Dr FM Orkin, Director-General, and team Thursday, 10 May 2007 SAMDI Briefing to the Select Committee on Local Government and Administration 2007/08 Budget Dr FM Orkin, Director-General, and team Thursday, 10 May 2007

Presentation Structure Strategic Objectives Report on 2006/07 Outputs Financials: ENE and 2006/07 indications Case study: Monitoring and Evaluation (M&E) training Transformation to the Academy

Strategic Objectives Governance & Administration (G&A) Cluster Priorities Good Governance: Anti-corruption, Gender and disability management, Batho Pele and Public Participation programmes. Capacity of the State: Local Government Strategic Agenda, Skills Assessment and Capacity Building programmes. Macro-organisation of the State: Single Public Service, Integrated Service Delivery and E-Government Service Delivery Projects. Transversal Systems: Integration of Planning and Government-wide Monitoring and Evaluation System.

Strategic Objectives SAMDI 2007/08 to 2009/10 Develop and administer a training framework for curricula and materials. Co-ordinate the provision of executive development programmes for the Senior Management Service. Develop and implement a quality management and monitoring system. Capacitate departments to identify their human resource development needs. Establish and maintain partnerships and links with national and international management development institutes and training providers. Arrange customised training programmes in support of South Africa’s foreign policy within the African Union (AU) and the New Partnership for Africa’s Development (NEPAD).

Strategic Objectives Focus Areas for 2007/08 and Beyond Support JIPSA (Joint Initiative On Priority Skills Acquisition) policy formulation and training. Incubate AMDIN (African Management Development Institutes’ Network) and DRC (Democratic Republic of Congo). Contribute to the ASGI-SA (Accelerated and Shared Growth Initiative for South Africa) through concentrated public sector human resource development activities and operations that will strengthen economic growth and promote social inclusion. Monitoring and Evaluation – refer detail slides. Transformation to the Academy – refer detail slides.

Strategic Objectives Governance of Resources Finance: Successful completion of the Financial Management Improvement Plan; Unqualified Audit Reports for both SAMDI Vote and Trading Account Implementation of computerised debtors management system (Pastel); Introduction of a computerised course-booking and quotation system. Internal Audit: Outsourcing of the internal audit function Reviews on Strategic Management, and Training and Development. Human Resource Management & Development: Implementation of PILIR (Policy and Procedure on Incapacity Leave and Ill-Health Retirement); and Implementation of GEMS (Government Employees Medical Scheme).

Report on 2006/07 Outputs Training Statistics: 1 April 2006 – 31 March 2007 Delivery Unit Actual PTDs 2005/06 2006/07 % Change to Targeted % Realised Change Management and Service Delivery Improvement (CM&SDI) 28,634 21,602 -25 27,000 80 Corporate Resource Management Training (CRMT) 24,008 29,251 22 51,100 57 Management and Leadership Development (M&LD) 26,491 46,293 75 37,100 125 Total 79,133 97,146 23 115,200 84

Report on 2006/07 Outputs Training Statistics: 1 April 2006 – 31 March 2007 Total PTDs (Person Training Days) for 2006/07 represent a 23 % increase on the previous year. However, 2006/07 PTDs are 16% shortfall on the targeted 2006/07 PTDs (a rather ambitious target). The main cause of drop in CM & SDI PTDs is the reduction in requested training by Social Development, which contributed to high numbers in 2005/06. PTDs increased strongly in MLD due to a high intake on middle and junior management programmes, including Mentorship.

Report on 2006/07 Outputs Training Statistics: 1 April 2006 – 31 March 2007

Report on 2006/07 Outputs PTD’s Delivered in Provinces

Report on 2006/07 Outputs Efficiency and Effectiveness Quality Assurance in curriculum development and review. Course-participants’ assessment. User surveys. Monitoring and Evaluation. Proportionately, SAMDI produces the same rate of person training days (PTDs) as, for example, the UK National School of Government.

