Introduction to Treasury Boards New Guidelines on Management of Materiel

Presented by Maurice Vodon and Serge Joanisse, Treasury Board Secretariat

Materiel Management National Workshop

May 12, 2009

Presentation Content
TBS Materiel Management Policy Suite Guide to Management of Materiel Guide to Fleet Management Guide to the Management of Movable

Heritage Assets

Context
TBS Policy Suite Renewal Initiative
Introduced in January 2005 Directly linked to the Federal Accountability

Action Plan
Commitment to reduce the number of policies (web of rules) by at least 50%

Simple, streamlined, principles-based policies

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Context
Clarify Deputy Head roles and responsibilities:

strengthen accountability
Sustainable and financially responsible

policies supporting program delivery and operations

Integrated, streamlined and consolidated policy

infrastructure
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Structure of TB Policy Instruments

Instrument Framework Policy Directive Standard Description Provides strategic context, explains why TB sets policy Formal direction explaining what deputies are expected to achieve Instructions on how deputies and officials must act to meet policy Detailed technical instructions, procedures on how a function is conducted Variety of documents, databases, and tools used by specialists or employees in day-to-day duties Application Architectural Mandatory Mandatory Mandatory

Guideline / Tool

Voluntary

Frameworks
Governance and Expenditure Management
Official Languages Information and Technology Service Financial Management Compensation People Assets and Acquired Services

Framework for the Management of Assets and Acquired Services

Establishes principles and sets

direction

Accountabilities Deputy Heads, TB and TBS, Common Service Organizations Monitoring, Reporting &

Performance Assessment

AAS Policies and Directives

Management of Assets and Acquired Services

Investment Planning, Limiting Investment Project Contracting Project Management Contractor Planning Mgmt Liability and Procurement Policies

Real Property Mgmt

Mgmt of Materiel

Disposal

Controlled Goods

Fleet Mgmt Fleet Mgmt Light Executive Vehicles Vehicles

Policy on Management of Materiel

Expected results of compliance Policy requirements Roles and responsibilities of key

government organizations
Appendix - Definitions
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Policy on Management of Materiel Expected results

Respects ministerial accountability Embodies sound materiel management practices Demonstrates due diligence Generates the maximum long-term economic advantage to the Crown Protects and preserves Canadian heritage and the environment Is fair, transparent, and financially responsible; and Is compliant with relevant federal legislation and policies

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Directives
Controlled Goods Directive
Sets out additional and more specific requirements that departments must meet concerning the management of controlled goods.
As defined in Part 2 of the Defence Production Act Controlled goods are given the level of protection necessary to prevent their unauthorized examination, possession, or transfer

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Directives
Directive on Disposal of Surplus Materiel
Sets out additional and more specific requirements that departments must meet during the disposal phase of the life cycle of their materiel assets. For example:
Concluded as effectively as possible As soon as possible after they become surplus In a manner that obtains highest net value for the Crown Use remarketing standing offers when in place
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Directives
Directive on Fleet Mgmt: Light Duty Vehicles Contains additional direction related specifically to the life cycle management of light-duty vehicles.
Planning Acquisition Operation, use and maintenance Disposal

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Directives
Directive on Fleet Mgmt: Executive Vehicles Contains additional direction related specifically to the life cycle management of executive vehicles.

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Authorized users Authorized maximum price Standards for executive vehicle Four phases of life cycle mgmt Insurance Personal use

Guides
Intended for practitioners who

manage departmental materiel assets departments and agencies

Developed in consultation with

Supports TB Policy direction Evergreen

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Guides
Easy retrieval of information Include examples, benchmarks, etc. Extensive use of hyperlinks References, further information Use the concept of Good practices Not mandatory requirements, but beneficial to follow TBS may request explanation if another approach is used
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Guides
Guide to the Management of Materiel
- Online January 2009

Guide to Fleet Management

Chapter 1 - Light Duty Vehicles - Online July 2007 Chapter 2 - Executive Vehicles - Online May 2009

Guide to the Management of

Movable Heritage Assets

- Online July 2008
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Guide to Management of Materiel

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Introduction to the Treasury Board Guide to Management of Materiel

MMI conference May 12th

Why was this guide developed?

To assist

departments in implementing and interpreting the requirements and expectations of the TBS Policy on Management of Materiel.

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How this guide was developed

Participants of the TB Materiel Management working group

Consultations for the guide took place in fall and winter ( 2007-2008) through a Materiel Management Working Group.

Maurice Vodon ( chair) Richard Fosbrooke Serge Joanisse Philip Jacobson Cheryl Campbell Stan Young Frederick Hardy Mike Levesque Jean Carruthers Robb Flemming John Holland Michel Giard Pierre Laplante Monique Phillips Jim Jordan Richard Monfils Barbara Winston Gary Jeddrie Lyne Lodin Daniel Murphy Lynne Blenk Lisa Horwitz Roloin Vetsch

TBS TBS TBS TBS Service Canada Service Canada RCMP PWGSC PWGSC PWGSC NR Canada NR Canada Library and Archives Industry Canada Environment Canada Environment Canada DND DFO DFO DFAIT DFAIT DFAIT CFIA

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Breakdown of the guide

There are 5 chapters in the guide:
Introduction; Objectives of Materiel Management; Life-cycle Materiel Management; Financial Reporting of Government Assets; and General Transaction Guidelines.

