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Concise Reporting Concise Reporting and Lessons Learnedand Lessons Learned

Paula Folkes-Dallaire, A/Principal Analyst

Parliamentary Reporting and Accountability Division

Results Based Management Directorate

Expenditure Management Sector

Treasury Board Secretariat

November 2008

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• Improved reporting to Parliament has been identified as an area of concern for Parliamentarians and the Auditor General.

• Improved reporting is one of the key elements of enhancing government transparency and accountability, and is one of the pillars of the Expenditure Management System renewal.

• Addressing concerns over departmental reporting burden is a priority for the Treasury Board Secretariat.

• The Treasury Board Secretariat has developed a vision to improve whole-of-government and departmental reports that better support Parliamentarians in their consideration of the Main Estimates.

Current Context of Public Reporting

A major challenge in moving forward on improving public reporting is the tension between Parliamentarians’ requirement for more information and the drive to produce more concise and readable reports.

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Slide on Layered approach Layered Reporting allows a continuous “drill down” from the most aggregate to the most detailed

Safe and Secure Communities

Expected and actual resultsExpected and actual resourcesIndicators and targets

Whole-of- Government – Layer

Aggregate information on Spending and on Plans and Performance in:

• Whole-of-Government Overview for RPPs

• Canada’s Performance

Comprehensive, Layered, Continuous:

User is able to continuously drill down from the Whole of Government level to detailed financial and non-financial information at the lowest level of the PAA

Economic Affairs

Departmental – Layer

High-level departmental information on:

• Spending, Planning and Performance Indicators

• in concise RPPs and DPRs (30 pages or less)

Electronic – Layer

Detailed information on specific programs and policies

Links to databases and useful policy documents

Social Affairs International Affairs Government AffairsSpending Areas (4)

Government of Canada Outcome areas (13)Canadian

Culture/HeritageHealthy

CanadiansDiverse Society

Citizenship and Immigration RPP

Maximum Contribution to the Economy…

Successful Integration of Newcomers…

Reflection of Canadian Values…

Integration Program

Citizenship Program

SOs

PAs

SA

SSA

• Supplementary information (i.e. sustainable development strategies, audits and evaluations)

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Overview of the Three-year Plan

2007 2008 2009

Activity / Output• Enhanced Guidelines released• Share good practices with Departments • Create process for formal approval of content of reports

Activity / Output • Pilot concise RPPs and DPRs with 4-6 departments• E-requirements determined• Inform parliamentarians of change in structure

Activity / Output • First full roll out of Future State • Promote new Structure with Parliamentarians

Phase I: Working with Departments

Phase II: Piloting Concise RPPs and DPRs

Phase III: Full Implementation of Concise RPPs and DPRs

Result

• Better understanding of future state -- of issues for producers and users

• 08-09 RPP slightly shorter

• Continual improvements to reports shown through assessments

Result

• Printed copy of 07-08 DPR slightly shorter

• Improvements in RPPs/DPRs as seen in DPR assessments

Result

• Reporting regime closer to the ideal or vision – 09-10 RPPs and 08-09 DPRs

• Continual improvements to reports shown through assessments

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Concise RPP Pilot Project

• In September 2007, the Treasury Board Secretariat worked with four departments to pilot test a concise RPP:

– Atlantic Canada Opportunities Agency (ACOA)

– Indian Northern Affairs Canada (INAC)

– Parks Canada Agency (PCA)

– Treasury Board Secretariat (TBS)

• The concise RPP mock-up:– Was based on recognized public reporting principles;– Focused on expected results and planned resources for strategic

outcomes and program activities;– Emphasized the need for less verbiage, and more performance

measures and graphs; and– Encouraged the use of hyperlinks to provide additional details.

• Concise RPPs were tabled in Parliament on March 31, 2008

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Concise DPR Pilot Project

• In April 2008, the Treasury Board Secretariat worked with eight departments to pilot test a concise DPR:

– Atlantic Canada Opportunities Agency (ACOA)– Canada Economic Development Agency for the Quebec Region

(CEDQ)

– Fisheries and Oceans (DFO)

– Industry Canada (IC)

– Indian Northern Affairs Canada (INAC)

– Public Health Agency of Canada (PHAC)

– Public Service Commission (PSC)

– Treasury Board Secretariat (TBS)

• These concise DPRs were originally scheduled to be tabled in Parliament on October 23rd, 2008, but due to the recent election will now be tabled during the next sitting of Parliament in 2009.

