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StrategicManagement

Framework
May2011

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StrategicManagementFramework
May2011

Contents

TheStrategicManagementFramework.......................................................................1
Analyse .........................................................................................................................2
Plan...............................................................................................................................4
Allocateresources ........................................................................................................6
Implementandmonitor ...............................................................................................8
Evaluate......................................................................................................................10
Report ........................................................................................................................12

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TheStrategicManagementFramework

TheStrategicManagementFramework(SMF)hasbeendevelopedasaguideforthe
VictorianPublicSectoroutliningthekeyelementsofabetterpracticemanagementcycle.It
drawsuponsomestagesoftheearlierapproachtobusinessmanagement,theIntegrated
ManagementCycle(IMC).However,akeydifferencebetweenthetwoframeworksisthat
theSMFcanbeappliedtoanyentity,regardlessofitssize.
Theframeworkisstructuredaroundsixcore
elements:Analyse,Plan,AllocateResources,
Implementandmonitor,Evaluateand
Report.Manyoftheelementsareclosely
linkedordependentoneachother,andin
somecases,mayoverlap.Thisisparticularly
thecasewiththeReportelement,which
featuresateachstageofthemanagement
cycle.TheSMFhighlightstheconnections
betweentheelements,whererelevantand
itisnotenvisagedthatthestageswill
necessarilybefollowedinasequential
order.
AfterreadingtheSMF,entitiesshouldhave
aclearideaof:
thekeyactivitiesthatshouldbecompletedforeachelementofthemanagementcycle;
questionsthatshouldbeconsideredbeforeprogressingtothenextelement;
coreproductsorreportsthatoccurwithineachelement,notingthatsome,liketheState
Budget,incorporateinformationfromanumberofelementsincludingplanning,
evaluationandresourceallocation;and
examplesofactivitieswithineachelementwhicharecurrentlyoccurring.

StrategicManagementFramework
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Analyse

Analyseprocessesgather,reviewandanalyseexistinginformationtodrawconclusionsand
informfutureapproachestoactivities.Theseprocessescanoccuratanytimeinthecyclebut
areparticularlyimportantbeforeplanning.Reflection,innovationandreformarecentralto
theAnalyseelement.

Keyactivities
Gatherinformationaboutthebusinessenvironmentfrominternalandexternalsources
includingdatafrompastevaluationsandconsultationwithstakeholders.
Analysetheinformationandidentifykeyshort,mediumandlongtermtrends,risksand
opportunities.
Determinestrategiestoaddressthekeyreformareastakingintoaccountgovernment
outcomes.

Keyquestions
Whatarethelessonslearntfrompastevaluationsandfromcomparisonswithother
similarprojectsororganisations,andhowcanthesebeaddressedinfutureplans?
Whatcanbelearntfrominterstateandoverseasjurisdictionsintermsoftrendsand
betterpracticeapproaches?
Whatarethesocial,economic,technologicalandenvironmentalchangesthathave
occurredintherecentpastorthatareanticipatedinthefutureandtheirimpactonthe
needsofVictorians?
Whatisthecapacityandcapability,nowandinthefuture,todeliverservicesincludingto
respondtoanychangesidentifiedabove?
Whatareotherstakeholdersdoingtoachievethesameoutcomeareactivities
complimentaryorconflicting?

Keyproducts/reports
Environmentalscans;
DepartmentsServiceandAssetStrategy;and
Researchpapersincludingoptionsforfuturereform.

Government
TheGovernmentreliesonParliamentarycommitteereportsanddebates,localinformation
fromthecommunitiesthatmembersofParliamentrepresent,andresearchandadvicefrom
departmentstosupportitsanalysisofwhatVictoriansneednowandintothefutureand
howthiscanbeachieved.Thisanalysisinfluencesdecisionmakingonplanningandresource
allocation.ItalsohelpstheGovernmenttodeterminewhatoutcomesorcommunity
impactsitwantstoachieveandtocontinuetoassesswhethertheseremainrelevanttothe
community.

