Presentation to Portfolio Committee for Higher Education and Training

Joe Samuels, Acting CEOMark Albertyn, CFO

29 March 2011

SAQA Strategic Plan:SAQA Strategic Plan:2011 – 20142011 – 2014

Overview of the Presentation

• Strategic Planning Context and Background

• Strategy

• Budget and Finance

• Risks

Strategic Planning:Strategic Planning: Context and BackgroundContext and Background

Context

Vision

A world class NQF for South Africa

Mission

To ensure the further development and implementation of a NQF which contributes to the full development of

each learner and the social and economic development of the nation at large

StrategyStrategy

Overall Strategy• NQF Act (and related legislation)• Regulations on Dispute Resolution

• Draft Guidelines and strategies for the NQF• Minister’s Letter to the Chairperson• Minister’ Address to the Incoming Board• National Policy EnvironmentThe New Growth path: the Framework, Human Resource Development

Strategy for South Africa (2010 – 2030), National Skills Development Strategy III, Presidential Outcome 1 (Basic Education), Presidential Outcome 4 (Decent Employment Through Inclusive Growth), Presidential Outcome 5.1 (Higher Education and Training), Declaration Signed at the Skills Summit

Minister’s Draft Guidelines and Strategies for the NQF

• System of Collaboration• NQF Implementation Plan• Urgent Delivery Requirements

• Implement the fundamental components of the NQF – standards setting , quality assurance, progression and information.

• The new NQF standards setting apparatus of the NQF should be completed and put into operation

• The new NQF quality assurance apparatus of the NQF should be completed and put into operation

• The new progression apparatus of the NQF should be completed and put into operation

• The new NQF information apparatus of the NQF should be completed and put into operation

Strategic Imperatives

SAQA embraces diversity, environmental sustainability and social justice. SAQA as the oversight body of the NQF and custodian of its values, will for the MTEF period:

Strategic Imperatives

Continue to manage the transition

Continue to build research and development capacity and credibility

Advance lifelong learning through the NQF and mechanisms such as RPL, CAT and CAS

Engage proactively with key partners to develop common understandings

Create the climate and conditions for effectiveness through advocacy and excellent service delivery

Strategic Objectives• Advise the Minister, and inform policy-makers and make

recommendations on all NQF matters• Position SAQA as the oversight body and guardian of

NQF values and coordinate an effective public NQF advocacy and communication strategy

• Engage proactively, and coordinate the work of NQF partners to ensure systemic coherence, articulation and implementation

• Register high quality, nationally relevant and internationally comparable qualifications and part-qualifications that meet national criteria

Strategic Objectives• Recognise professional bodies and register

professional designations on the NQF

• Conduct or commission research together with research partners, and publish reports on issues of importance to the NQF

• Monitor and evaluate education and training across the three sub-frameworks

• Maintain and further develop the National Learners’ Records Database (NLRD)

Strategic Objectives

• Collaborate with SAQA’s international counterparts and keep its NQF partners informed regarding international leading practice

• Advance lifelong learning through credit accumulation and transfer, recognition of prior learning, and career advice

Strategic Objectives

• Provide an evaluation and advisory service with respect to foreign qualifications

• Support targeted education, training and development communities

• Ensure effective governance and compliance to the statutory requirements as applicable to SAQA, as well as the aligned development of human, financial and infra-structural resources, to support the achievement of organisational objectives

Budget, Finance and PlansBudget, Finance and Plans

Budget Assumptions• That the budget is based on SAQA’s new mandate in terms

of the NQF Act, with an implementation date of 1 June 2009.

• That personnel costs will be adjusted for the effects of inflation at 6%.

• That performance and broad banding level adjustments for all levels of staff are implemented and maintained.

• That inflation in income will be around 5%, except for DFQEAS revenue that will be R13,4 million. NLRD to generate R6 million from verifications project.

• That inflation of costs will be around 5 % with SAQA having to absorb any higher inflation by using resources more effectively and efficiently to still achieve its operational goals.

