Case study 3 write up

By: Tanveer odho (PSP)

We were required to present two scenarios of working of various government departments

which create problems for public due to various factors as highlighted in this case study.

Scenario 1:

Budget estimates by Finance department

Each financial year finance department seeks information of budget estimates from all
departments through their principal accounting officers .in this regard Budget call circular is
issued.

Budget call circular contains budget Calendar, processes, instructions and forms to Principal
accounting officers so that they may send budget estimates of their department to finance
department which ultimately consolidated all departments budget estimates and comes up
with province budget estimates. Indicative budget ceilings (IBCs) are baselines for budget
estimate. It is mentioned that current and development expenditure estimates (form II and
form III) need to be provided by PAOs by 15 March every year. Similarly, it is expected that
Submission of BO/NIS forms for current budget should be provided by PAOs By 26 April to 14
May. And Submission of BO/NIS forms for development budget by need to be provided by PAOs
By 10 May to 21 May

Practically however it has been observed departments do not send information to finance
department in time. Infect response is delayed .so at various stages reminders are issued

SO level, DS level, Secretary level, even at Chief Secretary level

When budget estimates by departments don’t reach finance department Then finance
estimates budget estimates on basis of a formula whereby an incremental budget is proposed
for each department by adding certain percentage
Scenario 2

Proposals for annual development programs

P&D department seeks annuals development plans in July at beginning of financial year. Each
department has to calculate rough cost estimates of various schemes and prepare a
consolidated annual development plan and need to send to P& D by August September. But
departments delay sending the required data so at various stages reminders are issued, SO
level, DS level, Secretary level and even at Chief Secretary level

When estimates are not reached then they follow a formula

20: new schemes

80:old ones

Similarly incremental formula is also used keeping in view resources availability.

ADP Plans are thus based on estimates this sort of working leads to wrong estimates
consequently for many projects costs are revised which results in cost overruns which is
subjected to criticism by media and public at large

So, following are our recommendations to avoid such practices.

Recommendations

1 Digitization and networking

  Real-time visibility of expenditure of all departments and budget wing of Finance
department for efficient budget control
 E-GOVERNANCE SYSTEM Ministry of Finance needs to be connected to National IT
Board System of e-governance for digital mailing/ correspondence.
 DATA DIGITIZATION Data digitization of ministry of Finance and a dashboard
designed for quick decision making by various Secretaries and heads of Departments

2.Calendar by each department

3.Top-down approach for ownership

4.Proforma formatting

5.Automatic accountability Like PMDU escalated super escalate

Like PMDU escalated super escalated delays in responses may be departmentally taken to task

6. motivating salary to avoid cognitive dissonance

7. effective appraisal system

8- formulation of KPI

⁃ quantifiable

⁃ Challenging and doable

⁃ Objective