Transcript Australia’s Uranium Conference 2007 presentation

Australia’s Uranium Conference 2007
15-16 May 2007, Darwin NT
Don Larkin
Chief Executive Officer
Australasian Institute of Mining & Metallurgy
Australia’s Uranium Conference 2007
OFFICIAL WELCOME
Continuing professional development
– A vital component of risk management
for both employer and employee.
Australia’s Uranium Conference 2007
What is Risk Management?
What is a Profession?
The AusIMM as a Professional Body
Chartered Professional Recognition
My Contention and Conclusion.
Risk Management – AS/NZS 4360:2004
• Risk management involves managing to achieve an
appropriate balance between realising opportunities
for gains whilst minimising losses
• Risk management involves establishing an
appropriate infrastructure and culture (identifying,
analysing, evaluating, tracking, monitoring and
communicating risks)
• Organisations that manage risk effectively and
efficiently are more likely to achieve their objectives
and do so at lower overall costs.
• Standard to provide guidance.
Risk Management Main Elements Process
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Communicate and consult
Establish the context
Identify risks
Analyse risks
Evaluate risks
Treat risks
Monitor and review
Risk Management
– other vital components
• Training and education – awareness professionalism
• Formal recognition of qualifications,
experience and training
• Workplace practices and culture
• Manage liability exposure (mining law,
environmental, pollution, heritage,
trade practices, contract, corporations, IR,
anti-discrimination and sexual harrassment,
taxation and common law, etc.)
What is a Profession?
Professions Australia defines a profession
as a disciplined group of individuals who
adhere to ethical standards and uphold
themselves to, and are accepted by the public
as possessing special knowledge and skills
in a widely recognised body of learning
derived from research, education and training
at a high level, and who are prepared to
exercise this knowledge and skills
in the interests of others.
This Definition Implies
• A Code of Ethics governs the activities
of each profession
• These codes are enforced by the profession
and are acknowledged and accepted
by the community
• Special knowledge and skills
• Derived from research, education
and training at a high level
• Applied to the service of the community.
The Code of Ethics should stress
• The independence of the practitioners
• That their responsibility for the welfare, health and safety
of the community shall at all times come before their
responsibility to the profession, to sectional or private
interests or other members of the profession
• Members shall perform work only in their areas of
competence
• The professional body shall encourage its members
to continue their professional development
throughout their careers
• The professional body shall encourage its members to
actively assist and encourage professionals under their
direction to advance their knowledge and skills.
The AusIMM as a Professional Body
• Professionals in the Minerals Sector
• Tertiary qualified Geologists, Metallurgists,
Mining Engineers and others
• Ethics, Codes of Conduct, JORC, Valmin
• Fellows and Chartered Professional Recognition
• Member Services, Branches, Careers,
Employer Support
• Advocacy and Representation
• Continuing Professional Development
• Employer Base Diverse
• Dealing with an Informed Client
Challenges in Global Industry
• Globalisation and centralisation of ownership
• Investment options increasing in a cyclical industry
• Increasing emphasis on social and environmental
impacts
• High technology and productivity
• Exploration and R&D vital – Sustainability of Industry
• Attractiveness and careers – Skills
shortages/Demographic destiny
• Increasing emphasis on risk management and
governance
Chartered Professional Recognition
• Four core disciplines: Geology, Metallurgy, Mining
Engineering, Environment plus Management
• No legal accountabilities that state a professional
must be qualified in a specific discipline in order to
practice (except Queensland for Engineers and Mine
Managers (coal)).
• Peer assessment or competency based assessment.
• CP Accreditation, CP Maintenance, National
Accreditation and International Accreditation.
• On the job learning versus structural – “listening or
reading” towards “listen/discuss/research and doing”.
My Contention
• Whether you are an individual professional or a legal
entity it is essential that you manage your risks.
• An individual or company can best manage their risks
by being diligent
• Membership of a professional institute with Codes of
Practice, ethical procedures and a commitment to CPD
can assist greatly in management of risks.
• For a professional due diligence includes awareness
and training through continuing professional education
and being recognised by your peers that you have
undertaken the necessary CPD and have the relevant
experience
• A vital component of risk management is thus continuing
professional education and development, and
• Ethics in Education and CPD are a vital component of
professionalism.
What The AusIMM has done
• Reviewed and modernised its Code and By-Laws
• Applied for and received ACCC exemption under the
Trade Practices Act
• Streamlined process and introduced a Complaints
Committee separate from Ethics Committee
• Composition of Ethics Committee more distant from
Board of Governance
• Persuade ASX/ASIC to recognise formally Codes
as Industry best practice and to police
• Global industry – internationalisation of codes
• Document processes and procedures, legal advices
and precedents
• Encouraged Professions Australia to establish, website,
principles, links, papers, workshops and study
– Ethics in Education.
Conclusion
• Risk Management → Due Diligence → Awareness →
CPD
• Essential ingredient of professionalism is CPD
supported by best practice codes of conduct,
ethical procedures and sanctions, however
there are many challenges.
• How far do (or can) professional bodies
go in raising the conduct bar beyond what
is required by law?
• Welcome