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What is Professionalisation?

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Presentation on theme: "What is Professionalisation?"— Presentation transcript:

1 What is Professionalisation?
CIGFARO CONFERENCE A Panel discussion 10 October 2017

2 PROFESSIONALISATION DEFINED
Professions are either self-regulated or regulated by the state through statute. The responsibilities for the regulation of the affairs and behaviour of members are typically delegated to professional bodies who assume the responsibility for setting relevant competence criteria for admission into the profession, overseeing the certification of professionals, and setting and enforcing ethical work practices and behaviour. Professionalisation Professionalisation is a social process whereby a trade or occupation transforms itself into a true profession of the highest integrity and competence. This process tends to involve establishing acceptable qualifications, a professional body or association to oversee and regulate the affairs and conduct of members of the profession.

3 Public Financial Management space
Public Finance Management (PFM) is defined as the system by which financial resources are planned, directed and controlled to enable and influence the efficient and effective delivery of public service goals. PFM sector refers to the following 9 (nine) disciplines: Management Accounting [MA] Financial Accounting [FA] Supply Chain Management [SCM] Asset Management [AM]& Liability Management [LM] Enterprise Risk Management [ERM] Internal Audit [IA] Internal Control [IC] Revenue and Management [RM] Expenditure Management [EM]

4 National Development Plan (NDP)
Building a capable and developmental state Make the public service and local government administration careers of choice - Build a skilled and professional public service from both the top and the bottom. Develop technical and specialist professional skills. Reinvigorate the state’s role in producing the specialist technical skills to fulfil its core functions. Develop appropriate career paths for technical specialists. Experienced professionals need to mentor trainees. Where there is a shortage of potential mentors within departments, experienced professionals will need to be located from elsewhere. This could involve partnerships with professional associations and firms, or employing retired professionals on a part time basis.

5 Speakers National Treasury presentation on the Professionalisation Model CIGFARO on the Mandate of Professional Bodies in SA – what they do Panelist: Lusani Madzivhandila Danie de Lange Phenyo Chwene Girish Daya

6 PFM PROFESSIONALISATION
CIGFARO ANNUAL CONFERENCE Presenter: Lusani Madzivhandila | Director, National Treasury | 10 October 2017

7 PFM PROFESSIONALISATION MODEL
Professionalisation is a social process whereby a trade or occupation transforms itself into a true profession of the highest integrity and competence. This process tends to involve establishing acceptable qualifications, a professional body or association to oversee and regulate the affairs and conduct of members of the profession. Karen Stoltz-Urban, describes professionalisation as wisdom and ethics. Professionalisation Framework: Influencing the design, content and supply of ETD solutions. Ensuring that appropriate quality management mechanisms are in place. Partnering with learning institutions and professional bodies.

8 KEY ACTIVITIES 2017/18 KEY ACTIVITY DESCRIPTION DATE
Competency Framework for Financial Management (CFFM) The Competency Framework defines the skills and knowledge required of a competent PFM practitioner at various levels of responsibility. On-going Integrated Learning Matrix (ILM) Maintain the ILM and develop a policy, process and prospectus of all PFM ETD solutions. Issue Circular to manage the provision of ETD providers Generic Functional Structures (CFO Office & PT’s) Develop a generic functional structure for the CFO Office and PT Standardised Job Descriptions Maintain job descriptions for PFM for salary levels 7 to 12. Develop JD’s for the PT structures March 2018

9 KEY ACTIVITIES 2017/18 KEY ACTIVITY DESCRIPTION DATE
Accredited Accounting Technician (AAT) Developed AAT Qualifications: NQF level 3, 4 and 5. Secured R7M from the PSETA to deliver the qualifications in LP, NC, EC and National Departments in 2017/ learners will be enrolled December 2018 SCM Learnership Certificate: NQF Level 5 The learnership was piloted in KZN and WC to 40 learners in total. We planning to also roll-out this learnership in Local Government sphere by 2018 to five provinces ( LP,MP,FS,NC and GP) 2018/2019 Learning Programme Development Mobilised funding from the EU and SETA’s: Preparation of Annual Financial Statements Public sector financial management curriculum to influence current B.Com qualifications Revenue management 2017/18

10 KEY ACTIVITIES 2017/18 KEY ACTIVITY DESCRIPTION DATE
PGD in Public Sector Accounting (UCT) Post-Graduate Diploma in Public Sector Accounting developed in partnership with UCT. WCPT and ECPT have enrolled learners On-going Transformational Leadership Development Pilot coaching programme for executive management in Mpumalanga 2017/18 PFM Conference Host the 2nd PFM Conference for CFO’s and Heads of SCM in 2018 TBC

