ARCHIVED - MAF Assessment: Health Canada - 2008

1.1 Leadership: Strong

• Regarding Values and Ethics Leadership, the organization is maintaining its Round V (2007-08) assessment of Strong. It has submitted a Management Assertion to CPSA that no significant changes have occurred within the organization to affect this rating.

1.2 Infrastructure: Strong

• Organization monitors risks in regard to possible breaches of public service values and ethics, and risk management is integrated into decision making.
• Values and ethics plans or strategies are tailored to an organization's work, span several years, and measure results and are used to inform senior management on the state of the organization's values and ethics.

1.3 Culture: Strong

• Organization, on an ongoing basis, uses employee feedback from across the entire organization to measure its values and ethics culture and employee engagement.

2.1 PAA Consistency: Acceptable

• The Strategic Outcome(s) reflects the departmental area of influence and is/are adequately aligned with the organization's mandate.
• The Strategic Outcome statement(s) can be understood within and outside the department as a benefit to Canadians, however its/their clarity should be improved.

2.2 Measurability: Acceptable

• An adequate Program Activity Architecture has been developed with some issues to be resolved.
• An inventory of programs has been developed and most of the listed programs meet the definition of a program.

2.3 Quality:

• An incomplete or inadequate performance measurement framework has been developed.
• Expected results are not clear and distinct, and are not appropriate to their respective program descriptions.

3.1 Business Plan: Acceptable

• Corporate business plan generally aligns resources and accountabilities to priorities.

3.2 Governance Structure: Acceptable

• Adequate management oversight of the organization's program activities and underlying programs is evident.
• Organization's corporate governance structure is generally aligned to the organization's PAA.
• Senior corporate management structure or subordinate governance structure (e.g., committees) meet regularly.

The department is promoting integrated planning processes that will allow for a better assessment of progress in priorities and clarify accountabilities. 

Detailed user guides have been developed to assist staff in planning processes.

4.2 Participation in Priority Initiatives: Acceptable

• The organization contributes effectively to priority interdepartmental initiatives.
• An internal management structure has been established to manage the organization's participation in priority initiatives.
• The organization is providing support to the initiative leads.
• The organization's commitments are somewhat clear.

4.3 Portfolio Coordination: Strong

• Substantial communications occur between departmental and portfolio entities' executives.
• The Department's portfolio coordination displays deliberate and effective leadership.

TBS has assessed Health Canada with regard to its participation in the Public Service Renewal (Acceptable), Web of Rules (Strong), Science and Technology Strategy (Acceptable) and First Nations Water and Wastewater Action Plan (Acceptable) initiatives.

5.1 Supporting Information: Opportunity for Improvement

• Explanation for the level of resources requested is partially sufficient.

5.2 Analysis: Acceptable

• Analysis of value for money is partially effective or efficient.
• Appropriate performance measurement or evaluation analysis is incomplete.

5.4 Quality control: Attention Required

• Quality control process is sometimes evident and is partially effective.

Though the department's capacity to develop storylines has improved, there still needs to be a better understanding of the purpose of a TB submission, and the kind of analysis that is required in it. Quality control remains a challenge for the department.

6.1 Quality: Acceptable

• All evaluations submitted to TBS include a management response and an action plan detailing implementation strategies, timelines and management accountabilities.
• Evaluations submitted to TBS usually present findings, conclusions and recommendations that are supported by the evidence found in the evaluation report.
• The majority of evaluations submitted to TBS consistently address questions of program relevance, success and effectiveness.
• The majority of evaluations submitted to TBS include analysis of the limitations of the methodology and data sources used.
• The majority of evaluations submitted to TBS use multiple lines of evidence. Evaluations reflect the diversity and perspectives of multiple program stakeholders.

6.2 Neutrality: Strong

• Evaluation function resourcing is commensurate with the organizational evaluation plan.
• Senior management committee is in place to support, oversee and monitor the evaluation function and management accountabilities arising from evaluations and evaluation related products. The committee is chaired by the deputy head or senior level designate. The committee meets regularly during the year.
• Some resources dedicated to evaluations are directed by the Head of Evaluation, some resources are directed by the program base.

