1. KEY PERFORMANCE AREAS REQUIRING THE ATTENTION OF EAs AND HoDs
PRESENTATION TO THE PORTFOLIO COMMITTEE FOR PUBLIC SERVICE AND ADMINISTRATION
13 JUNE 2012 11
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2. 22
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3. Contents of this Presentation
Overarching imperative: improve the quality of service delivery.
PRIORITY ONE: Better performance management
PRIORITY TWO: Improve accountability through more effective financial management
PRIORITY THREE: Use people better through improvements in Human Resource Management
PRIORITY FOUR: Root out corruption and maladministration by addressing ethics and integrity
CONCLUSION: Acting decisively on what we know needs to be done 33
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4. Overarching Imperative: Improve the Quality of Service Delivery
The proof of public service performance is the quality of service delivery, especially to the most marginalised and vulnerable populations
Evidence suggests (very clearly) that performance is poor and in some cases getting worse
Improving the quality of service delivery requires that a number of areas of public management be addressed urgently 44
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5. Priority One: Better Performance Management
Improve the quality of strategic planning and address the “black box” that characterises so much policy, especially that which seeks to address poverty and social and economic development
Improve the quality of performance reporting and act on what is revealed from such reporting
Improve performance management of personnel and impose sanctions for non performance
In 2010/11 the AG found that –
54% departments have difficulty in developing targets that are specific and measurable
41% of departments have a lack of evidence to support the information in the annual performance report 55
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6. PRIORITY TWO: Improve accountability through more effective financial management
Address matters raised in Audit Opinions
Put controls in place to prevent unauthorised, irregular as well as fruitless and wasteful expenditure
Address risk management (only 66% of departments have adequate risk management systems in place) 66
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7. 77
PRIORITY TWO: Improve accountability through more effective financial management
Expenditure vs performance
Department
% of budget spent
Performance
2010/11
2011/12
Labour
99.5%
43.4%
Dti
93.6%
98.9%
51%
Agriculture
97.4%
99.3%
35%
COGTA
99.7%
96%
44%
Public Works
89.8%
88.8%
Mineral Resources
99.9%
99.1%
63%
Energy
97.9%
99.6%
47%
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8. 88
PRIORITY TWO: Improve accountability through more effective financial management
Expenditure vs performance (cont)
Department
% of budget spent
Performance
2010/11
2011/12
Transport
99.2%
67%
Basic Education
89.4%
91.4%
47%
Health
96.6%
99%
37%
RDLR
97.7%
98.3%
41%
Justice
99.9%
50%
SAPS
100%
98.9%
59%
Correctional Services
95.3%
98%
56% 
Communication
66.7%
89.5%
42% 
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9. PRIORITY TWO: Improve accountability through more effective financial management
Audit Outcomes for national departments 99
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10. NO OF NATIONAL DEPARTMENTS
The PFMA requires accounting officers to take reasonable steps to ensure that unauthorised, irregular as well as fruitless and wasteful expenditure is prevented and detected Leadership’s inability to address issues relating to financial discipline and the failure to reform the systems and internal controls for financial reporting, are amongst the reasons for the poor financial performance
The PFMA requires accounting officers to take reasonable steps to ensure that unauthorised, irregular as well as fruitless and wasteful expenditure is prevented and detected
Leadership’s inability to address issues relating to financial discipline and the failure to reform the systems and internal controls for financial reporting, are amongst the reasons for the poor financial performance
2009/10
NO OF NATIONAL DEPARTMENTS
AMOUNT
UNAUTHORISED EXPENDITURE
Incurred 6
R802m
IRREGULAR EXPENDITURE 34
R2.3b
FRUITLESS AND WASTEFUL EXPENDITURE 28
R1.6b
1010
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11. PRIORITY THREE: Use our people better through improvements in Human Resource Management
Fill vacancies
High turnover rate in respect of professionals/SMS members
Although the vacancy rate is high, organograms are not always fully funded
Long time to fill vacancies impacts on service delivery
Develop skills
Distribution of personnel is skewed in some departments (dominated by lower and semi-skilled employees)
Manage misconduct conclusively and ruthlessly
1111
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12. PRIORITY THREE: Use our people better through improvements in HRM
PRIORITY THREE: Use our people better through improvements in HRM
Department
(Dec ‘11)
Vacancy rate
Average period vacant
(months)
Prof/SMS
Rest
Labour
8.6% 7%
9.8
Dti
10.7%
14.2% 5
COGTA
27.2%
16.3%
20.8
Public Works
20.8%
11.7%
23.1
Agriculture
19.1%
12.1%
7.41
Mineral Resources
15.1%
14.7%
15.8
Energy
9.41%
10.5%
5.3
Transport
25.2%
27.9%
29.6
Basic Education
36.6%
34.8%
12.7
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13. PRIORITY THREE: Use our people better through improvements in HRM
PRIORITY THREE: Use our people better through improvements in HRM
Department
(Dec ‘11)
Vacancy rate
Average period vacant
(months)
Prof/SMS
Rest
Health
61.1%
54% 25
RDLR
12.9%
18.2%
4.7
Justice
18.4%
9.5%
9.4
SAPS
13.7%
5.4% 46
Correctional Services
30.44%
13.8%
9.2
Communication
38.70%
36.2%
31.1
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14. PRIORITY THREE: Use our people better through improvements in HRM
PRIORITY THREE: Use our people better through improvements in HRM
Skills profile1
Department
Lower
Semi
Skilled
Professionals/SMS
Labour
40.9%
47.3%
10.8%
1.1%
Dti
9.6%
31.1%
42.8%
16.6%
COGTA
17.3%
27%
30.4%
25.3%
Public Works
50%
26.4%
20.8%
2.8%
Agriculture
56.4%
26.9%
15.2%
1.4%
Mineral Resources
23.5%
27.9%
41.2%
7.4%
Energy
13.1%
28.6%
45.8%
12.6%
Transport
10.3%
29.6%
41%
19.1%
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2010/11 Annual Report 14