StrategicManagementFramework
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TheGovernmentholdsdepartmentsandentitiestoaccountinundertakingeffective
analysis.Governmentrequiresrigorousandforthrightanalysistosupportsounddecisions
thatwillensureVictoriaisattheforefrontofinnovativeandvalueformoneyservice
delivery,capitalinvestmentandadoptionofmarketbasedsolutionswhereappropriatein
thelongerterm.

Departmentsandentities
Analysisoccursaspartofdepartmentsandlargerentitiesroutineoperations.Systemsare
inplacetocollectbenchmarkandperformancedata,indicatorsandriskinformation.This
informationisanalysedregularlyandfindingsdiscussed.Studiesarealsocommissionedon
strategicissuesthatmayimpactontheachievementofgoals,suchaschangesto
demographicsandtechnology,aswellascontinuedanalysisoftheclientbaseandkey
stakeholders.
Inthiswaytheorganisationretainsanawarenessoftheirenvironmentincludingpotential
changesthatwillimpactonitseffectiveness.Thisallowstheorganisationtopreparefor
thesechangesandtobereadyinadvanceofwhentheyoccur.Italsomeansthe
organisationisbetterequippedtoinfluencechange,forinstancethroughimplementing
reformstoservicedeliveryapproaches,includingadoptionofmarketbasedsolutions.
Effectiveanalysiswillalsoensureexistingpartnershipsaremaximisedandappropriate
partnershipscreated.
Eachyear,departmentsupdatetheirServiceStrategywhichisdesignedtoanticipate
changestotheenvironmentovera10yeartimeframeandsetoutaplantorespond.Oneof
themainoutcomesofthisexerciseisamoredisciplinedandstrategicapproachtothe
maintenanceofrelevantorganisationalcapacity(includingphysicalassets,services,people,
facilitiesandequipment).ServiceStrategiesinformstrategicandcorporateplanningand
assetmanagementplansdevelopedundertheAssetManagementFramework.
Theneedforconstantscanningandanalysisoftheoperatingenvironmentisequally
importantforsmallerentities.Giventheseentitieshavelessavailableresources,the
processesemployedmaybelessformalsuchascompletingrelevantresearchintobetter
practiceapproachesandleadershipteamsallocatingtimetoinnovationandstrategic
thinking.

StrategicManagementFramework
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Plan

Planningprocessesarticulatedesiredgoalsandobjectivesandhowthesewillbeachieved,
aswellasdevelopthecriteriatoassesssuccess.Theseprocessesdrawupontheoutcomes
oftheAnalyseelementtoensureavailabledataandinformationinformsfutureaction.
Planningoccursfortheshort,mediumandlongtermandincludesstrategic,businessand
individualperformanceplanning.

Keyactivities:
Determinethedesiredgoalsandtheservicesorcapitalinvestmentthatwillbestachieve
thesegoals.
Considerhowtheseservicesorcapitalinvestmentwillbedelivered.
Confirmmeasuresofsuccessincludingkeyperformanceindicatorsandidentifythe
systemsandprocessesnecessarytoeffectivelymeasureandreportonperformance.
Determineindividualperformancelearninganddevelopmentobjectivesinthecontextof
theskillsandcapabilitynecessaryintheorganisationtoachievethedesiredgoals.

Keyquestions:
Whatarethevisionandgoalsoftheorganisationandarethereclearlinkstothe
objectivesthatgovernmentisseekingtoachieve?
Whatistheoutputmixwiththehighestpotentialimpactongovernmentobjectives,
takingintoaccounttheactivitiesofothergroups?
Whatneedstobeplannedfornowtoensurethatmediumtolongertermgoalsare
achieved?
Aresufficientsystemsandprocessesinplacetomonitorandreportonsuccessandhas
anevaluationbeenfactoredintotheplans?
Howwilltheservicesorcapitalinvestmentbeprovidedtoachievethebestvaluefor
moneytakingintoaccountdifferentmodelsofdelivery,andwhatfundingandresources
arerequired?Isamarketbasedsolutionavailable?

Keyproducts/reports:
Governmentoutcomeorpolicystatements;
StateBudget;
Strategic/business/corporateplanslinkedtoserviceandassetstrategies;and
COAGagreements(includingNationalPartnerships).

