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Dr FM Orkin, Director-General, and team 31 October 2007 Briefing to the Portfolio Committee - Annual Report 2006/07
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2 Presentation Structure ♦Context and Performance - 2006/07 ♦Transformation to an Academy ♦Implementation of New Strategy ♦Case Studies of Training Programmes ♦Progress with Transformation – Resources
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3 Context Public Service Context: Profile ♦356 000 officials in national departments ♦781 000 officials in provincial departments ♦240 000 in local government and municipalities Of the above 1,3 million public servants: ♦75% African, 9 % Coloured, 4% Asian, 12% White; ♦54% Female; ♦1% in the Senior Management Services (SMS); and ♦10% in Middle Management and 15% in Junior Management in national and provincial departments.
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4 Context SAMDI’s Previous Approach ♦Mandate: to provide, or arrange the provision of, high quality, user-oriented training and organisational development to the public service to improve service delivery and implementation ♦Priorities: set by the Plan of Action, the Human Resource Development Strategy for the public service set by DPSA, user needs, and the requirements of the developmental state ♦Business model: partial cost-recovery from fees for courses ♦Mode of delivery: by own trainers, independent contractors; service providers, and strategic partnerships with higher education institutions
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5 Delivery Unit Actual PTDs 2005/06 Actual PTDs 2006/07 % Change 2005/06 - 2006/07 Targeted PTDs 2006/07 % Realised 2006/07 Management and Leadership Development (M&LD) 26,49147,2027837,100127 Corporate Resource Management Training (CRMT) 24,00829,0062151,10057 Change Management and Service Delivery Improvement (CM&SDI) 28,63422,242-2227,00082 Total 79,13398,45024115,20085 Performance - 2006/07 Training Statistics per Chief Directorate
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6 ♦Total PTDs (Person Training Days) for 2006/07 represent a 24% increase on the previous year ♦However, 2006/07 PTDs are 16% short of the targeted 2006/07 PTDs (a rather ambitious target) ♦The main cause of drop in CM & SDI PTDs is the reduction in requested training by Social Development, which contributed to high numbers in 2005/06 ♦The reduction in CRMT is as a result of the delay in financial management training curricula development and accreditation ♦PTDs increased strongly in MLD due to a high intake on middle and junior management programmes, including Mentorship Performance - 2006/07 Changes in Training Statistics
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7 Performance - 2006/07 Training Statistics Over Time Year-on-Year Comparison 0 2000 4000 6000 8000 10000 12000 14000 AprMayJunJulAugSepOctNovDecJanFebMar PTDs 2005/062006/07
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8 Performance - 2006/07 Portfolio of Current Programmes Leadership capacity Managing public finances Cross-cutting programmes Batho Pele and Community Development Human Resource Management Good governance Executive Development Programme Advanced Management Development Programme Emerging Management Development Programme Foundation Management Mentorship Programme Project Management Supply Chain Management I & II Supply Chain Management for Municipalities and Municipal Entities Supply Chain Management for Senior Municipal Managers Asset Management Acquisition Management LOGIS I Bid Committee Training on PFMA and MFMA Financial Management Contract Management Diversity Management Disability Management Implementing the Integrated National Disability Strategy Gender Mainstreaming Change Management Managing HIV & AIDS in the Workplace HIV & AIDS Development Programme for Government Planners Domestic Violence Excellent Customer Service: Frontline and Support Personnel Batho Pele Implementation: Service Delivery for Operational Managers Community Development Workers Training and Action Research Service Delivery Improvement Plans Induction Programme Job Evaluation I & II Job Evaluation Panel Training Hearing Procedures Grievance Procedures Industrial Relations Skills Development Programme Introduction to Human Resource Management Human Resource Planning Staffing practices Performance Management Human Resource Development Skills Development Facilitation Conflict Resolution Training of Trainers Presentation and Facilitation Skills Assessor Training Anti-corruption and Ethics Management Promotion of the Administrative Justice Act Executive Support Staff Programme Corporate Governance Business plans Monitoring and Evaluation
