quarter 2 report to minister
TRANSCRIPT
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Report of the Commissioners for
the Isle of Anglesey County Council
to the Minister for Local
Government and Communities
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Foreword
On 18 March 2011, the then Minister for Social Justice and Local Governmentappointed Commissioners to take responsibility for the executive decision makingfunctions of the Isle of Anglesey County Council.
In accordance with their terms of reference and the requirements of the MinisterialDirection, the Commissioners are required to provide the Minister with regularupdates on the progress which has been made in delivering the necessary
improvements which would enable him to consider bringing formal intervention onAnglesey to an end.
This report is the Commissioners Quarter Two report which covers the period fromJuly to September 2011.
Alex Aldridge (CommissionerByron Davies (Commissioner)
Margaret Foster (Commissioner)Mick Giannasi (Commissioner)Gareth Jones (Commissioner)
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EXECUTIVE SUMMARY
1.0 Introduction
This report is the second report prepared by the Isle of Anglesey
Commissioners for the Minister for Local Government and Communities
covering the three month period July to September 2011. It summarises the
progress made to address the priorities for action outlined in the Quarter 1
report and the tasks ahead for the second six month period of the
Commissioners intervention.
2.0 Background
The Commissioners have continued to operate within the framework for their
intervention set out by the Minister, fulfilling the role previously carried out by
the Executive. At the end of the first three months work in the Isle of
Anglesey County Council (IOACC), the Commissioners produced their reportsetting out the historical concerns of the Regulators and the Minister which
had led to the current intervention.
Following the Ministers acceptance of the recommendations contained in
their first report Commissioners have adopted a twin track approach to
achieve sustainable recovery, i.e. in addition to tackling the shortcomings
identified in the outstanding audit and inspection work they have commenced
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3.3 Developing a community engagement strategy
3.3.1 The Council has adopted a Strategy to outline the priorities for communityengagement and consultation for the Isle of Anglesey County Council, which
describes how priorities will be delivered, who will be responsible for this and
how progress will be monitored.
3.3.2 In order to sustain the recovery required by the Welsh Government, it is
important that people feel part of the democratic process and involved in
decision making. The Council promoted this agenda at the Anglesey CountyShow and five local community meetings have been planned to inform the
public about the ongoing reform process in Anglesey and to encourage
interest in participation in the Councils work.
3.3.3 For Quarter 3 the focus will move to introducing a more responsive complaints
procedure and to developing better communication links with citizens
exploiting modern technologies.
3.4 Enhancing the business and financial planning process
3.4.1 We believe that robust Corporate Planning and Performance Management
arrangements are among the core components of the reform programme at
IOACC. Combined Officer / Elected Member / Commissioner workshops have
been held chaired b the interim Chief E ec ti e to identif proposed
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3.5 Re-engaging in the Collaboration and Shared Services Agenda
3.5.1 Local Authorities, particularly smaller Authorities like Anglesey, need to exploitthe opportunities for efficiency which lie in collaboration and shared services.
Whilst Anglesey has been at the forefront of some collaborative work in the
area of education, in general Anglesey has not been leading on the
collaborative agenda. With the support of the Interim Chief Executive and the
Welsh Local Government Association, Commissioners are now contributing
constructively to a number of strategic partnership forums, most notably, the
North Wales Strategic Partnership. Elected members have progressively re-
engaged in this work
3.5.2 Progress has been made in taking forward a number of partnership initiatives
which have received the Full Councils endorsement. Notably the Isle of
Anglesey County Council and Gwynedd Council have begun the work of
preparing a Joint Local Development Plan (Joint LDP) for the Anglesey and
Gwynedd Planning Authorities. Work has also continued on pan North Wales
Education collaboration and to further progress the Partnership
Rationalisation Review work with Gwynedd.