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Government
EnsuringthattheVictorianPublicSectorremainsfocussedandalignedwithgovernments
objectivesisakeyaimofthiselement.Successrequiresclearleadershipandcommunication
fromgovernment.Thisisdeliveredthroughdocumentssuchasgovernmentoutcomeor
policystatementsandtheGovernmentselectionplatformwhichguideprioritysettingand
policychoices.Thegovernmentalsoarticulatestheirwholeofgovernmentshortto
mediumtermstrategicdirectionsandbudgetprioritiesaspartoftheannualbudget
process.
Informulatingtheirplans,theGovernmentreliesonsupportfromdepartmentsandcentral
agenciesinprovidingassessmentsoftheeconomicoutlook,confirmationofforward
estimates,briefsonpolicyissuesandanupdatedassessmentonprogresstowardsthe
achievementoftheirgoals.Theplansalsoreflectcommunityvaluesandconcerns.Alarge
proportionofthisinformationwillhavebeengatheredaspartoftheAnalyseelement.
Foreachportfolio,therelevantminister,assistedbythedepartmentalsecretary,ensures
theGovernmentsplansareeffectivelycommunicatedandmaderelevantforeachentity.
Thisinformationwillinturninformthatentitysplanning,whichtheMinistermayalsobe
involvedin,dependingonitssize.

Departmentsandentities
Departmentalandentityplanningprocesseslinkgovernmentobjectivestothe
organisationsstrategicpriorities.Planningprocesseswillalsotakeintoaccountspecific
requirementsfromothergroups,includingtheCommonwealthGovernment.Effective
planningrequiresidentifyingthemixofserviceswiththegreatestpotentialtopositively
contributetogovernmentobjectives,aswellastheassets(existing,newormodified)
necessarytosupportdelivery.
Todothis,organisationsconsultwithstakeholdersandrelatedentitiesontheirpriorities.
Theymayalsoseekoutpartnershipswithotherorganisations,includingthenotforprofit
andprivatesectors,inordertodeliveracoordinatedactivity.Thisenablestheorganisation
toleverageexistingrelationshipsandapproaches,andmayencouragemoreinnovation
withinthepublicsector.
Effectiveplanningalsodemandsthedevelopmentofclearandrigorousperformance
measuresbywhichsuccesscanbedetermined.Thesemeasurestypicallyrelateto
efficiency,effectivenessandvalueformoney.Theabilitytomeasureperformanceiscritical
toallelementsoftheSMF,butparticularlytheEvaluateelement.
Onceresourceshavebeenconfirmed(seeAllocateResourceselement),theorganisations
prioritiesandhowtheylinktotheGovernmentsvisionmaybecommunicatedthrougha
departmentsserviceandassetstrategies,andadepartmentscorporateorbusinessplan.
Individualperformanceplanningensuresthatthepersonscapabilityanddevelopmentare
alignedwiththeorganisationsprioritiesandneeds,inordertosupportadepartments
contributiontogovernmentobjectives.

StrategicManagementFramework
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Allocateresources

AllocateResourcesinvolvesallocatingavailableresources(funding,equipmentandlabour)
toachievethegoalsoutlinedinplans.Thiselementincludesallocatingnewresourcesand
reallocatingexistingresources.Atthewholeofgovernmentlevel,thisprocessprimarily
occursviatheStateBudget.Atotherlevels,theseprocesseswilloccurthroughouttheyear.
Keyactivities
Determinebudgetcapacityandshort,mediumandlongtermfinancialtargets.
Considerwhetherexistingresourcescanbereallocated(seeEvaluateelement).
Allocateavailableresourcestobestmeettheorganisationsgoalsandobjectives(see
Planningelement).
Identifyfundingforunforeseenrisksoremergingneeds(i.e.contingency)andfor
businesscasedevelopment/feasibilitystudiesforpotentialfuturebids.
Confirmandcommunicatebudgets.

Keyquestions
WhereresourcesshouldbeallocatedtobestcontributetotheGovernmentsobjectives?
Whatdifferentfundingoptionsareavailable?
Haveproductivitygainsbeenachievedovertimesuchthatresourcescouldbefreedfor
useelsewhereorservicesincreased?
Whichactivitiesarenolongerrelevanttoachievinggovernmentobjectivesandwhat
resourceswillbemadeavailableiftheyarestopped?
Doestheorganisationhavethecapacitytodeliverinlightofitsotheractivities?

