (QMS) of NIA 3, PROCEDURE DETAILS Based on ISO 9001:2015, Clause 6.1.1, “When planning for the quality management system, the organization shall consider the issues referred to in 4.1 and the requirements referred to in 4.2 and determine the risks and opportunities that need to be addressed to: @) Give assurance that the quality management system can achieve its intended results; b) Enhance dgsirable effects; ©) Prevent, orreduce, undesired effects; d) Achieve improvement.” i ‘The Risk Managerfjent Principles shall be applied in the identification of issues. The main thrust of our Risk’Management is to Create & Protect the value of our service to the farmer beneficiaries. ‘The Risk Management Principles (150 31000: 2018 section 4, Principles) are as follows: a) Integrated; Risk management is an integral part of all organizational activities within NIA, +b) Structured and Comprehensive; A structured and comprehensive approach to risk management contributes to consistent and comparable results. This procedure describes the methods to be followed to assure consistency. ‘ ©) Customized; The risk management framework and processes are customizéd and proportionate to the organization’s external and internal context related to its objectives d) Inclusive; Appropriate and timely involvement of stakeholders enables their knowledge, views and perceptions to be considered. This results in improved awareness and informed risk management. de : NIA-QPR-2019-0005 _|Document Code : NIA-QPR-2019-0005 NATIONAL IRRIGATION en se ADMINISTRATION RISK MANAGEMENT PROCEDURE @) Dynamic; Risks can emerge, change or disappear as an organization's external and internal context changes. Risk management anticipates, detects, acknowledges and responds to those changes and events in an appropriate and timely manner. f). Best available information; The inputs to risk management are based on historical and current information, as well as on future expectations. Risk management explicitly takes into account any limitations and uncertainties associated with such information and expectations. Information should be timely, clear and available to relevant stakeholders. 9) Human and cultural factors; Human behavior and culture significantly influence all aspects of risk management at each level and stage. ‘h) Continual improvement; Risk management is continually improved through learning and experience, 3.1 The Organizational Level Risks and Opportunities Registries refer to the registries prepared at different levels as IMO, Regions, Department, and NIA as a whole. Organizational level Risks and Opportunities directly affects the Quality Objectives and those resulting from the activities in connection with Relevant Interested Parties. 3.2 Process level Risks and Opportunities are those that directly affect the individual processes or sub-processes of the division/section/unit. 3.3 Before identifying the relevant organizational level risks and opportunities, NIA considers the issues and requirements of the relevant interested parties (RIPs) through the following forms: 1, Form 19 - Political, Economic, Social, Technological, Legal, Environmental, and Security (PESTLES) Analysis; 2. Form 20 ~ Strengths, Weaknesses, Opportunities, and Threats (SWOT) Analysis; and ‘i 3. Form 21 - Relevant Interested Parties (RIPs) Matrix, i 3.4 PESTLES ANALYSIS. The issues to be identified in the Organizational Level ROR using PESTLES analysis should be issues affecting objectives and issues arising from RIPs issues to be identified in the Process Level ROR should be issues arising from performing the different processes within the Department/Division/IMO. The issues identified in the PESTLES may either be positive (which may become opportunities) or negative (which may become risks). The analysis should be indicated & assessed in the Risks and Opportunities Registries (RORs). The procedure for filling out Form 19 ~ PESTLES Analysis is shown in Table 1Table 1. Procedure for Filling Out Fo: Particular RISK MANAGEMENT PROCEDURE NATIONAL IRRIGATION a ADMINISTRATION Revision: 03. [Issue Date 31 March 2021 Description | Political Economic Legal community or Indigenous Peoples. These factors determine the extent to which the government may influence the office. These include political , leadership, and its thrusts and priorities, and government regulations. | Ex. nat limited ta; Change(s) in the direction of the Executive Branch, | preferences of Congress (Senate & House of Representatives) during | budget hearings, recommendations/instructions from national agencies (ex. NEDA, DA, 3"-party consulting agencies like UPLB). Politically-driven programs or recommendations from local