1. Presentation to the PCD&MV 26 August 2015
Department of Defence 1st Quarterly Financial and Non-Financial Performance Report FY2015/16
Presentation to the PCD&MV
26 August 2015

2. AIM
To present the Department of Defence (DOD) 1st Quarterly Financial and Non-Financial Performance Report for FY2015/16 to the Portfolio Committee of Defence and Military Veterans (PCD&MV).
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3. SCOPE Legislative Requirements
Part 1: Non-Financial Performance Information (Incl Significant Achievements)
Part 2: Financial Performance Information
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4. LEGISLATIVE REQUIREMENTS
In terms of Section 38(1) (a) (i) and (ii), of the Public Finance Management Act (PFMA), Act 1 of 1999 as amended, the “Accounting Officer for a department must ensure that the department has and maintains effective, efficient and transparent systems of financial and risk management and internal control; and a system of internal audit under the control and direction of an audit committee”.
The Treasury Regulations, par states that, “the accounting officer of an institution must establish procedures for quarterly reporting to the executive authority to facilitate effective performance monitoring, evaluation and corrective action”.
The Framework for Strategic Plans and Annual Performance Plans, states that the quarterly report “provides the Accounting Officer with an opportunity to indicate measures that will be taken to ensure that implementation of the Annual Performance Plan remains on track” and that quarterly reports must be submitted to the National Treasury and the Auditor-General for auditing purposes.
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5. Part 1: Non-Financial Performance Information
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6. Red Amber Green SUMMARY OF QUARTERLY PERFORMANCE TARGETS
High risk / certainty (major action is required)
Amber
Moderate risk (remedial/corrective action required)
Green
Low risk / on course (No major action is required)
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7. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
The following Administration Sub-Programmes are reported-on under the Defence Secretariat:
Departmental Direction
Government Information Technology Officer (GITO)
Policy and Planning
Financial Services
Human Resource Support Services (Shared Staff)
Legal Services (Shared Staff)
Inspection Services (Internal Audit)
Acquisition Services (Defence Matériel)
Communication Services (Head of Communications)
Defence International Affairs
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8. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
The following Programmes are reported-on under the SANDF:
Administration (excl Def Sec sub-programmes)
Force Employment
Landward Defence
Air Defence
Maritime Defence
Military Health Support
Defence Intelligence
General Support
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9. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Defence Secretariat
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10. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Departmental Direction (Office of the Secretary for Defence 1
Percentage adherence to DOD governance promulgation schedule (SA Defence Review 2014 Implementation status)
Submission of the SA Defence Review Implementation Plan for MOD&MV approval -
Green 2
External statutory responses to requests received status
100% 3
Percentage compliance with submission dates of DOD accountability documents (DOD Annual Report submitted to the Executive Authority
100% (1 DOD Annual Report submitted in line with National Prescripts
100% (1 DOD Annual Report submitted in line with National Prescripts)
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11. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Departmental Direction (Office of the Secretary for Defence 4
Percentage compliance with submission dates of DOD accountability documents (DOD APP submitted to the Executive Authority)
100% (1 DOD APP submitted in line with National Prescripts) -
Green 5
Established DOD strategic research capability status
Policy Research Unit Concept document approved
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12. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Government Information Technology Officer (GITO) 6
Percentage adherence to DOD governance promulgation schedule (Department of Defence Information Strategy status)
100% Monitor and Review -
100%
(Approved and is being executed)
Green 7
Percentage adherence to DOD governance promulgation schedule (Information and Communication Systems Policy Development Plan status)
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13. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Policy and Planning 8
Percentage adherence to DOD governance schedule
100%
25% -
Green 9
Percentage compliance with submission dates of DOD accountability documents
100% (1 DOD Annual Report and 1 DOD APP submitted in line with National Prescripts)
50% (1 DOD Annual Report submitted in line with National Prescripts
50% (1 DOD APP submitted in line with National Prescripts
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14. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Policy and Planning 10
DOD Enterprise Risk Management maturity level achieved
Level 6 -
Level 4
(as at May 2015)
Amber 11
DOD Management Performance Assessment Tool, assessment level
Level 2.5
Level 2.1
(as at
June 2015)
Serial 10. Lack of evidence to indicate that risk management forms part of all management meetings and is included in management’s performance agreements – DOD to establish risk tolerance parameters.
