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Public Financial Management

Competencies: Lessons from the

Field

Gordon Ferrier, Assistant Director (International)

Chartered Institute of Public Finance and Accountancy

Introduction and background

What is Competency?

“a cluster of related knowledge, skills and attitudes that affects a major part of one’s job (a role or responsibility), that correlates with performance on the job, that can be measured against well-accepted standards, and that can be improved via training and development” Referenced in Parry, S.R. The Quest for Competencies, Training, July 1996 pp 48-56

…and behaviours

Uses and Benefits of Competency Frameworks

Performance appraisal. Base appraisal on objective criteria.

Uses and Benefits of Competency Frameworks

Development: Specify needs in competency terms, not inputs.

Uses and Benefits of Competency Frameworks

Job design: Create rewarding and satisfying jobs.

Uses and Benefits of Competency Frameworks

Training: more systematic, linked to performance, target use of budgets

Components of Competency Knowledge: factual information accepted to be true.

Skills: the learned ability to carry out predefined processes.

Attitudes: a relatively enduring disposition to view people, places, things or events in a particular way.

Behaviour: a specific action taken to achieve a (usually) predetermined outcome.

A Competency Statement

The Competency Model Current and future requirements

Six Frameworks: One Common (all PFM staff) and Five Functional

Key (critical) competencies only: no attempt to be comprehensive

Four Common competencies

Five – Eight competencies according to Function

Validating the Model

Face Validity • “Makes sense”

Construct Validity • Distinguishes levels of performance

Content Validity • Coverage of the domain

Content Validity Learning and Growing

Legislation

Standards

Strategy & Planning

Assurance

Scrutiny

Operations Monitoring & Internal Control

Integrating with Existing Frameworks

All civil servants

PFM staff

Senior civil servants

Competency and Performance

Research evidence

Competency and Performance

Issues: 1 Defining PFM

Capturing representative views

Balancing country needs with expert opinion

Handling volume

Anticipating future needs

Issues: 2 Integrating with other frameworks and initiatives

Clearly differentiating between knowledge, skills attitudes and behaviours

Statements: Progressive or Cumulative?

Supply side capacity

Efficiency of current spending

GOP

• $228 • 3.2

UK

• $178 • 2.5

Canada

• $72 • 1

Progressive or Cumulative?

A1 A2 A3

S1 S2

K1 K2 K3

B1 B2 B3

A1 A2 A3

S1 S2

K1 K2 K3

B1 B2 B3 B4

S3

K4

A1 A2 A3

S1 S2

K1 K2 K3

B1 B2 B3 B4

S3

K4

Progressive or Cumulative?

Conclusion: The Competency Frameworks are not cumulative or progressive by design… …although some statements may be cumulative or progressive in their effect.

Implementing the Model

Key Conditions

Lessons Learned Design only a starting point

Constant need for education

Few right or wrong answers

Context is critical

Key stakeholders must be committed

Long term commitment important

There comes a time to let go!

Public Financial Management

Competencies: Lessons from the

Field

Gordon Ferrier, Assistant Director (International)

Chartered Institute of Public Finance and Accountancy

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