Code of Corporate Governance for Chief Constable of Lincolnshire

1. Introduction

1.1. Governance is about how organisations ensure that they are doing the right things, in the right way, for the right people, in a timely, inclusive, open and accountable manner. It comprises the systems, processes, culture and values by which organisations are directed and controlled, and through which they account to, engage with and, where appropriate, lead their communities.

1.2. The principle statutory framework within which the corporation sole Chief Constable of Lincolnshire Police operates is:

• Police Reform and Social Responsibility Act 2011
• Policing Protocol Order 2023
• Financial Management Code of Practice for the Police 2018
• Strategic Policing Requirement (Home Office 2023)

1.3. The Chief Constable has a statutory responsibility for the control, direction and delivery of operational policing services provided by the Force.

1.4. This Code of Corporate Governance describes how the Chief Constable of Lincolnshire discharges his responsibilities in this respect.

1.5. A Joint Internal Audit Committee (JIAC) will operate in line with Chartered Institute of Public Finance and Accountancy (CIPFA) guidance and within the guidance of the Financial Management Code of Practice to provide assurance of effective delivery of good governance.

1.6. In accordance with the CIPFA/Society of Local Authority Chief Executives (SOLACE) guidance on corporate governance the Chief Constable is required to produce an Annual Governance Statement (separate from that of the Police and Crime Commissioner of Lincolnshire) to show how his organisation has complied with this code of corporate governance.

2. Principles of good governance

2.1. The CIPFA/SOLACE Framework Delivering Good Governance in Local Government sets out seven core principles and the standard on which all local government bodies, including police should assess themselves and on which effective governance should be built. The seven principles are:

• Behaving with integrity, demonstrating strong commitment to ethical values, and respecting the rule of law.
• Ensuring openness and comprehensive stakeholder engagement.
• Defining outcomes in terms of sustainable economic, social and environmental benefits.
• Determining the interventions necessary to optimise the achievement of the intended outcomes.
• Developing the Force’s capacity, including the capability of its leadership and the individuals within it.
• Managing risks and performance through robust internal control and strong public financial management.
• Implementing good practices in transparency, reporting and audit to deliver effective accountability.

The first two principles underpin the whole 2016 Framework and are implicit in the remaining five principles. The Framework also emphasises that local government organisations must try to achieve their objectives while acting in the public interest at all times.

2.3. To achieve this, a framework has been formulated locally which ensures that these principles are fully integrated in the conduct of the Chief Constable’s business as well as establishing a means of demonstrating compliance.

2.4. The Chief Constable can also demonstrate that the systems and processes in place are:

• Monitored for their effectiveness in practice
• Subject to annual review to ensure they remain up-to-date
• The following diagram illustrates the seven principles of good governance in the public sector and how they relate to each other:

Relationships between the principles of good governance in the public sector

3. Lincolnshire Police Governance Framework

3.1.The governance framework adopted by the Police and Crime Commissioner for Lincolnshire and the Chief Constable of Lincolnshire consists of the following high-level documents, collectively known as the “Integrated Scheme of Governance”:

• Scheme of Consent
• PCC’s Scheme of Delegation
• Chief Constable’s Scheme of Delegation
• PCC and Chief Constable’s Financial and Contract Regulations

3.2. The Integrated Scheme of Governance provides a framework to make sure business is carried out efficiently and ensuring decisions are not unnecessarily delayed.

3.3. The Joint Internal Audit Committee will review the framework and this code annually to ensure compliance with the CIPFA/SOLACE Framework for Delivering Good Governance.

4. The Code of Corporate Governance

4.1 The Chief Constable developed a Code of Corporate Governance which incorporates the core good governance principles, develops these in a local context, and sets out the arrangements for reviewing their effectiveness.

4.2 The following paragraphs show how good governance is delivered by the Chief Constable against each of the seven core principles.

4.2.1. A: Behaving with integrity, demonstrating strong commitment to ethical values, and respecting the rule of law.

The Chief Constable will achieve this through:

