Don Larkin

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Australias Uranium Conference 2007 15-16 May
2007, Darwin NT

• Don Larkin
• Chief Executive Officer
• Australasian Institute of Mining Metallurgy

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Australias Uranium Conference 2007

• OFFICIAL WELCOME
• Continuing professional development
• A vital component of risk management
• for both employer and employee.

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Australias Uranium Conference 2007

• What is Risk Management?
• What is a Profession?
• The AusIMM as a Professional Body
• Chartered Professional Recognition
• My Contention and Conclusion.

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Risk Management AS/NZS 43602004

• Risk management involves managing to achieve an
  appropriate balance between realising
  opportunities for gains whilst minimising losses
• Risk management involves establishing an
  appropriate infrastructure and culture
  (identifying, analysing, evaluating, tracking,
  monitoring and communicating risks)
• Organisations that manage risk effectively and
  efficiently are more likely to achieve their
  objectives and do so at lower overall costs.
• Standard to provide guidance.

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Risk Management Main Elements - Process

• Communicate and consult
• Establish the context
• Identify risks
• Analyse risks
• Evaluate risks
• Treat risks
• Monitor and review

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Risk Management other vital components

• Training and education awareness -
  professionalism
• Formal recognition of qualifications,
• experience and training
• Workplace practices and culture
• Manage liability exposure (mining law,
• environmental, pollution, heritage,
• trade practices, contract, corporations, IR,
• anti-discrimination and sexual harrassment,
• taxation and common law, etc.)

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What is a Profession?

• Professions Australia defines a profession
• as a disciplined group of individuals who
• adhere to ethical standards and uphold
• themselves to, and are accepted by the public
• as possessing special knowledge and skills
• in a widely recognised body of learning
• derived from research, education and training
• at a high level, and who are prepared to
• exercise this knowledge and skills
• in the interests of others.

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This Definition Implies

• A Code of Ethics governs the activities
• of each profession
• These codes are enforced by the profession
• and are acknowledged and accepted
• by the community
• Special knowledge and skills
• Derived from research, education
• and training at a high level
• Applied to the service of the community.

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The Code of Ethics should stress

• The independence of the practitioners
• That their responsibility for the welfare, health
  and safety of the community shall at all times
  come before their responsibility to the
  profession, to sectional or private interests or
  other members of the profession
• Members shall perform work only in their areas of
  competence
• The professional body shall encourage its members
• to continue their professional development
• throughout their careers
• The professional body shall encourage its members
  to actively assist and encourage professionals
  under their direction to advance their knowledge
  and skills.

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The AusIMM as a Professional Body

• Professionals in the Minerals Sector
• Tertiary qualified Geologists, Metallurgists,
• Mining Engineers and others
• Ethics, Codes of Conduct, JORC, Valmin
• Fellows and Chartered Professional Recognition
• Member Services, Branches, Careers,
• Employer Support
• Advocacy and Representation
• Continuing Professional Development
• Employer Base Diverse
• Dealing with an Informed Client

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Challenges in Global Industry

• Globalisation and centralisation of ownership
• Investment options increasing in a cyclical
  industry
• Increasing emphasis on social and environmental
  impacts
• High technology and productivity
• Exploration and RD vital Sustainability of
  Industry
• Attractiveness and careers Skills
  shortages/Demographic destiny
• Increasing emphasis on risk management and
  governance

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Chartered Professional Recognition

• Four core disciplines Geology, Metallurgy,
  Mining Engineering, Environment plus Management
• No legal accountabilities that state a
  professional must be qualified in a specific
  discipline in order to practice (except
  Queensland for Engineers and Mine Managers
  (coal)).
• Peer assessment or competency based assessment.
• CP Accreditation, CP Maintenance, National
  Accreditation and International Accreditation.
• On the job learning versus structural
  listening or reading towards listen/discuss/res
  earch and doing.

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My Contention

• Whether you are an individual professional or a
  legal entity it is essential that you manage your
  risks.
• An individual or company can best manage their
  risks
• by being diligent
• Membership of a professional institute with Codes
  of Practice, ethical procedures and a commitment
  to CPD can assist greatly in management of risks.
• For a professional due diligence includes
  awareness
• and training through continuing professional
  education and being recognised by your peers that
  you have undertaken the necessary CPD and have
  the relevant experience
• A vital component of risk management is thus
  continuing professional education and
  development, and
• Ethics in Education and CPD are a vital component
  of professionalism.

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What The AusIMM has done

• Reviewed and modernised its Code and By-Laws
• Applied for and received ACCC exemption under the
  Trade Practices Act
• Streamlined process and introduced a Complaints
  Committee separate from Ethics Committee
• Composition of Ethics Committee more distant from
• Board of Governance
• Persuade ASX/ASIC to recognise formally Codes
• as Industry best practice and to police
• Global industry internationalisation of codes
• Document processes and procedures, legal advices
• and precedents
• Encouraged Professions Australia to establish,
  website, principles, links, papers, workshops and
  study
• Ethics in Education.

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Conclusion

• Risk Management ? Due Diligence ? Awareness ? CPD
• Essential ingredient of professionalism is CPD
  supported by best practice codes of conduct,
• ethical procedures and sanctions, however
• there are many challenges.
• How far do (or can) professional bodies
• go in raising the conduct bar beyond what
• is required by law?
• Welcome