Audit of capital assets management: chapter 4

3. Recommendations

To address the issues identified in the audit findings above, we present the following recommendations.

Recommendation 1

Corporate Services Branch (CSB), in consultation with the branches that manage capital assets, should develop and implement a comprehensive framework, including policies, that formally defines the accountability for the lifecycle management of capital assets, including a better definition of roles and responsibilities for major lifecycle management functions.

Management Response to Recommendation 1:

Agreed. The management of capital assets will be accomplished through the establishment of an Environment Canada Asset Management Framework for both capital and non-capital assets.

Recommendation 2

Corporate Services Branch (CSB), in consultation with the branches that manage capital assets, should better define the key information that is required to manage capital assets throughout their lifecycle, including the identification of key cost and performance information. Information systems should be enhanced to allow them to capture the required information and to produce the necessary key reports.

Management Response to Recommendation 2:

Agreed. This action item will be fully accomplished once the department has migrated to the new SAP financial system and the Assets Management Module has been completed.

Recommendation 3

Finance Branch (FB), in consultation with the branches involved in the Integrated Planning Process should improve the tools that support the IIP process to make it more efficient and incorporate additional information to ensure better informed investment decisions making.

Management Response Recommendation 3:

Management agrees with the recommendation.

Finance Branch (FB) will continue to make improvements to the IIP process, including making the tools used to develop capital plans more efficient through the use of eCollab.

Additionally, FB will undertake to identify opportunities to improve the information available to capital investment decision-makers through its annual review of the capital planning process.