• Ensuring that the Chief Constable, chief officers and staff behave with integrity and lead a culture where acting in the public interest is visibly and consistently demonstrated thereby promoting and upholding the reputation of the Force among its stakeholders.
• Ensuring the Chief Constable and chief officers lead in establishing specific standard operating principles or values for their organisations and staff and that they are communicated and understood. The values should build on the Nolan Principles and the Code of Ethics.
• Leading by example and using above standard operating principles or values as a framework for decision making and other actions.
• Demonstrating, communicating and embedding the standard operating principles or values through appropriate policies and processes which are reviewed on a regular basis to ensure that they are operating effectively.
• Seeking to understand, monitor and maintain the organisation’s ethical performance.
• Underpinning personal behaviour with ethical values and ensuring they permeate all aspects of the organisation’s culture and operation.
• Developing and maintaining robust policies and procedures which place emphasis on agreed ethical values.
• Ensuring that external providers of services on behalf of the organisation are required to act with integrity and in compliance with ethical standards expected by the organisation.
• Ensuring the Chief Constable, chief officers and staff demonstrate a strong commitment to the rule of law as well as adhering to relevant laws and regulations.
• Creating the conditions to ensure that statutory chief officers, other key post holders and (where appropriate) statutory committees are able to fulfil their responsibilities in accordance with best practice.
• Striving to use full powers for the benefit of citizens, communities and other stakeholders.
• Dealing with breaches of legal and regulatory provisions effectively.
• Ensuring corruption and misuse of power are dealt with effectively.
• Setting out the Force values in the corporate and strategic plans.
• Ensuring that arrangements are in place for confidential reporting by police staff, police officers and stakeholders.

4.2.2. B: Ensuring openness and comprehensive stakeholder engagement.

The Chief Constable will achieve this through:

• Ensuring an open culture through demonstrating, documenting and communicating the Force’s commitment to openness. The presumption is for openness. If this is not the case, a justification for the reasoning for keeping a decision confidential should be provided.
• Making decisions that are open about actions, plans, resource use, forecasts, outputs and outcomes.
• Providing clear reasoning and evidence for decisions in both public records and explanations to stakeholders and being explicit about the criteria, rationale and considerations used. In due course, ensuring that the impact and consequences of those decisions is clear.
• Using formal and informal consultation and engagement to determine the most appropriate and effective interventions/courses of action.
• Effectively engaging with institutional stakeholders to ensure that the purpose, objectives and intended outcomes for each stakeholder relationship are clear so that outcomes are achieved successfully and sustainably.
• Developing formal and informal partnerships to allow for resources to be used more efficiently and outcomes achieved more effectively.
• Ensuring that partnerships, including collaborations, are based on trust, a shared commitment to change, and a culture which promotes and accepts challenge among partners and that the added value of partnership working is explicit.
• Establishing a clear policy about the type of issues on which the Force will meaningfully consult with, or involve, individual communities, citizens, service users and other stakeholders to ensure that a service (or other) provision is contributing towards the achievement of intended outcomes.
• Ensuring that communication methods are effective and that the Chief Constable and officers are clear about their roles with regard to community engagement.
• Encouraging, collecting and evaluating the views and experiences of communities, citizens, service users and organisations of different backgrounds including reference to future needs.
• Implementing effective feedback mechanisms for consultees to demonstrate how their views have been considered.
• Balancing feedback from more active stakeholder groups with other stakeholder groups to ensure inclusivity.
• Taking account of the interests of future generations of taxpayers and service users.
• Collaboration agreements setting out areas of business to be undertaken jointly with other forces or partners, whether to reduce costs, increase efficiency or capability to deliver policing services and protect communities.

4.2.3. C: Defining outcomes in terms of sustainable economic, social and environmental benefits.

The Chief Constable will achieve this through:

• Having a clear vision – an agreed formal statement of the organisation’s purpose and intended outcomes containing appropriate performance indicators which provides the basis for the organisation’s overall strategy, planning and other decisions.
• Specifying the intended impact on, or changes for, stakeholders including individual citizens and service users. It could be immediately or over the course of a year or longer.
• Delivering defined outcomes on a sustainable basis within the resources that will be available, while recognising that changing and unforeseen demands will place additional pressure on financial resources.
• Identifying and managing risks to the achievement of outcomes as part of delivering goods and services.
• Managing expectations effectively with regard to determining priorities and making the best use of the resources available.
• Considering and balancing the combined economic, social and environmental impact of policies, plans and decisions when taking decisions about services.
• Taking a longer term view with regard to decision making, taking account of risk and acting transparently where there are potential conflicts between the Chief Constable and the chief officer’s intended outcomes and short term factors such as the political cycle or financial constraints.
• Ensuring fair access to services.
• The Force Management Statement (FMS) sets out the Force will operate to support the strategic direction of Lincolnshire Police and achieve Force objectives and priorities set by the Chief Constable in line with the PCC’s Police and Crime Plan. The FMS is an annual requirement set by His Majesty’s Inspectorate of Constabulary and Fire and Rescue Services (HMICFRS) for forces to produce.
• Developing the annual budget cycle and medium term financial planning strategy jointly with the PCC to ensure delivery of key priorities.