representatives (ex. Congressmen, Prov. Gov., Mayor) | These are determinants of the performance of the economy that directly impact the office and have resonating long term effects. These include factors, like inflation, interest rates, economic growth, unemployment rate, policies, and the business cycle followed in the country. Ex. not limited to; Approved budget for the agency & downloaded to the Regional Offices, income generating projects not related to irrigation. Funding from international partners (ex. JICA, KOICA) and | | other NGOs or through Public-Private Partnership __| | These pertain to customer perception and demographics, cultural limitations, ethical issues, lifestyle attitude, education and other social factors. Ex. not limited to; Farmers’ Satisfaction Survey conducted by 3- party, complaints from Hotline 8888, feedback whether positive or negative received from official emails to the C.0. & Regional Offices /UPRIIS/MARIIS. May also be socio-cultural relations with the These factors pertain to innovations in technology that may affect | the operations of the office. These include technological advancements, life cycle of technologies, the role of the internet, and the spending on technology research by the government. | Ex, not limited to; Innovations in irrigations systems benchmarked from other countries or from private organizations with expertise in irrigation systems. This may also be commercially-available technologies that may be applied by NIA to improve planning, implementation & validation ot _ These factors pertain to certain laws and regulatory issuances that necessitate compliance from the office, These include civil services rules and regulation, health and safety laws, consumer protection Jaws and copyrights, patent laws, and other similar issuances. Ex. not limited to; Legislation directly related to the mandate of NIA like RA. 10969, R.A. 7160, E.P.LRA, Law, P.A.l.M. Corporation, P.D.: NIA-QPR-201 03 NATIONAL IRRIGATION ADMINISTRATION \ Issue Date RISK MANAGEMENT PROCEDURE [gets 40f19 ‘cular | Table 1. Procedure fc ESTLES Particular 1096 Building Code of the Philippines, app Standards (PNS) pertaining to construction materials, Inter-Agency | | Task Force on Emerging Infectious Diseases. __ Environmental | These factors include all those that influence or are determined by the surrounding environment. These consider factors, such as | changes in weather and climate, pollution, waste management, and use of green or eco-friendly products and practices, Ex, The external environmental impact that may directly affect the operations of NIA's irrigation systems, not limited to ex. drought, ‘extreme rainfall, dwindling water supply. | The environmental impact of our projects which may be complementary or adverse to existing laws protecting our | | environment, not limited to; P.D. 1586 Environmental Impact | Assessment, RA. 9275 Clean Water Act, RA. 8749 Clean Air Act, R.A. 9003 Solid Waste Segregation Act, Enhanced National Greening ____| Program and other Department Administrative Orders of the DENR. ‘These factors pertain to the overall protection of an organization from ali forms of attack or other danger. These include concerns on |'war, terrorism, and cybersecurity issues, such as phishing, viruses, | | and malwares. 1 Ex. not limited to; cyber-hacking into our computer system servers, Occupational or Construction Safety & Health Standards, Pandemic | situation, Municipal / Provincial / Regionat / National disasters ____| affecting a NIA office, PNP-SOSIA for security guards, 3.5SWOT ANALYSIS. The issues to be identified in the Organizational Level ROR using SWOT analysis should be issues affecting objectives agd issues arising from RIPs while issues to be identified in the Process Level ROR “fe be issues arising from performing the different processes within the Divisi he i§sues identified in the SWOT analysis should be indicated & assessed in the Risks and Opportunities Registries (RORs). The procedure for filling out Form 20 - SWOT Analysis is shown in Table 2. : 31 March 2021~ ee a [Decne ode NIA-QPR-2019- ons ADMINISTRATION Revidion 08 Issue Date 31 March 2021 | RISK MANAGEMENT PROCEDURE | pg0(5) 5 of 19 | 1 Description Guide Strengths | Strengths are positive internal __| Indicate the strengths and | characteristics that the office weaknesses of the office in exploit to achieve its strategic _| consideration, but not limited to, _________| performance goals. values, culture, knowledge, and [Weaknesses | Weaknesses are internal performance of the office (ISO characteristics that can inhibit or restrict the performance of the office, Opportunities of the external environment that 