3.5.3. There is still some way to go before IOACC is fully re-established as a full
partner in Regional and Sub-Regional collaborative initiatives and during
Quarter 3, Commissioners will be seeking to work with others to improve
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3.6.3 New initiatives in Tourism in North Wales are being explored as well as the
potential for collaboration. In Quarter 3 Commissioners will also seek to
develop further economic opportunities that will materialise on the Anglesey
Aluminium site
3.7 Strengthening the Constitution Where Necessary
3.7.1 A number of changes to the Constitution have been recommended by
Commissioners and have already been implemented. However, further work
is needed to review the Constitution, particularly in the light of recentdifficulties that have arisen from uncertainties around the application of
Protocols. An inclusive review group has been set up including a lead
Commissioner, the Monitoring Officer, Welsh Government and WLGA
representation and Member involvement. This group will produce
recommendations for the Minister to consider in Quarter 4.
3.8 Working with Officers to facilitate improved services for the people ofAnglesey
3.8.1 The Commissioners Quarter 1 report highlighted that although the Councils
services were for the most part considered to be satisfactory, it was evident
that the longstanding lack of leadership and of adequate risk management
had started to impact on the delivery of services. In particular Childrens
S i th bj t f iti l CSSIW R t i d 1 J l d th
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framework. The Schools Organisation Plan has been prepared and was highly
commended by Welsh Government.
3.8.5 A safeguarding review has also been carried out in co-operation with
Childrens Services at the request of the Ministers (Education and Social
Services) for a review across Wales, and during Quarter 3 the results will be
evaluated and procedures tightened to provide assurance across all the
Councils services
3.8.6 All service departments will need to develop a customer centred approach asthe whole culture of the Council moves in this direction during Quarters 3 and
4. Commissioners will continue to work with Members and Officers to facilitate
this change.
4.0 How the elected Members are engaging in the process of improvement
4.1 During the Quarter, whilst Commissioners have continued to exercise theresponsibilities previously reserved to the Executive, they have followed a
process of gradual re-engagement of the Shadow Executive and Elected
Members in the work of the Council. Relationships with Commissioners are
good, and Elected Members have adopted a much more positive approach.
4.2 Commissioners have involved Shadow Portfolio Holders in regular meetings
ith Offi d thi h b i d ll ll i t ti
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5.0 The Management of Risk During Quarter 2
5.1 The risks managed during the Quarter have remained broadly similar to thoseidentified in Quarter 1.The limited capacity of the corporate centre has been a
factor in delaying progress in key areas and important milestones have been
delayed by the need to make a number of interim appointments. These risks
have been mitigated to some extent by the excellent quality of those inputs.
5.2 Financial performance remains a risk, complicated by the failure to close the
2010/2011 accounts in a timely fashion. Whilst the overall financial positionremains stable for 2011/12, the challenging financial outlook for Welsh Local
Government poses risks for 2012/13.
5.3 The status of some risks has improved in that the Commissioners have
received very good co-operation from Members, Officers and other Agencies.
If this is maintained then this will be an encouraging sign for the future.
However, the challenge of preparing a Budget for 2012/13 will test the unity ofpurpose achieved to date.
Commissioners have worked to establish positive relationships with
regulators, but further critical reports may adversely affect recruitment.
6.0 The issues to be addressed during the next Quarter (September to
D b ) d th l t t t M 2012 d B d
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Develop an agreed plan to develop the Corporate Centre;
Implement risk reporting for the Council.
6.3 Commissioners will monitor the progress achieved against the 10 Key Themes
through the Performance Management Framework and will seek to build on
the trust which has started to develop between Officers, Elected Members,
Commissioners and the public of Anglesey.
7.0 Conclusions
7.1 The report provides a summary of the progress that the Commissioners and
IOACC have made during their second three months in office.
7.2 At this stage there are positive signs that the improvement process has
commenced, but there is still a great deal of work to be done to deliver against
the recommendations of inspection reports, as well as further developing the
fundamental strategic issues.
7.3 The most urgent issues have been addressed and a stable platform for
improvement has been created. However, the limited capacity of the
corporate centre has meant that some important developments have taken
longer than the Commissioners consider ideal and action has been taken to
secure additional capacity.
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PURPOSE AND FORMAT OF REPORT
1.0 This report is the second report prepared by the Isle of AngleseyCommissioners for the Minister for Local Government and Communities
covering the three month period July to September 2011.
2 .0 It summarises the progress made to address the priorities for action outlined
in the Quarter 1 report and the tasks ahead for the second six month period of
the Commissioners intervention.
