by: Klaude Lazo

Risk Management in Higher Education

A strong and effective Risk Management framework in the Higher Education sector is essential. It safeguards institutional integrity, ensures compliance with regulatory requirements, protects students and staff, and supports sustainable strategic growth. Without robust risk management, higher education providers may expose themselves to financial, reputational, operational, and legal vulnerabilities that can have long-lasting consequences to staff, students, and the institution.

While a well-written Risk Management Plan is important, its effectiveness is determined by how consistently and rigorously it is implemented. Operationalising the plan actively, systematically, and consistently is crucial for achieving the strategic objectives of any institution, regardless of size or complexity.

Active Risk Management – What Good Looks Like

Proactive risk management involves consistently monitoring identified risks and reporting them to the appropriate committees and governing bodies. This ensures that the institution’s risk exposure is regularly discussed and assessed based on the likelihood and potential impact of emerging threats.

Given the constantly evolving landscape of the higher education sector — including changes in legislation, technology, and the shifting needs and expectations of students —institutions must regularly evaluate whether existing mitigations remain effective and appropriate. Doing so ensures that the institution remains resilient, agile, and well-prepared.

Practical Ways of Embedding Risk Monitoring and Reporting

1. Establish Clear Ownership
   Designate an owner to the risk register to ensure it is maintained, updated, and effectively used. Best-practice risk registers also identify responsible stakeholders for each risk and clearly articulate the associated controls and treatments.
2. Regular Risk Assessments
   Develop a plan that constitutes the schedule for the review of various risk areas, evaluating internal and external factors, and the effectiveness of implemented controls. Regular risk assessments help ‘close the loop’, facilitate continuous improvement, and ensure that the governing body has accurate, timely information to make evidence-based decisions (HESF 6.1.3a). This practice also ensures that material risks are actively monitored and mitigated, supporting robust governance and accountability (HESF 6.3.1e).
3. Embedding Risk in the Annual Work Plan
   Incorporate risk management activities, planning, and reports in the relevant Committee and Boards’ Annual Work Plans.
4. Use Risk Dashboards and Reporting Tools
   Implement dashboards and tools to effectively visualise risk exposure, mitigation, and trends over time. Automated reporting reduces manual effort and ensures decision-makers have consistent, up-to-date information.
5. Integrate Risk Management into Decision-Making
   Ensure that all strategic and operational decisions reflect the institution’s risk appetite. Risk considerations should guide project approvals, resource allocation, and policy development to proactively manage potential threats.
6. Report Upwards Effectively
   Tailor risk reporting to suit different audiences, including executive leadership, governing bodies, and committees. Reports should clearly highlight high-priority risks, progress against mitigation actions, and emerging issues requiring attention or resources. Having consistent and clear reporting supports informed oversight and builds trust.

One of the challenges faced by many institutions in maintaining effective oversight is that risk information is often spread across multiple documents and platforms, making it difficult to gain a clear, real-time view of institutional risks. While various risk management software solutions on the market can address this issue, high implementation and licensing costs can be prohibitive, particularly for smaller providers.

How DVE Can Support You

DVE provides tailored support to higher education institutions across all aspects of risk management. For example, DVE:

• Offers practical solutions through systems and templates. Our Institutional Excellence Hub is a cost-effective, user-friendly, and customisable platform that centralises risk data, supports ongoing monitoring and reporting, and enables active risk management without the complexity or expense of traditional systems.
• Develops and reviews Risk Management Plans to ensure they align with best practice and regulatory expectations.
• Conducts comprehensive risk assessments to identify emerging threats and prioritise mitigation strategies.
• Reviews the effectiveness of risk management processes, controls, and reporting mechanisms.
• Provides specialised advice to higher education and VET providers in risk management, drawing on sector expertise and practical experience.

If you would like to talk to us about any of these support options—or you would like a demo of the Institutional Excellence Hub to see how it can be tailored to your institution—please contact us via info@dvesolutions.com.au or 1800 870 677.