Date: 17 April 2008
Source: Department of Finacne, North West Provincial Government
Title: SA: Modiselle: Launch of Financial Management Training

Launch of phase two of the financial management training project.
We are gathered today in this grand edifice of the Mmabatho Convention Centre to launch the second phase of the financial management training project. This historic launch takes place a few weeks after we have delivered our landmark Provincial Budget Speech on 4 March 2008.

The first phase of the financial management training project was conducted between November 2002 and September 2005. The project was launched with the sole responsibility to build capacity and develop financial systems which are operational at the level of staff within the North West Provincial Government and units of Chief Financial Officers (CFOs).

As it has been alluded, the training project comprises of:
* basic numeracy
* basic accounting one
* basic accounting two practical, accounting three (combination of practical application and theoretical training)
* computer literacy
* business communication
* self management and Batho-Pele principles.

I am dully informed that about 600 people attended the first phase of the training project. These students, who attended the course were assessed through assignments and scrutiny tests, and meritoriously awarded certificates and not attendance certificates. April 2008 marks the launch of the second phase of the financial management training project. The year 2008 is not an easy year. In his 2008/9 budgets speech, the Honourable Minister Trevor Manuel defines the year 2008 as "the stormy year." The North West Department of Finance is already weathering the storm.

We are weathering this stormy weather because we have learnt from the ancient African wisdom, which states that: "ditlamelwana tsa pula di bankanyiwa go sale gale." Tangibly, phase two of the financial management and training envisages more attention at the non-core financial managers. It capacitates the trainee with the ability and skills to understand prepare and report on the gathered financial information.

I have been advised by the authors of these modules that the second phase is more intensive because it will include the following:

1. Strategic Planning (which will be broken down into)
* compilation of business plans
* change management and human resource management
* performance management
* Batho Pele principles and service delivery.

2. Basic Accounting
3. Financial Management (which is broken down into)
* analysis and interpretation of financial information.
* cash flow management
* suspense accounts
* budgeting (preparation and reporting)
4. Asset management
* Supply Chain Management (procurement/tendering)

5. Legislative Compliance and Internal Controls
6. Project Management
7. Basic Computer Literacy
8. Coaching/Mentoring and practical support.

At the micro economic level and macro political level, we see this second phase as a direct response to the governments, Joint Initiative on Priority Skills Acquisition (Jipsa). It is the primary vision of Jipsa to make sure that we address the shortage of skills that are mostly and urgently needed, in the civil service and broader society. Financial training, management and the majority of the course modules above have been identified by Jipsa as scarce skills.

JIPSA is an offspring of government's, Accelerated and Shared Growth Initiative for South Africa (AsgiSA). Both Jipsa and AsgiSA have singled out the shortage of skills, amplified by the impact of apartheid spatial patterns as one of the constraints that have derailed the development of the national democratic state and society in general.

Surely the launch of the second phase of the financial management and training project responds to such challenges as creating efficiency in government and closing the skills gap in the short and long term. This project attempts to reconcile the symbiosis between the first and the second economy. Hopefully, it will capacitate the would be graduates with the refined acumen to clear up government's red tape and combat corruption. On a lighter note, I am concerned that I don't see any module or course on "Get on the Bus".

Emphatically, we must also intensify our fight against corruption. We must learn and teach our officials about the fight against corruption. We must internalise within ourselves that it is wrong to receive bribery. It is unlawful to promote fraud and corruption.

In our 2006 Departmental Budget Speech, we brilliantly wrote "The Department of Finance will focus exclusively on the mandate of managing the financial affairs of the provincial government and supporting municipalities with their financial reforms. In this respect, two main Acts that will guide our endeavours are the Public Finance Management Act, (PFMA, 1999) and the Municipal Finance Management Act, (MFMA, 2003)."

Without necessarily dwelling into the legal jargon, allow me to quote the law. Section 18, subsection two, paragraph (e) of the PFMA of 1999, as amended, undoubtedly and un-manifested states that "the Provincial Treasury may assist provincial departments and public entities in building their capacity for efficient, effective and transparent financial management."

The successful launch of this second phase of the management and training project means that we will have better equipped warm bodies that will ensure meaningful implementation of these two landmark pieces of legislation. Such "would be graduates" will have both the theoretical and technical acumen to promote efficiency, effectiveness, and transparency.

Finally this will ensure improved and sustainable service delivery to our people and society in general. The State President of the Republic of South Africa, President Thabo Mbeki, asserts that "an element of government's Apex Priorities will be the deliberate focus on matters of skill development, work to review the National Human Resource Development Strategy will be completed this year, and the projects that the joint team of government, labour, business and academic institutions organised under Jipsa"

The North West Department of Finance believes in the philosophy of "always being a step ahead" and "doing things according to the book". We deliberately started planning for this process as early as 2005. I have been advised that the North West University has also been brought on board in the spirit of Jipsa.

We truly appreciate this move and I am definitely sure that the Presidency will be pleased to learn that this second phase Project is a joint initiative of government, private sector and the academic institutions. This partnership will surely help in creating short term employment in the province.

This initiative of training 1 000 non-core financial managers in the various departments of the North West province, is a step in the right direction, towards achieving the goals and objectives of the Provincial Growth and Development Strategy (PGDS) to fight poverty and unemployment, improve the low level of expertise and skills in order to achieve sustained growth and economic development in the immediate and long-term.

In the Election Manifesto of 2004, termed "a peoples contract to create work and fight poverty," the ANC, the ruling party of which I am a member, made a clarion call that "we shall half poverty by 2014 and reduce unemployment by 50% in 2014".

The second phase of this financial management training creates employment opportunities in the six training venues located throughout the North West Province. These regions are the following
1. Bojanala District: Rustenburg
2. Southern District: Potchefstroom
3. Bophirima District: Vryburg
4. Central District: Mafikeng
5. Central District: North West University Mafikeng Campus.

The Small Micro and Medium Enterprises (SMMEs) and the local economy will be affirmed and empowered by the trickling down of this Second Phase, of the Financial Management Training in the form of:
* caterers
* accommodation through guesthouses and lodges
* subcontracting of other SMMEs groups to supply equipment, computers, stationery, furniture, etc.

In our 2008/9 provincial budget speech, we solemnly vowed that "special attention has to be paid to skills augmentation, particularly in the short term... alleviating poverty, improving the welfare of the general public." This project is a living testimony of our solemn vow because we practice what we preach.

The President says 2008 is the national emergency and all hands on deck! Minister Trevor Manuel supersedes him by saying 'we are in this together through this financial storm, if it visits our shores through construction of better schools and skills programme through our war on poverty."

The scripture (Prophet Isaiah) says "The Lord is compassionate, and when you cry to him for help, He will answer you. The Lord will make you go through hard times, But He Himself will be there to teach you and you will not have to search for Him anymore."

The Holly Book (Prophet Isaiah) assures us, as we are weathering the storms, in a Business Unusual frame of mind, when our hands are on deck, that, the Lord will answer us when we cry to Him for Help.

We wish "The Class of 2008 Financial Management Training" the best of luck.

I thank you.

Issued by: North West Provincial Government, Department of Finance
17 April 2008
Source: Department of Finance, North West Provincial Government (http://www.nwpg.gov.za/Finance/)