1. Accountability: an EU perspective
Raymond Hill European Commission March 2017

2. Content Accountability – more than just another buzzword!
Managerial accountability – the answer to everything?
Internal v External accountability
So – you want to improve accountability then…
Oh dear! There are some limitations to accountability

3. Accountability – an icon of good governance
For PIFC reforms – what the EU is really looking for is an accountable civil service that aims to achieve national policy objectives in an efficient, effective and economic manner, and in compliance with the law.
For those applying the COSO framework – decentralised managerial accountability is a cornerstone of the reforms.
Nowadays, law-makers, tax payers and civil society are all demanding more and more accountability.

4. The EU uses the term "Managerial Accountability"
Managerial accountability is a collective of
Administrative performance (legality and regularity),
and
Managerial performance (achievement of objectives and efficiency).
Accountability systems tend to evolve during an Internal Control reform process, moving from administrative accountability to managerial accountability.

5. Internal v External Internal
No one person or single part of an organisation can deliver all organisational objectives.
Needs a delegation framework that allows everyone to know what to do and what they are expected to deliver.
External
How should an organisation demonstrate its accountability to the public?

6. Internal accountability
Responsibility – clear division of tasks within an organisation.
Authority – achieved by the delegation of decision making power and by allocating resources so that managers have the right to decide (or at least influence) how to execute the tasks for which they are responsible.
Autonomy - Strategic space. More autonomy implies clarity of objectives and responsibility for results.

7. What do external stakeholders want to know
Information on quality and timeliness of results, improving service delivery, and mitigating risks linked to adverse aspects of operations.
Operations are managed with integrity and in compliance with applicable law.
Controlling costs and using government resources efficiently, effectively and economically.

8. Some benefits of managerial accountability
Improved performance,
More employee participation and involvement,
Increased feelings of competency,
More creativity and innovation, and
Higher employee morale and satisfaction with the work.

9. Improving accountability sounds easy
So what are the challenges to defining and implementing accountability systems?

10. Typical challenges encountered
There are many types of accountability – how to define it?
Lack of understanding of managerial accountability: managers try to control every detail.
Lack of delegation or unclear delegation procedures do not allow to identify managerial responsibilities.
Internal auditors and financial staff are not sufficiently independent – they may not feel able to tell 'the truth'.

11. Improving accountability - Policy recommendations
Devise a managerial accountability framework
Strategic planning that links the government's overall vision to organisational objectives
Operational planning that links operational objectives to resource requirements
Guidelines for risk management
Guidelines for the use of discretion
Protection of whistle-blowers
Key performance indicators

12. Improving accountability – what the top manager can do
Make annual objective setting a serious business function – not a bureaucratic exercise
Align employee and organisational objectives
Monitor progress on objectives
Make candid staff evaluations
Do not avoid conflict
Be a role-model

13. Some limitations of managerial accountability
Inconsistency of time
Incompetence or negligence of staff
Risks in public performance reporting
Genuine errors

14. Conclusions
Accountability reforms have shifted attitudes from reliance on rules towards discretion, flexibility and performance.
Accountability is not just unidimensional or linear.
There are different degrees of desired accountability in different EU Member States.
Accountability reforms are often interlinked with public administration reforms and public financial management reforms.

15. Types of accountability
Based on the nature of the forum
Political
Legal
Administrative
Professional
Social
Based on the nature of the actor
Corporate
Hierarchical
Collective
Individual
Based on the nature of the conduct
Financial
Procedural
Product
Based on the nature of the obligation
Vertical
Diagonal
Horizontal

16. Managerial accountability – measuring maturity levels
Basic – Basic Internal Control mechanisms are present. Objectives are stated at a basic level.
Developed – Managers can influence the scope of work in their area of responsibility. Funds are linked to some degree to performance targets
Advanced – Managers maximise the added value of their service. Delegation of responsibility and authority is in place. Results and budget are very closely related.

17. Principles for effective accountability
Clearly defined roles
Clear performance expectations
Balance between opportunity and risk
Balanced expectations and capacities
Credible reporting
Reasonable review and adjustment