6.3 Coverage: Acceptable

• Option 1: The organization is working according to its evaluation plan and has shown evidence of moving towards full evaluation coverage of its program base (e.g. over a five year cycle). Current annual evaluation coverage is between 10-15% of total direct program expenditures.
• The organization has shown evidence of moving towards full coverage of all ongoing programs of grants and contributions over a five year cycle as per 42.1 of the FAA. Year to year percent coverage indicates organization is on track to achieve 100% coverage.
• The organization has shared its risk-based evaluation plan with TBS. The evaluation plan has information on evaluations planned, completed and carried over. It also includes links to the organization's PAA.

6.4 Usage: Acceptable

• Active, documented, systematic and regular tracking of management action plans arising from evaluation recommendations is in place.
• Majority of evaluations submitted to TBS incorporate data from a performance measurement system to support the evaluation. Submitted evaluations sometimes cite data availability and/or quality as constraints.
• Most RMAFs are implemented (i.e. between 60-89%). Program managers are required to commit to implementation timelines.
• The results of evaluations are almost always brought for consideration in TB submissions, Memorandum to Cabinet, RPPs, DPR and Strategic Reviews.

HC continues to demonstrate acceptable practices in all areas of management of the evaluation function, attaining a Strong rating for the neutrality of the evaluation function. Evaluations are of an acceptable quality, coverage of DPS is increasing, resources are stable and the use of evaluations to support decision making is satisfactory.

7.1 MRRS Basis: Acceptable

• Good links between performance and plans are present.

7.2 Credible information: Acceptable

• DPR generally provides independently verifiable evidence-based performance information. Some information on the validity and credibility of data used is provided.
• DPR is not sufficiently based on the PAA, i.e. performance is not reported consistently by Program Activity (PA) or at the PA level.
• Strong linkages between PA and Strategic Outcome (SO) level performance are consistently made in the DPR.

7.3 Context: Acceptable

• DPR is generally balanced – the report presents both positive and negative aspects of performance and substantiation or explanation is generally provided.

8.1 Change plan: Acceptable

• Organizational change plan exists and is consistent with the scope of change identified.
• The organization has the capacity to evaluate whether or not change is required.

8.2 Engagement: Acceptable

• Change management related training programs are available to some components of the organizations.
• Individual and organization-wide change-related training programs are available.

8.3 Assessment: Acceptable

• Change plans and strategies are included in Performance Management Agreements of Senior Executives.

Health Canada is in the process of implementing an ambitious transformative agenda.  All of this needs coordination and oversight. The department has an overall plan to manage these multiple change processes. Senior management engagement is evident, and accountabilities are clearly identified.

9.1 Engagement: Acceptable

• Senior management has reviewed/approved the Corporate Risk Profile within the past year.
• Senior management reviews the organization's Risk Management approach within the current three-year planning cycle.
• The organization has a common risk assessment approach and it has been approved by senior management.
• Senior management ensures that the organization's Risk Management approach is tailored to the specific needs of the organization and is adjusted as required.
• Senior management encourages effective Risk Management and a risk-smart culture.
• Accountability for key risks is assigned to senior management.

9.2 Implementation: Acceptable

• The Corporate Risk Profile is systematically (horizontally and vertically) implemented into most operational levels across the organization.
• The organization's Risk Management approach is regularly communicated to staff and stakeholders.
• Risk Management guidance and tools that enable the organization's risk management approach are made available to staff.

9.3 Integration: Acceptable

• Risk information is adequately consulted for senior management decision-making.
• Risk information Risk Management principles are ingrained in planning and resource allocation decisions.
• Operational level risks are prioritized into key risks.
• Risk information and Risk Management principles are adequately captured in senior management reporting.
• The organization makes adequate course corrections based on Risk Management performance and new information.