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9 Performance - 2006/07 Deliverables: Selected Highlights ♦SAMDI hosted the Public Service Trainers’ Forum Conference (10-14 Sept 2006) attended by more than 600 public servants ♦The Accelerated Development Programme (ADP) commenced in Sept 2006 for 5 cohorts and the advanced phase is completed. The ADP aims at advancing black females and people living with disabilities to the SMS ♦Demand for Supply Chain Management training for Local Government is overwhelming and SAMDI covered 280 municipalities (including a second round of training) by November 2006 ♦Financial Management Training – 11 programmes were approved by National Treasury during Sept 2006 and training programmes are being finalised for roll-out ♦Modeling and implementation strategy for the Mass Induction Programme (MIP) have been developed targeting 100 000 new entrants into the public service each year
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10 Performance - 2006/07 Deliverables: Selected Highlights - continued ♦The DRC training implementation plan was approved by our DRC counterparts in 2006 and assistance with capacity building commenced in February 2007 ♦The ITC/ILO partnered with SAMDI to build capacity for government departments to mainstream gender and 20 public servants were enrolled, with 9 completing the course ♦A gender mainstreaming unit standard was developed for the CIDA-funded Gender Mainstreaming Training Programme and has been registered with SAQA ♦SAMDI has requested and received two tranches (800 000 Canadian Dollars) from CIDA for the Gender Mainstreaming Project ♦281 Senior Managers in the department of Correctional Services were trained on Ethics Management and Anti-Corruption ♦261 Anti-Corruption Officers from National, Provincial and Local Government departments have been trained on the Minimum Anti-Corruption Capacity Requirement
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11 Performance - 2006/07 State of Expenditure as at 31 March 2007 - Vote 12 Economic classification 2005/062006/07 Actual Expenditure as at 31 March ’06 R’000 Budget R’000 Actual Expenditure as at 31 March ‘07 R’000 Variance Budget to Actual Expenditure R’000 Compensation of Employees10,95613,66713,231436 Goods and Services16,42319,49219,728(236) Capital Assets3,2202,6892,241448 Provincial and Local Gov.341192 Augmentation of SAMDI TTA24,75423,059 0 Total55,38758,91858,268650
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12 Performance - 2006/07 State of Revenue and Expenditure as at 31 March 2007 – SAMDI Training Trading Account (TTA) Economic classification 2005/062006/07 Actual as at 31 March’06 R’000 Budget R’000 Actual as at 31 March ’07 R’000 Variance Budget to Actual R’000 Course fees39,36133,00048,97615,976 Augmentation Received24,75423,059 0 Total Revenue64,11556,05972,03515,976 Compensation of Employees18,72427,88521,6546,231 Goods and Services25,18327,80535,853-8,048 Depreciation420288814-526 Provincial & Local Gov.5520164 Total Expenditure44,38255,99858,337-2,339 Surplus19,7336113,69813,637
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13 ♦Vote 12 The minor total under-spending of R 650,000 (1.1%) on the Vote is primarily due to vacancies on the staff establishment. ♦Training Trading Account The surplus for the 2006/07 financial year is partly as a result of the enhanced debt recovery process particularly in respect of historical debt and partly as a result of a 24% increase in PTDs. Performance - 2006/07 State of Revenue & Expenditure SAMDI: Vote 12 & Training Trading Account as at 31 March 2007
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14 2007 Estimates of National Expenditure - Vote 11 Previously Budgeted Expenditure – 2007/08 to 2009/10 Description 2007/08 R’000 2008/09 R’000 2009/10 R’000 Compensation of Employees – Vote 11 17,500*19,400*22,400* Goods and Services 22,800* 25,800* Sub-total - Current Payments40,30042,20048,200 Capital Assets 1,6002,4001,700 Augmentation of SAMDI TTA 29,200*31,300*37,400* Total Budgeted Expenditure71,100*75,900*87,300* (*) The figures include the additional funding of R 10 million for ’07/8; R 15 million for ’08/9; and R 25 million for ’09/10 respectively, for developments under the new Academy and R 4 million per year for infrastructure & accommodation.