3.0 The report will describe:-
The work programme agreed by the Commissioners as a product of theanalysis undertaken during the first three month period;
The focus of effort during this second three month period;
The progress made against the priorities agreed with the Minister as anoutcome of the Quarter 1 report;
How the elected Members are engaging in the process of improvementThe management of risk during this period;
The issues to be addressed during the next Quarter (September toDecember) and the longer term prospects up to May 2012 and beyond;
The recommendations made to the Minister for the Commissionersforward work programme in Quarter 3.
4 0 Th f t f th R t ill b ti i th i b t ill i l d
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to take into account all relevant views within the Council. They must also
communicate effectively with the public about decisions made and the
progress of their work, and provide regular reports to the Minister.
8 0 At the end of the first three months work in IOACC, the Commissioners
produced their report which set out the historical concerns of the Regulators
and the Minister which had led to the current intervention. With the assistance
of the WLGA, the Commissioners identified ongoing concerns which had not
yet been addressed, and a number of strategic issues which need attention
for the Council to move forward.
9.0 A number of further issues were raised by the WAO and CSSIW during the
first Quarter requiring immediate attention and which reflected the
longstanding lack of strategic direction within the Council.
10.0 Whilst the Quarter 1 report demonstrated that there had been some good
progress in engaging Members with the work of the Commissioners and insetting up sound governance structures for the Council including the
appointment of an Interim Chief Executive, there remained major
organisational and cultural issues to be addressed.
COMMISSIONERS STRATEGIC WORK PROGRAMME
11 0 A d b th Mi i t C i i h d t d t i t k
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PROGRESS AGAINST PRIORITIES
Reviewing and Strengthening the Corporate Centre
13.0 Commissioners have made some good progress during Quarter 2 and have
engaged in discussions with Councillors, Officers, Trade Unions ,
Communities and Citizens to progress management and Officer issues. Part
of the Commissioners work during this period has entailed a review and
evaluation of the senior management arrangements and the options for
strengthening accountability, responsibility, and delivery through adopting amore business-like and responsive approach.
14.0 An extensive dialogue has therefore been undertaken with the Interim Chief
Executive to explore the options that are available for senior management
arrangements to modernise Officer arrangements that will accommodate an
organisational culture shift to accept legitimate Councillor challenge,
performance outcomes, corporate strategies, budgetary frameworks, riskassessment, citizen and community engagement, and collaborative working.
This cultural shift will be supported by a similar shift in Executive and Scrutiny
arrangements so that there is a developing partnership approach between
Councillors and Officers to ensuring the economic, social and environmental
wellbeing of the citizens and communities of Anglesey.
15 0 C i i h b i d t il d lt ti ith th I t i Chi f
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Developing a Community Engagement Strategy
18.0 The Council has taken the important step of adopting a Strategy to outline thepriorities for community engagement and consultation for the Isle of Anglesey
County Council over the next two years. It sets the overall framework for the
Authority underpinned by the strategic importance of delivering services for
citizens and communities as set out in the Corporate Business Plan. The
Strategy describes how priorities will be delivered, who will be responsible for
this and how progress will be monitored. It recognizes that effective
Community Engagement is central to the Councils work to develop a more
outcome focused organisation
19.0 Engaging the community and service users in the councils work is a key
element of good governance to ensure robust public accountabilityand to
inform the Councils strategic direction, allocation of resources and identify
key priority issues for services. It will alsocontribute towards establishing an
increased sense of community and be key to changing perception so that the
Council is seen as listening and accessible. Considerable energy has been
devoted to engagement with the Community Plan and to developing a more
open, positive approach with the media. However a significant cultural change
needs to take place within the Council to adopt a more open style of working
and a greater focus on responsiveness to the customer. Planning processes,
hi h h i l b i d j i i d l i iti
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Enhancing the business and financial planning process
22.0 Establishing strong Corporate Planning and Performance Management
arrangements was recognised as one of the core components of the reform
programme at IOACC. Robust and mature Performance Management
arrangements are a key area of focus. In order to formulate the Corporate
Business Plan 2012/15 it is essential that the organisation adopts and
develops strategic priorities with more outcome focused measurements. Inorder to achieve this, combined Officer / Elected Member / Commissioner
workshops were held, chaired by the interim Chief Executive, to identify
proposed strategic priorities and define outcomes to lead the formulation of
the said plan. This was accomplished and Ten Corporate Governance
Improvement Themes were jointly agreed, to sit alongside the strategic aims
of the Council, and provide the basis upon which engagement and
consultation with citizens and stakeholders will take place for the future (see
Appendix 2).