9.4 Continuous Improvement: Acceptable

• Many relevant external sources are consulted during the development of the organization's CRP.
• Key risk information was adequately gathered from internal sources of the organization for preparing the CRP.
• Corporate risks are consistently linked to the organization's strategic outcomes.
• The CRP provides a comprehensive assessment of the quality of risk information used.
• The organization adequately builds on past experience, better practice, and adjusts to fit any changes in management structures, priorities or strategic direction.
• The organization has implemented all recommendations provided during its last MAF assessment.

Over the past year, Health Canada has demonstrated its commitment to the development of a comprehensive and enterprise-wide risk management approach.  The department continues to focus on the update of its IRM Framework, scheduled to be completed by fiscal year-end.  HC has also recently completed an update of its CRP that included mapping its key risks to its PAA.

10.1 Fair: Acceptable

• Evidence shows that labour relations matters are consistently and appropriately managed/addressed.
• Evidence shows that the organization is in compliance with Labour Relations and Compensation Operations direction (terms and condition of employment, collective agreements and/or applicable legislation).
• Organization is undertaking action to improve the classification program in accordance with its level of risk.
• Evidence shows that the organization exceeds standards of timeliness in payments to employees.

10.2 Enabling: Strong

• Organization demonstrates a generally adequate linguistic capacity to provide personal and central services and supervision in both official languages.
• Organization is representative of all four employment equity designated groups.
• Promotions among employment equity groups are greater than previous year's performance.
• Work instruments, electronic systems and communication tools are generally available in both official languages.
• Separations among employment equity groups are equal or greater than previous year's performance.

10.3 Healthy and safe: Opportunity for Improvement

• Employees feel recognized for positive performance.
• Evidence indicates that the organization fails to put in place a managed program to protect employees' occupational health and safety.

11.1 Productive: Acceptable

• A sufficient number of employees indicate their organization supports their career development and learning needs.

11.2 Principled: Strong

• Communications with and services to the public in both official languages are generally available.
• Employees consider that they generally can communicate in the official language of their choice within their organization and work instruments, electronic systems and communications in both official languages are generally available.
• Necessary linguistic capacity is in place as is shown by the vast majority of incumbents of bilingual positions who meet the language requirements of their position.
• Organization is representative of all four employment equity designated groups.
• Promotions among employment equity groups are less than representation for at least one group.

11.3 Sustainable: Strong

• Evidence indicates human resources planning is integrated with business planning and there is ongoing support by means of governance/organizational infrastructure.

11.4 Adaptable: Acceptable

• A sufficient number of employees indicate their organization encourages continuous learning, improvement and innovation.

12.1 Governance: Acceptable

• IM requirements are integrated as a part of the approval, development, implementation, evaluation, and reporting of departmental policies, programs, services, or projects.
• IM is represented in the corporate-wide governance structure and / or in the corporate-wide governance or approval committee(s).
• Responsibilities are identified for IM policy development and implementation consistent with the GC IM Strategy and policy instruments.
• Some participation is evident in GC-wide approaches and initiatives related to developing, implementing, sharing and leveraging IM policies and practices.

12.2 Strategy: Opportunity for Improvement

• The IM strategy is in development but it is not clear how it supports departmental business priorities and operations nor how it integrates with other corporate strategies, plans, and planning cycles.
• A plan to implement the strategy is in development but it lacks timelines or resource estimates.
• IM awareness activities are underway in the department to help staff and executives understand their IM roles, responsibilities and accountabilities.

12.3 Privacy Act: Acceptable

• Organization submitted an Annual Report to Parliament but did not address all of the mandatory reporting requirements.
• Some collections of personal information under the control of the organization have not been appropriately identified or described in accordance with the Privacy Act.

12.4 Access to Information Act: Opportunity for Improvement

• Organization submitted an Annual Report to Parliament but did not address all of the mandatory reporting requirements.
• A significant number of institution-specific Classes of Records do not meet Treasury Board Secretariat requirements.
• Although the organization has made several improvements to its 2008 Chapter of Info Source: Sources of Federal Government Information, revisions are still necessary to meet all Treasury Board Secretariat requirements.

