Annual Report for the year ended 30 June 2007
Part 3: Departmental financial statements (continued)
Statement of objectives and service performance
For the year ended 30 June 2007
Output Class - Audit and assessment of performance
Description
This output class involves providing:
- audits and assessments of any function, duty or project of the NZDF
- audits and assessments of the Ministry’s procurement, replacement or repair of major military equipment
- audits of the controls on hazardous substances under the control of the Minister of Defence, as required by the Hazardous Substances and New Organisms Act 1996.
Objective
To provide credible and relevant audits and evaluations that meet the Defence Evaluation Board’s expectations and contribute to the achievement of the Government’s defence policy objectives.
The quality of audit and assessment of performance will be assessed in terms of whether it is credible, effective, respected and contributes to the achievement of the Government’s defence and security policy objectives by:
- seeking the Minister’s views
- seeking the views of key stakeholders in audit and assessment of performance.
In addition, the Evaluation Division will implement recommendations agreed by the Ministry from audits or reviews.
Performance
A total of 15 evaluation reports were completed during this year covering a wide range of topics. These included the status of Defence Sustainability Initiative (DSI) projects and the Ministry’s procurement of the Very Low Level Air Defence (VLLAD) Alerting and Cueing System. Environmental Management in the NZDF was audited as were NZDF civil staff human resources management, the disposal of major military equipment, the NZDF Minor Capital Programme, and the Funding of Deployed Forces.
In relation to the Army, audits were done of the Artillery, the control of small arms and ammunition, the management of the New Zealand Light Armoured Vehicle (LAV) and light Operational Vehicle (LOV) fleets, medical and nursing officers, and the provision of land combat support supply and repair. A second review of progress was conducted on the redevelopment of RNZAF Base Ohakea, and a follow-up review of RNZAF engineering officer resources.
The programme of reports was determined through a risk assessment process. All audits and assessments were conducted in accordance with the Ministry Evaluation Manual and reviewed by peers, auditees and management.
The views and feedback of the Minister of Defence, Secretary of Defence, Chief of Defence Force, and key stakeholders were sought to ensure the high standard and credibility of these reports.
There were no audits or reviews requiring action by the Evaluation Division.
Cost of Output Class - Audit and assessment of performance (GST exclusive)
For the year ended 30 June 2007
| 30/6/2006 Actual $000 | 30/6/2007 Actual $000 |
30/6/2007 Main estimates $000 |
30/6/2007 Supp. estimates $000 |
|
|---|---|---|---|---|
| Revenue | ||||
| Crown | 1,735 | 1,876 | 1,856 | 1,856 |
| Other | 27 | 52 | 48 | 58 |
| Total revenue | 1,762 | 1,928 | 1,904 | 1,914 |
| Expenditure | ||||
| Personnel | 757 | 772 | 828 | 832 |
| Operating | 53 | 46 | 105 | 107 |
| Other | 904 | 945 | 972 | 976 |
| Total expenditure | 1,714 | 1,763 | 1,904 | 1,914 |
| Surplus | 48 | 165 | - | - |