15. PRIORITY THREE: Use our people better through improvements in HRM
PRIORITY THREE: Use our people better through improvements in HRM
Skills profile1 (cont)
Department
Lower
Semi
Skilled
Professionals/SMS
Basic Education
12.3%
26.0%
50.3%
11.4%
Health
31.7%
30.7%
29.3%
8.3%
RDLR
9.0%
58.7%
28.7%
3.6%
Justice
53.8%
23.6%
11.0%
11.6%2
SAPS
55.8%
39.8%
4.0%
0.4%
Correctional Services
29.4%
59.2%
Communication
6.2%
27.0%
36.5%
30.3%
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2010/11 Annual Report
Includes Magistrates and Judges 15

16. PRIORITY THREE: Use our people better through improvements in HRM
PRIORITY THREE: Use our people better through improvements in HRM
Critical Skills Shortages 1
Department
Critical skills
Labour
Mine Health, Safety Engineers, Medical Practitioners
Dti
Economists, Trade and Industry Advisors
COGTA
Senior Managers
Public Works
Architects, town and traffic planners, Engineers, Quantity surveyors
Agriculture
Engineers, Engineering Technician, Geologists, geophysicists, hydrologists, natural sciences
Mineral Resources
Engineer, Cartographers, IT, Legal
Energy
Library
Transport
“On the sector scares skills list”
Basic Education
Educators
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/11 Annual Report and other sources 16

17. Critical Skills Shortages 1 (cont)
Critical Skills Shortages 1 (cont)
Critical Skills Shortages 1 (cont)
Department
Critical skills
Health
Chemists, Financial related
RDLR
Architects, Surveyors
Justice
Building and Property Caretakers, Social Workers
SAPS
Aircraft Pilots; Architects; Chemists (Physical Science, Chemical Science, Pharmacists & Health Science); Engineer & related professionals (Electronic & Engineering science); General Legal Administration (Attorneys, Legal Administration & Legal related); Natural science; Police (Functional Personnel SAPS) and Psychologists & vocational science.
Correctional Services
Psychologists, vocational counselors, senior managers
Communication
Communication and Information Related
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/11 Annual Report and other sources 17

18. PRIORITY FOUR: Root out corruption and maladministration by addressing ethics and integrity
Follow up on every case reported to the National Anti- Corruption Hotline
Systematically implement the Financial Disclosures Framework and manage potential conflicts that the senior managers may have between their private business interests and their official responsibilities
Act decisively to punish and prevent financial misconduct
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19. PRIORITY FOUR: Root out corruption and maladministration by addressing ethics and integrity
National Anti-Corruption Hotline
Cases referred to Departments
Provincial Departments
4843
National Departments
4599
Public Bodies
427
TOTAL
9869
Feedback received
1994
1822
287
4103
Cases closed
1102
1312
238
2652
42%
27%
1919
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20. Financial Disclosures
NATIONAL DEPARTMENT/PROVINCE
COMPLIANCE RATE
National Departments
97%
Eastern Cape
87%
Free State
84%
Gauteng
95%
Kwazulu-Natal
Limpopo
98%
Mpumalanga
92%
Northern Cape
North West
Western Cape
100%
OVERALL PROVINCIAL SUBMISSION
COUNTRY TOTAL
2020
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21. PRIORITY FOUR: Root out corruption and maladministration by addressing ethics and integrity
Financial Misconduct
The number of cases of financial misconduct reported to the PSC is suspiciously low given the high rate of unauthorised, irregular and fruitless and wasteful expenditure
Increase in the cost of financial misconduct over the past 5 years
Insufficient investigative capacity
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22. Conclusion: Acting decisively on what we know needs to be done
Conclusion: Acting decisively on what we know needs to be done
Little of this analysis is new and has been presented to Parliament repeatedly over a number of years
The lack of significant improvement must be addressed
Public Service performance must improve in critical areas for intervention by the developmental state (social, economic, infrastructure)
The Public Service must do things differently and show progress to raise confidence of the Executive, Parliament and society broadly
Strengthen capacity in key areas to get things done-
Human Resources Management
Skills shortage and distribution
Monitoring and Evaluation
Mobilise public participation/ensure effective community participation
Strengthen Parliamentary oversight to engage on performance information
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23. THANK YOU!
2323
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