ELEMENT

PERFORMANCE CRITERIA

1. Contribute to financial bids and estimates

1.1 Organisational initiatives requiring the preparation of bids and estimates are identified in accordance with resource constraint s and organisational needs.

1.2 Information for bids/estimates is substantiated, contains logical assumptions and takes account of strategic plans, government policies and priorities.

1.3 Information for bids/estimates is prepared in accordance with government budgetary requirements including a timeframe to meet critical submission dates.

1.4 Documentation to support bids/estimates is prepared in accordance with budget guidelines.

2. Allocate funds

2.1 Budgets are approved and financial resources are allocated according to organisational priorities/business plan.

2.2 Allocations are made in accordance with organisational policy and procedures and take account of any statutory requirements or constraints.

2.3 Audit trails are maintained to ensure accurate tracking and to identify variances between agreed and actual allocations.

2.4 Financial allocation is monitored against organisational objectives and priorities and corrective action is taken as required in accordance with organisational policy and procedures.

3. Manage budgets

3.1 Budget management is undertaken that meets the financial accountability requirements of the organisation.

3.2 Expenses are monitored against budget and authorised in accordance with financial delegation and organisational financial controls.

3.3 Financial reports are obtained and provided in accordance with organisational requirements.

3.4 Expenses are monitored through analysis of financial information/reports and problems are resolved or referred in accordance with organisational procedures and financial delegation.

3.5 Expenditure is aligned with service delivery milestones/expectations.

3.6 Changes to the budget are negotiated to account for potential under-spending, delays in service/program delivery, overruns and unneeded line items in accordance with organisational policy and procedures.

4. Report on financial activities

4.1 Requirements for financial management and reporting are identified in accordance with the public sector financial management framework.

4.2 Financial management and reporting are undertaken in accordance with organisational requirements and public sector financial management policy and procedures.

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

Skill requirements

Look for evidence that confirms skills in:

preparing information and reports requiring precision of expression

meeting formatting and process requirements for bids and estimates and linkages to strategic plans

monitoring financial information

interpreting and signing off on financial reports

interpreting organisational information in financial terms

adjusting communication to suit different audiences

using cross-cultural communication relating to financial management - across professional cultures such as accounting, IT, arts, policy areas

responding to diversity, including gender and disability

accessing information and legislation electronically or in hard copy

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

Knowledge requirements

Look for evidence that confirms knowledge and understanding of:

financial management principles

legislation, policies and processes relating to public sector financial management, such as conflicts of interest, procurement, value for money

the organisation's financial accountability mechanisms

corporate governance requirements

internal controls and why they are used

delegations and why the public sector uses them

public sector financial management framework (detailed knowledge) and the relationship between the elements of the framework

documents that make up the financial management framework

legislation related to working in the public sector such as equal employment opportunity, environmental, sustainability and occupational health and safety requirements

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

Pre-requisite units that must be achieved prior to this unit:Nil

Co-requisite units that must be assessed with this unit:Nil

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

PSPETHC601B Maintain and enhance confidence in public service

PSPLEGN601B Manage compliance with legislation in the public sector

PSPMNGT603B Facilitate people management

PSPMNGT602B Manage resources

PSPMNGT608B Manage risk

PSPMNGT609B Formulate business strategies

PSPPOL603A Manage policy implementation

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)

management of public sector financial resources in a range of (2 or more) contexts (or occasions, over time)

Resources required to carry out assessment

These resources include:

public sector and organisational financial procedures and protocols

workplace scenarios and case studies to capture the range of situations likely to be encountered when managing public sector financial resources

financial legislation and guidelines such as central agency guidelines

budget process and 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 managing public sector financial resources, including coping with difficulties, irregularities and breakdowns in routine

management of public sector financial resources in a range of (2 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 2 or more of:

case studies

portfolios

projects

questioning

scenarios

authenticated evidence from the workplace and/or 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

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.

Bids may include:

program discretionary bids

program, sub-program, section, business unit bids

portfolio managed bids

Estimates may include:

budget estimates

additional estimates

forward estimates

long-term estimates

forecasts

Information may include:

historical information

cost-benefit analysis

staff requirements

contractual information

efficiency/sustainability requirements

Budgetary requirements may include:

zero-based budgeting

accrual budgeting

activity-based costing/management

output-based budgeting

top-down/bottom-up approach

base plus increment

Supporting documentation may include:

phasing for liability and expenditure/cash flow implications

impact statements

reasons for major variations to financial guidance

staffing resources

Budgets may include:

capital expenses

recurrent expenses

staffing costs

cash flow

forward estimates

Corrective action may include:

re-prioritising activities

funds transfer

re-phasing liability/expenditure

Delegations are:

functions or powers (under an act) assigned to others

limited to specified powers or amounts

made to persons in specified positions

Financial controls should:

identify, record and measure revenue, expenses, assets, liabilities and equity

ensure assets are safeguarded and used to avoid waste, extravagance, loss and misuse

ensure liabilities are not incurred without proper authority

ensure correct valuation, cut-off, presentation and disclosure of financial balances and transactions

be linked to the organisation's risk management strategy

Financial reports may include:

program, sub-program, section, business unit financial reports

accrual reports

monthly/quarterly financial reports including cost/unit, costs incurred compared with share of program delivered

annual reports

Elements of the public sector financial management framework may include:

internal controls

segregation of duties

delegations

corporate governance requirements

service level agreements

internal and external reporting

risk management

Public sector financial policies and procedures may include:

financial management acts and regulations

financial administration and audit acts

Treasury guidelines

public sector finance standards

financial management benchmarking studies

the organisation's:

financial management practice manual

delegation manual

budget manual/instructions

style manual

quality manual

government financial policy statements