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15 2007 Estimates of National Expenditure - SAMDI Training Trading Account Previously Budgeted Revenue and Expenditure - 2007/08 to 2009/10 Description 2007/08 R’000 2008/09 R’000 2009/10 R’000 Revenue: Course Fees38,30043,80048,300 Other Revenue200 Transfers Received29,20031,30037,400 Total Budgeted Revenue67,70075,30085,900 Expenditure: Compensation of Employees31,20033,70037,200 Goods and Services34,70039,80046,800 Depreciation300200 Total Budgeted Expenditure66,20073,70084,200 Projected Surplus1,5001,6001,700
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16 Performance - 2006/07 Governance of Recourses ♦Finance: Successful completion of the Financial Management Improvement Plan; Enhancement of asset management; Implementation of computerised debtors management system (Pastel); Introduction of a computerised course-booking and quotation system; Unqualified Audit Reports for both SAMDI Vote and Trading Account for four consecutive years; ♦Internal Audit / Audit Committee: Reviews on Strategic Management, and Training and Development; Risk Assessment conducted and enhancement of Risk Management; Fully functional Audit Committee; ♦Human Resource Management & Development: Implementation of PILIR (Policy and Procedure on Incapacity Leave and Ill- Health Retirement); and Implementation of GEMS (Government Employees Medical Scheme).
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17 Performance - 2006/07 Human Resource Oversight Report Employment and Vacancies by Programme as at 31 March 2007 Programme Number of posts Number of posts filled Vacancy rate Number of posts filled additional to the establishment Vote Programme 1574717.5%2 Vote Programme 2770%1 Training Trading Account1289823.4%8 Total19215220.8%11
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18 Performance - 2006/07 Human Resource Oversight Report Employment & Vacancies by Salary Bands as at 31 March 2007 Salary band Number of posts Number of posts filled Vacancy rate No of posts filled additional to the establishment Lower skilled (Levels 1 - 2) 20100%0 Skilled (Levels 3 - 5) 312325.8%2 Highly skilled production (Levels 6 - 8) 54499.3%2 Highly skilled supervision (Levels 9 - 12) 805926.3%7 Senior management (Levels 13 - 16) 252116%0 Total19215220.8%11
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19 Performance - 2006/07 Human Resource Oversight Report Race Profile as at 31 March 2007
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20 Performance - 2006/07 Human Resource Oversight Report Gender profile as at 31 March 2007
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21 Performance - 2006/07 Human Resource Oversight Report Gender profile per Salary Level as at 31 March 2007
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22 Performance - 2006/07 Human Resource Oversight Report Disability Profile as at 31 March 2007 1% 2% The information & profile above were informed by self disclosure of employees on Application for Appointment (Z83) SAMDI recently participated in the Public Service Commission’s hearings on disability
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23 Performance - 2006/07 Human Resource Oversight Report Selected other HR issues - PILIR Policy on Incapacity Leave and Ill Health Retirements (PILIR) Implemented with effect from 1 April 2006. Applications for Temporary Incapacity Leave (TIL) are submitted to the Health Risk Manager for assessment and are approved/ disapproved by the HoD. Total number of applications received per salary band Recommendation by the Health Risk ManagerDecision by HoD Lower skilled (Levels 1 – 2)0None Skilled (Levels 3 – 5)11 Declined1 TIL Disapproved Highly skilled production (Levels 6 -8)21 Declined 1 Accepted 1 TIL Disapproved 1 TIL Approved Highly skilled supervision (Levels 9 -12)55 Declined5 TIL Disapproved Senior management (Levels 13 - 16)55 Declined4 TIL Disapproved 1 TIL Approved Total1312 Declined 1 Accepted 11 TIL Disapproved 2 TIL Approved
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24 Performance - 2006/07 Human Resource Oversight Report Selected other HR issues - HIV/AIDS & Health Promotion During our recent Health & Wellness Day free Health Screening and HIV/AIDS VCT services were provided to our employees. The results were:
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25 Transformation to an Academy State of the Nation Address 9 February 2007 The Honorable President T Mbeki mentioned in the State of the Nation address: “What has emerged, among others, as a critical area for strategic intervention is the content of training that public servants receive in various institutions and the role of the SA Management Development Institute (SAMDI) which in actual fact should be the major service provider including in the mass induction of public servants”
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26 Transformation to an Academy Sources of SAMDI Output
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27 Transformation to an Academy National Departments Training Expenditure Note: Across the provinces the claimed spending on training also averages 2%
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28 Transformation to an Academy The Need for a Paradigm Shift ♦Start by thinking of user demand, not what is presently supplied ♦One week’s management training per year for junior and middle managers requires five times the present total output of SAMDI and all the provincial academies ♦Then add induction for 100,000 new employees p.a. and local government training ♦70% of the training will occur in the provinces: “national” is a tenth province ♦This clearly demands a novel strategy: Engage all reputable suppliers: universities, universities of technology, further education colleges, and the private sector Align their offerings by quality-assured curriculum and materials, and blended learning Ensure quality through accreditation, checked by monitoring ♦Reconstitute SAMDI into an Academy, oriented to provide alignment and collaborations among providers and users, especially via provincial academies
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29 Transformation to an Academy Justification for the Academy ♦The Minister for Public Service and Administration appointed a Committee to consider SAMDI’s adequacy to the challenge ♦It found that SAMDI in its present form will be unable to meet it: Cost-recovery sets SAMDI in competition with providers The scale of activities (and of the provincial academies) is small ♦The Minister gained Cabinet’s approval for a new Academy; SAMDI will be reconstituted as the Public Service Academy It will be a Schedule 1 Department headed by a Director-General It will move from being a provider on a small-scale, to facilitating nationwide provision on a large-scale by broad range of providers This will be done through two main streams of activity.
