1. GUIDE FOR THE PREPARATION
OF ANNUAL REPORTS
Nols du Plessis
National Treasury
26 October 2005

2. Overview of Presentation
General information
Programme performance
Report of the Audit Committee
Annual Financial Statements
Human Resource Management
Aim of overseeing performance

3. General information

4. General information
Formal submission of annual report to Executive Authority
Introduction by Head of Department
Information on the Ministry
Mission statement indicating the departments unique purpose
Legislative mandate which refers to the Legislation that governs the existence of the department and it’s operations.

5. Programme Performance

6. Programme Performance
Section 27(4) of the PFMA requires the submission of measurable objectives for each main division
Key measurable objectives, programmes and achievements
Strategic overview and key policy developments for the financial year
Transfers to other institutions
Must provide a narrative on the services provided by public entities
Capital Investment, maintenance and asset management

7. Report of the
Audit Committee

8. Report of the Audit Committee
Effectiveness of internal control systems within departments
Quality of in-year management and monthly / quarterly reports submitted in terms of the PFMA
Evaluation of the annual financial statements of the department
Can report on other matters, e.g. compliance with laws and regulations

9. Annual
Financial Statements

10. Annual Financial Statements
Management report deal with the state of financial affairs, the activities and the results of the department / institution
Important information included: Corporate governance issues, Public Private Partnerships, capacity constraints and discontinued activities
Report of the Auditor-General / external auditor. Any qualification or “emphasis of matter” should be followed up and discussed
Notes to the annual financial statements also contain useful information e.g. unauthorised expenditure, irregular and fruitless and wasteful expenditure

11. Human Resource
Management

12. Human Resource Management
Information published in this part of the annual report are required in terms of Public Service Regulations
Statistical tables provide high level information on key human resource issues
The information aims to empower legislatures, the public and other key stakeholders to monitor whether departments:
exercising the powers granted under PSA
achieving national transformation priorities e.g. employment equity
Information included: Service delivery, employment and vacancies, disciplinary issues, skills development and performance rewards

13. Aim of overseeing
performance

14. Aim of overseeing performance
To ensure that provincial interest are taken into account
To evaluate whether the reported performance is in line with the entity’s strategic plans and budgets
To evaluate whether performance is acceptable given the operating environment
To assess how the entity might improve on its performance in future
Focus is on:
How can service delivery be improved in future?

15. QUESTIONS?