Public Confidence in Professional Regulation: Earn It, Keep It Council on Licensure, Enforcement and Regulation Toronto, Ontario June 7, 2012 Photo © Michael.

Public Confidence in Professional Regulation:

Earn It, Keep It

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Photo © Michael Haegele/Corbis

© CLEAR 2012

Doing the Right Things

Bruce G. MatthewsReal Estate Council of

Ontario

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Overview

• Why regulate?

• What are the “right things”?

• What aren’t the “right things”?

• Understanding and managing consumer expectations

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Why Regulate?

• Regulation as risk management and risk mitigation

• Risk to individuals and risk to the “public welfare” and “public interest”

• “Right touch regulation”

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Right Touch Regulation

‘Right touch regulation is based on a proper evaluation of risk, is proportionate and outcome focused; it creates a framework in which professionalism can flourish and organizations can be excellent. Excellence is the consistent performance of good practice combined with continuous improvement’

– Harry Cayton, Chief Executive, CHRE (UK)

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Right Touch Regulation

• Identify the problem first• Assess and quantify the risks• Focus on outcomes• Use regulation only when necessary• Keep it simple• Be mindful of unintended

consequences• Review and be responsive to change

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

The Right Touch Process

• Identify the problem– Does it represent a risk?

• Assess the risks– What are they and how significant are

they?– Are they being managed now?

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

The Right Touch Process

• Assess the scope of the problem

– Local versus universal

• Is regulation an appropriate solution?

• Assess the potential for unintended consequences

– Does the solution create its own risks?

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Laws of Right Touch Regulation

1. Apply the minimum regulatory force needed to achieve the desired outcome.

2. Use regulation as a last resort.

3. A list is not a solution.

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

What are the “Right Things”?

• Setting standards

– Qualification / Practice / Conduct

• Establishing processes

• Enforcing the law

• Communications

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Setting Standards of Qualification

• Knowledge, skill and judgment

• These are minimums required to permit unsupervised practice and use of restricted titles

• Setting the bar

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Entry to Practice Process

• Assessing knowledge, skill and judgment

• Issues of education, training and experience

• The regulator as gatekeeper

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Setting Standards of Practice

• Technical performance / execution of day to day responsibilities

• Controlled acts

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Setting Standards of Conduct

• Behaviours

• Code of Conduct / Code of Ethics

• Issues of fairness, honesty, integrity, professionalism

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Enforcing the Standards

• The regulator as shepherd

• Governance of practitioners

• Complaints / Discipline process

• Issues of openness and transparency

• Issues of fairness, due process, justice

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Dealing with Unlicensed Practice

• Dealing with charlatans, pretenders

– Overt and covert

• Proactive and reactive approaches

• The regulator as a police force

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Communication

• The public can’t have confidence in a regulator that it doesn’t know exists

• Opportunity to be proactive

• Managing the message

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

What aren’t the “Right Things”?

• Advocacy

• Anything perceived as being primarily in the interest of members

• Anything unrelated to risk management and risk mitigation

• Anything heavy-handed

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Consumer Expectations

• What does the public care about?

• Perception versus reality

• Accessibility

• Customer service

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Summary

• A philosophy of right touch regulation will facilitate public confidence

• Doing the “right things” is a package deal

• Understanding consumer expectations about the “what” and the “why” is key

Council on Licensure,

Enforcement and Regulation

Toronto, Ontario

June 7, 2012

Speaker Contact Information

Bruce G. MatthewsDeputy Registrar, Regulatory ComplianceReal Estate Council of Ontario3300 Bloor Street WestWest Tower, Suite 1200Toronto, ON M8X 2X2T: 416-207-5149E: [email protected]