Unit of Competency Mapping – Information for Teachers/Assessors – Information for Learners

MEA146A Mapping and Delivery Guide
Prepare and manage aviation maintenance organisation budgets and financial plans

Version 1.0
Issue Date: May 2024


Qualification -
Unit of Competency MEA146A - Prepare and manage aviation maintenance organisation budgets and financial plans
Description This unit of competency is part of the Advanced Diploma training pathways. It covers the competencies required to prepare and manage AMOs budgets and financial plans and to effectively interface with professional finance advisers and accountants.
Employability Skills This unit contains employability skills.
Learning Outcomes and Application This unit requires application of procedures for the development and management of budgets and financial plans required to enable the effective operation of an AMO within the bounds of its exposition.Applications include the financial management obligations of Accountable Managers of AMOs operating under the ADF or the CASA regulatory systems.
Duration and Setting X weeks, nominally xx hours, delivered in a classroom/online/blended learning setting.
Prerequisites/co-requisites Not applicable.
Competency Field
Development and validation strategy and guide for assessors and learners Student Learning Resources Handouts
Activities 		Slides
PPT 		Assessment 1 Assessment 2 Assessment 3 Assessment 4
Elements of Competency Performance Criteria              
Element: Analyse strategic opportunities and intended maintenance activities
  • Strategic opportunities are expressed in terms of aircraft and aeronautical product maintenance activities
  • All intended maintenance activities are converted into special projects or work programs
  • Financial trends are analysed and interpreted in the context of the organisational strategic objectives
  • Financial planning objectives, process timeframes and resources are clearly identified
       
Element: Develop revenue, expenditure and capital investment proposals
  • Individuals and groups are given responsibility for the development of specific budgets and plans
  • Consultation occurs with all relevant groups and individuals throughout the organisation
  • Proposals are developed taking account of past experience, present trends and future expectations
  • Outcomes of proposals are clearly linked to organisational strategic objectives
  • Realistic cost-benefit and Maintenance Organisation Exposition compliance costs are incorporated into all proposals
  • Organisational investment target rates are met for capital expenditure proposals
  • Performance measures and tactics for monitoring and control processesare identified for each proposal/action and a financial risk management plan is developed
  • Proposals comply with the organisation’s values, policies,code of conduct, legal and ethical obligations
  • Proposals are developed within the agreed timeframes
  • Supporting evidenceis valid and sufficient to allow proper evaluation of the proposals
       
Element: Build agreement for budgets and financial plans
  • Negotiation is undertaken with relevant groups and individuals in ways that build commitment to the plans
  • Links to the achievement of organisational strategic objectives are identified and agreed
  • Outcomes are confirmed in terms of clear, concise objectives and timeframes
  • Negotiations lead to a clear agreement of those matters to be incorporated into budgets and plans
  • Budgets and plans incorporate the outcomes of negotiations and meet organisation’s approval processes
  • Delegations, accountabilities and responsibilities are agreed and confirmed in writing
  • Final budget and plans are clearly documented and a communication plan developed
       
Element: Communicate budget and financial plans
  • Budget/financial plan communication package is reviewed by finance specialists
  • Package is amended/revised where appropriate
  • Training activities are undertaken with users of the budget and plans across the organisation
  • All data and terms are defined and understood by the users of the plans
  • Communication outcomes are tested to ensure clear understanding of objectives, processes and accountabilities
       
Element: Monitor and control activities against plans
  • Delegations and budget accountabilities are confirmed in writing prior to budget period
  • Funds are allocated in accordance with budget objectives and parameters
  • Recording systems and documentation meet all audit requirements and legal obligations
  • Risk management plans are implemented and contingency plans put in place for all financial plans
  • Performance is monitored and variances promptly identified
  • Variances are analysed in conjunction with relevant experts to determine cause and effect
  • Remedial action is taken swiftly to minimise negative impact and maximise benefits
  • Budgets and plans are renegotiated/restructured where necessary to optimise organisational performance
       
Element: Report outcomes of financial plans
  • Records of financial performance are properly maintained within organisational systems
  • Financial performance is analysed and reported in a form and language appropriate to the audience
  • Non-financial objectives are reported in the context of overall organisational performance
  • Strategies and plans are reviewed and updated to optimise organisational performance
       


Evidence Required

List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.

The evidence guide provides advice on assessment and must be read in conjunction with the performance criteria, required skills and knowledge, range statement and the Assessment Guidelines for the Training Package.

Overview of assessment

A person who demonstrates competency in this unit must be able to prepare and manage budgets and financial plans in the aviation maintenance organisation environment.

Critical aspects for assessment and evidence required to demonstrate competency in this unit

Assessors must be satisfied that the candidate can competently and consistently perform all elements of the unit as specified by the criteria, including required knowledge, and be capable of applying the competency in new and different situations and contexts.