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Introduction & Objectives

These chapters of the guide are written to ensure that the reader: gains some background knowledge on the guide; becomes aware of requirements in the Policy on Management of Materiel; becomes aware that departmental policy is the next level; becomes aware of the avenues available to gain skills, knowledge, and competencies.

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Life-Cycle Materiel Management

This chapter of the guide introduces that reader to the four phases of lifecycle materiel management. These include: 1. 2. 3. 4. assessment and planning; acquisition; operation, use, and maintenance; and disposal.

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1. Assessment and planning

This section is made up of two areas of focus, these are: 1) Assessment - which is focused on the evaluation of requirements; 2) Planning.- which is focused on ensuring that the departments asset base supports its program objectives and government-wide initiatives

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2. Acquisition
The objective of this section is to ensure readers are aware of the good practices to acquire goods and services.

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3. Operations and Maintenance

This section of the life-cycle chapter focuses on two areas, these include: 1)Operation of government assets- whose objective is to ensure that the asset fully, effectively, and efficiently meets the program requirement; and 2) Maintenance of government assets- whose objective is to ensure that, when economically feasible, assets are repaired, refurbished, and reused rather than replaced.
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4. Disposal of Government Assets The objective of this section is to ensure readers are aware of good practices for the disposal of surplus materiel assets.

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Financial Reporting of Government Assets

The objective of this chapter is to ensure readers are aware of good practices for: accurate asset accounting; and appropriately recording assets in the departmental accounting systems.

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General Transaction Guidelines

The objective of this chapter is to introduce general transaction guidelines.

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Treasury Board Materiel Management Policy Suite

Introduction to the Guide to Fleet Management

Presented by Serge Joanisse, TBS

Materiel Management National Workshop

May 12, 2009

Presentation Content
Fleet Management Context Directive vs Guide Guide to Fleet Management: Guide to Fleet Management: Next Steps

Chapter 1 - Light Duty Vehicles Chapter 2 - Executive Vehicles

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Fleet Management:
Directive vs Guide Directive contains requirements on what departments must do Guide contains instructions on how departments should implement the requirements of the Directive.

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Fleet Management:
Directive vs Guide

Fleet Management Directive

Mandatory Requirements

Guide to Fleet Management

Guidelines Good Practices Benchmarks Processes References, hyperlinks

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Fleet Management:
Directive vs Guide Directive and guide are both organized to correspond with the 4 primary stages of lifecycle management:

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Planning Acquisition Operation, use and maintenance Disposal

GuidetoFleetManagement Chapter1LightDutyVehicles

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Guide to Fleet Management:

Chapter 1 - Light Duty Vehicles

Consultation Sessions
Began in January 2004 Addressed both the Directive and Guide Interdepartmental Working Group

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Guide to Fleet Management:

Chapter 1 - Light Duty Vehicles FleetDirectiveandGuideConsultation
Organization RCMP DND DFO Parks Canada AAFC and CSC CCRA HRDC NR Can & EC PWGSC TBS
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Rationale for Inclusion 36% of total fleet 21% of total fleet 6% of total fleet 5% of total fleet 4% each of total fleet Agency perspective Undergoing internal fleet review Leadership role Acquisition, leasing, disposal, etc. Policy responsibility

Guide to Fleet Management:

Chapter 1 - Light Duty Vehicles

Effective date
Directive: Guide: November 2006 July 2007

Structure
1. 2. 3. 4. Introduction Light-duty vehicle management in the federal govt Four phases of lifecycle management Three Appendices

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Guide to Fleet Management

Chapter 1- Light Duty Vehicles

Introduction
Purpose
Assist departments in implementing policy and directives related to management of light-duty vehicles Provide guidelines and good practices Enable readers to adhere to common set of procedures Ensure practices are consistent

Scope, MM Lifecycle, Chapter organization

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Guide to Fleet Management

Chapter 1- Light Duty Vehicles

Light-Duty Vehicle Management in the Federal Government

Roles and Responsibilities
Departments PWGSC TBS

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Guide to Fleet Management

Chapter 1- Light Duty Vehicles

Four phases of life cycle management:

Fleet planning

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Alternatives to acquiring vehicles Establishing guidelines to justify acquisition Understanding procurement timelines Selecting class & type

Guide to Fleet Management

Chapter 1- Light Duty Vehicles

Four phases of life cycle management:

Fleet acquisition
Methods of Supply for acquisition Leadership Vehicles Greening the Fleet Purchasing Alternative Fuel Vehicles Vehicle Rental and Leasing

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Guide to Fleet Management

Chapter 1- Light Duty Vehicles

Four phases of life cycle management:

Fleet operation, use and maintenance
Fuel Risk management Vehicle management and allocation Vehicle use and operation Data collection, credit cards and fleet information systems Fleet liability and insurance