Keyproducts/reports
StateBudget;
AppropriationBills;
Internalbudgets;and
Strategic/Business/CorporatePlans(i.e.theseplansmayincludereferencestothe
allocatedresources).

Government
TheGovernmentallocatesfundingthroughtheStateBudgetandrelatedprocesses.Finite
resourcesareavailabletothegovernmenteachyearandcentralagenciessupportthe
Governmentbyassessingbudgetcapacityanddevelopingparametersbasedonestimates
andeconomicforecasts.TheGovernmentthereforeselectswhichproposalsforfundingwill
havethegreatestpositiveimpactonthecommunitywithintheparametersagreedtoby
governmentwhilealsoconsideringwhetherthoseinitiativesreceivingongoingfunding
shouldcontinueorifthisfundingshouldbereprioritised.

StrategicManagementFramework
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ParliamentscrutinisestheStateBudgetonbehalfofthecommunitybeforeauthorisingthat
fundsbemadeavailable.ThemoneyauthorisedintheAppropriationBillsisusedtofund(or
purchase)outputsfromdepartmentsandsomeentities.Theseoutputsaredeliveredin
ordertocontributetooutcomesorobjectives.Forentities,theStateBudgetwillalsoimpact
onresourceallocation,throughgrantfundingandthroughtheprocessesinvolvedin
approvingfeeandchargesvariations.

Departmentsandentities
AspartofthePlanningelement,Departmentswilldevelopfundingbidsforconsiderationby
theGovernment,whichreflecttheDepartmentspreferredmixofoutputs.Centralagencies
providerecommendationstogovernmentonthefundingproposalsincludingthe
appropriatenessoftheperformancemeasures,mixofservicesandassets,andthecostof
proposals.Reprioritisationandsavingsoptionsarealsopresented.
Oncethebudgetallocationhasbeenconfirmed,departmentsundertakeaninternalbudget
allocationprocess.DepartmentbudgetsincludeStatefundingaswellasthirdpartyandown
sourcerevenue.Insomecircumstances,departmentscanreallocatefundingduringtheyear
andmayalsoseekadditionalornewfundingfromgovernmentforunforseencircumstances
ornewinitiatives.
EntitiesnotincludedintheStateBudgetpreparebudgetsusingthesameprinciples.This
mayinvolveaprocessofworkgroupsordivisionspreparingbidsforfundingfornew
initiativesortocovercostpressureswhicharethenconsidered,prioritisedandapprovedby
seniormanagement,withsignoffbytheChiefFinanceOfficer.
AnumberofframeworkssupporttheAllocateResourceselement.Theseincludeoutput
pricemodellingwhichensuresthatthepricegovernmentpaysforthedeliveryoftheoutput
isappropriatefortheagreedstandardsofqualityandquantity.TheDepartmentalFunding
Model(DFM)recognisesthatcostpressuresimpactonoutputs(e.g.wageandsalary
increases,CPIincreases)andprovidesoptionsfordealingwiththesepressures.TheBase
Reviewframeworkalsoensuresthepricepaidforoutputsisappropriatetakingintoaccount
similargoodsorservicesprovidedbyothers(includingnongovernmentsuppliers),that
deliveryoftheoutputisefficientandeffectiveandrecognisinganyproductivitygains(see
Evaluateelement).
TheAssetManagementFramework(AMF)includesguidelinesonthepreparationofeach
departmentsServiceandAssetStrategy,specificationsonwhatneedstobeincludedinthe
MultiYearStrategiesandBusinessCasepreparationguidelines.Thesecomponentsofthe
SMFhelpensurethatthefutureassetinvestmentrespondstoanestablishedserviceneed,
isappropriatelyplannedandhasbeenrigorouslyanalysed.

