Presentation on theme: "Slide 1 of 38 Presentation to the Parliamentary Portfolio Committee on Public Works Strategic and Annual Performance Plan 2014/15."— Presentation transcript:
Slide 1 of 38 Presentation to the Parliamentary Portfolio Committee on Public Works Strategic and Annual Performance Plan 2014/15
Slide 2 of 38 Presentation Layout Mission and mandate Revisions to Legislative and other Mandates Organisational Structure Strategic Outcome Oriented Goals Description of Core Programmes Overview of Key Performance and Deliverable Budget 2014/15 Staffing Past Performance and targets Conclusion
Slide 3 of 38 Mission The mission reads as follows: “To drive enhanced delivery management, capacity improvement and contractor development in the construction industry through strategic interventions and partnerships”.
Slide 4 of 38 The mandate of the cidb is to: Provide strategic leadership to construction industry stakeholders, to stimulate sustainable growth, reform and improvement of the construction sector; Promote sustainable growth of the construction industry and the participation of the emerging sector in the industry; Determine, establish, promote improved performance and best practice of public and private sector clients, contractors and other participants in the construction delivery process; Promote uniform application of policy throughout all spheres of government, promote uniform and ethical standards, construction procurement reform, and improved procurement and delivery management – including the Construction Code of Conduct; and Develop systematic methods for monitoring and regulating the performance of the industry and its stakeholders, including the Registration of Projects and Contractors.
Slide 5 of 38 Revision to Legislative and other mandates : Regulation Amendments During the 2014/15 financial year, the cidb will focus on identifying further improvements to contractor registration criteria taking into account the state of development of the emerging sector and the purpose of the register as a macro risk management tool for the public sector. The improvements are to be informed by the inputs received from the cidb National Stakeholder Forum and Provincial Stakeholder Liaison workshops. A first draft of Regulation Amendments was submitted to DPW in June 2014 for discussion, including possible amendments covering: Grade 1 registrations ; registration renewals and B-BBEE reporting requirements a demerit system for contractors with regard to reportable health and safety (H&S) incidents the use of cidb registered sub-contractors the use of cidb registered contractors on homebuilding contracts Regulation on CDPs The cidb will continue to explore the registration criteria as well as regulations and possible amendments to the Act which will ensure the sustainability, participation, and growth of the emerging sector. Specifically the cidb will explore further entrenching and making tools of the NCDP mandatory and to move beyond implementation of CDP’s being voluntary by the client departments. The cidb will also investigate aspects that could become mandatory and input into regulation amendment processes will be considered.
Slide 6 of 38 ORGANISATIONAL STRUCTURE
Slide 7 of 38 Organisational Structure Executive Authority (Minister) BOARD CHIEF EXECUTIVE OFFICER Programme Manager: Construction Registers Service Programme Manager: Construction Industry Performance Programme Manager: Procurement and Delivery Management Programme Manager: Provincial Offices and Contractor Development Chief Financial Officer
Slide 8 of 38 STRATEGIC OUTCOMES ORIENTED GOALS
Slide 9 of 38 Strategic Priorities No STRATEGIC OUTCOMES ORIENTED GOALS GOAL STATEMENT 1.Strengthen the awareness on NCDP and rollout of contractor development programmes (CDPs) with a focus on monitoring and reporting on CDPs. Increase the participation of the emerging sector in the construction industry. Provide client capacitation and awareness on NCDP Monitor client CDP’s 2.Manage and improve the Construction Registers Service through business process management best practice and registration criteria review. Improve the efficiency and integrity of the contractor and project registration process though the business process management best practice and the appropriate application of technology. Improve the Construction Registers Service as a macro risk management tool for the public sector and a platform for the development of the emerging sector through review of contractor registration requirements.
