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ACCA's Technical Activities
ACCA’s Public Sector Technical Issues Committee regularly responds to consultation documents issued by public sector bodies. Andy Wynne summarises the latest response, and looks at other activities recently undertaken by ACCA’s technical department.
Efficiency review: Releasing resources to the frontline
Cabinet Office and HM Treasury
As the consultation paper says, the Efficiency Review was announced in the Chancellor’s budget speech in April 2003. So it was disappointing that, six months later, we are asked to respond to a paper which is only two and a half sides long. The brevity of the document raises some concerns that this initiative is more in the nature of a public relations exercise rather than a serious attempt to ensure that public sector spending is targeted at the most important areas. We also note that respondents are given less than five weeks to respond rather than the Government’s good practice of at least 12 weeks.
The consultation document does recognise that ‘back office functions… are essential to support frontline staff doing their job and to manage resources effectively’. The use of phrases such as ‘the bureaucracy faced by frontline professionals’ will, however, inevitably encourage the popular prejudice against so called ‘public sector bureaucrats’.
The Conservative Party has subsequently announced that it will be undertaking its own efficiency review that will concentrate on the process of procurement. So efficiency reviews are certainly the flavour of the month.
ACCA International Activities
ACCA provided comments on the draft national audit office bill for the Co-operative
Republic of Guyana (South America). This bill should significantly improve the
independence and effectiveness of the Office of the Auditor-General. The suggested
amendments included further refinements to ensure the adoption of international
best practice.
ACCA also provided comments to the World Bank on the first draft of the Country Financial Accountability Assessment for Ghana. These comments should help the World Bank clearly identify, in its final report, the most significant areas where action is needed for Ghana to develop a sound system of financial accountability for its public sector. ACCA also recommend more detailed justification for each of the proposed reforms.
Conference on internal audit and risk management
ACCA hosted a successful one day conference in London on the role of internal
audit in risk management. This conference was addressed by a number of members
of ACCA’s Internal Audit Sub-committee and a number of other prominent
speakers. Over 100 people attended the event and many took part in the discussion
sessions, which answered the following questions and more:
- how should risk management be organised?
- what should be the role for internal audit?
- should internal audit take the lead on risk management?
- how should internal audit protect its independence?
- how does risk management fit with developments in corporate governance?
- how can internal auditors use risk management to raise status and profile?
Andy Wynne - Head of Public Sector Technical Issues