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Implementandmonitor

TheImplementandmonitorelementinvolvestheimplementationofplansusingallocated
resourcesandmonitoringprogressagainsttheseplans.Thisincludestrackingandreviewing
finances,servicedeliveryandcapitalprojectstoensuretheyaremeetingtheirtargetsand
objectivesarebeingorlikelytobemet.ThisinformationisusedintheEvaluateelementto
ensureservicescontinuetobeeffectiveandarebeingdeliveredasefficientlyaspossible,
andthatassetsareappropriateandsustaincurrentservicedelivery.

Keyactivities
Implementapprovedservicesandcapitalprojects.
Implementmediumtolongtermplansforthemaintenanceandorenhancementofthe
organisationscapacity,includingphysicalassets.
Monitorandmanagefinancesincludingthebalancesheet,phasingsandforecasts.
Measureperformanceregularlyagainstkeyperformanceindicatorsandidentifyand
managerisks.
Adjustactivitiestoimproveefficiencyandeffectivenessandtoensureobjectiveswillbe
met.

Keyquestions
Arethereclearcommunicationchannelsandaccountabilityintermsofidentifying,
understandingandmanagingrisks?
Howdoesactualperformanceagainstfinancialandnonfinancialmeasurescompareto
theoriginalplanandarethesemeasuresstillmeaningfulandrelevant?
Isperformanceadequate,andifnot,whatcanbedonetoensureannualtargetsare
met?
Keyproducts/reports
BudgetUpdate;
Outputandassetperformancereports;
Monthlyandquarterlyannualfinancialreports;
Gatewayreviews;and
Riskregisters.

Government
TheGovernmentrequiresdepartmentstoimplementtheirplanstomeetthequality,cost,
timelinessandquantitythatwasagreedwiththeGovernmentwhenfundingwasprovided.
Monitoringofperformanceoccursformallythroughhalfyearlyreportsonoutput
performance,financialreports,andquarterlyreportsontheperformanceofthe
Governmentscapitalinvestmentprogram(seealsoReportingelement).Centralagencies
preparethesereportsbasedoninformationfromdepartmentswhichisgatheredaspartof
theImplementandmonitorelement.

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Emergingrisks,includingchangestocashfloworeconomicforecasts,arealsobroughttothe
attentionoftheGovernment.Thismayresultinachangetothebudgetduringtheyear,
whichisreflected(subjecttotiming)intheBudgetUpdate.

Departmentsandentities
Departmentsandentitiesuseallocatedresourcestoimplementtheirplans.Atonelevel,
thiswillrelatetodeliveringoutputsandassociatedcapitalprojectsasagreedwiththe
Government,includingtheCommonwealthGovernment.Atanotherlevel,italsoincludes
implementingbusinessplansandindividualperformanceplans.
Monitoringoffinancial,output,assetandpeoplesperformancerequireseffectivesystems
andprocesses.Thesesystemsandprocessesmustcapturerelevantinformationonprogress
againstagreedperformancemeasuresorKPIsandalsopresentthisdatainatimelyand
usefulmanner.Departmentaloutputs,inparticular,mustbedeliveredandaccountedforin
termsoftheachievementofperformancemeasuresandtargetsestablishedinthebudget
processandpubliclyreleased.Dependingonthesizeoftheentity,thisperformance
informationmaybereliedonsolelybyseniormanagementorrequiredtobereportedto
government,throughcentralagencies(seeReportelement).
RiskmanagementiscriticaltotheImplementandMonitorelement.Thisinvolvesensuring
allrisks,includingfinancial,reputation,physicalsafety,andbusinesscontinuity,are
explicitlyandeffectivelymanaged.Thisinvolvesidentifyingandimplementingmitigation
strategiesandtakingcorrectiveactionwhereriskseventuate,includingwherekey
performanceindicatorsarenotmet.
TheFinancialManagementComplianceFramework,managedbytheDepartmentof
TreasuryandFinance,providesaccountableofficerswithaguidetogovernance,systemand
processrequirementsthatapplytotheirorganisationasaconsequenceoftherelevant
legislation,regulationsandministerialdirections.TheFrameworkincludesachecklistof
requirements,andentitiesmustattestannuallythattheserequirementshavebeenmet.
GatewayReviewsareanothermechanismusedbygovernmenttosupporteffective
implementationofprojects.Thisprocessrelatestohighriskcapitalprojectsandresultsin
detailedinformation(gatheredbyanindependentgroup)beingprovidedtodepartmentson
performanceandrisksatsetstagesofaproject.

