1 / 12

30 November 200 5

Managing complexity through a “good” classification system CABRI 2005 Budget Reform Seminar Maputo. 30 November 200 5. Presented by: Hennie Swanepoel Chief Director: Public Finance Statistics National Treasury South Africa. Why focus on classification reform?.

fblakeslee
Télécharger la présentation

30 November 200 5

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. Managing complexity through a “good” classification systemCABRI2005 Budget Reform SeminarMaputo 30 November2005 Presented by: Hennie SwanepoelChief Director: Public Finance Statistics National Treasury South Africa

  2. Why focus on classification reform? • Part of a good governance reform agenda • Ensuring improved service delivery through: • Availability of clear, relevant financial information for management purposes • Improved policy making & monitoring implementation • Enhanced executive oversight • Encouraging greater accountability by providing properly classified and standardised financial data • Economic analysis

  3. Elements of a “good” classification system • Clarity and accessibility • Useful management information • Legislative compliance • Relevant economic aggregates • International compliance (GFS & IFAC) • Include all aspects of accountability cycle • Full coverage of all government accounts

  4. Challenges • Change management • Inconsistent classifications • Complicates transacting • Inappropriate information included • Financial systems constraints • Different accounting conventions • Harmonization of terminology

  5. Stakeholders • Parliament / Legislatures • Financial practitioners • Departments and entities / agencies • National Treasury • Central Bank (SA Reserve Bank) • Statistical agency (Statistics SA) • General public • Research institutions • International community

  6. SA Case Study • Manual GFS compilations • Pilot GFS chart • Consultation process • Technical design • New economic reporting format and SCOA 1998 1999 Since October 2001 August 2003 01 April 2004 • How? • Introduce new budget reporting format • Introduce new chart of accounts • Provide new financial statement formats

  7. Structure of classification system Five Segments: • Vote / Fund • Programme / Objective • Responsibility / Cost - centre • Item • Project

  8. Classification considerations

  9. Classification considerations (contd.)

  10. Managing change! • Detailed training program – 6 000 trained • Detailed classification guides • Call centre to log classification questions • Classification committee to provide rules and classification support • Classification circulars to provide guidance • Website • Metadata software

  11. Key Lessons • Must be a top-down demand-driven process • Integrate budgeting and accounting systems • Include key stakeholders in design phase • Decide on guiding principles • Keep it simple! – balance between detail and aggregation • Not a quick process • Ensure comprehensive design phase – difficult to change once implemented • Some flexibility required for future demands • Include only what should be included

  12. Managing complexity through a good classification systemThe EndQuestions? 30 November2005 Presented by: Hennie SwanepoelChief Director: Public Finance Statistics National Treasury South Africa

More Related