Serial 11. Action plans are in place where partial / non-compliance results were received in order to improve on results for MPAT 1.5.
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15. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Financial Services 12
Number of Audit Findings -
Draft AGSA Mng Report indicates Unqualified Audit Opinion for GDA and SDA work in progress
Green 13
Percentage compliance with submission dates of DOD accountability documents (Percentage compliance with DOD financial management products)
100% (37 Financial management products submitted in line with National Prescripts)
24%
(9) 27
(10) 22
(8)
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16. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Financial Services (Cont) 14
Percentage payments within 30 days from receipt of legitimate invoices
75%
72%
Red 15
Percentage deviation from approved drawing schedule
<8% 3%
Green
Serial 14. This indicates the percentage of invoices paid in time, as prescribed by the PFMA and Treasury Regulations. Legitimate invoices exclude the following: Where discrepancies exist between delivery notes and invoices; Logistical Receipt Vouchers are not timely generated; and Suppliers not registering on the DOD Database or not making their banking information visible. DOD uses several parallel logistic information systems which do not integrate with FMS making it difficult to track invoices from receipt to payment.
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17. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Human Resources Support Services 16
Percentage adherence to DOD governance promulgation schedule (Human Resource Development Strategy status)
Approved Strategy Implementation Plan -
Draft DOD HRD Strategy Framework in place
Approved Strategy Implementation Plan
Red 17
Percentage adherence to DOD governance promulgation schedule (National Youth Service Policy status)
Policy Approved and Promulgated
None
Policy approved and promul-gated
Serial 16. The Human Resource Development Strategy (HRD) is being revised to ensure alignment to the Defence Review. Process: 1). DOD HRD Strategy Framework 2). DOD HRD Strategy 3). DOD HRD Strategy Implementation Plan.
Serial 17. Policy on National Youth Service was discontinued as per C SANDF Instruction - SANDF/C/302/2 dd
02 Dec 13. Sec Def instructed that roles and responsibilities be attended to between departments ito MoU – DOD to report on progress made during the next quarter.
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18. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Human Resources Support Services (Cont) 18
Percentage compliance with submission dates of DOD accountability documents (SMS financial disclosures submitted)
100% (299)
75% submitted
77% submitted
100% submitted -
Green 19
Percentage compliance with submission dates of DOD accountability documents (SMS performance agreements submitted)
100%
(299)
45% sub-mitted
Red 20
Percentage collective grievances and disputes resolved
85%
20%
50%
25%
Serial 18 & 19. Stated in APP as 294 SMS members. Quarter 1 = 299 SMS members.
Serial 19. The coordination process by Services and Divisions delays the timely submission of Performance Agreements.
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19. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Human Resources Support Services (Cont) 21
Number of disciplinary cases in the DOD finalised within 90 days (PSAP disciplinary cases) 39 9 5 12
Red 22
DOD Ethics Management status
DOD Ethics Policy Approved -
In progress
(DOD Ethics Management Datasheet and SOP have been completed)
Amber
Serial 21. The complexity of some cases required more time for finalisation.
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20. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Human Resources Support Services (Cont) 23
Percentage compliance with DOD training targets (Number of PSAP training programmes)
100% (2 587) -
16%
(405)
100%
(2 587)
Green 24
Percentage compliance with planned staffing of funded posts
100% (79 445)
98%
(77 545)
(79 445)
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21. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Legal Services 25
Percentage of cases of corruption and fraud prosecuted (Conviction rate of persons R5 million and over) 0% -
Green 26
Percentage litigation cases finalised in the best interest of the DOD
50%
100%
Serial x cases finalised during the quarter (2 x settled in favour and 1 x win) out of 19 x cases received (16 x cases are still ongoing).
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22. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Inspection Services (Internal Audit) 27
Percentage progress of DOD Annual Audit Plan
100% -
Audit Plan for 2015/16 approved.
