Treasury and Resources
Ministerial Decision Report
Restructuring Provision Transfer for Funding of Lean sustainability
- Purpose of Report
To enable the Minister for Treasury and Resources to approve the transfer of £200,000 in total across the years 2017 and 2018 from the Restructuring Provision to the Chief Minister’s Department CMD) revenue head of expenditure to fund the ongoing sustainability of Lean.
- Background
A Restructuring Provision bid was presented to the Council of Ministers on 27th January 2016 to fund the continuation of the LEAN programme during the 2016-2019 MTFP2 period, in the sum of £100,000 for 2016 – 2018, to recruit a LEAN Manager, two Green belt cohorts, LEAN networking, leadership and reactivation (helping those already trained to use their skills) costs.
At that time, the Council agreed the 2016 funding and agreed in principle, the requests for funding for 2017 – 2018.
LEAN is a tried and tested methodology which drives the continual improvement of processes that directly create more value to customers with fewer resources. It provides the tools to effect change and puts the customer at the heart of service design; creating a culture of continuous improvement and enabling employees to drive change from the bottom up.
3. Recommendation
The Minister is recommended to approve the transfer of £200,000 in total across the years 2017 and 2018 from the Restructuring Provision to the Chief Minister’s Department CMD) revenue head of expenditure to fund the ongoing sustainability of Lean.
4. Reason for Decision
Article 17(2) of the Public Finances (Jersey) Law 2005 states that the Minister for Treasury and Resources is authorised to approve the transfer from contingency expenditure or the insurance fund of amounts not exceeding, in total, the amount available for contingency expenditure in a financial year.
The Contingency Allocation Policy published by the Minister for Treasury and Resources (R.10/2012) states that all requests for Allocation from Contingency will be considered by the Council of Ministers and this restructuring provision bid was approved at their meeting on 7th December 2016.
A Restructuring Provision bid was presented to the Council of Ministers on 27th January 2016 to fund the continuation of the LEAN programme during the 2016-2019 MTFP2 period, in the sum of £100,000 for each of the years 2016 – 2018, and at that time, the Council agreed the 2016 funding and agreed in principle, the requests for funding for 2017 – 2018.
The Minister for Treasury and Resources has previously signed a decision MD-TR-2016-0015 on 4th April 2016 allocating funding of £1,377,978 in 2016 from the Restructuring Provision within Contingency to the Public Sector Reform Programme– including Workforce Modernisation, Engagement, Leadership Development, PSR Portfolio Office and Lean.
MD-C-2017-0005 was signed by the Chief Minister on 27th January 2017.
- Resource Implications
The CMD revenue head of expenditure to increase by £200,000 in total across the years 2017 and 2018, and the Restructuring Provision to decrease by an identical amount. The £200,000 in total is proposed to be drawn down as £100,000 in 2017 and £100,000 in 2018 but the amount for each year may be varied without exceeding the total amount for the two years.
This decision does not change the total amount of expenditure approved by the States for 2017 – 2019 in the Medium Term Financial Plan.
Report author : Head of Decision Support | Document date : 27 January 2017 |
Quality Assurance / Review : Head of Decision Support | File name and path: L:\Treasury\Sections\Corporate Finance\Ministerial Decisions\DS, WR and SD\2017-0014 - Lean Restructuring Bid CMD |
MD sponsor : Head of Decision Support |