Briefing to the Parliamentary Portfolio Committee for Public Service and Administration

Annual Report 2007/08 and Strategic Plan 2009/10 - 2010/11

Dr FM Orkin: DG and Branch Heads

28 January 2009

Cape Town

2

Presentation Structure

Part A: Context

Part B: Annual Report 2007/08

Part C: Strategic Plan 2009/10

Part D: Branch Developments

Part E: Finance and Budgets

Part F: Challenges and Strategic Issues

3

Part A: ContextThe Policy Environment

Existing Policy Context:

Legislation (including Public Service Act and PFMA)

DPSA Policy Frameworks, e.g. Vision 2015 HRD Strategy, Leadership Strategic Framework, etc.

NHRDS (National Human Resources Development Strategy) led by Department of Education

Planning for a Single Public Service

State of the Nation address

4

Part A: Context The Policy Environment (continued)

Palama 2009 PoA (Plan of Action) Commitments:

Mass Induction Programme to orientate new employees in level 1 to 12 of the public service

Khaedu action learning programme for SMS and middle management

Government-wide monitoring and evaluation (GWM&E) training for various levels

Good governance programmes including Gender Mainstreaming, HIV and AIDS in the Workplace, and Anti-corruption training

Accelerated Development Programme (ADP) to fast-track women and people with disabilities in accessing SMS positions

5

Part A: Context Public Service Profile

There are about 356 000 officials in national departments, 781 000 in provincial departments and 240 000 in local government

Of the above 1,3 million public servants: 75% African, 9% Coloured, 4% Asian and12% 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

On average national and provincial departments spend 2% of the payroll budget on training

6

Part A: Context The Complicated Training Landscape

NATIONAL

PROVINCIAL

LOCAL

Internalproviders

Externalproviders:HEIsFETsPrivate

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

7

Part B: Annual Report 2007/08

Overview of SAMDI’s Service Delivery

Delivery unit Actual PTDs

2006/07

Actual PTDs

2007/08

% change between 2006/07

and

2007/08

Target

PTDs

2007/08

% realised compared

To

targeted PTDs

Change Management and Service Delivery Improvements (CM&SDI)

22,242 15,649 -30 18,371 85

Corporate Resource Management Training (CRMT)

29,006 42,914 48 45,689 94

Management and Leadership Development (M&LD)

47,202 45,729 -3 48,940 93

Total 98,450 104,292 6 113,000 92

8

Part B: Annual Report 2007/08 Service Delivery Table Explained

Total PTDs of 104,000 for 2007/08 is 6% greater than the figure of 98,000 PTDs for the previous financial year

Total represents a shortfall of 8% against the target of 113,000 PTDs set during operational planning

30% down on Service Delivery and Change Management programmes because of rewriting the curriculum and the manuals for the Massified Induction Programme (MIP)

48% up Corporate Resource Management Training because Financial Management and Supply Chain Management courses, subsidised by National Treasury, were implemented

92% of the target is satisfactory in a period interrupted by the public service strike and our transformation process

9

Year-on-year comparison shows that the Academy’s performance has improved over the previous year

Part B: Annual Report 2007/08

Year-on-Year Comparison of Academy’s Performance

YEAR ON YEAR COMPARISON OF PALAMA PERFORMANCE2006/07 - 2007/08

02,0004,0006,0008,000

10,00012,00014,00016,00018,00020,00022,000

Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar

2006/07 Actual 2007/08 Actual

Pe

rso

n T

rain

ing

Da

ys

10

Overall perception of Palama’s training is carried out through: Reaction monitoring Evaluation reports

More than 80% of participants felt that training is of a high quality and standard

Some excerpts obtained from reaction evaluation for the Accelerated Development Programme were:

“The materials are user-friendly and well-structured. They give proper guidance to the reader and include additional readings and bibliography.” Female respondent, KwaZulu-Natal

“[The course provided] excellent exposure to areas such as PFMA that are not necessarily currently part of our work. The crosscutting learning across departments was also valuable.” Female respondent, National Department

