Annual Report Presentation Finance Branch

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Annual Report PresentationFinance Branch

• Presented by
• Mr O. Ayaya
• Chief Financial Officer
• Department Water Affairs (DWA)
• 17 November 2009

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PRESENTATION OUTLINE

• Performance against priorities
• State of financial management systems
• Future performance areas
• Linkage of current targets with government
  overall aims

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Performance against priorities
Strategic objective Output Target Actual achievements
Transformation of the state and society Risk Management Unit Established Risk Management Unit Established and Operational by October 2008 The structure has been approved but the post of the Director Risk Management has not been filled yet.
Risk Mitigation plan developed Completion and approval of a risk mitigation plan by September 2008 Risk mitigation plan and policy have been approved
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Performance against priorities
Strategic objective Output Target Actual achievements
Transformation of the state and society Internal Audit Function Improved Three-year rolling strategic plan in line with prescripts by 30 June 2008 Three-year rolling strategic plan in line with prescripts was developed and approved by the Audit Committee.
Execute 100 of rolling plan by 31 March 2009 The plan was executed and a number of projects were completed. However there are a number of projects that have not been implemented due to staff turnover including the Head of Internal Audit. A new Head of internal Audit has been appointed and projects not implemented will be incorporated in 2009/10 financial periods plans
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Performance against priorities
Strategic objective Output Target Actual achievements
Effective and efficient planning and budgeting processes Implementation of proper budget and expenditure control processes A list of department priorities aligned to the budget were agreed upon at top management meeting was held on 17 November 2008 2009 MTEF funds bids, reflecting priorities of the department, presented to National Treasury for funding
Revenue, asset, liability and expenditure management enhanced Policies and procedures developed and implemented in line with business processes by 31 March 2009 19 policies and procedures have been reviewed and approved.
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Performance against priorities
Strategic objective Output Target Actual achievements
Degree of reduction in audit queries Audit queries reduced Progressively milestones such as valuation of biological assets, verification and valuation of bulk infrastructure, preparation of interim financial statements, regular reconciliation and confirmation of debtor balance, etc have been achieved
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State of financial management systems

• Financial systems used
• SAP- Water Trading Entity
• BAS- main account
• LOGIS- Procurement on Main Account

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State of financial management systems (Cont)

• Staffing
• Structures for finance have been approved for
  both head office and regional offices
• SMS and DDs in place
• Regional heads of finance in place

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State of financial management systems (Cont)

• Separation of functions
• Policy on linking of functions to either WTE or
  MEA implemented
• Review of delegations
• Delegations have been reviewed

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State of financial management systems (Cont)

• Business processes and procedures
• Separation of functions
• Internal Audit - Key to internal control systems
• Establishment of a risk management
• Preparation of interim financial statements

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Future performance areas

• Improved revenue management
• Effective asset management
• Full compliance with SCM framework
• Effective Risk management
• Effective implementation of business processes
  and procedures
• Timeous payments to suppliers

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Future performance areas (Cont)

• Effective implementation of financial improvement
  plan
• Oversee and monitor donor funding
• Reporting of financial information in line with
  GAAP, GRAP, IFRIS and PFMA
• Preparation of MTEF and ENE submissions
• Preparation of adjustment budget and EWS
• Continuous evaluation and comparison of
  expenditure against the budget

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Future performance areas (Cont)

• Manage the bidding process
• Provide a reliable and relevant supplier data
  base

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Linkage of current targets with government
overall aims

• Our Branch targets are aligned to the following
  government overall aims
• Strategic priority 10 Building a developmental
  state including improvement of public services
  and strengthening democratic institutions
• Focus area Improving the service delivery and
  quality of public services the target is
  health, water and land use management, issuing
  in the Public Service.
• Focus area Improve financial management and
  reporting practices that entrench a culture and
  practice of transparency and honesty in service
  delivery

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• Thank you

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