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30 Transformation to an Academy Aims and Objectives of the Academy ♦Three “mantras” From provision to facilitation From competition to collaboration From selective coverage to massification. ♦First main stream of activity Executive development programmes for SMS Entrant, lower and upper SMS: programmes, courses and events. In collaboration with universities and counterparts. ♦Second main stream of activity “Massified” management training for junior and middle managers Training frameworks of curriculum, materials; monitoring and evaluation to regulate numerous outsource providers The Induction Programme for new entrants at all levels
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31 Transformation to an Academy Programmes for Senior Management Service ♦Focussed on SMS, levels 13-16: entrants and incumbents ♦In collaboration with existing initiatives of provincial academies ♦Covering greater volumes and more senior levels, with the help of higher education institutions: Leadership skills for SMS: strategy, policy, communication, etc. “Hard” and “soft” skills, e.g. strategic finance, conflict resolution Practitioner-oriented inputs and mentoring from experts ♦Cognate activities: research on training, networking, etc.
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32 Transformation to an Academy “Massification” of Sub-SMS Training ♦Focussing on mid- and junior management, a nationwide public-service training framework will: Cover generic and functional training, in all spheres of government Draw on the full range of providers: universities, further education colleges, and the private sector Encompass modern methodologies, e.g. blended use of e-learning ♦Alignment to government purposes will be achieved by: Quality-assured curricula and materials, accredited through SETAs Monitoring and evaluating delivery by providers, linked to payment from earmarked portions of departments’ training budgets ♦As “massified” capacity comes on-line, specified courses can gradually be made compulsory – e.g. the President’s induction programme
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33 Implementation of New Strategy Learning Framework: Harmonized Modules Performance levels Senior Middle Junior Supervisor Finance People Projects Culture Information Other Finance Human Res. Supply Chain Information Other Immigration Pensions Induction Generic competencies Functional competencies Sectoral competencies
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34 Implementation of New Strategy Progress– Engagement with Provinces ♦Consultation and collaboration with provinces and other stakeholders are a key foundation for establishing the Academy. ♦Engagement at the Technical President’s Co-ordinating Council ♦On 28 – 29 March SAMDI, provincial HRD units and academies, incl. DPSA, DBSA, DPLG & SAQA came together as stakeholders to talk and share training and development in the matters. ♦Some of the key outcomes of this gathering include: Support for the establishment of the Academy and its strategy; Endorsement of a need to network, share, copy from each other and populate the learning framework; A follow-up workshop involving the same stakeholders to discuss curriculum matters A proposal for the establishment of a forum for Heads of Academies and HRD:DDGs Mobilisation of stakeholders as a collective response to capacity building needs of the public service The configuration of the training and development landscape in the public service with other stakeholders was also discussed (see next slide)
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35 NATIONAL PROVINCIAL LOCAL Internal providers External providers: HEIs FETs Private Dedicated colleges: Justice, Foreign Affairs, Defence, Police, etc. PSETA and other SETAs authorised by SAQA to accredit unit standards Support:: International & Profess. assns Provincial sites of national depts Implementation of New Strategy National Training Landscape
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36 Implementation of New Strategy Progress– Local Government ♦An intradepartmental committee between DPLG and SAMDI was established in 2006 to co-ordinate activities of SAMDI at the local government level ♦There is a proposal for the establishment of a periodic forum which will include SALGA for dialogue, progress mapping, programme updates and decisions on multilateral activities ♦Worked together on a programme for SCM and Financial Management training programmes covering three municipalities in three provinces. ♦Initiate joint planning and strategic development processes for long range curriculum development, norms and standards ♦Implement trilateral reporting mechanisms
