Hunn Review: Annexes (30 September 2002)
Annex K
An Approach to Separated Responsibilities and Accountabilities Between the Secretary and The Chief of Defence Force
- Should it be necessary to formalise single-line rather than shared, prime and sole accountabilities and responsibilities between the Secretary and the CDF, the review has referred to the strategic management processes identified in Annex H as the basis for recommending single-line accountabilities, including new accountabilities to strengthen the Secretary's defence policy advice roles.
- Using generalised functions or existing organisational structures to define roles tends to reinforce vertical structures. Responsibilities and accountabilities become aligned to those structures. If these structures are themselves wrongly aligned, using them to define roles will simply compound the error. By contrast, business processes are better suited for defining roles because they focus on results to be achieved and reflect the work that the overall defence organisation for which an individual can be made responsible and held accountable.
- I also note the requirements and intent of the Public Finance Act in aligning responsibility and accountability of resource management with the responsibility and accountability for departmental/ agency outputs. Bearing all these issues in mind, the Review proposes the following refined single-line accountabilities if the concept of shared/prime/sole accountabilities are not considered acceptable.
Secretary Responsibilities and Accountabilities
- Advice on Defence Policy and Strategy
- Production of Strategic Environmental Scans
- Production of Security Scenarios and Planning Guidance
- Advice on International Defence relations policy/ strategies at the Government level
- Specification of Military Capability Requirements
- Advice on Defence policy effectiveness of proposed annual/multi-year military outputs and long term development plan proposals
- Resource management of Ministry of Defence Outputs
- Acquisition of major equipment/upgrade/refurbish major equipments (>$7m)
- Advice on Defence policy implications of military response options
- Advice on the Defence policy effectiveness of military outputs purchased -policy, performance, cost
- Evaluation of effectiveness and efficiency of New Zealand Defence Force functions and activities
- Report on financial governance/ non-financial performance against Ministry of Defence outputs
- Advice on effectiveness of NZDF/MoD contributions to National Security Outcomes
CDF Responsibilities and Accountabilities
- Command of the NZDF, generating military forces to agreed levels of performance
- Advice on Defence Policy and Strategy
- Advice into Strategic Environmental Scanning/analysis
- Advice on International Defence Relations and strategies at the Military level
- Analysis of Military Capability Gaps, and development and selection of Military Capability solutions
- Integrated Plans for Capital and Military Outputs Expenditures and Milestones
- Resource Management of New Zealand Defence Force Outputs
- Introduction into Service and maintenance of military equipment, lands and facilities
- Support, supply and maintenance of military capabilities
- Advice on military response options to security crises
- Strategic direction and conduct of joint operations
- Evaluation of Professional Military Standards
- Evaluation of NZDF Outputs delivery
- Report on financial governance/non-financial performance against NZDF outputs
Definitions
Resource Management
Resource management is defined as the allocation and management of resources (primarily financial) to deliver results
Resources Allocation
the macro-level responsibility and accountability for allocating resources (finance) against agreed outputs, functions or capital item, to purchase an agreed delivery of service, level of performance or capital item and is an integral component of Resources Management
Financial Management
Responsibility and accountability for the detailed internal financial management (budget, investment/ expenditure, reconciliation, cost capture) of a resource allocation against the intent of purchasing the agreed product and is integral component of Resources Management
Capability Requirements Specification
Analyses and assessments to determine the military capabilities required by the New Zealand Defence Force to meet defence policy objectives over the longer term.
Capability Development
Analyses and assessments to identify current capability deficiencies and mismatches, identify options and develop detailed, costed solution profiles to address deficiencies and mismatches.
Equipment Acquisition
Preparation of business cases for investment in equipment that meets the specifications of capability solution profiles, negotiation of contracts and management of projects to acquire equipment.
Capability Commissioning
All actions to take receipt of new equipment, provide integrated logistics support for new or substantially changed capabilities.