23.0 In order to demonstrate that the Business Plan is being delivered and
outcomes are being achieved, an evidenced based approach to performance
management and performance reporting is being developed within a
structured Performance Management Framework. Information available from
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essential part of that process. A Corporate Risk register is being developed
following the information gained from the Quarter 1 performance monitoring
arrangements and further risk training for managerial staff and Strategic
Leaders is scheduled for Q3. This risk management information will be
available to the Improvement Board and to Scrutiny Committees.
26.0 The Corporate Business Plan produced as a result of this process will set the
context for the 2011/2012 Budget Plan. Broad assumptions concerning
allocations have been communicated within the Council and work is ongoing
to produce savings plans which will deliver the Budget Strategy for the
forthcoming financial year. It is vital that Councillors, Officers and
Commissioners reach agreement on the required actions and this will be a
key product for Quarter 3.
Reengaging in the Collaboration and Shared Services Agenda
27.0 In the current financial environment, it is vital that Local Authorities,particularly smaller Authorities like Anglesey, exploit the opportunities for
efficiency which lie in collaboration and shared services. Whilst Anglesey has
been at the forefront of some forward thinking collaborative work in the area of
education and has developed some worthwhile shared services at operational
level, in general Anglesey has not been leading on the collaborative agenda.
With the active support of the Interim Chief Executive and the Welsh Local
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Rationalisation Review work with Gwynedd. The Council has endorsed the
proposal to conduct a single needs assessment to provide a robust evidence
base to identify priorities at a local level and create an Integrated Plan based
on an outcomes methodology owned by the LSB. This will build upon and
replace the separate statutory plans which are now in place Children and
Young People, Health, Social Care and Wellbeing, Community Safety and the
Community Strategy. In relation to Partnership rationalisation, a joint Project
Board between Gwynedd and Anglesey has already been established and a
Project Plan prepared with a target set to complete the work by April 2012.Two workshops have been held with the intention to report upon progress to
the joint meeting of the two LSBs scheduled for 6 October 2011 to decide the
types of joint working models to be developed.
30.0. Members have been fully engaged in discussions on the Compact and its
implications for the future but there is still some way to go before IOACC is
fully re-established as a full partner in Regional and Sub-Regionalcollaborative initiatives. During Quarter 3 Commissioners will be seeking
further opportunities to work with others to improve services and value for
money by sharing ideas and resources.
Developing the Economic Development Programme
31.0 There is a broad consensus that economic development is vital to the
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offer employment in the longer term as well as during the construction phase.
Working closely with education partners, the Council intends to maximize the
opportunities of employment for local residents by equipping them with the
required skills. The agenda for the Council will be to work effectively with
developers, central government and Welsh Government to secure the
required infrastructure to support the Programme and ensure it is well
managed and co-ordinated for the benefit of the local community and Wales
as a whole.
34.0 This will be a challenging task, and the Council will need to develop the
capacity of Officers and Members to lead this extensive strategic programme.
Commissioners will be supporting this development during Quarters 3 and 4
in order to establish a robust structure within the Council to take the
Programme forward. A key step will be the strengthening of the corporate
centre and the re-engagement of the shadow executive and Elected Members
in decision making and in forging strong relationships with partners.
35.0 In Quarter 3 Commissioners will seek to develop further economic
opportunities that will materialise on the Anglesey Aluminium site. The Works
Director of Anglesey Aluminium chairs a regular Working Group including
officers from the Authority and other interested parties. The recent
announcement by the Minister for Business, Enterprise, Technology and
S i E t i t t f A l l id f th id f
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37.0 The aim is to produce a modern Constitution which will provide a strongframework for the future effective political and governance structure of the
Council. In order to embed the recent behaviour changes and ensure
sustainability Elected Members have been given the opportunity to participate
in the process in a controlled way and it is anticipated that a revised
Constitution will be submitted to the Minister in Quarter 4.