Part B: Annual Report 2007/08 Perceptions of Palama’s Training

11

Part B: Annual Report 2007/08 Posts and Vacancies Through the Transition During the last 3 years our staff complement, measured at

year-end, has varied: 2006/07 – 152 total staff in the old SAMDI 2007/08 – 131 during the transforming into the Academy 2008/09 – 128 presently in Palama with filling of new vacancies

under way

New organogram provides for 237 posts: Approximately 200 posts are funded The balance to be paid by increasing

As at the end of January 2009 128 posts were filled, and: There are 12 SMS vacancies, recently re-advertised The remaining 60 funded vacancies are middle and junior

management (JMMS) and administrative positions These positions are presently filled with temporary staff Interviews are currently underway for the JMMS positions

12

Gender profile

56

38

67

4556

40

0

20

40

60

80

100

Female - Overall Female - SMS

2006/07 2007/08 2008/09*

Per

cen

tag

e

Part B: Annual Report 2007/08 Gender Profile as at 31 March 2008

Total Overall Staff2006/07 - 1522007/08 - 1312008/09 - 127

Total SMS Staff2006/07 - 212007/08 - 222008/09 - 43* At end-January – 12 vacancies to be filled

13

SMS Race Profile

43

1910

2832

1914

35

49

712

32

0

10

20

30

40

50

60

African Coloured Indian White

2006/07 2007/08 2008/09

Per

cen

tag

e

Total SMS Staff2006/07 - 212007/08 - 222008/09 - 43

Part B: Annual Report 2007/08 Race Profile as at 31 March 2008

Palama SMS Disability Profile: End March 2007 – 0.0%, 2008 – 0.0%, 2009 – 2.3%

14

Overall Race Profile

69

6 619

62

10 923

61

8 823

0

20

40

60

80

100

African Coloured Indian White

2006/07 2007/08 2008/09

Per

cen

tag

e

Total Staff2006/07 - 1522007/08 - 1312008/09 - 127

Palama Disability Profile: End-March 2007, 0.8%; 2008, 0.8%; 2009, 1.6%

Part B: Annual Report 2007/08 Race Profile as at 31 March 2008

15

Palama’s Strategy is expressed in three ‘mantras’: From being a provider to facilitator of training From being a competitor to a collaborator with the full range of training

providers From selective to comprehensive coverage or ‘massified’ delivery

First main stream of activity: Executive Development Programmes for entrant, lower and upper SMS In collaboration with universities and counterparts and provincial

academies

Second main stream of activity: Massively extended management training for junior and middle

managers Training frameworks of curriculum, materials and accreditation Induction Programme for new entrants and blended learning approach

Part C: Strategic Plan 2009/10 Broadly Based Strategy for Palama

16

Part A: Context The Transformation Process: Mincom to Palama

MinCom

Cabinet mandate for

new two-stream

strategy

Strategic planning 2007 and

task teams

New organ’gram and match- and-place

Strategic planning 2008 and new org. structure

Balanced Scorecard objectives,

roll out strategy

• SAMDI too inflexible for a training institution

• In competition with other service providers

• Form of cost-recovery resulting in short-term, demand-driven offerings rather than a long-term strategy

• Section 1 department reporting to DG

• Foster and co-ordinate the delivery, on a meaningful scale

• Practical management skills for a developmental state

• Common ethos and value for a professional public service

• Nine task teams• From a provider

of training to a facilitator

• From being a competitor to collaborating with other service providers

• To extend its coverage from selective to comprehensive high-volume

• New organization designed to fulfill mandate

• Consulted with management, staff and unions

• First and second preferences, competency exercises, interviews and selection tools

• External Adverts

• Framework for curriculum design

• Cooperation with provincial academies

• New financial model to facilitate a strategic framework and recover costs

• Mass Induction Prgm roll out

• Action learning roll out

• Continuity in JMMS course provision

• AMDP and EDP roll out as accredited SMS training

• New building, regional sites

• Palama launch• Balanced

scorecard

17

Performance levels

Senior

Middle

Junior

Supervisor

Fin

ance

Peo

ple

Pro

ject

s

Cul

ture

Info

rmat

ion

Oth

er

Fin

ance

Hum

an R

es.

