Annual Report for the year ended 30 June 2009
Part 3: Statement of service performance (continued)
Output Class - Audit and assessment of performance
Description
This output class involves conducting for the Minister of Defence:
- audits and assessments of any function, duty or project of the NZDF
- audits and assessments of the Ministry's procurement, replacement or repair of major military equipment
- audits of the controls on hazardous substances under the control of the Minister of Defence, as required by the Hazardous Substances and New Organism Act 1996.
Objective
To provide the Government with independent audit advice on the performance of the NZDF and the procurement activities of the Ministry of Defence. This is achieved through the satisfactory completion of an approved schedule of audits and assessments, and of other audits and assessments as required by the Minister of Defence.
| Performance Measure | 2008/09 Budget |
2008/09 Actual |
|---|---|---|
| Delivery of a target number of audit reports to the Minister of Defence. |
15 - 18 | 15 |
| Reports will be of quality, timeliness and effectiveness that is acceptable to key stakeholders. |
Achieved | Achieved |
| Audits will be performed in accordance with the Ministry's Auditing Standards. | Achieved | Achieved |
** All future prime and ancillary contracts costs are considered commitments.
Performance
Fifteen evaluation reports were completed during the year, covering a wide range of topics. These included the management of NZDF heritage properties, the implementation of Govt3 initiatives, the effectiveness of the Joint Logistics and Support Organisation, and the New Zealand Army's Logistic Executive. Audits were also conducted of the NZDF's corporate performance management systems, arrangements for business continuity management, management of orders and instructions, handling of Ministerial information requests, and management of the Defence Transformation Programme.
Audits were conducted of the RNZAF's aircrew personnel planning, and recruitment and retention policies for civil staff. The arrangements for supporting new equipment were examined, and a review was conducted of the RNZAF's operational test and evaluation of its modified Boeing 757 aircraft.
Assessments of the delivery of two NZDF outputs were completed.
The quality, effectiveness and timeliness of reports was achieved through the use of risk assessment to identify matters for the audit programme, the application of Evaluation Division policies, procedures and standards, and peer and managerial review. The views of the Secretary of Defence and Chief of Defence Force were sought to confirm that the quality and effectiveness of audits and assessments was acceptable.
Cost of Output Class - Audit and assessment of performance (GST exclusive)
For the year ended 30 June 2009
| 30/6/2008 Actual $000 | 30/6/2009 Actual $000 |
30/6/2009 Main estimates $000 |
30/6/2009 Supp. estimates $000 |
|
|---|---|---|---|---|
| Revenue | ||||
| Crown | 1,842 | 1,854 | 1,842 | 1,854 |
| Other | 26 | 56 | 67 | 67 |
| Total revenue | 1,868 | 1,910 | 1,909 | 1,921 |
| Expenditure | ||||
| Personnel | 1,235 | 1,269 | 1,362 | 1,349 |
| Operating | 562 | 553 | 547 | 572 |
| Total expenditure | 1,797 | 1,822 | 1,909 | 1,921 |
| Surplus | 71 | 88 | - | - |
