Delegations Policy

Introduction

This policy outlines the framework under which the Board of Skills Insight may delegate its responsibilities. Delegations of authority serve as the means through which Skills Insight enables its officers to act on behalf of the organisation.

This policy has been established on the foundation of Skills Insight values, behaviours and strategies and all actions must be consistent with them. In the event of any conflict between this policy and the values, behaviours and strategies of Skills Insight, we request that you promptly notify the Chief Executive Officer for resolution.

Purpose

The Delegations Policy aims to establish a structured framework for delegating authority within Skills Insight. This framework enhances operational efficiency, accountability, and effectiveness among the staff. The policy applies to all Board members, managers and staff, who hold delegated authority to act and sign documents on behalf of Skills Insight.

Delegations are a key element in effective governance and management of Skills Insight and provide formal authority to particular staff to commit the organisation and/or incur liabilities for the organisation.

Delegations within Skills Insight are designed to achieve the following objectives:

Policy

The Board of Skills Insight bears the responsibility for the organisation’s management. As per the Corporations Act 2001 Australia and regulation under the Australian Charities and Not for Profit Commission) ACNC and Skills Insight’s Constitution, the Board possesses the authority to delegate its functions, except for the power of delegation itself and functions reserved exclusively to the Board under the Act.

Skills Insight Constitution states with regards to the Board:

45. Responsibility and Powers
    45.1 The Board is responsible for both the governance and management of the company.
    45.2 The Board must by regulation* delegate the management of the company to the Chief Executive Officer.
    45.3 The Board may exercise all powers of the company on its behalf.
    45.4 The Board may delegate its powers as it considers appropriate.
    45.5 No delegation by the Board under this clause limits the duties and liability of each Director

However, the Board cannot delegate its power:

• To adopt Skills Insight’s strategic plan
• To adopt Skills Insight’s annual budget

The board delegates to the CEO the responsibility of:

• Promoting the interests and development of Skills Insight
• Managing the administrative, financial, and other business aspects of Skills Insight
• Exercising general supervision over the organisation’s staff and volunteers

The CEO may, with Board approval, usually via an organisational chart and organisational policies, delegate any function, power, or duty vested in them under this policy to staff members, individuals, or committees while adhering to the guidelines specified in this policy.

Board Delegates Records

The Secretary must maintain records of any delegations to members of the Board and of the terms of reference of any sub-committees of the Board.

Processes

• The overarching delegation’s policy applies to Skills Insight as a whole,
• Delegations are to be exercised within the framework of the Act, regulations, rules, policies, and any external legislative requirements.
• Any delegation may be made subject to any conditions and limitations the Board approves.

Delegation Procedures

Delegations to members of the Board:

Delegations to members of the Board shall be made by resolution of the Board and recorded in the minutes of the Board.

Delegations to sub-committees of the Board:

Delegations to sub-committees of the Board shall be made by resolution of the Board and recorded in the terms of reference of the sub-committee.

Delegations to the Chief Executive Officer:

Delegations to the Chief Executive Officer and through the CEO to members of the staff of Skills Insight shall be made by resolution of the Board and recorded in this policy’s Delegation Schedules.

• Delegations are attached to the position occupied, not to the occupant of the position. The responsibilities of a position appear in a duty statement, role statement or statement of responsibility appropriate to the position.
• Delegations reflect Skills Insight’s organisational structure. Levels of authority are hierarchical through relevant lines of responsibility up to and including the CEO. This means that formal authorities held by any delegate are included in those held by that delegate’s supervisor or line manager. A delegate who sub-delegates authority remains responsible and accountable for the decision or action.
• The CEO may at any time vary or terminate any delegation, subject to confirmation by the Board at its next meeting.
• A delegation cannot be exercised where the officer holding the delegation has a conflict of interest or where the delegation will result, either directly or indirectly, in any tangible benefit to the delegate. In such cases, a transfer of the function to another appropriate position must be arranged with the CEO.
• Sub-delegation on a temporary basis is appropriate in circumstances where the officer normally responsible is absent for a period of more than two weeks by reason of authorised leave or secondment to other duties.
• This policy applies only to formal delegations. All delegations of an informal nature where no commitment or liability is incurred on behalf of Skills Insight are carried out in the normal business of the organisation without the requirement for a written authority.
• Where an employee is acting in a higher position, by a decision of the CEO, that person will hold the delegation level appropriate to the higher position unless otherwise determined by the CEO.
• Financial Delegation is also covered by this policy and specific financial delegations in the schedule as attached is part of this policy.
• The Board will, on advice from the CEO, approve the Delegations Schedule on an annual basis.

Financial Delegation Procedures

The CEO generally has authority for financial approvals, except for:

• Items listed in the delegation schedule.
• Significant expenses that meet any of the following conditions:
  • They fall outside the approved annual budget.
  • They do not align with the approved strategic plan.
  • They introduce significant new risks (risks not documented in the risk register or reported previously to the board).

Payment Signatories:

• Primary Signatory: The CEO, or another board-appointed primary signatory.
• Secondary Signatories: A director, typically the Board Chair, and other designated directors as needed.
• Payments must follow a dual-signature process to ensure oversight.