Sup

ply

Cha

in

Info

rmat

ion

Oth

er

Oth

er

Imm

igra

tion

Pen

sion

s

Indu

ctio

n

Generic competencies

Functional competencies

Sectoral competencies

Part C: Strategic Plan 2009/10 Outline of Learning Framework

18

Some Engagements with Partners:

Research on programmes offered by HEIs has been conducted

With HEI input, and help from French ENA, extra top SMS offerings

Network of sectoral colleges of departments like Correctional Services, Home Affairs, Foreign Affairs, Defence etc.

Provincial Training Entities and Other Stakeholders: Discussing DPSA Framework for HR practitioners taught by

Palama with provinces

Five Inter-Government Workshops have been held, which included provinces, DPSA, DPLG, PSETA, DBSA, Vulindlela, Academy for Local Government and LOGOLA

Inter-Provincial Curriculum Committee working on sharing

Part C: Strategic Plan 2009/10 Partners and Stakeholders

19

Old SAMDI Strategic Objectives:

Curriculum framework for JMMS Executive development

programmes for SMS Partnerships: management

institutes, providers Training programmes in support of

AU countries Capacitate departments to identify

training needs Implement a quality management

system

New Palama Strategic Objectives:

Service delivery

Stakeholder relations

Lateral contribution to organisation Corporate governance Transformation into the Academy

Part C: Strategic Plan 2009/10 Old SAMDI versus new Palama Balanced-Scorecard Objectives

20

Part C: Strategic Plan 2009/10Example of Palama Objectives and Activities: Executive Development

Services to be delivered 2009/10

Stakeholders 2009/10

Lateral contribution

2009/10

Corporate governance

2009/10

Transformation

2009/10

Co-ordination of training delivery

Build and maintain relationships with national and international stakeholders

SMS learning framework and programme portfolio

Operationalise research component for the Academy

Design and deliver e-learning programmes for SMS

Roll-out of EDP by select service providers to 1,000 officials in national and provincial departments by Mar ‘10

Monthly electronic communication to clients on training offerings and advice by Mar ‘09

Evaluation of integrated training and development strategy by Jun ‘09

Three major research projects designed and operationalised by Dec ‘09

Develop e-learning components in support of three EDP modules for SMS by Mar ‘10

1 conference, 8 workshops and 12 seminars delivered to 2,000 officials by Mar ‘10

100 SMS participants in international exchange programme by Dec ‘09

Implementation of the learning framework in all national and provincial departments by Apr ‘09

Reports and publications on research projects by Mar ‘10

Pilot e-learning components for three EDP modules with 300 participants each by Sep ‘09

Second round of selection and appointment of external service providers by Apr ’09

Help-line on SMS training and development established and operational by Jun ‘09

New SMS programmes and initiatives piloted in five national departments, four provinces and three municipal districts by Jul ‘09

Presentation of research papers at public management conferences

Full-scale rollout of e-learning components for the three EDP modules to SMS by Dec ‘10

2121

Director-General

Executive Development (ED)

Personal Assistant: DG Director: ODG

JMMS Curriculum & Materials Design

(CM)

JMMS Providers

(P)

JMMS Training Coordination

(TC)

Business Development & Training Needs Analysis

(BD)

Corporate Services(CS)

Governance & Strategic Support

(GS)

Finance(F)

International & Special projects

(IR)

Upper-SMS

Lower-SMS

Entrant-SMS

Research

Curriculum Design

Accreditation Process

Quality Assurance

M&E(Qualitative & Quantitative)

Provider & PartnerMobilisation

Sectoral & OD Consulting

Trainer ProfessionalDevelopment

Call Centre

Course Coordination

Central Unit for Databases

National

Region I

Region II

Region III

Human Resource

Information Technology

Buildings & Operations

Corporate Communications

Strategic Cycle

Knowledge Management & Resource Centre

Legal & Contract Management

Project Management

Management Accounts

Financial Accounts

Supply Chain

Donor Management

Facilitation: International Special Projects

Facilitation: Local Special Projects

Advisory Council Coordination

E-Learning

Internal Auditor(Outsourced)

Vote

Trade

Outsourced

Part C: Strategic Plan 2009/10The Palama Organogram

22

Purpose: Management development for 10 000 SMS members, in partnerships with Higher Education Institutions

Recent Developments: Last three PSLDP cohorts graduated in November 2008 Project Khaedu currently running in provinces and national

departments Successful Flemish seminar with DGs concluded India study tour by top AMD graduates successfully completed SMS seminar with Canadian specialist conducted in December

