Page 26 - Cinnamon Network Annual Report 2019/20

RISK MANAGEMENT
Cinnamon Network UK’s risk management process takes account of of a a a a a a a number of of considerations including internal factors such as as team expertise cash and and donation levels and and the current commitments and and external factors including competition within the sectors changing trends and and alterations in in in in in legislation Each risk is is is then given a a a a a a a a a rating based on on on on the the the level of impact it may have on on on on the the the operation of of the the charity against the the likelihood of of any negative impact occurring Major risks identified by the the the Cinnamon Leadership Team at the the the end of the the the reporting period were
as follows:
Risk
Current levels of financial reserve need to to grow to to give Cinnamon the foundation it needs to expand its activities Progress made in 2019/20
A significant restructure of the charity was carried out in September 2018 reducing the number of key management personnel and moving international work into a a a a a separate charity to to allow this to to grow and flourish independently of the UK activities This significantly reduces the amount of unrestricted expenditure moving forward Investment in in a a new integrated financial and database system
has also helped to streamline
the charity's operations and improve efficiency The Trustees have been watchful of the situation and everyone is aware that this is is a a a transition stage National Lottery Community Funding funds have started the completion of the toolkit now branded Cinnamon Connect
to provide a conduit for our Church Engagement Work Further mitigating activities in 2020/21
Continuing progress will be made in in in controlling ongoing expenditure and maximizing fundraising opportunities However now the full extent
of of the the costs of of the the International operation are known (totalling nearly £300k of unrestricted funds) it it is clear that despite all the steps taken it will take take until the end of 2021/2022 to to move to to positive unrestricted funds and then to to start to to build reserves During this year the plan is is to develop
a a a wider Senior Leadership Team A focus on developing individual members of the the team to maximise their potential and offer them opportunities for career development within the Charity The Cinnamon team are starting to develop
plans to to begin to to monetise certain elements of of our offering The reduction of the Cinnamon Executive Team responsible
for the day day to day day running of the charity to just two Growing cuts to the public sector will increase competition for funding from trusts and foundations Cinnamon Network charity no 1156985 Annual Report 1 1 1 April 2019 – 31 March 2020 26 RISK MANAGEMENT