Slide 10 of 38 Strategic Priorities NoSTRATEGIC OUTCOMES ORIENTED GOALS GOAL STATEMENT 3.Implementation of the anti- corruption strategy, improve compliance monitoring and enforce cidb prescripts. Promote compliance with cidb’s prescripts Minimise the rate of fraud and corruption. 4.Promote uniformity of construction procurement in the organs of state. Improving infrastructure delivery. 5.Monitoring the performance of the construction industry. Monitor and evaluate the performance of construction industry.
Slide 11 of 38 Strategic Priorities NoSTRATEGIC OUTCOMES ORIENTED GOALS GOAL STATEMENT 6.Improve the performance of the sector, and value to clients. Promote contractor development; and Promote performance improvement. 7.Improve infrastructure delivery skills in the construction industry Support the development of infrastructure delivery skills
Slide 12 of 38 DESCRIPTION OF CORE PROGRAMMES
Slide 13 of 38 Core Programmes Programme 1: Construction Registers Service focuses on: o Registration of Contractors (RoC) and Registration of Projects (RoP) of both public and private sector construction projects. o Implementation of the regulations to align the Construction Registers Service with developments in the construction industry, ensuring that the Register is maintained as a macro risk management tool for the public sector while taking into account the state of development of the emerging sector. Programme 2: Construction Industry Performance focuses on: o Improved performance and best practice for an industry that delivers reliable value to clients, and other stakeholders, information on construction industry indicators to inform cidb strategy, policy makers and stakeholders.
Slide 14 of 38 Core Programmes Programme 3: Procurement and Delivery Management focuses on: o Enhanced public sector construction procurement and infrastructure delivery management capability of public sector clients enabling efficient and effective delivery of quality infrastructure to the public. Programme 4: Provincial offices and Contractor Development focuses on: o Enterprise and contractor development, with emphasis on increasing the participation of the emerging sector. The Programme also oversees the cidb Provincial footprint and associated support offerings via the nine Provincial cidb Offices.
Slide 15 of 38 OVERVIEW OF THE KEY PERFORMANCE AND DELIVERABLE
Slide 16 of 38 Key Performance Summary CRS PurposeImplement, manage and improve national registration services covering the Register of Contractors (RoC), Register of Projects (RoP) and new Registers that may be implemented in terms of the CIDB Act. Objective Statement Registration of contractors in a manner that facilitates public sector procurement by ensuring an efficient registrations service and accurate assessments of applications. Facilitate the registration of public sector projects and distribute quarterly reports on client compliance both internally and externally. The registration of projects forms the basis for the implementation of the best practice project assessment schemes designed to drive improved client performance. Expected Outcome Effective and Efficient Registration Processes.
Slide 17 of 38 Key Performance Summary CRS The programme’s targets are briefly outlined below: Maintenance of an efficient registration service (process, quality and integrity) and an efficient query resolution process. o The programme’s target is to achieve a turnaround time of the legislated 21 working days for processing and concluding compliant Grade 2-9 applications. Two working day turnaround time for administration of queries. o All queries received by the Registers Department will be administered within a period of two working days from the time of receipt of the query. Produce high standard of data quality. o The focus will be on ensuring that quality control is effective in each functional area within the CRS Programme. A quality assurance team has been established within the CRS Programme with a mandate to provide assurance on the quality of outputs and engaging the relevant business units on areas for improvement.
Slide 18 of 38 Key Performance Summary CRS The programme’s targets are briefly outlined below: Fraud Prevention and Detection Plan. o The Fraud Prevention and Detection Plan will cater for the entire registrations processing chain, from the time applications are received up to activation of grades at Head Office. Regulation Amendment Recommendations. o The cidb will focus on identifying further improvements to contractor registration criteria taking into account the state of development of the emerging sector and the purpose of the register as a macro risk management tool for the public sector.
Slide 19 of 38 Key Performance Summary CIP PurposeTo determine, establish and promote appropriate measures aimed at improved performance and best practice of public and private sector clients, contractors and other participants in the construction delivery process. Objective Statement Improved performance and best practice for an industry that delivers reliable value to clients, investors and end-users, information on construction industry indicators to inform cidb strategy, policy makers and stakeholders. Expected Outcome Improved Performance of the Construction Industry, and Value for Money to Clients.