9001:2015, Clause 4.1, Note 3). e characteristics | In threats of the office in | have the potential tohelp the | consideration, but not limited to, office achieve or exceed its issues arising from Legal, __| strategic goals. Technological, Competitive, | Threats | Threats are characteristics of the | Market, Cultural, Social, and external environment that may | Economic, whether international, prevent the organization from _| national, regional or local (ISO achieving its strategic goals. |9001:2015,Clause 4.1, Note 2). | 3.6 RELEVANT INTERESTED PARTIES (RIPs). Based on the issues identified through Forms 19 and 20, the respective RIPs should be listed in Form 21 ~ RIPs Matrix. The procedure for filling out Form 21 - RIPs Matrix is shown in Table 3. dure for Filling Out the Form 21 - RIPs Matrix | Number | & umn Name Desa | (@) | Relevant | This refers to stakeholders, which | RIPs, internal Parties (RIPs) | that can affect, be affected by, or and external, in perceive itself to be affected by the RIPs Matrix. | processes and commitments “Requirements of RIPs fom ‘This refers to the needs and N/A expectations of the RIPs from NIA. Es may be a person or an organization NIA _ at @ | How the ‘This refers to the activities that shall | requirements | be undergone to meet necessary i “requirements of RIPs from NIA. This refers to the issue/s originating | N/A. from RIPs. rem The issues identified from in the RIPs Matrix should be indicated & assessed in the Risks and Opportunities Registries (RORS).- [Document Code NIA-QPR-2019-0005 | NATIONAL IRRIGATION = anaan : | ADMINISTRATION [Revision : | 103 : 31 March 2021 Issue Date : ieee Mareh 2021eeea| Page(s) 60f19 | RISK MANAGEMENT PROCEDURE 3.7 The procedure for filling out the Organizational Level Risks and Opportunities Registries and Process Level Risks and Opportunities Registries is shown in Table 4. Table 4, Procedure in filling out Form 22 - Organizational Level Risks Registry | and Form 23 Organizational Level Opportunities Registry and Process Level | Risks and Process Level Risks and Opportunities Registr _ aes Column Name Description | : A. Organizational Level Risks and Opportunities Registry |G) [issue/s Issues can include | Affecting positive or negative | Objective factors or conditions for : consideration (IS0.9001:2015 Clause | a | | | 4.1, Note 1). This refers to the issues ‘ that can affect the desired | ‘ result for the identified processes within the | control of NIA. i or i t | Issue/s Arising | This refers to the issues | The issues identified should | From RIPs originating from RIPs. be indicated and assessed in (Risk Registry) the Risks and Opportunities Registry Forms 22 and 23. Positive : | Issue/s All positive issues | (Opportunity | identified in SWOT and ‘ | Registry) PESTLE a semana tate Level Risks and Opportunities Registry [an [as] (1) [Issue/s Arising | This refers to the issues _ | The issubs identified should from Processes | arising from performing | be indicated and assessed in | the processes of the the Risks and Opportunities | | Division Registry Forms 11 and 12. |~ [Document Code : NIA-QPR-2019-0005 NATIONAL IRRIGATION a Sarasin ADMINISTRATION {Revision _: 03 | Issue Date 31 March 2021 _ _| RISK MANAGEMENT PROCEDURE | page(s) :70f19 | | (@) [Cause/sof | This refers to the cause/s | Refer to the issues identified | Issue/s of the identified issues, | through Forms 19 and 20. | | (Risk Registry) | The issues should be | | relevant to its corresponding quality objective. Source/sof | Source has the potential Issue/s to give rise to | (Opportunity | opportunities. A source is | Registry) where an opportunity — | originates. Potential sources include at least the following: | commercial relationships and obligations, legal expectations and | | liabilities, economic shifts and circumstances, technological innovations and upheavals, political changes and trends, natural events and forces, human frailties and tendencies, and management ‘ shortcomings and excesses. All of these things could generate an opportunity that canbe | explored /exploited. | 1S0 31000:2018 Clause | 3.4 states that a risk | source is an “element which alone or in combination has the potential to give rise to _______L risk" (or opportunities) _|__Document Code : NIA-QPR-2019-00 NATIONAL IRRIGATION oeumene Code | NA-GPR 2019-4 ADMINISTRATION EEE Issue Date 31 March 2021 Page(s) 8 of 19 | Risk Assessment - This refers to the overall process of risk identification, analysis, and evaluation, Risk Assessment should be conducted systematically, iteratively, and collaboratively drawing on the knowledge and views of stakeholders. It should use | the best available information, supplemented