Presentation format

1. Briefing to the Portfolio Committee on Public Service and Administration8 September 2010, Cape Town

2. Presentation format • Further transformation update • Towards a Strategic Framework: • Public Service Cadre Development • Financial and Organisational Performance for 2009/2010

3. Further Transformation Update

4. PALAMA’s key challenges raised by the MPSA • What defines and distinguishes the Academy from just being a broker of training services? • What defines the state of a government training academy? • What is the most appropriate institutional form for PALAMA? • How can existing public service capacity be used to strengthen PALAMA capacity • What is PALAMA’s strategic thrust? • What is PALAMA’s niche area? • What is the preferred and most feasible financial model? • If key programmes are made compulsory would PALAMA cope with the demand? • Should PALAMA remain focused on leadership and management? • What is PALAMA’s role vis-a-vis other state funded training units, e.g. provincial academies, etc.?

5. Misty Hills Process and Outcomes Proposed Strategic Thrusts • Train and develop public servants across the three spheres of government and related organs of state in administrative, management and leadership competencies. • Professionalise the public service through values, ethos and service culture that supports the implementation of government’s developmental agenda. • Lead the provision of high quality training and development programmes through on-board capacity and strategic partnerships. Proposed Strategic Goals • Curricula informed by the developmental needs of the state and related government strategic frameworks. • Relevant and high quality public sector training and development. • A high-performance organisation.

6. Lesedi Process and Outcomes Vision and mission • Fully funded and resourced; Public service training provider of choice; Residential institutional base; Operating nationally with provincial satellites; Provides high quality, relevant training; Leads training policy development and coordination; Moulds the South African public service mode of thinking and doing.

7. Lesedi Process and Outcomes Objectives • Develop officials across the public sector who are passionate, trained to perform, and committed to improving service delivery and development • PALAMA graduates exhibit the values, ethos and culture of public service, as government’s corporate identity • In-service, professional skills development supported by research intelligence and advice for individuals and organisations

8. Strategy • A curriculum model that sets standards, knowledge, skills, attitudes, workplace learning and practical work for accredited and non-accredited professional development programmes • A hybrid delivery model with well qualified and skilled on-board facilitators (including active or retired government officials) for priority programmes and outsourced providers as required and to provide variety • A well-structured, high-performance organisation, with an organisational development, research and advisory component to support other state organisations • Revised funding model

9. Rethinking what we do A corporate academy which enables individual and organisational learning and builds a developmental public administration by: Build cadres for the developmental state – officials, managers and leaders who care, serve and deliver • Developing programmes and curricula that enable officials to change their practice • Building a common public service ethos Transformed PALAMA Conditions: high level support; effective internal systems, financial support, relevant programmes and excellent quality assurance Value driven Committed • Outcome: • Improved service delivery • and development: • Corruption reduced by… • Economy grown by … • Houses built … Hard working Aware Accountable Developmental

10. PUBLIC SERVICE CADRE DEVELOPMENT PROGRAMMETowards a Strategic Framework

11. Presentation Outline Introduction Problem Statement MPSA ten point priorities for 10/11 The end state Repositioning of Palama Programme of Action – way forward

12. Introduction • The South African State has pronounced itself as developmental. • Being developmental requires of the State to be able to lead in the strategic orientation of the country. • For the State to lead, its technical and organizational capability is critical. • Such capability must allow the South African State to translate broad objectives into programmes and projects for implementation, which requires – • Proper training at all levels, • Leadership development both at executive and civil service levels, • Re-orientation, engendering new doctrines, culture and practices at all levels, and • Acquiring and retaining skilled personnel.

13. Introduction • Sec. 4 of the Public Service Act of 1994, as amended, provides: • There shall be a training institution listed as a national department in Schedule 1. • The management and administration of such institution shall be under the control of the Ministerof Public Service and Administration. • Such institution - • Shall provide training or cause such training to be provided or conduct such examinations or test or cause such examination or test to be conducted as the Head of the institution may with the approval of the Minister decide or say be prescribed in or to the public service; • May issue diplomas or certificate or cause diplomas to be issued to persons who passed the exam. • Schedule 1 identifies Palama as the institution.

14. Introduction • The mandate of PALAMA is to improve the capacity for service delivery and implementation of government initiatives through training across the three spheres of government – national, provincial and local. • It has the responsibility to decide what training it will provide, but it must obtain the approval of MPSA. • Palama must also provide that training which MPSA may, by regulation, prescribe as a qualification for the appointment or transfer of persons in or to the public service (e.g. the compulsory MIP). • Each Executive Authority (Regulations, Ch.1, Part IIID) or Head of Department (Act, Section7(3)(b)) has the responsibility to ensure that employees in his/her department are trained. • However, MPSA is responsible for establishing norms and standards relating to the functioning of the public service. He does this by making regulations, determinations, or directives.