Slide 20 of 38 Key Performance Summary CIP The programme’s targets are briefly outlined below: cidb Best Practice Contractor Recognition Scheme. o The cidb Best Practice Contractor Recognition Scheme is moving from a phase of development to possible implementation. o Impact Assessment completed and submitted to cidb Board cidb Best Practice Project Assessment Scheme o The following have been published or submitted to Board: cidb Standard for Indirect Targeting for Enterprise Development through Construction Works Contracts, published February 2013 cidb Standard fro Developing Skills through Infrastructure Contracts, published August cidb Standard for Contractors Performance Reports for use on Construction works Contract(Grade 2 to 9), published August cidb Standard for Contractor Performance Reports for use on Construction Works Contract (Grade 1) completed
Slide 21 of 38 Key Performance Summary CIP The programme’s targets are briefly outlined below : cidb Best Practice Project Assessment Scheme (continuation) o The following have been published or submitted to Board: cidb Standards for H&S Management Plans(draft) completed. cidb Best Practice: Minimum Requirements for Engaging Subcontractors on Construction Works Contracts published November cidb Best Practice: Green Building Certification published in April 2011 cidb Standard for Performance Reports for professional Service Providers is targeting submission to the board by end March A Regulatory Impact Assessment for Project Assessment Scheme has been completed and submitted to DPW
Slide 22 of 38 Key Performance Summary CIP The programme’s targets are briefly outlined below: Infrastructure Delivery Skills o Key Elements in the Programme’s alignment to the cidb’s infrastructure Delivery Skills Strategy are outlined below: cidb Competence Standard for Contractors. cidb Standard for Developing Skills through Infrastructure Contracts cidb Skills Development Agency (SDA) WorldSkills ZA Construction Chapter cidb Post-Graduate Conference /Doctoral Workshop series Youth in construction Best Practice Guides o Building on Previous Practice guides for the industry, the programme will continue to promote the uptake of these guides.
Slide 23 of 38 Key Performance Indicator CIP The programme’s targets are briefly outlined below: Industry Performance o Monitoring and evaluation of the construction industry will continue to be a priority in 2014/15, providing an on-going base for a detailed understanding of the industry, including: cidb Construction Industry Indicators(CIIs) cidb Quarterly Monitor cidb SME Business Conditions Survey cidb Compliance Monitor Status Report on Employment and labour Cross Programme Support and Other Strategic Objectives o The Programme continues to provide cross-programme support to other programmes including: Export Promotion CPD Statistics National Infrastructure Maintenance Strategy(NIMS)
Slide 24 of 38 Key Performance Indicator CIP The programme’s targets are briefly outlined below: Programmatic Approach o The Programme is facilitating a process of consultation on the cidb Best Practice Fee o Draft gazette notice regarding Best Practice Fee was tabled at Technical MinMec, and submitted to DPW for publication in the government Gazette o The following are current recommendations regarding the cidb Best Practice Fee: Best Practice fee of 0.2% of the contract sum applied to projects of tender Grades 7 to 9. Best Practice Fee of 0% applied to projects of tender Grades 2 to 6. Phased introduction of cidb Best Practice Standards is adopted and implementation is rolled out. Best Practice Fee will initially only apply to public sector projects Payments of the Best Practice Fee by clients is due within 30 days of registration and awarding of the contract.
Slide 25 of 38 Key Performance Summary PDM PurposeDevelop, promote and monitor uniform application of cidb prescripts throughout all organs of state and industry stakeholders including procurement standards, construction procurement reform, improved infrastructure delivery management practices and the cidb Code of Conduct. Objective Statement Provide leadership to stakeholders and to stimulate sustainable growth, reform and improvement of the construction sector for effective delivery and the industry’s enhanced role in the country’s economy. Expected Outcome Enhanced compliance to construction procurement and infrastructure delivery management.
