fps social security dg strategy & research

FPS Social Security

DG Strategy & Research

Performance agreements in the Belgian social security network

July 2009

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Context

Performance agreements (PA) in the Federal state of Belgium

1

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Governance framework at the federal level

Executive bodies : Federal Law of 16 March 1954 on the control on public institutions of general interest

Executive bodies : Federal Law of 16 March 1954 on the control on public institutions of general interest

AA BB CC DD

1993 : Autonomous State’s owned

enterprises / public anonymous

corporation (PA)



corporation (PA)

1997-2003 : Public institutions from social security

PA, ops autonomy, ind responsibility

for CEO

1997-2003 : Public institutions from social security

PA, ops autonomy, ind responsibility

for CEO

’90

: p

rivatiz

atio

n’9

0 :

priv

atiz

atio

n

Central ministriesCentral ministries

1999-2003 : Copernicus ReformMatrix structure, reorganisation in

Federal Public services (FPS)

1999-2003 : Copernicus ReformMatrix structure, reorganisation in

Federal Public services (FPS)

11

22

2008 : Policy plan Minister for Civil ServicePA / operational autonomy for FPS and remaining A

& B bodiesTo ex post control

2008 : Policy plan Minister for Civil ServicePA / operational autonomy for FPS and remaining A

& B bodiesTo ex post control

33

44

2001-2003Individual responsibility for CEO’s

2001-2003Individual responsibility for CEO’s

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Governance framework within the Regions and Communities

Executive bodies : Federal Law of 16 March 1954 for the control on public institutions of general interest

Executive bodies : Federal Law of 16 March 1954 for the control on public institutions of general interest

AA BB CC



corporation (PA)



corporation (PA)

General ministriesGeneral

ministries

Brussels Capital Region

Brussels Capital Region

Within & unchanged

Wallon RegionFrench Community

Wallon RegionFrench Community

Within & developed

2004 : Management decreesfor executive institutions :

control, PA, CEO responsibility

2004 : Management decreesfor executive institutions :

control, PA, CEO responsibility

2007 : Plan Marcourt (Walloon Region) reorganisation in

departments, CEO-mandate

2007 : Plan Marcourt (Walloon Region) reorganisation in

departments, CEO-mandate

Flemish CommunityFlemish Community

Outside

2000-2008 : For a Better Management Policy Reform

Reorganisation in policy fields, agencies, CEO-mandate, PA for

agencies

2000-2008 : For a Better Management Policy Reform

Reorganisation in policy fields, agencies, CEO-mandate, PA for

agencies

2007 : PA for departments2007 : PA for departments

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Performance agreements in the Kingdom of Belgium

Flemish Community 56 executive agencies

13 central departments

Flemish Community 56 executive agencies

13 central departments

Walloon Region 27 executive bodies or public enterprises

Walloon Region 27 executive bodies or public enterprises

French Community 6 executive bodies or public enterprises

French Community 6 executive bodies or public enterprises

Brussels Capital Region 5 executive bodies or public

enterprises

Brussels Capital Region 5 executive bodies or public

enterprises

Federal authority 11 State’s owned enterprises15 executive institutions from social security

Federal authority 11 State’s owned enterprises15 executive institutions from social security

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Contractmanagement within the Belgian Social

Security network

2

Actual situation Contracting parties

Options taken in the implementation of the PA

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Performance agreements within the Belgian social security network

Performance agreements in 15 Social Security Public Institutions (SSPI) :

Between the Federal State and each SSPI 12.000 employees concerned Operational budget +/- 1billions €/year Three years period + prolongation 1ste generation (2002-2005) – second generation (2006-2009)

Performance agreements in 15 Social Security Public Institutions (SSPI) :

Between the Federal State and each SSPI 12.000 employees concerned Operational budget +/- 1billions €/year Three years period + prolongation 1ste generation (2002-2005) – second generation (2006-2009)

Why ?Why ?

Need for a well performing social security network because of external threatsNeed for a well performing social security network because of external threats

Greater demands from citizen for a qualitative serviceGreater demands from citizen for a qualitative service

More and more budgetary constraintsMore and more budgetary constraints

Need for adequate policy supportNeed for adequate policy support

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Who ? A PA between Social partners, CEO & Ministers

Belgian State

System of public social insurance covering social risks

System of public social insurance covering social risks

The employers40%

The employees24%

Taxes36%

Direct contributions Employers’ organisationsTrade

unions

Governance of the public institutions

Governance of the public institutions

Performance agreements

Appointed CEO

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The contracting pandemonium

Ministre de

Tuelle

Ministre de

Tuelle

Commissionar

Policy Minister

Commissionar

Policy Minister

Support to the political level

Control, following-up concertation

Support

Minister for

Budget

Minister for

Budget

Commissionar Minister for Budget

Commissionar Minister for Budget

Support to the political level

Control, following-up concertation

Support

FPS Budget

FPS Budget

Concertation en task division

Intercabinet working groups

Minister for Civil Service

Minister for Civil Service

Social Security Public

Institution


Institution

Belgian government

FPS EmplFPS EmplFPS SocFPS Soc

Ministre de

Tuelle

Ministre de

TuellePolicy

Minister

Policy Minister

Mgt-board

Mgt-board

CEOCEO


Institution


Institution

Mgt-board

Mgt-board

CEOCEO


Institution


Institution

Mgt-board

Mgt-board

CEOCEO


Institution


Institution

Mgt-board

Mgt-board

CEOCEO


Institution


Institution

Mgt-board

Mgt-board

CEOCEO

SSPI’s College

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Content : the PA will cover the operational performance of the institutions