by further inquiry as necessary. @) [Risk ~~] This refers to the effect of | The risk statement should (Risks uncertainty on objectives, | not be mere negation of the Registry) ‘The risk is what may or _| identified objective or as the | may not happen asa result of a certain issue. mpact as a result of the risk. | Opportunity | Opportunities are Opportunities can lead to (Opportunities | potential enhancement or | adoption of new practices, Registry) positive impact that could | launching new services, | improve the NIA’s building partnerships, using performance and meet its | new technology. objectives. | E | Opportunities may arise | Refer to Forms 19 and 20 for | from addressing a risk. | the PESTLES and SWOT fo | Analysis. ee (4) Impact * This refers to the Assign the applicable potential consequence of | numerical value, ranging the risk to the issues from 1 to'5. Refer to Table 5. | affecting objectives or _ rising from RI | () | Likelihood | This refers to the ‘Assign the applicable probability of the risk. | numerical value, ranging 7 1 a from 1 to 5. Refer to Table 6. | (6) Risk/ This refers to the product | Multiply the numerical | Opportunity of the numerical values of | values of impact (4) and Rating impact and likelihood. likelihood (5). Refer to Table | [Risk7 [This refers to the level of | Indicate whether Low, | Opportunity | the risk. Medium, High, or Severe. Level” 7 Refer to Table 6. (8) | Previous Risk/ | ‘This refers to the N/A | Opportunity | previous revision’s Rating and risk/opportunity rating Level | and levNATIONAL IRRIGATION ADMINISTRATION j beeen NIA-QPR-2019-0005 _ | RISK MANAGEMENT PROCEDURE Risk Treatment - The purpose of risk treatment is to select and implement options for | addressing the risk _ (9) ] Action Plan | This refers to the details of | The office shall determine & the plan of activities that | establish or strengthen all shall be conducted in _| possible action/s or activities | order to address the necessary to address or cause of the issues/risks. | eliminate the cause/s of | issues/risks, | The action plans shall be | stated as follows (cl. 6.2 of | Review your Operations / 1809001:2015); Desk Manuals & + WHAT must be done | Memorandum Circulars to | | & HOW it will be done | see whether the Action Plans = WHAT RESOURCES | you intend to establish are | | will be required already indicated. Action | - WHO will be | plans must be over & above RESPONSIBLE the existing procedures. ~ HOW the results will | be EVALUATED, The actions must not yet be | : which will be present in any Operations indicated in the or Desk manual or in any REMARKS column | Memorandum Circular. IF (13) | the action plans are | already existing but still | | The actions shall be medium to extreme identified and stated issues/risks still prevail, according to priority & | THEN verify whether the doability. existing actions are consistently being done or not. The rationale is IF the | procedures are consistently | implemented & monitored, | THEN there should not be | | any medium to extreme | —_ _ issue/risk : (10) Start Date This refers to the start | Month and Year date of the activities | | listed in the proposed __| action plan (9). (a) [Ende This refers to the end Month and Year date of the activities listed in the proposed __ iL action plan (9). _ (12) | Status of This refers to th ‘The status should be state Action of action/s undertaken to | ina specific manner. The | address the risk. status should answer who | did the action and how wasNATIONAL IRRIGATION ADMINISTRATION RISK MANAGEMENT PROCEDURE | Remarks, |= These are measures to | methods to evaluate the evaluate the | effectiveness of the effectiveness | actions taken or of the SUCCESS INDICATORS Proposed Action Plan, | - This may indicate the evaluation of | baseline fora the result, | _ particular risk, the target that should be attained based on the action plan & the actual status on the | date that the registry was reviewed explanation as to why and/or how the risk rating and level decreased/increased over time. | + This is also an - Briefreport on any , details relevant to the registry that need to be mentioned may also be __|__ stated in this column, NIA-QPR-2019-0005 203 | 31 March 2021 | ~ The effectiveness may be | measured in terms of; - Increase or decrease in | the level or rate of occurrence depending on | the nature of the action | plan. - The consistency of | submission | - The consistency of | | | success rate in terms of | hitting a particular target + Targets may refer to the schedule, cost, output, or any other indicator that is measurable or | verifiable Ex. previous year baseline was 80% achievement in project