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2017
Annual Activity Report
DG Interpretation
Ref. Ares(2018)1680872 - 27/03/2018
scic_aar_2017 final Page 2 of 111
Table of Contents
THE DG IN BRIEF 3
EXECUTIVE SUMMARY 4
A) KEY RESULTS AND PROGRESS TOWARDS THE ACHIEVEMENT OF GENERAL AND SPECIFIC OBJECTIVES OF THE DG (EXECUTIVE SUMMARY
OF SECTION 1) .............................................................................................................................................................. 4 B) KEY PERFORMANCE INDICATORS (KPIS) ......................................................................................................................... 5 C) KEY CONCLUSIONS ON FINANCIAL MANAGEMENT AND INTERNAL CONTROL ............................................................................ 8 D) PROVISION OF INFORMATION TO THE COMMISSIONER ...................................................................................................... 9
1. KEY RESULTS AND PROGRESS TOWARDS THE ACHIEVEMENT OF GENERAL AND SPECIFIC OBJECTIVES OF THE DG 10
2. ORGANISATIONAL MANAGEMENT AND INTERNAL CONTROL 14
2.1 FINANCIAL MANAGEMENT AND INTERNAL CONTROL ................................................................................................ 14 2.1.1 CONTROL RESULTS ........................................................................................................................................... 15 2.1.2 AUDIT OBSERVATIONS AND RECOMMENDATIONS ................................................................................................... 26 2.1.3 ASSESSMENT OF THE EFFECTIVENESS OF THE INTERNAL CONTROL SYSTEMS .................................................................. 28 2.1.4 CONCLUSIONS AS REGARDS ASSURANCE ................................................................................................................ 29 2.1.5 DECLARATION OF ASSURANCE ............................................................................................................................ 30
DECLARATION OF ASSURANCE 31
2.2 OTHER ORGANISATIONAL MANAGEMENT DIMENSIONS ............................................................................................ 32 2.2.1 HUMAN RESOURCE MANAGEMENT ...................................................................................................................... 32 2.2.2 BETTER REGULATION ........................................................................................................................................ 32 N/A 32 2.2.3 INFORMATION MANAGEMENT ASPECTS ................................................................................................................ 32 2.2.4 EXTERNAL COMMUNICATION ACTIVITIES ............................................................................................................... 32
ANNEXES 33
ANNEX 1: STATEMENT OF THE RESOURCES DIRECTOR .............................................................................................. 33 ANNEX 2: REPORTING – HUMAN RESOURCES, BETTER REGULATION, INFORMATION MANAGEMENT AND EXTERNAL
COMMUNICATION ....................................................................................................................................................... 34 A. FINANCIAL MANAGEMENT: INTERNAL CONTROL AND RISK MANAGEMENT ................................................................ 37 B. INFORMATION MANAGEMENT ........................................................................................................................... 40 C. EXTERNAL COMMUNICATION ............................................................................................................................. 41 ANNEX 3: DRAFT ANNUAL ACCOUNTS AND FINANCIAL REPORTS ................................................................................ 44 ANNEX 4: MATERIALITY CRITERIA ......................................................................................................................... 45 ANNEX 5: INTERNAL CONTROL TEMPLATE(S) FOR BUDGET IMPLEMENTATION (ICTS) .................................................... 46 GRANT MANAGEMENT: ............................................................................................................................................... 51 PROCUREMENT DIRECT ................................................................................................................................................ 57 NON-EXPENDITURE ITEM – REVENUE COLLECTION ............................................................................................................ 65 ANNEX 6: IMPLEMENTATION THROUGH NATIONAL OR INTERNATIONAL PUBLIC-SECTOR BODIES AND BODIES GOVERNED BY
PRIVATE LAW WITH A PUBLIC SECTOR MISSION (IF APPLICABLE) ........................................................................................... 68 ANNEX 7: EAMR OF THE UNION DELEGATIONS (IF APPLICABLE) ............................................................................... 69 ANNEX 8: DECENTRALISED AGENCIES (IF APPLICABLE) .............................................................................................. 70 ANNEX 9: EVALUATIONS AND OTHER STUDIES FINALISED OR CANCELLED DURING THE YEAR .............................................. 71 ANNEX 10: SPECIFIC ANNEXES RELATED TO "FINANCIAL MANAGEMENT" ....................................................................... 72 ANNEX 11: SPECIFIC ANNEXES RELATED TO "ASSESSMENT OF THE EFFECTIVENESS OF THE INTERNAL CONTROL SYSTEMS" ........ 74 ANNEX 12: PERFORMANCE TABLES ........................................................................................................................ 75
scic_aar_2017 final Page 3 of 111
THE DG IN BRIEF
The purpose of DG Interpretation (DG SCIC) is to facilitate the democratic EU decision-making process, through provision of high quality conference interpretation, corporate
conference organisation services and meeting room management, including audio-visual
equipment and services.
DG SCIC interpreters are on average assigned to 40 meetings per day or approximately
10.000/year, ranging from bilateral encounters between high-ranking officials in consecutive interpretation to high level conferences in simultaneous interpretation into
23 languages of the EU and non-EU languages. DG Interpretation sends its interpreters to meetings in Brussels as well as around Europe and beyond, and covers not only EU
languages but also all the main international conference languages and even sign language.
DG SCIC thereby serves the Commission but also other Institutions like the Council of
the European Union, the European Economic and Social Committee, the Committee of the Regions, the European Extenal Action Service, the European Investment Bank, as
well as European offices and agencies. In this context and in order to constantly improve the quality of the interpretation provided and to cater for the availability of adequate
numbers of staff and freelance interpreters through its called succession planning, DG Interpretation provides continuous professional support for its interpreters and
cooperates with universities, both in the EU and in third countries
Following the Communication adopted in 2016 (Synergies and Efficiencies Review – New
Ways of working), DG Interpretation is also the "corporate domain leader" in the areas of
conference management and meeting rooms management. In this context, the DG provides conference organisation capability, technological solutions for multilingual
communication and daily technical support to the Commission's meetings and conference facilities under its management. It also manages the Commission's "Event register" and
provides framework contracts for conference/event organisation as well as for audio visual equipment and services.
Out of the total staff, almost 85% are conference interpreters or work in areas directly related to interpretation such as professional support and meeting preparation,
programming, managing freelance interpreters' accreditation, recruitment and payments,
as well as helping train future interpreters. A further 10% of staff members are assigned to corporate domain services in the area of conferences and meeting rooms management
and the remaining staff are assigned to corporate management tasks as well as policy strategy, coordination and communication.
In addition, DG Interpretation manages an inter-institutional list of about 3000 free-lance interpreters spread all over the world, out of which around 1000 interpreters work
alongside its permanent staff on a regular basis, as they are based in Europe and cover the most commonly requested languages.
DG SCIC operates under administrative expenditures (Heading 5), with a significant
share of its budget accruing from revenues from interpretation services users outside the Commission (in 2017, 64.72% of total payment appropriations of EUR 78.02 M). These
services operate also under “heading 5”.
With its demand-driven business model depending on the institutions' political cycle and
priorities which determine the need for interpretation, DG SCIC's main challenge is to ensure optimal use of interpretation resources throughout the year by using a mix
between statutory staff and freelancers at an average of 50/50%. Another challenge is to further develop DG SCIC's corporate role in providing high quality and modern
conference organisation and meeting room management services across the Commission,
under limited resources and high dependence on other Central Services and corporate domain leaders.
scic_aar_2017 final Page 4 of 111
EXECUTIVE SUMMARY
The Annual Activity Report is a management report of the Director-General of DG Interpretation to the College of Commissioners. Annual Activity Reports are the main
instrument of management accountability within the Commission and constitutes the
basis on which the College takes political responsibility for the decisions it takes as well as for the coordinating, executive and management functions it exercises, as laid down in
the Treaties1.
a) Key results and progress towards the achievement of general and specific objectives of the DG (executive
summary of section 1)
2017 was marked by a sustained increase in demand for interpretation. The global output
was up by 4%, with the sharpest rise in interpretation provided to the Council of 9%. This trend was spread over all EU languages reflecting a boost in the number of meetings
organised as well as wider language regimes.
Although DG Interpretation sometimes reached the limits of its delivery capacity for
some languages, it was able to globally satisfy the demand to last year's level of 96%.
Quality of interpretation remained high, with a slight increase in overall customer
satisfaction to 90%, according to the results from the 2017 survey.
To take full advantage and its know-how and manage knowledge in a more modern and
dynamic way, in 2017 DG Interpretation also launched an ambitious project, the creation of a Knowledge Centre on Interpretation, a single go-to space to manage and exchange
knowledge, create synergies and disseminate globally followed standards on interpretation.
The DG further made a number of significant achievements in the Synergies and
Efficiencies Review, ranging from the setting up of a new Event Database, the Network of Conference Correspondents and an online toolkit on event organisation, to further
Commission-wide standardisation of meeting rooms and the new interinstitutional framework contract for audio-visual services/and equipment, a Catalogue of Meeting
1 Article 17(1) of the Treaty on European Union.
40
45
50
55
60
65
70
75
80
85
90
95
2012 2013 2014 2015 2016 2017
Payments and revenues (m€)
Payments Revenues
scic_aar_2017 final Page 5 of 111
Room Services and Incident Management system, as well as a new Memorandum of Understanding to better structure the cooperation with OIB, create a meeting room
community and an overall increase in the use and occupancy rate of corporate meeting
rooms through a better overview and improved distribution of meetings.
b) Key Performance Indicators (KPIs)
Result/Impact
indicator (description)
Trend
Latest known results as per Annual Activity Report
KPI 1: Coverage of
i-slot cost by
i-slot price
(%)
(Source: Budget &
Finance Unit)
The final calculation of the 2017 real i-slot cost (being a lump sum unit cost for a half day/interpreter) is 507€ against an nominal i-slot price set at 465€, which represents a
cost 9% higher than the actual price charged to the paying customer. A number of factors have been identified, they are further detailed into annex 12.
Among key factors, SCIC has identified the unavoidable delays in incorporating last years unexpected salary adjustments into the i-slot price, a reduction of the number of staff
interpreters, a general increase in demand (2016: 248.912 i-slots; 217: 253.8272 i-slots; +2%), and the changes into the demand patterns, both in terms of repartition of the
langues requested and the uneven spreading of demand accross week days. As side
effect, these factors also lead to an increase of the average cost of a contract day (2016: 755€, 2017: 790€), combined with a general increase of the number of contract days by
12%.
To reduce the gap between the i-slot price and cost, DG SCIC:
increased the 2018 i-slot price to €488 to factor in the full impact of the 2016 salary adjustments including the career progression effect.
will continue streamlining its ACIs recruitment policy and closely monitoring the cost of the ACI recruitment.
2 This figure for the number of i-slots in 2017 includes not only the interpretation i-slots, but also takes
into account the last minute cancellation and travel costs that have been charged to our customers
0%
20%
40%
60%
80%
100%
2015 2016 2017
92,3% 92,4% 91,7%
Coverage of i-slot cost by i-slot price
Target: between98% and 102%
scic_aar_2017 final Page 6 of 111
KPI 2: Standby
rate3 and reserve of
interpreters (staff and ACIs),
excluding
periods of low interpretation
activity (as % of available
working time) (Source:
SCICView)
The overall standby rate in 2017 remained stable at the same level with 2016 (16,1%).
It is an aggregate indicator which captures the following operational situations:
10% of time on standby is generated by DG SCIC's legal obligations arising from the application of the Agreement on the interpreters'
working conditions which adapts the Staff regulation to the specific circumstances of interpretation. In this framework, interpreters can work for up to
18 sessions (a session corresponds to roughly half a day) over a two-week period. If the maximum number of sessions is reached, interpreters cannot be assigned to
other interpretation activities during this period.
DG SCIC also expresses as time on standby the operational reserve which is
needed to respond to unscheduled last minute requests and replacement of
unexpectedly unavailable interpreters.
Finally, a significant share of standby is due to late cancellations of meetings by
organisers (or to meetings being called off earlier than planned). In 2017, it is estimated that almost 60% of the overall number of days spent on standby4 were
on days where meetings were cancelled.
It has to be noted that the Service Level Agreements in place between DG SCIC and its
paying customers allow for full cancellation or modification of language regimes until two weeks before a meeting is scheduled so as to give them the possibility to order and
receive interpretation services in accordance with their changing political priorities.
However, this provision, which ensures maximum flexibility for the users, is likely to lead to an increased standby rate of interpreters in particular from less used languages
because late modifications of language regimes often make reprogramming of these
3 The standby indicator is defined in DG SCIC's Strategic Plan and Management Plan. It includes the standby of
both staff interpreters and ACIs and considers only the days on which activity is above 150 interpreter-days
provided. Standby is a job-specific term to define the working time during which staff interpreters and ACIs are
not assigned to interpretation or other linked professional activities (travelling for missions, working as jury
members for competitions and accreditation tests etc), which by definition have to be scheduled in their
programme.
4 This is an estimate based on the number of i-slots (half days of an interpreter’s assignment) resulting
from the reprogramming costs invoiced to clients.
0,0%
5,0%
10,0%
15,0%
20,0%
2014 2015 2016 2017
17,3% 18,5%
16,1% 16,1%
target (15%)
result
scic_aar_2017 final Page 7 of 111
interpreters impossible within a two- week deadline. DG SCIC invoices to the paying customers cancellations which occur after the two-weeks cut-off point and so the
financial risk is partially transferred to them. However, the reported standby rate remains
unchanged.
KPI 3: Overall
satisfaction with
interpretation
(in %) (Source:
Customer Satisfaction
Survey 2017)
.
The overall satisfaction with the quality of interpretation reported by DG Interpretation's
customers in the 2017 customers' satisfaction survey on interpretation already remained significantly higher than the target and even increased slightly in comparison to
2015 to reach 90%. This result reflects the constant efforts of DG SCIC's interpreters to provide high quality interpretation, thus ensuring multilingual communication at the
meetings serviced by DG SCIC.
KPI 4: Overall
satisfaction with DG
Interpretation
’s support to conferences,
events and meetings
(in %) (Source:
Customer Satisfaction
Survey 2017)
.
In parallel to the Customer Satisfaction Survey on interpretation, DG Interpretation
organised its Customer Satisfaction Survey on the conference services it provides in Commission premises. The overall satisfaction rate of meeting participants remains
considerably higher than the target of 85%.
0%
20%
40%
60%
80%
100%
2013 2015 2017
85% 89% 89% 90%
target
results
0%
20%
40%
60%
80%
100%
2015 2017
85% 91% 90%
target
result
scic_aar_2017 final Page 8 of 111
c) Key conclusions on financial management and internal
control
In accordance with the governance arrangements of the European Commission, DG Interpretation conducts its operations in compliance with the applicable laws and
regulations, working in an open and transparent manner and meeting the expected high level of professional and ethical standards.
The Commission has adopted a set of internal control standards/principles, based on international good practice, aimed to ensure the achievement of policy and operational
objectives. The financial regulation requires that the organisational structure and the internal control systems used for the implementation of the budget are set up in
accordance with these principles. DG Interpretation has assessed the internal control
systems during the reporting year and has concluded that the internal control principles are implemented and function as intended. Please refer to AAR section 2.1.3 for further
details.
In addition, DG Interpretation has systematically examined the available control results
and indicators, as well as the observations and recommendations issued by internal auditors and the European Court of Auditors. These elements have been assessed to
determine their impact on the management's assurance as regards the achievement of control objectives. Please refer to Section 2.1 for further details. In conclusion,
management has reasonable assurance that, overall, suitable controls are in place and
working as intended; risks are being appropriately monitored and mitigated; and necessary improvements and reinforcements are being implemented. The Director
General, in her capacity as Authorising Officer by Delegation has signed the Declaration of Assurance.
scic_aar_2017 final Page 9 of 111
d) Provision of information to the Commissioner
In the context of the regular meetings during the year between the DG and the
Commissioner on management matters, also the main elements of this report and
assurance declaration, have been brought to the attention of Commissioner Oettinger, responsible for Budget and Human Resources.
scic_aar_2017 final Page 10 of 111
1. KEY RESULTS AND PROGRESS TOWARDS THE ACHIEVEMENT OF GENERAL AND SPECIFIC OBJECTIVES OF THE DG
In 2017, DG Interpretation was able to lay the foundations to ensure that the DG's strategic and annual objectives are met in 2017 and beyond. Drawing on the DG's triple
mandate which combines different capacities on conference organisation, meeting rooms and interpretation services, DG Interpretation has been able to offer tailor made
support and integrated services to its stakeholders.
Through cooperation with other Commission DGs, DG Interpretation has helped to
increase corporate efficiency, in particular through its active participation in a number of
projects, detailed in this report, which take advantage of each DG's core skills and create a whole greater than the sum of its parts.
The Call for Interest for the Conference
Centre 2.0 was launched in December 2017 and marked the successful culmination of
the first phase of the flagship project of the future Conference Centre for the
European Commission. With the
Borschette Conference Centre approaching the end of its lifespan, it is the
Commission’s responsibility to ensure that an alternative conference and meeting
venue is available in due time to ensure business continuity for over 4000 meetings
a year. The future centre will be a modular and multi-purpose building designed to host
larger events, which at present are taking
place in rented venues outside the European Quarter.
.
The replacement of the Borschette Centre, which will need to be phased out due to safety
and security reasons, has been identified as an important risk for DG SCIC in its 2018
Management Plan. There is a serious business continuity risk for the DG and for the Commission as a whole, should further delays in the future conference project result in
the inability to meet the continuing demand for interpretation and meeting/conference rooms.
With the current ambitious political agenda and the subsequent increase in demand for interpretation and meeting facilities, the Commission must remain adequately equipped
to bring together its stakeholders, both internal and external, to allow for the multi-lingual discussion of policies fit for this century in a purpose-built conference centre.
SCIC has pursued the development of its role as domain leader for meeting room management by leveraging on its expertise and know how, while having to rely on
existing human resources and a non increased budget. In particular, SCIC continued to
The end of 2017 saw the successful culmination of
the first phase of the design and construction
of a flagship Conference Centre for the European
Commission
Conference Centre 2.0
… improvements in the domain of meeting room management…
…
scic_aar_2017 final Page 11 of 111
foster a Commission-wide standardisation of meeting rooms, covering the audio-visual and conference equipment, their maintenance and the related support services.
In this domain, a first important milestone has been reached with the new inter-
institutional framework contract5 for the purchase of audio-visual and conference equipment and services which enables major synergies and efficiencies gains in
terms of savings on costs and improving effective delivery of audio-visual and conference equipment and services across the Commission services, and other EU institutions and
bodies.
Furthermore, the new Catalogue of Meeting Room Services together with the
implementation of a standard Incident Management system, both of which were rolled out in 2017, will provide more transparent and more responsive meeting room
services to meeting organisers and end users.
Moreover, the Memorandum of Understanding signed with OIB in 2017 will structure the
cooperation between SCIC and OIB. This cooperation will be instrumental in order to
create a meeting room community and will allow an increase of the use of meeting rooms through a better overview and an improved distribution of meetings.
Until the end of 2016, no overview existed of conferences and public events organised by Commission Services nor of the related expenditure. As required in the DG's mandate as
corporate domain leader, DG Interpretation put in place a corporate events database
and has been collecting information on corporate events since 1 January 2017.