Assessors should gather a range of evidence that is valid, sufficient, current and authentic. Evidence can be gathered through a variety of ways, including direct observation, supervisor’s reports, project work, samples and questioning. Questioning techniques should not require language, literacy and numeracy skills beyond those required in this unit of competency.

Context of and specific resources for assessment

This unit may be assessed on the job, off the job or a combination of both on and off the job. Where assessment occurs off the job, that is, the candidate is not in productive work, then an appropriate simulation must be used where the range of conditions reflects realistic workplace situations. The candidate must have access to all materials and documentation required and must be permitted to refer to any relevant workplace procedures, codes, standards, manuals and reference materials. The assessment environment should not disadvantage the candidate.

Method of assessment

Guidance information for assessment

Submission Requirements

List each assessment task's title, type (eg project, observation/demonstration, essay, assignment, checklist) and due date here

Assessment task 1: [title]      Due date:

(add new lines for each of the assessment tasks)

Assessment Tasks

Copy and paste from the following data to produce each assessment task. Write these in plain English and spell out how, when and where the task is to be carried out, under what conditions, and what resources are needed. Include guidelines about how well the candidate has to perform a task for it to be judged satisfactory.

Look for evidence that confirms knowledge of:

relevant legislation from all levels of government that affects business operation, especially in regard to OHS and environmental issues, equal opportunity, industrial relations and anti-discrimination

requirements in CASR and TAMM regarding financial status of maintenance organisations

aircraft and aeronautical product maintenance and maintenance management/certification requirements

financial planning within the organisation

budgeting

organisation’s intended aircraft and aeronautical product maintenance activities

consultative methods and processes

capital investment evaluation techniques

performance measurement

organisation roles in respect to financial delegations, accountabilities and responsibilities

standards for organisational record-keeping and audit requirements

Look for evidence that confirms skills in:

analysis and interpretation of relevant financial information

development of formal estimates of reviews, costs, cash flows and logistic requirements

communication/consultation to ensure all relevant groups and individuals are advised of what is occurring and are provided with an opportunity for input

cost and benefit analysis to produce balanced arguments to support financial proposals

risk management to assess probability and consequences of any potential negative event

investment analysis to evaluate capital expenditure proposals (NPV, IROR, etc)

negotiating agreement on budgets and financial plans with the relevant managers

relating to people from a range of social, cultural and ethnic backgrounds and physical and mental abilities

arranging and delivering training to ensure team members and other managers understand the budget/financial planning objectives and processes

analysing and interpreting positive and negative variances from budget/plan, determining the reasons therefore, and identifying potential actions to remediate the situation

developing and implementing systems to ensure financial performance records are collected, maintained and properly reported

The range statement relates to the unit of competency as a whole. It allows for different work environments and situations that may affect performance. Bold italicised wording, if used in the performance criteria, is detailed below. Essential operating conditions that may be present with training and assessment (depending on the work situation, needs of the candidate, accessibility of the item, and local industry and regional contexts) may also be included.

Legislation, codes and national standards relevant to the workplace

Legislation, codes and national standards relevant to the workplace may include:

CASRs and associated Manuals of Standards

TAMM

award and enterprise agreements and relevant industrial instruments

relevant legislation from all levels of government that affects business operation, especially in regard to OHS, environmental and sustainability issues, equal opportunity, and anti-discrimination

Strategic opportunities

Strategic opportunities may include:

aircraft operators and fleet operators seeking to outsource maintenance

aeronautical product maintenance needs

changing regulatory requirements for maintenance

new aircraft types

provision of logistic support services

opportunity to respond to requests for tender to provide aircraft and/or aeronautical product maintenance

opportunity to accept sub-contract maintenance tasks from other maintenance organisations

Budgets and plans

Budgets and plans may include:

aircraft maintenance budgets

aeronautical product maintenance budgets

financial budgets

logistic services sales budgets

regulatory compliance budgets

capital expenditure budgets

cash flow plans

Relevant groups and individuals

Relevant groups and individuals include:

all personnel within the organisation affected by the budgets and financial plans being developed

Investment target rates

Investment target rates refers to:

the minimum percentage rate of return required by the organisation for a capital investment project to proceed

Capital expenditure

Capital expenditure refers to:

those components of the budget which, for internal policy reasons, are considered to provide benefits over more than one financial period and are to be evaluated as capital expenditure projects

Legal and ethical obligations

Legal and ethical obligations include:

compliance with all relevant statutes, regulations and audit requirements of the organisation, along with the organisation’s policies, values and codes of conduct

Supporting evidence

Supporting evidence may include:

cost-benefit analyses

risk management plans

market research results

tender details

net present value

interest rate of return

pay pack calculations

Delegations

Delegations refers to:

the decision-making accountabilities relating to the person’s position description and/or other written and verbal delegations

