How does a registering body ensure an RTO continues to comply with the Standards
for Registered Training Organisations?
Continuing registration depends on a registered training organisation’s ongoing
compliance with the AQTF Essential Conditions and Standards for Continuing Registration.
This is determined by the state or territory registering body through ongoing monitoring
and auditing. The extent to which each RTO is monitored and audited by the registering
body throughout its registration period is based on an assessment of risk using
information about the RTO’s performance and its operating context. Agreement to
participate in audits is a requirement of registration.
When and why do audits occur?
Audits of training organisations occur for registration, within 12 months of initial
registration, re-registration, variation to scope, following a complaint and in
a process of risk management.Depending on the reason, audits varied from a full
audit examining the organisation’s practices and procedures, to a partial
audit or desk-based audit of documentation only. Where possible, audits are
undertaken for multiple purposes to minimise the disruption to the RTO.
What is the ‘national risk management approach’?
Consistent with international efforts to drive better regulation in the belief that
‘… removing unnecessary regulation releases energy, promotes innovation and improves
productivity’, the AQTF National Guideline for Risk Management supports an approach
that will mean that when training organisations are delivering high-quality training
and assessment services they will receive less monitoring by registering bodies.
On the other hand, training organisations assessed as currently presenting a 'high
risk' to the achievement of quality outcomes for their clients, and to the vocational
education and training (VET) system in general, will receive regular monitoring
and attention through audit, with the aim of improving their performance outcomes
and achieving a lower risk audit. As a result, registering bodies’ resources will
be used more effectively to assist in improving the quality of training organisations
and thus the VET system.
The risk management guideline outlines the processes used by registering bodies
in determining arrangements for the assessment of all registration applications,
including applications for initial registration, renewal of registration and extensions
to scope of registration. It recognises that each training organisation has a unique
and dynamic business environment and mode of operation. Accordingly when assessing
the risk of an RTO at a given point in time, registering bodies take into account
all the relevant information about a training organisation’s current performance.
Its operating context may also have an impact for risk management; for example,
some qualifications that lead to licensed outcomes may be treated as high risk and
result in higher levels of intervention from the registering body irrespective of
the RTO's performance outcomes.
For more information on risk management and how it affects you as an RTO see the
risk management guideline from the publication AQTF National Guidelines for a Registering Body.
What is a strategic industry audit?
Each year, states and territories conduct a number of strategic industry audits
focussing on particular industries, types of qualifications being delivered, training
delivery type, delivery organisation or state or territory priority. These
are identified through each jurisdiction’s risk management process.
Who conducts audits?
The registering body will conduct audits of the registered training organisation.
An audit may be conducted by a single lead auditor or by an audit team consisting
of a lead auditor, one or more auditors and/or a technical adviser. Audits of an
RTO operating in more than one state or territory will be managed by the registering
body that registered the RTO. Arrangements for the conduct of AQTF audits outside
the state or territory in which the RTO is registered are described in the AQTF
National Guideline for Conducting Audits of the Inter-Jurisdiction operations of
an RTO. This guideline is to be found in the publication AQTF National Guidelines for a Registering Body. The registered
training organisation will be required to pay any fees set by the registering body
for these audits.
Can an organisation be assured information gained during audit will remain confidential?
Registering bodies comply with the Standards for State and Territory Registering
Bodies when auditing a registered training organisation. These standards require
management of any conflict of interest and include confidentiality requirements
for all individuals involved in the registration process.
What happens if an RTO does not comply?
If an RTO is found by the registering body to be non-compliant with the AQTF Conditions
and Standards for Continuing Registration, the registering body must ensure that
the RTO rectifies this non-compliance within a reasonable timeframe and takes steps
to prevent its recurrence.
Should the RTO not satisfactorily rectify the non-compliance, the registering body
will consider applying a sanction to manage actual or potential risks to consumers
and to the integrity of the national VET system. The type of sanction will be determined
by the nature and extent of non-compliance and the degree of risk it presents to
consumers and the VET system. The registering body will also take into account factors
such as the RTO’s compliance history when determining which sanctions, if any, may
be applied.
Sanctions could include:
- the imposition of specific conditions on registration
- amendment of registration (including a reduction in the scope of registration)
- suspension of registration
- cancellation of registration.