Although the overall rating for the Health Canada is Opportunity for Improvement, the institution has met most of the assessed statutory requirements of the Privacy Act.

13.1 Leadership: Strong

• The senior official has responsibility and accountability for the full scope of information technology responsibilities and ensures that information technology supports organizational outcomes.
• Organization actively participates and demonstrates leadership in setting government-wide directions for information technology.

13.2 Planning: Acceptable

• Acceptable information technology plan is in place that aligns with the government-wide directions for information technology and departmental business needs.
• Organization has aligned corporate and information technology governance structures and has an integrated planning process.

13.3 Value: Strong

• Organization analyzes and plans for the appropriate use of information technology shared services to an optimal extent.
• Organization demonstrates management commitment to service costing, asset management, performance measurement and reporting to ensure value delivery.

14.1 Investment Planning: Acceptable

• The organization has a current long-term investment planning document that has been approved by the proper authority.
• The organization has a planning document that ranks priority investments.
• The organization's investment planning process considers investments over multiple years.
• The investment planning process integrates investments decisions across all asset classes.

14.2 Real Property Management: Acceptable

• Some elements of a real property management framework have been implemented.
• Governance structures, approval processes and authority limits are documented and disseminated.
• Reliable and integrated information systems are in place.
• Certification of information in the FCSI is received and accepted.
• Some indicators of real property performance are monitored.
• Contaminated site management is consistent with policy and program guidelines.
• A culture of continuous improvement is evident.
• Comprehensive internal policies are documented and disseminated.
• Experience and best practices are shared internally and government-wide.

14.3 Materiel Management: Acceptable

• Governance structures, approval processes and authority limits are documented and disseminated.
• Comprehensive internal policies are documented and disseminated.
• Reliable and sufficiently integrated information systems are in place.

15.1 Governance and Oversight: Acceptable

• Business cases are not required and there is no evidence that they are used to support project proposals.
• There are no obvious links between approved projects and the strategic program plans and priorities of the organization.
• There is no evidence that the organization has exceeded Treasury Board project approval limits, or failed to notify TB/TBS when it did.

15.2 Effective Management of Project Resources: Opportunity for Improvement

• There are no processes or procedures which ensure that planned projects have the required resources to achieve project outcomes.
• There is no evidence of project managers creating staffing plans and authorization for necessary resources is not secured before project execution.
• There is no evidence that the organization has failed to meet TB conditions regarding projects.
• While project management related training is made available by the organization for employees, there are no processes to ensure that employees with project management responsibilities are encouraged to complete relevant training and the number of qualified project managers is unknown.

15.3 Effective Management of Project Results: Acceptable

• There is no requirement for business cases that define project outcomes and few projects are subject to a review.
• While lessons learned are used to improve project management governance and oversight in some instances, there is no formal or organization-wide mechanism which supports continuous improvement.
• While there is evidence of project monitoring and reporting activities, there is no evidence that these activities are ongoing or that the information is used to support corrective action.
• While there is evidence that project milestones, deliverables and outcomes are documented for some projects, it is not a requirement across the organization.

Governance and oversight mechanisms for the department appear to exist only at the branch level.

16.1 Governance and Oversight: Acceptable

• Clear links have been established between procurement activities and the organization-wide program plans, priorities and long-term investments.
• Effective and accountable procurement management processes and controls are in place (e.g., contract review mechanisms, documented decision making, guidance documents, appropriate delegation instruments or proper use of delegated authorities).

16.2 Meeting Operational Requirements: Acceptable

• Consistent procurement training is evident.
• Efficient and integrated procurement information systems and processes are in place.
• Mandatory training underway.
• Procurement processes that contribute to cost savings and value for money are in use.
• Results and reviews are used to continuously adjust current procurement management activities and future procurement plans.
• Timely and accurate procurement financial and non-financial reports have been submitted.

