Transcript Document

Results-based Planning in Ontario
Financial Management Institute - Ontario Chapter
October 21, 2009
Carlene Jackson, Director
General Government, Planning and Resources Branch
Overview
 Ontario’s approach to business planning
 What is results-based planning?
 Key components of good plans
 Performance measures in business planning
• What should measures do?
• What is needed to support effective results-based planning?
 Results-based planning and the strategic fiscal cycle
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Context: Results-based Planning in Ontario
 New results-based planning framework introduced in 2003 to guide
public sector management in Ontario
 Drivers for change included:
 Ongoing fiscal challenges to do more with less
 Rising public expectations for government relevance, effectiveness,
efficiency and transparency
 Most service delivery by transfer payment recipients
 Changing accountability relationships with other levels of government,
service delivery agents
 Influenced by experience of other jurisdictions (the federal government,
UK, Australia, New Zealand, Washington State, Oregon, British Columbia
and Alberta)
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What is Results-based Planning?
 Comprehensive, government-wide approach to resource allocation and
accountability ensuring that government-funded activities are aligned with key
government priorities
 Policy direction and key priorities are set by Cabinet
 Completed annually on a multi-year basis
 Supports the Budget and fiscal plan
 Process designed to promote:
 Results delivery
 Value for money
 Accountability and transparency
 Quality service (internal and external)
 Flexibility to respond to changing conditions
 Treasury Board Office (TBO) provides guidance and direction to Ministries on
the annual RbP process
 Ministry-submitted Results-based Plans (RbPs) are reviewed and presented to
Treasury Board/Management Board of Cabinet (TB/MBC) for decision-making
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Managing for Results in Ontario
The current economic context requires hard choices and discipline
 Integrate planning, budgeting and
measuring performance, aligned with
priorities, results
 Responsibility for delivering on
priorities and commitments is shared,
horizontal
 Between/among ministries
 Between ministries & broader
public sector providers
Premier / Ministers
Strategic Direction
Leadership
Priorities
& Results
 Accountability for results is shared,
horizontal – performance
measurement the key tool
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Why Are Plans Needed?
 A Ministry’s RbP articulates its plans for achieving government priorities and ministry
mandate commitments within its minuted multi-year allocation

The government articulated its priorities to Ontarians in the Speech from the Throne and its
five-point economic plan for growth and job creation.

As part of the government’s plan for implementation, a number of priority commitments have
been established for Ministries.

