An appropriate financial management and budgeting system to support transition in South Africa

Mdlazi, David Thembalikayise Francis (2000-03)

Thesis (MAdmin)--Stellenbosch University, 2000.

Thesis

ENGLISH ABSTRACT: The study is devoted to the determination of an appropriate financial management and budgeting system to support a transforming South Africa. Given the challenges and opportunities presented by the new political dispensation, both locally and abroad, the evolution of financial management and budgeting systems is analysed. Specifically, elements of each budgetary system that stood the test of time to the present, are studied. International case studies of countries that have undergone (or are undergoing) the transformation process successfully, or otherwise, are fully discussed to serve as invaluable lessons and experience for South Africa on its quest for a smooth and swift transformation, to prevent it from ending up as just another unsuccessful transformation. This then serves as a broad foundation for an appropriate financial management and budgeting system which is proactive in the transformation process. South Africa will not reinvent the wheel. Unlike other countries that waited for transformation problems to fall upon them, the South African financial management and budgeting system manipulates the financial management policies. It achieves this by broadly defining the objectives to be achieved through prioritisation and reprioritisation, formulate clear strategies for shortterm, medium-term and long-term plans, goals, processes, functions and activities. It applies all the positive elements of input-orientated systems, activity/ performance measuring systems, objective/goal-orientated system, medium term expenditure framework and multi-year budgets studied and drawn from lessons and experience of other countries. South Africa's appropriate financial management and budgeting system is a broad crosswalk model vacillating between all systems from a broad definition of objectives, goals, processes and activities ending up with a strong financial management tool.

AFRIKAANSE OPSOMMING: Dié studie word gewy aan die daarstelling van 'n Geskikte Finansiële Bestuur en Begrotingstelsel om 'n veranderende Suid-Afrika te ondersteun. Teen die agtergrond van die uitdagings daargestel deur die nuwe politieke bestel word die revolusie van finansiële bestuur- en begrotingstelsels plaaslik en in die buiteland ontleed en in perspektief geplaas. Meer spesifiek is die elemente van elke begrotingstelsel wat die toets van die tyd deurstaan het, bestudeer. Internasionale studies van lande wat die veranderingsproses suksesvol ondergaan het (of tans daarmee besig is), of andersins, word volledig bespreek om as 'n onskatbare les en ondervinding vir Suid-Afrika in sy soektog na 'n gladde en vinnige transformasie te dien en om te verhoed dat dit op net nog 'n onsuksesvolle transformasie uitloop. Dit dien dan as 'n breë grondslag vir 'n Geskikte Finansiële Bestuur- en Begrotingstelsel wat proaktief in die Suid-Afrikaanse transformasieproses is. Suid-Afrika sal nie die wiel kan heruitvind nie. Anders as in ander lande wat op transformasieprobleme gewag het om hulle te tref, kan die Suid- Afrikaanse Finansiële Bestuur- en Begrotingstelsels finansiële bestuursbeleid pro-aktief ondersteun. Dit word bewerkstellig deur 'n omvattende bepaling van die mikpunte wat bereik moet word deur priorisering en herpriorisering van planne, doelwitte, prosesse, funksies en aktiwiteite op die kort, medium en lang termyn. Dit is moontlik indien al die positiewe elemente van verskillende finansiële bestuur- en begrotingsteiseis, soos bestudeer in en geleer uit ander lande se ondervindings toegepas word. Suid-Afrika se Finansiële Bestuur- en Begrotingstelsel behels 'n breë omvattende model wat put uit al die stelsels wat 'n bepaling van doelstellings, mikpunte, prosesse en aktiwiteite bevat ten einde te eindig met 'n sterk Finansiële Bestuurswerktuig.

Please refer to this item in SUNScholar by using the following persistent URL: http://hdl.handle.net/10019.1/51590
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