Governing Bodies

Corporate Executive

Corporate Executive is our peak decision-making body. Its objective is to ‘set clear strategic direction to deliver government priorities, meet our aspiration, purpose and achieve agreed performance goals’. It has a charter that identifies its role, outcomes and responsibilities.

A profile of each member of the Corporate Executive is included in the Leadership section of this report.

The Managing Director has a performance agreement with the Commissioner, while all members of Corporate Executive have performance agreements with the Managing Director.

Some of the key focus areas of Corporate Executive during the past year included:

Monitor delivery of critical projects and meet performance targets
Oversee the identification of and monitor treatment actions against risks classified as being very high and high
Embed and champion the engagement of Aboriginal people and businesses through our contracting activities
Review and refresh the Keeping WA Moving strategic direction
Monitor the deployment of activities through the Corporate Business Plan
Review and promote activities to mitigate the risk of cyber-crime
Oversee the deployment of the new maintenance contracting regime

Main Roads has five executive committees capably and professionally supporting our Corporate Executive.

Management Review and Audit Committee

This committee ensures appropriate management practices and controls are in place, leading to efficient and effective business performance. It provides independent, objective assurance and advice and reports on a quarterly basis.



Role Assists the Commissioner of Main Roads, the Managing Director and Corporate Executive to ensure that adequate management practices and controls are developed and maintained by all levels of management Considers audits and reviews of the Management Review and Audit Branch Ensures audits and reviews are in accordance with the Annual Audit Plan Reviews and approves the Annual Audit Plan	Executive Members Peter Woronzow (Chair) Philip D’Souza Doug Morgan
Some of the key focus areas of Corporate Executive during the past year included:
Comprehensive risk based and strategic Annual Audit Plan for 2018-2019 was approved Twenty-six internal audits were monitored and approved Quarterly audit progress reports were discussed and approved Quarterly status reports of audit findings were monitored and approved

Budget Committee

This committee meets monthly with the objective of ensuring financial management oversight and best use of funds to achieve our strategic outcomes.

Some of the key focus areas of the committee during the past year included:



Role Peak decision-making body for:Financial and Budget Management, Investment Planning, Program Development and Delivery Accountability for: Investment Planning Program Development Annual finance and budget performance	Executive Members: Peter Woronzow (Chair) Philip D’Souza Doug Morgan Leo Coci Des Snook John Erceg Tony Earl Alan Colegate Neville Willey
Some of the key focus areas of Corporate Executive during the past year included:
Future Roads Project (Urban) – Administrative Road Classification Process and Criteria Findings and recommendations in relation to the amended criteria for determining administration of roads (State or Local Government) within built up areas Oversight of Major Project Contract Savings and the Management of Contract / Project Contingency to comply with Treasury Instructions (TI 813 Variances in Capital Expenditure) Oversight and governance of the agency’s financial outcomes and ensure the outcomes stay within the financial target as set in the agency’s Resource Agreement Oversight of the temporary personnel expenditures and the agency’s salary expenditure limit Governance and provision of direction for Future Asset Investment Program including: the Investment Planning Cycle; sound Business Case Strategy; successful negotiation strategy with our external funding providers, that is, Commonwealth Government; Royalties for Regions; and the Western Australia Police Force; Road Safety Commission Identify risk and opportunities in the scope of investment planning, program development and project delivery

Corporate Safety, Health and Wellbeing Committee

This committee is part of the high-level governance arrangement reflecting the importance we place on the safety of our workforce; the committee is chaired by the Executive Director Human Resources. It also includes the Safety, Health and Wellbeing Manager and Manager Communities of Expertise along with safety representatives from each Directorate.



Role Presides over safety, health and wellbeing issues from high-level strategy to reviews of individual incidents Acts as a primary occupational safety and health governance channel and reports to Corporate Executive on full-time and contracted employees	Executive Members Des Snook John Erceg Tony Earl Alan Colegate Neville Willey Philip D’Souza Doug Morgan Leo Coci
Some of the key focus areas of Corporate Executive during the past year included:
Review Main Roads and Contractor serious incidents – ensure timely reporting of incidents Endorsed Main Roads to gain ISO 45001:2018 accreditation Advise senior management of WorkSafe improvement notifications and reporting of serious incidents Endorse Critical Risk Project Review 2018-19 action plan of the three-year strategy Endorsed the Alcohol and Drugs Policy and Procedure Endorsed the two-day Safety, Health and Wellbeing Forum Review of corporate key performance indicators dashboard Update senior management on wellbeing initiatives Advise senior management of innovation and technology

More information on our health and safety activities is included in the Safety, Health and Wellbeing section.

Asset Management Committee

The objective of this committee is to guide the development, implementation and operation of our Asset Management System to meet the needs of our strategic direction.