Budget Assumptions• The funding from government will be at least R41,4

million.• That extra project funding will be sought for clearly

defined and discrete projects.• Not all objectives in the strategic plan will be implemented

unless further funding or grants are obtained. Will be a formal prioritisation process and unfunded mandates will be declared to government.

• A total of 48 new and 7 contract positions will be created resulting in a staff complement of 178 staff members (Including Contract positions). 27 of the new positions will be for the CAS help line. (Scenario 1)

Medium-term revenue estimate2011/12 2012/13 2013/14

R R R

Submitted Revised Scenario 3 Budget

Projected Projected

Income

Tax revenue

Non-tax revenue 32,830,000 30,471,500 28,883,172

Transfers received◦Government grant◦Donor / Project funding

41,435,00028,900,000

43,606,000 39,700,000

46,136,000 20,800,000

Total Revenue 103,165,000 113,777,500 95,769,172

Medium-term expenditure estimate

2011/12 2012/13 2013/14

R R R

Expenditure Submitted Revised Scenario 3 Budget

Projected Projected

CurrentCompensation of employees 61,514,574 68,205,448 57,999,651Goods and services 37,375,612 41,939,097 35,095,918Transfer payments and subsidies

202,814 212,955 223,602

Current Total 99,093,000 110,357,500 93,319,172

Medium-term expenditure estimate (cont’d)

2011/12 2012/13 2013/14

Expenditure R R R

Capital 4,072,000 3,420,000 2,450,000

Transfer payments

Property, Plant & Equipment 4,072,000 3,420,000 2,450,000

Land and subsoil assets

Total budget 103,165,000 113,777,500 95,769,172

Surplus/ (Deficit) 0 0 0

Programme Budget AnalysisBudget amount

Programme 1: Administration and Support R 41,296,402

Career Advice Services Project R 28,900,000

Programme 2: Recognition and Registration R 7,644,018

Programme 3: National Learners’ Records Database (NLRD) & Verifications Project

R 11,343,502

Programme 4: Foreign Qualifications: Evaluation and Advisory Services

R 13,981,078

Total Budget R 103,165,000

• Administration and Support:◦ Executive Office

Build and maintain relationships with the principal (DHET), partners and stakeholders

Establish a Career Advice Helpline (ministerial project with NSF Funding)

Ensure good corporate governance, compliance with statutory requirements and support to the Board and Management

• Administration and Support:◦ International Liaison

Represent SAQA on international bodies to build and support SAQA initiatives

Inform SAQA, partners and stakeholders about international developments and contribute to critical thinking regarding NQFs

Collaborate with countries and regions requesting assistance

• Administration and Support:◦ Finance and Administration

Support Strategic decision making Manage cash flow Monitor and control procurement Facilitate occupational health and safety, manage

facilities and safeguard staff Maintain financial system (record and report), manage

donor relationships, ensure internal controls and facilitate audits

Train staff on PFMA, PPPFA, Treasury Regulations, and King III

• Administration and Support:◦ Human Resource

Organisational development and staffing (recruitment)

Ensure a performance and recognition culture and facilitate learning and development

Establish and maintain a fair and affordable remuneration and benefits structure

Instill a caring organisational culture that ensures healthy relationships and labour peace

Ensure that administrative, legislative and policy requirements are met

• Administration and Support:◦ Information Technology

Deliver a robust, sustainable secure and responsive technology environment in support of SAQA’s objectives and responsive to governance requirements

Acquire, build and integrate modular systems that support the core business and integrate into existing technology

Build a service delivery capability to ensure that the IT infrastructure meets operational requirements in terms of availability, capacity and service delivery

• Administration and Support:◦ Advocacy Initiative

Undertake appropriate market research to effectively inform the advocacy initiative and to plan interventions

Review and update the Advocacy Initiative strategy and plan, and grow awareness, understanding, and appreciation of the brand – internally, with the education, training and development sector, and with the public

