Islamic Relief Worldwide works across multiple jurisdictions in which security, political uncertainty and fragile economies may mean some risk is inevitable. With over 38 years of institutional knowledge and experience, we have in place an active assurance framework and risk management protocols to manage and mitigate risk across the charity and our areas of operation. 
Our Board of Trustees have invested to safeguard our people, those we serve and other stakeholders, the funds and assets entrusted to us and the reputation of Islamic Relief Worldwide.

Assurance framework

The Board is supported by a dedicated Audit and Finance Committee responsible for ensuring that Islamic Relief Worldwide has a robust system of internal control, management, safeguarding, complaints management and audit to manage risk and to take advantage of emerging opportunities. Assessing risk is central to our governance and management. 
Reporting to the Audit and Finance Committee is the independent Internal Audit function. This ensures that there is professional oversight and assurance of adherence to risk management policies and procedures, as well as effective mitigation actions when needed. 

Risk processes

We conduct risk and assurance assessments periodically across each country office, functional division, and department, and at a strategic level by the executive and trustees. 

Islamic Relief Worldwide has deployed an enterprise risk management solution across its country offices and UK offices to streamline and enhance compliance. This supports effective monitoring and reporting on managing risks. 

We carry out quarterly risk management reviews at operational and executive levels, with oversight from Internal Audit, reporting to the Audit and Finance Committee. 

The executive team periodically reviews the charity’s strategic risks.

The Internal Audit function undertakes regular audits, in addition to statutory annual audits and institutional funder audits. All the results are reported to the Audit and Finance Committee, who oversee the implementation of recommendations by the executive team. 

A dedicated team works to enhance our protocols to ensure that our people, and those we serve and work with, are kept safe and secure. The team also manages and responds to complaints, safeguarding matters and whistleblowing. 

We carry out monthly financial reporting, the results of which are reported to the executive team and the Audit and Finance Committee. 

Significant risks

We have identified the following significant risks at an organisational level. The executive monitors specific indicators relating to each risk and implements specific actions with oversight from Internal Audit, the Audit and Finance Committee and the Board of Trustees.

Safeguarding

Islamic Relief made considerable progress in addressing safeguarding in 2021. Increasing staff capacity in 2020 resulted in more training and capacity building of country office teams, as well as a greater ability to investigate concerns and support survivors. Capacity development of country offices is a vital part of embedding and improving safeguarding practices across operations, so we welcomed funding to undertake this through a dedicated project covering our operations in Ethiopia, Somalia, Kenya, Jordan and Afghanistan.
The project developed a strong safeguarding infrastructure through disseminating policies and strengthening processes, procedures, as well as integrating safeguarding into systems such as human resources and procurement. Safeguarding communication materials and comprehensive training packages were developed and delivered to staff at all levels. It also developed staff awareness of the entitlements and rights of those we serve, the behaviour expected of staff, and of complaints mechanisms.
Examples included developing child-friendly complaints mechanisms and raising awareness of children and guardians in Jordan; incorporating safeguarding in each aspect of monitoring and evaluation activity; and ensuring community understanding of the issues at the start of projects in Kenya. In Afghanistan, we strengthened complaints mechanisms in projects serving remote areas, designing culturally sensitive materials and raising the confidence of local community members.
In Somalia, we incorporated safeguarding into an emergency response to flooding, training local people on safeguarding approaches and accessible complaints mechanisms. In Ethiopia, we set up and trained Community Hope Action Teams, resulting in greater transparency in complaints handling, feedback, and dialogue with affected communities. We found innovative methods to work with socially conservative and traditional communities while disseminating safeguarding messages.
We developed a training tool on ‘Preventing Sexual Exploitation Abuse and Harassment’ specifically tailored to the communities that Islamic Relief works with. The tool included animations depicting a variety of safeguarding scenarios and detailing different ways of raising complaints. We used it successfully in remote rural communities as well as urban contexts, resulting in more local people feeling able to raise concerns and provide feedback.
A heavy emphasis was placed on safeguarding training in 2021, recognising that staff in country offices needed thorough knowledge and understanding of safeguarding if they were to practically apply best practice in their respective areas of work. We equipped country directors with regional workshops; delivered training on specific areas such as child protection; and held in-depth online training for 30 country offices.