Report on outputs: an emerging partnership with DPLG and SALGA Programme Municipality Limpopo Sekhukhune Municipalities in 9 provinces Uthungulu 260 Municipalities in 9 provinces LG municipalities PSLDP management PSLDP policy Ethics management Gender mainstreaming Supply chain management Consultation services SCM for senior managers EMDP

An emerging partnership with DPLG and SALGA: the roadmap An intradepartmental committee between DPLG and SAMDI was established in 2006 to co-ordinate activities of SAMDI at the local government level. Are seeking to establish a periodic forum which will include SALGA for dialogue, progress mapping, programme updates and decisions on multilateral activities. Develop and explore new and emerging development opportunities. Initiate joint planning and strategic development processes for long range curriculum development, norms and standards. Implement trilateral reporting mechanisms.

Estimates of National Expenditure SAMDI: Vote 11 Budgeted Expenditure – 2007/08 to 2009/10 Description 2007/08 R’000 2008/09 2009/10 Compensation of Employees – Vote 11 17,500* 19,400* 22,400* Goods and Services 22,800* 25,800* Current Payments 40,300 42,200 48,200 Capital Assets 1,600 2,400 1,700 Augmentation of SAMDI Training Trading Account 29,200* 31,300* 37,400* Total Budgeted Expenditure 71,100* 75,900* 87,300* (*) The figures include the additional funding of R 10 million for ’07/8; R 15 million for ’08/9; and R 25 million for ’09/10 respectively, for developments under the new Academy.

Estimates of National Expenditure SAMDI: Training Trading Account (TTA) Revenue and Expenditure - 2007/08 to 2009/10 Description 2007/08 R’000 2008/09 2009/10 Revenue: Course fees 38,300 43,800 48,300 Other non-tax revenue 200 Transfers received 29,200 31,300 37,400 Total revenue 67,700 75,300 85,900 Expenditure: Compensation of Employees - TTA 31,200 33,700 37,200 Goods and services 34,700 39,800 46,800 Depreciation 300 Total expenses 66,200 73,700 84,200 Projected Surplus 1,500 1,600 1,700

Economic classification Budget to Actual Expenditure State of Expenditure as at 31 March 2007 SAMDI: Vote 12 (Parliamentary Grant) Economic classification 2005/06 2006/07 Actual Expenditure as at 31 March ’06 R’000 Budget 31 March ‘07 Variance Budget to Actual Expenditure Compensation of Employees 10,956 13,667 13,228 439 Goods and Services 16,423 19,393 19,520 (127) Capital Assets 3,220 2,789 2,611 178 Provincial and Local Government 34 10 Augmentation of SAMDI Training Trading Account 24,754 23,059 Total 55,387 58,918 58,428 490

Economic classification State of Revenue and Expenditure SAMDI: Training Trading Account as at 31 March 2007 Economic classification 2005/06 2006/07 Actual as at 31 March’06 R’000 Budget 31 March ’07 Variance Budget to Actual Course fees 37,921 33,000 42,636 9,636 Augmentation Received 24,754 23,059 Total Revenue 62,675 56,059 65,695 Compensation of Employees 18,724 27,885 22,261 5,624 Goods and Services 24,143 27,805 36,263 -8,458 Depreciation 420 288 - Provincial & Local Government 55 20 16 4 Total Expenditure 43,342 55,998 58,540 -2,542 Surplus / (Deficit) 19,333 61 7,155 7,094

State of Revenue & Expenditure SAMDI: Vote 12 & Training Trading Account as at 31 March 2007 The minor (less than 1%) total under-spending of R 490,000 (0.83%) on the Vote is primarily due to vacancies on the staff establishment. Training Trading Account The surplus for the 2006/07 financial year is as a result of the enhanced debt recovery process.

Government-Wide Monitoring & Evaluation System Background Aims and objectives The aim of the system is to contribute to improved governance and enhanced effectiveness of public sector institutions. The system aims to collect, collate, analyse and disseminate information on the progress and impact of programmes. Result Areas Accurate information on progress in the implementation of public sector programmes is updated on an ongoing basis; Information on the outcomes and impact achieved by government is periodically collected and presented; The quality of monitoring and evaluation practices in government and public bodies is continuously improved. Ensure transparency and accountability; Promote service delivery improvement; Ensure compliance with statutory and other requirements; and Promote a learning culture in the public sector.