Interact with the market: brand ambassador (masithethe), helpline, website

• Administration and Support:◦ Strategic Support

Build SAQA brand with partners, stakeholders and public Provide Internal Communication Ensure quality, appropriate publications Host and participate in strategically selected events Provide quality service to SAQA clients Improve and grow capacity building events (NQF support link and

workshops) Improve and grow NQF and SAQA websites Collect, manage, and distribute quality information sources

(resource centre) Implement and maintain File Plan and Records Management

System

• Administration and Support:◦ Research

Advise Minister and inform policy makers on NQF and education and training matters

Conduct/commission research and report on matters of importance in relation to the NQF

Provide research in SAQA, positioning SAQA as NQF co-ordinating body, and the development of CAT and RPL

• Registration and Recognition:◦ Facilitate smooth transition from the old to the new

landscape

◦ In consultation with the QCs and Professional Bodies, develop policies for the new landscape

◦ Registration of high quality, nationally relevant and internationally comparable qualifications

and part-qualifications that articulate across sub-frameworks

• Registration and Recognition:

◦ Provide for the recognition of Professional Bodies and the registration of designations

◦ Collaborate internally to develop regulatory frameworks for the implementation of new policy

◦ Support government with respect to skills development policies by providing support for the QCTO with respect to quality assurance of education and training.

• National Learners’ Records Database:

◦ Market the NLRD to key clients in the public and private sector

◦ Populate the NLRD with all available data, ensure that it is of acceptable quality, and manage it appropriately

◦ Maintain and further develop the HEQCIS for the CHE

◦ Ensure that the research potential of the NLRD can be utilised, and develop key reports and services

• National Learners’ Records Database:

◦ Ensure system support other than OnLineDBA for the NLRD

◦ Support the NQF, other directorates and SAQA as an organisation

◦ Provide a service for the verification of the achievement of qualifications at South African institutions

• Foreign Qualifications: Evaluation and Advisory Service

◦ Nurture and grow expertise of DFQEAS

◦ Position DFQEAS as relevant and value-adding partner

◦ Enhance existing / develop new services and products to better serve market needs, and ensure delivery to the satisfaction of clients and stakeholders

Budget Challenges• Budget cuts of R2,4 million for each of the 2011/12,

2012/13 and 2013/14 financial years• SAQA 3 Scenario planning strategy

• Insufficient funds to cover Scenario 1 plan• Scenario 3 budget submitted for approval

Deliverables affected by only having Scenario 3 budget

• Strategic Support• Communications strategy on a limited scale -

effectiveness survey may not be done• Implementation of above-the-line communication

limited• Fewer seminars and conferences can be hosted• Participation in strategic exhibitions reduced• Printing of reports on SAQA research projects reduced

from about 15 to 6• Limited development of NQF, SAQA and Community

gateway websites

Deliverables affected by only having Scenario 3 budget

• NLRD• Limited enhancements to data-testing & loading

program• Limited development of standard reports and

searchable databases• Could be insufficient funds for developments

required ito Prof Bodies

Risks:Risks:

Prioritised Risks :Resources

Financial

•Insufficient budget to support planned activities

•Inadequate funds in respect of Advocacy

Human Resource

•Loss of skilled staff to the system and key activities therefore not completed at the required level of quality

•Loss of skilled staff members or contracted individuals who have specialised on SAQA systems

Prioritised Risks :Resources

Infrastructural (IT)

•Insufficient resources to ensure business continuity of SAQA systems •Access required from outside SAQA draws attention of hackers and mischief makers, who could attack the servers – resulting in unacceptable

recovery times

Prioritised Risks :Management of SAQA’s

Operations

Verifications

Risk of disseminating incorrect information and not meeting stakeholders’ needs

Reputational risk of not meeting deadlines

NLRD

Prioritised Risks :New NQF Landscape

Transition

•Full operational capacity at the QCs is slow to achieve and impacts

synchronisation• QCs develop at different rates and is

not able to collaborate with SAQA and each other•Human resource capacity in the directorate

Presentation to Portfolio Committee for Higher Education and Training

Joe Samuels, Acting CEOMark Albertyn, CFO

29 March 2011

SAQA Strategic Plan:SAQA Strategic Plan:2011 - 20142011 - 2014