4.2.4. D: Determining the interventions necessary to optimise the achievement of the intended outcomes.

The Chief Constable will achieve this through:

• Ensuring that decision makers receive objective and rigorous analysis of a variety of options indicating how intended outcomes would be achieved and including the risks associated with those options. Therefore ensuring that best value is achieved however services are provided.
• Considering feedback from citizens and service users when making decisions about service improvements, or where services are no longer required, in order to prioritise competing demands within limited resources available including people, skills, land and assets, and bearing in mind future impacts.
• Establishing and implementing robust planning and control cycles that cover strategic and operational plans, priorities and targets.
• Engaging with internal and external stakeholders in determining how services and other courses of action should be planned and delivered.
• Considering and monitoring risks facing each partner when working collaboratively, including shared risks.
• Ensuring arrangements are flexible and agile so that the mechanisms for delivering outputs can be adapted to changing circumstances.
• Establishing appropriate performance measures as part of the planning process to assess and inform how the performance of the services and projects is measured.
• Ensuring capacity exists to generate the information required to review service quality regularly.
• Preparing budgets in accordance with government funding announcements, organisational objectives, strategies and the medium term financial plan.
• Informing medium and long term resource planning by drawing up realistic estimates of revenue and capital expenditure, together with estimates of grant, precept, and other income streams, aimed at developing a sustainable funding strategy.
• Ensuring the medium term financial strategy aligns with service priorities within the limits of affordability and other resource constraints.
• Ensuring that the budgeting process is comprehensive, including the full cost of operations over the medium and longer term.
• Ensuring the medium term financial strategy sets the context for ongoing decisions on significant delivery issues or responses to changes in the external environment that may arise during the budgetary period in order for the outcomes to be achieved while optimising resource usage.
• Using the medium term financial strategy to provide a framework for evaluating future proposals and changes to assumptions, cost base or income streams.
• Ensuring suitable process and governance structure is in place for scrutiny, analysis and evaluation of major change plans, including option appraisals, techniques for assessing the impact on service delivery outcomes, potential savings and benefits realisation of alternative approaches.
• Ensuring the achievement of ‘social value’ through service planning and commissioning.

4.2.5. E: Developing the Force’s capacity, including the capability of its leadership and the individuals within it.

The Chief Constable will achieve this through:

• Reviewing operations, performance and asset management on a regular basis to ensure their continuing effectiveness.
• Improving resource use through appropriate application of techniques such as benchmarking, priority-based budgeting and other options in order to determine how policing resources are allocated so that defined outcomes are achieved effectively and efficiently.
• Recognising and promoting the benefits of collaborative working where added value can be achieved through partnerships.
• Developing and maintaining an effective workforce plan to enhance the strategic allocation of resources.
• Developing protocols to ensure that appointed leaders fully take on their respective roles early on in their tenure and that a shared understanding of roles and objectives is maintained.
• Publishing a statement that specifies the types of decisions delegated and those reserved for the collective decision making of the governing body.
• Ensuring the Chief Constable and chief officers have clearly defined and distinctive leadership roles within a structure whereby the chief officers lead by implementing strategy and managing the delivery of services and other outputs set by the PCC and/or Chief Constable, and each provides a check and balance for each other’s responsibility.
• Ensuring the functions and areas of responsibility for the Office of the PCC and the Force are set out clearly in the Integrated Scheme of Governance.
• Ensuring a suitably qualified Chief Finance Officer is appointed in the statutory role stipulated by the Police Reform & Social Responsibility Act 2011.
• Developing the capabilities of the Chief Officer Team to achieve effective shared leadership where appropriate and to enable the organisation to respond successfully to changing legal and policy demands as well as economic, political and environmental changes and risks.
• Ensuring the Chief Constable, chief officers and staff receive appropriate induction tailored to their role and that ongoing training and development matching individual and organisational requirements is available and encouraged.
• Ensuring that the Chief Constable, chief officers and staff have the appropriate skills, knowledge, resources and support to fulfil their roles and responsibilities and ensuring that they are able to update their knowledge on a continuing basis.
• Ensuring that police officers and police staff have job descriptions setting out their responsibilities.
• Ensuring personal, organisation and system-wide development through shared learning, including lessons learnt from governance failures both internal and external.
• Taking steps to consider the leadership’s own effectiveness and ensuring leaders are open to constructive feedback from peer review and inspections.
• Holding staff to account through regular performance reviews which take account of training or development needs.
• Ensuring arrangements are in place to maintain the health and wellbeing of the workforce and support individuals in maintaining their own physical and mental wellbeing.

