1. Presentation to the Select Committee on Social Services
SASSA STRATEGIC PLAN 2013/14
Presentation to the Select Committee on Social Services
07 May 2013

2. Purpose The purpose of the presentation is to:
Provide the Select Committee on Social Services with a broad overview of the strategic plan 2013/14 – 2016/17 ;
Highlight priority areas for the Agency for /14; and
Give an overview of the budget allocation.

3. Vision and Mission Vision Mission Values
A leader in the delivery of social security services.
Mission
To administer quality customer centric social security services to eligible and potential beneficiaries.
Values
Transparency
Equity
Integrity
Confidentiality
Customer Care Centered approach

4. Background The Agency entered its seventh year of operation.
In spite of intermittent periods of turbulence, it has made huge strides in ensuring that it fulfils its mandate, namely, to manage, administer, and pay social security transfers.
The Agency's footprint straddles the length and breadth of South Africa, bringing much-needed social assistance relief to the most vulnerable in our society.

5. May 2011 – March 2012 April 2013-March 2014
Payment Tender
Payment Model
Automation
Service Delivery Improvements
Improvement of Local offices
Capacity level 5 and 7
EPWPs
Standardisation – 4 step process
Staff uniform
Customer care officials at receptions – client interface
Unqualified Audit
Re-registration
Migration to new payment system
Payment Model
Local offices improvement
Fraud management
Staff Uniform
EPWPs
Biometrics for staff
Unqualified Audit
BPR
Capacity building:
Executive posts filled (95% achievement)
Re-registration Back office clean-up
Reviews Backlog eradication
Payment Model
Linking of grant recipients to opportunities - School uniform project
Finalisation of the improvement Local offices
Fraud management
Staff Uniform
Biometrics for staff
Recruitment Of People With Disabilities and unemployed CSG recipients with basic qualifications
Grant Debtor Management
Strategic Partnerships
EPWP
Major Community outreach programmes (250)
Clean Audit
Green – Achieved; Amber – In process
Red – Not Achieved; and White – Ongoing work

6. Key priorities for 2012/ /17
To deliver quality social security services by focusing on the following:
Excellent customer care;
The automation of systems;
Improving organisational capacity; and
Promoting good governance.

7. Key Focus areas SASSA will embark on a reform agenda aimed at
improving service delivery - make people’s dealings with government easier through better delivery and coordination of services
Improving organisational efficiency - modernising the Agency’s business processes
Developing a new payment system
Diversification: Positioning SASSA as payment provider for social security benefits

8. Key Priority Projects for 2013

9. Implementation of the Social Assistance Programme
Objective
Improve the reach to qualifying/eligible social assistance beneficiaries
Current Status
Over people are in benefiting from social grants.
The take –up rates for new grants is on average per annum
There is an attrition rate of at least beneficiaries per annum due to death, reviews and voluntary cancellations.
Planned Activities
Target is to reach at least 1.2m new beneficiaries
Increase the number of grants in payment from to
CSG
CDG DG
FCG
GIA
OAG WV

10. Implementation of the Social Assistance Programme
Objective
Improve the management of Social Relief of Distress by ensuring qualifying beneficiaries are not disadvantaged.
Planned Activities
Training and workshops will be held to ensure there is common understanding and interpretation of undue hardship.
SRD applications will be processed per annum over the next three years
Priority will be given largely to:
children suffering with mal-nutrition;
assisting families where the breadwinner died;
assisting in disaster situations; and
individuals awaiting grants.

11. Re - Registration Objective
Establishing a credible National payment database through re-registration programme.
Current Status
Over 20.5 million people have been re-registered.
Planned Activities
Completion of the Re-registration
Re-register outstanding 2 million by April 2013
April – May 2013: conduct a sweep (“mopping”) across the country to ensure no one is left out and conduct any home visits that may be outstanding.
PAJA processes will commence in May 2013
Cleaning of data
Re-registration Data Clean-up will involve data matching with critical institutions and elimination of duplications
Fraud patterns assessed and investigated
Records Management
Filling of loose correspondence relating to documents collected during the re-registration process

12. GRANT Reviews Objective
Eliminate backlog of grant reviews (largely Medical and Financial)
Current Status
Backlog of 2.5 million grants due for review eliminated in 1 year, six months
Planned Activities
Eliminate backlogs
Notification to each beneficiary, registered mail, to comply with legislative requirements.
Plan is to have dedicated review venues (similar to re-registration venues) to manage overcrowding in local offices.
Home visits will be conducted targeting older persons above the age of 75; care dependency and grant in aid beneficiaries.
There will be carry over into the 2014/15 financial year, because of the cycle time for reviews (3 month notice of review, 3 months notice to suspend and 3 months for application for restoration)
Current Reviews
While backlog reviews are being attended to, current reviews must be dealt with, to prevent further development of backlog

13. Local Office & Service Points Improvements
Objective
Improve the conditions under which we serve the beneficiaries and to ensure that all customers experiences the same business processes.
Current Status
The project started in July 2011, following CEOs appointment.
Overall more than 211 local offices have been upgraded; 116 offices in 2011/12 and 95 in 2012/13
All Service offices have adopted a 4-step application process.
Planned Activities
Physical infrastructure improvement
Upgrade of Local offices will be completed in 2015.
The target for 2013 is to have 119 facilities upgraded to suit the new standardised application process
Full capacitation of service offices (HR, ICT and vehicles)
Improve accessibility of our services and offices

14. Example of the Set-up in the New SASSA office
SOWETO LOCAL OFFICE
( AFTER IMPROVEMENT)
Bloemfontein and Thaba Nchu Local Office

15. Organisational Review
Objective
The goals of this review project is to make SASSA more effective through increased operational efficiency and the creation of a more  streamlined and effective organisational structure.
Current Status
SASSA’s organisational structure is temporary. Functions are duplicated between HO, Regional Offices and District Offices
Each branch conducted a preliminary diagnosis and micro-audit of their functional areas and have made proposals on the possible areas for possible change.
Planned Activities
Quick win changes are being implemented
Independent consultant will be appointed to work with the AGENCY focusing on the review the proposals and ensure that proposals are aligned to the vision of the Agency and ensures optimum utilisation of staff
Labour will be consulted throughout the process.

