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Ahead of the Game: Blueprint for Reform of Australian Government Administration

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Part 4 – The Blueprint for Reform

Reform 4: Reinvigorating strategic leadership

APS leaders play a dominant role in shaping the culture and behaviour of their organisations. Change in the APS, therefore, requires a change to the way the APS is led.

A culture of innovation and collaboration will only flourish across the APS if it is supported and demonstrated by leaders at all levels. Investment in people through learning and development will only be a priority if leaders see fit to make it a priority. Forthright advice will only be provided if leaders are prepared to deliver it. According to employee consultations, the APS is often too risk averse to be innovative and truly frank and fearless.

Senior leadership is particularly critical to driving change. It is necessary to clarify the roles and responsibilities of Secretaries, support Secretaries in these roles and hold them to greater account against their responsibilities. It is incumbent upon Secretaries and the SES to champion the APS values to all employees. For example, this should involve affirming the practice whereby the best evidence-based policy and delivery options are put forward to Ministers.

Actions to make this happen

• Government to consider revising the APS values and, as necessary, the Code of Conduct in order to:
  • Promote APS collegiality and unity;
  • Encourage excellence in public service;
  • Clarify expectations of public service behaviour to foster public trust; and
  • Affirm the importance of including consideration of human rights issues in policy making.
• The APSC would:
  • Consult broadly, including with employees and stakeholders from the government, community, private sectors and relevant unions, on revised APS values; and
  • Provide advice on necessary legislative changes to the Public Service Act 1999 through the Department of the Prime Minister & Cabinet.
• The following qualities could be used as a starting point:
  • Accountable;
  • Frank, impartial and non-partisan;
  • Results oriented;
  • Ethical; and
  • Merit based employment.
• Once agreed the APSC would develop strategies to promote, model and embed the new values into the work of the APS including through:
  
  • A compulsory SES induction program to develop APS-wide values leadership;
  • Other core learning and development programs (Recommendation 7.3); and
  • A new performance framework (Recommendation 7.4).
• The APSC would also affirm principles for a strong relationship between Ministers and the APS (listed in Figure 2).
  
• Agency capability reviews could assess whether the APS values have been integrated into agencies’ culture and management practices (Recommendation 8.1).

Actions to make this happen

• The APSC in consultation with Secretaries and Ministers, would prepare guidelines on the roles and responsibilities of Secretaries, for consideration by Government.
• Roles of Departmental Secretaries would include:
  • Principal official policy advisor to the Minister;⁸⁹
    Manager, ensuring delivery of government programs and collaboration to achieve whole of government outcomes within their portfolio;
  • Leader with a stewardship role within their Department; and
  • APS-wide stewardship, discharged in partnership with other Secretaries and the APS Commissioner.
• Responsibilities of Departmental Secretaries would include:
  • Compliance with the FMA Act, the Public Service Act and relevant directions and legislation specific to their portfolios;
  • Maintenance of clear lines of communication within a portfolio, as negotiated between the Secretary and the relevant Agency Head. These arrangements should not abrogate Agency Heads’ statutory accountabilities;
  • Stakeholder engagement, particularly on the core activities of the Department; and
  • Familiarity with key project management, human capital and ICT systems and a commitment to ensuring systems are appropriately implemented and maintained.
• Drawing on previous models, the Secretary of PM&C and the APS Commissioner would develop a strengthened performance framework for Secretaries that:
  • Is a vehicle for peer-oriented, cohort-wide reflection on individual and collective performance, with 360 degree feedback that includes Ministerial feedback;
  • Facilitates the identification of personal development and growth opportunities for Secretaries;
  • Serves as a driver of APS reform from the “top down”, with a focus that includes APS-wide stewardship responsibilities;
  • Aligns with, and emphasises the importance of, performance management for APS employees at all levels; and
  • Leads to a report to the Cabinet Secretary and the Prime Minister.

Actions to make this happen

Government would consider new appointment and termination processes.

