Implementing Problem-Centric Work & Special Classes of Risk


Through the Implementing Problem-Centric Work & Special Classes of Risk seminar with Professor Malcolm K Sparrow we will examine two sets of puzzles for regulatory and risk-control operations, both of which are currently demanding significant attention from a broad range of Australian regulatory bodies.
Day one will examine the practical challenges of implementing “problem-centric” work (which some agencies refer to as “harm-reduction” or “risk-based” projects). The basic concept has been circulating in regulatory circles for at least two decades, but the practical work of developing mature problem-centric capabilities, and institutionalising them, is far from done.
Day two will focus on Special Classes of Risk and the practical challenges these risks present for agencies responsible for controlling them. Agencies that do engage in problem-centric work soon discover that some—but not all—of the important problems they seek to tackle exhibit confounding qualities of one type or another. Such risks, or problems, are often termed “wicked” or “special” because of these qualities. This seminar will explore the major categories of “wicked” risks most frequently encountered by regulatory and enforcement agencies.

Malcolm K Sparrow is a leading international expert in regulatory and enforcement strategy, security and risk control. Malcolm is the Professor of the Practice of Public Management at Harvard’s John F Kennedy School of Government and he is Faculty Chair of the school’s executive program “Strategic Management of Regulatory and Enforcement Agencies.”
Professor Sparrow served 10 years with the British Police Service, rising to the rank of Detective Chief Inspector. He has conducted internal affairs investigations, commanded a tactical firearms unit, and has extensive experience with criminal investigation. His research interests include regulatory and enforcement strategy, fraud control, corruption control, and operational risk management. He is also a patent-holding inventor, and dead serious at tennis.
Key benefits


Understand the essential nature of problem-centric work & the motivations for doing it


Components of a problem-solving protocol & components of the supporting managerial Infrastructure


How the exercise of discretion is affected in the context of problem-centric work & ethical challenges


How problem-centric work feeds into agency performance accounts & what it takes to demonstrate impact


How special classes of risk differs from more familiar methods of classifying risks


Six common classes of “wicked” problem, & how to recognise them


Important implications of each class: for analysis, funding, & performance-measurement


Strategies other regulators have employed effectively when faced with these specific challenges
Who will attend?
These seminars are designed principally, but not exclusively, for mid to upper level regulatory and enforcement practitioners. Also suitable for members of Professional Boards who carry regulatory and oversight responsibilities with respect to quality control and professional conduct.

Agenda
Welcome & virtual learning tips
The essential nature of problem-centric work, & the motivations for doing it
- Why do a problem-based project?
- Problem-solving protocols: The stages of problem-solving.
- Essential disciplines. Choosing an appropriate level of rigour and granularity.
Short break
Managerial infrastructure to support problem-centric work: Essential elements
- Is it really a problem-solving project? Different types of “problem”. Making “Go/No-go” decisions, and triage for other types of work.
- Ethical challenges involved in portfolio management (including terminating projects with non-zero residual risk levels).
- A challenging question: “How many projects have you finished?”
Short break
How the exercise of discretion is affected. Public defence of choices.
- How problem-centric work feeds into agency performance accounts. What it takes to demonstrate impact.
- Common obstacles to implementation. How others have overcome them.
General Q&A
Close of Part 1
Welcome back & virtual learning tips
Various systems for classifying risks, and the purposes for each. Why the focus on regulatory practice is unique and important.
Invisible Risks
- Where natural discovery rates are substantially lower than 100%, and the true scope of the underlying problem is therefore unknown and (usually) substantially underestimated. The cases that do come to light represent the tip of a mostly invisible iceberg. The challenge for regulators is how best to expose, and deal with, the whole problem and not just the visible sliver.
Short break
Risks involving Conscious Opponents, or “Adversaries”
- Where regulators play dynamic cat-and-mouse games with creative and sometimes sophisticated opponents. Regulatory “moves” produce “counter-moves” and adaptive responses from the opposition, as the two sides engage in intelligence and counterintelligence.
Catastrophic Risks
- Potentially very high impact events of very low frequency. They happen maybe once in a blue moon, and in some cases may never have happened before but conceivably could. Associated event probabilities are very low, and in many cases almost impossible to estimate.
- Most work in controlling these is necessarily preventive, with actual outcomes zero almost every year. Financial budgets and levels of attention are notoriously fickle and tough to set in a rational manner. Regulatory progress (in delivering effective protection) is especially difficult to assess or demonstrate.
Short break
Performance-enhancing risks
- Where unreasonable or draconian performance pressures push individuals (who are not necessarily “bad” people themselves) to act in ways which are risky, reckless, or illegal in order to help their organisation achieve, or appear to achieve, key performance goals. Organisational cultures develop that celebrate those internal heroes or heroines who are willing to do “whatever it takes” to achieve the ends. Inadequate control on means often leads to disastrous results.
Slow-acting Harms
- Where a period of several years—or even decades—may elapse between the time a regulatory intervention takes place and the time the desired outcomes become apparent. Regulators must act for the long-term, while operating on annual (or at best, bi-annual) budget and performance-reporting cycles.
High-level Risks
- Where the natural scale and scope of a problem transcends jurisdictional, and sometimes national, boundaries. Contributors are obliged to engage in voluntary collaborations, spanning organisational and jurisdictional boundaries, and with no one entity in charge.
General Q&A
Close of Part 2
Pricing
Early bird savings until 10 May
+GST
Early bird pricing
Save $500
Early bird savings until 7 June
+GST
Early bird pricing
Save $300
Early bird savings until 5 July
+GST
Early bird pricing
Save $100
Standard rate after early bird
+GST
Early bird savings until 10 May
+GST
Early bird pricing
Save $500
Early bird savings until 7 June
+GST
Early bird pricing
Save $300
Early bird savings until 5 July
+GST
Early bird pricing
Save $100
Standard rate after early bird
+GST
Really well run event with superb content. Very worthwhile.”
Claire O'Brien
Public Servant
I would recommend attending this seminar for those in the regulatory field – it provides robust discussions specific to the areas the attendees work within as well as case studies which capture key points of regulatory practice.”
Natalie Quessada
Senior Technical Officer
Professor Sparrow delivered an exceptionally well-constructed course. The attention to detail, specific examples that were relevant to the participants, and the depth of understanding of the topics made for very engaging days.”
Megan Dalton
Assistant Director, Department of Climate Change, Energy, the Environment and Water, March 2023
Professor Sparrow is at the top echelon of regulatory practice, and it is a must for any sound Regulator to attend one of his presentations.”
Tony Monardo
Senior Licensing Officer
I highly recommend this seminar to all regulators who want a broader understanding of their role in society and the economy.”
Chris Bourne
Manager