Green
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23. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Acquisition Services 28
Percentage adherence to DOD governance promulgation schedule (Defence Intangible Capital Assets Management Policy status)
A functioning ICA Management Organisation (Policy implementation and monitoring) -
A functioning ICA Management Organisation
(Policy implemented and monitored)
Green 29
Percentage armament acquisition commitments approved
≥75% by 31 March of each year
62.04%
Serial 28. Defence Intangible Capital Assets Management Policy was promulgated on 31 July 2014 – currently being reviewed to align with National Policy.
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24. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Acquisition Services (Cont) 30
Percentage technology development commitments approved
85% - 100% by 31 March of each year -
86.45%
Green
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25. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Communication Services (HOC) 31
Status of public opinion of the DOD
77% -
Green
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26. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Defence International Affairs 32
Percentage adherence to DOD governance promulgation schedule (Policy products in pursuit of Defence Diplomacy)
Ensure 100% relevant, quality policy products -
Ensured 100% relevant, quality policy products
Green 33
Percentage adherence to DOD governance promulgation schedule (Defence Foreign Relations Policy status)
Policy Approved
Policy rolled over from previous financial year
Amber
Serial 33. The policy “South Africa’s Policy of Defence External Relations”, which was promulgated on 12 September 2001, is under review. The policy will be renamed as the “DOD International Affairs Policy” and not the “Defence Foreign Relations Policy” as reflected above.
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27. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Defence International Affairs (Cont) 34
Percentage deployments including training exercises, where applicable, supported with appropriate legal instruments
100% Appropriate approved legal instrument to be in place
100% Appropriate approved legal instrument in place
Green
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28. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
SANDF
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29. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
SANDF Command and Control 1
Number of strategic activities per annum 10 3 5 2
Military Policy Strategy and Planning Office
Percentage compliance with submission dates of DOD accountability documents (SANDF quarterly reports submitted to the Executive Authority) 4
100%
25% 0%
25.00%
Human Resources Support Services
Percentage compliance with SANDF Battle fitness requirements
85% -
0.00%
Serial 3. Percentage compliance with SANDF Battle fitness could not be finalised due to the long process of verifying and consolidating results received from Services. The verification of the percentage compliance with SANDF Battle fitness will be confirmed during the second quarter as part of the validation of the actual output for quarter 1.
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30. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Religious Services 4
Number of covenantal relationships with Religious Stake holders (Religious Advisory Boards) 5 2 1
Defence Reserve Direction
Number of marketing events to promote the Reserves 36 9
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31. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 1: Administration
Office Accommodation 6
Percentage of expenditure in accordance with facilities plan (payment of leases)
100%
20%
20.07%
25%
35% 7
Percentage of expenditure in accordance with facilities plan (payment of municipal services)
13.85% 8
Percentage of expenditure in accordance with facilities plan (payment of accommodation charges)
25.00%
Serial 7. Invoices for June 2015 are received in July 2015 and is therefore not paid in the first quarter.
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32. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 2: Force Employment 9
Percentage compliance with number of ordered commitments (External operations)
100% 0%
100.00% 10
Percentage compliance with number of ordered commitments (Internal Operations) (Safety and Security) 11
Percentage compliance with number of ordered commitments (Internal Operations) (Disaster Aid and Disaster Relief )
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33. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 2: Force Employment 12
Percentage compliance with number of ordered commitments (Internal Operations) (Search and Rescue)
100% 0%
100.00% 13
Number of landward sub-units deployed on border safeguarding per year 14
Number of planned joint, interdepartmental, interagency and multinational military exercises conducted per year 5 1 3 -
Serial 14. This exercise was cancelled due to delays on scientific research by Protechnik Laboratories and the subsequent unavailability of equipment and research work for field evaluations. This activity will be rescheduled for later in the fin year.
