1. ud Strategic Plan 2009/10 – 2011/12 Presentation to the Portfolio Committee

2. 2 Outline of the presentation  Purpose  Overview of social assistance  Government decisions (2004 – 2009)  SASSA establishment Mandate; Vision; Mission; Strategic objective; and Values.  Priorities  Planned outputs  Budget Allocation  Concluding remarks

3. 3 Purpose The purpose of the presentation is to:  Introduce SASSA to the Portfolio Committee  Provide the Portfolio Committee with a broad overview of the strategic plan 2009/10 - 2011/12; and  Highlight some of the risks associated with the strategic plan.  Share plan of action to address the risks.

4. 4 Overview of Social Assistance  The social assistance transfers aim to reduce poverty and promote social development;  Provide coverage mainly for the SOAP, CSG, Care dependency grant, Grant In Aid, Disability grant, Foster Child and Social relief of distress grants;  Currently, approximately 13.6 million benefits paid monthly;  National Treasury projects spending on social benefits to be 3.3-3.4 percent of GDP in 2005-2009; and  This level of spending puts South Africa in the upper tier internationally in terms of spending on grants (World Bank).

5. 5 Government decisions 2004 to 2009  Extension of Child Support Grant; –Approved the continued phased extension of the child support grant to children from six years to fifteen.  Approved the establishment of Social Security agency; –Implementation team appointed –Agency phase roll-out to begin March 2005  Disability Grants; –Criteria for assessing disability –Development of the assessment tool  Improvements in efficiency and effectiveness of grant administration; and  Equalization of age of eligibility for SOAP.

6. 6 Social Security Agency establishment  The Agency seeks to address key weaknesses in the social security system. These weaknesses include following: Fragmented institutional arrangements and a lack of uniformity; Inefficient processes and high costs; Budgetary and financial pressures at provincial level; Fraud and corruption; and The poor quality of service delivery.

7. 7 SASSA’S vision and mission  Vision A comprehensive social security service that assists people to be self-sufficient and supporting those in need.  Mission To manage quality social security services, effectively and efficiently to eligible and potential beneficiaries.

8. 8 Strategic Objective “To build a high performance institution which manifests itself by compliance to good governance principles and striving towards operational excellence through continued service delivery improvements to the beneficiaries”.

9. 9 Values The values to which SASSA subscribes to are:  Social cohesion;  Transparency;  Equity;  Integrity;  Confidentiality; and  Customer Care Centered approach.

10. 10 Social security Agency establishment  The Agency seeks to address key weaknesses in the social security system. These weaknesses include following: Fragmented institutional arrangements and a lack of uniformity; Inefficient processes and high costs; Budgetary and financial pressures at provincial level; Fraud and corruption; and The poor quality of service delivery.

11. 11 Legislative provision The Constitution of the Republic of South Africa, (Act No.. 108 of 1996); South African Social Security Agency Act, 2004 (Act No. 9 of 2004); and Social Assistance Act, 2004 (Act No. 13 of 2004).

12. 12 SASSA’s Reform Agenda The Reform Agenda is underpinned by three key priorities, namely: Customer Care Centred Benefits Administration and Management system; Improved organizational capacity; and Comprehensive and integrated social security administration and management services.

13. 13 Outputs for MTEF Priority 1: Customer care- centred benefits administration and management:  Outputs Policy and legislative changes on CSG and age equalisation; Beneficiary Maintenance framework; Comprehensive Payment Management System; Disability Management Model; Customer Relations Management Strategy; ICROP Strategy; Service Delivery Model; Automation of Core business System; and SASSA Systems (MIS & SOCPEN & ERP) interfaces; and MIS Registry Modules rolled-out.

14. 14 Priority 2 Priority 2: Improved organizational capacity  Outputs Legal services model; Corporate Compliance and Integrity Model; Integrated Talent Management Strategy; Knowledge Management Strategy; Integrated Financial Management System; Integrated Risk Management Framework; and Buildings Infrastructure Strategy.

15. 15 Priority 2 (cont) Priority 2: Improved organizational capacity (cont)  Outputs Transport Management Strategy; Records Management (Paper-based) System; Integrated Communication and Marketing Strategy; Change Management Strategy; Integrated Monitoring and Evaluation Framework; Framework on Strategic Planning, Operational Planning and Reporting; Integrated Research and Development Strategy; and Micro Simulations and Macro economic Model.

16. 16 Priority 3 Priority 3: Integrated and comprehensive social security administration and Management.  Outputs: Case Management System (Linking social security services with other social services) Institutional Model on Social Security.

17. 17 Budget Allocation

18. 18 Funds Flow Configuration for Grants Budget  SASSA manages grants on an ‘agency’ basis on behalf of DSD resulting in dual accountability: SASSA pays and fully administers the social assistance grants DSD is financially accountable for the social assistance transfers  Risks/Disadvantages The relationship is cumbersome; Dual accountability – which adversely impact decision making; and Not in line with long term strategic intent for SASSA and the legislation.

19. 19 Challenges: Resources  Inadequate funding Demand exceeding the available resources; Delay in the finalization of projects (IGAP, MIS); High vacancy rate; and Impact on rural beneficiary reach (mobile units).

20. 20 Challenges: Systems and processes  Inadequate infrastructure;  Inadequate internal communication processes;  Lack of real life interface with other sources of data;  Legacy challenges relating to autonomy of provinces; and  Non-compliance.

21. 21 Action plan  Organizational review;  Beneficiary migration;  Review of internal policies (regularize austerity measures);  Strengthen beneficiary maintenance;  Benefit verification to minimize fraud

22. 22 Concluding remarks  This strategic plan: Seeks to confirm the President’s State of the Nation Address when he said “ Social Grants remain the most effective form of poverty alleviation”; However, limited resources do pose a huge risk for effective and efficient service delivery;  We endeavour to collaborate with other organs of State, to achieve all the planned outputs.  Most importantly, SASSA pledges its commitment to work with this Committee to create a better life for the people of South Africa.

23. 23 End of Presentation