In addition our network of Safeguarding Focal Points gave country offices advice and support. Staff became more confident of their ability to safeguard, and examples of greater protection and inclusion were evidenced, as well as the development of an environment that enabled our colleagues and those we serve to raise concerns, confident in the knowledge that such concerns would be taken seriously and addressed independently.
As a result, Islamic Relief received 46 safeguarding cases in 2021 of whichwhich two were deemed to not relate to safeguarding. A further 14 related to concerns within the community between community members, with no involvement of Islamic Relief staff. Five cases related to concerns between Islamic Relief staff and community members, and 25 related to concerns between staff members. Of all cases, six were unfounded, two were found to be malicious, and nine cases resulted in formal disciplinary action being taken including five dismissals.
Islamic Relief adheres to best practice as outlined in the CHS Alliance guidelines when undertaking investigations of safeguarding policy breaches to ensure a fair and transparent process. A survivor-centred approach is adopted which places the needs and wishes of the survivor at the heart of our work, providing timely support and interventions to ensure the health, safety and wellbeing of the survivor is at the forefront of our response.
Cases numbers have increased from 2020, evidencing that communities and staff alike are more confident in reporting concerns. Communities also acted to prevent abuse from happening when faced with potential exploitation and felt emboldened to provide feedback on other matters, leading to greater participation and accountability.

Cybersecurity

We take data protection seriously, with strong security measures in place to protect our data in an environment in which there is a growing risk posed by phishing, malware and ransom attacks across all sectors globally. 
Islamic Relief Worldwide has therefore persisted in investing in, and continually monitoring, our security management system and accreditation to relevant security standards. Policies, procedures and regular e-learning are all in place for all staff, and we continue to evolve the effectiveness and robustness of data protection and cyber security controls into 2022 and beyond. 

Governance and reputation

Good governance is essential to deliver effectively for the people we serve, our staff and other stakeholders. Given the fragile and turbulent international context in which we work it is essential to provide robust assurances to our stakeholders. 
All Islamic Relief entities continue to progress complementary implementation plans to enhance good governance under the new governance model introduced in 2020. This year saw rigorous new and expanded training given to trustees, and a revised trustee recruitment policy, ensuring independent trustees will be added to those already elected in due course. We have also revised our constitution. 
Islamic Relief Worldwide continues to refute false or misleading adverse media reports. In addition, we work with the wider sector such as through the UK government’s Tri-Sector Group to address the financial access challenges we face, including the challenges created by banks de-risking and payment de-platforming. Islamic Relief also continues to maintain strong relationships with its financial services providers. 

Fraud and corruption

Risk is always present in challenging environments, humanitarian emergencies and other contexts in which Islamic Relief Worldwide operates. It is therefore essential to ensure funds and resources are not lost. 
Islamic Relief Worldwide continues to develop holistic counter-fraud resilience, which involves nurturing a counter-fraud culture across all Islamic Relief entities. Over the past year, we have enhanced our control processes and standardised procurement across country offices. We will audit these to assess their effectiveness

Financial resilience

We continually monitor risk and opportunities, particularly the evolving economic environment and outlook that affect the economic situation for our funders and those we serve. This includes the recent cut in Foreign, Commonwealth and Development Office (FCDO) funding across the international aid and development sector.
Our strong financial performance during the year has mitigated the risk presented by Covid-19. We continue to work with Islamic Relief family members to determine an enhanced future business model that will enable us to appropriately recover costs and continue to invest in mitigating risks effectively and maximising opportunities.