Strategy-Implementation: A critical assessment of the application of integrated risk management in the implementation of Eastern Cape Province Provincial Growth and Development Strategy (ECPGDS),

Abstract

Strategy implementation has been recorded as a key challenge in today’s organizations. Soft, hard and mixed factors influence the success of strategy implementation; ranging from the people who communicate or implement the strategy, to the systems or mechanisms in place for co-ordination and control of the strategy. In 2004, the Eastern Cape Province launched the Eastern Cape Growth and Development strategy (ECPGDS), which was to be implemented by Public sector, private sector and non-governmental organisations jointly. Government departments of the Eastern Cape Province were assigned a role of leading the implementation of the ECGPDP. Best Management practices internationally require that when a new strategy is developed, with a resultant programme for implementation, there must be a corresponding risk management policy, together with a risk management strategy that are designed concurrently with that new programme so as to ensure achievement of the new the programme objectives. Eastern Cape Government departments have been struggling in management of risk and are recorded as making slow progress in this regard. The aim of this study is to critically assess the application of Integrated Risk Management in the implementation of the Eastern Cape Growth and Development Strategy (ECPGDS). The following are the study objectives: (a) to identify the extent of application of risk management in the implementation of the ECPGDS; (b) to establish the risk profile of the ECPGDS; (c) to develop a baseline implementation risk matrix for the ECPGDS; (d) to develop a Model of Integrated Risk Management for the ECPGS for use by Government departments in the Eastern Cape Province. A mixed strategy of both qualitative and quantitative approaches was utilized in the study. The study sample comprised of: Clusters of Government and Administration in the Eastern Cape Province; big departments; small departments; and specialists in the area of strategic planning, programme and risk management. The study findings include the follows (a) limited, ad-hoc and unintentional application of integrated risk management in the implementation of the ECPGDS; (b) limited understanding of risk management by the strategic planners in government; (c) limited involvement in ensuring integrated risk management by managers in their departments; (d) limited or no formal training in risk management by most strategic managers; (e) no or limited integration of ECPGDS risk management and strategy between the years 2004 and 2008. General conclusions for the study include the following (a) limited application of integrated risk management in the implementation of the ECPGDS and plan as well as daily management practices (b) limited awareness by Strategic Managers at strategic, tactic levels of risk policy implications; (c) non existence of risk register for ECPGDS and PGDP; (d) non- integration of risk indicators in the monitoring and evaluation framework of Eastern Cape Government departments; (e) no baseline risk profile for the ECPGDS; (f) non existence of structures for discussing lessons learnt in the implementation of the ECPGDS; and (g) no evidence of structures for joint monitoring of the PGDPs risk for all implementing departments. Study recommendations include: (a) a need to adopt an integrated risk management strategy by the Eastern Cape Province;(b) an undertaking of a risk assessment to the objectives of the ECPGDS; (c) a formal training in risk management for the Eastern Cape Government strategic managers; (d) the inclusion of risk management in public management studies; and (e) the adoption of the proposed Conceptual model for risk management framework of the ECPGDS for use by Government departments in the Eastern Cape.