11 THANK YOU Lusani Madzivhandila email: Lusani. Madzivhandila@treasury
THANK YOU Lusani Madzivhandila phone:

12 PRESENTED BY DANIEL J DE LANGE
Role of CIGFARO in the Professionalisation of Public Finance Management PRESENTED BY DANIEL J DE LANGE EOH Smart Advisory-Executive : Local Government Cell Cell phone ThThe Views Expressed Are Not Necessarily Those Of The CIGFARO Board e Views Expressed Are Not Necessarily Those Of The CIGFARO Board HEADING PLACED HERE

13 Mandate of Professional Bodies
Apply their Codes of Conduct and ensure that their members adhere to its provisions; promote and ensure continued professional development to ensure continuous professional development (CPD) and life-long learning; conduct on-going research and disseminate good practice amongst members; set and enforce ethical work practices and behaviour; set relevant competence criteria for admission into the profession and accreditation of educational programmes and CPD ;

14 Mandate of Professional Bodies (Cont)
oversee the certification and licensing of professionals; ensure that the supply and demand of technical and professional competence; develop a clear set of norms and standards for the relevant occupational category; establish minimum competence levels based on national competence frameworks and job profiles; develop Recognition of Prior Learning (RPL) procedures, through which professional bodies can assist employees in obtaining accredited qualifications after the RPL process is completed.

15 Ethical Principles Honesty and Integrity : “We act with honesty and integrity.” Professional Behavior : “We operate within the letter and the spirit of applicable laws.” Competence : “We bring appropriate skills and capabilities to every client assignment.” Objectivity : “We are objective in forming our professional opinions and the advice we give.” Confidentiality : “We respect the confidentiality of info” Fair Business Practices : “We are committed to fair business practices.” Responsibility to Society : “We recognize and respect the impact we have on the world around us.”

16 Causes of Ethical Failure
Perceptions of the causes of ethical failure 1. Self interest 2.Failure to maintain objectivity and independence 3.Inappropriate professional judgment 4.Lack of ethical sensitivity 5. Improper leadership and ill-culture 6.Lack of competence 7. Lack of organisational and peer support 8.Lack of professional body support

17 Burning Questions How can professionalism be promoted in the Public Finance Management (PFM) sector and will a single professional body (SPB) for PFM for the whole of the public sector assist in this process ? What functional /occupational categories should be included? Does CIGFARO have the recognition, support and influence to participate in a project to professionalise PFM? How will the SPB project be initiated bearing in mind that National Treasury (NT ) has the legal mandate over these matters?(Reference group participation) How will the committee that will oversee the project be structured and who(bodies/departments) will be the members? How will the Board be structured? What is the current standard of professionalism in the public sector and is there an appetite for a project of this nature?

18 Professional Bodies in SA
Currently, the following Professional Bodies could influence professionalization of PFM: • AAT (SA) - Association of Accounting Technicians -273 • ACCA (SA) - Association of Chartered Certified Accountants -399 • CIBM-Chartered Institute of Business Management-481 • CIMA - Chartered Institute of Management Accounts -1655 • IAC - Institute of Accounting & Commerce -780 • IIA (SA) - Institute of Internal Auditors -8278 • SAIBA – South African Institute of Business Accountants-1210 • SAICA – South African Institute of Chartered Accountants • SAIGA – South African Institute of Government Auditors-480 • SAIPA – South African Institute of Professional Accountants-7339 • SAICSA-Southern African Institute of Chartered Secretaries and Administrators 2486 • ICB-Institute of Certified Bookkeepers-3358 • CIGARO–Institute for Municipal Finance Officers-1969

19 EXAMINATIONS AND PRACTICAL EXPERIENCE
As part of its admission requirements, a professional body needs: Entrance examinations and training requirements. Entry requirements to a program of professional accounting education Content of professional education programs Professional skills` Professional values, ethics and attitudes Practical experience requirements Assessment of professional capabilities and competence Continuing professional development Competence requirements for audit professionals

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22 Advantages of a Single Professional Body
Improved services and promotion of best practice Standardisation of qualification and competency Single code of conduct and an effective disciplinary process Standardised training programmes and continued professional development programmes One professional body for the public sector Annual conference programmes for whole of PFM Improved working relationships between national, provincial and local government officers Improved financial viability of professional body Professional body can assist NT with financial reforms programmes in public sector

23 Thank You for Your Attention ECTION TITLE

24 Way forward Next steps Set up meeting with NT and propose that a joint committee be formed consisting of CIGFARO members ,NT and GOGTA to develop proposals to establish a single professional PFM Body and develop an appropriate legislative framework for such professional body detailing membership requirements and its powers and functions Decide on which functional areas will be included in the PFM professional body Confirm membership requirements for functional areas (e.g. CFO,S ,INTERNAL AUDITORS and RISK MANAGERS) for the Public Service bearing in mind NT competency requirements Develop proposals on how the PFM Body will be organised taking into account the specialised areas of municipal finance and national and provincial government finance( the constitution could provide for a Board consisting of representatives from the municipalities and government bodies and two sub-structures one which specialise in municipal finance the other which specialises in national and provincial government finance)


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