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34. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 3: Landward Defence 15
Percentage compliance with number of ordered commitments (External operations)
100%
100.00% 16
Percentage compliance with DOD training targets
3 146
848
1 608
1 037
224
80%
22%
40.89%
26% 0% 6%
Programme 4: Air Defence 17
834
165
207
121
282
266
16%
19.86%
12%
0.00%
27%
25%
Programme 5: Maritime Defence 18
422
219 77 58
126 19
42%
14.60%
11%
24% 3%
Serial 18. Further 144 members that were trained to be validated and verified before it can be reported on.
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35. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 6: Military Health Support 19
Number of health care activities per year 20
Percentage availability of medical stock
50%
70%
42%
45%
35%
42.00% 21
Percentage compliance with DOD training targets
648
123 48
181
344 -
80%
15%
5.93%
22% 0%
43%
Serial 19. The target is further demand driven. The refurbishment of 1 and 2 Military Hospitals has impacted on health care service delivery as some specialist services had to be outsourced. The shortage of some specialist health care services, ie gynaecology and obstetrics. The structure of the SAMHS is not aligned with the dual demands for health services and simultaneously providing health care to internal and external missions. The SAMHS relies in many instances on the services of community service health care practitioners.
Serial 20. The slow delivery of pharmaceuticals and medical consumables by the respective suppliers is a national challenge. In many instances not all pharmaceuticals are available. The lead time for suppliers to deliver has increased from six weeks to three months. The SAMHS Procurement Unit had to wait for the proprietary contracts to be finalised. The funds for pharmaceuticals and medical consumables will not be sufficient for the remainder of the financial year.
Serial 21. Several courses that would have taken place at the Military Health Training Formation, School for Military Training, had to be rescheduled.
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36. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 7: Defence Intelligence 22
Percentage compliance with number of ordered commitments (External operations)
100%
100.00% 23
Number of defence intelligence products
448
112
122 24
Number of vetting decisions taken in accordance with requirements
5 000
1 250
1 683
1 750
500
1 500
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37. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 8: General Support
Joint Logistic Services 25
Percentage compliance with DOD codification requirements
100%
25%
16.70% 26
Percentage requests approved for disposal versus requests received
25.00% 27
Percentage ammunition disposed versus the number of disposed tonnes planned
1 000
250
343
34.30% 0% 28
Percentage procurement requests fully completed within 90 days
Serial 25. The National Codification Bureau is not structured, therefore not staffed to handle the total amount of codification requests. Approval has been given by C Log to continue with the NCB structure development.
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38. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Ser No
Performance Indicator
Planned Annual Target
Q1 Target Apr - Jun
Q1 Actual Output
Q2 Target Jul - Sep
Q2 Actual Output
Q3 Target Oct – Dec
Q3 Actual Output
Q4 Target
Jan – Mar
Q4 Actual Output
Overall progress Indicator
Programme 8: General Support
Command and Management Information Systems 29
Percentage compliance with the DOD ICT portfolios of the Defence Enterprise Information Systems Master Plan
100% 5%
15%
25%
55%
5.00% 30
Percentage availability of the Defence Information and Communications Infrastructure at all times
98%
98.00%
Military Police 31
Percentage reduction of criminal cases finalised (backlog)
20%
6.90% 32
Percentage criminal cases finalised (in-year)
10%
30.40% 33
Projected number of deliberate crime prevention operations
248 62 66 34
Percentage of cases of corruption and fraud investigated 80 20 22
27.50% 0%
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39. SUMMARY OF QUARTERLY PERFORMANCE TARGETS
Overall Progress
1st Quarter
2nd Quarter
3rd Quarter
4th Quarter
Def Sec
SANDF
Green 25
(73%) 26
(76%)
Amber 4
(12%) 8
(24%)
Red 5
(15%)
(0%)
Total Targets 34
Total: 75% achieved for 1st quarter
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40. SIGNIFICANT ACHIEVEMENTS
During the period under review, the Secretary for Defence (Accounting Officer):
Provided strategic direction to the DOD through various governance activities and interventions. These included timeous decision-making on strategic matters, effective management and processing of documents, attendance of Director-Generals meetings and chairing of DOD command bodies meetings.
Ensured that the DOD maintains and implements all the Minister, Cabinet, Parliamentary and Cluster decisions, applicable to the DOD for accountability purposes.