Resource requirements for new or changed funding commitments

Current and out-year risks to the fiscal plan
 Ministry RbPs form the building blocks of a multi-year process designed to provide
decision-makers with enterprise-wide information to review government activities
related to Ministries’ minuted multi-year expense limits using a risk based approach
 Facilitates government choices about ongoing implementation of priorities and areas
for potential trade-off
 Ensure that service delivery is efficient and effective and all programs, services,
initiatives, policies, etc. are focused on implementation to ensure results for the fouryear multi-year period supporting the Government’s plan
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Components of a Good Plan
 Provides TB/MBC with a strategic over-arching outline of the ministry’s
multi-year plan to achieve priorities/results and mandate commitments
 Risk Management - identifies any key issues facing the ministry and
demonstrates that it is managing new and updated financial and nonfinancial risks within its existing multi-year minuted allocation
 Performance information – demonstrates progress towards achieving
targeted outcomes; value for money (efficiency and effectiveness); and as
evidence to support any change requests.
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Performance Measure Requirements for RbP
 Performance measurement information is integral to decision-making in the
Results-based Planning process.
 Ministries are asked to support their RbP submissions with key performance
measures (public and internal)
 Key performance measures should demonstrate progress towards achieving
government priorities/results, key mandate letter commitments/deliverables and
ministries’ strategic objectives, or track other large or high-risk programs of interest
to the Board.
 Key measures should include numeric targets for 2010-11 and three out-years
 To provide meaningful information for effective decision-making, key measures
should cover major expenditure areas including transfer payments
 To demonstrate accountability, key measures should focus on value for money
 Any requests for changes in funding should be supported by meaningful
program-level performance measures (i,e., that relate to program objectives)
to support business cases in activity notes.
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What Should Performance Measures Do?
 Provide good information:
 Are we doing the right thing? (effectiveness)
 Are we doing things right? (efficiency)
 Are our clients satisfied? (customer satisfaction – internal & external)
 Aid in good decision making, to:
 Manage programs and services to inform results based planning
 Determine whether program, service and strategy objectives are being met
 Ensure accountability
 Drive continuous improvement
 Signal the need for action
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SMART Rule
To test the strength of a performance measure:
S
Specific: clearly and concisely state what will be measured
M
Measurable: Performance measures should be quantified – even if based
on qualitative data
A
Achievable and Attributable: relate to things that the ministry can
influence or achieve
R
Realistic: based on reliable, verifiable data that reflects the ministry’s
contribution to achieving government priorities
T
 Timely: data can be collected, processed and distributed within a useful
timeframe and at a reasonable cost
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Results-based Planning - Strategic Fiscal Cycle
 Ontario’s strategic fiscal cycle facilitates government decision-making
processes including resource planning, management and risk reporting, to
deliver priorities and results within the context of the fiscal plan.
 The Results-based Planning (RbP) process provides integrated and strategic
decision-making that ensures the government is positioned to meet its key
objectives while delivering balanced budgets
 Government committed to delivering on priorities of Ontarians while ensuring value
for money and restoring fiscal balance by 2015-16
 The RbP process is a key element of the co-ordinated strategic fiscal/
resource planning and reporting cycle.
 The annual RbP process is influenced by a variety of factors:
 key policy objectives/commitments the government set out in its election document;
 the evolving status of the fiscal plan and state of the economy; and
 feedback on the previous year's process
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Ontario’s Strategic Fiscal Cycle
Other activities include:
- Monitoring of FTE caps
- Corporate Overviews/Expenditure Updates for
TB/MBC
- In-year Investments can occur through the Fall
Economic Outlook and Fiscal Review and Ontario
Budget processes
During the current fiscal year there are
concurrent activities/processes relating
to the prior and the next fiscal year.
Q1 Q2
2010-11
2009-10
2008-09
Apr | May | Jun
Jul | Aug | Sep
Jan | Feb | Mar
Oct | Nov | Dec
Q4 Q3
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Integrating Performance Measurement
Throughout the Fiscal Cycle
 Internal Management
 Support Treasury Board/Management Board of Cabinet (TB/MBC) in-year
requests
 Year-end report to TB/MBC on Key Performance Measure (PM) results
achieved ensures ministry accountability for key results
 PMs are required in agreements with all transfer payment (TP) recipients
to ensure value for money for Transfer Payments (> 80% of government
spending)
 PMs are integrated in quarterly reporting for early monitoring and
mitigation of performance risk
 Support for PM and continuous improvement of the quality of PM
information increasing in ministries (e.g., dashboards, etc.)
 Support program evaluation to improve efficiency and effectiveness of
program management and service delivery
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Integrating Performance Measurement
Throughout the Fiscal Cycle continued....
 External Reporting
 PMs support government transparency and accountability
 Annually through the Premier’s Progress Report
 All ministries publish on-line results-based plans and annual reports
that include reporting of performance progress and achievements
 Performance results are integrated into materials provided to
Standing Committee on Estimates
 Results-based performance reporting included in Public Accounts
(Annual Report)
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Support for Performance Measurement in Multiyear Planning
Tools
 Performance Measurement Guide
 Pocket Guide to Performance Measurement
 Measurement and Progress System (MAPS) & Guide
 Program Evaluation Reference and Resource Guide
 Vendor of Record for Program Evaluation and Performance Measurement Services
 RbP Briefing Book Guideline and Style Guide
 Guidelines for annual multi-year planning, quarterly reporting
Learning and Development
 Encourage and support ministries in their capacity building:
 Performance Measurement/Program Evaluation (PM/PE) Network
 PM Community of Practice
 PM e-learning initiative
 Transfer Payment Forum and relevant resources
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