POL00086560 - Briefing Note: Crown Loss Programme Briefing to Roger Gale

Evidence on official site

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POL00086560

POST OFFICE INTERNAL

To: John Scott/Sally Smith

Date: 09 Jan 2013

BRIEFING NOTE: CROWN LOSS PROGRAMME BRIEFING TO ROGER GALE
da BACKGROUND

Since 2008, the Crown Loss Programme has achieved a year-on-year loss reduction of
36%, with 2011/12 FY standing at £1.96m. During the period, the Crown network, FSC
and Security strand worked together delivering the Programme which successfully
targeted the use of resources and necessary change at high-risk Crowns and
transactions. It is imperative that the momentum gained though the recent reduction of
losses is continued; the excellent relationship built up with Crowns is key to achieving
this.

Aim

The aim of the Crown Loss Programme is to further reduce Crown office losses by 20%
of FY 2011/12 outturn. In financial terms that reduces from £1.196m to £957k.

Scope
In Scope:
. Loss & Gains Policy
. Crown Office network communications
. Crown audit programme
. Security Team tasking
Benefits

The Programme seeks to achieve the following benefits:

Reduce losses by 20%, saving of 239k

Reduce losses across the Crown network by 20%

Reduce losses at the top 10 Crowns incurring debits by 30%

Robust retail system providing awareness and accountability for losses

2. PROGRAMME STRATEGY

The Crown Loss Programme strategy targets 3 key areas:

Awareness
. Ensure risks are clearly identified, monitored and reported to support
business loss board by monthly performance figures
. Re-implement the Annual Declaration of Compliance
. Review and communicate the L&G Policy to BM along with requirement

to drive down business losses

POST OFFICE INTERNAL
Prevention

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POST OFFICE INTERNAL

Review root cause analysis of the main reason for actual losses
Review the current Crown audit programme to prioritise intervention
visits based upon risk

Conduct Security Health Checks using a standardised ‘Crown Toolkit’ of
worst performing Crowns utilising both Regional Support Advisors and
Security Operations colleagues

Where BM request assistance in dealing with L&G at their Branch, the
necessary resources are informed and tasked

Enforcement

Establish a regular Crown Loss and Gains Forum with key stakeholders
in the business

Ensure adequate supervision of the Escalation Process is conducted in
order to provide robust yet fair implementation across the Crown
Network

Where fraud is suspected, Investigations are conducted in a timely
manner

3. POLICY

The current policy is due for review and as such the Security Team have taken the
opportunity to lead on a review. After consultation from key stakeholders within the
Network, a new policy has been drafted which incorporated the roll-out of Monthly
Balancing. Key changes:

Roles and Responsibilities. Individual roles and responsibilities are
detailed in the Policy

Annual Declaration of Compliance. The new Policy seeks to reinstate
the Annual Declaration of Compliance. This is not a time consuming
requirement but allows the BM to ensure they are aware of security
requirements and areas requiring attention.

Security Education. All Branch colleagues must attend a security
related Team Talk at least bi-annually. Where losses and gains cannot
be attributed to individuals, the BM should ensure addition training
support is provided.

Snap Checks. All SUs should be subject to a managerial check every
two months. BMs are encouraged to break the check down into
manageable areas/lines rather than checking the full Cash/Stock at the
same time.

Escalation Process. Only colleagues who are attributed to either a loss
or gain are placed on the escalation process. The escalation process is
tied in with the Conduct Code and limits are set on where it must be
implemented.

POST OFFICE INTERNAL
POST OFFICE INTERNAL

4. LOSSES AND GAINS FORUM

Terms of Reference

The Forum will seek to regularly draw together key Stakeholders within the business
and provide an opportunity to work together to address the three key area for the
Crown Loss Programme; Awareness, Prevention and Enforcement. The Forum will sit
every 2 months.

Key Stakeholders

Programme

Manager

Claire Davies
mmercial Securit

Programme Team
‘Tom Pegler
Crown Efficiency

Programme Team I I Programme Team

eae samantha Weston! I Colette McAteer emeroeee) [cael oa)
RSA rapevine ce RE

Roles and responsibilities

There are a number of individuals who will play an important role in ensuring the
success of this Programme:

Sally Smith

Claire Davies
Tom Pegler

Alex Syme
Samantha Weston

Colette McAteer
Jane Graham
Branch Standards
Rep

Provide strategic direction and governance of the
Forum

Chair and overall Programme lead

Governance sign-off on proposed activity

Crown RSA lead on management of losses
Ensure any CTP process changes do not conflict
with L&G Policy

Grapevine Analysis support

TC Analysis support

Audits

POST OFFICE INTERNAL

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