GUIDE FOR THE PREPARATION OF ANNUAL REPORTS Nols du Plessis National Treasury 26 October 2005

Overview of Presentation General information Programme performance Report of the Audit Committee Annual Financial Statements Human Resource Management Aim of overseeing performance

General information

General information Formal submission of annual report to Executive Authority Introduction by Head of Department Information on the Ministry Mission statement indicating the departments unique purpose Legislative mandate which refers to the Legislation that governs the existence of the department and it’s operations.

Programme Performance

Programme Performance Section 27(4) of the PFMA requires the submission of measurable objectives for each main division Key measurable objectives, programmes and achievements Strategic overview and key policy developments for the financial year Transfers to other institutions Must provide a narrative on the services provided by public entities Capital Investment, maintenance and asset management

Report of the Audit Committee

Report of the Audit Committee Effectiveness of internal control systems within departments Quality of in-year management and monthly / quarterly reports submitted in terms of the PFMA Evaluation of the annual financial statements of the department Can report on other matters, e.g. compliance with laws and regulations

Annual Financial Statements

Annual Financial Statements Management report deal with the state of financial affairs, the activities and the results of the department / institution Important information included: Corporate governance issues, Public Private Partnerships, capacity constraints and discontinued activities Report of the Auditor-General / external auditor. Any qualification or “emphasis of matter” should be followed up and discussed Notes to the annual financial statements also contain useful information e.g. unauthorised expenditure, irregular and fruitless and wasteful expenditure

Human Resource Management

Human Resource Management Information published in this part of the annual report are required in terms of Public Service Regulations Statistical tables provide high level information on key human resource issues The information aims to empower legislatures, the public and other key stakeholders to monitor whether departments: exercising the powers granted under PSA achieving national transformation priorities e.g. employment equity Information included: Service delivery, employment and vacancies, disciplinary issues, skills development and performance rewards

Aim of overseeing performance

Aim of overseeing performance To ensure that provincial interest are taken into account To evaluate whether the reported performance is in line with the entity’s strategic plans and budgets To evaluate whether performance is acceptable given the operating environment To assess how the entity might improve on its performance in future Focus is on: How can service delivery be improved in future?

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