Slide 26 of 38 Key Performance Summary PDM The programme’s targets are briefly outlined below: Improving Public Sector Construction Procurement and Delivery Management. o The cidb remains a committed key strategic partner to the Infrastructure Delivery Improvement Programme (IDIP) and as such the PDM Programme continues to support the IDIP initiatives aimed at improving infrastructure delivery. o The 2010 Infrastructure Delivery Management Toolkit (IDMT) which comprises three key Delivery Processes, namely, Portfolio Management (including Programme Management), Project Management, Operations and Maintenance is due for an upgrade in 2014/15. o The IDMT is anchored on the Infrastructure Delivery Management System (IDMS) which is the backbone of the body of knowledge provided in the delivery processes.
Slide 27 of 38 Key Performance Summary PDM The programme’s targets are briefly outlined below: Improving the Effectiveness of Client Capacitation. o Construction Procurement Officers (CPO) Forums established in all provinces will continue to provide a platform for provincial procurement officers including strategic partners such as Provincial Treasuries and Auditor General to interact, share information and deliver infrastructure in an integrated manner. These Forums assist in the consolidation of a fragmented client base. Implementation of the Anti-corruption Model. o This model will also call for the alignment of the Infrastructure Gateway System and the Register of Projects where integrity, accountability and transparency can be upheld. Improving Compliance Monitoring and Enforcement. o All cases of non-compliance will be investigated and sanctions will be imposed against guilty parties and such information will be published on the cidb website and government gazette.
Slide 28 of 38 Key Performance Summary PCD PurposeTo develop and promote measures that assist organs of state in the planning, decision making, implementation and monitoring of contractor development. Objective Statement Provision of leadership and support to the public sector and other stakeholders in the support of increasing emerging sector participation. Expected Outcome Increased emerging sector participation and adoption by client departments of CDP’s with improved grading status of contractors within these CDP’s, as well as relevant and efficient provincial office cidb service offerings.
Slide 29 of 38 Key Performance Summary PCD The programme’s targets are briefly outlined below: Enterprise Development Unit o The ED Unit is specifically mandated to provide guidance and support to clients on Contractor Development, and in partnership with the National Department of Public Works the unit provides overall programme management of the National Contractor Development Programme (NCDP) including monitoring and evaluation, across all willing and participant public sector infrastructure clients. o ED strategic Objectives: To expand and entrench the NCDP awareness and CDP implementation; Strengthen the Enabling environment; and Provide technical support and targeted programmatic training to clients on CDP’s towards enhanced reporting and monitoring.
Slide 30 of 38 Key Performance Summary PCD The programme’s targets are briefly outlined below: Provincial offices Unit o The Provincial offices will ensure the following: An efficient and effective registration service; cidb provincial offices services customer satisfaction; Supporting improvement of client body’s capability and capacity on construction procurement; Pursuing sustainable growth of contractors through client and contractor awareness and programmatic support; and Promoting customer relations and provincial office efficiencies and sound management.
Slide 31 of 38 BUDGET
Slide 32 of 38 Budget Sub programmeMedium-term expenditure estimate (2014/15) Provincial and contractor development31,104 Construction industry performance 9,904 Procurement and Delivery management11,264 Contractor register services22,685 CEO’s office11,743 Other Objectives41,840 Total128,540
Slide 33 of 38 STAFFING
Slide 34 of 38 Staffing ProgrammeNumber of Employees CEO’s office13 positions + 4 ATE’s Construction Register: Services64 positions Construction Industry Performance9 positions Procurement and Delivery Management9 positions Provincial Offices and Contractor Development76 positions Corporate Services53 positions Total Positions: ATE’s
Slide 35 of 38 Performance Audit findings2010/ /132013/14 ( Interim) Submission deadlineNone Misalignment - SP and APP YesNone Indicators not well defined 53%None5% POE (Non exist)36%None Not meeting smart criteria 72%None5% Performance threshold75%53%81%
Slide 36 of /15 Performance Targets ProgrammeNumber of Targets CRS6 CIP14 PDM9 PCD7 Total36