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Concise RPP – Expenditure Profile

Spending Trend

$200

$250

$300

$350

$400

$450

$500

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13

$ M

illio

ns

Actual Spending Planned SpendingForecastSpending

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Concise DPR – Financial Highlights

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RPP & DPR Pilot – Lessons Learned

Overall, all pilot departments agreed that the concise RPP and DPR pilot projects were a success, wherein senior management of the pilot departments were engaged and pleased with the end product produced;

Increased utility and relevance of the RPP & DPR within departments, reports are now more streamlined, meaningful, and strategic documents;

Clear presentation of financial information; Built linkages between risks and expected results; Added efficiencies; On time, on schedule, and on budget; and Opportunity to tell a coherent departmental reporting story.

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Good Practices – Parks Canada RPP

2008-09 Allocation of Funding by Program Activity

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2009-10 RPP GuidelinesRPP Planning Summary Table – Section I

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Good Practice – ACOA 2008-09 RPP

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Good Practices - Parks Canada 2008-09 RPP

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2009-10 RPP GuidelinesReporting performance indicators and targets for PAs in Section II

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Good Practices - ACOA 2008-09 RPP

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Good Practices - Parks Canada 2008-09 RPP

From pg. 20

From pg. 22

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Good Practices – Performance Reporting

• For good practices in Departmental Performance reporting, see the latest version of Performance Reporting Good Practices Handbook available online at:

http://www.tbs-sct.gc.ca/dpr-rmr/2007-2008/index-eng.asp

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Improved Reporting – Next Steps

• Full roll-out of concise reporting format across all departments for 2009-10 RPPs and 2008-09 DPRs.

• To assist departments, TBS has produced a suite of products:

• Guide to the preparation of Part III of the Estimates for Reports Tabled in Parliament in 2009,

• Detailed Instructions for the RPP (and DPR – to be updated),• Step-by-Step PDF Technical Guide,• Revised concise RPP mock-up (version 2.0),• Revised concise DPR mock-up (version 2.0),• Good Practices Handbook.

• Community of practice among pilot departments.

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2008-2009 Departmental Performance Report

Best Practices and Lessons Learned

Presentation to the Financial Management Institute Office of the Chief Financial Officer

Loretta L ScottDirector, Planning and Reporting Division

November 25, 2008

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Table of Contents• Context• PHAC Processes• Challenges and Solutions• Efficiencies• Critical Success Factors

– Senior Management– TBS– Innovation– Excellence

• Best Practices and Lessons Learned

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Context …

• Agency was established in 2004• Approximate total number of staff:

2400• 2006-2007 – 2007-2008 PAA

restructuring • RPP contained 357+ commitments

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PHAC Processes … • Call letter• Solicit planner input though use of templates• Draft review with TBS and business case to enter Informal

Pilot• Section II focused on current Fiscal Year; Section V

captured the 3-year horizon information • Teleconference calls and interviews• Draft DPR and circulate for planner review (several times)

vs limited number• August weekend for challenge process • Circulate to Executive Committee for review and

commentary• Executive Committee approval• Chief Public Health Officer approval• Minister of Health debrief• Minister of Health approval

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Challenges and Solutions …

Challenges Solutions

357+ Commitments •Ongoing vs Improvement Agenda•Vignettes – PHAC Facts•Priorities

Change

Management

•Timing for Entry to Informal Pilot -

Opportunity•Senior Management•Planning and Reporting Working Group•TBS

Public

Accountability

•Accountability Table to track all

commitments

Which ones?

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Challenges and Solutions …

Challenges Solutions

TBS Guidelines •Flexibility and Creativity•PHAC MAF–DPR Checklist (Annex A)•Previous Guidelines

Redundancies •Strict adherence to Section II and

complementary input into Section V for

intentional redundancies

Evaluations •Audits, and other Independent Lines of

Evidence

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Efficiencies …• DPR size / volume • Clear and focussed priorities and plans

– Expected Results and resources for Strategic Outcome and Program Activities

– Hyperlinks to support details

• Number of drafts for review by planning community

reduced • Lessons Learned - one summary section at the end of

Section II for conciseness– Less verbiage

• Financial efficiencies through highlights– Brief summaries/descriptions– Graphs, bar charts

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Critical Success Factors …

• Senior Management Support• TBS Support• Innovation• Excellence

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Senior Management Support …

• Support, support, and more support … for change, and for excellence

• Creative advice – Communications on Vignettes - PHAC Facts

• Timely turn around advice and guidance by Executive

• Challenge process enabled by concise reporting for Legal, EC, Audit

PHAC facts...

The Agency has Canada’s foremost field epidemiology training program which has produced some of the country’s leading medical and public health professionals. This program has contributed to the investigation of outbreaks and environmental health risks across Canada and around the world.