17.1 Authorities and Policies: Strong

• Audit report results show evidence of deficiencies that are of some concern.
• Departmental procedures, tools, training and support for those individuals delegated with Section 34 authority show evidence of solid financial management practices.
• Departmental processes for classification of moneys, internal controls for receiving and recording money and depositing money show evidence of solid financial management practices.
• Departmental processes for informing those delegated with Section 33 authority of their responsibilities and dealing with requests for payments that are problematic show evidence of solid financial management practices.
• Departmental processes to provide individuals delegated Section 33 authority with the information necessary to assess and approve specific transactions and to assess the adequacy of Section 34 account verification show evidence of solid financial management practices.
• Limited response to management letter recommendations.
• The reporting of external user fee information meets or nearly meets the requirements of the reporting guidelines.

17.2 Public Accounts Reporting: Strong

• Eighty to 89% (grade B) of Public Accounts reporting plates submitted on time.
• Minimal Central Financial Management Reporting System (CFMRS) coding errors.
• No errors found during the course of the OAG Public Accounts audit.

Management Capacity: Acceptable

• A low proportion of FIs or management team members in the financial management organization have current, approved learning plans.
• A significant amount of training is provided for the financial management organization.
• Positions, the duties of which are being performed by an individual indeterminately appointed to that position, comprise a reasonable proportion of the FI segment of the financial management organization.
• Positions, the duties of which are being performed by an individual indeterminately appointed to that position, comprise a reasonable proportion of the positions on the management team of the financial management organization.
• Some processes in support of a sound succession plan for key positions are in place.
• There is a position (or positions) established in the financial management organization that is dedicated to community management and development.
• There is a strong functional relationship between the CFO/SFO and FI positions that exist outside the financial management organization. *This row is only applicable where the department or agency indicates there are FI positions outside the financial management organization.

17.4 Financial Statements: Acceptable

• All concerns identified in the audit readiness assessment are addressed in a detailed action plan.
• Several known financial internal control weaknesses remain unremedied.
• The Financial Statements are compliant with Treasury Board Accounting Standard 1.2 – Departmental and Agency Financial Statements and reporting deadlines were met.

17.5 Internal Reporting: Strong

• The internal financial reporting package is accompanied by a comprehensive discussion and analysis.
• The internal financial reporting package is presented to senior management less than one month after period end.
• The internal financial reporting package is presented to senior management ten or more times per year.
• The process for reviewing information before it is presented to senior management to ensure no material errors or omissions is well established.
• The scope of the internal financial reporting package is comprehensive.

17.6 Other Initiatives: Acceptable

• Evidence of some initial measures taken towards implementing the Guide to Costing.
• The organization has identified financial management initiatives in such areas as policies, reporting, systems and community development.

While the department maintained its overall rating of Acceptable, it significantly improved the quality, timeliness and accuracy of its trial balance and Public Accounts plates, made progress towards having its financial statements ready for audit. Worthy to note is Health Canada's continued progress in the effectiveness of its financial management and control practices.

18.1 Internal Audit governance: Strong

• There is an approved Internal Audit Charter in line with the 2006 Policy on Internal Audit.
• The Implementation Plan covers all of the required policy elements.
• Ongoing monitoring of, and progress in implementing, key elements of the plan are on track with planned timelines.
• Chief Audit Executive reports solely and exclusively to the Deputy Head.
• An independent Departmental Audit Committee is in place.
• There is an approved Departmental Audit Committee Charter in line with the 2006 Policy on Internal Audit.
• There is an approved Departmental Audit Committee Annual Plan for fiscal year 2008-2009.
• The Departmental Audit Committee has met at least four times over the past twelve months.
• A draft Departmental Audit Committee (DAC) Annual Report addressing some or all of the eight areas of DAC responsibility has been prepared for fiscal year 2007-2008.