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Guide to Fleet Management

Chapter 1- Light Duty Vehicles

Four phases of life cycle management:

Disposal
Planning for disposal Establishing guidelines for disposal Disposal methods
e.g.: Remarketing standing offer

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Guide to Fleet Management

Chapter 1- Light Duty Vehicles

Appendices
and disposal

Benchmarks for annual utilization

Assessing cost effectiveness and

operational feasibility of alternative fuel vehicles

Green Fleet Management Checklist
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GuidetoFleetManagement Chapter2ExecutiveVehicles

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Guide to Fleet Management:

Chapter 2 - Executive Vehicles

Consultation Sessions
Began in June 2008 Addressed only the Guide Interdepartmental Working Group

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Guide to Fleet Management:

Chapter 2 - Executive Vehicles Guide Consultation
Organization RCMP, DND DFAIT, PCO Parks, AAFC, CSC EC, Service, PWGSC CBSA EC, PCO, CRA PWGSC TBS Rationale for Inclusion Major fleets (60% of total fleet) Many executive vehicles Large fleets (over 1000 vehicles) Medium fleets Agency perspective Leadership roles Acquisition, OGGO Policy responsibility

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Guide to Fleet Management:

Chapter 2 - Executive Vehicles

Effective date
Directive: Guide: November 2006 April 2009

Structure
1. 2. 3. 4. 5. 6. Introduction Roles and responsibilities Four phases of lifecycle management Insurance Personal use and taxable benefit References

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Guide to Fleet Management

Chapter 2- Executive Vehicles

Introduction
Purpose
Assist departments in implementing policy and directives related to management of executive vehicles Provide guidelines and good practices Enable readers to adhere to common set of procedures Ensure practices are consistent

Scope, Chapter organization

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Guide to Fleet Management

Chapter 2- Executive Vehicles

Roles and Responsibilities

Federal departments PWGSC PCO TBS

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Guide to Fleet Management

Chapter 2- Executive Vehicles

Four phases of life cycle management:

Fleet planning
Understanding procurement timelines Selecting class & type

Acquisition
Qualifying an executive vehicle Acquiring an executive vehicle
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Guide to Fleet Management

Chapter 2- Executive Vehicles

Four phases of life cycle management:

Operation, use and maintenance
General Data Collection and fleet card Supporting a green executive fleet

Replacement, transfer and disposal

Replacement of an executive vehicle Transferring an executive vehicle Disposal of an executive vehicle
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Guide to Fleet Management

Chapter 2- Executive Vehicles

Additional advice and good practices:

Insurance
Coverage Required information for PWGSC and the insurer Invoicing and claims

Personal use and taxable benefit References

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Guide to Fleet Management

Next Steps:
Amend Chapter 1
More emphasis on greening the fleet

Consolidate Chapters 1 and 2 into one document - Guide to Fleet Management Completed this fall
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Guide to the Management of Movable Heritage Assets

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Introduction to the Guide to the Management of Movable Heritage Assets

MMI conference May 12th

Why was this guide developed?

The guide was developed to address the 5th requirement found in the Policy on Management of Materiel; TBS in collaborate with Canadian Heritage and the assistance of various departments that own heritage collections has completed a Guide on the Management of Movable Heritage Assets. The guide was completed and posted on the TBS website in the summer of 2008 for all departments to utilize.

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How the guide was developed

Consultations on the guide took place in the fall and winter ( 2007-2008) through a working group that included representatives from various departments:
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TB Management of Movable Heritage Assets working group members

Maurice Vodon (chair) Magali Johnson Marysa Oueriemmi Norman Beaudin Gatan Viel Robb Flemming Robert Pajot Anwareen Farouk John Holland Major Litalien Lisa Horwitz Kathy Zedde Megan McDonald Michael Orchard James Bourdeau

TBS TBS Senate Senate PWGSC PWGSC PWGSC Parks Canada NR Canada DND DFAIT Canadian Heritage CFIA CCG CCI

Updating of the guide

The guide is an evergreen document. The working group on Management of Movable

Heritage Assets will continue to provide the input for the updates of this guide.

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The guide indentifies 5 steps to effectively manage movable heritage assets: 1. Identification; 2. Determination of heritage value; 3. Documentation 4. Management 5. Maintenance

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1.Identification
A survey of the asset portfolio to identify the assets that may be of heritage interest.

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2.Determination of heritage value

An assessment should be conducted through consultation with a functional specialist, who possesses the appropriate skill set.

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3.Documentation
The recording of the

assets attributes. In other words, it is the paperwork on an asset, that can be used for later reference to describe the assets features.

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4.Management
A plan of action for

the asset. For example: What are you going to do with it?

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5.Maintenance
The steps taken to

preserve the asset, once it has been identified.

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Appendices found in the guide

Resources Available;
Where departments can go to for further assistance.

Example of a Step-by-Step Significance

Assessment;
Guidance to departments on what to look for when performing a significance assessment.

Example of an Asset Conservation Plan.

Guidance to departments on what an Asset Conservation Plan would look like and what information it would contain.

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