4.2.6 F: Managing risks and performance through robust internal control and strong public financial management.

The Chief Constable will achieve this through:

• Recognising that risk management is an integral part of all activities and must be regarded as a continuous process.
• Implementing robust and integrated risk management arrangements and ensuring that they are working effectively.
• Ensuring that responsibilities for managing individual risks are clearly allocated.
• Ensuring that the Force is risk aware and that its risk appetite is defined and communicated clearly to those responsible for making decisions.
• Monitoring service delivery effectively including planning, specification, execution and independent post implementation review.
• Making decisions based on relevant, clear, objective analysis and advice, considering the implications and risks inherent in the Force’s financial, social and environmental position and outlook.
• Ensuring an effective scrutiny or oversight function is in place which encourages constructive challenge and debate on policies and objectives before, during and after decisions are made thereby enhancing the Force’s performance and that of any organisation for which it is responsible.
• Providing the Chief Constable and chief officers with regular reports on service delivery plans and on progress towards outcome achievement.
• Ensuring there is consistency between specification stages (such as budgets) and post implementation reporting (e.g. financial statements).
• Aligning the risk management strategy and policies on internal control with achieving the Force’s objectives.
• Evaluating and monitoring the Force’s risk management and internal control on a regular basis.
• Ensuring effective counter fraud and anti-corruption arrangements are in place.
• Ensuring additional assurance on the overall adequacy and effectiveness of the framework of governance, risk management and control is provided by the internal auditor.
• Ensuring an independent audit committee or equivalent group or function, which is independent of the executive and accountable to the PCC and Chief Constable, provides a further source of effective assurance regarding arrangements for managing risks and maintaining an effective control environment and that its recommendations are listened to and acted upon.
• Presenting risk reports to the Joint Internal Audit Committee (JIAC) on a regular basis.
• Ensuring effective arrangements are in place for the safe collection, storage, use and sharing of data, including processes to safeguard personal data.
• Ensuring effective arrangements are in place and operating effectively when sharing data with other bodies.
• Reviewing and auditing regularly the quality and accuracy of data used in decision making and performance monitoring.
• Ensuring financial management supports both long term achievement of outcomes and short term financial and operational performance.
• Ensuring well developed financial management is integrated at all levels of planning and control, including management of financial risks and controls.
• Ensuring regular review and adherence to the integrated scheme of governance including consents, financial limits, standing orders for contracts and detailed arrangements for financial management and decision making set out within the financial regulations and contract regulations.

4.2.7: G: Implementing good practices in transparency, reporting and audit to deliver effective accountability.

The Chief Constable will achieve this through:

• Writing and communicating reports for the public and other stakeholders in an understandable style appropriate to the intended audience and ensuring they are easy to access and interrogate.
• Striking a balance between providing the right amount of information to satisfy transparency demands and enhance public scrutiny while not being too onerous to provide and for users to understand.
• Reporting at least annually on performance, value for money, and the stewardship of resources to stakeholders in a timely and understandable way.
• Ensuring the Chief Constable and chief officers own the results.
• Assessing the extent to which the Force is applying the principles contained in the Framework and publishing the results of this assessment including an action plan for improvement and evidence to demonstrate good governance in action (the AGS).
• Ensuring the performance information that accompanies the financial statements is prepared on a consistent and timely basis and the statements allow for comparison with other similar entities.
• Ensuring that the Framework is applied to jointly managed functions as appropriate.
• Ensuring that recommendations for corrective action made by external audit are acted upon.
• Ensuring an effective internal audit service, with direct access to the Chief Constable, chief officers and audit committee, provides assurance with regard to the Force’s governance arrangements, and produces recommendations which are acted upon.
• Welcoming peer challenge, reviews and inspections from regulatory bodies and implementing recommendations as appropriate. Gaining assurance on risks associated with delivering services through third party suppliers and that this is evidenced in the AGS.
• Ensuring that when working in partnerships, arrangements for accountability are clear and that the need for wider public accountability has been recognised and met.

5. Arrangements for Review of Governance

5.1. The Chief Constable has put in place the following arrangements to review the Code of Corporate Governance and its effectiveness.

5.2. The Chief Constable will regularly test the structure by carrying out a thorough and wide ranging self-assessment.

5.3. The Chief Constable will conduct an annual review of this code and the practices, policies, procedures and guidance which give effect to it through its audit committee.

5.4. The Chief Constable will prepare an annual governance statement in compliance with the audit regulations having regard to the recommendations of its audit committee.

5.5. The Chief Constable will respond to and where appropriate implement any recommendations of its internal and external auditors relating to governance.

October 2023

[1] CIPFA ‘Delivering Good Governance in Local Government’ guidance notes for Policing Bodies in England and Wales (2016).