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37 Case Study of Training Programmes Accelerated Development Programme ♦Study was concluded during 2003 for the creation of a Sustainable Pools programme of middle managers to prepare them to contest for SMS positions within the public service ♦The Accelerated Development Programme was developed as a training element of the Pools and aims amongst others, to accelerate the development of a number of high performing middle managers in the public service; ♦100 candidates from three departments and two provinces were involved in the Advanced Phase of the ADP and 77 are proceeding to the Executive Phase
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38 Case Study of Training Programmes Executive Development Programme (EDP) ♦The EDP is the first offering of the envisaged capacity building suite of programmes for SMS ♦The EDP materials development and current pilot are led by Tshwane University of Technology (TUT) in a consortium of 6 Universities and 2 Business Schools ♦The objective of the EDP is to increase the management and leadership capacity of the Senior Management Service ♦The modules are based on the SMS competency framework and can lead to a Masters in Public Administration with a supplementary dissertation
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39 ♦Interactive Mass Induction Programme (MIP) materials are undergoing final quality checks Pilot of rewritten workbooks is planned to commence in KZN in November 2007. ♦Support JIPSA (joint Initiative On Priority Skills Acquisition) policy formulation and training; e.g. partnered with Old Mutual to train municipal 100 officials on project management and working with Liberty Life for the training of the CFO ♦ Training of Trainers programme supported by JICA (Japan International Cooperation Agency) currently implemented through AMDIN for Management Development Institutes in Africa (MDIs), which SAMDI is supporting ♦DRC (Democratic Republic of Congo), wherein 300 Congolese officials have been trained since may 2007 ♦GWM&E (Government Wide Monitoring and Evaluation) supported through needs analysis and development of training material to be presented from early 2008 (currently M&E workshops presented from 2006 will continue) Case Studies of Training Programmes Focus Areas for 2007/08 and Beyond
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40 Case Study of Training Programmes Donor Funded Programmes ♦Development programme for women managers (bi- lateral agreement with the Flemish). 63 Women managers completed advanced phase of programme ♦Gender Mainstreaming Programme (supported by Canadian International Development Agency CIDA) and ILO support for training on gender sensitive service delivery ♦The GTZ is supporting materials development for the Induction Programme (MIP) and the inter-provincial consultations. ♦Netherlands Embassy approved funding for management development to municipalities in Chris Hani (EC), Ilembe (KZN) and Bojanala (NW) District Municipalities
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41 Case Study Post-conflict Countries with CIDA Support ♦Purpose: To enhance SA’s contribution towards Africa’s reconstruction through improving the capacity of the public service in targeted post conflict countries ♦Recent Output: 300 people trained in DRC on HRM & Project Management since May 2007 Engagement with DRC re future planning and refurbishment for the DRC public service institute Four countries in which a scoping exercises are currently undertaken – Southern Sudan, Rwanda, Burundi and DRC
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42 Progress with Transformation Internal Project Teams 1.Audit of junior and middle management courses 2.Planning and implementing the training framework 3.Enhancing the monitoring and evaluation system 4.Streamlining accreditation processes 5.Planning for massified induction programme 6.Preparing for service provider mobilisation 7.Planning executive programmes for SMS level 8.Recasting delegations and policies 9.Scoping operational system for outsourced training 10.Conceive a knowledge management system
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43 Progress with Transformation New Organisation Director-General Executive Development (ED) Upper-SMS Lower-SMS Entrant-SMS Research JMMS Curriculum & Materials Design (CM) Curriculum Design Accreditation Process Quality Assurance E-Learning JMMS Providers (P) M&E (Qualitative & Quantitative) Provider & Partner Mobilisation Sectoral & OD Consulting Trainer Professional Development JMMS Training Coordination (TC) Call Centre Course Coordination Central Unit for Databases Business Development & Training Needs Analysis (BD) National Gauteng Limpopo Eastern Cape Northern Cape Western Cape Kwazulu-Natal Northwest Free State Mpumalanga Corporate Services (CS) Human Resource Information Technology Buildings & Operations Governance & Strategic Support (GS) Corporate Communications Strategic Cycle Knowledge Management & Resource Centre Legal & Contract Management Project Management Finance (F) Management Accounts Financial Accounts Supply Chain International & Special projects (IR) Donor Management Facilitation: International Special Projects Facilitation: Local Special Projects Advisory Council Coordination Personal Assistant: DGDirector: ODG Internal Auditor (Outsourced)