Accountability and Compliance:

• All spending must adhere to Skills Insight’s governance processes and be authorized in alignment with board, JSC grant, management, and legislative requirements.

Board Approval for Commitments:

• Any anticipated commitments need initial board approval in principle and should be documented in the organization’s operational, strategic, and budget plans. These plans are reviewed annually and updated quarterly.
• Further board approval isn’t needed unless:
  • The commitment changes in a way that would materially affect the overall Skills Insight budget.
  • The expenditure has financial, political, or industry impacts that diverge significantly from prior board reports or from the agreed-upon strategy.

CEO’s Approval Role:

• The CEO (or a delegated Executive Officer) must approve any commitment in line with the approved delegation schedule.

Contract Expenditure

Skills Insight generates most of its income via contracts for work with government and occasionally with other organisations. Most of these contracts are reoccurring and reported to the board as part of the budgetary process. The potential for new contracts are also reported to the board.  This reporting to the board, and in lieu of any objections to proposed contracts by the Board, provides the CEO with the authority to enter into and sign such contracts and to expend to the amounts of income in the contracts as per the contract budget (where applicable).

Most contracts have the requirement that all of the funding provided by the contract must be spent on the outcomes and activities outlined by the contract. This feature effectively provides a spending parameter for the CEO to work within for most contracts. For contracts not requiring full expenditure of funds, contract surpluses are allocated to retained earnings for Board decisions regarding future use which will often be via the annual or quarterly budget and expenditure reporting.

Operational Expenditure Delegation Limits and Principles (consistent with delegation schedule attached).

Most expenditure will be pre-approved via the Board acceptance of the annual budget, a particular policy statement e.g., sponsorship or a proposal endorsed by Directors as part of a meeting or via email. The CEO has the delegated authority to expend to approved budgets as per reports and proposals endorsed by the Board.

For items not within the designation of the budget the CEO has the delegated authority to expend up to $5,000 on any one operational item without prior approval of the board, providing expenditure is in keeping with company policy and is directed toward achieving outcomes in a strategic plan, a report to the Board or a contract commitment in a contract approved by the board. Approval of this expenditure will be made via the signatory process and in subsequent financial reports to the Board.

Any expense items not reflected in the budget and in excess of $5,000 must be presented to the board for approval. In urgent cases, the CEO can seek approval by email from board of directors; however emergency expenditure can be approved by the chairperson or the deputy chair prior to reporting this expenditure to the Board.

Expenditure on individual operational items such as catering, accommodation, meals, travel, office maintenance/repair, IT maintenance/repair, recruitment, advertising/branding, printing/stationary/postage costs may be incurred, within budget by managers delegated by the CEO as per the delegation schedule.

Authorisation via signing of cheques and money transfers

Two signatories are required to check (a primary and secondary signatory), authorise, and sign each expenditure request. The primary management signatory will be the CEO.

The primary signatory will be held accountable for approving an electronic transfer payment. The secondary signatory (a director, usually the chair) is responsible for ensuring that approval has been given by the primary signatory and expenditure is consistent with board budgets and policy and consistent with delegated authority.

The primary signatory is to give approval for each transfer via an expenditure request form, via fax, email or presented face to face. The recipient of a payment cannot approve and sign for a payment that they will receive. (With exception of standard Director payments as per scheduled meetings of the board and the primary signatories’ standard salary payments and documented expense reimbursements).

When a payment outside of those mentioned above is being made to one of the signatories, or the organisation they are employed by, an alternative director will need to authorise the transaction.

Payments are to be authorised by the primary signatory, only if a valid tax invoice has been issued or other relevant documentation for subscriptions, services, software licences, salaries, reimbursement and expenses and proper financial processes subject to audit are adhered to.

The board can approve amendments to current signatories, through the usual board meeting and bank related processes.

Payment of Incoming Invoices

The finance manager is responsible for adhering to the established financial processes, (accountant and auditor endorsed processes) when paying incoming invoices. This includes ensuring that invoices are genuine, accurate, services have been received and payments are made into correctly identified bank accounts utilising approved internal bank account identification protocols.

The finance manager will oversee and monitor incoming invoices to ensure the expenses are within budget and processed correctly with authorisation relevant to the delegation schedule.

Feedback and Amendments

Organisations change over time, and as a result, their policies must also adapt accordingly. If you identify any aspect of this policy that requires adjustment or updating, please reach out to the Executive who will follow a policy review process as endorsed by the CEO.

Related Documents

This policy is to be read in conjunction with other relevant policies, including:

• Audit and Risk Charter
• Credit Card Policy

Delegation Schedule

This Delegation Schedule is designed to provide clarity on decision-making responsibilities across the organisation. It categorises key decisions, identifies areas requiring specific authority, and ensures transparency around approval processes. The goal is to empower staff, streamline operations, and minimise organisational risk while maintaining accountability.

*It is assumed that all decisions will align with organisational policies. This is considered a condition for all delegations listed in the following schedule.

Board of Director delegations