2008 Executive Development Programme launched with a consortium of

8 institutions led by the Tshwane University of Technology Accelerated Development Programme (ADP) successfully

implemented, and out of 114 initial participants 77 went on to underwent the executive phase of the programme

Part D: Branch developmentsExecutive Development

23

Part D: Branch developmentsExecutive Development (continued)

New Developments:

Build on engagements with India, ENA in France, Brazil and Harvard

Research on local HEI landscape ready for presentation

Protocol and Diplomacy course awaiting approval of rates

Innovation in the Public Service - collaboration with CPSI underway

IT Policy Formulation course is under discussion

Accelerated Development Programme (ADP) graduation scheduled for May 2009

Executive Development Programme (EDP) rollout on track Induction programmes for Ministers and Directors-General, now also

MPs, being designed

24

Part D: Branch developments Leadership Development

Context - regulatory requirements, political processes and socio-economic process.

A supportive institutional environment.

Skills

Space

Will

Comm

itment, culture

and ethos.Skills,

kno

wledg

e an

d

com

pete

nce.

Decision making, strategic and

organisational process.

Techn

ical a

nd p

rofe

ssion

al sk

ills.

Induction.Khaedu.

Fellowship programmes.Peer support.

Fast tracking talent.Arm chair discussions.

Coaching.Mentoring.

Process competencies.

Certificates of competence.Masters in public leadership.Public leadership curricula development.International development.Research scanning trends, improving the discipline &professionand innovation.

Career pathing, performance management systems, HR and organisational strategy.

Planning system

Goals, values and strategies.

25

Part D: Branch developmentsCurriculum and Materials

Purpose: Facilitates the development, quality assurance, and accreditation of curricula for 250,000 JMMS in a blended approach

Recent Developments:

Integrated and area-specific curriculum frameworks developed

Audit of Palama’s existing 50 courses conducted

Learning materials developed for e.g. Gender Mainstreaming, Massified Induction Programme, Ethics Management for Local Government, etc.

Draft Quality policy on procedures and tools for JMMS curriculum developed

Draft Curriculum and Assessment policies for Palama developed

26

Part D: Branch developmentsCurriculum and Materials (continued)

Recent Developments continued:

Five workshops with provincial and local counterparts to extend collaboration

Inter-departmental e-Learning Forum constituted (LOGOLA and provincial academies, and other government departments)

e-Learning version of the Bid Committee Course developed and piloted

New Developments:

Curriculum sharing process involving provincial academies, DPSA, SETAs, SAQA

Curriculum committee for peer review (Provincial academies/premier’s offices, DPSA, PALAMA, LOGOLA, experts)

27

Part D: Branch developments Provider Mobilisation

Purpose: Facilitates the creation and management of providers of training for junior and middle management

Recent Developments: Audit of training providers’ contracts conducted and contracts renewed Broad guidelines for provider mobilisation developed and used Appointment of first group of Gender Mainstreaming Independent

Individual Contractors (IICs) completed Fifth Inter-government training stakeholders workshop for the sharing of

training strategies and curriculum frameworks was held in Cape Town First meeting held with sector department training academies for

networking and sharing of best practices The 12th Public Service Trainers Forum (PSTF) was held in Durban M&E report in the Accelerated Development Programme completed

28

Part D: Branch developments Provider Mobilisation (continued)

New Developments: Draft guidelines for Palama training facilitators are under development

Trainer professional development framework underway Draft provider deployment guidelines for regional training under

development Provincial roadshows for recruitment of providers

Monitoring and evaluation (M&E) system is being revamped to document a multitude of course presentations, and numerous trainees: M&E of training is conducted at 3 levels; participant responses, on-

site monitoring on a sample basis and impact evaluation when needed

M&E function provides qualitative and quantitative intelligence for programme quality improvement, provider management and planning processes

29

Part D: Branch developments International Relations

Purpose: Supports Palama programmes through the establishment of strategic partnerships aligned to South Africa’s foreign policy priorities

Recent Developments: Training for public service and support for the Ecole Nationale

Administration (ENA) in DRC. 600 DRC officials were trained International Exchange programmes with partner institutions, includes