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44 Progress with Transformation New Organization Numbers as on 15/10/2007 DGDDGCDDMgrAdminSuppTotal Director General1 11 3 Executive Development 14378 23 JMMS Curriculum & Materials Design 145114 25 JMMS Providers 1247923 JMMS Training Coordination 13912 25 Business Development & Training Needs Analysis 1 125 30 Corporate Services 132014947 Governance and Strategic Support 11456118 Finance 13814 26 International and Special Projects 1454 14 Total posts in Academy151542788310234 Current staff per level1261349508129 Additional posts per level03929 313105
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45 Progress with Transformation Recruitment Strategy for the New Academy ♦Approval by the Minister to present the restructuring proposal to the organization) ♦Key Performance Areas and Job profiles defined for new positions ♦Consultation process with employees and representatives of the employees completed ♦Process for match and place for new positions at all levels underway ♦HR needs for the new Academy More senior Technologically enabled More expert Flatter structure
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46 Progress with Transformation Appropriation as Submitted to MTEC 2008 R'000 2007/08 2008/09 2009/10 2010/11 Expenditure (excluding once-off & capital) 108,100 268,681 478,143 617,350 Once - off and Capital Cost 70,967 58,981 4,738 Total Projected Expenditure 108,100 339,648 537,124 622,088 Course Fees 38,500 146,893 359,138 523,840 Current Appropriation 71,100 75,954 87,221 92,890 Total Projected Revenue 109,600 222,847 446,359 616,730 Additional Appropriation 2007 MTEF - 116,801 90,765 5,358 Current Appropriation 71,100 75,954 87,221 92,890 Total Appropriation Sought 71,100 192,755 177,986 98,248 Projected PTDs ('000) 114 170 350 475
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47 Progress with Transformation Projected Growth in Revenue, Expenditure & PTDs
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48 Progress with Transformation Implications of Cost Recovery ♦Cost recovery requires departments to pay for their courses ♦This comes from existing training budgets and is not ‘new money’ ♦In addition the budget assumes a 40% markup by the Academy contributing to revenue ♦Development of curricula and training material are covered within the cost recovery structure ♦The academy needs to be able to respond flexibly: to make decisions within the fee structure to manage the sustainability of programmes over the lifespan to respond to new priorities and key interventions
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49 Progress with Transformation Early Thinking on Future Nationwide Developments ♦Alongside existing training within departments, meeting the identified need requires 20 courses every week per average province, (3 of them on Induction) ♦In coming years, the Academy and provincial counterparts would spend billions of rands on training venues and accommodation ♦The financial sector is seeking suitable PPP projects with Treasury, for its mandatory investments in public infrastructure: A nationwide network of academies, coupled with mandatory training, will yield the secure income stream required for a PPP If premises for several provincial academies and the new Academy are built or refurbished together, the size will warrant a PPP ♦Western Cape and KZN academies may provide useful precedents for other provinces ♦With help from the Treasury PPP unit, a business model will soon be developed, to consult with provinces and seek interested co-participants
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50 Progress with Transformation Quality Assurance ♦Integrated Curriculum Framework to position SAMDI to respond to mass - based training ♦Structured Relationship entered via JIP with SAQA and PSETA to facilitate generation of unit standards for SAMDI programmes ♦In preparation for massification, marketing campaigns on selected programmes e.g. Good Governance ♦New Course Management System provides integrated and holistic real time data on programs subjected to internal M & E
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