Building a lasting foundation for success in aged care through effective Governance, Risk and Compliance management

As the new Aged Care Act reshapes the sector, senior leaders need to prioritise governance, risk and compliance (GRC) management to provide a lasting foundation for a sustainable business model as well as ensuring compliance with both the letter and spirit of the law.

This still rings true following the Australian Government’s critical call to delay the new Act from 1 July to 1 November, 2025.

From November, the new Act places heightened accountability on responsible persons to ensure robust governance, risk and compliance practices, while also embedding person-centred and high-quality care throughout.

Responsible persons are required to exercise due diligence to ensure that the registered aged care provider complies with its statutory obligations. This includes taking reasonable steps to prevent adverse effects on the health and safety of individuals in care.

The duty involves understanding the risks associated with services provided and ensuring that appropriate measures, such as incident management, staff training and compliance tracking are in place to manage these risks.

Responsible persons must also assess the likelihood and severity of potential harm, know or be aware of risk prevention methods, and ensure resources and processes are available to mitigate risks.

These duties are nothing new for executives, directors and board members, however, the embedded responsibilities in the Act come with civil penalties and no one can afford to be complacent with these strengthened duties.

Protecht is a leader in enterprise risk management in the aged care sector. An expert in GRC practices, it brings together all the tools to measure and monitor risk as part of a holistic approach that builds bridges across individual silos to support quick and effective risk management.

Protecht’s platform ensures that aged care providers have the right data at the right time, empowering both leadership teams and those on the ground to act quickly, manage risks effectively, and provide the highest standard of care with confidence.

“Protecht’s system has been developed for over 20 years and now provides comprehensive risk and compliance management to a wide range of sectors,” shared David Tattam, Protecht’s Chief Research and Content Officer.

“For the Aged Care Sector, it provides an integrated approach to managing all of the risk related requirements of the new Act, such as incident management, risk assessments, compliance and whistleblowing, as well as providing a business platform to better manage the uncertainties that can impact upon sustainable success.”

At an upcoming webinar hosted by Protecht on Tuesday, 17 June, Mr Tattam and Chris Martin, Director – Client Success at Law Compliance, will further explore how governance, risk and compliance can serve as the foundation for transforming aged care organisations to meet both the letter and the spirit of the Act.

The webinar, GRC in aged care: Transforming your organisation under the Aged Care Act, offers aged care leaders — including CEOs, directors and board members, department heads and CFOs — a rare opportunity to discover what a practical framework for success looks like ahead of the new Act’s arrival.

A live role-play session simulating questions from legal counsel will also showcase how this approach holds up to real-world scrutiny.

Mr Tattam said accountability for change is spread throughout the highest levels of leadership in aged care, and it’s essential for those at the top to establish GRC practices and systems that support all workers, including frontline staff.

“The new Act requires buy-in and effort from every person across your organisation, which means that ‘Everyone’s a Risk Manager!’,” he emphasised.

“This requires developing and maintaining the right risk and safety culture and providing effective, efficient and easy to use tools to support all staff in playing their role in risk management and compliance.

“Protecht understands that aged care is about more than just meeting regulations — it’s about ensuring the dignity, safety, and well-being of those who paved the way.”

Why enterprise risk management matters in aged care

Effective risk management is critical for aged care providers to navigate the complexities of the new Act while maintaining a focus on sustainable, quality care for older people.

Protecht’s GRC system offers a greater level of risk management consistency, resulting in increased understanding and engagement from staff.

With Protecht’s easy-to-use system that includes seamless incident reporting, risk assessments, and compliance tracking — whether on a desktop, tablet, or mobile device — frontline staff and leaders at all levels will be equipped with the tools they need to manage risks and meet regulatory obligations.

This is incredibly important as the sector evolves in line with the new Act and elements such as the Strengthened Quality Standards. In particular, an effective GRC system means providers are accessing real time data necessary for site audits that are an integral part of new provider registration processes.

The new regulatory model will see government-funded aged care providers moved to registration categories based on the services they deliver. Audits will continue to play a key ole in the registration and renewal process, with data accessibility and quality reporting essential tools to help.

Providers armed with the right insights can strengthen their foundation for continuous improvement ahead of major regulatory transformation.

“Risk and compliance can be seen as a burdensome overhead when not understood and not managed effectively,” Mr Tattam added.

“Protecht can change this by redefining the way your organisation thinks about and manages risk and compliance. Having a single source of truth consisting of relevant and timely information is both efficient and enables data-driven decisions and insights across the business.”

By partnering with Protecht, aged care providers can leverage a powerful GRC platform to simplify governance, manage risks effectively, and ensure compliance.

With real-time data, automated workflows, and a focus on continuous improvement, Protecht empowers providers to deliver care that upholds dignity and respect while meeting regulatory demands aligned with the incoming Aged Care Act 2024.