Working with Officers to facilitate improved services for the people ofAnglesey
38.0 The Commissioners Quarter 1 report highlighted that although the Councils
services were for the most part considered to be satisfactory, it was evident
that the longstanding lack of strategic leadership and of adequate risk
management had started to impact on the delivery of services. In particular,
Childrens Services were the subject of a critical CSSIW Report issued on 1July and the Council had not progressed key decisions in respect of surplus
places in schools.
39.0 In order to accelerate progress in addressing the issues raised in the CSSIW
Report, the Director of Social Services was supported by the Commissioners
and the Council, to obtain external advice to assist in the improvement
I i i f h i i l i k ddi i l
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41.0 During the Quarter, the Education Scrutiny Committee has carried out acomprehensive review of performance which has been broadly satisfactory, in
comparison with the rest of Wales, although the improvement of previous
years has not been maintained. However, there are concerns around certain
key indicators (at Key Stages 1 & 2) and priorities have been revised to
ensure that Authoritys performance corresponds more closely to the FSM
(free school meals) rank in comparison with the rest of Wales. Targets have
been set for schools to increase the number of pupils assessed at the higher
level in KS1, KS2 and KS3 and to address the improvements expected in
Estyns inspection framework. The Schools Organisation Plan has been
prepared and was highly commended by Welsh Government. Against this
background, the priorities have been agreed for future improvement including
strengthening the strategy for raising standards in literacy and numeracy and
enhancing business planning and corporate monitoring of serviceperformance through scrutiny. Progress has been made in reducing surplus
places through the closure of two primary schools.
42.0 A safeguarding review has also been carried out in co-operation with
Childrens Services at the request of the Ministers (Education and Social
Services). This request was made to all local authorities and followed
d i i fi di b hild i i h L l A h i
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Council meetings, and a responsible attitude to dealing with conflicting views
in these meetings.
45.0 Commissioners have involved Shadow Portfolio Holders in regular meetings
with Officers and this has been received well, allowing constructive
relationships to develop and providing mentoring for Officers and executive
Members. In this way the Executive has been re-engaged to work alongside
Commissioners to observe the way in which they are operating both as a
group and within individual portfolios. In general terms, the relationships
which are developing are proving to be mutually beneficial and there has been
a useful two way exchange of views and information. Significantly less time
has been spent on resolving conflicts between Elected Members.
46.0 A number of workshops have been held to build a consensus around the
Corporate Plan and Budget Planning process. These have provided the
opportunity for Commissioners, shadow portfolio holders, Scrutiny Chairs
including Audit and Vice Chairs to work with Officers to create a shared
understanding of the challenges faced by IOACC and a vision for the future.
Commissioners are of the view that the Elected Members involved in the
process are committed to developing constructive relationships with
Commissioners and Officers based on mutual respect. The importance of risk
management and of a robust performance management framework are now
i d d h l f S i i ff i i f l h ll
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more business like footing for the future. However, it would be premature to
suggest that the new ways of working are sufficiently embedded at this time to
allow a return to full democratic control. Elected Members are now
representing the Council at many external meetings and re- engagement will
progress during Quarter 3 to test whether the current improvements can be
maintained on a sustainable basis over the next three to six months.