In 2017, 215 conferences were registered, encompassing a total of over 93,000
participants and budget of just under 38 million EUR. These data offer for the first time an insight into the corporate needs and trends in this area within the Commission and
will allow DG Interpretation to further tailor the services provided to Commission services in the area of conference organisation. A quarterly overview of Commission-wide
conference activity is published on the Events Database page on the Commission's intranet site.
In addition, DG Interpretation has acquired considerable expertise in conference
organisation over the years. In order to multiply the impact of our know-how and to ensure that Commission services not benefitting from our direct support can also tap into
this knowledge, the DG compiled a practical and easy-to-use conference organisation toolkit, which is available in the same on-line site.
DG Interpretation has further established a network of conference correspondents throughout the European Commission. The network's mission is to exchange best
practises and experiences as well as seeking harmonisation of procedures where possible and thereby professionalising the community of practice. The first meeting of the new
network took place on 5 October 2017.
The network will also collect and disseminate information on conference-related services and tools available in the European Commission, seeking further synergies. Another core
task is to identify needs and exchange ideas as well as collect best practice for integration into new framework contracts which will become available in 2018.
Interpretation
5 Ares(2017)3717336
… improvements in the domain of conference organisation in meeting
Commission needs…
…
scic_aar_2017 final Page 12 of 111
Increased demand, led to an increase in the provision of interpretation by 4% in 2017…
Compared to 2016 the overall number of interpretation i-slots6 provided increased
by 4% from 194 877 to 202 089 i-slots.
The number of i-slots delivered to the Council increased by 9%, whereas the
interpretation output in the Commission decreased by 4%. With 63% of the total interpretation output in 2017, the Council was again by far DG Interpretation's biggest
customer. The Commission totalled 27% of the output, the EESC 6%, the CoR 2% and the two rotating Presidencies and other clients also accounted for 2%.
6 This figure refers to production i-slots only. For invoicing purposes, SCIC does not only count the time spent
in the booths (the "production" i-slot) but also the cost of last minute changes into the programme and the time
spent by interpreters on travelling.
180000
185000
190000
195000
200000
205000
2015 2016 2017
Overall number of i-slots provided
0
20000
40000
60000
80000
100000
120000
140000
2015
2016
2017
i-slots by Institution
… but real costs incurred are only partially offset by revenues
scic_aar_2017 final Page 13 of 111
As mentioned in the Key Performance Indicators, in 2017 DG Interpretation invoiced the
i-slot at 465€ whereas the actual cost was 507€. This means that 91.7% of the i-slot
cost was covered by the i-slot price in 2017, compared to 92.4% in 2016.
This results from delays for the inclusion of the unexpected 2016 salary adjustment into
the i-slot price, the uneven patterns of demand and a broader use of the freelance community to satisfy the increasing demand, especially with regard to certain languages.
A more detailed explanation can be found in Annex 12.
This highly successful result is the result of DG SCIC's commitment to providing high quality interpretation in all languages and at all levels of meetings for different internal
and external customers. DG SCIC interpreters are highly specialised professionals in
interpretation and linked activities. High interpretation quality is the result of a common effort which extends from succession planning, appropriate staffing and planning of
interpreters' teams to meeting preparation, terminology work and life-long learning.
The professional support for interpreters offered by DG Interpretation enabled staff
interpreters to add 27 passive languages and 4 active languages and ACIs to add 15 passive and 1 active language with SCIC support. 639.5 interpreter days were devoted to
language maintenance and 803 to thematic and professional skills learning.
DG Interpretation contributed at its level to the economic, political and cultural objectives of the EU as global actor, engaging and cooperating with international partners, providing
pedagogical assistance and support to develop interpretation capacity in partner countries and giving visibility to EU action in cooperation with the DGs in charge of
international cooperation (see annex 12).
In 2017, DG Interpretation also looked at ways to increase its standard setting role by
launching the required conceptual and project management work for an online,
interactive Knowledge Centre for Interpretation, which will be rolled out in 2018. It also set up an internal Digital Transformation Task Force to monitor and explore
developments in the field of digital technologies relevant to the work of DG Interpretation and to enhance the services it offers and improve the technological environment in which
the DG operates and delivers its services in key areas such as interpretation, room management or conference organisation.
… 27 passive languages added by staff
…
… excellent results in the 2017 Customer Satisfaction Survey
90% customer satisfaction with the overall quality of interpretation (2017 Customer Satisfaction Survey).
…
… and DG Interpretation gave visibility to EU action through flanking international
cooperation projects in capacity building in China, Macao, Cuba and in Africa.
…
scic_aar_2017 final Page 14 of 111
2. ORGANISATIONAL MANAGEMENT AND INTERNAL CONTROL
This section answers to the question how the achievements described in the previous
section were delivered by the DG. This section is divided in two subsections.
The first subsection reports the control results and all other relevant information that
support management's assurance on the achievement of the financial management and internal control objectives. It includes any additional information necessary to establish
that the available evidence is reliable, complete and comprehensive; appropriately covering all activities, programmes and management modes relevant for the DG.
The second subsection deals with the other components of organisational management: human resources, better regulation principles, information management and external
communication.
2.1 Financial management and internal control
Assurance is an objective examination of evidence for the purpose of providing an assessment of the effectiveness of risk management, control and governance processes.
This examination is carried out by management, who monitors the functioning of the internal control systems on a continuous basis, and by internal and external auditors. Its
results are explicitly documented and reported to the Director-General. The reports produced are:
- the contribution of the director in charge of Risk Management and Internal Control
(RMIC), including the results of internal control monitoring at the DG level;
- the reports by AOSDs;
- the limited conclusion of the internal auditor on the state of control and the observations and recommendations reported by the Internal Audit Service (IAS);
- The observations and the recommendations reported by the European Court of Auditors (ECA).
These reports result from a systematic analysis of the evidence available. This approach provides sufficient guarantees as to the completeness and reliability of the information
reported and results in a complete coverage of the budget delegated to the Director-
General of DG Interpretation.
This section reports the control results and other relevant elements that support
management's assurance. It is structured into (a) Control results, (b) Audit observations and recommendations, (c) Effectiveness of the internal control system, and resulting in
(d) Conclusions as regards assurance.
scic_aar_2017 final Page 15 of 111
2.1.1 Control results
This section reports and assesses the elements identified by management that support
the assurance on the achievement of the internal control objectives7. The DG's assurance
building and materiality criteria are outlined in the AAR Annex 4. Annex 5 outlines the main risks together with the control processes aimed to mitigate them and the indicators
used to measure the performance of the control systems.
DG Interpretation operates under administrative expenditure (Heading 5) implemented
under centralised direct management.
In 2017, DG Interpretation managed:
55M€ of expenditure (payments made), out of which over 94% were related to interpretation expenditure (remuneration of non-permanent interpreters, or ACIs)
and supporting activities (interpreters' professional support, grants, IT).
In addition to that figure, 6.07M€ was co-delegated expenditure related to conferences and events organisation on behalf of other Commission services;
Of the 101.5M€ cashed revenue reported in Annex 3, Table 7, 89M€ of the revenue was
collected from external clients. 85.9M€ result from the provision of interpretation services, and 3.1M€8 result from other services delivered in 2017. From the 85.9M€
revenue, 48.2M (47.5%) were assigned to the PMO. The 12.5M balance corresponds to the taxes on revenue collected on the payment of the salaries ACIs recruited by the 3
European interpretation services and paid on their behalf by SCIC. Those 12.5 M€ are
part of the general revenue of the European Union.
In total the interinstitutional payment office processed ACI payments for a total value of
97.3M€. 46.1M correspond to SCIC contracts, paid from SCIC budget, plus 2.3M€ for the ACIs recruited by the court of Justice and 48.9M€ for the ACIs recruited by he European
Parliament. Such payments are made from "Hors Budget" accounts financed from advances paid by these Institutions. All payments to ACIs are processed by applying the
same internal controls regardless the recruiting Institution.
7 Effectiveness, efficiency and economy of operations; reliability of reporting; safeguarding of assets
and information; prevention, detection, correction and follow-up of fraud and irregularities; and adequate management of the risks relating to the legality and regularity of the underlying transactions, taking into account the multiannual character of programmes as well as the nature of the payments (FR Art 32).
8 The remaining amount corresponds to amounts collected as domain leader for meeting rooms with a
view to refurbish some agencies's meeting rooms. As SCIC does not have a cost model yet to finance such non-baseline services, SCIC simply relies on external service providers to perform those tasks.
scic_aar_2017 final Page 16 of 111
Coverage of the Internal Control Objectives and their related main indicators
Control effectiveness as regards legality and regularity
DG Interpretation has set up internal control processes aimed to ensure the adequate
management of the risks relating to the legality and regularity of the underlying transactions, taking into account the nature of the financial transactions concerned.
DG Interpretation has two separate financial circuits for its expenditure, one decentralised in Unit SCIC.B4, Joint Management of Conference Interpreting Agents, for
the remuneration of ACIs and the other, centralised in Unit SCIC.C2, Budget and Financial Management, for all other expenses, regardless of their funding (basic
appropriations, revenue, co-delegations, crossed sub-delegations and hors budget accounts). For both circuits, all financial transactions are subject to the 4-eyes principle
via ex ante controls supported by checklists.
Regular ex post controls are performed in areas where ex-ante control is decentralised, i.e. expenses related to non-local ACIs managed by SCIC.B4 (travel and accommodation,
ad hoc allowances, on a sample-based basis) and those with a higher risk of errors or irregularities, in particular grants, on an ad-hoc basis.
Whatever the concerned activity or nature of financing (budgetary appropriations, assigned revenue, subdelegated or codelegated funds), the internal control system
applied to procurement operations is the same. Only for additional or specific types of transactions, additional measures to the standard internal control system in place are
taken and are described in this document.
For its 3 strands of activities, DG SCIC collects assigned revenue, along the lines set out in the charge back guidance annexed to the Commission's internal rules.
For all its activities, recovery orders are issued as soon as the conditions for their issuance are met. All revenue operations are subject to a number of ex ante controls
supported by checklists. The four eyes principle applies to all transactions. Specific additional controls are described below, where applicable.
The risks identified in the Internal Control Templates related to public procurement are effectively mitigated through ex-ante verifications covering 100% of the transactions.
All procedures regarding procurement are documented and 100% of the tender
documents of procedures above 15,000€ are reviewed by Unit C2, Budget and Financial Management and approved by the responsible AOSD before they are published. Tenders
are assessed by evaluation committees as foreseen by the Financial Regulation and the absence of conflicts of interest of the committees members is ensured. The control
activities in place and outlined in Annexe 5 revealed no errors in 2017.
SCIC's procurement typology includes 50% of negotiated procedures, which is a
relatively high percentage compared to other Directorates-General. The underlying reason is that SCIC manages the organisation of conferences on budget lines co-
delegated by other DGs. In this area SCIC takes over services – and related procurement
procedures - that had previously been reported by the DGs when they were organising their conferences themselves.
Most negotiated procedures are low to very low value contracts needed to purchase very low value local services, such as hiring a photographer, or some speakers. In these
cases, the minimum competition requirements set out in the financial regulation are strictly observed. In total, negotiated procedures equated to only 2% when calculated
using the value of the contracts awarded which is by far below Commission average.
scic_aar_2017 final Page 17 of 111
On other occasions, DG Interpretation had to conclude contracts with a single economic operator for acquiring certain services in the area of conference organisation. This is in
line with Article 134.b of the Financial Regulations when, for reason of technical of
operational exclusivity, no open competition can be organised. In all cases, evidence of the exclusivity is fully documented. The rest of the purchases are based on framework
contracts concluded by DG Interpretation (conference organisation, meeting rooms management) or by other DGs (IT contracts concluded by DIGIT, training contracts
concluded by DG HR, etc).
Following a cost benefit analysis, considering the limited number of transactions, the
intensive use of framework contracts, the structure of the financial circuits and the results of the ex ante controls, no ex-post controls are performed on procurement and
therefore there is no detected error rate for procurement transactions.
SCIC public procurement procedures were audited by the Internal Auditor in 2016 and it
was concluded that the internal control system in place in DG Interpretation for the
procurement process provides reasonable assurance regarding its compliance with the Financial Regulation and its Rules of Application as well as its efficient and effective
management.
In 2017 DG Interpretation conducted 50 different accounting controls on a monthly,
quarterly or yearly basis in the area of expenditure, pre-financing, assets, guarantees and income, which we complemented with an ad-hoc control at the end of the year
examining commitments and contracts. As a result of them the DG performed 80 corrections, out of which 25 had no financial impact on financial statements. The global
impact of corrections with a financial impact represents 0.06% of the total financial
statements, which is well below 2% materiality threshold. In addition, DG Budget performed an assessment of the DG Interpretation accounting quality programme, result
of which the accounting risk for the DG was assessed as low9.
A simplified table supports this information:
Interpretation and linked activities
Expenditure
In order to support this activity, DG Interpretation manages a total budget of
51,928,427.84 € under direct centralised mode. The control objective is to ensure that
9 Ares (2017)5490017
scic_aar_2017 final Page 18 of 111
the residual error rate does not exceed 1% annually.
The budget for this ABB is distributed between
Staff expenditure (payment of ACIs, individual professional support actions,
mission expenses – 91.3% or 47,385,624.07€)
Procurement (7.5% or 3,905,240.15€in 2017) which includes expenditures
linked to IT and professional support
Grants (1.2% or 637,563.62€ in 2017), which cover scholarships and grants
awarded to students studying conference interpretation and to universities.
The bulk of expenditure is linked to the payment of ACIs. ACIs are employed when
needed by the DG on a day-by-day contract basis to ensure it can meet demand for interpretation and achieve its mission and strategic objectives.
Payments to ACIs are, for the most part, a fully automated and repetitive procedure, with all relevant data managed through a single, integrated information system (Management
of Interpretation and Meetings -MIM) which ensures a high level of data integrity.
Within this activity, the payment of some allowances and reimbursement of transport and accommodation costs of ACIs on mission is an area where fraud and/or errors could
occur with smaller, one-off payments. However, access to prepaid travel tickets, implementation of the APR system (web-based expenses claims for non-permanent
interpreters) and various automated checks considerably circumvent risk of error.
In all cases where reimbursements are paid to ACIs, 100% of all requests are subject to
an ex ante control before payment. They are also subject to random ex post controls (a sampling of 1.2% of payments in value), where the average error rate found is
continuously far under the materiality threshold, in 2017, this figure was 0.002%.
The other staff expenditure are either processed by PMO (mission expenses) or via the usual SCIC centralised financial circuit. Grants and procurement operations are also
processed by the Budget and Finance Unit, SCIC.C2.
The intrinsic risks associated with staff expenditure, procurement and grant management
expenditure managed by DG Interpretation are considered relatively low.
In terms of Grant Management, the application of evaluation and award criteria ensure
that only universities and students offering or starting courses for languages where there is an identified need, receive funding from the DG. The list of current priority language
profiles is provided for potential candidates and universities on the Interpreting for
Europe pages. Grants are awarded by the responsible AOSD, on the basis of announced evaluation and award criteria verified by a designated evaluation committee. Ad hoc ex
post controls are also carried out on some grants.
In line with the templates in Annex 5, no exceptions were registered for this area and the
DG received no complaints related to the grant procedure. The controls and monitoring activities in place and outlined in Annex 5 have revealed no errors and have remained
consistent with regards to previous years.
Revenues
For the provision of interpretation services, DG Interpretation has set up a uniform and
automatic compensation mechanism with a unique compensation rate, the “i-slot”. The i-slot corresponds to the average cost of a half day of an interpreter, making the
compensation system transparent for our fee-paying users.
In 2017, DG Interpretation banked 85.9M€ in revenues from its fee-paying
scic_aar_2017 final Page 19 of 111
interpretation users. Revenue collection is supported by the DG's single, integrated management system and is monitored on a daily basis by SCICView (the DG's reporting
and monitoring tool). Errors detected in the course of the invoicing procedure are
corrected immediately.
In accordance with the inter-institutional charge back guidance, 48.2M€ of the revenue
was assigned to PMO to compensate for the salary of interpreters having worked for the other Institutions.
Support to Meetings, Conferences and Events
Expenditure
The budget managed by the DG in 2017 for its other strategic activities (Support to
Meetings, Conferences and Events), is €3.1M and is used for procurement related to SCIC's role as corporate domain leader for meeting rooms management.
In addition, in 2017, the amount of 6.1 M€ was entrusted to DG Interpretation under the
co-delegation regime for the organisation of conferences on behalf of other Commission services, which is related to its role as corporate domain leader for conference
organisation.
Revenue
In 2017, SCIC concluded a limited number of agreements in order to build or refurbish meeting rooms belonging to EU Agencies. Once the agreement was signed, a recovery
order was issued to collect the amounts needed to purchase the equipment and outsource the installation of the meeting room, SCIC's task being mostly to give guidance
and technical support in the process. Ordering of equipment and installation services
starts only once the revenue is cashed, as SCIC does not have enough resources to frontload such expenses.
In 2017 SCIC did not charge back the use of its own resources.
Overall Conclusion
In conclusion, the analysis of the available control results, the assessment of the weaknesses identified and that of their relative impact on legality and regularity has not
unveiled any significant weakness which could have a material impact as regards the legality and regularity of the financial operations and it is possible to conclude that the
control objective as regards legality and regularity has been achieved.
In the context of the protection of the EU budget, at the Commission's corporate level, the DGs' estimated overall amounts at risk and their estimated future corrections are
consolidated.
For DG Interpretation, the estimated overall amount at risk at payment10 for the 2017
payments is 0.3M€. This is the AOD's best, conservative estimation of the share of relevant expenditure11 during the year (60.97M€) that might not be in conformity with
the applicable contractual and regulatory provisions at the time the invoice is registered into SCIC's accounts.
10 In order to calculate the weighted average error rate (AER) for the total relevant expenditure in the
reporting year, the detected, estimated or other equivalent error rates have been used.
11 "Relevant expenditure" during the year = payments made, minus new pre-financing paid out,plus previously paid pre-financing which was cleared in the reporting year.
scic_aar_2017 final Page 20 of 111
Given the nature of its expenditures (mostly remunerations), all errors detected by ex post controls are corrected immediately. The residual error rate (based on the guidance
from DG BUDGET) is 0.5%. However for the main expenditure for DG SCIC, the
payments of freelance contracts, the actual detected error rate for 2017 is 0.002% on 85% of the total budget. The average of the two rates is 0.0767% of the total payments.
