Archived: Integrated Risk-Based Audit and Evaluation Plan 2015-2016: chapter 8

Appendix C. Branch and Project Resources

1. Human Resources

AEB's ability to deliver on its plans and priorities, and to provide value-added services and advice to senior management, is dependent foremost on the capacity of its staff. This capacity is largely determined by AEB's success at recruiting, developing and retaining an effective mix of professionals with the education, knowledge, expertise, experience and competencies required to support the Branch's mandate and complex projects. AEB is taking a number of steps to ensure it will maintain and develop its capacity.

• HR Strategy and Plan:
  AEB will finalize and implement its HR Strategy to better define its capacity requirements in support of its longer term needs, as well as its key objectives in related areas such as succession planning, professional development and professional designations/certifications. AEB will also update its HR engagement plan, in consultation with staff, to better reflect current context and challenges.
• Succession Planning
  AEB will continue to develop its succession plans and targeted actions to ensure it maintains key personnel and expertise in specialised areas that are at higher risk. In this context, AEB will pursue initiatives to reinforce capacity in the areas of internal audit management, strategic planning and coordination, and professional practices.
• Professional Development and Designations
  An essential priority remains for AEB to ensure that staff has the necessary professional qualifications, expertise and skills to carry out their responsibilities, and that ample training and development opportunities are provided to maintain and develop their competencies. AEB will maintain a basic training and development budget for each employee, as well as provide additional funding based on specific needs and requests. Also, we will ensure that each employee has a plan to help better define their learning and development needs and planned activities.
  Training will also continue to be available to support professional accreditation and designations, particularly in internal audit where there are a range of relevant professional accounting and auditing designations. Currently, about half the professional internal audit staff has an auditing or accounting designation, or are in the process of obtaining one.
• Performance Management
  Consistent with government and departmental objectives, AEB will continue to enhance its approach to staff performance management in 2015-16, to better ensure that all employees are well supported and are provided the necessary tools and training.

2. Branch Budget

AEB’s planned budget for 2015-16 totals $3,328K and reflects a total staff complement of 28 Full Time Equivalents (FTEs), as detailed in the following table. This includes the normal budget for Branch recurring operations ($3,193), as well as supplemental budget for specific and “predetermined projects “($135K) that relates to funds received for specific program evaluations. The Branch's normal budget is very comparable to last year ($3,246K and $3,193), and the minor decrease of $53K is attributable to various factors both in salary and O&M.

For comparison purposes, AEB final 2014-15 year-end expenses totaled $3,312K after consideration of in-year budget adjustments, and excluding $527K expenditures for program specific evaluations (i.e. predetermined projects). An additional funding adjustments received during the year ($80K) related primarily to the need to compensate for staff on medical leave.

At the time this RBAEP was being completed, the Department’s 2015-16 initial budget allocation exercise had been completed. However, while AEB’s planned resources had been endorsed by the EAAC, they had not yet been formally allocated. The RBAEP and the planned projects are based on the AEB planned budget presented above, and should the final approved resources be significantly different, AEB will need to review and update this RBAEP accordingly.

The AEB management team expects to be fully able to deliver the 2015-16 audit and evaluation projects, as presented in this document. Should the feasibility of delivering the RBAEP be cons-trained by available resources or other factors, the CAEE will bring this to the attention of the EAAC and/or DEC for consideration, and will recommend any necessary changes to the DM.

For multi-year planning purposes, the RBAEP is based on the assumption that resources available in future years (i.e. after 2015-16) would be similar to those planned for 2015-16.

3. Project Resources

AEB’s planned budget and staff complement includes a total of 20 FTEs in the internal audit and evaluation directorates, which translates into approximately 2,720 person-days available to undertake audit and evaluation projects and related activities. The resources available for projects - person-days (PD) and professional services - are summarized in the following table.

Note that the project resources pertain only to the audit and evaluation directorates, and do not reflect the requirements for SPC, DGO, EAAC and general management and administrative functions. The summary demonstrates that there is a minimal difference (deficit) between the total resources available and planned for projects (2,720 and 2,755 person-days).

Notes:

1. Directorate Resources for the Audit and Evaluation Directorates corresponds to budgeted FTEs converted to PDs and adjusted for staff’s estimated statutory holidays and leave.
2. Resources Available represents total PDs directly available to undertake audit and evaluation projects. It is based on estimated Directorate Resources adjusted for support staff and non-project related time (e.g. management, training, conferences, support staff’s time and general administration and support).
3. Resources Required are the PDs required for Audit and Evaluation projects per the detailed plans presented in Appendices A and B. Minor differences between Project PD Available or Required represent small shortfalls or excesses (i.e. Contingency).
4. Total Resources Planned are the total PDs required to meet the plans (item 3) and the Audit Directorate’s resources planned for Audit Liaison and Coordination with external assurance providers such as the CESD.
5. Average Salary Cost per PD is the initial salary budget of the Directorates divided by the Total Directorate Resources.
6. Professional Services is the budgeted cost of professional services planned in support of projects as detailed in the plans presented in appendices. The evaluation professional services include predetermined amounts for evaluation. As well, portions of these costs are to be recovered from other departments or EC branches.