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Balance Sheet and Public Sector Reform

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Balance Sheet and Public Sector Reform
Unit 5007 Financial control
1.1 Assess the relationship(s) between a financial system or function and other systems or functions in an organisation
Answer: Information and records are of critical importance to the functioning and controlling of systems in general, including organisational systems. Given the central importance of information and records to systems operation, including public sector organisations and the societies they exist to govern, we should not be surprised to learn that public sector reform efforts that overlook the information component often fail to meet their immediate objectives and the longer-term goal of establishing a framework for good governance.
Efforts to improve the management of public sector records in many countries have been hampered by a gap between the National Archives and the government’s record-creating departments. The result has been that most of the records in the custody of the Archives are over forty years old, while the records in government departments remain unmanaged. Some National Archives have inspecting powers, but there are few professionals trained to manage current records. Moreover, there are rarely systems in place to ensure that semi-current and non-current records are transferred to secure accommodation or appropriately destroyed. The introduction of computerized systems, often a key part of public sector reform projects, is compounding existing record-keeping problems. These computerized systems are using information that may be seriously flawed and based on collapsed paper-based systems.
It is because effective management of records is so crucial to achieving public sector reform objectives, which lead to good governance, that restructuring must encompass the management of records. Restructuring of records and archives management processes must be seen as an integral part of the restructuring of core government processes to ensure the success of public sector reform

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