This leads to the estimated overall amount at risk at closure of 0.3M€ based on an 0.5% error rate. The same figure based on a 0.0767% error rate is 0.047M€.
scic_aar_2017 final Page 21 of 111
Estimated overall amount at risk at closure
DG
Interpretati
on
"payments
made" (FY;
m€)
minus newa
prefinancing
[plus
retentions
madeb] (in
FY; m€)
plus clearedc
prefinancing
[minus
retentions
releasedb and
deductions of
expenditure
made by MS]
(in FY; m€)
= "relevant
expenditure"d
(for the FY; m€)
Average Error
Rate (weighted
AER; %)
estimated
overall
amount at
risk at
payment
(FY; m€)
Average
Recoveries
and
Corrections
(adjusted
ARC; %)
estimated
future
corrections
[and
deductions]
(for FY; m€)
estimated
overall
amount at
risk at
closuree
(m€)
(1) (2) (3) (4) (5) (6) (7) (8) (9) (10)
Programme,
Budget
Line(s), or
other relevant
level f
as per AAR
annex 3,
table 2 f
as per ABAC
DWH BO
report on
prefinancing f
-
as per ABAC
DWH BO
report on
prefinancing f
= (2) –/+ (3) +/-
(4)
Detected error
rates, or
equivalentg
estimates f
= (5) x (6) based on 7Y-
avg historic
H-ARC (as
per ABAC
DWH BO
report on
corrective
capacity)
= (5) x (8) = (7) – (9)
Total budget
where SCIC is
AOSD for
payments
61.07m€12 0.7m€ 0.6m€ 60.97m€ 0.5%13 0.3 0% 0 0.3m€
a New PF actually paid by out the DG itself during the FY (i.e. excluding any PF received as transfer from another DG)
12 The outstanding pre-financing amount is already included in the figure in table 2, Annex 3
13 Following the recommendation given by DG BUDGET, DG Interpretation has used a conservate estimate for the error rate of 0.5%, although the actual detected error rate is
0.002% on 85% of the DG's budget related to the payments of non-permanent interpreters’ remunerations. Taking this into consideration, the final overall amount at risk
amounts 0.047m€.
scic_aar_2017 final Page 22 of 111
Cost-effectiveness and efficiency
Based on an assessment of the most relevant key indicators and control results,
DG Interpretation has assessed the cost-effectiveness and the efficiency of the
control system and has reached a positive conclusion.
Cost-effectiveness of controls
The principle of efficiency concerns the best relationship between resources
employed and results achieved. The principle of economy requires that the resources used by the institution in the pursuit of its activities shall be made
available in due time, in appropriate quantity and quality and at the best price.
DG Interpretation quantifies the costs of the resources and inputs required for
carrying out the controls described in annex 5 and estimates, in so far as
possible, their benefits in terms of the amount of errors and irregularities prevented, detected and corrected by these controls.
The mandatory indicators for grants are shown in the table below and compared to previous years, DG SCIC has maintained its performance in this area:
Indicator Results 2017
Ex-ante
controls
Average time to inform applicants (art 128 FR)
44 days
Average time to sign grant agreements or
notify grant decisions (art 128 FR)
20 days
Average time to pay (% on time) (art 92
FR)
10 days (100% on
time)
Average evaluation benefit per proposal Non–quantifiable (preventive)
Average project management benefit per
proposal
Non–quantifiable
(preventive)
Average cost of ex-ante control 617,2€
There are no systemic ex-post controls for grants
With most interpretation users, DG Interpretation has concluded Service Level
Agreements (SLAs), in particular where there is a significant volume or frequency of the use of interpretation. The fee paying users have an access to a portal with
all information related to their meeting requests and subsequent compensation calculation. Transparency and automation of the system allows for an effective
and timely collection of the payments for the provision of interpretation services. On 31/12/2017, SCIC had 20 SLAs in place with other Institutions, Agencies or
Member States for the provision of interpretation. Except those with the Presidencies, such agreements have no limitation in time.
Depending on the details of the SLA, interpretation is paid per month or per
quarter. As assigned revenue represent 2/3 of the financing of the interpretation
scic_aar_2017 final Page 23 of 111
activity, it is essential to ensure that at least one quarter of the yearly assigned
revenue is already collected at the start of the year and that, all the year long, revenues are cashed regularly. The average time from the issuing of recovery
orders and their cashing for the 3 most important service users is therefore a
very important indicator of effectiveness. It was 58.9 days, below SCIC target of 65 days on average.
To manage conferences under codelegation regime, SCIC also concluded agreements with 20 Commission DGs. When the DG needs to organise a
conference, it can agree with SCIC to entrust it with the logistical and financial management of the event. In this case, corresponding funds for the organisation
the conference are transferred to DG Interpretation who manages them as AOD. As conferences are funded via codelegations, no recovery orders are issued for
this activity.
SCIC has also concluded framework agreements allowing it to assist 6 DGs and Agencies to build or refurbish their meeting rooms. Once a specific project is
agreed, a specific agreement specifies the details of the project, especially its schedule, the roles and responsibilities of the parties and its cost. Once a specific
agreement is signed, the corresponding recovery order is issued. As mentioned earlier, for the time being, only the external costs are charged to the DGs or
agencies.
The data for Average Payment Times displayed in Table 6, in Annex 3, does not
include payments to freelance interpreters. These payments are processed via
DG Interpretation's local system, Grif. This does not distort average figures as these payments are subject to specific deadlines.
In terms of overall control cost-effectiveness, the cost of FTE staff involved in financial management and control of the grant programme represents 9.6% of
the total value of operational payments made. This has decreased from the previous year due increased interpretation activities and the budget for co-
delegated conferences in 2017 doubled compared to 2016.
Compared to other DGs, relative cost of control can appear to be high for
individual processes (such as Grant Management) but this is due to the fact that
irrespective of the (very low) individual value of transactions, they are subject to the same control rules (eg 4 eyes principle cannot be modulated according to the
transaction value) and to the same number of encoding data.
Cost of controls
Total
Cost of Controls
Payments
made/ Revenue
Payment of ACI Contracts (consisting of processes 1 & 2 , Annex 5)
1,841,480€
Totals Costs 1,841,480€ 51.9M€ 3.55%
Revenue Collection 308,880€
Total Costs 308,880€ 89M€ 0.35%
Grant Management
Stage 1 – Programming, evaluation and selection
214,500€
scic_aar_2017 final Page 24 of 111
Stage 2 – Contracting 214,500€
Stage 3 – Monitoring the execution (financial circuits)
159,016€
Total ex-ante = 588,016€
Total ex-post = No ex-post controls €0
Total costs = 588,016€ 0.64M€ 92%
Direct Procurement
Stage 1 – Programming, evaluation and selection
2,019,050€
Stage 2 – Contracting 983,840€
Stage 3 – Monitoring the execution (financial circuits)
574,860€
Total ex-ante = 3,577,750€
Total ex-post = No ex-post controls 0
Total costs = 3,577,750€ 10M€ 35.78%
• Control efficiency
DG Interpretation quantifies the costs of the resources and inputs required for carrying out the controls described in annex 5 and estimates, in so far as
possible, their benefits in terms of the amount of errors and irregularities prevented, detected and corrected by these controls (as per Annex 3, table 8). In
addition, there are also a number of non-quantifiable but undeniable benefits resulting from the controls operated. DG Interpretation considers that the
necessity of these controls is undisputable, as the totality of the appropriations
would be at risk if the above controls were not in place.
In 2017 1510 payments were processed in ABAC within an average 17.09 days
excluding suspension periods. The Average Payment Time includes an average of 4.9 days for the processing time of the payments in the horizontal services.
Statistics report that 64 payments were late (4.24%). 12 were related to a specific type of processing where central service take on average 12.6 days for
processing them and 19, from transactions on codelegated budget lines. Experience has shown that for the latter, it is often the result of the payment of
invoices received at the very end of the year and payable from payment
appropriations. To avoid loosing payment appropriations, SCIC requests their transfer only once the invoice is ready for payment and at the beginning of the
year, with the accounting closure operations, transfers may take a bit longer.
Conclusion(s)
Based on the review undertaken, controls are cost-effective and efficient, no revisions were considered needed.
Fraud prevention and detection
DG Interpretation has developed and implemented its own anti-fraud strategy
since 2014, elaborated on the basis of the methodology provided by OLAF. DG
scic_aar_2017 final Page 25 of 111
Interpretation conducted an in-depth review of the Anti-fraud risks assessment
and updated its Anti-Fraud Strategy in 2015 and found no indication of an increased risk of fraud. With these elements in mind, the DG focussed on
updating the Ethics Guide for all staff and raising awareness on key issues
through various lunchtime sessions. Another review of the Anti-fraud Strategy was started in 2017 and a complete report will be published in 2018.
The DG's anti-fraud strategy highlights the fact that the nature and individual value of the transactions, the types of contracting modalities and the internal
organisation of DG Interpretation (systematic segregation of duties, effective automated monitoring tools, etc) result in a low level of risk exposure to fraud.
The main focus is on the coordination between the DG's ethics policy and its anti-fraud strategy and to ensure that the two sectors continue to work towards
producing a comprehensive and coherent message for all stakeholders, especially
staff and freelance interpreters assigned to sensitive meetings or possibly witness of unethical behaviours from participants. As the central ethics training is not
sufficiently attended by newcomers, and considering the specific needs of the interpreters'population, SCIC has now decided to develop a specific training
material to better cover its needs.
No instances of fraud have been detected or reported in 2017. Each time a
possible risk of fraud is identified as part of regular controls, especially in the area of financial management, remedial actions are adopted. For instance in
2017, the finance unit and the operational unit in charge of professional
development have further clarified the nature of some supporting documents to be accepted as basis to justify cost claims, since the AOSDs for payments had
found that on certain occasions, documents were not sufficiently convincing.
Other control objectives: safeguarding of assets and information,
reliability of reporting
Due to the fact that DG Interpretation assumes a role similar to EPSO, PMO and HR, and therefore includes a number of their responsibilities for ACIs, the DG is
obliged to hold a great deal of personal information of the ACIs.
The DG is fully compliant with current Data Protection legislation14 and has ensured that sensitive information is protected and processed according to the
Notification in the Data Protection Register.
DG Interpretation manages tangible assets for operational purposes. The
tangible assets managed are the audio-visual equipment required in meeting rooms.
DG Interpretation has implemented multiple internal procedures in order to safeguard these assets. DG Interpretation tracks the location of all items
purchased as soon as they are delivered to its warehouse, after its installation
and any subsequent movement, for example, when they are sent for repair.
Since the DG has been designated domain leader for meeting rooms
management, it is responsible for the inventory of all audio visual equipment
14 45/2001
scic_aar_2017 final Page 26 of 111
used in meeting rooms. DG Interpretation found that purchased equipment was
in the past not always registered in the Commission inventory. The use of the corporate e-procurement suite used for the management of the framework
contract should simplify all DGs to introduce equipment bought via the audio
visual framework contract to be added in the centralised inventory. The centralisation of all audio visual acquisitions and support services in DG
Interpretation should further help improving the audio visual inventory.
DG Interpretation performs an bi-annual tracking exercise of inventoried items in
meeting rooms managed by SCIC to ensure the maximum number of much items are identified.
Quantity controls of items in the DG Interpretation warehouse on assets (equipment, etc.) or on non-assets (consumables) are made regularly in order to
ensure minimum disruptions in meeting rooms.
scic_aar_2017 final Page 27 of 111
2.1.2 Audit observations and recommendations
This section reports and assesses the observations, opinions and conclusions reported by auditors in their reports as well as the limited conclusion of the
Internal Auditor on the state of control, which could have a material impact on
the achievement of the internal control objectives, and therefore on assurance, together with any management measures taken in response to the audit
recommendations.
During the course of 2017, no new audits were performed by the Internal Audit
Service in DG Interpretation and the Court of Auditors did not report any observation as part of its DAS controls.
The DG had outstanding recommendations resulting from the IAS 2016 audit on the procurement process. Based on the results of the audit, the IAS concluded
that the internal control system in place in DG Interpretation for the procurement
process provides reasonable assurance regarding its compliance with the Financial Regulation and its Rules of Application as well as its efficient and
effective management except for one very important finding "Weaknesses in the procurement procedures", a compliance issue (observation number 1). The three
audit findings made by the IAS, (one very important and two important) were closed by management in the end of 2016 and during 2017. The IAS is currently
carrying out a follow-up engagement to assess the effective implementation.
With regards to the 2013 Audit for technical support provided to meetings and
conferences, carried out by the former IAC in 2013 and followed up by the IAS,
four recommendations remained outstanding at the beginning of 2017, one of which was rated as very important and the others, as important.
In 2016, the IAS acknowledged that the implementation of the audit recommendations was largely affected by Communication on Synergies and
Efficiencies Review, which explicitly clarified DG Interpretation's mandate with respect to events and meeting room management, including the assignment of
the ownership of the corporate process to DG Interpretation. The IAS considered that the original recommendation and related risks are still relevant but the
cirucmstances changed following the Synergies and Efficiency Review and the
target dates have bee superseded. Based on these audit conclusions, a new action plan addressing the outstanding issues was drawn up in 2016.
All four outstanding recommendations in the new action plan were closed by management in accordance with the dates set in the new action plan, i.e. by the
end of 2017 or even before. The actions were:
Establish a list of meeting rooms that will be managed by DG
Interpretation (recommendation no. 2, rated 'important') Define and validate a service management plan (recommendation no. 3,
rated 'very important')
The use of the IT tool for this process will need to be defined (recommendation no. 4, rated 'important')
A quality assurance and improvement programme for the provision of the technical services will need to be developed (recommendation no. 5, rated
'important').
scic_aar_2017 final Page 28 of 111
Conclusion of the Internal Auditor on the state of internal control in DG
SCIC15
Based on all work undertaken by the IAS in the period 2015-2017, namely,
Audit on the procurement process (2016)
and taking into account that:
management has adopted action plans to implement recommendations
made by the IAS in 2015-2017 and accepted by management and which the IAS considers adequate to address the residual risks identified by the
auditors,
the implementation of these plans is monitored through reports by
management and follow-up audits by the IAS,
management has assessed a number of action plans as implemented
which have not yet been followed up by the IAS, and,
management has not rejected any 'critical' and/or 'very important' recommendations.
The Internal Auditor has concluded that the internal control systems audited are effective.
15 IAS contribution to the 2017 Annual Activity Report process (ARES (2018)
752145 - 08/02/2018
scic_aar_2017 final Page 29 of 111
2.1.3 Assessment of the effectiveness of the
internal control systems
The Commission has adopted an Internal Control Framework based on
international good practice, aimed to ensure the achievement of policy and operational objectives. In addition, as regards financial management, compliance
with the internal control framework is a compulsory requirement.
DG Interpretation has put in place the organisational structure and the internal
control systems suited to the achievement of the policy and control objectives, in accordance with the standards and having due regard to the risks associated with
the environment in which it operates.
The assessment of the effectiveness of internal control systems in the DG has
been carried out through a review of the register of exceptions and the risk
assessment exercise in the DG. There was no internal control survey (ICAT) this year due to the implementation of the Commission's new Internal Control
Framework. This is planned for 2018.
The internal control assessment of the Director in charge of Risk management
and Internal Control (RMIC) examined all areas linked to the differentInternal Control Standards such as the follow-up of audits, implementation of the internal
control standards and a review of the actions taken related to the DG's anti-fraud strategy. No systemic weaknesses were identified or major improvements
required in the DG's internal control system
DG Interpretation has assessed its internal control system during the reporting year and has concluded that it is effective and that the components and
principles are present and functioning as intended.
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2.1.4 Conclusions as regards assurance
This section reviews the assessment of the elements reported above (in Sections 2.1.1, 2.1.2 and 2.1.3) and draws conclusions supporting the
declaration of assurance and whether it should be qualified with
reservations.
The information reported in Section 2.1 stems from the results of management
and auditor monitoring contained in the reports listed. These reports result from a systematic analysis of the evidence available. This approach provides sufficient
guarantees as to the completeness and reliability of the information reported and results in a comprehensive coverage of the budget delegated to the Director-
General of DG Interpretation.
DG Interpretation's assessment on legality and regularity of the activities it
manages returns a low level of error. Given the nature of its expenditures
(mostly remunerations), all errors detected by ex post controls are corrected immediately. The residual error rate is 0.5%.
DG Interpretation has implemented all possible suitable ex-ante and ex-post controls, to the extent that they remain cost-effective and do not affect the other
policy/programme objectives nor abandon the financial scheme.
Therefore, under the prevailing risk environment and from a managerial point of
view, DG Interpretation's AOD can sign the Declaration.
Overall Conclusion
In conclusion, management has reasonable assurance that, overall, suitable controls are in place and working as intended; risks are being
appropriately monitored and mitigated; and necessary improvements and reinforcements are being implemented. The Director General, in his
capacity as Authorising Officer by Delegation has signed the Declaration of Assurance.
scic_aar_2017 final Page 31 of 111
2.1.5 Declaration of Assurance
scic_aar_2017 final Page 32 of 111
DECLARATION OF ASSURANCE
I, the undersigned,
Director-General of DG Interpretation,
In my capacity as authorising officer by delegation,
Declare that the information contained in this report gives a true and fair view16.
State that I have reasonable assurance that the resources assigned to the
activities described in this report have been used for their intended purpose and
in accordance with the principles of sound financial management, and that the
control procedures put in place give the necessary guarantees concerning the
legality and regularity of the underlying transactions.
This reasonable assurance is based on my own judgement and on the
information at my disposal, such as the results of the self-assessment, ex-post
controls, the limited conclusion of the Internal Auditor on the state of control
and the observations of the Internal Audit Service for years prior to the year of
this declaration.
Confirm that I am not aware of anything not reported here which could harm the
interests of the Commission.
Place: Brussels., date: 27/03/2018
(e-signed)
Florika Fink-Hooijer
16 True and fair in this context means a reliable, complete and correct view on the state of
affairs in the DG/Executive Agency.
scic_aar_2017 final Page 33 of 111
2.2 Other organisational management dimensions
In 2017, DG SCIC has put in place a wide interinstitutional framework
contract for audiovisual equipment and services worth EUR 60 million.
With this new framework contract in place, DG SCIC estimates 10% of savings regarding audiovisual expenditures in the Commission. The framework contract
will also contribute to further professionalising the audio-visual services offered to line DGs.
For extensive reporting on all components (Human Resource Management, Information Management and External Communication Activities), please refer to
Annex 2.
2.2.1 Human resource management
2.2.2 Better regulation
n/a
2.2.3 Information management aspects
2.2.4 External communication activities
scic_aar_2017 final Page 34 of 111
ANNEXES
ANNEX 1: Statement of the Resources Director
“I declare that in accordance with the Commission’s communication on
clarification of the responsibilities of the key actors in the domain of internal
audit and internal control in the Commission17, I have reported my advice and
recommendations to the Director-General on the overall state of internal control
in the DG.
I hereby certify that the information provided in Section 2 of the present AAR
and in its annexes is, to the best of my knowledge, accurate and complete.”
Date: Brussels, 27/03/2018
(e-signed)
Gianluca Pecchi
17 Communication to the Commission: Clarification of the responsibilities of the key actors in
the domain of internal audit and internal control in the Commission; SEC(2003)59 of 21.01.2003.
scic_aar_2017 final Page 35 of 111
ANNEX 2: Reporting – Human Resources, Better
Regulation, Information Management and External
Communication
Objective: The DG deploys effectively its resources in support of the delivery of
the Commission's priorities and core business, has a competent and engaged
workforce, which is driven by an effective and gender-balanced management and
which can deploy its full potential within supportive and healthy working
conditions.
Indicator 1: Percentage of female appointed to their first management post by
end of 201918
Source of data: HR dashboard
Baseline
(2015)
1post
Target
(2020)
6 posts%
Latest known results
(2017)
2 posts
Further to the overall female
representation in middle
management jobs, SCIC has a
target to appoint 6 women to
their first management post by
end of 2019. At the end of 2017
this target was fulfilled to 33%,
meaning that 2 women were
selected for their first middle
management position between
1/5/2017 (implementation of the
Communication on the quota)
and the end of the year. In
addition, the selection procedure
for a third appointment was
finalised in 2017 as well as 1
person who had already been
appointed before an official cut-
off date
DG SCIC has reached its target in 2017 and beyond for female middle managers
and benefits from a gender-balanced management. Female ADs (69% of AD staff) were encouraged to take up managerial functions both on middle
management and senior management levels. The actions included formal and informal learning paths as well as appointment to AD interim managerial posts,
when available.