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41. SIGNIFICANT ACHIEVEMENTS
During the period under review, the Chief of the SANDF:
Ensured the preparation and employment of forces in in pursuance of set missions.
The SANDF continued to play a pivotal role in pursuance of Government's support for peace, security and stability in the region and the continent.
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42. SIGNIFICANT ACHIEVEMENTS (Policy and Planning)
Presentation of the DOD Planning Instruments for 2015 (DOD Strategic Plan (SP) 2015 – 2020 and DOD Annual Performance Plan (APP) for 2015) to the Portfolio Committee on Defence and Military Veterans (PCD&MV) during April and May 2015.
The Draft DOD Annual Report (Performance Information) for FY2014/15 was compiled and presented to the Audit Committee on 26 May The signed- off report was submitted to Auditor-General South Africa (AGSA) on 28 May 2015.
The DOD 4th Quarterly Performance Report was compiled, approved and submitted to the Executive Authority, National Treasury, Department Planning, Monitoring and Evaluation (DPME) in the Presidency and AGSA on 29 May The report was also presented to the Portfolio Committee on Defence and Military Veterans (PCD&MV) on 27 May 2015.
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43. SIGNIFICANT ACHIEVEMENTS (Financial Services)
All legislative reports were submitted in time, which included the Early-warning Reports, Unaudited Annual Financial Statements for both the General Defence Account and the Special Defence Account and Legislative Compliance Certificates.
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44. SIGNIFICANT ACHIEVEMENTS (Legal Services)
Extensive legal negotiation support was provided iro cooperation with international, regional and sub-regional organisations (e.g. the United Nations (UN), the African Union (AU) and the Southern African Development Community (SADC), as well as foreign armed forces e.g. Ex IBSAMAR (India and Brazil) and Ex ATLASUR (Brazil and India).
Shared Staff
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45. SIGNIFICANT ACHIEVEMENTS (Acquisition Services)
The first of two harbour tug boats for the SA Navy was completed and delivered to Simon’s Town during the first week of July Construction of the second tug boat is progressing very well with delivery expected early in 2016.
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46. SIGNIFICANT ACHIEVEMENTS (International Affairs)
The Defence International Affairs Division has managed to render policy advice to the DOD where applicable and was instrumental in convening bilateral staff talks and participated in multilateral defence and security fora, as well as negotiated bilateral defence co-operation agreements with other states.
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47. SIGNIFICANT ACHIEVEMENTS (Human Resources)
National Youth Service (NYS).
The DOD support to the Department of Rural Development and Land Reform (DRDLR) was successfully coordinated during the first NYS Intake (1/2015).
A total of 574 youth participants completed the Youth Leadership Development Programme (YLDP) at 3 SAI Bn on 12 Jun 15.
Shared Staff
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48. SIGNIFICANT ACHIEVEMENTS (Force Employment)
Successes 1st Quarter
Weapons Recovered
Illegal Foreigners Apprehended
Criminals Arrested
Stolen Vehicles Recovered
Dagga Confiscated Kg
Live-stock Recovered
Copper Confiscated Kg
Contraband Goods Confiscated - R
Drugs confiscated
Mandrax
Ecstacy
Tik
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49. SIGNIFICANT ACHIEVEMENTS (Landward Defence)
Rural Development Pilot Project. The SA Army was invited by the Member of the Executive Council for Rural, Environmental and Agricultural Development of the North West Province to attend her Departmental Budget Policy Speech at the North West Legislature in Mmabatho on 12 May 15. The partnership with the SA Army concerning the Rural Development Pilot Project in the North West Province was announced in her speech and this will be addressed by drafting a Memorandum of Understanding between the SANDF and the Provincial Government of the North West Province.
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50. SIGNIFICANT ACHIEVEMENTS (Landward Defence)
Op THUSANO.
A contract to provide professional and technical services by the Cuban Defence Force to the SANDF was signed by C SANDF. The scope of the service included training of technicians in the disciplines of transport techniques, technical assistance with the organisation of the system of technical security, technical assistance with the deactivation of war material, technical assistance with the preservation of war material and repair and maintenance services of transport technology.