THE MANAGEMENT OF RISK DURING QUARTER 2
49.0 The risks managed during the Quarter have remained broadly similar to thoseidentified in Quarter 1. The limited capacity of the corporate centre has been
a factor in delaying progress in key areas. There have been continuing issues
in ICT and HR and the need to make a number of interim appointments in
Finance at short notice have delayed important milestones The improvement
process in Childrens Services was slowed down by the need to make interim
appointments and to obtain external advice. These risks have been mitigated
to some extent by the excellent quality of those inputs but this highlights the
need to create a staffing structure for the future which will attract suitably
skilled employees, able to met the challenges of the improvement agenda
50.0 Financial performance remains a risk, complicated by the failure to close the
2010/2011 accounts in a timely fashion. Whilst the overall financial position
remains stable, the Affordable Priorities Programme put in place before the
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THE ISSUES TO BE ADDRESSED DURING THE NEXT
QUARTER (SEPTEMBER TO DECEMBER) AND THE
LONGER TERM PROSPECTS UP TO MAY 2012 AND
BEYOND
53.0 The Commissioners are satisfied that the work completed to develop theCorporate Plan 2012/2015 has captured the outstanding issues which needed
to be addressed in April 2011 as well as the Improvement Themes identified
in their Quarter 1 report. The consensus achieved to prepare the work plan
has been encouraging and will provide a robust framework to take forward the
improvement process. Therefore the Commissioners intend to adopt the
Improvement Themes shown at Appendix 2 as their future work programme.
The progress achieved will need to be closely monitored through thePerformance Management Framework which has been developed. In
particular, the Quarter 3 challenge will be to build on the trust which has been
established between Officers, Councillors and Commissioners, regaining the
confidence of the Anglesey public and continuing the Corporate Development
of the Council to create sustainable change.
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CONCLUSIONS
56.0 This report provides a summary of the progress which the Commissioners
have made during their second three months in office and sets out the key
tasks which they intend to address as they discharge their duties and
responsibilities over the next six months.
57.0 At this stage there are positive signs that the improvement process has
commenced. There is still a great deal of work to be done to deliver against
the recommendations of inspection reports, as well as further developing the
fundamental strategic issues of vision, values and organisational culture
which are necessary to deliver longer term sustainable recovery.
58.0 The most urgent issues have been addressed and a stable platform for
improvement has been created. However, the limited capacity of the
corporate centre has meant that some important developments have taken
longer than the Commissioners consider ideal. Action has been taken to
secure additional capacity but further support for corporate functions will be
required to accelerate progress towards sustainable and effective working
f
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APPENDIX 1
UPDATE ON PLANNING
The Commissioner for Planning, Alex Aldridge, has reviewed the key performance
indicators for the Planning and Orders Committee. The results demonstrate that
planning decisions are now being taken in accordance with professional advice i.e.:-
the percentage of applications delegated to officers remains high and over the
last 6 months has risen to 85% of all applications.the proportion of applications going to Committee called-in by Councillors fordecision has fallen from 73% to 42% over the last 5 years. Since theappointment of the Commissioners 6 months ago it has fallen again to 35%.
the number of decisions made contrary to officer recommendation has fallenfrom 21 (out of 362 decisions) in 2006/07 to 4 (out of 184 decisions) in2010/11. That is a reduction from 6% to 2%.
In 2010, the Council, through its Elected Members successfully introduced publicspeaking in the Planning Committee and the Commissioner oversaw it becomingpermanent in April. The Commissioners have implemented further improvementsand will be implementing proposals to remove from the decision-making process:
the local councillor where an application is in her/his Ward
any committee member who has not taken part in all previous meetings
C
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APPENDIX 2
Ten Corporate Governance Improvement Themes
1.0 Relationships between Members and political groups
2.0 The effectiveness of the Council's Standards Committee
3.0 Scrutiny and its ability to effectively challenge and influence decisions andpolicies
4.0 Standards of conduct and behaviour by Members and Officers
5.0 The organisation, coherence and effectiveness of the Council's seniormanagement team
6.0 Develop strategic priorities with more outcome focused measurement
7.0 Introduce a robust process for the performance, project and riskmanagement;
8.0 Improve the capacity, quality and management of corporate support services.
9.0 Fully engage with and reflect the views and priorities of the citizens of
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26 | P a g e
Recovery Road Map
- Mission, Vision
and Values.
- Leadership andOrganisational Culture
- Communication
EnhancePolitical
Relationship Effective
Standards
Committee
Effective
Scrutiny
Improve
Standards of
Conduct and
Behaviour
Develop
Coherent
SeniorManagement
Team
Develop
Outcome
Based
Priorities
Improve
Performance
Risk and
Project
Management
Strengthen
Corporate
Services
Community
Engagement
Develop
Local,
Regional and
National
PartnershipsEffective
Services
Value forMoney
Sustainability
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27 | P a g e