Accountabilities and responsibilities

Accountabilities and responsibilities include:

clarification of who is to be accountable for a decision or action prior to its execution, and identification of groups, individuals and activities for which a person is responsible for managing

Training activities

Training activities may include:

small group discussions

informal meetings

formal, structured competency-based training

television and video conferencing

e-learning

Delegations and budget accountabilities

Delegations and budget accountabilities may include:

monitoring expenditure

authorising expenditure within limits

reporting on variances to budget/plan

taking remedial action within budget authority

Audit requirements

Audit requirements include:

the internal standards required in the management of budgets and financial plans, approved by external/internal auditors

Risk management

Risk management refers to:

the process of identification of potential negative events and the development of plans to mitigate or minimise the likelihood of the negative event occurring and/or the consequences in the event it does occur

Appropriate non-financial objectives

Appropriate non-financial objectives may include:

environmental

sustainability

compliance with Maintenance Organisation Exposition (CASA regulatory system)

compliance with Maintenance Management Plan (ADF regulatory system)

compliance with requirements of the applicable airworthiness regulator

OHS

quality and safety management

market share

customer service

security or any other key result area

Copy and paste from the following performance criteria to create an observation checklist for each task. When you have finished writing your assessment tool every one of these must have been addressed, preferably several times in a variety of contexts. To ensure this occurs download the assessment matrix for the unit; enter each assessment task as a column header and place check marks against each performance criteria that task addresses.

Observation Checklist

Tasks to be observed according to workplace/college/TAFE policy and procedures, relevant legislation and Codes of Practice Yes No Comments/feedback
Strategic opportunities are expressed in terms of aircraft and aeronautical product maintenance activities 
All intended maintenance activities are converted into special projects or work programs 
Financial trends are analysed and interpreted in the context of the organisational strategic objectives 
Financial planning objectives, process timeframes and resources are clearly identified 
Individuals and groups are given responsibility for the development of specific budgets and plans 
Consultation occurs with all relevant groups and individuals throughout the organisation 
Proposals are developed taking account of past experience, present trends and future expectations 
Outcomes of proposals are clearly linked to organisational strategic objectives 
Realistic cost-benefit and Maintenance Organisation Exposition compliance costs are incorporated into all proposals 
Organisational investment target rates are met for capital expenditure proposals 
Performance measures and tactics for monitoring and control processesare identified for each proposal/action and a financial risk management plan is developed 
Proposals comply with the organisation’s values, policies,code of conduct, legal and ethical obligations 
Proposals are developed within the agreed timeframes 
Supporting evidenceis valid and sufficient to allow proper evaluation of the proposals 
Negotiation is undertaken with relevant groups and individuals in ways that build commitment to the plans 
Links to the achievement of organisational strategic objectives are identified and agreed 
Outcomes are confirmed in terms of clear, concise objectives and timeframes 
Negotiations lead to a clear agreement of those matters to be incorporated into budgets and plans 
Budgets and plans incorporate the outcomes of negotiations and meet organisation’s approval processes 
Delegations, accountabilities and responsibilities are agreed and confirmed in writing 
Final budget and plans are clearly documented and a communication plan developed 
Budget/financial plan communication package is reviewed by finance specialists 
Package is amended/revised where appropriate 
Training activities are undertaken with users of the budget and plans across the organisation 
All data and terms are defined and understood by the users of the plans 
Communication outcomes are tested to ensure clear understanding of objectives, processes and accountabilities 
Delegations and budget accountabilities are confirmed in writing prior to budget period 
Funds are allocated in accordance with budget objectives and parameters 
Recording systems and documentation meet all audit requirements and legal obligations 
Risk management plans are implemented and contingency plans put in place for all financial plans 
Performance is monitored and variances promptly identified 
Variances are analysed in conjunction with relevant experts to determine cause and effect 
Remedial action is taken swiftly to minimise negative impact and maximise benefits 
Budgets and plans are renegotiated/restructured where necessary to optimise organisational performance 
Records of financial performance are properly maintained within organisational systems 
Financial performance is analysed and reported in a form and language appropriate to the audience 
Non-financial objectives are reported in the context of overall organisational performance 
Strategies and plans are reviewed and updated to optimise organisational performance 

Forms

Assessment Cover Sheet

MEA146A - Prepare and manage aviation maintenance organisation budgets and financial plans
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I declare that the assessment tasks submitted for this unit are my own work.

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Assessment Record Sheet

MEA146A - Prepare and manage aviation maintenance organisation budgets and financial plans

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Assessment task 1: [title] Result: Competent Not yet competent

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Overall assessment result: Competent Not yet competent

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