accomplishment & | then based on the current | year data the ‘accomplishment is 90%. With this you now have at least 10% increase or effectiveness | of your action plaiNATIONAL IRRIGATION —— aa ADMINISTRATION aL Issue Date : NIA-QPR-2019-0005 03 31 March 2021 RISK MANAGEMENT PROCEDURE | papo(s) Picea 3.8 The criteria for impact are shown in Table 5. Table 5. Impact Criteria - Rating Description 1 Risks | ~ Delay /extent 10% and below of the target | |~ Insignificant impact to operations ~ No statutory /regulatory implication - No media coverage ~ No health / safety issues | opportunity | | The opportunity can contribute to at least 10% of the target 2 [Minor | Risk - Delay /extent of 25% and below of the target, | - Minor interruptions/disruptions in operations | ~ Minor statutory regulatory implication and unlikely | ’ litigation/prosecution and/or penalty - Local media coverage or undocumented negative feedback Local first aid / self-medication treatment | Opportunity | |- The opportunity can contribute to at least 25% of the __|__ target Moderate | Risk - Delay/extent 35% and below of the target - Moderate interruptions/disruptions in operations | - Moderate lapse in statutory/regulatory requirements and | possible litigation/ prosecution and/or penalty | Limited national media coveragé or documented feedback through official email/facebook account ~ Will require treatment by medical practitioner Opportunity |. The opportunity can contribute to at least 50% of the target fp Risk - Delay/extent of 50% and below of the target + Major interruptions/disruptions in operations, - Major lapse in statutory /regulatory requirements and j | litigation/prosecution and/or penalty (e.g. with COA | | ‘ disallowance) - Sustained national media coverage or documented ' feedback through official email /facebook account and Hotline 8888Document Code : NATIONAL IRRIGATION [Revision a Re ADMINISTRATION none IssueDate 31 March 2021 RISK MANAGEMENT PROCEDURE Page(s) 12 0f 19 | Temporary disability / impairment / isolation to the | affected person(s) Opportunity ~The opportunity can contribute to at least 75% of the get Delay extent above 50% of the target - Inability to continue normal operations for more than 6 | | months Would require investigation from police authority, with significant litigation /prosecution and/or penalty (e.g. | | _ preventive suspension, ombudsman case) | - Continuous negative national media coverage or documented feedback through official email/facebook account and Hotline 8888 | - Permanent disability to the affected person(s) or fatality | Opportunity | - The opportunity can contribute to more than 75% of the target Example: 1. Due to the occurrence of the risk, only 18 out of 20 activities or 90% of the activities will be conducted. Impact rating is equal to 1 (Minimal) because of the 10% deviation from the target. 2. Due to the occurrence of the risk, the activity took 30 days to finish, instead of, the 25 days target. Impact rating is equal to 2 (Minor) because the activity was finished 20% longer than the target. 3. Due to the occurrence of the risk, the activity costs increased by Php 50,000 from the original cost of Php 2,000,000. Impact rating is equal to 1 (Minimal) because the costs increased by 1%. 3.9 IF the factors you are assessing do not fit into the sample above, THEN you may apply the rule of thumb to consider the worst impact of the identified issue/risk. Similarly, IF the factors you have identified for opportunities do not fit inta the sample above, THEN you may apply the rule of thumb to consider the best impact of the identified issue/opportunity. 3.10 The criteria for likelihood are shown in Table 6.; |Document Code : NIA-QPR-2019-0005 NATIONAL IRRIGATION ce ae nana ADMINISTRATION Revision eee 103 Issue Date Risk | - Less than 10% probability of occurrence Possibility of incident occurring or it had already happened in the past 6 years Opportunity ~ There is a slim possibility that the opportunity can be achieved (e.g. a concept, principle or theory is [ | present) q 2 | Unlikely Risk ~ Greater than or equal to 10% and less than 25% probability of occurrence (10.00%~24,99%) Possibility of incident occurring again in the next 3 years or it had already happened in the past 3 years Opportunity ’ i | - There is a possibility that the oppdrtunity can be | achieved (e.g. the project is in the master plan but not yet a priority, or budget proposal is not yet available) | 3 | Possible [Risk | | - Greater than or equal to 25% but less than 50% | | probability of occurrence (25.00~49.99%) - Possibility of incident occurring or it had already , happened at least once within a year | Opportunity | ~ Atleast 25% of the opportunity can be achieved (e.g | a feasibility study is ongoing, br at least 25% of the — __|__opportunity isachievable) 0) ae Risk = Greater than or equal to 50%bbiit less than 75% | probability of occurrence (50.00~74.99%) | - Possibility of incident occurring at least twice within a year Opportunity | | - At least 75% of opportunity can be achieved ‘AlmostiCertain | Risk Greater than or equal to 75% probability of occurrence | ~ Possibility of incident occurring more than four j times within a year | Opportunity = __ 100% of opportunity can be achieved _- ~~ [Document Cade : NIA-QPR-2019-0005 | NATIONAL IRRIGATION Trev =r SEES | ADMINISTRATION evision = ei Marak202iiamil RISK MANAGEMENT PROCEDURE 14 0f 19 3.11 The LIKELIHOOD should be based on ACTUAL data, ex. baseline rate from previous year, number of occurrences of the issue/risk for a particular quarter/semester/cropping season. 3.11.1 For risks, you should indicate a high likelihood score. Your Proposed Actions Plans shall then focus on reducing the score. 3.11.2 For opportunities, you should indicate a low likelihood score. Your Proposed Actions Plans shall then focus on increasing the score, 3.12. The rating matrix is shown in Table 7. ‘The rating serves as a prioritization scheme, where the highest set of values 20~25 is Priority 1, 10~16 is Priority 2, 5~9 is Priority 3 and 1~4 is Priority 4. Table 7. Rating Matrix a — Impact —_ [a2 2 * + | 5 i | Minimal | Minor | Moderate | Major _| Critical z i 1 2 s 4 c 5 3 2 4 6 8 10 |2 . od 6 2 ly a_i 3 | 5-Almost Gertain 5 10 3.13 The critefia for action are shown in Table 8. ble 8. Criteifa for Action t Rating | Ler Treatment _ calation 1,2,3, Low | Risk; Low risk level is considerable | Escalation is not necessary. \ and 4 | as priority 4. Low risk levels are Monitor & manage at the | generally tolerable. relevanit office or operational level / sector. | opportunity; manage through maintenance of appropriate routine | internal controls stated in the | | Operations / Desk Manuals or other documented procedures or | Mé. Low opportunity level is also l [eae considerable as priority 4. |NIA-QPR-2019-0005, NATIONAL IRRIGATION NUDCGER:201S-00058 ADMINISTRATION jRevision 203 —| [sue Date 31 March 2021 RISK MANAGEMENT PROCEDURE | pape) ean 1 | Table 8. Criteria for Action [Rating | Level_| Treatment Escalation 5,6,8, | Medium | Medium risk level is Escalate to immediate and 9 | considered as priority 3. senior officer or senior Conduct a CAUSE ANALYSIS to management level through assess the extent to which risk appropriate channels. The should be treated (ex. risks may generally he | | Strengthening the existing controls | retained & managed at the | | to minimize the lapses & increase _| operational level. | | consistency in implementation of | | instructions. Or establishing new | actions) to REDUCE the likelihood j | of the risk. | | | | | Opportunity; Medium opportunity | level is considered also as priority | | 3. An example may be is thata | project is in the Master Plan then | the feasibility studies should be _ 7 pursued. SIL ee 10,12, | High” [ Risk; High risk level is considered _ | Escalate to the CO. ioaaee| as priority 2. Department Managers (for and 16 | Determine the cause of the issue to | Central Office) or to the 1 | assess the extent to which risk Regional Manager/Dept should be treated. The resulting Manager (R.O., MARIIS & ACTION PLAN shall aim to reduce UPRIIS). | | the likelihood & then be verified for | | effectiveness. | | | | Opportunity; High opportunity | level is considered also as priority 2, where the process owners should consider pursuing the potential gain in quality of service or benefit to the agency in terms of income or improvement in ease of doing business. An ‘example may be is that a feasibility study is already accepted then budget proposal should beNaaamnntcans [Document Code : NIA-QPR-2019-0005 ATIONA\ SATIO ADMINISTRATION nev es __ Issue Date 31 March 2021 | RISK MANAGEMENT PROCEDURE | page(s) ears Criteria for Acti Table 8. Cr mr AK Rating | Level | Treatment __|___ Escalation 20 and | Extreme | Risk; Extreme risk level is | Escalate to the C.0. | 25 considered as top priority, where | Department Managers (for immediate high-level action is Central Office) or to the | required to manage the risk. This | Regional Manager/Dept may involve high-level decisions | Manager (R. | example changes in policies or in| UPRIIS). allocating resources/budget. May also consider | | escalating to the Deputy Consider conducting CAUSE Administrator IF necessary, ANALYSIS to assess the extent to | to fast track the actions. | | | which risk should be treated. The | | resulting ACTION