Integrated Risk-Based Audit and Evaluation Plan 2016 to 2017: 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: 
  AEB will finalize 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.
• Professional Development and Designations 
  A priority remains to ensure that staff have 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 is a range of relevant professional accounting and auditing designations. Currently, about half the professional internal audit staff has a professional 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 2016-17, 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 2016-17 totals $3,471K and reflects a total staff complement of 29 FTEs, as detailed in the following table. This includes the normal budget for Branch recurring operations ($3,286), as well as supplemental budget for specific and “predetermined projects” ($185K) that relates to specific program evaluations. The Branch's normal budget is comparable to last year’s budget ($3,193), and the increase of $93K is due mainly to increased salary costs.

At the time this RBAEP was completed, AEB’s planned resources were endorsed by EAAC and formally approved through ECCC’s budget allocation exercise. This RBAEP and the planned projects are consistent with the planned budget presented below.  The AEB management team expects to be fully able to deliver the 2016-17 audit and evaluation projects, as presented in this document. Should the feasibility of delivering on the RBAEP be constrained by available resources or other factors, the CAEE will consult with EAAC and/or DEC as required, 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 2016-17) would be similar to those planned for 2016-17.

Notes:

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 2,780 person-days (PD) available to undertake audit and evaluation projects and related activities. The resources available for projects - PD and professional services - are summarized in the following table.

The project resources pertain only to the audit and evaluation directorates, and do not reflect the requirements for SPC, the Director General’s Office, EAAC and general management and administrative functions. The summary demonstrates that there is a small difference of roughly 220 PDs or 7% between the total resources available and planned for projects (2,780 and 3,000 PDs), mostly related to the evaluation plan and the expected consultation and support to the implementation of the new TB Policy on Results.  While we anticipate sufficient budget flexibility and resources to emerge during the year to address this shortfall (e.g. resources at mid-year review), the situation will be monitored and reviewed as required at the mid-year RBAEP update exercise.

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 ECCC branches.