Innovation is rarely risk-free. IDRC operates in environments where research infrastructure is weak, institutions fragile, and political and economic conditions unstable. We recognize the risks and work to manage them effectively. Our knowledgeable staff around the world are key to managing risk.
We manage risk:
- Strategically — by ensuring a sound governance and accountability structure
- Programmatically — by working within a well defined strategic and program framework and applying sound management processes
- Operationally — by applying a set of systems and internal controls
IDRC’s risk management processes
IDRC has an integrated series of strategic, programmatic and operational processes to manage the risk that is inherent in its work.
- At the strategic level, senior management and the Finance and Audit Committee regularly review and discuss the Centre’s Corporate Risk Profile;
- At the programmatic level, IDRC projects are assessed for risk before approval and risks are monitored throughout the project life cycle;
- At the operational level, IDRC assesses its grantee institutions for financial and administrative risk and applies appropriate monitoring and reporting controls.
Internal audit
As steward of the public and donor resources entrusted to it, IDRC ensures that its systems and practices are effectively and efficiently designed and help to achieve its corporate objectives. IDRC’s Internal Audit supports Senior Management and the Board of Governors’ Finance and Audit Committee by providing assurance and advice to help improve operations. The Finance and Audit Committee oversees IDRC’s internal audit and risk management functions. .
External audit
- Special examinations
Federal Crown corporations are required under the Financial Administration Act (FAA) to undergo a special examination at least once every 10years. The purpose of a special examination is to assess whether a corporation has systems and practices in place to ensure that its assets are safeguarded and controlled; that its financial, human, and physical resources are managed economically and efficiently; and that its operations are carried out effectively. IDRC’s last special examination carried out by the OAG in 2008, indicated no significant deficiencies in operations. In particular, the report highlighted two areas that contributed to IDRC’s success: our sound systems and practices to manage research project funding; and the value placed on our highly qualified staff as shown by our management of human resources.
Special examination (2008)
Before it was required by law to undergo special examinations, IDRC, in keeping with the spirit of public accountability, had volunteered to undergo a series of special examinations, audits, and reviews by the OAG since 1982.