Canadian Public-Sector Financial Management

Name: Canadian Public-Sector Financial Management | Third Edition
Brand: McGill-Queen's University Press
Price: 71.49 EUR
Availability: OnlineOnly

Third Edition

Andrew Graham(Author)

McGill-Queen's University Press

1st Edition

Published on 30. May 2019

295 pages

E-Book

ePUB with Adobe-DRM

System requirements

978-1-55339-542-3 (ISBN)

€71.49incl. 7% vat

System requirements

for ePUB with Adobe-DRM

E-Book Single Licence

Available for download

Description

More details

Other editions

Content

Cover
Title
Copyright
Contents
List of Figures
Acknowledgements for the Third Edition
Introduction to the Third Edition
The Framework for Financial Management: A Public Policy Implementation Focus
Financial Management Is About People and Organizations
First Nations Financial Management: How This Text Relates to an Emerging Field
Case Study in Building on Sound Financial Management
What Is Financial Literacy for the Public Manager? The Answer Is A Two-Way Street
"They Just Don't Get It"
The Financially Literate Manager
What About the Financially Literate Organization?
Financial Literacy Is a Systemic Quality
Financial Literacy Checklist
For the Public Servant
For the Public Organization
Section 1: The Public-Sector Financial Management Framework
Chapter 1 - Financial Management in the Public-Sector Context
Scope and Nature of the Public Sector
Size of Canada's Public Sector
The Employment Side of the Public Sector
The Cumulative Impact of Public-Sector Expenditures on Other Sectors: Volunteer and First Nations
The Cumulative Impact of Public-Sector Expenditures on Other Sectors: Implications of Contracting and Buying in the Public Sector
Expenditures and Revenues: What Governments Spend Money on and How They Pay for It
A Closer Look at Government Expenditures: What One Government Spends, Collects in Revenue, and How it Spends
The Qualitative Elements that Make Financial Management Different in the Public Sector
Governments Serve Multiple Objectives beyond the Profit Motive
Risk and Its Mitigation and Management Are Central to the Public Sector
With Great Power Comes Higher Levels of Both Internal and External Accountability
Government Financial Management Operations Are Governed by Legislation
The Importance of the Budget
Lack of Equity Ownership/Reality of Collective Ownership
Government Capital Spending Will Focus on a Range of Policy Benefits Rather than Only the Efficiency of the Operation or Lowest Cost
The Principal Source of Revenue for Governments Is Taxation
Governments Hold Assets Acquired in the Right of the Crown
Governments Operate in a Non-Competitive Environment
Governments Have Debt Capacities Unparalleled by Most Other Organizations
Other Factors That Affect Public-Sector Financial Management
Summing Up
Chapter 2 - Framework Concepts: Accountability & Risk
Why Here and Why Now?
Accountability: Big Idea with a Broad Reach
The Public Sector Accountability Landscape: Accountable for What?
What Accountability Means
The Range of Accountabilities
Risk and Risk Management
Defining Risk and Risk Management
Case Study: Risk Assessment
Risks Take Different Forms
Risk Management
Prioritizing Risks: Not All Risks Are Created Equal
Strategies to Manage Risks
In Summary
Chapter 3 - The Accounting Framework
You Are Not an Accountant, but You Need a Good One
Understanding What Accounting Does and Doesn't Do
Why We Need Accounting Information: To Account and to Manage
Users of Accounting Information: Who Cares? Who Needs to Care?
Internal to Government Users
External Users
Users Have Different Perspectives
Access
Frequency
Detail and Orientation
Expertise and Understanding
Response
Setting Accounting Standards for Government
Generally Accepted Accounting Principles (GAAP)
1. The Entity Principle
2. The Denominator Principle: Money as a Measure
3. The Cost Principle
4. The Going Concern Principle
5. The Conservatism Principle
6. The Accrual (Matching) Principle as the Basis of Accrual Accounting
7. The Consistency Principle
8. The Materiality Principle
A Deeper Look at the Accrual Method of Accounting
Examples of Cash and Accrual Recognition
Treatment of Non-Cash Transactions
Implications of the Accrual Basis for Public-Sector Financial Reporting
The Quality of Accounting Information
The Accounting Cycle: What Managers Need to Know About How the Mechanics Work
A Note on Accounting Technologies
Chart of Accounts, Double-Entry Bookkeeping and the Fundamental Accounting Equation
1. Chart of Accounts
2. Double Entry Bookkeeping
3. Fundamental Accounting Equation
Debits and Credits: The Tools to Balance the Equation
Relating the Concept of Debits and Credits to the Fundamental Equation