Role Implement a system that delivers cost effective, sustainable, systematic and coordinated management of our assets across the asset management lifecycle Ensure that responsibility for asset management activities is assigned and we have appropriate skills Ensure that the information flow of asset risks, criticality and value for financial planning and reporting is in place Deliver the Strategic Asset Management Plan and Asset Management Plans Seek integration with other corporate and portfolio processes and systems Coordinate activities to respond to external drivers	Executive Members John Erceg (Chair) Doug Morgan Des Snook Philip D’Souza
Some of the key focus areas of Corporate Executive during the past year included:
Undertook a maturity assessment of our asset management processes and systems to inform refinements required to the existing Road Map to achieve an Asset Management System aligned with requirements of ISO 55001 Continued review of each region’s road maintenance Ten-Year Network Delivery Plan to ensure accuracy and consistency across the state Continued development of our Pavement Asset Management Plan including an interim program Obtained endorsement of our State-Wide Road Maintenance Management Plan Completed first draft of all our Route Development and Management Plans including verification of geometry and ‘fit for purpose’ standards Continued development of training initiatives and implementation of mentoring within the regions Refined the generic deterioration model to reflect local conditions through the review of historical condition data

Investment Committee

This committee is the peak decision-making body for strategic network development strategy and investment planning, and for overseeing development of the Ten-Year Investment Plan.



Role Review and endorse the long-term Network Development Strategy and Plan (20 Year Horizon) Establish the investment focus and link organisational strategic objectives with outcomes that address defined needs and problems Review and endorse the Ten-Year Investment Plan Review and endorse project priorities for the annual Investment Planning and Budget cycle Approve the allocation of definition and development funding	Executive Members Doug Morgan (Chair) Philip D’Souza Tony Earl Leo Coci Des Snook John Erceg
Some of the key focus areas of Corporate Executive during the past year included:
Continued strategic oversight of high-priority projects, and reporting to the Minister for Transport, for consideration in the state budget process and for submission to Infrastructure Australia for consideration for inclusion in the Infrastructure Priority List Endorsement of all major and complex project scopes as part of the new requirements associated with the Budget and Investment Planning Framework Endorsement of the 2019–2020 Strategic Asset Plan

Risk Management

Risk is inherent in everything we do; risk management is a continuous function affecting all facets of our
lives and is something we act upon either consciously or subconsciously. From an organisational viewpoint, systematic management of risk is crucial at all levels whether it be from a strategic viewpoint or in our day-to- day operations.

Our risk management approach aligns with the context within which we operate, taking account of regulatory, financial, safety, political and economic compliance requirements; reputational exposures; community expectations; and other governance needs. We adopt AS/NZS 31000: 2009 Risk Management – Principles and Guidelines Standard as our approach for managing risk.

Portfolio-wide Risk Management Policy

We have continued to adopt the Portfolio-wide Risk Management Policy. This policy was developed in 2018 in collaboration with our portfolio partners and approved by the Corporate Executive and Transport Portfolio Governance Council. A single approach allows for consistency and tracking of high-level risk assessment and prioritisation across the three agencies.

Corporate Risk Management

Main Roads’ corporate strategic risk assessment is embedded in the corporate business planning process. This enables resources to be spent on risk management as opposed to risk administration. Corporate strategic risk workshops for all Main Roads directorates and the Corporate Executive are run every year.

Project Risk Management

Project risk management at Main Roads is embedded in our project management tools, methodologies and the Enterprise Project Management system. Through risk management workshops at the commencement of projects and quality audits during projects, we ensure that the correct reviews and controls are in place. Any high project risks are escalated appropriately to the Corporate Executive on a monthly basis.

This diagram outlines the annual risk process.

risk process4

The following table shows our principal risks and opportunities identified last year, aligned against material issues.

Strategic Alignment

Failure to embed new operating models to achieve strategic objectives

Good public policy
Procurement practices
Labour Management Relations

Outcomes

Failure to coordinate and implement key infrastructure projects
Inability to improve congestion management outcomes
Inability to identify and adopt emerging technologies

Road safety
Congestion and freight productivity
Regional presence and development
Indigenous heritage and native title
Value for money
Customer Privacy
Climate Change
Energy and Emissions
Biodiversity

Capability

Inadequate strategic asset management approach
Inability to optimise funding opportunities
Failure to build and retain the skills and capabilities to meet objectives and changing needs
Failure to effectively embed a culture that enables adaptability to changes

Congestion and freight productivity
Regional presence and development
Value for money

Communication

Ineffective engagement with stakeholders

Local communities
Good public policy

A key component of our risk management framework is the facilitation of regular risk review workshops for corporate and key business areas.