Interim findings and findings by Public
Service Agreement
"For any organisation, monitoring and
measuring performance are fundamental to improving the management
of resources and the delivery of services. So the slow
progress being made by some government departments in achieving
better quality information about their own performance is a matter
for concern. The NAO has found that some one third of the PSA
data systems used by departments have weaknesses and just over a
tenth remain unsatisfactory.
"Departments now have the
benefit of lessons from a decade or more of outcome-oriented
performance management. The Treasury has issued good guidance
reflecting that experience: it now needs to enforce its
application."
Amyas Morse, head of the National
Audit Office, 21 October 2009.
Despite a small improvement in the quality of
the data systems used by government departments to monitor their
progress against their Public Service Agreements (PSAs), there are
still many areas for improvement - with 11 per cent of systems
rated red, according to a report by the National Audit Office.
Good quality data systems enable departments
accurately to report their performance against PSA to Parliament
and the public. They also play an important role in helping
departments improve programme management and performance; assess
whether they need to revise policies and programmes; allocate
resources; and make other policy decisions. PSAs were
introduced in 1998 to promote performance improvement and increase
the accountability for government resources. The Comprehensive
Spending Review in 2007 set a new performance framework with a move
to a cross-departmental system and the streamlining of the number
of PSAs, indicators and targets.
According to today’s report, 89 per cent of
data systems in departments are at least broadly appropriate for
measuring progress against their PSAs. This is a modest
improvement when compared with previous sets of PSAs. There
has also been an improvement in the clarity and presentation of PSA
monitoring information, making it easier to understand the
significance of any issues arising and which organisations are
responsible for delivery.
But there is still room for
improvement. In 2007, HM Treasury reduced the number of PSAs
and national targets. Instead a premium was placed on high quality,
timely data. It is unacceptable that 34 per cent of data systems
still have weaknesses and 11 per cent remain unsatisfactory.
Many of the weaknesses in the data systems
stem from departments failing formally to consider the quality of
data needed to check progress on their PSAs and an associated lack
of formal risk assessment. Despite HM Treasury issuing good,
comprehensive guidance on the development of indicators which help
departments know if PSAs were being met, departments did not
consistently apply this guidance and HM Treasury did not enforce
its application.
Publication details:
HC: 465, 2008-09
ISBN: 9780102963205