18 SEC(2017)359 final
scic_aar_2017 final Page 36 of 111
The selection panels followed the corporate guidelines on equal opportunity.
Indicator 2 : Percentage of staff who feel that the Commission cares about their
well-being
Source of data: Commission staff survey
Baseline (2015)
43.3%
Target
(2020)
50%
Latest known results
(2016)
45%
SCIC's 2016 staff survey result is 10% above the Commission average. After the survey DG HR launched a Health and Wellbeing Action Plan for 2017-2020 which
identified 77 actions at corporate level and which aims to increase the health and wellbeing of staff. The corporate action plan includes new and existing initiatives,
many of which will be adapted or increased. The HR AMC promotes corporate initiatives to SCIC staff, also initiates local SCIC activities and is in regular
contact with the BC team to liaise on the needs of the DG.
Indicator 3: Staff engagement index
Source of data: Commission staff survey
Baseline
(2015)
74.2%
Target
(2020)
75%
Latest known results
(2016)
74%
Indicator 4: Average number of passive languages and retours per interpreter
Source of data: SCICview
Baseline
(2015)
4.2
Target
(2020)
4.2
Latest known results
(2017)
Main outputs in 2017:
Description Indicator Target Latest known
results
(situation on
31/12/2017)
Equal opportunities (female representation in middle management)
Maintain the current
balanced representation rate
Representation rate 50% 55.9%
Well-being of staff Highlight the local
fit@work actions
Well-being rating in
Staff survey
Over 50% Next staff survey in October 2018.
Smooth transition to a
new office
Timely information
on leaving B100
100% 100%
Prior to the move staff was regularly
scic_aar_2017 final Page 37 of 111
accommodation informed on their
new office space in various forms (
twice at DG breakfasts, mails
etc.). In addition a special Q&A session
between SCIC staff and OIB was
organised by SCIC
to present the new building, available
services nearby and timing.
Revamping DG
Interpretation's web
presence by better presenting its services
offered (interpretation, conference
organisation and room management)
Launch of the project Delivery by mid-
2017
Project launched
and ready for
implementation by mid 2018.
Available information relating
to conference organisation have
been improved and offer a more
complete view of
the integrated services offered by
the DG
Staff engagement All-staff event as follow up to reflection
groups
Percentage of staff who participate
40% 25% Follow up to the All
Staff day given on
SCICnet, in dedicated meetings
at RD and MM level. Awareness week on safety/security,
including ethics,
business continuity, IT and cyber security,
access to information, etc.
Satisfaction level of participants
85% 80% Topical and
interesting lunch
time training sessions provided
by HR, DS, medical service, also from
other institutions. All information
made available for all staff on SCICnet
and dedicated
information mail to all staff.
Strengthening of the
information flow and understanding of the
cross-cutting priorities
of the DG
Level of positive
responses in Staff Survey
75% Next Staff survey to
be organised in October 2018.
scic_aar_2017 final Page 38 of 111
Strengthening of the
practice of "rotateurs" (staff interpreters
working part of their time in administrative
units) in order to widen their
professional perspectives and
motivation
Percentage of
rotateur posts filled
100% 100%
Professional support for interpreters Further reflection on
the possibility of creating a single
platform for DG Interpretation’s
e-learning tools and
activities.
Report by the
Reflection Group on e-learning and how it
feeds into the new Knowledge Centre
Delivery
(progress towards new platform in the
Knowledge Centre).
Completed
Succession planning
Adequate succession planning via the work
of the MARS group allowing for better
targeting of future
interpreter recruitments and
defining priorities for language learning
A list per interpreting unit of possible
departures and effects on language
coverage in the unit
23 lists Delivered. There is also a dynamic
summary MARS table which
indicates the ideal
range of permanent interpreter posts
per unit, follows up the evolution and
suggests required action.
In order to support the well-being of staff in terms of improving the internal communication channels, a new version of SCICnet, the DG's intranet site
will be opened up to all DGs, using the Commission's corporate look and feel and offering an improved structure and content. This has been extensively discussed
with all key actors and users and is ready for implementation (first half of 2018).
During the year, interviews have been conducted with all staff, including middle
and senior managers, in order to explain the various tasks in SCIC and to give a face behind each activity, have been published on (almost) weekly basis.
On the "My Intracomm" pages of the DG which are currently open to the rest of
the Commission, the presentation of conference organisation services has been fully revised. Pages on room management will be revised together with
the interpretation pages in 2018.
In terms of succession planning, the MARS strategy document, approved in
March, established the optimal staffing levels for each language unit and presented an overview of the scheduled departures, the foreseeable shortfalls
and the actions to be taken in order to address the problems identified in the 23
scic_aar_2017 final Page 39 of 111
language units. Recruitments of Temporary Agents and EPSO competition
laureates proceeded subsequently throughout 2017 on this basis. In addition, and as agreed in the framework of this strategy, the organisation of 2 internal
competitions (1 general for interpreters and another for the post of HoU of the
Croatian unit) were requested to and agreed by DG HR. These competitions are scheduled to be launched in the course of 2018.
A. Financial Management: Internal control and Risk management
Overarching objective: The Authorising Officer by Delegation should have
reasonable assurance that resources have been used in accordance with the
principles of sound financial management, and that the control procedures put
in place give the necessary guarantees concerning the legality and regularity
of the underlying transactions including prevention, detection, correction and
follow-up of fraud and irregularities.
Objective 1: Effective and reliable internal control system giving the
necessary guarantees concerning the legality and the regularity of the
underlying transactions
Main outputs in 2017:
Indicator 1: Estimated residual error rate
Based on a risk analysis, ex-post controls are performed on a sampling basis on non-local ACIs expenditure
(which accounted for 68% of DG Interpretation’s executed budget in 2017). Since the control procedures
apply indinstinctly to them as well, ex-post controls are also performed on ACI payments made on behalf of
the European Parliament and the Court of Justice. All errors detected in the course of these ex-post controls
are corrected immediately.
Given the limited number of expenditure transactions (grants, procurement), DG Interpretation’s financial
circuits are based on systemic ex-ante controls rather than ex-post controls.
Source of data: Ex-post control report on ACIs transactions(Budget and Finance Unit)
Baseline
(2015)
Target Latest known results
(situation on 31/12/2017)
0.048% <1% 0.002%
Indicator 2: Estimated overall amount at risk for the year for the entire budget under the DG's
responsibility
The overall amount at risk is related to the expenditures under management of the DG. It does not include
the payments made on behalf of the European Parliament and the Court of Justice (around €20M).
Source of data: Ex-post control report (Budget and Finance Unit)
Baseline
(2015)
Target Latest known results
(situation on 31/12/2017)
25K 25K
Indicator 3: Estimated future corrections
Not relevant to the DG's activities which are not multi-annual
Main outputs in 2017:
scic_aar_2017 final Page 40 of 111
Description Indicator Target Latest known
results
(situation on
31/12/2017)
Implementation of
the ex-post control
strategy
Value of errors
detected on the
sampled transactions
<1% 0.002%
Updated internal
specific guidance for
financial transactions
Delivery and
distribution to staff
involved in financial
circuits
100% by October
2017
100% in February
2017
Objective 2: Effective and reliable internal control system in line with sound
financial management.
Indicator 1: Conclusion reached on cost-effectiveness of controls (Positive
conclusion = Yes)
Source of data: SCICView (on the basis of DG BUDG guidelines for the 2014 AARs)
Baseline (2015) Target Latest known result
Yes Yes Yes
Main outputs in 2017:
Description Indicator Target Latest known
results
(situation on
31/12/2017)
Awareness campaign
on the use of notes
of exception and
non-compliance
Delivery 100% by end
2017
New draft
procedure
principles
approved in RD in
December 2017,
Presentation to
management in
January 2018.
Objective 3: Minimisation of the risk of fraud through application of effective anti-fraud measures, integrated in all activities of the DG, based on the DG's anti-fraud
strategy (AFS) aimed at the prevention, detection and reparation of fraud.
Indicator 1: Updated anti-fraud strategy of DG Interpretation elaborated on the
basis of the methodology provided by OLAF Source of data: Budget and Finance Unit
Baseline (2015) Target Latest known result
Date of the last update: 2015
Yearly update To be published in Q1 2018
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Indicator 2: Fraud awareness is increased for target population(s) as identified in
the DG’s AFS
Source of data: DG's AFS
Baseline (2015) Target Latest known result
DG Interpretation’s management is informed of
updates of the AFS every year in a dedicated
management meeting
Dedicated management meeting once a year
To be presented to senior
management Q1 2018
Indicator 3: Regular monitoring of the implementation of the anti-fraud strategy
and reporting on its result to management
Source of data: Budget and Finance Unit
Baseline (2015) Target Latest known result
Before December 2016 Strategy implementation
monitored and DG Management informed
Presentation together with the
updated AFS strategy
Main outputs in 2017:
Description Indicator Target Latest known
results
(situation on
31/12/2017)
Annual update of the
anti-fraud strategy
Updated strategy 100% To be published in
Q1 2018
Compulsory training
for specific functions as identified in the
DG's AFS.
Training followed by
this population within 6 months from entry
in service
100%
Regular participation
in meetings of the anti-fraud network
Presence at meetings > 80% 83%
B. Information management
Objective: Information and knowledge in your DG is shared and reusable by other
DGs. Important documents are registered, filed and retrievable.
Indicator 1: Percentage of registered documents that are not filed
Source of data: Hermes-Ares-Nomcom (HAN) statistics
Baseline 2015 Target Latest known results
5.98% 5% 0.1%
Indicator 2: Number of HAN files readable/accessible by all units in the DG
scic_aar_2017 final Page 42 of 111
Source of data: Hermes-Ares-Nomcom (HAN) statistics
Baseline 2015 Target Latest known results
56% 70% 68.2%
Main outputs in 2017:
Description Indicator (e.g.
adoption by the
Commission;
completion)
Target date Latest known
results
(situation on
31/12/2017)
Paperless workflows
for administrative
documents
Percentage of
electronic dossiers
for administrative
notes that circulate
in the DG
100% end March
2017
Completed
Paperless workflows
for documents related
to calls for tender
Percentage of
electronic dossiers
for calls for tender
that circulate in the
DG
100% end July
2017
95% end of
December 2017
Paperless workflows
for budgetary
commitments and
payments files (except
blue ink documents)
Percentage of
electronic dossiers
for contracts and
payments that
circulate in the DG
>70% end July
2017
Pilot started in July
2017. All transactions
from 2 units fully paperless at year
end.
Revision of existing
notifications (retention
schedules and
conservation of
information) following
the revision of Data
Protection Regulation
1045/2001
Percentage of
notifications revised
100% by end of
2017
The revised Regulation (EC)
1045/2001 will not
be adopted until 2018; therefore
revisions of existing notifications will not
be possible. However, a study is
being undertaken looking at the
impact within the
DG which should be completed before
the end of 2018.
Monitoring of
awareness-raising
campaigns on
openness of
information to all –
request to all HoUs to
justify requests for
limited access for new
Percentage of files
open within DG
Interpretation
65% end of 2017 68.2%
scic_aar_2017 final Page 43 of 111
files created in 2017
Work has progressed in 2017 on the paperless circuits within the DG and all
administrative notes use the standard electronic workflows. The pilots will
continue in 2018 for the financial workflows.
C. External communication
Objective: Citizens perceive that the EU is working to improve their lives and
engage with the EU. They feel that their concerns are taken into consideration in
European decision making and they know about their rights in the EU.
Indicator 1: Percentage of EU citizens having a positive image of the EU
Eurobarometer measures the state of public opinion in the EU Member States. This global
indicator is influenced by many factors, including the work of other EU institutions and
national governments, as well as political and economic factors, not just the communication
actions of the Commission. It is relevant as a proxy for the overall perception of the EU
citizens. Positive visibility for the EU is the desirable corporate outcome of Commission
communication, even if individual DGs’ actions may only make a small contribution.
Source of data: Standard Eurobarometer (DG COMM budget)
Baseline: November 2014 Target: 2020 Latest known result
(2017)
Total "Positive": 39% Neutral: 37 %
Total "Negative": 22%
Positive image of the EU ≥ 50%
Main outputs in 2017:
Description Indicator Target date Latest know results
(situation on
31/12/2017)
Building audience on social
media channels (YouTube, Facebook, Twitter) and
preparing for specific
communication campaigns related to interpreter
training and selection
Increase in
followers 10% by end
of year - Voted 11th best
language themed Twitter account in the World, by
users of bab.la
- DG SCIC's Facebook page has the 7th most
engaged fans of all the Commissions 430 social
media accounts (with no paid advertising)
- 110,000 views of our content about the
European Development
Days - 120,000 views of our
content about EU Open Day
- The video with end of year wishes by
interpreters performed
scic_aar_2017 final Page 44 of 111
better than 90% of
content ever published on European Commission
corporate page (the video reached 421.738 people
and was viewed by 87.225 unique users.)
- Continued interaction with citizens, other DGs
and Commissioners
- Average 230,000 views of our content per month
across all 4 social media channels we use
Outreach activities, in
particular
Video on the history of interpretation as
contribution to celebration of 60 years
of the Treaty of Rome Participation in
exhibitions and fairs (Commission Open Day,
DRONGO Festival in
Utrecht, exhibition on the "History of
Interpretation in the EU")
Delivery
Delivery
100% by
February 2017
100% by
2nd half 2017
Video:SCIC decided, in
agreement with the two
partner institutions (EP and the CoJ) in the frame
of ECI, not to go further and to stop/postpone this
project.
Exhibitions/fairs: -Commission's Open
Doors' Day
-European Development Days
-Drongo Festival
Creation of exhibition on
the history, situation and
future trends of interpreting in
collaboration with our institutional partner
interpreting services
Organisation 100% SCIC decided, in
agreement with the two
partner institutions (EP and the CoJ) in the frame
of ECI, not to go further and to stop/postpone this
project.
On the occasion of the Commission's Open Doors' Day on 6th May, DG
Interpretation's Strategic communication and Outreach Unit organised a full day program with 15 presentations and with interpretation. DG Interpretation
participated in the European Development Days on 7th and 8th June in
Brussels, with a stand to present the PAMCIT programme (Pan-African Masters Consortium in Interpretation and Translation). DG SCIC participated at the
Drongo Festival (29-30 September) together with the other institutions (DG Interpretation also produced the back drop for the common stand).The
communication unit also organised the DG's end of the year event (8 December).
The strategic communication and outreach unit produced the following videos
which served both internal and external communication and have been published
scic_aar_2017 final Page 45 of 111
on different platforms (including the DG's intranet site and social media) and
presented at different events (Cuban reception, EDD etc.):
International cooperation, Cuba:
- Cooperation in interpretation between the European Union and the Republic of Cuba: the video presents the first ever cooperation
programme between the EU and the Republic of Cuba
International cooperation, PAMCIT/EDD: - Graduates success stories: a video collecting 13 individual
testimonies, subtitled;
- PAMCIT 2017: a video collecting interviews with the PAMCIT teachers, recorded during SCIC universities, subtitled
- European Development Days: a reportage about the PAMCIT stand at the European Development days, subtitled
- Training for trainers – PAMCIT: a video about the training offered
by the European Commission to trainers in partner universities, with the emphasis being put on the African trainers, subtitled
EU Presidency (both videos were also published on MyIntracomm and were among the most popular videos on the Commission's intranet):
- Estonian Presidency: a video presenting Estonia for interpreters in
view of the Estonian presidency - Bulgarian Presidency: based on same idea as the Estonian video
DG Interpretation as domain leader in conference organisation
- Video clip published on MyIntracomm promoting the DG among all other DGs as domain leader and service provider in conference
organisation
End of the year wishes - Video produced in cooperation with DG COMM and published on the
Commission's and SCIC's social media accounts
Annual communication spending (based on estimated commitments):
Baseline (2016): Target (2017):
Total amount spent Total of FTEs working on external communication
5,870.00€ 3,500.00 €
3,289.34 €
External and internal
communication have been
merged since 1st January 2017.
Head of Unit+1 AD+ 6 AST
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ANNEX 3: Draft annual accounts and financial
reports
Annex 3 Financial Reports - DG SCIC - Financial Year 2017
Table 1 : Commitments
Table 2 : Payments
Table 3 : Commitments to be settled
Table 4 : Balance Sheet Table 5 : Statement of Financial Performance
Table 5 Bis: Off Balance Sheet
Table 6 : Average Payment Times
Table 7 : Income
Table 8 : Recovery of undue Payments Table 9 : Ageing Balance of Recovery Orders Table 10 : Waivers of Recovery Orders
Table 11 : Negotiated Procedures (excluding Building Contracts)
Table 12 : Summary of Procedures (excluding Building Contracts)
Table 13 : Building Contracts
Table 14 : Contracts declared Secret
scic_aar_2017 final Page 47 of 111
Additional comments
Table 1: The level of commitments appears to be lower than available appropriations for Title 31. Authorised
appropriations include EUR 19.66 M of assigned revenue which was cashed during 2017 but not used to
finance activities during the year. The largest part of this amount is explained by the fact that as assigned
revenue represents 2/3 of the overall financing of SCIC's interpreting activities, it is used as an 'anticipé' on
revenue which is mostly consumed for long-term recruitment of freelance interpreters at the beginning of the
year. Another part (approximately EUR 3 M of revenue) was collected at the end of 2017 from Agencies,
other Institutions and DGs for the provision and installation of audio-visual and conference equipment, which
shall be implemented in 2018. Finally, EUR 3.7 M is related to the transfer of budgetary appropriations at the
end of the year in order to finance activities related to the implementation of the Synergies and Efficiency
communication on the 31.010703 and 31.010304 budget lines.
Table 2: As mentioned for the previous table, payment appropriations authorised for Title 31 include the same
amount of EUR 19.66 M of assigned revenue which was not committed in 2017. For Titles 01 and 13 the
payment appropriations equal zero, while the payment execution is correctly displayed as EUR 0.15 M and
EUR 0.06 M respectively. DG Budget was informed of the fact that the payment appropriations do not appear
in the report. They confirmed that this is due to the fact that payment appropriations were not transferred to
the appropriate level by the codelegating DGs. This issue shall be addressed for the reception of new
payment credits in 2018. Table 6: The data for Average Payment Times displayed in Table 6 do not include
payments to freelance interpreters that are processed via DG Interpretation's local system, Grif. This does not
distort average figures as these payments are subject to specific deadlines. It has to be noted that the figure
of 17.09 days for Average Payment Time includes an average of 4.92 days for the processing time in the
horizontal services. According to a detailed analysis of the report, for certain payments the latter figure was
significantly higher than the average. Out of the 64 payments noted as late 15 would have been made in time
if processing time of the horizontal services had not been higher than 5 days. It also has to be mentioned that
for the only invoice where a minor amount had to be paid as late interest the delay was due to a technical
problem in ABAC Assets.
Table 8: The amount initially mentioned in the 'Total undue payments recovered' field of the expenses budget
is not correct as it includes all credit notes which were requested to correct mistakes in invoices detected by
SCIC ex-ante controls, before any payment had been authorised.