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Evaluate

Evaluateprocessesobjectivelyreviewandevaluatethesuccessofthepolicy,programor
projectinachievingthestatedgoals,includingtheirimpactonachievingoutcomes,and
recommendappropriateactions.Toalargeextent,theevaluationwillusethesuccess
measuresthatareestablishedduringthePlanningelement.

Keyactivities
Completeanevaluationofperformanceagainstmeasuresorindepthevaluationof
efficiencyandeffectiveness.
Identifyrecommendationsforfutureaction.
Communicatetheevaluationfindingsandagreedrecommendations.
StorerelevantlessonslearntforthepurposesofAnalysisandPlanning.
Implementchangesinordertoimproveperformanceforthefuture.

Keyquestions
Whatisthemostappropriatemethodorformofevaluation?
Doestheevaluationincludeinformationfromkeystakeholders?
Wastheactivityasuccessandwasitdeliveredasintended?
Whatarethekeylessonsforthefuture?
Aretheorganisationsactivitieshavinganimpactontheachievementofstatedgoalsand
objectives?
Aretheactivitiestherightmixtoachievethegreatestimpact?

Keyproducts/reports
BaseReviewreports;
Internaldepartmentorentityevaluations;
Performanceandfinancialauditreports;
AnnualreportsforDepartmentsandentities;
MidYearFinancialReportandAnnualFinancialReport;and
StateBudgetandBudgetUpdate.

Government
TheGovernmentisaccountabletothepublicfortheachievementofoutcomesforthe
community.Itmustthereforeensurethattheoutputsbeingdeliveredonitsbehalfby
departmentsandentitiesarecontributingtotheseoutcomes.Toevaluatethis,the
Governmentreliesonindepthreviewsofoutputstounderstandwhethertheyareefficient,
effectiveandappropriatelypriced.ThesereviewsarecalledBaseReviewsandareeither
routinereviewsorarerequestedspecificallybygovernment.Thereviewsareconductedby
centralagencies,withtheDepartmentofTreasuryandFinance(DTF)typicallytakinga
leadingrole.

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ParliamenthasaroleinundertakingitsownevaluationoftheGovernmentseffortsto
progressoutcomesthroughconductingPublicAccountsandEstimatesCommittee(PAEC)
hearings,debatesandquestiontime.TheVictorianAuditorGeneralsOffice(VAGO)also
conductsfinancialstatementandperformanceauditsoftheVictorianpublicsector.PAEC
canadvisetheAuditorGeneralonauditprioritiesfortheyear.Thereportsofthe
AuditorGeneralaretabledinParliament.

Departmentsandentities
Departmentsandentitiesconducttheirowninternalevaluationprograms.Thesemayrelate
toprojects,programsandpeopleandincludeassessmentsofrisk,efficiency,effectiveness,
andappropriateness.Atanoperationallevel,routineevaluationisalsoundertakenofthe
adequacyofassets,equipment,facilities,financialandhumanresourcesavailabletoeach
output,programoractivity.Insomeorganisations,evaluationsaresupportedbya
communityofinterestorworkgroup,whichalsoconductresearchontrendsinevaluation
andnewmethodsavailable.
Theavailabilityofdataiscrucialtoasuccessfulevaluation.Ensuringthattheevaluationis
plannedforandthatsystemsandprocessesareinplacetocollectrelevantdata(see
Planningelement)willhaveapositiveimpactonthequalityoftheevaluationproductand
thereliabilityofthefindings.Someorganisationswilluseconsultantsorpeoplefrom
differentareasofanorganisationtocompletetheevaluationasameansofensuringthe
findingsareconsideredobjective.
Theinformationfrominternalevaluationsmaybeusedtofeedintootherreviewsorbe
solelyforinternalpurposes.Forexample,datacollectedbydepartmentsmayberequested
aspartofBaseReviews,AuditorGeneralreviewsorreviewsconductedbytheStateServices
Authority.Departmentalevaluationsmayalsobeusedtosupportrequestsforfurther
fundingbygovernmentoflapsingorsunsettinginitiatives.Departmentsandentitiesmust
participatefullyinexternalreviews.
Thefindingsoftheevaluationmustalsobecommunicatedeffectively.Thisincludesadvising
stakeholdersoftheoutcomewhichcanalsoassistindrivingtheorganisationscommitment
toimplementingchange.FindingsaretakenintoaccountintheAnalysiselementand
reflectedinneworupdatedplans.