India and Brazil (IBSA) seminar series Extension programme for graduates of ADP in India The Netherlands provided R2.4m to pilot for equipping Municipal

Managers with core skills for improved service delivery On behalf of African Management Development Institutes Network

(AMDIN) 23 officials from 11 African countries were trained Exchange programme with senior Flemish government officials

implemented in May 2007

30

Part D: Branch developments International Relations (continued)

New Developments: South-South partnership to build MDI capability in Burundi, Rwanda

and Southern Sudan through R70m CIDA funding over five years Collaborating with provinces on donor funding for development of

provincial academies R20m funding received from African Renaissance Fund for training

and refurbishment of ENA building An agreement was signed with the Canadian International

Development Agency to support 3 post conflict countries (Rwanda, Burundi and South Sudan)

31

Part D: Branch developments Training Co-ordination

Purpose: Links prospective users in departments on all levels with training providers

Recent Developments: Backlog with issuing of certificates was reduced from 9 300 to 700 Operational dashboards have been made available to all teams Contract management data was made available to users A sophisticated electronic training management system (TMS) has been

developed and is being expanded High-tech customer contact centre, to connect users to providers in

thousands of events per year, and handle billings and evaluation reports

New Developments: Post course model – development in progress Align Executive Development business processes with those of Junior

and Middle Management Service

32

Part D: Branch developments Business Development

Purpose: Ensures that opportunities for massified training, development and support are proactively conveyed to users

Recent Developments: A training plan with SASSA provided training for 1862 officials and

5526 PTDs by October 2008 Market segmentation in terms of spheres and levels of target

audience conducted Regionalising operations for business relations and TNA Significant uptake in Finance for Non Financial Managers and Supply

Chain Management, which received subsidy from National Treasury

33

Part D: Branch developments Business Development (continued)

New Developments: Ongoing training of Thusong service centre managers in different

fields, need to train 1600 service providers on Excellent Customer Care

Process mapping, systems and databases development underway Brand management Comprehensive, multi-prong strategy - brochures, letters, toolkit,

video clip Exhibitions, emails and sms to previous participants 17 training courses to be offered to Department of Land Affairs for

300 officials

34

Part D: Branch developments Corporate Services

Purpose: Provides support services related to Information Technology, Buildings and Operations, and Human Resources Management

Recent Developments: HRM facilitated the restructuring process IT and Buildings & Ops facilitated the relocation to the new ZK

Matthews Building HRM handled 23 000 applications for vacant SMS and MMS

positions and as at January 2009, 30 of the 42 (71%) SMS positions were filled

Establishment and restructuring approved by the Executive Authority Extensive consultation with labour for match-and-place process

completed

35

Part D: Branch developments Corporate Services (continued)

Recent Developments continued: Cabinet has approved appointment of the 3 DDGs, and 12 CD’s

selected On the Annual Wellness Day, 46 of 123 staff members undertook

voluntary HIV and AIDS tests. 4 members were found to be HIV positive. Counseling and treatment support is provided

New Developments: Selection process is underway for MMS positions 12 SMS positions were re-advertised in January 2009 Administrator positions will be advertised in early February 2009

36

Purpose: Supports the Director-General and top management with strategic and allied support functions

Recent Developments: Production and tabling of the current Strategic Plan and Annual

Report 2007/08 according to legislative requirements Logistics, planning and successful rollout of the Academy launch Implementation and maintenance of the stakeholder database Support to line functions in marketing the Academy

New Developments: The creation of an online directory of training services Development a communications strategy relevant to Palama Team-building of newly extended SMS via strategy and planning

workshops

Part D: Branch developments Governance and Support

37

Part D: Branch developments Corporate Finance

Purpose: Provides financial management, accounting and supply chain services to the Academy

Recent Developments: Unqualified Audit Reports for both entities for the fifth consecutive year Revision of financial model for sustainable cost-recovery Internal audit reports on debtors and the Course Management System Preparation of the Financial and IT Management Improvement Plans Implemented the SCOA toning project on BAS effective 1 April 2008 New overall financial and charging model and revised tariffs approved

New Developments: Development of the monthly management information “dashboard” Investigation of Supply Chain system to supplement LOGIS