Government-Wide Monitoring & Evaluation System Institutional Responsibilities Principles and Standards Reporting and Databases Capacity Building Work Stream Lead Agency OPSC DPSA SAMDI Partner Agencies Presidency Stats SA National Treasury SITA DPLG

Government-Wide Monitoring & Evaluation System SAMDI Capacity Building Strategy Progress Report Terms of reference developed for Task Team. 15 Workshops on M&E for programme and Project Management (340 officials). Initial needs analysis on provincial M&E capacity. Consultation with key stakeholders (8 March ‘07). Plan of Action Research on M&E training needs - SMS, MMS, JMS, practitioners (March ‘07). Determine current providers of M&E - HEIs, privates, NGOs etc. (March ‘07). Undertake training needs analysis for M&E (May ‘07). Develop M&E training programme (Sept ‘07); roll-out (Nov. ‘07).

Transformation to the Academy Indication of Demand: ENE Training Spend

Transformation to the Academy SAMDI: Need for Paradigm Shift R1 billion p/a spent in departments but 43% of staff in provincial departments reported no training in 2006. International benchmarks suggest at least 5 days training per annum: For approx. 250,000 middle and junior managers requires 1,25 million PTDs p.a.; Allowing for 60% of training already occurring in departments still requires 0,5 million PTDs p.a. For induction, staff turn-over is 120 000 people p.a. requiring another 0,2 million PTDs. Thus, the total-demand driven requirement is 0,7 million PTDs: nearly 10 times SAMDI’s present output!

Transformation to the Academy Vision and Activities Three “mantras” Provision to facilitation. Competition to collaboration. Selective coverage to massification. First main stream of activity Executive development programmes for SMS. Entrant, lower and upper SMS: programmes, courses and events. In collaboration with universities and counterparts. Second main stream of activity “Massified” management training for junior and middle managers. Training frameworks of curriculum, materials; monitoring and evaluation to regulate numerous outsource providers; The induction programme for new entrants at all levels.

Transformation to the Academy 2006/7 Sources of SAMDI Outputs

Transformation to the Academy Learning framework: tentative harmonised modules Performance levels Human Res. Supply Chain Information Information Immigration Pensions Induction Finance Finance People Projects Culture Other Other Other Senior Middle Junior Supervisor Generic competencies Functional competencies Sectoral competencies

Transformation to the Academy Projects for Internal Task Teams Audits of junior and middle management courses Planning and implementing the training framework Enhancing the monitoring and evaluation system Streamlining accreditation processes Planning for massified induction programme Preparing for service provider mobilisation Planning executive programmes for SMS level Recasting delegations and policies Scoping operational system for outsourced training Conceive a knowledge management system

Transformation to the Academy Engagement with Provinces Consultation and collaboration with provinces and other stakeholders are a key foundation for establishing the Academy. Engagement at the Technical President’s Co-ordinating Council On 28 – 29 March SAMDI, provincial HRD units and academies, incl. DPSA, DBSA, DPLG & SAQA came together as stakeholders to talk and share training and development in the matters. Some of the key outcomes of this gathering include: Support for the establishment of the Academy and its strategy; Endorsement of a need to network, share, copy from each other and populate the learning framework; A follow-up workshop involving the same stakeholders A forum for Heads of Academies and DDGs HRD. Mobilisation of stakeholders as a collective response to capacity building needs of the public service The configuration of the training and development landscape in the public service was also discussed (see next slide)

Transformation to the Academy Engagement with Provinces - continued The configuration of the training and development landscape in the public service and the Academy’s relationship other important stakeholders and institutions was also discussed.

Transformation to the Academy Engagement with Provinces - continued NATIONAL PROVINCIAL LOCAL Internal providers External providers: HEIs FETs Private Dedicated colleges: Justice, Foreign Affairs, Defence, Police, etc. PSETA and other SETAs authorised by SAQA to accredit unit standards Support:: International & Profess. assns Provincial sites of national depts

Transformation to the Academy The challenging way forward Executive development programmes. Learning framework for massified middle and junior management learning. Curricula and material development, quality assurance and accreditation. Provider and user relations; M&E of large-scale provision. Provincial infrastructure. Research capacity and networking. Continental support for Management Development Institutes, international relations. Impending restructuring process.

Siyabonga Thank you Rolivhuwa Dankie Nakhensa Re a leboga