Public Sector SIG premium content:
to see this article in full you need to be a Public Sector SIG subscriber.
Find out more about joining the Public Sector SIG
Articles on improving financial management in the public sector
Public Financial Management
A major consultation on international public financial management (PFM) has been launched by CIPFA. The paper, Public financial management (PFM) and the PFM international architecture - a whole system approach, stresses the importance of PFM for both developing and developed economies.
The paper is relevant to the public sector in the UK and elsewhere in Europe for donors who want to support and develop local financial management skills by using existing in-country government financial systems wherever possible. The use of these existing systems - combined with effective monitoring - is seen as a more effective long-term development strategy than the building of alternative financial conduits.
The consultation paper provides a definition of PFM, its principal components and the levers by which it can be successfully improved. Work was carried out with funding from the Department for International Development (DFID).
Copies of this consultation paper may be downloaded free of charge from the CIPFA website.
Improving strategic risk management
The Audit Commission has launched a new risk management diagnostic tool for use across all sectors. It focuses on risk leadership, partnership risk management and risk-related outcomes. 'Risk it to make it' is based on tried and tested frameworks devised by HM Treasury, and contains information on what represents excellent and strongly improving performance through integrated risk management.
The new tool enables an organisation or partnership to know how well its risk management arrangements are working; improve integrating risk management with its corporate business processes; and target improvement action, especially on risk leadership and outcomes.
Further information is available at www.auditcommission.gov.uk.
VfM benchmarking
CIPFA and KPMG have launched their Value for Money (VfM) indicator benchmarking service for the third year, for the collection of 2008/9 data. HM Treasury's report on the Operational Efficiency Programme - published earlier this year - recommends that all public sector organisations should collect and report against these indicators.
For more information, go to www.vfmindicators.co.uk.
'Smart procurement could save £11.3bn'
According to a report from the Centre for Economic and Business Research (CEBR) and The Gap Partnership, improved procurement skills in the public sector could save 3.1% of public expenditure - £11.3bn a year.
Identified savings include £4.6bn of total administration and defence operating costs; £2.2bn of total education costs; £3.4bn of total health services costs; and £1.2bn of social work activities costs.
Further information is available from www.cebr.com.
CJC guide to environmental sustainability
CIPFA's Commissioning Joint Committee (CJC) has published its Guide to environmental sustainability, which is available from the CIPFA Shop. CIPFA has also produced a briefing paper on the mandatory carbon reduction commitment scheme, which will affect the public and private sectors from April 2010.
Public Sector Group News, October 2009
Please note
Views expressed in this article are those of the author and may not represent ICAEW policy. No responsibility for loss occasioned to any person acting or refraining from action as a result of any material in this article can be accepted by the authors or publisher.