38

Part E: Finance and BudgetsComparison of Palama’s PTDs Performance

YEAR ON YEAR COMPARISON OF PALAMA PERFORMANCE2006/07 - 2007/08 - 2008/09

as at 22 January 2009

02,0004,0006,0008,000

10,00012,00014,00016,00018,00020,00022,000

Apr May Jun Jul Aug Sep Oct Nov Dec Jan Feb Mar

Pers

on

Tra

inin

g D

ays

2006/07 Actual 2007/08 Actual 2008/09 Actual 2008/09 Projected

The total PTDs for 2008/09 year are going to be slightly below the projected figure because of: capacity constraints during the recruitment drive following the new organogram flooding at the old building required temporary relocation before the new building the impact of the shift into the new financial model

39

Part E: Finance and BudgetsPalama Financial Overview (Rm)

a This total Parliamentary allocation included R32m once-off to equip the new building, and R28m ongoing for capacity building, initially for Mass Induction Programme (MIP) start-up.

b The R28m, for MIP's start-up, was transferred to the TRADE ACCOUNT, alongside the usual transfer, of R29m in this case.c The amount assigned for transfer in the Parliamentary allocation was R51m. Permission is being sought to retain R10m in the VOTE for transformation

process expenditure.d The TRADE revenue and expenditure for 08/09 are a prediction based on PTDs delivered and projected, that will be invoiced by year-end.e The VOTE figures shown for 09/10 reflect the allocation letter from National Treasury. The TRADE figures assume a delivery of 185 000 PTDs through

Palama's cost-recovery model, and represented like previous years on the accrual basis of accounting, as in the Annual Reports.

VOTE 06/07 07/08 08/09 09/10e

Total Parliamentary allocation (VOTE + TRADE ACCOUNT) 58 71+32+28a 105 119

Less: Amount transferred to TRADE ACCOUNT 23 29+28b 41c 61

VOTE allocation 35 73 64 58

Less: VOTE expenditure 35 73 64 58

Surplus or (Deficit) - - - -

         

TRADE        

Amount transferred from VOTE 23 29+28b 41c 61

Plus: Income (Mainly form Course fees) 44 58 96 177

Total TRADE revenue 67 115 137d 238

Less: TRADE expenditure 54 78 136d 232

Surplus or (Deficit) 13 37 1 6

40

Part E: Finance and BudgetsExpenditure per Economic Classification Actual, Projected, and ENE (2009/10 – 2011/12)

Vote 10: Economic

classification (Rm)

07/08

Actual

08/09

Proj

09/10

ENE

10/11

ENE

11/12

ENE

Compensation of

Employees13 15 23 24 25

Goods and Services 53 41 33 37 38

Capital Assets 8 8 2 2 2

Sub-total 74 64 58 63 65

Augmentation of Palama Trading Entity

57 41 61 64 68

Total Expenditure 131 105 119 127 133

41

Training Trading Account (TTA): Revenue and Expenditure (Rm)

07/08

Actual

08/09

Proj

09/10

ENE

10/11

ENE

11/12

ENE

Revenue:

Income (Mainly Course Fees) 65 96 177 294 474

Transfers Received 57 41 61 64 68

Total Revenue 122 137 238 358 542

Less Expenditure:

Compensation of Employees 27 44 52 59 63

Goods and Services 58 92 180 290 467

Total Expenditure 85 136 232 349 530

Surplus (Revenue – Expenditure) 37 1 6 9 12

Part E: Finance and BudgetsRevenue and ExpenditureActual, Projected, and ENE (2009/10 – 2011/12)

42

Part F: Strategic Issues and Priorities

Key transition issues for new strategy: Executive development conference with HEIs re offerings Improvement and accreditation of curricula following review Provincial engagements to extend training-provider pool Communication to user departments regarding uptake Extended Management Information System to link databases Future collaborative extension of scope to local government “People systems”: induction of new staff, recruits, representivity, etc.

Priorities from Makgotla, Minister, and Portfolio Committee Post-election orientation of Ministers and DGs, also of MPs Tackling “barriers to access” for unemployed graduates Exit strategy for DRC, roll-out of Rwanda/Burundi/S. Sudan capacity

building of management development institutes Taking Mass Induction Programme up to full sclae

43

Siyabonga