18.2 Internal Audit Professional Practices: Opportunity for Improvement

• The Risk-Based Audit Plan was approved by the Deputy Head and sent to the Office of the Comptroller General in a timely manner.
• Annual Risk-Based Audit Plan methodology is somewhat evident and applied.
• No identification of post-engagement follow-up activities.
• There is limited information of the planned use of all audit function resources.
• Vast majority of planned work is on audit assurance versus other types of activities.
• Continuity of previous years work is not clearly identified, or there is limited identification of status and rationale.
• Approved assurance products are not consistent with policy and internal audit standards requirements, containing one key methodological deficiency.
• Moderate completion rate of assurance products (number of assurance audit reports) against 2007-2008 Risk-Based Audit Plan.
• Internal Quality Assurance and Improvement Program is well documented and in place.
• Post-engagement follow-up process is well documented, and all recommendations are followed up using a risk-based approach.
• The department or agency provides limited notification to the Treasury Board Secretariat on the posting of reports.

18.3 Administration of the Internal Audit Function: Acceptable

• Some elements of a comprehensive Human Resources Plan have been documented, and evidence of recruitment and external resourcing activity exists.
• Investment in Certified Internal Auditor certification, learning and training represents a minimum of 5% of FTE salaries.
• Investment in Certified Internal Auditor certification, learning and training exceeds 10% of FTE salaries.
• Planned spending, *, was given to the Office of the Comptroller General. When comparing current spending of 2008-2009 with planned financial resources of 2007-2008, resource levels identified maintain the resource levels identified in 2007.
• Planned FTEs dedicated to internal audit have been maintained comparatively to 2007-2008. They meet the resource level identified in the planned internal audit function's budget for 2008-2009.

18.4 Internal Audit Performance: Acceptable

• A Chief Audit Executive Annual Report for 2007-2008 was presented to the Departmental Audit Committee and the Deputy Head and submitted to the Office of the Comptroller General.
• Regular periodic reporting on the follow-up of Management Action Plans is evident.

Health Canada demonstrates strong governance by having the Departmental Audit Committee in place with four approved external members, having produced a DAC annual plan and a draft annual report.

19.1 Departmental Security Program: Strong

• Organization's security program is fully developed and sustainable, and comprises all key policy elements.
• Organization demonstrates leadership and contributes to the government-wide security program.
• Organization's security strategy is completely aligned and integrated with its corporate priorities and business plan.

19.2 Management of IT Security (MITS): Opportunity for Improvement

• Organization has achieved the three priority objectives that form the foundation for Management of Information Technology Security (MITS), but does not fully comply with MITS requirements.
• Some deficiencies in meeting key MITS requirements.

19.3 Business Continuity Planning (BCP): Strong

• Organization has a fully developed and sustainable ability to provide for the continuity of critical business operations and services.
• Completed and approved plans are in place for Pandemic and Information Management / Information Technology emergency preparedness.

20.1 Management Engagement – Service and CLF: Opportunity for Improvement

• The institution may have committees or sub-committees which consider and/or make decisions about service. Such committees or sub-committees may not be composed of senior management accountable for services. The institution, however, does not have a committee which is responsible for making decisions about and overseeing service at the institutional level.
• There are expectations set by senior management for an institutional focus on meeting the needs of clients, specifically with respect to service standards and client satisfaction measurement.
• There are priorities and goals for service, but not always at the institutional level; these limited priorities and goals are set by senior management based on the use of limited performance evidence.
• There is limited monitoring of progress by senior management towards the achievement of the goals for service, making course correction difficult.
• There is monitoring by senior management to ensure that the requirements of CLF 2.0 are being met institution-wide; this information is generally used to make timely and proactive decisions and course correction.

20.2 Public/client views: Strong

• Evidence of incorporating feedback in the implementation of its services, programs, policies or initiatives.
• Many plans to obtain views from all target clients.
• Many strong tools are used to obtain views from clients.
• Strong evidence of making consultation results available to the public.
• There is a clearly identified target clientele for public consultations.

20.3 Official Languages: Acceptable

• Analysis of the Annual Review on OL shows the institution is generally able to meet its obligations.
• Audits reveal numerous shortcomings in active offer and service delivery in both OL.
• No complaint or minimal number of founded complaints exits.
• The institution has the necessary linguistic capacity to serve the public in both OL.