Mandate
The mandate of a Planning Unit in a Local Government is to facilitate effective and efficient planning processes and provide support for decision-making within the local government
Planning cycle
i.An annual planning cycle is a systematic process that organizations go through to set goals, allocate resources, and develop strategies for the upcoming year. It helps organizations align their actions with their mission and objectives, and ensures that efforts are coordinated and focused on achieving desired outcomes.
ii.The annual planning cycle for Higher Local Governments (HLGs) may vary depending on the specific organization and local government structure. However, there are some common steps involved in the process:
Common steps involved in the process
. Review of Previous Year’s Performance: The HLG begins by reviewing its performance from the previous year, including achievements, challenges faced, and lessons learned.
2. Environmental Analysis: An analysis is conducted to understand the external environment in which the HLG operates. This includes factors such as demographic trends, economic conditions, political landscape, technological advancements, and regulatory changes.
3. Stakeholder Engagement: Key stakeholders such as community members, elected officials, staff members, and other relevant parties are engaged to gather feedback and input on priorities for the upcoming year.
4. Goal Setting: Based on the review of previous performance and stakeholder feedback, goals are set for the upcoming year. These goals should align with the overall vision and mission of the local government.
5. Priority Identification: The HLG identifies key priorities or focus areas that need to be addressed in order to achieve the set goals. These priorities could include areas such as infrastructure development, public service improvements, community engagement initiatives, etc.
6. Resource Allocation: Resources required to support priority areas are determined. This includes financial resources (budget allocation), human resources (staffing requirements), and technological resources (IT infrastructure).
7. Action Planning: Detailed action plans are developed for each priority area or initiative identified in step 5. This involves setting specific objectives or targets for each priority area along with a timeline for implementation.
8 . Implementation and Monitoring: The action plans are implemented throughout the year with regular monitoring of progress towards achieving objectives. Key performance indicators (KPIs) or other tracking mechanisms may be used to measure progress.
9 . Evaluation and Review: At regular intervals (quarterly or semi-annually), evaluations are conducted to assess whether objectives are being met and if any adjustments or changes need to be made based on emerging needs or challenges.
10 . Reporting : Regular reporting mechanisms are put in place so that stakeholders within the organization can stay informed about progress made by HLG towards its goals
BUDGET CYCLE
A budget is a financial plan that outlines an organization’s or individual’s estimated income and expenses for a specific period of time, typically one year. It serves as a tool for managing and controlling financial resources by allocating funds to different activities, projects, or areas of expenditure
1. Budget Preparation Guidance: HLGs provide guidance to departments and agencies on the budget preparation process, including timelines, formats, and instructions.
2. Budget Calendar: A calendar is established that outlines key milestones and deadlines for each stage of the budget preparation process.
3. Budget Guidelines: HLGs issue guidelines to departments and agencies regarding budgeting principles, priorities, and any specific requirements or constraints.
4. Revenue Forecasting: An assessment is made of expected revenue sources for the upcoming year, such as taxes, grants, fees, etc. This may involve analyzing historical trends, economic forecasts, and other relevant factors.
5. Expenditure Requests: Departments and agencies submit their expenditure requests based on their operational needs and priorities for the upcoming year.
6. Review of Expenditure Requests: The HLG reviews expenditure requests to ensure alignment with strategic goals and available resources. This may involve assessing each request’s feasibility, cost-effectiveness, sustainability, etc.
7. Negotiation/Adjustments: If there are discrepancies between requested budgets and available resources or strategic priorities, negotiations take place between departments/agencies and higher-level management to make necessary adjustments or reallocations.
8 . Integration/Consolidation: The approved expenditure requests are consolidated into a comprehensive budget document that reflects the entire organization’s financial plan for the upcoming year.
9 . Budget Approval Process: The comprehensive budget document is presented to relevant decision-making bodies (e.g., council members or board of directors) for approval through a formal review process. This may include discussions/clarifications on specific items before final approval is granted.
The stages of annual work plan preparation
1. Review of Strategic Objectives: The organization reviews its long-term strategic objectives and goals to determine the priorities and focus areas for the upcoming year.
2. Identification of Key Activities: Based on the strategic objectives, key activities are identified that need to be undertaken in the upcoming year to achieve those objectives. These activities can be related to various aspects such as operations, projects, programs, or initiatives.
3. Setting Priorities: The identified activities are prioritized based on their importance and alignment with the organization’s mission and strategic direction. This helps in allocating resources effectively and efficiently.
1. Review of Strategic Objectives: The organization reviews its long-term strategic objectives and goals to determine the priorities and focus areas for the upcoming year.
2. Identification of Key Activities: Based on the strategic objectives, key activities are identified that need to be undertaken in the upcoming year to achieve those objectives. These activities can be related to various aspects such as operations, projects, programs, or initiatives.
3. Setting Priorities: The identified activities are prioritized based on their importance and alignment with the organization’s mission and strategic direction. This helps in allocating resources effectively and efficiently.