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TBS Support …

• Provided the opportunity• Provided a challenge function• Delivered timely review, advice and

guidance• Provided encouragement• Helped complement PHAC objective

of achieving excellence

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Innovative Approaches …• PHAC Facts

– Concise facts to address evaluation, audits, …independent lines of evidence, regional input

• Accountability Table– Tracks 357+

• PHAC MAF Rating and DPR Guidelines Checklist– Evaluation Checklist

• Financial Highlights– Reader Attention – Retention– Based on detailed work at organizationallevel– “Briefing Note” form of methodology to simplify the story– Quality underlies format which supports public reporting principles Liabilities by Type

76%

5%

1%

18%

Accounts payable and accrued liabilitiesVacation pay and compensatory leaveEmployee severance benefitsOther Liabilities

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Excellence … • Tell the story in short, simple easy to read

manner– Financials too!

• Challenge Agency planners and Corporate Planning and Reporting Division Team to achieve excellence – go beyond status quo re MAF

• Audit Committee challenge and advice• Evaluation advice• Risk Management advice, guidance• Executive advice, review and approval• Planning and Reporting Division challenge

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Best Practices and Lessons Learned …

• PHAC MAF-DPR Checklist – “Hold the feet to the fire”• Evaluations – Not done at Program Activity level, work is

long term and ongoing thus impacting evaluation quality, highlighting the need for other sources of evidence

• Critical Few Lessons – Summarize lessons learned in one section

• Weekend Challenge through Cross Review - Road to excellence by identifying and addressing gaps, redundancies, and fine tuning

• Section II vs Section V usage• Shortened calendar timelines

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Best Practices and Lessons Learned - The ABCs

• Accentuate the positive aspects of the

experience• Build rapport and relationships• Challenge thinking and concepts• Discuss issues• Engage, and embrace the opportunity

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Contact InformationLoretta L. ScottDirector, Planning and ReportingPlanning and Reporting DivisionsOffice of the Chief Financial OfficerPublic Health Agency of Canadaloretta_l_scott@phac-aspc.gc.ca

613-957-2457 (W); 613-219-4214 (C)

Planning Team:Guus Saaltink – guus_saaltink@phac-aspc.gc.caDaniel Hogan – daniel_hogan@phac-aspc.gc.ca

Streamlined RPP PilotParks Canada’s Experience

FMI Conference

November 25, 2008

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Streamlined RPP- Overall Comments

Pilot was successful in meeting its primary objective: support from Minister’s Office

Streamlined RPP = primary audience is now clearly identified

Streamlined RPP now clearly corresponds to CEO’s accountability to Parliament

Streamlined RPP = less efforts spent on process and more on strategic planning

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Streamlined RPP- Section I

Funding Profile: better integration of financial and non-financial information

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Streamlined RPP- Section I

Priorities: reinforced the importance of priority setting as part of corporate planning exercise

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Streamlined RPP- Section I

• Risks and Mitigation Strategies: increased attention was paid to Integrated Risk Management

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Streamlined RPP- Section II

Structure of the RPP makes it easier for managers to understand the purpose of MRRS related work and strengthens linkages between planning and reporting

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Streamlined RPP- Staff Comments

RPP is easier to read

Clearer corporate direction

It makes our life easier (re: reduced workload)

Industry Canada’s Success with the Concise DPR Pilot

FMI Conference

November 2008

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Purpose

Present the improvements to Industry Canada’s 2007-2008 DPR

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TBS DPR Pilot

Participate with the following departments– ACOA – INAC– TBS

Produce a more concise DPR:– 30 pages maximum– Move to a layered approach (more online

information)

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Initial DPR Pilot Benefits

Gave the priorities that we had earlier identified more weight

Forced the department to tell a more concise performance story

Created a more user friendly document

New opportunity to showcase financial information and linking resources to results

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Industry Canada’s Concise DPR Action Plan: Four PrioritiesPriority: Balanced Reporting – Lessons Learned

Issue

Traditionally DPRs report that everything went well. Balanced reporting increases credibility and transparency by requiring DPRs to report where activities did not achieve expected results.

Mitigation

Briefed key stakeholders within Industry Canada (Communications Branch, DMO, and MINO) to make them aware our goal was to bring a more balanced draft forward earlier in the process.

Held a one-day session with our network planners to discuss this issue (invited TBS officials to speak on this subject).