• The proposed appointment process would include:
  • The Secretary of PM&C would consult with the Australian Public Service Commissioner before proposing Secretary appointees to the Prime Minister;
  • Any disagreement between the Secretary of PM&C and the Public Service Commissioner would be reflected in the advice to the Prime Minister;
  • The Prime Minister would retain final decision making power;
    Secretaries would have five year terms and would be eligible to serve more than one term;
  • Rotation of Secretaries after five or seven years would be the norm in order to refresh Departments and stimulate new ideas, with the possible exception of specialised agencies; and
  • Although a five year term would be the presumption, the Secretary and the Prime Minister may agree on a shorter term in particular circumstances (for example, the intended retirement of the Secretary).
• The proposed termination process:
  • The Secretary of PM&C and the Australian Public Service Commissioner would be consulted prior to any termination decision;
  • If a Secretary is performing at an appropriate level of effectiveness and the Prime Minister wishes to move the Secretary because the relationship with the Minister has become unworkable, the Secretary of PM&C would be obliged to find the Secretary a post of equivalent standing for the remainder of their contract.  This process would occur within a reasonable time, if the Prime Minister does not otherwise offer the Secretary an equivalent placement.  The Secretary of PM&C would offer the post (even if not a Secretary post) after consultation with the Australian Public Service Commissioner; and
  • Affected Secretaries may opt to accept a termination payment and leave the APS.
• If agreed by Government, PM&C would develop amendments to the Public Service Act 1999 to reflect these changes and also to articulate the roles and responsibilities of Secretaries (Recommendation 4.2).

Actions to make this happen

• PM&C would develop for Government consideration amendments to the Public Service Act 1999 to remove references to the Management Advisory Committee and introduce the Secretaries Board and the APS 200.⁹⁰ The APSC would provide secretariat support to both forums.
• The Secretaries Board would comprise Secretaries and the Australian Public Service Commissioner and be chaired by the Secretary of PM&C. The Board would:
  • Take responsibility for the stewardship of the APS and for developing and implementing strategies to improve the APS;
  • Identify strategic priorities and be the preeminent forum for debate and discussion of issues impacting the APS;
  • Set an annual work program and charge subcommittees to develop strategies to address system wide issues and make recommendations to the Board;
  • Model leadership behaviours for the SES such as collaboration, networking, innovation and the delivery of frank and honest policy advice; and
  • Draw together advice from chairs of government bodies, senior community and business sector leaders.
• The APS 200 would comprise selected agency heads (Band Three and above) and Band Three SES and the Secretaries Board. The APS 200 would be tasked with assisting the Secretaries Board to discharge their responsibilities and would:
  • Undertake strategic projects and initiatives as set by the Secretaries Board; and
  • Champion issues such as APS diversity, Indigenous employment, service responsiveness and access to government information.
• All SES and other APS leaders would be expected to:
  • Model leadership behaviours including promoting innovation and challenging unnecessary risk aversion and mentoring employees; and
  • Drive APS-wide reforms in areas including: strategic policy and citizen-centred service delivery, recruitment, performance management, learning and development, workforce planning and agency efficiency.
• Communication tools, for example leadership circulars, would be used to ensure that all APS leaders develop a common understanding of strategic directions and work program priorities.
• Leadership expectations (including effective communication and promoting innovation) would be outlined in the new performance management framework (Recommendation 7.4).

 

Actions to make this happen

• All leaders would be required to identify and nurture top talent across the APS. The Secretaries Board, utilising the APS 200, would identify and provide opportunities to develop high performing individuals.
• The APSC would develop a model for agency talent management programs. The guidelines would also specify the relationship between these programs and APS-wide approaches to talent management.
• All agencies would introduce talent management programs that support the identification and development of talented employees from diverse backgrounds and across all levels of the organisation.
• Agencies could also develop a risk profile for critical roles in order to strengthen succession planning and develop their talent pool.
• The APSC would establish and operate a Leadership Development Centre that adopts best practice approaches from the public and private sector and is funded under an agreement between the APSC and Secretaries.
• The Centre would be overseen by a committee comprising up to four members of the Secretaries Board, the APSC Commissioner (Chair) and members of academia or the private sector (up to two). Secretaries would identify and nominate talented employees from diverse backgrounds to participate in the Centre.
• The Centre would:
• Create tailored development plans for participants (to be reviewed annually) as they are selected and move through the Centre;
  • Provide interventions targeted towards individual needs;
  • Initially focus on SES officers, with the intent to expand to include high potential executive and APS level employees; and
  • Provide a high performance program for senior SES to develop a diverse pool of talent to assist appointments at the Secretary and Associate Secretary levels.
• The APSC in consultation with agencies would also develop a high performance program for top graduates to enter after completion of their graduate program.

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• Next Page: Reform 5: Introducing a new APSC to drive change and provide strategic planning
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