15. Problem Statement • Public service training remains uncoordinated, incoherent, and largely outsourced - • Private and public providers, training academies, independent individual contractors etc. • Public service training coverage remains inadequate – • About 38 000 of the 1.5 million public servants covered • Impact of training on service delivery not assessed. • Training narrowly focused on junior, middle, and senior managers – • Administration, support, and frontline staff not covered – more than 70% • The Executive largely not covered. • Local government training neglected. • Relevance and responsiveness of programme provision insufficient. • Cost recovery model too expensive

16. Minister’s ten-point priorities for PALAMA • Public sector cadre development programme • Ethics, anti-corruption and administrative justice training • Management and leadership development • Breaking barriers to public service employment • Human, financial, project and programme management • Building the capacity of public servants to implement programmes through skills development and deployment to the coal face of service delivery • Frontline and support staff training • Support local government turn-around strategy through training • Monitoring and evaluation training • Continental and international capacity building

17. The end state - 2014 and beyond • The 1995 White paper on the Transformation of the Public Service envisioned training and education as critical to “develop the professional capacities of public servants and to promote institutional change” by: • “First, equippingallpublic servants …with the necessary knowledge, skills and competencies to carry out their jobs effectively in pursuit of the new vision and mission for the public service; • Second, forming an integral part of the process of increasing the representativeness of the public service; • Third, enabling public servants to acquire a new development-oriented professionalism; this will entail the development of a new work ethic, knowledge and skills with which to implement the RDP; • Fourth, being a powerful instrument for anticipating as well as facilitating the introduction of institutional changeswithin the public service; and • Fifth, assisting public servants in developing a better understanding of the needs of the communities which they are serving, as well as a capacity to respond to these needs.”

18. Repositioning of PALAMA – Macro organisation • The Medium Term Strategic Framework of government, arising from the electoral mandate of the 4th democratic elections of 2009, identifies as key amongst its objectives the need for a developmental state including improvement in public services. • The State has reorganised itself in a manner emphasising national planning (through the National Planning commission) and performance monitoring and evaluation through the PME Unit in the Presidency. • This requires of PALAMA to respond and thus key to the developmental state and improving public services is; • The capacity of the public sector to plan the country’s growth trajectory in the context of a globalised and interdependent world economy; • The capacity of the public sector to implement and coordinate such a growth trajectory in the context of competing interests; and • The capacity of the public sector to simultaneously monitor and evaluate its implementation and the implications thereof in support of a developmental state. • Training must impact on service delivery, in line with the Presidency performance monitoring and evaluation processes.

19. Developing a cadre for the developmental state: Break new ground: being innovative and not shying away from coming up with new ideas for the public good. Inspire success: is self motivated and ready to motivate others to service the public. Raise the standard: is capable of giving her/his best regardless of whether she/he is in the front office or at management level. Believe that nothing is impossible: comes up with turn-around strategies to salvage a failing situation. Repositioning of PALAMA – cadre attributes

20. Repositioning – cadre attributes cont… • Developing a cadre for the developmental state: • Make a difference to the people: understands that the public service has to serve a larger population, and this population has expectations that should always be considered when doing work. • Take collective responsibility and teamwork: must believe in partnership and be practically seen to work with other people. • Be on-board and owning service delivery processes: owns the processes of service delivery. • Be an international activist: is an active agent in implementing the public service agenda on the continent and in the world.

21. Repositioning of PALAMA – Political content • Developing the executive to: • Execute its constitutional responsibilities more effectively. • Understand its strategic and ethical role in representing the people and ensuring that government and state institutions meet their developmental mandates. • Engage and intervene in debates on strategy, budgets and policy. • Enhance its oversight responsibility by understanding governance, government and sectoral accountability.

22. Repositioning of PALAMA - Resourcing • PALAMA allocation: • 1.5 million public servants – • Total expenditure of R180 million • Reduced state grant of R117 million • Staff complement of 232 permanent staff. • Government allocation increase • Direct access to 1% of government skills development fund • Donor funding management

23. PALAMA requirement from ring fenced

24. Employee cost-three spheres of government

25. Repositioning of PALAMA – Curriculum model • The development of mandatory programmes shall be characterised by the following: • It relies more on on-board capacity to train and develop public servants, • It is compulsory for all designated public servants in national, provincial and local Government Departments, • Its design is generic, integrated and multi-disciplinary, • It is centrally coordinated, and • Training and development shall entail coal-face deployment.

26. Repositioning – Curriculum model cont… • The development of demand-led programmes and/or courses on the other hand shall be characterised by the following: • Its design is specialised and based on demand, • Its development is based on the premise of a matrix informed by research/needs-analysis, • It is designed for public servants in need of specialist or unique skills, • It relies more on expertise outside public service with the view to building the State’s capacity to deliver public services, and

27. Repositioning of PALAMA – Corporate form • The delivery model for cadreship development is premised on two fronts. • First it is premised on the need for the state to take direct responsibility for the development of a public service cadre – this will require appropriate resourcing by government and the establishment of an appropriate campus for this purpose. • Secondly, it is premised on the need to reach the necessary scale in cadreship development within a short period of time – 1.5 million public servants by 2014.