PLAN shall aim to reduce the likelihood & then be verified for effectiveness. Another aim of the treatment shall | be to reduce the IMPACT, which | | | may be achieved through design. | | L change or mistake-proofing. Opportunity; Extreme opportunity level is considered also as top priority, where the benefit to the | agency or quality of service is clear & thus immediate high-level action is required to achieve the opportunity within the shortest _| _| period of time. 4. RISKS AND OPPORTUNITIES REGISTRIES (ROR) REPORTING, REVIEW AND. MONITORING AND EVALUATION Reporting, review, and monitoring is an essential and integral step in risk management process. Risks need to be monitored periodically to ensure changing circumstances do not alter risk priorities, a) Submission of ROR 4.1The National Organizational Level Risks and Opportunifies Registries shall be updated by the Management, which includes the Admiifistrator, Senior Deputy Administrator, Deputy Administrators, Department Managers and Regional Managers. 4.2The Central Office Departments, Regional/Head Offices, and IMOs (Divisions for MARIIS and UPRIIS) shall accomplish the Organizational Level Risks and Opportunities Registries while the Divisions of the different Departments at the Central Office and Divisions at the Regional Offices (Administrative and Finance. [Document Code ; NIA-QPR-2019-0005 NATIONAL IRRIGATION co 4 ADMINISTRATION aa | Issue Date RISK MANAGEMENT PROCEDURE Page(s) Division and Engineering and Operations Division) shall accomplish Process Level Risks and Opportunities Registries. The Organizational Level and Process Level Risks and Opportunities Registries shall be updated semi-annually and/or as needed. The RMT of the Regional/Head Office and Central Office Department Risk Management representatives shall CONSOLIDATE all Process Level Risks and Opportunities Registries. 4.3 The Organizational Level and consolidated Process Level Risks and Opportunities Registries shall be submitted to the RMT Central Office Secr January and July and/or as needed. The submission matri tariat before the end of shown in Table 9. Table 9. Submission Matrix | Organi aa | Process Level PESTLES | SWOT | RIPs | ‘vel Rs Risks and ; | : and | . Analysis | Analysts | Matrix | 5, tinitios | OPortunities _v _ | particutars Registry | _Resistry aa Regional/ Head Office Level IMO Le Divisions for UPRIIS and MARIS) Divisions (AFD and EoD) | a b) Review, Monitoring id Evaluation of ROR, implementation of action plans 4.4 The Risk Management Team (RMT) of the Regional /Head Office, with the supervision of the Regional/Department Manager and Risk Management members of the respective Central Office Departments shall be responsible for the review, monitoring and evaluation of the status and implementation of the Risks and Opportunities Action Plans of its respective IMOs and Divisions. ' i 4.5 The status of the Organizational Risk and Opportunities Action Plans (National, Regional, and IMO/Divisions for MARIIS and UPRIIS level) shall be updated and discussed during Managers Conferences and/or Management Review. 4.6 Risks and Opportunities Action Plans that may need immediate attention and intervention of the Top Management will be presented during Executive Committee meetingsNATIONAL IRRIGATION 5 ADMINISTRATION evision Issue Date RISK MANAGEMENT PROCEDURE Page(s) 18 of 19 5. VERIFICATION OF EFFECTIVENESS 5.1 The “ACTION PLAN(S)" shall be verified for effectiveness at least two times in a calendar year. 5.2 The following shall be followed with regard to the RISKS after review: 5.2.1 If the risk rating became lower, indicate “Action plan was effective. Continue and maintain its implementation until the next review”. If your action plan is still continually effective, then you may indicate this in your Operations / Desk Manual 5.2.2 Ifthe risk rating became higher, indicate “Action plan was not effective. Additional action plan shall be initiated OR a new action plan shall be initiated”, 5.2.3. If there is no change in the risk rating, indicate “Action plan needs to be observed further for at least six (6) months.”, ' 5.3 The following shall be followed with regard to the OPPORTUNITIES after review; 5.3.1 If the opportunity rating became higher, you may indicate “Action plan was effective. Continue and maintain its implementation until the next review". If your action plan is still continually effective, then you may indicate this in your Operations / Desk Manual. 5.3.2 Ifthe opportunity rating became lower, you may indicate “Action plan was not effective. Additional action plan shall be initiated OR a new action plan shall be initiated”. ‘ If there is no change in the opportunities rating, indicate “Action plan needs to be observed further for at least six (6) months. 