Tables 7 and 9: There is a discrepancy between the figures shown in Table 7, column 7 ('Outstanding
balance'): EUR 282,464.20, and the one shown in Table 9, column titled 'Open Amount (Eur) at 31/12/2017':
EUR 24,582,464.20. This difference of EUR 24,300,000.00 is due to two non budgetary recovery orders
issued to the European Parliament and the Court of Justice enabling SCIC inter-institutional payment office to
pay the freelance interpreters recruited by these institutions. This is normal as the table 7 only refers to
BGUE, budget regime 'I' and table 9 includes CGUE as well.
scic_aar_2017 final Page 48 of 111
TABLE 1: OUTTURN ON COMMITMENT APPROPRIATIONS IN 2017 (in Mio €) Commitment
appropriations authorised
Commitments made %
1 2 3=2/1
Title 01 Economic and financial affairs
01 01 02 Economic and monetary union 0,16 0,16
100,00 %
Total Title 01 0,16 0,16 100,00%
Title 02 Internal market, industry, entrepreneurship and SMEs
02 02 01 Administrative expenditure of the 'Internal market,
industry, entrepreneurship and SMEs' policy area
0,09 0,09 100,00 %
Total Title 02 0,09 0,09 100,00%
Title 08 Research and innovation
08 08 01 Administrative expenditure of the 'Research and
innovation' policy area 0,66 0,66 100,00 %
Total Title 08 0,66 0,66 100,00%
Title 09 Communications networks, content and technology
09 09 01 Administrative expenditure of the 'Communications
networks, content and technology' policy area 0,09 0,09 100,00 %
09 04 Horizon 2020 1,31 1,31 100,00 %
Total Title 09 1,4 1,4 100,00%
Title 11 Maritime affairs and fisheries
11 11 06 European Maritime and Fisheries Fund (EMFF)
1,57 1,57 100,00 %
Total Title 11 1,57 1,57 100,00%
Title 13 Regional and urban policy
13 13 03 European Regional Development Fund and other
regional operations 0,06 0,06 100,00 %
Total Title 13 0,06 0,06 100,00%
Title 20 Trade
20 20 02 Trade policy 0,21 0,21
100,00 %
Total Title 20 0,21 0,21 100,00% Title 23 Humanitarian aid and civil
C O o Ф o Q
.
23 23 01 Administrative expenditure of the 'Humanitarian aid
and civil protection' policy area 0,07 0,07 100,00 %
23 03 The Union Civil Protection Mechanism 0,33 0,33 100,00 %
Total Title 23 0,4 0,4 100,00%
Title 25 Commission's policy coordination and legal advice
25 25 01 Administrative expenditure of the 'Commission's
policy coordination and legal advice' policy area 0,04 0,04 100,00 %
Total Title 25 0,04 0,04 100,00%
Title 29 Statistics
29 29 02 The European statistical programme 0,07 0,07 100,00 %
Total Title 29 0,07 0,07 100,00%
scic_aar_2017 final Page 49 of 111
* Commitment appropriations authorised include, in addition to the budget voted by the legislative authority,
appropriations carried over from the previous exercise, budget amendments as well as miscellaneous commitment
appropriations for the period (e.g. internal and external assigned revenue).
TABLE 1: OUTTURN ON COMMITMENT APPROPRIATIONS IN 2017 (in Mio €) Commitment
appropriations authorised
Commitments made %
1 2 3=2/1
Title 31 Language services
31 31 01 Administrative expenditure of the 'Language services' policy area
78,02 58,31 74,73 %
Total Title 31 78,02 58,31 74,73%
Total DG SCIC 82,67 62,96 76,16 %
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TABLE 2: OUTTURN ON PAYMENT APPROPRIATIONS IN 2017 (in Mio €)
Chapter Payment
appropriations authorised *
Payments made %
1 2 3=2/1
Title 01 Economic and financial affairs
01 01 02 Economic and monetary union 0 0,15
Total Title 01 0 0,15
Title 02 Internal market, industry, entrepreneurship and SMEs
02 02 01 Administrative expenditure of the 'Internal market, industry,
entrepreneurship and SMEs' policy area 0,09 0,09 100,00 %
Total Title 02 0,09 0,09 100,00%
Title 08 Research and innovation
08 08 01 Administrative expenditure of the 'Research and innovation' policy area
0,82 0,73 89,39 %
Total Title 08 0,82 0,73 89,39%
Title 09 Communications networks, content and technology
09 09 01 Administrative expenditure of the 'Communications networks, content
and technology' policy area 0,09 0,09 100,00 %
09 04 Horizon 2020 1,84 1,84 100,00 %
Total Title 09 1,93 1,93 100,00%
Title 11 Maritime affairs and fisheries
11 11 06 European Maritime and Fisheries Fund (EMFF) 2,64 2,55 96,62 %
Total Title 11 2,64 2,55 96,62%
Title 13 Regional and urban policy
13 13 03 European Regional Development Fund and other regional operations 0 0,06
Total Title 13 0 0,06
Title 14
14 14 01 Administrative expenditure of the 'Taxation and customs union' policy
area 0,02 0,02 76,03 %
Total Title 14 0,02 0,02
76,03%
Title 17
17 17 01 Administrative expenditure of the 'Health and food safety' policy area 0,03 0,03 90,24 %
Total Title 17 0,03 0,03 90,24%
Title 20 Trade
20 20 02 Trade policy 0,16 0,16 100,00 %
Total Title 20 0,16 0,16
100,00%
Title 23 Humanitarian aid and civil protection
23 23 01 Administrative expenditure of the 'Humanitarian aid and civil protection'
policy area 0,07 0,07 94,74 %
Total Title 23 0,07 0,07 94,74%
Title 25 Commission's policy coordination and legal advice
25 25 01 Administrative expenditure of the 'Commission's policy coordination and
legal advice' policy area 0,04 0 0,00 %
Total Title 25 0,04 0
0,00%
scic_aar_2017 final Page 51 of 111
* Payment appropriations authorised include, in addition to the budget voted by the legislative authority,
appropriations carried over from the previous exercise, budget amendments as well as miscellaneous payment
appropriations for the period (e.g. internal and external assigned revenue).
TABLE 2: OUTTURN ON PAYMENT APPROPRIATIONS IN 2017 (in Mio €)
Chapter Payment
appropriations authorised *
Payments made %
1 2 3=2/1
Title 29 Statistics
29 29 02 The European statistical programme 0,29 0,29 100,00 %
Total Title 29 0,29 0,29 100,00%
Title 31 Language services
31 31 01
Administrative expenditure of the 'Language services' policy area 78,76 55 69,83 %
Total Title 31 78,76 55 69,83%
Total DG SCIC 84,85 61,07 71,97 %
scic_aar_2017 final Page 52 of 111
TABLE 3 : BREAKDOWN OF COMMITMENTS TO BE SETTLED AT 31/12/2017 (in Mio €)
2017 Commitments to be settled Commitments to be
settled from
Total of commitments to be settled at
end
Total of commitments to be
settled at end Chapter Commitments
2017 Payments 2017 RAL 2017 % to be settled financial years
previous to 2017 of financial year 2017 of financial year 2016
1 2 3=1-2 4=1-2/1 5 6=3+5 7
Title 01 : Economic and financial affairs
01 01 02 Economic and monetary union 0,16 0,00 0,16 100,00 % 0,00 0,16 0,16
Total Title 01 0,16 0,00 0,16
100,00% 0 0,16 0,16
Title 02 : Internal market, industry, entrepreneurship and SMEs
02 02 01 Administrative expenditure of the 'Internal market,
industry, entrepreneurship and SMEs' policy area
0,09 0,09 0 0,00 % 0,00 0,00 0,00
Total Title 02 0,09 0,09 0
0,00% 0 0 0
Title 08 : Research and innovation
08 08 01 Administrative expenditure of the 'Research and
innovation' policy area 0,66 0,57 0,09 13,03 % 0,00 0,09 0,16
Total Title 08 0,66 0,57 0,09 13,03% 0 0,09 0,16
Title 09 : Communications networks, content and technology
09 09 01 Administrative expenditure of the 'Communications
networks, content and technology' policy area 0,09 0,09 0 0,00 % 0,00 0,00 0,00
09 04 Horizon 2020 1,31 1,28 0,04 2,72 % 0,00 0,04 0,59
Total Title 09 1,4 1,36 0,04 2,55% 0 0,04 0,59
Title 11 Maritime affairs and fisheries
11 11 06 European Maritime and Fisheries Fund (EMFF) 1,57 1,16 0,41 25,98 % 0,22 0,63 1,67
Total Title 11 1,57 1,16 0,41 25,98% 0,22 0,63 1,67
Title 13 : Regional and urban policy
13 13 03 European Regional Development Fund and other
regional operations 0,06 0,06 0 0,00 % 0,00 0,00 0,00
scic_aar_2017 final Page 53 of 111
TABLE 3 : BREAKDOWN OF COMMITMENTS TO BE SETTLED AT 31/12/2017 (in Mio €)
2017 Commitments to be settled Commitments to be
settled from
Total of commitments to be
settled at end
Total of commitments to be settled at end
Chapter
Commitments 2017 Payments 2017 RAL 2017 % to be settled financial years
previous to 2017 of financial year 2017 of financial year 2016
1 2 3=1-2 4=1-2/1 5 6=3+5 7
Total Title 13 0,06 0,06
0 0,00% 0 0 0
Title 14 :
14 14 01 Administrative expenditure of the 'Taxation and
customs union' policy area 0 0,00 0 0,00 % 0,00 0,00 0,02
Total Title 14 0 0,00
0 0,00% 0 0 0,02
Title 17 :
17 17 01 Administrative expenditure of the 'Health and food
safety' policy area 0 0,00 0 0,00 % 0,00 0,00 0,03
Total Title 17 0 0,00
0 0,00% 0 0 0,03
Title 20 : Trade
20 20 02 Trade policy 0,21 0,16 0,06 26,85 % 0,00 0,06 0,00
Total Title 20 0,21 0,16 0,06
26,85% 0 0,06 0
Title 23 : Humanitarian aid and civil protection
23 23 01 Administrative expenditure of the
'Humanitarian aid and civil protection' policy
area
0,07 0,07 0 5,26 % 0,00 0,00 0,00
23 03 The Union Civil Protection Mechanism
0,33 0,00 0,33 100,00 % 0,00 0,33 0,00
Total Title 23 0,4 0,07 0,33 82,94% 0 0,33 0
Title 25 : Commission's policy coordination and legal advice
25 25 01 Administrative expenditure of the 'Commission's
policy coordination and legal advice' policy area 0,04 0,00 0,04 100,00 % 0,00 0,04 0,00
Total Title 25 0,04 0,00
0,04 100,00% 0
0,04 0
Title 29 : Statistics
scic_aar_2017 final Page 54 of 111
TABLE 3 : BREAKDOWN OF COMMITMENTS TO BE SETTLED AT 31/12/2017 (in Mio €)
2017 Commitments to be settled Commitments to be
settled from
Total of commitments to be
settled at end
Total of commitments to be settled at end
Chapter Commitments 2017 Payments 2017 RAL 2017 % to be settled financial years
previous to 2017 of financial year 2017 of financial year 2016
1 2 3=1-2 4=1-2/1 5 6=3+5 7
29 29 02 The European statistical programme 0,07 0,04 0,04 47,62 % 0,00 0,04 0,32
Total Title 29 0,07 0,04 0,04 47,62% 0 0,04 0,32
Title 31 : Language services
31 31 01 Administrative expenditure of the 'Language
services' policy area 58,31 53,83 4,48 7,68 % 0,00 4,48 4,47
Total Title 31 58,31 53,83 4,48 7,68% 0 4,48 4,47
Total DG SCIC 62,96 57,33 5,63 8,94 % 0,22 5,85 7,42
scic_aar_2017 final Page 55 of 111
TABLE 4 : BALANCE SHEET SCIC
scic_aar_2017 final Page 56 of 111
It should be noted that the balance sheet and statement of financial performance presented in Annex 3 to this Annual Activity
Report, represent only the assets, liabilities, expenses and revenues that are under the control of this Directorate General.
Significant amounts such as own resource revenues and cash held in Commission bank accounts are not included in this
Directorate General's accounts since they are managed centrally by DG Budget, on whose balance sheet and statement of
financial performance they appear. Furthermore, since the accumulated result of the Commission is not split amongst the various
Directorates General, it can be seen that the balance sheet presented here is not in equilibrium.
BALANCE SHEET 2017 2016
A.I. NON CURRENT ASSETS
A.I.1.IntangibleAssets
A.I.2. Property, Plant and Equipment
A.II. CURRENT ASSETS
A.II.2.Current Pre-Financing
A.II.3. Curr Exch Receiv &Non-Ex Recoveral
A.II.6. Cash and Cash Equivalents
1.793.570,46
0,00
1.793.570,46
24.980.835,53
372.507,65
24.608.327,88
0,00
3.183.122,44
0,00
3.183.122,44
29.507.712,73
223.031,00
29.284.681,73
0,00
ASSETS 26.774.405,99 32.690.835,17
P.II. CURRENT LIABILITIES
P.II.2.CurrentProvisions
P.II.4. Current Payables
P.II.5. Current Accrued Charges &Defrd Incc
-27.969.268,82
0,00
-4.022.341,64
-23.946.927,18
-29.078.433,74
0,00
-4.076.023,98
-25.002.409,76
LIABILITIES -27.969.268,82 -29.078.433,74
NET ASSETS (ASSETS less LIABILITIES) -1.194.862,83 3.612.401,43
P.III.2. Accumulated Surplus/Deficit -134.577.407,56 -104.649.020,96
Non-allocated central (surplus)/deficit* 135.772.270,39 101.036.619,53
TOTAL 0,00 0,00
TABLE 5 : STATEMENT OF FINANCIAL PERFORMANCE SCIC
scic_aar_2017 final Page 57 of 111
Additionally, the figures included in tables 4 and 5 are provisional since they are, at this date, still subject to audit by the Court of
Auditors. It is thus possible that amounts included in these tables may have to be adjusted following this audit.
The accounting situation presented in the Balance Sheet and Statement of Financial Performance does
not include the accruals and deferrals calculated centrally by the services of the Accounting Officer.
It has to be noted that the amount presented as 'CurrentDateQ Accrued Charges and Deferred Income'
corresponds to the balances of the suspense accounts of the European Parliament and the Court of
Justice. These accounts are used to make payments to freelance interpreters on behalf of these
Institutions. The balance at year-end (EUR -23,946,927.18) reflects the amount that is still available for
making necessary payments. When all payments related to a budget year are performed, the remaining
balance is returned to the corresponding institution. Also related to these accounts, EUR 24,300,000.00
is part of 'Curr Exch Receiv &Non-Ex Recover' and it is the result of 2 recovery orders issued but not
cashed at year-end on the above-mentioned suspense accounts.
It should be noted that the balance sheet and statement of financial performance presented in Annex 3 to this Annual Activity Report,
represent only the assets, liabilities, expenses and revenues that are under the control of this Directorate General. Significant amounts
such as own resource revenues and cash held in Commission bank accounts are not included in this Directorate General's accounts since
they are managed centrally by DG Budget, on whose balance sheet and statement of financial performance they appear. Furthermore,
since the accumulated result of the Commission is not split amongst the various Directorates General, it can be seen that the balance
sheet presented here is not in equilibrium.
Additionally, the figures included in tables 4 and 5 are provisional since they are, at this date, still subject to audit by the Court
of Auditors. It is thus possible that amounts included in these tables may have to be adjusted following this audit.
STATEMENT OF FINANCIAL PERFORMANCE 2017 2016
II.1 REVENUES -97.234.760,94 -78.207.498,35
II.1.1. NON-EXCHANGE REVENUES -12.501.737,84 -11.051.575,83
II.1.1.6.OTHER NON-EXCHANGE REVEN -12.501.737,84 -11.051.575,83
II.1.2. EXCHANGE REVENUES -84.733.023,1 -67.155.922,52
II.1.2.2. OTHER EXCHANGE REVENUE -84.733.023,10 -67.155.922,52
II.2. EXPENSES 61.839.663,6 48.279.111,75
II.2. EXPENSES 61.839.663,6 48.279.111,75
II.2.10.OTHER EXPENSES 57.081.708,31 46.293.835,34
II.2.2. EXP IMPLEM BY COMMISS&EX.AC 5.120.003,80 2.348.234,32
II.2.6. STAFF AND PENSION COSTS -362.250,00 -362.957,91
II.2.8. FINANCE COSTS 201,49
STATEMENT OF FINANCIAL PERFORMANCE -35.395.097,34 -29.928.386,60
TABLE 5bis : OFF BALANCE SHEET SCIC
scic_aar_2017 final Page 58 of 111
It should be noted that the balance sheet and statement of financial performance presented in Annex 3 to this Annual Activity
Report, represent only the assets, liabilities, expenses and revenues that are under the control of this Directorate General.
Significant amounts such as own resource revenues and cash held in Commission bank accounts are not included in this
Directorate General's accounts since they are managed centrally by DG Budget, on whose balance sheet and statement of financial
performance they appear. Furthermore, since the accumulated result of the Commission is not split amongst the various
Directorates General, it can be seen that the balance sheet presented here is not in equilibrium.
Additionally, the figures included in tables 4 and 5 are provisional since they are, at this date, still subject to audit by the Court of
Auditors. It is thus possible that amounts included in these tables may have to be adjusted following this audit.
OFF BALANCE 2017 2016
OB.3. Other Significant Disclosures -952,28 -50.224,09
OB.3.2. Commagainstapp. not yet con OB.3.5.
Operating lease commitments -952,28
0,00
-50.224,09
OB.4. Balancing Accounts 952,28 50.224,09
OB.4. Balancing Accounts 952,28 50.224,09
OFF BALANCE 0,00 0,00
TABLE 6: AVERAGE PAYMENT TIMES FOR 2017 - DG SCIC
Legal Times
Maximum
Payment Time
(Days)
Total Number of
Payments
Nbr of
Payments
within Time
Limit
Percentage Average
Payment Times
(Days)
Nbr of Late
Payments Percentage
Average
Payment Times
(Days)
30 1502 1438 95,74 % 15,92 64 4,26 % 41,88
45 1 1 100,00 % 36
60 7 7 100,00 % 28,14
Total Number of
Payments 1510 1446 95,76 %
64 4,24 %
Average Net
Payment Time 17,09
15,99
41,88
Average Gross
Payment Time 18,57
17,33
46,61
Suspensions
Average Report
Approval
Suspension Days
Average Payment
Suspension Days
Number of
Suspended
Payments
% of Total
Number
Total Number of
Payments
Amount of
Suspended
Payments
% of Total
Amount Total Paid
Amount
0 18 124 8,21 % 1510 1.637.804,94 8,53 % 19.208.592,99
Late Interest paid in 2017
DG GL Account Description Amount (Eur)
SCIC 65010100 Interest on late payment of charges New FR 201,49
201,49
TABLE 7 : SITUATION ON REVENUE AND INCOME IN 2017
Revenue and income recognized Revenue and income cashed from Outstanding
Chapter Current year RO Carried over RO Total Current Year RO Carried over RO Total balance
1 2 3=1+2 4 5 6=4+5 7=3-6
40 MISCELLANEOUS TAXES AND DEDUCTIONS
OTHER CONTRIBUTIONS AND REFUNDS IN
12.501.737,84 0 12.501.737,84 12.501.737,84 0 12.501.737,84 0
57 CONNECTION WITH THE ADMINISTRATIVE OPERATION
OF THE INSTITUTION 85.568.137,25 3.760.283,73 89.328.420,98 85.285.673,05 3.760.283,73 89.045.956,78 282.464,2
Total DG SCIC 98.069.875,09 3.760.283,73 101.830.158,82 97.787.410,89 3.760.283,73 101.547.694,62 282.464,2
TABLE 8 : RECOVERY OF PAYMENTS
(Number of Recovery Contexts and corresponding Transaction Amount)
Note : The figures are those related to the provisional accounts and not yet audited by
the Court of Auditors. The provisional closure will be based on the recovery context
situation at 31/01/2017.