Working with Journal and Ledger Functions
Major Assets, Liabilities, and Net Assets Accounts
Assets
Current Assets
Fixed and Long-Term Assets
Property
Liabilities
Current Liabilities
Long-Term Liabilities
Contingent Liabilities
Net Debt/Net Assets
Summing Up
Section 2 - Funding Your Objectives: Budgets and Budgeting
Chapter 4 - Budget Definitions and Structure
What Is a Budget
Cultural Dynamics of Budget Formulation
A Budget Is a Budget . Well, That Depends: Many Uses of the Term Budget
Distinguishing Public- and Private-Sector Budgets
Cyclical Nature of the Managerial Budgets Past, Present, and Future
Budget Architecture
Relationship of Revenue Budgets to Expenditure or Operating Budgets
General Budget
Operating Budgets
Cash Budgets
Capital Budgets
What You Can't Budget For: The Role of Reallocation, Reserves and In-Year Authorizations
Structure of Operating Budgets
Line-Item Budgets
Program or Responsibility Centre Budgets
Functional Budgets
Flexible or Rolling Budgets
Fixed and Variable Costs in Determining Budget Fluctuations
Funds in Budget Structure
Types of Funds
Off-Budget Funds and Expenditures
Linking Resources to Results
Zero-Based Budgeting
Performance or Results-Based Budgets
Some Concluding Thoughts and What This Means to Managers
Chapter 5 - The Planning Process and Budget Cycle
Introduction
Budgets and Planning Cycles
The Budget Cycle: The Basics
Strategic Planning Phase
The Architecture of a Strategic Plan
Moving to Action and Into the Budget
Budget Preparation Phase: Setting Direction, Getting a Say
Workload Forecasts in Budget Calculation
Cost Analysis and Forecasting
Controllable and Uncontrollable Costs
Basic Costing Tools and Definitions
Direct and Indirect Costs
Activity-Based Costing and the Distribution of Indirect Costs
Fixed and Variable Costs
Break-Even Analysis
Appropriation Process: Getting Approval to Spend
Inherent Tensions in the Budgetary Process
Balancing Revenues and Expenditures: Financial Discipline
The Wants Versus the Won'ts: Central Agency Versus Program Advocates
The New Versus the Old
Robbing Peter to Pay Paul: Moving the Money Around
Complexity Versus Clarity
Summing Up: Trends to Watch
Pursuing Equity in Budgeting: Gender-Based Budgeting
Taking the Longer View: Budgeting and Planning for Sustainability
Chapter 6 - Capital Budgets: The Infrastructure to Deliver
Why Are Capital Assets Relevant to Public Policy?
Categories of Capital Assets: Some Are Counted and Some Are Not
What Is a Capital Asset?
Characteristics of Capital Assets
What Does It Cost? What Is It Worth?
Capital Planning and Budgeting
Capital Inventory
Capital Improvement Plans
Financing of Capital Projects
Risk Assessment: "What Can Go Wrong?"
The Outcome: The Capital Budget
Tools for Analyzing Capital Costs
Business Cases
Developing Cost Estimates for Capital Assets
Time Value of Money
Present and Future Value Calculations
Using Present Value Calculations to Compare Options
Using Net Present Value to Evaluate Investment Decisions
Cost Benefit Analysis
Sensitivity Analysis
Summing Up
Chapter 7 - Taking It Back: Reallocation and Budget Cutting
Budgets Don't Just Grow - They Shrink, Take on More Work, and Need to Adapt
Most Budgeting is Still Incremental
Decremental Budgeting
Continuous Reallocation: In-Year Budget Management
General Approaches to Reduce Spending
Accross-the-Board Cuts
Spending Reviews
Efficiency Gains
Outsourcing and Privatization
Technology-Driven Solutions
General Approaches to Reallocation
Strategies and Tools for Reduction and Reallocation
Service Level Changes
Change the Employment Arrangements to Reduce Salaries
Reduce Staffing - Permanent and Temporary
Renegotiate Contracts
Defer or Cancel Investments
Reduce or Eliminate Discretionary Spending
Amalgamate and Reorganize
Increase Fees and User Costs
Internal Transfers - Temporary and Permanent
Sell Off Assets
Cutback Management
Framing the Cutback: Risks and Consequences
Knowing Where to Look: Control Brings Insight
Implementing Cutbacks
Some Overview Comments for the Program Manager
Section 3 - Meeting Your Objectives: Controlling and Managing the In-Year Budget
Chapter 8 - Managing the In-Year Budget
Introduction: Control Is About Delivering
Who Has an Interest in Control?
The Control Process
Risk and Risk Management: Heart of the Control Process
Control: Who, What and How
Whom to Control, When to Control and Who Has Control
The Array of Control Tools
The Control Environment: Trust and Ethics and Setting the Tone
Trust
An Ethical Culture
Facilitative or Strategic Control
Protective Controls
Testing the Controls
Finding the Balance Between Control, Discretion and Cost