5.4 Based on the data from monitoring, establish that the action plans are CONSISTENTLY EFFECTIVE. This may be based on but not limited to the following; ( 5.4.1 Atleast two consecutive semesters that the results are within the target. 54.2 There was ne more recurrence or occurrence elsewhere of the identified risk. i 5.4.3. An opportunity was realized as expected, 5.5 Risks / Opportunities that have improved shall not be deleted from the registry. It shall remain in the registry to serve as basis of previous actions.in 5 a D ent Code : NIA-QPR-2019-0005, NATIONAL IRRIGATION lRowiog aa PR 20 | ADMINISTRATION [Revision | | RISK MANAGEMENT PROCEDURE 6. INTEGRATING ACTIONS INTO THE QUALITY MANAGEMENT SYSTEM 6.1 The action plans verified as EFFECTIVE, based on the data from monitoring of effectiveness, may then be included in the Operations/Desk Manual. 6.2 The EFFECTIVE action plans may also be included in the DPCR/OPCR in order that it may be consistently monitored. 6.3 The EFFECTIVE action plans may also be implemented throughout the agency through a Memorandum Circular. 7 REFERENCES 7.1 PESTLES Analysis - NIA-QPR-Form19 Rev.00. 7.2 SWOT Analysis ~ NIA-QPR-Form20 Rev.00 \ 7.3 RIPs Matrix — NIA-QPR-Form21 Rev.01, ‘7.4 Organizational Level ~ Risks Registry - QPR-Form22 Revj01 7.5 Organizational Level - Opportunities Registry - QPR-Form23 Rev.01 7.6 Process Level - Risks Registry -Form 11 Rev.03 7.7 Process Level - Opportunities Registry 12 Rev.03 7.8180 9001:2015 Quality Management System 5 7.9 1SO 31000:2018 Risk management ’ 8 APPROVAL Prepared by: Reviewed by: figladcah , fu = ROGELIA C. DELA TORRE MGEN R¢ GAN (Ret) Chairperson, Risk Management Team Deputy fuality Management epresentative Representative ' Appraved by: veorad lh ddan Quality Management RepresentativeNational nigation Administration (Department/Region/Head Office /IMO/Division} SWOT Analysis As of [date] Revision No. 00 Helpful Harmful Strengths Weaknesses (a) =) — a E 5 = Helpful Harmful Opportunities Threats fe) (4) E i i Prepared by: Reviewed by: {NAME} (NAME) (Designation) (Designation) Approved by: (NAME) (Designation) NIA-QPR-Form20 Rev.00 Page 1 of 1National bnigation Administration [Department/Region/Head Office /IMO/Division| PESTLES Analysis As of [date] Revision No. 00 ical Economic — Social ‘Technological _ 7 7 Prepared by: Reviewed by: (NAME) (NAME) (Designation) (Designation) Approved by: y Wi i (NAME) \ (Designation) » NIA-QPR-Form19 Rev.00 i Page 1of 1National Iigetion Adenssination {Dopartment/Region/Head Ofice/IMO/Division] Relevant Interested Parties (RIPs) Matrix As of [date] Revision No, 00 [Relevant interested Parties (RIP) Tequirementsof Rips from NIA | How the requirements are satisfied Tssues arising from RIPS 4) a 10, rm a2 i 14 15. 16 a7 18 19 20 Prepared by’ Reviewed by Approved by: (NAME) (Designation) ~T uamey, re (xamey “ = (Besignation) (Designation) age Loftlcue/s Acting ‘Objectives so] “or —|-Cause/soflssue/s _Anting From RP a [a sues acne Idbierves IB fisaers anne [rom RiP Prepared by name) (Desgatin) susan. ec! Nation ian Bi fs enfant GFRUS6O) [Department epion/Dwsions of MARIS and (Department /Region/ is Organization Risks Regist ‘Asof (date) Revision No, 00 Previous Rise [nating ad Level Renewed (NAME) (Designation) Approved: (xAME) (Desigaaton) Pagetninisbtion [Department Region Division of WARISand UPRIS/IMO) Netanal Iaion organizational ave, Opportunity Retry ‘sof dat} neon No. 00 7 ses i Trea Poaive Issue/s «| F/fel 2, as ‘ec E/ 52) 23 ne | Satsor | Rema o| Aen | sourcjsaruaue|—ommoeasy | 2) 5/22) 25 ‘etion Pan swartpate | tndpane | Satta ‘Arising rom a £)2*) 2 nr a a ae oe a i a oa I H eparedy Reviewalby Approved: wane was) (vane) (besa) (oesianon) (ocean) geoSpi nef Voce Teron anes Oe) Process Level RiskrReaistry ‘Acof{eate] fevson No. 00 Tis sessment isk Trt 3 sof : Wadi hemarts cay of issue/s BS ie fon Plan — dome | Situs of eat a) ABE | aejsottme/s| wick |B 3 u Action Pl suartDate | End Dat ae rrewenes fe BaP) rd Eee a amet a ee ow. Ti ro a) ree reparedby Reviewed ‘Approved nan} (NAME) (name) (Cesgnation) (Designation) (wesgnation) page ot? iagpReFora Reeen ee ane Deperement/Region Head Office) Drnsion Process Level opportunities Registry ‘Aso [eat] Revision No. 00 raring Pea paren Treat tiswe/s |g 2/2 Eeie| fly - ource/sof 2 23: statusof | Remarks No| Ang opporamy | 1) Z2/2S|2F/222| — scuonrin startdate | End Date Amsing— | tssue/s z\2 B ES) EES iB ‘Action Processes Sle |e | "53 i aI Bae EL Tia TL Ha re Prepared Reviewed: Approved. (name) (same) (vam) (Designation) (Designation) (Designation) age of NIA-QPR-Formt2 Revo