Total undue payments recovered Total transactions in recovery
context (incl. non-aualified) % Qualified/Total RC
Year of Origin
(commitment) Nbr RO Amount Nbr RO Amount Nbr RO Amount
2015
2 2.552,23
2016
3 14.577,86
2017
2 9.345
No Link
168 84.305.015,44
Sub-Total
175 84.331.490,53
EXPENSES BUDGET Error Irregularity OLAF Notified Total undue payments recovered Total transactions in recovery
context (incl. non-aualified)
% Qualified/Total RC
Nbr Amount Nbr Amount Nbr Amount Nbr Amount Nbr Amount Nbr Amount
INCOME LINES IN
INVOICES
NON ELIGIBLE IN COST CLAIMS
CREDIT NOTES 23 139.931,07 12 3.628,67
35 143.559,74 77 1.549.732,83 45,45% 9,26%
Sub-Total 23 139.931,07 12 3.628,67
35 143.559,74 77 1.549.732,83 45,45% 9,26%
GRAND TOTAL 23 139.931,07 12 3.628,67
35 143.559,74 252 85.881.223,36 13,89% 0,17%
1. TABLE 9: AGEING BALANCE OF RECOVERY ORDERS AT 31/12/2017 FOR SCIC
Number at
1/01/2017 Number at
31/12/2017 Evolution
Open Amount (Eur) at
1/01/2017 Open Amount (Eur) at
31/12/2017 Evolution
2016 19
-100,00 % 29.260.283,73
-100,00 %
2017
8
24.582.464,20
19 8 -57,89 % 29.260.283,73 24.582.464,20 -15,99 %
TABLE 10 : RECOVERY ORDER WAIVERS IN 2017 >= EUR 100.000
Waiver Central
Key Linked RO
Central Key
RO Accepted Amount
(Eur)
LE Account Group Commission
Decision Comments
Total DG SCIC
Number of RO waivers
TABLE 11 : CENSUS OF NEGOTIATED PROCEDURES - DG SCIC - 2017
Internal Procedures > € 60,000
Negotiated Procedure Legal base Number of
Procedures Amount (€)
Art. 134.1(b) (Without prior publication) Technical or artistic reasons, or reasons
connected with the protection of exclusive rights 1 626.492,36
Art. 134.1(b) (Without prior publication) Work of art, technical reasons or protection of
exclusive rights 6 664.198,99
Total 7 1.290.691,35
TABLE 12 : SUMMARY OF PROCEDURES OF DG SCIC EXCLUDING BUILDING CONTRACTS
– DG Interpretation has a relatively high percentage of negotiated procedures compared to other Directorates General. The underlying reason is that SCIC manages the organisation of conferences on budget lines co-delegated by other DGs and in this area faces situations of limited availability of suitable contractors and the need to take over services that had previously been reported by the DGs when they had been organising their conferences themselves.
External Procedures > € 20,000
Procedure Legal base Number of
Procedures Amount (€)
(Ext. act) Service - Competitive Negotiated Procedure with at least three candidates
without pub. (Art. 265.1(b) & 3 RAP) 1 31.520,00
Total 1 31.520,00
Internal Procedures > € 60,000
Procedure Legal base Number of
Procedures Amount (€)
Exceptional Negotiated Procedure without publication of a contract notice (Art. 134
RAP) 7 1.290.691,35
Negotiated Procedure with at least five candidates below Directive thresholds (Art. 136a
RAP) 1 134.903,30
Open Procedure (Art. 104(1) (a) FR) 1 57.306.000,00
Total 9 58.731.594,65
TABLE 13 : BUILDING CONTRACTS
Legal base Contract Number Contractor Name Description Amount (€)
scic_aar_2017 final Page 67 of 111
TABLE 14 : CONTRACTS DECLARED SECRET
Legal base Contract Number Contractor Name Description Amount (€)
scic_aar_2017 final Page 68 of 111
ANNEX 4: Materiality criteria
The threshold of 1% was taken as reference for determining materiality for the following reasons:
Quantitative criteria
85% of the 2017 executed budget were related to interpretation activities, most
of which being processed through automated procedures (payments of DG Interpretation ACI contracts);
For payments of ACI contracts, the detected error rate as reported by ex post was
0.002% and the residual error rate is 0;
Following the recommendation given by DG Budg, DG Interpretation has used a
conservate estimate for the error rate of 0.5%. A separate calculation is displayed taking into account the above-mentioned error rate known on ACIs
expenditure ;
The reimbursement of ACIs’ sickness and accident insurance claims is the
responsibility of an external insurance company, thereby transferring the risk. Contributions to pension schemes of recruited ACIs are transferred to private
insurance companies chosen by the ACIs or to the default pension fund managed
by a private insurance company selected following a call for tender.
Procurement and grant management account for a limited budget where standard
ex ante controls are implemented in order to ensure the necessary control environment is in place and all errors are fully reported. Additional ex post
controls are performed on the spot on grants, based on a risk analysis.
Qualitative criteria
No significant control system weakness or critical issue has been identified by the AOSDs or the IAS. In particular, the errors detected are not repetitive and
corrective actions are taken without delay, in particular regarding ACIs
remuneration. Mitigating controls are in place, in particular a single information system (with a single database) ensuring a high level of data integrity combined
with random ex-post controls. The same source of information is used for ensuring the collection of revenue from interpretation services to fee-paying
users;
DG Interpretation’s management and reporting tool (SCICView) provides
adequate information to management regarding the operations, the collected revenues, the availability and the use of resources.
scic_aar_2017 final Page 69 of 111
ANNEX 5: Internal Control Template(s) for budget implementation (ICTs)
Execution of the central budget (100% administrative expenditure)
Process 1: Payment of ACI contracts
Main control objectives: Fraud and error prevention (as in the PMO, the calculation of ACI remuneration is a fully automated procedure and the main risk of fraud is linked to the reimbursement of travel and subsistence expenses, where the majority
of controls are concentrated); compliance (legality and regularity), effectiveness, efficiency and economy.
Main risks
It may happen (again)
that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
The recruitment or
planning offices of the
Institutions introduce the wrong information about
the ACI contract into DG
Interpretation's internal
payment system
An ACI contract is
modified after the
"conforme aux faits" was
In DG Interpretation, the
system which allows the
booking of meetings, allocation of interpreters,
monitoring of meeting
attendance, recruitment
and payment of ACI is
fully integrated, caters for strict segregation of
duties and therefore it is
not possible to create
Coverage: For DG
Interpretation, all
interpreter bookings are entered into the
Meetings and
Interpretation
Management system
which is a single database for the whole
of the DG
Costs:
The residual risk of
fraud or error once the existing control has
been implemented is
extremely minimal and
therefore there is no
further cost assigned to this risk
Benefits:
Detected error rate for
the payment of ACI salaries
scic_aar_2017 final Page 70 of 111
Main risks
It may happen (again)
that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
sent and the contract paid
fictitious entries at different levels
For the other Institutions, all
information related to
contracts is covered as
from the moment they
are injected in DG
Interpretation database
Fraud prevention; error detection and
correction, compliance
and effectiveness and
efficiency
Due to the
unpredictability of
demand, the DG may
have recruited too many ACIs in the long or
medium term exercise
Constant monitoring of
demand and review of
procedures regarding the
long, medium and short-term recruitment
exercises
Meeting the demand
for interpretation,
whilst ensuring stand-
by rates are kept
within the targets in
the MP are key objectives for DG
Interpretation to
achieve its mission
Therefore, the monitoring of demand
is an ongoing task for
the management
within the Unit and
Directorate
Costs: Estimation of
staff involved
Benefits: Improved Efficiency and
effectiveness.
Efficiency: Standby
rate
DG Interpretation
performs the role of inter-institutional payment
office for ACI
Due to differing
procedures between the Institutions, there is a
Payment officers are
grouped by Institution and therefore understand
the payment rules linked
to their specific recruiting
institution
Coverage:
100% of all payment
requests are filtered in this way
Costs: None, this was
a one-off exercise
Benefits: Efficiency –
payments for one
officer will follow the
same rules
Efficiency: decrease in % of errors (in value)
in ACI payments
detected by ex post
control
scic_aar_2017 final Page 71 of 111
Main risks
It may happen (again)
that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
risk of error when handling payment
requests
ACI presents a forged
supporting document in order to claim higher or
non-existent expenses
Payment officers are
trained to spot possible
forged documents. Online
access to the ticket
booking system Amadeus can be used to confirm
the authenticity of the
airline ticket presented by
the ACI
Access to travel tickets prepaid by the
Institutions further
reduce the possibility to
forge supporting
documents
Coverage: 100% of
non-local contracts
Depth: Training and further guidance is
given to ensure
controls are sufficient
and up to date
Costs : Estimation of cost of staff involved
Benefits: Fraud
prevention; error
detection, compliance,
effectiveness and efficiency
Efficiency: number of
forged documents
detected by payment
officers
The amount paid is
incorrect or paid to the
wrong ACI
Payment officers have access to statistical data
and reference tables to
verify respect of the
various ceilings
The paid amount per
each category of
expenses is determined
by the initiating agent
according to a clear procedure and set of
Coverage / Frequency:
100% of non-local
contracts Ex ante checks by the
verifying officer
Random sampling of
approx. 1,2% of
payments (in value) via ex post control
Costs: Estimation of cost of staff involved
Benefits: Prevention of
fraud, correction of
errors, compliance issues
Efficiency: % of errors
(in value) in ACI
payments detected by
ex post control reports
scic_aar_2017 final Page 72 of 111
Main risks
It may happen (again)
that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
rules
The flat rate character of
allowances paid reduces
the risk of error
Risk to pay to the wrong ACI is limited via the
general Commission
methodology to pay only
to validated binomes LEF-
BAF, univocally associated to each ACI by
DG BUDG and reflected
into the SCIC payment
system
Each payment is checked
by the verifying agent.
Non automated payments
are also subject to an
independent ex post control on a sampling
basis
scic_aar_2017 final Page 73 of 111
Process 2: Organisation of inter-institutional accreditation tests for ACI:
Main control objectives: Prevention of fraud; Compliance (legality and regularity); Effectiveness, efficiency and economy.
Main risks
It may happen (again)
that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
The amount of expenses
reimbursed is incorrect
The reimbursable amount
per each category of
expenses is calculated by
the initiating agent according to the clear
procedure and help of the
checklist
The ceilings for the
reimbursement of travel expenses and flat rate
character of allowances
paid, to cover subsistence
expenses, reduce the risk
of error
Coverage /
Frequency: 100% of
payment requests
received
Depth: Standard
checklists ensure all
steps and controls are
followed
Costs: Estimation of
cost of staff involved
Benefits: Control
against possible fraud, error detection,
compliance issues
Fraud prevention/
compliance issues:
number of non-eligible
claims refused
Number of complaints
linked to incorrect
payment of expenses
scic_aar_2017 final Page 74 of 111
Grant Management:
The management of both grants and bursaries for Universities and students studying conference interpretation.
Stage 1: Programming, evaluation and selection of proposals
Main control objectives: Ensuring that the Commission selects the proposals that contribute the most towards the achievement of the policy or programme objectives (effectiveness); Compliance (legality & regularity); Prevention of fraud (anti-fraud strategy)
Main risks
It may happen (again)
that…
Mitigating controls How to determine
coverage, frequency
and depth
How to estimate the costs and benefits of
controls
Control indicators
Shortfall of key staff in
language units
The continuation of the
"Relève" project to ensure succession
planning in those
language booths
where additional
recruitment drives are
necessary and give assistance to capacity
building
The current and future
demand means that recruitment campaigns
should be undertaken
either for languages
with foreseeable
shortfalls or for those languages where it is
vital to ensure
continued interpreter
training courses to
ensure long-term capacity building
Recruitment targets
are set by language booth. Recruitment
needs are updated
annually in the call for
proposals after
consultation between
Directorates A and B
Grants are given to
Universities offering
Master/PG courses on
conference interpreting or developing specific
projects related to
interpretation.
Bursaries are awarded to students attending
PG interpretation
courses offering the
most needed
languages and with the best potential (aptitude
Costs: Estimation of
staff involved in the
process
Benefits: The DG will
be able to continue to
recruit interpreters and
ACIs in order to fulfil its mission
Percentage of external
client requests DG
Interpretation was able to satisfy
scic_aar_2017 final Page 75 of 111
Main risks It may happen (again)
that…
Mitigating controls How to determine
coverage, frequency
and depth
How to estimate the costs and benefits of
controls
Control indicators
tests), after a call for
proposals.
The evaluation, ranking
and selection of
proposals is not carried
out in accordance with the established
procedures, the policy
objectives, priorities
and the essential
eligibility, or with the
selection and award criteria defined in the
annual work
programme and
subsequent calls for
proposals
The call for proposals
and the procedures are
established in close
cooperation with the Financial Unit and in
consultation with the
AOSD.
Assessment of
proposals is done by
an evaluation committee appointed
by the AOSD. The
committee contains at
least members from 2
different Units or sectors. In the case of
grants, members of DG
INTE in the EP are
present, to ensure an
inter-institutional
100% of proposals
from Universities and
students are evaluated
by the evaluation committee on the basis
of the proposals
themselves and an
analysis grid covering
all non-exclusion,
selection and award criteria.
Clarifications are
requested in writing when necessary with a
view to enable the
evaluation committee
to be fully informed
before drafting its
Costs: Estimation of
cost of staff involved in
the complete process
Benefits: Ensure that
procedures are correctly followed and
applied at all stages of
the process leading to
fewer complaints
Number of complaints
compared to the
number of applications
scic_aar_2017 final Page 76 of 111
Main risks It may happen (again)
that…
Mitigating controls How to determine
coverage, frequency
and depth
How to estimate the costs and benefits of
controls
Control indicators
approach and to avoid
double financing.
When evaluating the
applications, the
Committee members
use a standard
evaluation grid which contains the eligibility,
selection and award
criteria (with weighted
scoring method) as
published in the call for proposals
The programme officer,
who is also a member
of the evaluation committee, pre-checks
the exclusion criteria
and eligible costs
Non-conflict of interest
declarations are signed by all evaluation
committee members
report.
If the AOSD does not want to follow the
recommendations of
the evaluation
committee, (s)he must
document the reasons for the decision in the
award decision.
Stage 2: Grant Management – Contracting: Transformation of selected proposals into legally binding grant agreements.
Main control objectives: Ensuring that the actions and funds allocation is optimal (best value for money; effectiveness, economy, efficiency); Compliance (legality and regularity); Prevention of fraud (anti-fraud strategy).
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Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
The description of the
action in the grant
agreement includes tasks which do not contribute
to the achievement of the programme objectives
and/or that the budget foreseen overestimates
the costs necessary to carry out the action.
The application form is
drafted in a way that the applicant/beneficiary is
asked to provide a
detailed project description (with
expected results and objectives) and realistic
budget needs
100% of subsidised projects are subject to ex
post controls.
As 90% of the grants awarded are low value
grants, on-the-spot audit
missions are therefore only performed when
strictly needed in order to keep a correct balance
between cost and benefit of such controls
Costs: Estimation of cost
of staff involved in the process
Benefits: sound financial management, prevention
of fraud
Number of exceptions
reported
The rules for
implementing the action
are unclear, resulting in litigations and incomplete
action implementation. Anti-fraud issues are not
well covered
SCIC systematically uses
the standard DG BUDG templates for grant
agreements to complement the other
elements that are
displayed in the applicant's guide and
other documents related to the call for proposals.
The templates include a number of provisions
related to audit and anti-fraud actions to protect
EU financial interests
Applicable to all grant agreements
Costs: Estimation of cost of staff involved in the
drafting of the grant
agreement
Benefits: Harmonisation of the applicable rules
across all beneficiaries, use of proof-read texts
The number of complaints (including
claims or litigations)
Stage 3: Grant Management – Monitoring the execution: This stage covers the monitoring the operational, financial and reporting aspects related to the project and grant agreement
Main control objectives: Ensuring that the operation results (deliverables) from the projects are of good value and meet the objectives and conditions (effectiveness & efficiency); ensuring that the related financial operations comply with regulatory and contractual
provisions (legality & regularity); prevention of fraud (anti-fraud strategy); ensuring appropriate accounting of the operations (reliability
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of reporting, safeguarding of assets and information).
Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
The actions foreseen
are not totally or
partially carried out in
accordance with the technical description
and requirements
foreseen in the grant
agreement and/or the
amounts paid exceed that due in accordance
with the applicable
contractual and
regulatory provisions
The template of final
reports annexed to the
grant agreement
requires a high degree of accuracy concerning
the action and the
budget. During the
action implementation
period, pedagogical
assistants' reports provide SCIC with
information on the
implementation of the
co-financed action and
information about the interim and final
examinations of the
students
All final reports are reviewed by the
programme officer and
a random sample of
expenses is verified
against supporting documents, especially
for the staff costs, in
cooperation with the
Financial Unit. Final
grant payments are
When submitting the
Final Report, the
examination of staff costs is given the
highest priority (it
accounts for 80% of
the projects costs). All
projects are examined through sampling.
Costs: Estimation of cost of staff involved in
the process
Benefits: sound
financial management, prevention of fraud
Number of exceptions
reported
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Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
only made after having received all the
necessary
documentation and all
the requested
explanations
Stage 4: Grant Management – Ex post supervision strategy:
Main control objectives: Measuring the effectiveness of ex ante controls by ex post monitoring; addressing systemic weaknesses in the ex-ante controls, based on the analysis of the findings (sound financial management)
Main risks
It may happen (again) that…
Mitigating controls
How to determine
coverage, frequency and depth
How to estimate the
costs and benefits of controls
Control indicators
The ex-ante controls (as such) fail to
prevent, detect and
correct erroneous
payments or attempted
fraud
In cases of suspicious
circumstances, on the
spot ex post controls,
such as deeper desk reviews, may also be
performed. The
financial unit may also
perform more in depth
examination of all the
technical details and cost statements of the
action.
A clause on OLAF's
investigative competency is clearly
stated in the grant
As 90% of the grants
awarded are low value
grants, on-the-spot
audit missions are
therefore only
performed when strictly needed in order
to keep a correct
balance between cost
and benefit of such
controls
Costs: Estimation of
cost of staff involved in
the process
Benefits: sound financial management,
prevention of fraud
Number of exceptions
reported
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Main risks It may happen (again)
that…
Mitigating controls How to determine
coverage, frequency
and depth
How to estimate the costs and benefits of
controls
Control indicators
agreements
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Procurement Direct
Stage 1: Needs Analysis and Planning
Main control objectives: Effectiveness, efficiency and economy. Compliance (legality and regularity):
Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
The needs are not well
defined (operationally
and economically).