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IC’s Concise DPR Action Plan: Four Priorities

Balanced Reporting – Lessons Learned

Result

Lessons Learned

Industry Canada carries out its mandate in a fast-paced environment of continually shifting priorities. The department has responded to this environment by accelerating the implementation of some initiatives to meet tight deadlines and has learned that any failure to consult targeted stakeholders during accelerated initiatives results in the need to make modifications at a later date to ensure those stakeholders are well served. This is particularly true in the development of marketplace frameworks.

In response, Industry Canada has renewed its commitment to using a measured and focussed approach to ensure that all stakeholder views are brought to the table prior to implementation. By following through on this commitment, Industry Canada will improve stakeholder satisfaction and reduce the number of modifications that are required.

Clearly titledLessons Learned

“Hot Box” makesthe sectionstand out

Lesson

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IC’s Concise DPR Action Plan: Four Priorities

Priority: Balanced Reporting – Trend Analysis

Issue

In the 2007-08 RPP Industry Canada did not set targets against performance indicators.

Need to find a way to tell our performance story.

Mitigation

Used the results reported in the 2006-07 DPR as a baseline to measure our performance in 2007-08.

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IC’s Concise DPR Action Plan: Four Priorities

Balanced Reporting – Trend Analysis

Result

Indicator Results Trend

Investment in machinery and equipment as a proportion of GDP

Canada invested 7.47 percent of GDP in machinery and equipment in 2007.[1]

No Change

Use of ICTs Business and government use of ICTs rose to 77.5 percent and 99.88 percent respectively in 2006.[2]

Improving

Trend

Indicator information is centrestage following SO’s and PA’s

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IC’s Concise DPR Action Plan: Four Priorities

Priority: Spending Variances

Issue

In past DPRs the causes of significant differences in actual spending and planned spending were not discussed.

MPs cannot review DPRs to determine if the Department is budgeting correctly.

Mitigation

Communicated that “telling an effective performance story” also meant discussing variances in spending.

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IC’s Concise DPR Action Plan: Four PrioritiesPriority: Spending Variances

This priority proved to be the most difficult to obtain. Lead to some confusion as people did not know if they needed to

account for every spending variance (would be difficult to obtain a smaller document).

We determined, following consultation with TBS, that we should explain the significant or material variances.

Question of reasonableness.

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IC’s Concise DPR Action Plan: Four Priorities

Spending Variances

Result

Financial Resources ($ millions)2007–08

Planned Spending Total Authorities Actual Spending

68.6 180.2 $168.6

The variance between the planned and actual spending in 2007–08 is attributed to a statutory payment of $108.4 million that was made in 2007–08. It was a loan loss sharing program, in partnership with private sector financial institutions, that was wound down in 2007–08 and a claim of $108.388 million was paid to the lender.

Discussion

Significant differenceof $ 100M

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IC’s Concise DPR Action Plan: Four PrioritiesPriority: Referencing External Information (i.e. web links)

Issue 2006-2007 DPR contained 23 web links.

Mitigation Provide externally verifiable information (i.e. web link or footnote

source) with each accomplishment made as applicable.

Result 2007-2008 DPR: over 100 web links

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IC’s Concise DPR - Challenges30 page maximum document with a layered approach

Issue

Industry Canada has fifteen (15) program activities – cannot easily craft a performance story

2006-07 DPR was 92 pages in length

Mitigation

Allow for only ¼ page for each program activity – 2007-2008 DPR is 40 pages. TBS recognized that larger

departments may require more than the 30 pages allowed Create separate online web pages for each program activity

(allowed the department to tell a more fulsome performance story)

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IC’s Concise DPR - ChallengesLinking Resources to Results and showcasing financial

informationIssue How to link resources to results while shortening the number of

financial tables 2006-07 DPR had 20 pages of financial and non-financial

tables as well as information online

Mitigation Briefed key stakeholders within Industry Canada (Communications

Branch, DMO, and MINO) to make them aware our goal was to bring a more balanced draft forward earlier in the process

More graphical representation of resources

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Graphical Representation of Financial Information

New Expenditure Profile in Section 1 of the DPR which includes two financial tables which were moved from the back of the document: Planned and Actual Spending Table Voted and Statutory Items Table

Section 3 is now a Financial Highlights Section More like an Annual Report 3 pages in length with graphical representation

of Industry Canada’s liabilities, assets and expenses

Section 2 has graphical representations of spending distributions by Strategic Outcome

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Key Factors To Success

TBS involvement – timely review of our draft DPR documents ensured that our product was of top quality

Senior management engagement (including DMO and MINO) – engaging senior management early in the process

Internal collaborative approach with IC sectors and Resource Management Division

Be Creative- Spending graphs

- Trends vs Targets

- Wiki

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