DOD (Def Sec & SANDF) 3 rd Quarterly Performance Report for FY2012/13

DOD (Def Sec & SANDF) 3rd Quarterly Performance Report for FY2012/13 Presentation to the Portfolio Committee on Defence and Military Veterans (PCD&MV) 13 March 2013

AIM Information Brief on the Department of Defence (Def Sec & SANDF) 3rd Quarterly Performance Report for the FY2012/13 RESTRICTED

SCOPE • Legislative Requirements • Summary of Quarterly Performance Targets RESTRICTED

LEGISLATIVE REQUIREMENTS • In terms of Section 38(1) (a) (i) and (ii), of the Public Finance Management Act (PFMA), Act 1 of 1999 as amended, the “Accounting Officer for a department must ensure that the department has and maintains effective, efficient and transparent systems of financial and risk management and internal control; and a system of internal audit under the control and direction of an audit committee”. • The Treasury Regulations, par 5.3.1 states that, “the accounting officer of an institution must establish procedures for quarterly reporting to the executive authority to facilitate effective performance monitoring, evaluation and corrective action.” • The Framework for Strategic Plans and Annual Performance Plans, states that the quarterly report “provides the Accounting Officer with an opportunity to indicate measures that will be taken to ensure that implementation of the Annual Performance Plan remains on track” and that quarterly reports must be submitted to the National Treasury and the Auditor-General for auditing purposes. RESTRICTED

Appendix A: Summary of Quarterly Performance Targets Red – high risk / certainty (major action is required) Amber– moderate risk (remedial/corrective action required) Green – low risk / on course (No major action is required) Note: “-” in tables indicates no quarterly targets published in APP 5 RESTRICTED

DEFENCE SECRETERIAT 6 RESTRICTED

OVERVIEW OF THE DEFENCE SECRETERIAT The Def Sec consists of the following Sub-Programmes: Departmental Direction Government Information Technology Officer (GITO) Policy and Planning (Defence Policy, Strategy and Planning) Financial Services Acquisition Services (Defence Matériel) Defence Supply Chain Integration Defence International Affairs 7 RESTRICTED

Summary of Quarterly Performance Targets 1 SANDF (CMIS) is responsible for Indicator and target and will report accordingly. 2 A promulgated Department of Defence Information Strategy must be in place to guide the department and the Department of Defence Information and Communication Technology Strategy to enable Information to realise as a strategic resource. Continuous scanning of the external environment is done to determine the validity of the Department of Defence Information Strategy and will indicate when it should be revised and tabled for promulgation. 8 RESTRICTED

Summary of Quarterly Performance Targets 9 RESTRICTED 9 3Ten (10) Policies at the office of the C SANDF awaiting approval.

Summary of Quarterly Performance Targets 4 AG Report only received end of August by AGSA – automatic extension of target date by one month as per policy. 5 The further development of the DOD Policy Research capability is on hold until the employees critical to the development of the capability are released from their responsibility to the Defence Review process. 10 RESTRICTED

Summary of Quarterly Performance Targets 11 RESTRICTED

Summary of Quarterly Performance Targets 6The White Paper on the South African Defence Related Industries, December 1999, states inter alia that one of the initiatives launched to sustain strategic technologies and capabilities was to increase the capital equipment replacement to approximately 30% by 2001. 7Comparison between DOD Budget Vote and Def Mat Div (SCAMP: Capital SDA+SDP) Budget Vote – Not including SDA rollovers and maintenance & support at Services & Divisions. 8Based on international best practice and benched marked with BRICSA countries. 9Comparison between Def Mat Div (SCAMP: Capital SDA+SDP) Budget Vote and Technology Development Budget Vote. 12 RESTRICTED

Summary of Quarterly Performance Targets 10The annual target of 4% contains development of a policy on GRC, improvement on supply chain monitoring systems, and successful mitigation of risks. It is believed that non-compliance will be reduced by 4% should all these mechanisms are put in place 13 RESTRICTED

SANDF 18 RESTRICTED

OVERVIEW OF THE SANDF • The outputs, performance measures and targets of the Enablement and Service Delivery Programmes (Programmes 2 - 8) reflect the core outputs of the SANDF. These programme are as follows: • 2 - Force Employment • 3 - Landward Defence • 4 - Air Defence • 5 - Maritime Defence • 6 - Military Health Support • 7 - Defence Intelligence • 8 - General Support • It must be noted that although the quarterly report serves to account for performance against the unclassified SANDF APP, some of the information provided to describe the reasons for deviation are sensitive. 19 RESTRICTED

SANDF STRATEGIC OUTCOMES AND OUTPUTS Prepare Mission-ready Capabilities 4 and 5. Incorrect reporting during the first two quarters CONFIDENTIAL 20

SANDF STRATEGIC OUTCOMES AND OUTPUTS Execute Ordered Commitments 5 and 6. No verification reports received from UN. CONFIDENTIAL 21

SANDF STRATEGIC OUTCOMES AND OUTPUTS Provide Defence and Strategic Direction CONFIDENTIAL 22

SANDF STRATEGIC OUTCOMES AND OUTPUTS Compliance with the Regulatory Framework CONFIDENTIAL 23

SANDF STRATEGIC OUTCOMES AND OUTPUTS Strategic Outputs and Annual Targets for MTSF Outcome 2 CONFIDENTIAL 24

SANDF STRATEGIC OUTCOMES AND OUTPUTS Outputs and Annual Targets for MTSF Outcome 5 CONFIDENTIAL 26

THANK YOU 28 RESTRICTED

DOD (Def Sec & SANDF) 3 rd Quarterly Performance Report for FY2012/13