Therefore the decision to procure is
inappropriate to meet
the operational
objectives
Poor planning and
organisation of the
procurement process,
including the planning
of supervision and monitoring, resulting in
waste of resources
Inappropriate choice of
procurement procedure and calculation of
threshold, resulting in
non-compliance case
The best offer/s are
not submitted due to the poor
AOSD supervision and
approval of
specifications for procurements above
15,000€
Provision of DG
Interpretation and
other framework contracts in the areas
of IT, technical
services and
equipment and
conference
management
Meetings are
conducted on a regular basis to ensure all
procurement
procedures are
reviewed
Costs: Estimation of staff involved
Benefits: Increased
efficiency and economy
Effectiveness:
Number of
projected tenders cancelled or not
awarded due to the
unsatisfactory
definition of the tender
specifications
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Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
definition of the tender specifications
For conferences
managed under co-
delegated procedures
only:
The operational needs are not well defined, as
DG Interpretation is
rarely in a position to
know well in advance
which conferences will
be organised under the co-delegation
management
mechanism
For conferences managed under co-
delegated procedures
only:
This leads to a difficult
planning of the whole procurement processes
and an overload of
work for operational
and financial units
The creation of a
registry of conferences
as part of the action
plan for the implementation of the
Synergies and
Efficiency Review: DGs
should introduce their
planned conferences as soon as possible after
the project is decided.
Information can be
added to the registry
at any time
Costs: Estimation of
staff involved Benefits: Better
planning of the
procurement processes
as opposite to high
demand during peak periods.
More even distribution
of workloads for both
the financial and
operational units
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Process 2: Professional support for Interpreters (Officials and ACIs):
Main control objectives: Prevention of fraud, Compliance (legality and regularity), Effectiveness, efficiency and economy
Main risks
It may happen (again)
that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
The decision for language
training priorities does
not sufficiently reflect the
needs of the DG at the time of the language
addition due to
unpredictable
structural/cyclical
valuations in demand and the length of the
language acquisition
For officials: Unit C3
defines language training priorities in consultation
with Directorate A and
unit C2 on the basis of
objective criteria such as
current language knowledge of staff
interpreters, known and
expected changes to the
language combinations
resulting from departures, and gaps
identified when assigning
interpreters to meetings
and the level of
satisfaction of interpretation demand
per language.
For ACIs: SCIC offers
financial support for ACIs
language learning
Extensive consultation
once a year
Costs: Estimation of cost of staff involved
Benefits: Compliance
(legality and
regularity), efficiency
For officials: Average
number of passive
languages by interpreter
For ACIs: number of
languages added by
ACIs after a language
stay with the support of DG Interpretation
An interpreter follows a
full training cycle without
adding the language in the end
Monitoring of language
training process
Coverage: limited
sample
Cost: Estimation of
cost of staff involved Drop-out rate
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Main risks
It may happen (again)
that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
Lack of or insufficient supporting documents,
absence of legal and/or
budgetary commitment
for the reimbursement of
expenses
Standard ex ante control
procedure with
operational initiation and verification in Unit C3 and
the financial initiation and
verification in Unit S2
Coverage: 100% of all files controlled
Cost: Estimation of
cost of staff involved
Benefit: Fraud
prevention, compliance
Number of exceptions
Stage 2: Preparation of the contract (Call for Tenders; Evaluation of tenders; award decision; budgetary
commitment; legal commitment):
Main control objectives: Effectiveness, efficiency and economy; Compliance (legality and regularity); Fraud prevention and
detection.
Main risks It may happen
(again) that…
Mitigating controls How to determine
coverage, frequency
and depth
How to estimate the costs and benefits of
controls
Control indicators
The most economically
advantageous offer not
being selected, due to a biased, inaccurate or
“unfair”’ evaluation
process
Specifications for calls
for tenders above a
15,000€ threshold go
through a formal
validation process involving the finance
unit and the AOSD
Calls for tenders above
the 60.000€ threshold,
collaboration between
All procurement
procedures are subject
to the same
procedures and the
same controls by the financial unit before
the launch of the
procurement procedure
and before contracts
are submitted to the
Costs:
Estimation of staff
involved
Benefits: Avoid contracting with
excluded economic
operators – compliance
with FR
Benefits: % of award
Effectiveness:
Numbers of ‘valid’ complaints
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Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
operational and financial units to
ensure that (1) the
technical specifications
are clear and (2)
evaluation and award
criteria allow the best possible evaluation
compared to the
contract subject
Formal evaluation process:
Opening committee
and Evaluation
committee for
procedures above 135,000€ with
representatives of at
least 2 administrative
entities, complemented
with representatives from other DGs as
experts or services
users and in case of
need, external experts
Opening and Evaluation
Committees'
declaration of
absence of conflict of
AOSD for award.
Evaluation process
100% of the eligible offers are subject to
the evaluation process.
Depth: all documents
transmitted
100% of the members
of the opening
committee and the
evaluation committee
decisions revised after reaction of a non-
selected bidder during
standstill
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Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
interests
Low value contracts: eligibility, evaluation of
received offers and
award decision
documented in writing
by the operational unit in the commitment file,
and subject to formal
award decision by the
AOSD
All low value contracts
(<60000€ threshold)
awarded in DG Interpretation
Exclusion criteria
documented
Coverage:
Low value contracts:
up to the AOSD depending on his risk
analysis.
Other contracts:
comprehensive check
Depth: required
documents provided are consistent
Standstill period,
opportunity for
unsuccessful tenderers
to put forward their
concerns on the
decision
100% when conditions
are fulfilled
Stage 3: Financial Transactions & Contract Execution:
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Main control objectives: Ensuring that the implementation of the contract is in compliance with the signed contract
Main risks
It may happen (again) that…
Mitigating controls
How to determine
coverage, frequency and depth
How to estimate the
costs and benefits of controls
Control indicators
(1) The products/
services/ works
ordered are not, totally
or partially, provided in
accordance with the
technical description and requirements
foreseen in
the contract
(2) the amounts paid exceed that due in
accordance with the
applicable contractual
and regulatory
provisions
(1) Certified correct by
a formally endorsed
official trained,
technically competent
and informed of the
details of the contract and subsequent invoice
(2) Operational and
financial checks in
accordance with the financial circuits and
checklists,
encompassing the
comparison between
the certified correct endorsement and the
contract provisions
ABAC security prevents
from paying more than the corresponding
budgetary commitment
Financial circuits are
conceived so that a
payment is never authorised by the
AOSD having signed
the contract to ensure
All invoices are endorsed "certified
correct"
100% of the invoices
are controlled against the contract, including
only value-adding
checks
ABAC security applies to 100% of the
transactions
Sub-delegations are granted so that an
AOSD for commitments
will never be AOSD for
payments
Costs: Estimation of staff involved
Benefits: Compliance
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Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
objectivity
Stage 4: Management Supervision:
Main control objective: Ensuring that any weakness in the procedures (tender and financial transactions) is detected and
corrected
Main risks
It may happen (again) that…
Mitigating controls
How to determine
coverage, frequency and depth
How to estimate the
costs and benefits of controls
Control indicators
An error or non-
compliance
with regulatory and
contractual provisions,
including technical specifications, or a
fraud is not prevented,
detected or corrected
by ex-ante control,
prior to payment
Review of ex post
controls performed by
IAC (until 2013)
IAS audit on procurement (2016)
DAS Controls
100% at least once a
year
Depth: look for any
systemic problem in
the procurement procedure and in the
financial transaction
procedure and any
weakness in the
selection process of the ex post controls
Costs: Estimation of
staff involved
Benefits: Amounts
detected associated
with fraud & error. Deterrents &
systematic weaknesses
corrected
Number of recording of
exception or non-
compliant notes
Number of “Avis négatif”
Number of remarks on
the check-lists
Review of exceptions
and non compliance
cases reported
100% at least once a year
Depth: look for any
weakness in the
procedures (procurement and
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Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
financial transactions)
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Non-Expenditure Item – Revenue Collection
Main control objectives: Effectiveness, efficiency and economy; Compliance (legality and regularity); Sound financial
management
Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
(1) Actual meeting
costs are not reflected
in the cost of an i-slot
(2) The management of resources in a
context of
unpredictable demand
(1) Implementation of
the "charge back
guidance" results in a
detailed documentation of the cost calculation
methodology
supported by DG
BUDG. Additional
assumptions are provided internally
(e.g. level of demand)
or BUDG (salary
adjustments,
promotion rates)
(2) the actual level of
resources invested in
the delivery of
interpretation services is followed up via a
number of indicators
100% Coverage:
The forecast for the
cost of the i-slot in
year N is prepared in
January N-1 on the
basis of a number of assumptions described
in the methodology.
It is then reviewed in
the autumn N_1 with
updated assumptions. It is then reviewed in
January and Autumn N
as part of the
preparation for budget
N+1. Final cost for year N is known in
January N+1 once all
expenditure items are
known
Meeting the demand
for interpretation,
whilst ensuring stand-by rates are kept
within the targets
defined in the MP, are
key objectives for DG
Interpretation to achieve its mission.
Therefore, the
monitoring of demand
is an ongoing task for the management
within the Unit and
Directorate – making
the costs impossible to
identify as a single, stand-alone action
Coverage of the i-slot
cost by the i-slot price
Average daily cost of
ACI contract
Standby rate
Accuracy of billing
(enquiries, complaints from clients about
hours/language regime
billed)
Single, integrated, up
to date database –
MIM (Meeting and
Interpretation
Management) which
holds the data on all
100% of all meetings
and interpretation
requirements are
entered into MIM
All amounts to be
Costs: Estimation of
staff involved
Benefits: reduce
number of questions
and appeals made by
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Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
bookings of meetings, interpretation,
therefore enabling a
complete and efficient
collection of
information to ensure
the correct invoice is sent to clients
Ex ante control by S2 –
verification of amount
to be compensated against actual
interpretation that took
place and modification,
where necessary, using
a module of MIM, Coral
compensated are sent to users under the
form of an automated
pre-information. They
have 15 days to accept
the amounts to be
compensated on an interface or introduce a
claim
100% of all debit notes
are controlled against pre-information before
being sent to clients
clients relating to the debit notes received
Smoother
compensation process
ensuring that funds are
rapidly reconstituted and allow for the
continuity of DG
Interpretation activities
Recovery
(compensation) delays
Introduction of SLAs
introducing clear rules
and guidelines on payments.
Reporting tools to
ensure respect of the
compensation rules
100% of recovery
orders related to
interpretation services
Costs: SLAs are created as and when
needed with the
external users of DG
Interpretation. As this
work is ongoing, it is not possible to isolate
the control factor of
these costs.
Benefits: ensuring the
DG functions in
accordance with the SLAs and sound
financial management
Average recovery delay
for main external users
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Main risks
It may happen
(again) that…
Mitigating controls
How to determine
coverage, frequency
and depth
How to estimate the
costs and benefits of
controls
Control indicators
SLAs reduce discussions on their
implementation
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ANNEX 6: Implementation through national or international public-sector bodies and bodies governed
by private law with a public sector mission (if applicable)
n/a
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ANNEX 7: EAMR of the Union Delegations (if applicable)
n/a
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ANNEX 8: Decentralised agencies (if applicable)
n/a
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ANNEX 9: Evaluations and other studies finalised or cancelled during the year
n/a
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ANNEX 10: Specific annexes related to "Financial Management"
The main risks currently faced by DG Interpretation are linked to:
a. Provision of interpretation
The ambitious political agenda of this current Commission and looking forward, will most likely translate into sustained high levels of demand for interpretation
and meeting rooms in the years to come. This would be in line with the trend of the last two years, during which the interpretation output - boosted also by the
opening of Europa, the new European Council building - has increased by more
than 10 % in the Council.
DG interpretation is a demand-driven provider of interpretation services and as
such has to deal with significant fluctuations of demand linked to its institutional customers.
b) Succession Planning
Retirement of experienced interpreters (staff and ACIs) and the
withdrawal of the UK from the EU may impact on language cover in meetings and more broadly on demand for interpretation resulting in greater
unpredictability and heightening the uncertainty in which DG SCIC operates as a
service provider. Due to the high professional standards practiced by DG SCIC the interinstitutional ACI accreditation tests are necessarily quite demanding. Due in
particular to the gap between university training and professional requirements the success rate at the tests is not high, which may result in a shortage of
available freelances, in particular those with the most deficient language combinations.
This risk is high in particular for the EN and FR units where there will be a number of retirements in the near future and few younger interpreters (staff or ACIs) to
take up the slack. The upcoming withdrawal of the UK and the uncertainty about
the possibilities to continue recruiting staff and ACIs create increased risks as interpretation into EN requires the presence of native speakers in the booth.
In order to create an adequate succession planning via the work of the Multiannual Recruitment Strategy Group (MARS), which allows for better
targeting of future interpreter recruitments and defining priorities for language learning, SCIC maintains a list of possible departures and the effects on language
cover for every interpretation unit. This is reported on in Annex 12 under the Performance Tables.
In 2017, SCIC concluded an agreement with DG HR to organise internal
competitions in order to secure viable staffing levels in DE, EN, ET, HR, MT and SK units in particular for contingency reasons before the UK leaves the EU. The
administrative steps have taken considerably long time, which might cause difficulties in language cover as temporary contracts expire, interpreters become
ACIs and stop working exclusively for DG SCIC or look for other professional solutions.
In view of the Presidency, 3 staff members joined the BG Unit via a call for temporary agents.
Recruitment of 8 competition laureates by 1/10/2018
c) Conference Centre 2.0
The imminent end of the life span of the Borschette Confernece Centre bulidng on
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safety and security grounds carries an important risk of business continuity if the future conference centre project is delivered beyond the current schedule, i.e.
2023. This would seriously undermine the corporate roles of DG SCIC as interpretation provider, conference organiser and meeting room manager and be
a source of a reputational risk for the Europena Commission.
As a comparable reference, the closure of the conference centre in Luxembourg
saw an 84% decrease in interpretation demand. Given the current share of the Commission in interpretation output (roughly 30%), a comparable drop in
Brussels would entail a 25% decrease in the overall interpretation output provided
by DG SCIC.
There is at present no alterantive venue on the Brussels market that would allow
to host around 4000 meetings per year currently hosted in the Borschette centre. The scenario of temporary externalisation into a single alternative venue is
therefore not an option. An option to externalise the meeting rooms capacity to a set of alternative venues would not be without logistical difficulties and would also
be very expensive (approximately EUR 23 million per year).
d) Synergies and Efficiencies Review (SER)
Due to lack of additional (human and financial) resources needed to fulfil its new
corporate role and high outbond dependencies on other Central Services (e.g. DG DIGIT and OIB), increasing the need to ensure greater alignment at corporate
level, DG Interpretation risks being faced with a slower place of implementation of the SER actions under its remit, namely conference organisation and meeting
room management.
So far all the results of DG SCIC have been achieved with constant resources but
no further extention of corporate activities in both corporate domains (conference organisation and room management) is possible without a (limited) reinforcement
of its resources, which could allow to achieve further synergies and efficiencies
throughout the Commission.
In order to mitigate such risks, the DG has carried out, undertaken and planned a
number of actions, ranging from different requests to SG/DG BUDG/DG HR and a closer cooperation with OIB, DG DIGIT and DG COMM to launch of new framework
contracts and mutual exchange of good practices across all DGs. At the same time, DG SCIC remains committed to further discuss the lack of resources and the
need for better cooperation between corporate domain leaders with the Central Services, at the highest level.
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ANNEX 11: Specific annexes related to "Assessment of the effectiveness of the internal control
systems"
n/a
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ANNEX 12: Performance tables
Interpretation and related activities
General objective: To help achieve the overall political objectives, the Commission
will effectively and efficiently manage and safeguard assets and resources, and
attract and develop the best talents.
Impact indicator 1: Trust in the European Commission
Source of the data: Eurobarometer on Public Opinion in the European Union
Baseline
(2015)
Target
(2020)
Latest
known
results
(2017)
40% tend to trust Increase 41%
Impact indicator 2: Staff engagement index in the Commission
Source of the data: European Commission
Baseline
(2015)
Target
(2020)
Latest
known
results
(2017)
74.2% Increase 74%
The staff engagement index of DG Interpretation was 74% and thus well above Commission average (64.3%). The mobility issue perceived by staff scored lowest and is
recognised as problematic. It is to be noted that a large part of DG Interpretation's staff has highly specialised professional profiles (interpreters, technical staff and specific
management and support tasks) which does not facilitate mobility easily.
A new Staff Opinion Survey will be conducted in 2018.
Specific objective 1 Interpreting services meet our
clients’ demand and are cost effective.
Not related to a
spending programme
Result indicator1: Coverage of i-slot costs by i-slot price (in %)
The i-slot is calculated by dividing the expenses related to the provision of interpretation
and linked activities (staff, ACIs, parts of training, IT, missions) by the expected amount of
interpretation to be provided.
Source of data: SCIC Budget and Finance Unit
Baseline
(2015)
Target
(2020)
Latest
known
results
(2017)
92.3% (i-slot price: 446€, i-
slot cost: 483€)
Between 98% and 102%
91.7%
The final calculation of the 2017 i-slot cost is 507€ against an i-slot price set at 465€,
which represents a cost 9% higher than the price.
The islot price is:
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a) estimated on the basis of cost projections established in January n-1 according to estimated corporate salary adjustment parameters communicated by DG
Budget. This has a significant impact since 95% of the i-slot cost is composed of salaries;
b) based on the expected and projected interpretation output in January n-1;
c) in sound and good-faith contractual practice DG Interpretation does not adjust
the islot price it has communicated to the paying cutomers to an unexpected increase of the salary adjustment beyond the initial forecasts and invoices them
using the communicated i-slot price;
d) In 2016 salary indexation has been significantly higher than DG BUDG's estimate (3,3% instead of 2,1%). As the 2017 islot cost could no longer be
modified to include this unexpected change, the costs incurred in 2017 could not be fully offset by revenues;
e) In 2017 DG SCIC had to meet increased and uneven demand with shrinking permanent resources. This led to increased and costlier ACI recruitment including
increased recruitment of non local ACIs in order to satisfy demand for interpretation concentrated on particular periods and days and for less-used
languages with small local ACI populatuions.
In 2017 DG SCIC identified the following factors:
The 2016 salary adjustment, which is also reflected on the ACIs' daily fee, was
considerably higher than DG BUDG's estimate (3.3% instead of 2.1%) and therefore not adequately reflected into the 2017 i-slot price that had been
communicated to the paying customers at the beginning of 2016 and was used to invoice them in 2017).
The general increase in demand (2016: 248.912 i-slots; 217: 253.82719 i-slots; +2%), with very diverging developments per language, with a considerable
increase of demand for languages that were less frequently used until the opening
of the new Europa building, and for which only a limited ACIs community is based in Brussels
The continued uneven patterns of demand, in particular with a concentration of meetings requested for certain week days,
In an environment of increased and uneven demand as described above and due also to shrinking numbers of permanent staff, DG SCIC had to step up ACIs'
recruitment (reduction by 3.4% of full time equivalent staff interpreters in 2017 comapred to 2016).
The 2017 budget to recruit ACIs increased by 20% compared to 2016 as a result
of a) a 12% increase in freelance interpreters’ contracts overall b) a +4.6% increase in the average daily cost of an ACI (2016: 755€, 2017: 790€), in part
because of recruiting more non-local (and therefore costlier) AICs .This is due to the institutional and operational need to meet the increased level of demand on
particular week days and for some less frequently-used languages.