The Concept of Controllership in Government
Chapter 9 - In-Year Budget Management
Variance and Variance Analysis
Defining In-Year Budget Management
Budget Management Versus Budget Planning
A Budget in Hand: Good First Step
Establishing an In-Year Budget Management System
Preparing and In-Year Budget Management Plan
Spending Plan: Estimating Budget Performance for the Reporting Period
Arriving at an Adjusted Budget
Setting Up a Budget Plan
Tools for Forecasting
Case Study: Shady Gulch Provincial Park
Monitoring Financial Performance and Variance Analysis
Governance
Setting Up a Monitoring Timetable
Performance Reports
Variance Reports
Forecasted Versus Actual Report: Reporting Material Differences
Analysis of Key Variances Report: Understanding Cause and Impact
Management Actions to Correct Variances
Reallocation and Readjustment
Authority to Reallocate
Freeing Up Funds
The Danger of Rewarding Bad Management
Building Incentives and Protecting Budget Integrity
The Crucial Relationship Between Line Manager and Financial Advisor
Summing Up
Effective Governance
Giving Assurance to Good Management
Rigorous Review of Commitments
Section 4: Measuring and Reporting Performance
Chapter 10 - The Reporting Framework
Reprise
Why Measure and Report?
The Relationship of Accountability to Financial and Performance Reporting
The Users of financial and Performance Reports
The Objectives of Financial and Performance Reporting
Integrating Financial and Non-Financial Information
Reports and More Reports: A Sampler
Annual Financial Reporting
Future-Oriented Financial Statements
All Performance Reporting Should be Material and Affordable
Cautionary Tales: Why Key Users Do Not Use Performance and Financial Reports
Chapter 11 - External Reporting: Financial Statements
Financial Statements - A General Overview
Building Blocks of Financial Statements
Management Discussion and Analysis
The Statement of Financial Position or Balance Sheet
"Reading the Balance Sheet"
The Statement of Operations
"Reading the Statement of Operations"
Statement of Changes in Net Assets or Net Debt
Statement of Cash Flows
Summing Up
Chapter 12 - Performance Reporting
Risks of Poor Reporting and Overcoming Them
Qualities of Performance Measurement
What We Are Measuring: Looking at Types of Performance Measures
Performance Measurement Tools
Historical Trend Analysis
Target Setting
Benchmarking
Financial Condition Analysis and Financial Ratios
Commonly Used Financial Ratios
Public-Sector-Centric Financial Ratios: Example
The Use and Abuse of Financial Ratios
Scorecards and Dashboards
Annual Reports and the Emergence of Citizen-Centric Reporting
Summing Up
Chapter 13 - Oversight and Audit
Audit, Financial Management and Accountability
Categories of Audits
Internal Audit Functions
Risk and Materiality in Determining What to Audit
Need for Independence
Audit Committees
External Audit: The Legislative Auditor
Independence
Legislated Mandate
Accountability and Oversight of Arm's-Length Agencies and Contracted Services
Appendix 1 - The Budget Games People Play
Getting New Programs Funded
1. Creeping Incrementalism
2. Chinese Box
3. Split Infinitive: Divide and Conquer
4. Get the Tail to Wag the Dog
5. Using Magic as an Accounting Device: the Shell Game
6. The Gift Horse - It's Free!
7. The Word Came Down
8. The End Run
9. I'm OK, You're at Fault
10. Only the Best
11. Show Me Yours
12. Ahead of the Curve
13. The Pre-Emptive Strike
14. Rebranding the Sow's Ear
15. Send in the Experts
Holding the Fort: Protecting and Growing the Current Budget
1. Placards and Protests
2. Spam Your Budget Increase Request
3. Time Ambush
4. The Sacred Base
5. Aim High, Settle for Less
Resisting Cuts
1. Paralysis by Analysis
2. A Pyrrhic Victory
3. Unleash the Clients
Counter Attack: Senior Management's Responses
1. Hold Back
2. Count the Pennies
3. The Madman Theory: Just Cut Across the Board
4. The Devil Made Me Do It
5. Meet You Half Way
6. Let's See the Boss
Appendix 2 - The In-Year Budget Management Games People Play
Disclaimer
Pre-Emptive Moves
1. Commit All the Funds Up Front
2. Reduce the Money's Visibility
3. The Sky Is Falling: Claim Under-Budgeting
When Budgets Go Over
1. Blame Someone Else
2. Live Above It
3. The End Run: The Minister Made Me Do It
4. Attack the Bean Counters
5. The Sky Is Falling
Money About to be Left on the Table
1. Make a Side Deal
2. Attack the Bean Counters
3. Extract Some Future Wiggle Room
4. Pull in the Stakeholders
Glossary

System requirements

Save as PDF Copy link into clipboard

Schweitzer Fachinformationen

Canadian Public-Sector Financial Management

Description

More details

Other editions

Additional editions

Content

System requirements