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Report

Reportprocessesproviderelevantinformationtostakeholders.Thismayrangefrom
reportingondecisions,thesuccessorprogresstowardsachievinggoalsandkeyissuesor
risks.TheseprocessesoccurinconjunctionwiththeotherelementsoftheSMF(seecore
products/reportsforeachelement).Reportingprocessessupporttransparencyand
accountabilityofgovernment.Goodreportinginvolvesinformationthatistargeted,clear,
conciseandunderstandable.

Keyactivities
Gatheringofrelevantdatabysettimeframes.
Qualityassurancetoensurethatdataisaccurate,comprehensiveandcomparable.
Reportingonperformanceincludingananalysisofkeytrendsandissues.

Keyquestions
Istheinformationclear,accessible,timelyandinaformthatcanbeeasilyunderstood?
Areassumptionsclearlyoutlinedandanygapsindataorvariancesexplained?
Areconclusionssupportedbyfacts/evidence?
Isthereportavailabletoallrelevantstakeholders?
Aresystemsinplacetomanagedatasecurityandintegrityrisks?
Arethereopportunitiestoreduceduplicationofreportingprocesses?

Government
TheGovernmentreportstoParliamentonitsperformance,andfinancialtargets.This
includestheStateBudget,BudgetUpdate,QuarterlyFinancialReport,MidYearFinancial
Report,AnnualFinancialReportandindividualannualreportsofdepartmentsandentities.
Thisallowspublicscrutinyandfeedbackongovernmentsperformance.Basedonthis
information,andotherinformationfromthecommunity,Parliamentisabletomake(usually
nonbinding)recommendationstogovernment,tocommissionfurtherreviewsby
parliamentarycommitteesorrecommendspecificauditsbyVAGO.
Governmentalsoreliesonreportsfromcentralagenciesonperformanceandemerging
risks.Centralagenciescollectandconsolidateinformationfromdepartmentsandentitieson
performance,oftenaspartoftheImplementandMonitorelement.Oncethisiscomplete,
centralagenciespreparereportstogovernmentusingthisinformationandincludeanalysis
andrecommendationsastohowperformancecouldbeimprovedorrisksbettermanaged.
Thesereportsincludeoutputandassetinvestmentreportswhichareinternalto
government.
Government,throughdepartmentsandentities,alsoreportstodefinedsectionsofthe
communitywithinformationspecifictotheirinterestsforexample,MelbourneWater
reportsdailystatusofwaterstoragelevelstothecommunityandtheDepartmentofHealth
reportshospitalaccessstatisticsinaquarterlypublicreport.

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Departmentsandentities
Guidanceisprovidedtodepartmentsandentitiesontheformat,contentandtimingofany
informationusedinreportstogovernmentonperformance.Departmentalsecretaries(and
theirseniormanagementteam)areresponsibleforensuringthatthedepartmentorentity
meetsitsreportingobligations.
TheDepartmentofTreasuryandFinance(DTF)isprincipallyaccountableforthe
completenessandaccuracyofpublishedfinancialreports,andforensuringthattheyare
easytoreadandinterpret,faithfullyrepresenttheposition,andareproducedontime.It
dischargesthisresponsibilityinpartnershipwithdepartmentsandentities.
Departmentsandentitieswillregularlyreporttotheirrelevantminister,whetherthrough
formalreportsorwrittenorverbalbriefings.Internalreportingwillalsooccurthroughout
theorganisationandwillbedrivenbythespecificneedsandsizeofthatorganisationwith
largerentitiesrequiringmoreformalandsystematisedcollationandreporting
arrangements.

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www.dtf.vic.gov.au

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