Skills development for non-core financial managers in the North West Provincial Departments - a financial management perspective and an imperative for service delivery improvement

Abstract

The primary research problem revolves around lack of basic financial management skills (e.g. financial management, project management, strategic management, computer literacy, supply chain management, risk management, compliance with legislation and various regulations) among the non-core financial managers in the North West Provincial departments. These managers have been entrusted with the responsibility to manage public funds, and subsequently deliver services in terms of their departmental strategic objectives. These strategic objectives are linked to national and provincial departmental service delivery mandates, in line with government priorities. Non-core financial managers are involved in major operational activities of government, and are also the producers of crucial government information and reports, and therefore they need basic financial knowledge or skills, coupled with soft skills (motivation, time, conflict and stress management, etc.) to be able to respond to the basic questions raised by the report users. In the case of the North West Provincial Government, the main purpose of the research was to investigate basic financial management skills levels of non-core financial managers, the impact thereof on service delivery, and to develop strategies to address the shortcomings identified. Research methodology A questionnaire was used to collect data from non-core financial managers at post levels 9 to 12 within various departments in the North West Provincial Government, using the PERSAL salary administration system as the source of information. A number of interviews were also conducted with various management officials from the North West provincial departments, within different functional areas, including human resource development managers. The individuals interviewed also included seniors managers. The outcomes of the study The results of this research have provided more evidence that the majority of non-core financial managers do not have the requisite basic financial management skills to be able to manage public funds. What is of critical importance is that basic financial management skills cut across these managers' day-to-day operational activities, hence the importance of developing these officials in this discipline of financial management. The implication of the findings of this study is quite clear that the North West Provincial Government will find it difficult to achieve its service delivery mandates, given the huge challenge it has in terms of shortcomings in financial management skills for the non-core financial managers. Structured financial skills development interventions, in conjunction with proper implementation of the Performance Management Development System, should be put in place in order to address the identified problem of critical financial management skills shortages.