28. Repositioning – Corporate form cont… • 70% of public service training to be done in-house through: • Master trainers who are part of the training core of PALAMA, • Government trainers located within government and certified by PALAMA. • 30% of public service training to be done through strategic partnerships: • All providers to be certified and registered with PALAMA to qualify.

29. POA – Way Forward • By 2014, all public servants should be: • Trained under an integrated public service framework; • Receiving targeted mandatory training in specified fields; • Receiving minimum five days training per annum; and • Serving for minimum five days at service delivery points of government per annum.

30. Critical milestones Soliciting the OD support (dpsa) for the design; August 2010 Report on the findings and discussion of the results; September 2010 Design of the organizational blueprint (full functional report); November 2010 Presentation to PALAMA for approval; November 2010 Presentation to DPSA; December 2010 Mobilisation of resources Implementation of new design ( 2011) POA – Way Forward Change Management Consultation with labour

31. PALAMA Financial and Organisational Performance 2009/10

32. Budget Outcome

33. Goods and Services (VOTE)

34. Goods and Services (TRADE) aThe training delivery expenditure is not obtainable for the 2008/09 year

35. Training delivery expenditure (TRADE)

36. Expenditure Trends - VOTE

37. Expenditure Trends - TRADE

38. Capital Spending (VOTE and TRADE) • Analysis • The average budget allocation over the preceding 2 years period was only R2 million per year • The VOTE carries the entire cost for all moveable assets • All moveable assets are accounted for in the VOTE at cost • All intangible assets relating to courses are accounted for in the TRADE at fair value • The budget allocation for capital assets has not been sufficient for the preceding 2 years in the VOTE, due to the transformation and reconstitution of Palama.

39. Personnel Spending • Analysis VOTE • Headcount of permanent staff for 2008/09 and 2009/10 year on year basis is 44 and 54 respectively • The R6,429 million increase in spending for the year under review is a result of the increase in filled positions • The vacancy rate for the year under review (09/10) is 42% TRADE • Headcount of permanent staff for 2008/09 and 2009/10 year on year is 86 and 118 respectively • The R16,545 increase in spending for the year under review is a result of the increase in filled positions • The vacancy rate for the year under review (09/10) is 21%

40. MTEF Allocations

41. MTEF allocations per Economic Classification (VOTE)

42. Goods and Services MTEF Allocations (VOTE)

43. MTEF Allocations (TRADE)

44. Goods and Services MTEF Allocations (TRADE)

45. Training delivery expenditure MTEF (TRADE)

46. Organisational performance in 2009/10 –Trade PALAMA facilitated the training of 39,844 officials in 2009/10, translating to approximately 130,927 person training days Executive development programmes (including Project Khaedu, induction, and protocol and diplomacy) offered to 2,350 participants Gender mainstreaming initiatives rolled out, including the establishment of a virtual social discussion forum with more than 1,300 participants E-learning programmes were introduced and there has been a high percentage of participation, including the successful completion of the SCM: Bid Committee online course by more than 50% of participants Roll-out of the Public Service induction programme has resulted in 22,632 new public servants being inducted

47. Organisational performance in 2009/10 –Trade Successfully rolled out training on SCOA in partnership with National Treasury, during which training was provided to 4,869 officials Rolled out training on the government-wide Monitoring & Evaluation system through the development of six M&E courses, and 1,750 officials being trained Development of the Trainer Professional Development Framework - nine workshops were convened with national and provincial trainers Capacity building for trainers was also done through the annual Public Sector Trainers Forum, during which approximately 500 delegates participated

48. Organisational performance in 2009/10 –Trade Ten existing courses were reviewed and upgraded and another ten new courses were developed, including courses in developing HRD Implementation Plans and Strategic HR Planning Established two regional sites (in Polokwane & Cape Town) to increase PALAMA’s visibility and reach at provincial and local levels Developed a Training Needs Analysis methodology and tools to improve the identification of training needs Facilitated the Regional Capacity Building project with donor funding for post-conflict countries (Rwanda, Burundi & Southern Sudan) to strengthen institutional systems and capacity building Facilitated a training of trainers programme during which 35 participants from 15 African Anglophone countries participated

49. Organisational performance in 2009/10 – Vote Establishment of database and physical repository for all contractual agreements Finalisation of PALAMA’s Promotion of Access to Information Act (PAIA) Manual Finalisation and implementation of HR delegations Refinement and implementation of the outsourced delivery model in relation to IT services and facilities management Implementation of personalised security system Reviewed and enhanced strategic planning and reporting cycle processes and systems Stabilised Information Technology system – IT infrastructure upgrade

50. Corporate governance compliance in 2009/10 Audit Committee Audit Committee functioning in terms of approved Audit Committee Charter and convened 5 times during 2009/10 Internal Audit 3-year rolling internal audit plan approved and implemented Risk Management Risk management charter and plan approved and implemented Risk register reviewed and updated Risk Management Committee established and functioning in accordance with the charter Fraud policy and prevention plan approved and implemented