Securing funding and protecting reputation: Getting SIRS compliance right

For aged care executives, compliance with the Serious Incident Response Scheme (SIRS) has moved from a regulatory expectation to a financial safeguard. With the new Aged Care Act now in effect, failure to report serious incidents on time can jeopardise both funding and licence integrity.

Ian Hadwen, Chief Revenue Officer at Protecht, says SIRS is now a defining test of operational readiness and governance maturity across the sector.

“The regulatory environment in aged care has shifted significantly,” Mr Hadwen said. “SIRS is no longer just about reporting incidents. It is about demonstrating that you have systems and controls in place to identify, respond to, and learn from them.”

The cost of noncompliance

SIRS requires aged care providers to report serious incidents to the Aged Care Quality and Safety Commission within strict timeframes, often within 24 hours. Missing these deadlines, even by a short margin, can have serious implications.

“Providers need to understand that compliance with SIRS is directly tied to their funding and licensing obligations,” Mr Hadwen explained. “If you fall short of the reporting requirements, you are effectively breaching the conditions under which you are allowed to operate.”

He added that the new Act places much stronger accountability on boards and senior executives.

“The Royal Commission was a turning point,” he said. “It put governance and risk management right at the center of aged care. CEOs and boards are now personally accountable for ensuring their organisations are compliant and transparent.”

Automation as protection

Protecht’s Aged Care Bundle was built to help providers meet these new expectations by embedding SIRS reporting, incident management, and compliance tracking into a single digital framework.

Mr Hadwen said the system’s purpose is simple: to make sure critical information flows instantly and automatically to the right people.

“When something happens, you need to know that your escalation pathways are working,” he said. “Automated workflows ensure that incidents are logged, notifications are sent, and follow-ups are completed within the required timeframes. That removes the risk of something slipping through the cracks.”

Protecht’s platform also provides a clear audit trail, allowing providers to demonstrate to regulators that they have acted appropriately.

“It is about visibility and evidence,” Mr Hadwen said. “If an auditor asks what you did and when, you can show exactly how the incident was handled, by whom, and in what timeframe. That transparency is essential for protecting your licence.”

From manual to managed

Despite the new regulatory environment, many aged care organisations still rely on spreadsheets, emails, and manual systems to manage incidents. Mr Hadwen said that the approach is increasingly unsustainable.

“When you are managing compliance across multiple facilities, manual systems simply cannot keep up,” he said. “You cannot track time-sensitive incidents or ensure that escalations are happening when they should. That is where providers are most at risk.”

Protecht’s solution centralises incident data, making it accessible across all sites and management levels. Real-time dashboards give executives and boards a clear view of what is happening across their organisation.

“Executives can see trends emerging before they become problems,” he said. “That means you can intervene early, support staff, and prevent repeat incidents.”

Audit readiness and accountability

The new legislation also introduces a stronger audit regime, giving regulators the power to act swiftly against providers that cannot demonstrate compliance.

“If you are not audit-ready, you are exposed,” Mr Hadwen said. “The Commission can issue a show cause notice, and if you cannot prove that your systems are compliant, you could lose your licence. It is that serious.”

He noted that SIRS compliance is not just about avoiding penalties but about strengthening the organisation as a whole.

“Good governance reduces risk, protects residents, and safeguards reputation,” he said. “If your systems are transparent and your reporting is timely, you are building trust with regulators, families, and staff.”

Building a compliance culture

While Protecht’s technology provides the framework, Mr Hadwen said true compliance comes from culture.

“Technology can automate processes and improve accountability, but compliance is ultimately about people,” he said. “You need leadership that values openness, learning, and continuous improvement.”

He added that organisations should view SIRS not as a burden but as an opportunity to demonstrate their commitment to safety and quality.

“SIRS gives providers a way to show that they are serious about governance,” he said. “If you use it as a tool for learning rather than just reporting, it can genuinely lift performance.”

Future-proofing compliance

As the sector adjusts to the new Aged Care Act, Mr Hadwen believes that providers who invest now in structured compliance systems will be better positioned for the future.

“This is not a one-off change,” he said. “We are entering a period where transparency and accountability are the norm. Providers need systems that can evolve with the regulations and help them stay compliant long-term.”

Protecht’s Aged Care Bundle is designed to do just that. It brings together risk management, incident reporting, and compliance monitoring in a unified platform tailored specifically for aged care providers.

“We have spent years working with providers to build a system that reflects how aged care really operates,” Mr Hadwen said. “It is preconfigured to meet the sector’s regulatory requirements, but flexible enough to grow as those requirements change.”

Protecting funding, safeguarding care

For aged care leaders, the message is clear. In an era of reform and heightened scrutiny, SIRS compliance is no longer a back-office task. It is a frontline defence for financial sustainability and organisational reputation.

“Risk management and compliance are not optional anymore,” Mr Hadwen said. “They are central to funding, licensing, and, ultimately, the quality of care that residents receive.”Protecht’s Aged Care Bundle helps providers meet the reporting and governance obligations of the Aged Care Act 2024 by centralising risk, incident, and compliance management. To learn more, visit https://bit.ly/3LkZeht.