Effectiveness : policy

implementation


implementation

Efficiency : Value for Money


Performance : execution daily

activities


activities

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Output objectives

0,00

50,00

100,00

150,00

200,00

250,00

Nu

mb

er

of

ou

tpu

t

cont

rol

paym

ent

decis

ion

reco

very

redis

tribu

tion

gene

ral in

fo

pers

onna

l info

adm

sim

plific

ation

rece

ption

study

& re

sear

ch

targ

eted

info

repr

esen

tatio

n

com

mon

pro

jects

inter

nal m

anag

emen

t

e-go

v - IC

T fluxe

s

othe

rs

Covered missions by the 2d generations of agreements (2006-2009)

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Fraud & Error inside the PA

High topic for the 3d generation (2010-2012)High topic for the 3d generation (2010-2012)

Policy targets for tackling fraud & error(april 2009)

Policy targets for tackling fraud & error(april 2009)

Not only fraud but also errorsNot only fraud but also errors

Analyzing actual measurement system en developing new ones if necessary Analyzing actual measurement system en developing new ones if necessary

Report on fraud/error mechanisms inside your policy sectorReport on fraud/error mechanisms inside your policy sector

Making a risk analyse for your policy sectorMaking a risk analyse for your policy sector

Updating the actual action plans against social fraud / errorUpdating the actual action plans against social fraud / error

Cooperating with others Belgian departments or executive bodiesCooperating with others Belgian departments or executive bodies

Participating to the execution of international / bilateral agreementsParticipating to the execution of international / bilateral agreements

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A new relationship between Agency and the State

L’Etat, c’est moiWe are equal

partners

Performance agreements

Primacy of politics

Primacy of politics

Reaching a compromiseReaching a compromiseOperational autonomy

Operational autonomy

Contractual obligationsContractual obligations

ReportingReporting

Remaining controlRemaining control

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The contractualisation process in brief

3

Negotiation

Yearly implementation cycle First evaluation

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Negotiation process

Step 4 – Political discussions Step 6

Step 5 : 2nd round of negotiation

Step 2 – 1st round of negotiation

Step 3

Step 1Preparation

Budgetary planning Year

X

Budget 1st year – Budgets 2 next

Years2nd

project contract

Quality check-up

Final approval of the budgets

Meeting Inst – Policy

Minister

Ap

pro

batio

n, sig

nin

g &

pu

blica

tion

Quality check-up

Fin

an

cial w

ay

Str

ate

gic

way

Tech

nic

al

way

Preparation Negotiation Conclusion

Quality check-up

Ap

pro

val

Soci

al

Pert

ners

Meeting Inst – Policy & Budget

Ministers

Meeting Institution –

Policy Minister

GO

V d

eci

sion

Meeting Inst –

Policy & Budget

Ministers

Meeting Inst-Policy Minister

3d project contract

Sta

te’s

exp

ect

ati

ons

1st project

PA

Com

munic

ati

on t

o

Polic

y M

inis

ters

June X-1June-July X-

1August – October X-1 November-december X-1

Political / budgetary discussions

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Implementation : yearly cycle

Year discussion

6 month report

Mgt planAdaptation

Report State’s

commissioners

Year report

YearCycle

Global & pluriannual evaluation by dpt

Global & pluriannual evaluation by dpt

Negociation of new agreementsNegociation of

new agreements

Pluriannual

Cycle

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Evaluation 1st generation : goal attainment 1193 (I) /1204 (II) operational outputs

978 (I) /1136 (II) SMART enough to be evaluated

1193 (I) /1204 (II) operational outputs

978 (I) /1136 (II) SMART enough to be evaluated

0,00

200,00

400,00

600,00

800,00

1.000,00

1.200,00

Nu

mb

er

of

ou

tpu

t

1st gen 2d gen

Goal attainment : 1ste & 2d generations

Output with target for the 3d year

Not achieved output

Partially achieved output

Achieved output

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Weak points of PA

Observed problems with the information quality inside PA and reports

Observed problems with the information quality inside PA and reports

0

200

400

600

800

1000

1200

1400

Nu

mb

er

of

ou

tpu

t

1st gen 2nd gen

Quality of information

No problems

Unclear target & no info on results

Inadequate result info

No info on results

Unclear target

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Open questions about the system’s future

4

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First question : how to maintain the innovative nature of PA ?


implementation


implementation




activities


activities

Performance achievements - two 1st years

Achieved output75%

Partially achieved output

8%

Not achieved output6%

Output with objective for the 3d year

11%

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Second question : how to match the pluri-annual PA with yearly budgetary

constraints ?

Respect for the (yearly) techniques

of budgetary orthodoxy

Respect for the (yearly) techniques

of budgetary orthodoxy

Preaching for pluri-annual performance en budget planning

Preaching for pluri-annual performance en budget planning

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Third question : how to guarantee the partnership and the primacy of politics at the

same time?

Changes in policy / political /

budgetary cycles

Changes in policy / political /

budgetary cycles

L’Etat, c’est moi

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Fourth question : how to translate PA into individual performance ?

Organizational performancesOrganizational performances

Individual targetsIndividual targets

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Fifth question : How to transfer the system to

central departments ?

Covering production chain

Covering production chain

Covering study & policy departmentsCovering study &

policy departments

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For further informations

Amaury LegrainTom Auwers

FPS Social Security – [email protected]

[email protected]

http://www.socialsecurity.fgov.be

fps social security dg strategy & research

Documents

social securitypa

social partners

federal levelexecutive

federal law

policy fields

policy targets

policy plan minister

communitiesexecutive