Significant successes were clearly evident in the 651 various Samil type, Casspir, Mamba and Mfezi vehicles prepared for preservation and 124 similar type vehicles that were maintained and repaired during the 1st quarter of FY15/16. To date labour hours have been spent on M&R for Op THUSANO which resulted in a cost saving of Rm3.9
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51. SIGNIFICANT ACHIEVEMENTS (Military Health Support)
Medical Equipment and Operational Ambulance Fleet. The collaborative project between the RSA and Cuba, Operation THUSANO, has increased the serviceability of B-vehicles and medical equipment. The procurement of an anaesthetic machine for the Military Base Hospital Hoedspruit will decrease medical outsourcing. The refurbishment of 20 of the Samil 20 ambulance fleet was completed and will increase the readiness levels for Op CORONA.
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52. SIGNIFICANT ACHIEVEMENTS (Military Health Support)
Military Community Building Projects. The SAMHS initiated several projects to contribute to the building of military communities and the empowering of woman, ie 222 spouses of military members were reached during the Free State Military Spouses Forum. The aim of the forum is to focus on job creation for the unemployed spouses in Tempe and Bloemspruit. Presentations and exhibitions relating to Child Protection week were initiated by the SAMHS at several units.
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53. SIGNIFICANT ACHIEVEMENTS (Joint Logistic Services)
The Memorandum of Understanding (MOU) for the devolvement of immovable asset management functions on Defence Endowment Property to the DOD was signed by the Minister of Defence and Military Veterans (MOD&MV) and is awaiting signature by the Minister of Public Works.
Meetings are being held with representatives from NDPW to plan the devolvement process in anticipation of the approval of the MOU. Once approved, the devolvement process between NDPW and the DOD will be phased in over time.
The Joint Interim Operational Centre (JIOC) is functioning as a structure aimed at capacitating the DOD to take over the facility management functions from NDPW.
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54. Part 2: Financial Performance Information
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55. SUMMARY OF STATE OF EXPENDITURE: 30 JUNE 2015
DOD Planned Expenditure: 21.8%
R'000
Budget Allocation
44,579,390
Less: Expenditure
9,442,398
Total Amount Available
35,136,992
Percentage Expenditure (Paid)
21.2%

56. SUMMARY OF STATE OF EXPENDITURE PER PROGRAMME: 30 JUNE 2015

57. SUMMARY OF STATE OF EXPENDITURE PER PROGRAMME: 30 JUNE 2015

58. COMMENTS ON STATE OF EXPENDITURE PER PROGRAMME: 30 JUNE 2015
The unaudited expenditure (paid) of Defence as at 30 June 2015 was R9.442 billion (21.2%) against the approved planned expenditure of R9.739 billion (21.8%) from a R billion appropriated budget resulting in an under expenditure of R296.4 million (3.0%).
Factors that contributed to negative or positive balances of more than 8% of actual drawings per programme are as follows:
Force Employment Programme. Under expenditure of R million was mainly due to the outstanding advance payment to the SAAF for the upkeep of the C130 aircraft and the delay in the implementation of projected annual salary increases for FY2015/16 as from 01 April 2015.

59. SUMMARY OF STATE OF EXPENDITURE PER ECONOMIC CLASSIFICATION: 30 JUNE 2015

60. SUMMARY OF STATE OF EXPENDITURE PER ECONOMIC CLASSIFICATION: 30 JUNE 2015

61. COMMENTS ON STATE OF EXPENDITURE PER ECONOMIC CLASSIFICATION: 30 JUNE 2015
Factors that contributed to negative or positive balances of more than 8% of actual drawings per economic classification are as follows:
Payments for Capital Assets. The over expenditure of R10.8 million (18.5%) was mainly due to accrual payments from FY2014/15.
Payment for Financial Assets. The over expenditure of R0.1 million (100%) was mainly due to transactions that create or increase outstanding debtors’ amounts as well as foreign exchange losses, thefts and other losses, etc. It is to be noted that funds are reserved for this purpose and will be part of the final virement at year end.

62. Comments / Questions
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