Google links for PSPFIN602A - Undertake strategic financial analysis

Elements and Performance Criteria

Analyse organisational issues
Ascertain the current resource position of the organisation
Assist in identifying and assessing resourcing strategies
- The financial implications of alternative resourcing and program delivery strategies are considered in accordance with government policy
- Financial evaluation techniques are used to assess the effect and financial sensitivity of alternative strategies and program variations
Analyse organisational issues
Ascertain the current resource position of the organisation
Assist in identifying and assessing resourcing strategies
- The financial implications of alternative resourcing and program delivery strategies are considered in accordance with government policy.
- Financial evaluation techniques are used to assess the effect and financial sensitivity of alternative strategies and program variations.

Required Skills

This section describes the essential skills and knowledge and their level required for this unit

Skill requirements

Look for evidence that confirms skills in

interpreting organisational information in financial terms

preparing strategies and reports requiring precision of expression

financial assessment and evaluation

responding to diversity including gender and disability

applying environmental and occupational health and safety procedures relating to working in the public sector

Knowledge requirements

Look for evidence that confirms knowledge and understanding of

legislation policies and processes relating to public sector finance

strategic planning processes

undertaking financial evaluation techniques

alternative resourcing strategies

forecasting financial sensitivity testing and costbenefit analysis

Evidence Required

The Evidence Guide specifies the evidence required to demonstrate achievement in the unit of competency as a whole It must be read in conjunction with the Unit descriptor Performance Criteria the Range Statement and the Assessment Guidelines for the Public Sector Training Package

Units to be assessed together

Prerequisite units that must be achieved prior to this unitNil

Corequisite units that must be assessed with this unitNil

Coassessed units that may be assessed with this unit to increase the efficiency and realism of the assessment process include but are not limited to

PSPETHCB Maintain and enhance confidence in public service

PSPETHC601B Maintain and enhance confidence in public service

PSPLEGNB Manage compliance with legislation in the public sector

PSPLEGN601B Manage compliance with legislation in the public sector

PSPMNGTB Manage resources

PSPMNGT602B Manage resources

PSPMNGTB Manage risk

PSPMNGT608B Manage risk

PSPMNGTB Formulate business strategies

PSPMNGT609B Formulate business strategies

Overview of evidence requirements

In addition to integrated demonstration of the elements and their related performance criteria look for evidence that confirms

the knowledge requirements of this unit

the skill requirements of this unit

application of the Employability Skills as they relate to this unit see Employability Summaries in Qualifications Framework

strategic financial analysis undertaken in a range of or more contexts or occasions over time

Resources required to carry out assessment

These resources include

public sector and organisational financial procedures and protocols

case studies and scenarios that provide organisational information for analysis

financial legislation and guidelines such as central agency guidelines

Where and how to assess evidence

Valid assessment of this unit requires

a workplace environment or one that closely resembles normal work practice and replicates the range of conditions likely to be encountered when undertaking strategic financial analysis including coping with difficulties irregularities and breakdowns in routine

strategic financial analysis undertaken in a range of or more contexts or occasions over time

Assessment methods should reflect workplace demands such as literacy and the needs of particular groups such as

people with disabilities

people from culturally and linguistically diverse backgrounds

Aboriginal and Torres Strait Islander people

women

young people

older people

people in rural and remote locations

Assessment methods suitable for valid and reliable assessment of this competency may include but are not limited to a combination of or more of

authenticated evidence from the workplace andor training courses

For consistency of assessment

Evidence must be gathered over time in a range of contexts to ensure the person can achieve the unit outcome and apply the competency in different situations or environments

Range Statement

The Range Statement provides information about the context in which the unit of competency is carried out. The variables cater for differences between States and Territories and the Commonwealth, and between organisations and workplaces. They allow for different work requirements, work practices and knowledge. The Range Statement also provides a focus for assessment. It relates to the unit as a whole. Text in bold italics in the Performance Criteria is explained here.

Internal issuesmay include:

public sector and departmental policies and priorities

specific government initiatives

linkage to existing strategic, corporate or business plans

information technology

human resources and industrial relations

historical performance

External issuesmay include:

government policies and priorities

economic climate and forecasts

federal and other government policy and legislation

political/community views

service demand assessments

demographics

technological developments

Stakeholders may include:

Parliament

community groups

executive or central agencies

clients

other agencies and government entities

staff

Analysis may include:

situation analysis

strengths, weaknesses, opportunities, threats (SWOT)

economic analysis

Assessment may include:

forecasting

sensitivity testing

cost-benefit analysis

Resource positionmay include consideration of:

cash flow patterns and financial position

physical asset requirements and maintenance

debt/equity structure

human resource and organisational issues

extent and timing of liabilities including contingencies

taxation requirements

return on investment

Policies and proceduresmay include:

financial management Acts and regulations

financial administration and audit Acts

public sector finance standards

Treasury guidelines

financial management benchmarking studies

the organisation's:

financial management

delegations

budget guidelines/instructions

style requirements

quality requirements

government financial policy statements and guidelines

Australian Accounting Standards

Generally Accepted Accounting Practices (GAAP)

Australian Bureau of Statistics (ABS) requirements

Government Finance Statistics (GFS) requirements

corporate planning

whole-of-government/agency systems and reporting

Alternative resourcing strategiesmay include consideration of:

competitive service delivery

strategic alliances/partnering

Financial evaluation techniqueswill vary depending on the nature of the strategy but may include:

cash flow forecasts

accrual-based financial statement forecasts

net present value calculations

activity-based costing

economic value added analysis

cost-benefit analysis

internal rates of return

benchmarking of services

program evaluations

Financial sensitivity testingmay require consideration of possible variations in:

service output levels

economic, regulatory and technological factors impacting on the agency's operations that may include:

program variations

changing risk profiles

cash flow impacts

tax effects

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PSPFIN602A - Undertake strategic financial analysis

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Elements and Performance Criteria

Required Skills

Evidence Required

Range Statement