An increase of the mission expenses of 400.000€ (+18%), resulting from the
increased activity of certain Institutions whose meetings do not take place in Belgium, and missions to Presidency countries that were also more expensive
19 This figure for the number of i-slots in 2017 includes not only the interpretation i-slots, but also takes
into account the cancellation and travel costs that have been charged to our customers
scic_aar_2017 final Page 102 of 111
than in 2016.
To reduce the gap between the i-slot price and cost, DG SCIC:
increased the 2018 i-slot price to 488 to factor in the full impact of the 2016 salary adjustments including the career effect.
will continue streamlining its ACIs recruitment policy and closely monitoring the cost of the ACI recruitment.
Result indicator2: Standby rate and reserve of staff interpreters and ACIs,
excluding periods of low interpretation activity (% of available working time)
Monitoring the amount of standby which goes beyond a certain reserve necessary to
provide the flexibility to meet operational needs enables DG Interpretation to check
whether DG Interpretation manages its resources efficiently.
Source of data: SCICView
Baseline
(2015)
Target
(2020)
In the current context of unpredictable
demand, the target of 15 % can only be met
for the 5 biggest languages
(FR/DE/EN/IT/ES)
Latest
known
results
(2017)
18.5% 15%
13.5%
Result indicator 3: Percentage of external client requests DG Interpretation was
able to satisfy
This indicator measures the share of active languages requested by the Council and the
Committees DG Interpretation is able to grant on the basis of available interpreters (staff
and ACIs). For the most used languages (EN, FR, DE, IT, ES) this indicator is close to
100%, for less-used languages demand may be more difficult to meet.
Source of data: SCICView
Baseline
(2015)
Target
(2020)
This target is considered in line with available
resources. A marginal increase of the
satisfaction could entail a far bigger increase
in costs (i.e. hiring of expensive ACIs not
living in Brussels). This is the reason why the
target is set below the baseline.
Latest
known
results
(2017)
96% ≥95% 96%
Result indicator 4: Number of Commission meetings refused at arbitrage and
percentage of 1st priority meetings DG Interpretation is able to satisfy
As DG Interpretation’s ability to satisfy Commission DGs’ meeting requests is limited by the
number of available meeting facilities, the indicator DG Interpretation uses for external
clients’ satisfaction is not applicable for the Commission. For the Commission DG
Interpretation therefore measures the number of meetings refused at arbitrage and the
percentage of 1st priority meetings satisfied.
Source of data: Planning and Programming Unit
scic_aar_2017 final Page 103 of 111
Baseline
(2015)
Target
(2020)
Latest
known
results
(2016)
Number of meetings refused
at arbitrage: 529
≤ to 2015 number 463
Percentage of 1st priority
meetings satisfied
>99% 99%
In 2017, DG Interpretation continued to serve the needs of its clients in the most cost-
effective manner possible. This meant trying to balance resources (both permanent staff and freelance (ACI) interpreters) effectively and efficiently, and maximise the availability
of resources in response to varied and changing needs.
2017 was particularly challenging since there was a steady overall increase in
requests for interpretation during the year, combined with increasing lack of
resources to cover certain languages on certain days. Staff retirements, decreasing ACI populations for some languages and increased competition for the recruitment of ACI
interpreters between EU institutions and elsewhere, required particular efforts to ensure availability of sufficient resources to respond to requests for interpretation.
In order to help meet demand more specifically for 3 languages (Bulgarian, Czech, and Slovenian) a pilot was launched in October 2017 to upscale advance ACI recruitment.
Given the lack of predictability of actual demand on individual days, this initiative unfortunately had only limited impact. It has thus been decided to address the issues of
satisfaction of demand and increase in activity through an extension of targets in the ACI
long-term recruitment exercise. This was implemented in 2017 for the following year.
The standby rate of both permanent staff and ACIs has been monitored throughout the
year, based on the standard definition used for reporting purposes. For the whole of 2017, the average standby rate was 16.1%, just above the target of 15%. However, as
indicated in the Strategic Plan 2016-2020, given the unpredictability of demand, it is likely that it will only be possible to meet the target for the 5 biggest languages
(EN/FR/DE/IT/ES). In 2017, this was the case with an overall standby rate between 12% and 14.8% for these languages and an overall average of 13.5%.
Main outputs in 2017:
Policy–related outputs
Description Indicator Target Latest known
results
(situation on
31/12/2017)
Together with DIGIT and DG HR work out an IT solution
ensuring proper transfer of data from Sysper to DG
Interpretation systems on interpreters' leave and
absences in order to be able to assign teams with the
right interpreters to the
right meeting.
Number of data errors or conflicts when transferring
data from Sysper to DG Interpretation's
programming tool
0 Agreement reached on transfer
scic_aar_2017 final Page 104 of 111
Progressive updates to ACI
Webcalendar with new functions to improve
efficiency of ACI recruitment and ACI use of the
Webcalendar
Successful introduction of
each IT update with no major interruptions of
service
100% No new updates
have been implemented in
2017 due to the decision of the
European
Parliament to suspend activity in
this area. SCIC remains ready to
restart updates following any future
request from the Parliament.
In order to effectively and efficiently manage the provision of interpretation, DG
Interpretation has developed a specialist system "Management of Interpretation and Meetings" (MIM) which enables the DG to ensure that the right interpreter is assigned to
the right meeting at the right time. Amongst other things, MIM allows the DG to monitor the implementation of The Agreement, which is applicable to all interpreters, either
officials or ACIs when under contract, as there as specific clauses that deal with overtime
or travel, etc.
However, in order to ensure that corporate systems also contain the correct information
on our interpretation staff, the two systems (MIM and SYSPER) need to exchange data. In 2017, agreement was reached between DGs Human Resources and Security (DG HR)
and Interpretation on the scope of the data to be transferred. This will require certain IT adaptations to SYSPER. DG HR is currently mapping out these adaptations and the
resources necessary to implement them. Work will begin in 2018 to implement the necessary IT changes.
Specific objective 2: The quality of interpretation meets
our clients’ needs
Not related to a
spending programme
Result indicator 1: Percentage of satisfaction with the quality of interpretation
expressed by our users
The results of the Customer Satisfaction Survey which DG Interpretation carries out every
2 years enable us to measure whether the quality of our service meets our users’
expectations and to detect areas which can be improved.
Source of data: DG Interpretation’s Customer Satisfaction Survey
Baseline
(2015)
Target
(2020)
This target is considered in line with available
resources. A marginal increase of the
satisfaction could entail a far bigger increase
in costs (i.e. hiring of expensive ACIs not
living in Brussels). This is the reason why the
target is set below the baseline.
Latest
known
results
(2017)
88.7% >85% 90%
Result indicator2: Percentage of recruitment of ACIs with a quality rating ≥ 2
Based on regular quality reports, ACIs are assigned a quality rating by their head of unit
which together with a certain number of points for the professional domicile and the
number of languages offered by the ACI is part of the recruitment coefficient which enables
DG Interpretation to recruit interpreters with the best possible qualifications.
Source of data: SCICView
scic_aar_2017 final Page 105 of 111
Baseline
(2015)
Target
(2020)
Based on past experience, this percentage is
considered achievable but ambitious. Each
extra percentage point in recruitment of ACIs
with a quality rating ≥ 2 costs money, if it
means that DG Interpretation has to recruit
ACIs from outside Brussels to meet the
quality criteria.
Latest
known
results
(2017)
87.7% >85% 89.7%
Main outputs in 2017:
Policy–related outputs
Description Indicator Target Latest known results
(situation on 31/12/2017)
5th Customer
Satisfaction Survey
Satisfaction level of
delegates
>85%
Formalisation of a procedure to follow-up
complaints and communicate them to
all services concerned for consideration when
assigning interpreters Finalisation of the
introduction of new
WebDOR with further improvements and, if
necessary, correction of IT issues
Implementation of procedure
100% Implementation in first half of 2018
Finalisation of the
introduction of new
WebDOR with further improvements and, if
necessary, correction of IT issues
Swift resolution of
any IT issues and on-
going introduction of further
improvements
100% 100%
The first stage of this
project has now been fully and successfully
implemented. Future developments will concern
further improvements to the user interface.
Enhancement of Meeting Report
feedback application to improve user-
experience which should lead to a
diversification of sources of feedback on
quality
Percentage of Commission
meetings getting feedback from
meeting organisers on the quality of
interpretation (currently 20%)
30% 21%
Enhancement of the
use of the "Volontariat"
application allowing better use of
Percentage of
interpreters who enter their profiles in
the system
30%
52% staff interpreters and
26% of all interpreters (including ACIs who have
received at least one contract from DG
scic_aar_2017 final Page 106 of 111
interpreter profiles and
enhanced matching between skills and
preferences and assignment to
meetings
Feasibility study for
the development of an IT solution to
monitor that
assignments correspond to profiles
when interpreters are available
Swift resolution of any IT issues and, if
necessary, on-going introduction of
further
improvements
Delivery
100%
Interpretation)
Study not delivered
No issues reported
Implementation of training activities for
Cuba (The Cooperation
with Cuba is related
to a spending programme using
DEVCO funds)
Training for trainers course
5-month interpreter training course for
beginners
1-month skills enhancement course
for qualified interpreters in 2017
8 trainees + 4 trainers
trained
Objectives fully achieved : - 4 interpreters trainers
participated in a seminar in Brussels in January 2017
- 5 trainees took part in a
five-month interpreter training course in Brussels
(March to July 2017) - 3 senior interpreters
followed an intensive skills enhancement training
course focussed on simultaneous interpreting
(July 2017).
In 2017 DG Interpretation continued to provide high quality interpretation to meet our clients' needs at all levels of meetings and for all languages. Directorate A,
responsible for Interpreters, ensured the continuous quality monitoring of interpreting performance and the follow-up of complaints. In order to maintain the
quality, Interpreters are required to prepare the meetings, receive relevant topical
training, add and maintain languages and in general develop professionally so as to constantly improve the quality of interpretation and language cover.
As well as working with all interpreters to maintain and improve the quality of the interpretation, DG Interpretation has also reached out to our stakeholders to improve
management of complaints. The Directorates within the DG responsible for Interpreters and Interpreter Services Management and Professional Support
(Directorates A and B), continue to work together and the updated procedure will be adopted and implemented in the first half of 2018.
The enhancement of the meeting report feedback application in order to increase
the feedback from meeting organisers fell below target and reached only 21%. Although the revamping of the current interface to make it more user friendly would certainly help
in encouraging organisers to give feedback, the first priority in 2017 was to upgrade the application so that it will be compatible with Windows 10 when it will be migrated in
2018. The IT Development Team in DG Interpretation will include some enhancements in the new release which will improve the reporting module and further improvements will
be made in 2018.
The creation of thematic profiles in the Volontariat has enabled DG Interpretation to
assign interpreters according to their specialisation, training and other knowledge which
they have entered in their profile. In this way, the DG can create specialised pools of
scic_aar_2017 final Page 107 of 111
interpreters who can then be assigned to high-level or particularly technical meetings. In total 26% of all interpreters (including ACIs who have received at least one contract from
DG Interpretation) have drawn up at least one profile.
Unfortunately due to the increased workload in language Units, the feasibility study was
not completed in 2017.
Following the successful implementation of the first cooperation programme with
Cuba in 2017, DG SCIC submitted a concept paper and budget proposal to DG DEVCO with a view to extending the interpreter training activities for Cuba in 2018.
Besides its activities with Cuba, in 2017 DG Interpretation – together with partner DGs -
actively continued to implement cooperation programmes with China, Macao, Russia and African countries (Pan-African Masters Consortium in Interpretation and
Translation – PAMCIT), providing pedagogical assistance and helping develop interpreting capacities in partner countries, public administrations and universities.
Through its international cooperation projects, DG Interpretation promoted in 2017 interpreter training according to the standards developed in EU institutions, thus
contributing to increase the level of quality interpretation in the countries concerned and actively supporting capacity building.
DG Interpretation also strived to foster and develop cooperation with international
organisations and their networks active in the field of interpretation. DG Interpretation contributed at its level to the economic, political and cultural objectives of the EU as
global actor, striving to reach out to other countries, engaging and cooperating with international partners, offering support to develop interpretation capacity and giving
visibility to EU action through its international cooperation projects.
Conferences, events and meetings
Specific objective 3: Services provided in meetings meet
Commission needs.
Not related to a
spending programme
Result indicator 1: Satisfaction of meeting organisers with the services related to
meetings and conference rooms
After each meeting, meeting organisers are requested to fill in a short questionnaire on
their satisfaction with the request procedure, interpretation and technical equipment and
support. The result indicator is the global satisfaction rate with the services provided by DG
Interpretation.
Source of data: WebDOR Feedback
Baseline
(2015)
Target
(2020)
Standard satisfaction rate which is considered
satisfactory and in line with DG Interpretation’s
ability to meet demand from Commission services
(e.g. available facilities, quality of existing meeting
rooms, etc.). A marginal increase of the
satisfaction could entail a far bigger increase in
costs. This is the reason why the target is set
below the baseline.
Latest
known
results
(2017)
96.9% >85% 96.1 % Result indicator2: Satisfaction of meeting participants with the services related to
meetings and conference rooms
DG Interpretation organised its 1st survey on the satisfaction of meeting participants in
scic_aar_2017 final Page 108 of 111
2015 and will carry out a similar survey every two years to make sure that our services are
in line with our customers’ needs and to improve service where necessary.
Source of data: Results of the 2015 Customer Satisfaction Survey on Conference
services
Baseline
(2015)
Target
(2020)
Standard satisfaction rate which is considered
satisfactory. A marginal increase of the satisfaction
could entail a far bigger increase in costs. This is
the reason why the target is set below the
baseline.
Latest
known
results
(2017)
91.6% >85% 90%
Result indicator3: Percentage of multilingual streaming services without incidents
DG Interpretation provides web streaming services (both multilingual and monolingual) for
meetings in Commission meeting rooms managed by DG Interpretation. Streaming
transmissions are both live and on-demand (recorded). The indicator shows the reliability
of this service, by calculating the aggregate amount of minutes without incidents that
affected user satisfaction in the live transmissions.
Source of data: number of hours from SCICView; Incidents registered in log file
maintained by SCIC Streaming
Baseline
(2015)
Target
(2020)
This target is considered satisfactory and in line
with available resources
Latest
known
results
(2017)
98% 98% 100%
Main outputs in 2017:
Policy–related outputs
Output Indicator Target Latest known
results
(situation on
31/12/2017)
Meeting rooms inventory Meeting rooms
inventory
Creation by
July 2017
MoU has
been agreed
with OIB in
order to
produce the
Inventory
Framework contracts for audio
visual equipment and services Framework contracts
Signature by
February 2017
Framework
contracts
signed in
May 2017
scic_aar_2017 final Page 109 of 111
Catalogue of meeting room
services
Catalogue of services Decision by
Steering Board
by June 2017
Presented to
the Steering
Board and
Approved by
the DG in
December
2017
Ticketing system for meeting
room incidents
Ticketing system
implementation
by end 2017
for non-SCIC
rooms
Implemented
in November
2017
Standardised solutions for audio
visual equipment
Standard packages
for most common
meeting rooms
Definition of
packages by
end 2017
First version
of standard
room
packages
made June
2017 and
used for 8
rooms.
Asset management for audio
visual equipment
Agreement on asset
management
Validation by
Steering Board
by end 2017
Presented in
May 2017 to
the Steering
Board.
Included in
the "Terms of
Use" of the
Audio-Visual
framework
contracts
signed by
+/- 20 DGs.
The flagship project of a future Conference Centre for the European Commission
underpins the ability of the Commission deliver on the EU political agenda by offering the
space for inclusive and transparent decision making in the European Union. The future conference centre will replace the current Borschette Conference Centre, which is
approaching the end of its lifespan and will need to be phased out on safety grounds. In 2017, DG SCIC worked closely with OIB – chef the file for the project – and DG BUDG to
prepare the technical specifications needed to launch the call for expression of interest. Following the endorsement at political level, a Call for Expression of Interest for the
Conference Centre 2.0 has been launched in December 2017.
As the corporate meeting room management leader, SCIC has continued to foster a
Commission-wide standardisation of meeting rooms, covering the audio-visual equipment, their maintenance and the related support services. In this domain, a first
important milestone has been reached with the new inter-institutional framework contract for the purchase of audio-visual equipment and services that will help to secure
major synergies and efficiencies gains in terms of savings on costs and improving effective delivery of audio-visual equipment and services across the Commission
services, and other EU institutions and bodies.
Moreover, the new Catalogue of Meeting Room Services together with the
scic_aar_2017 final Page 110 of 111
implementation of a standard Incident Management system will provide more transparent and more responsive meeting room services to meeting organisers and
end users.
Specific objective 4: DG Interpretation’s conference
organisation services meet Commission needs.
Not related to a
spending programme
Result indicator 1: Satisfaction of Commission DGs with the services related to
conference organisation services
This indicator is related to services delivered by DG Interpretation. It reflects the average
scores obtained from the DGs for whom conference organisation services were provided.
The scores rate the satisfaction levels on services provided before and during the event,
including DG Interpretation's staff and financial management.
Source of data: Conference organisers’ ongoing satisfaction surveys
Baseline
(2015)
Target
(2017)
A 90% satisfaction rate is considered by DG
Interpretation's management as an ambitious
and reachable target. A marginal increase of the
satisfaction could entail a far bigger increase in
costs. This is the reason why the target is set
below the baseline.
Latest
known
results
(2017)
90.4% 90% 88% Result indicator 2: Conferences are registered in DG Interpretation
Source of data: n/a
Baseline
(2015)
Target
(2017)
Latest
known
results
(2017)
n/a To be set by the Steering Board on Conference
and Meeting room management
Target still to
be set
Narrative for conference organisers' ongoing satisfaction survey
Main outputs in 2017:
Policy–related outputs
Description Indicator Target Latest known
results (situation on
31/12/2017)
Corporate inventory of
conferences
Event register Finalisation Completed
Broaden catalogue of
conference services offered by DG
Interpretation
Broadened service
catalogue
Service catalogue
extended by September 2017
Completed
Create new framework contracts in the field of
conference or event
organisation
New framework contracts
New contracts created by end
2017
New contracts were not finalised by the
end of 2017 and will
be published in 2018
scic_aar_2017 final Page 111 of 111
Report on conference
organisation activity at the Commission using
the set of performance indicators
Report Report issued by
end 2017
Quarterly overview
of conference activity on My
Intracomm; Customised data +
results of customer
satisfaction survey available on request
The corporate events database (initially named "corporate inventory of conferences”) was completed and is now available on the MyIntracomm pages of DG Interpretation. In
2017, 215 conferences were registered, encompassing a total of 93,387 participants and
budget of 37,926,022.19 EUR.
As noted in a previous comment, the improved site, established in September 2017,
dedicated to conference organisation on MyIntracomm offer new services, such as the online toolkit for Commission staff. The site will continue to improve in 2018 with the
feedback from users and in particular, the Conference Correspondents Community established by SCIC in 2017.
The drafting for the new framework contracts in the field of conference or event organisation were started in 2017. Unfortunately due to a lack of resources, the DG was
not able to complete the drafting work in 2017 and this will be carried over to 2018.
However, clear references were entered in the conference organisation site on MyIntracomm for the existing framework contracts which are available.
Electronically signed on 27/03/2018 11:41 (UTC+02) in accordance with article 4.2 (Validity of electronic documents) of Commission Decision 2004/563
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