Performance Budgeting & Performance Indicators

1. Performance Budgeting& Performance Indicators Challenges & Opportunities for DFAT MAC+ 8 Oct 2012

2. Performance Budgeting & Performance Indicators Presentation Outline Background to expenditure reform Challenges for DFAT Selecting performance indicators Lessons from other Foreign Ministries Feeding into our Business Planning cycle

3. Performance Budgeting & Performance Indicators Reform of the Public Expenditure Framework Planning for Sustainable Public Expenditure Multi-annual expenditure framework Evidence-based Expenditure Policy Performance-based budgeting Accountability to the Oireachtas and the Public

4. Performance Budgeting & Performance Indicators Performance informed Budgeting Relates resources to measurable results (as outputs/outcomes) Results – together with other information –used to inform budget decisions Performance information is part of the decision-making process but does not determine resource allocation

6. Performance Budgeting & Performance Indicators Challenges for DFAT Many results not easily measured Relevant data difficult/expensive to collect Outcomes frequently beyond the control of DFAT Performance information not easily tied to resource allocation

7. Performance Budgeting & Performance Indicators Measuring performance “What gets measured gets done” - how can we ensure that the less easily measured areas of our work are not neglected? Minimise the potential for perverse or skewed performance Understand the link between activity & outcome Be clear in our objectives How can we use the data we already collect?

8. Performance Budgeting & Performance Indicators Learning from others - Measuring difficult to capture aspects of policy Qualitative assessment (own indicators, assessments from missions etc.) Quantitative data from international organisations (UN, Transparency International, Crisis Watch, etc). Levels of stakeholder satisfaction (require formal channels in place to capture and measure sentiment)

9. Foreign Affairs & International Trade Canada, Annual Report 2010-11

10. Performance Budgeting & Performance Indicators Measuring ‘failure’ “While Canada received the support of a significant number of countries, ultimately it was not successful in its bid for a non-permanent seat on the UN Security Council for 2011-12. Canada ran a principled campaign, based on its values of democracy, freedom, human rights and the rule of law.” Foreign Affairs & International Trade Canada, Annual Report 2010-11

11. Performance Budgeting & Performance Indicators Outcome 1: New Zealand’s security and economic interests safeguarded through its political and security relationships NZ fully engages Australia, improving our ability to advance NZ interests position NZ to capitalise on economic growth and development in Asia consolidate improvements in the bilateral relationship with the United States as a new level of ‘business as usual’ establish a more influential relationship with the European Union (EU). In our Statement of Intent 2010–13 we set out two medium-term indicators of our success our ability to engage other countries at the highest levels (e.g. Head of Government, Foreign Minister) other governments take our position into account in their decision making. New Zealand Ministry of Foreign Affairs & Trade, Annual Report 2010-11

12. More easily measured work is best presented graphically

13. Performance Budgeting & Performance Indicators

14. Performance Budgeting & Performance Indicators Strategy & Performance Division OrlaMcBreen #2648 Lesley Ní Bhriain #2655 <END>