16. Future Payment System Objective
The objective is for SASSA to implement its full mandate of administering, managing and paying social grants.
Current Status
Establishment of National Payment Database is being finalised.
Current SASSA card has transformed the industry by ensuring more people who were previously unbanked are integrated in mainstream economy.
Planned Activities
Exploring Alternative options in case the Court outcome is against SASSA
Advisory Committee is being established to support SASSA investigate future payment options for SASSA
SASSA will host an International round table workshop on Payment in the 3rd quarter.

17. Organizational efficiency
HCM
Governance
Optimum utilisation of staff
Update of Personal files
conduct file audits; and
Implementation of i- module programme
Absentee Management process – Pillar
Strive towards Clean Audit by 2015;
Ensure that all Governance structures are functional; and
Develop organization- wide Risk Register.

18. Organizational efficiency
Automation
Financial Management
Biometrics for access to SASSA core business systems
Investigate the single platform
Strengthen SASSA internal capacity to drive ICT operations that are required for day to day operations of the Agency
Improve turn around for payment providers;
Grant Debtors Management ; and
Eliminate austerity measures in so far as it impacts on service delivery.

19. Other initiatives to be addressed by SASSA
Tackling intergenerational poverty – linking social assistance recipients of working age to developmental and/or economic opportunities
Intensify outreach programme to communities with the objective to reach those beneficiaries who are unable to reach our office and ensure that potential and current beneficiaries are fully informed of the programmes and initiative.
Exploring measures to build SASSA’s Future Workforce by:
establishing partnerships with institutions of High Learning to develop degrees/diplomas that incorporate social security in their curriculum (NFSAS)
Giving bursaries to get people into work through training and education in the field of social security.
Conduct research to ensure that the Missing children are located (take up rates for children between 0-1 is at 36% and 45% for children between 16 and 17).

20. Other Activities for 2013 Strengthening partnership for SASSA:
International structures
ISSA
SA-EU dialogue facility
National integration and partnerships
Dept of Education: - analysis and matching of children in Education system vs CSG and FCG
ECD – Province: - analysis and matching of children in registered ECD centres vs CSG and FCG
Health – co-location for early registration of children, SRD - Malnutrition & Disability

21. SASSA Financial Plan
2013/ /16

22. 2013/14 MTEF Appropriation
Revised appropriation incorporating adjustments
The table shows the baseline allocation and reductions over the MTEF period

23. 2013/14 MTEF Appropriation
The budget appropriation grows by 3%, 4% and 4% respectively over the MTEF period
The 2013/14 baseline allocation of R (as per the 2012/13 ENE) was reduced by an amount of R 220,140 million.
the reductions includes the mandatory cuts by National Treasury amounting to R 165 million;
a further transfer to DSD for the absorption of social work graduates; and
the transfer of the Fraud Hotline to the PSC

24. SASSA Administration Budget Allocation & Projected spending over the MTEF

25. Allocation per Economic Classification

26. Allocation per Economic Classification

27. SASSA administration Budget Allocation over the MTEF
The 2013/14 allocation for SASSA is R 6,311 billion whilst the projected expenditure for the same period is R 6,576 billion. This reflects a deficit of R 264 million
During the 2012/13 financial year, SASSA was granted approval to retain the surplus amounting to R 748 million. The surplus funds has been spread over the three years period and will be utilised to offset projected deficit of R 264 million in 2013/14; R 277 million in 2014/15 and R 207 million in 2015/16 respectively
This explains the variance between total revenue ( budget) and the projected expenditure reflected in the previous slide

28. Summary of Allocation per key Cost Drivers

29. Explanatory notes on Budgeted key Cost Drivers
About 37% of the total allocation goes towards the payments of compensation of employees
The second major cost driver is contractors fees which goes towards the handling fees for grants payments
This is followed by lease payment and property expenses
The allocation for external computer services caters for most of the SITA contracts which includes SOCPEN maintenance and mainframe time.

30. Budgeted key priorities/cost drivers
Other key cost drivers include
Grant Review - Backlogs (R200m)
Improvement of local offices and pay point infrastructure including ICT infrastructure deployment in newly acquired offices
Grant Fraud Investigations
Bulk Notification
Communication and Media Campaigns

31. Budgeted key priorities/cost drivers
Other key cost drivers include
Grant Review - Backlogs (R200m)
Improvement of local offices and pay point infrastructure including ICT infrastructure deployment in newly acquired offices
Grant Fraud Investigations
Bulk Notification
Communication and Media Campaigns

32. Key Strategic Challenges

33. Key challenges Policy Implementation: Foster Care challenges
Role of SASSA in Disaster Management
SRD – interpretations of undue hardships
Targeting – 2 million children qualifying for CSG are reported to be missing
Ongoing Payment Tender Court Case - time consuming
Infrastructure:
Conditions of some of our offices and pay-points, especially in rural areas are still unacceptable
Processes and operational efficiencies:
Partial standardisation of business processes
Resources: inequitable distribution of resources particularly at points of service delivery
Social grant fraud
Labour relation cases still high

34. Recommendations
It is recommended that Select Committee on Social Services note and support SASSA’s key strategic programme and budget for 2013/14 – /17.