{ "docId": "019dd923-5ca1-7489-b636-d0883166ba72", "docSlug": "5a26b82a815bb359", "documentTitle": "Scottish Fiscal Commission Audit", "authorId": "Deloitte", "authorName": "Deloitte", "documentKindSlug": "consulting-deck", "documentKindLabel": "Consulting deck", "sourceTypeSlug": "strategy_consulting", "sourceTypeLabel": "Strategy consulting", "presentationDate": null, "orientation": "landscape", "aspectRatio": 1.333, "pageNumber": 20, "pageCount": 43, "prevPage": 19, "nextPage": 21, "slideType": "diagnosis", "function": "diagnose", "density": "dense", "nDataPoints": 0, "notes": "The slide references an Audit Scotland report from 2014 as a framework for financial strategy.", "elementsJson": [ "headline_text", "paragraph", "comparison_table" ], "metadataConfidence": 0.95, "imagePath": null, "slideHref": "/slides/019dd923-5ca1-7489-b636-d0883166ba72/20", "deckHref": "/decks/019dd923-5ca1-7489-b636-d0883166ba72", "deckJsonHref": "/decks/019dd923-5ca1-7489-b636-d0883166ba72.json", "deckAnchorHref": "/decks/019dd923-5ca1-7489-b636-d0883166ba72#slide-20", "components": [ { "bbox": null, "kind": "callout", "text": "We would recommend that the Commission develop a medium term financial strategy in recognition of the wider funding pressures across the public sector and the potential impact this could have for the Commission.", "attrs": null, "subkind": null, "toolName": "Visual emphasis", "toolSlug": "visual-emphasis", "confidence": null, "componentId": "019dd951-ba8d-77da-997f-3643cb5b9492", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.65, "w": 0.45, "x": 0.04, "y": 0.16 }, "kind": "paragraph", "text": "Medium-to-long term financial planning (continued)\nWhile historically the Commission has received the funding that it has requested from the Scottish Government, there remains a risk over the medium term as the pressures across the whole of the public sector are increasing that this may not continue. It is therefore important that this is closely monitored.\nStrategic planning, financial planning and workforce planning are intrinsically linked and critical to the future success of any organisation. The Commission has not prepared a formal medium term financial plan. Given that over 85% of costs are staff costs, which are driven by national pay awards, and there are no planned changes to the scope of the Commissions work, there is little complexity in future projections. The indicative funding advised by the Scottish Government is expected to meet the planned costs over the medium term. We would, however, still recommend that the Commission develop a medium term financial strategy in recognition of the wider funding pressures across the public sector and the potential impact this could have for the Commission.\nAudit Scotland's report, published in June 2014 Scotland's public finances – A follow-up audit: Progress in meeting the challenges (audit-scotland.gov.uk) includes a helpful summary of important features of a financial strategy, as summarised opposite. We would recommend that management make reference to this publication as a guide to best practice.", "attrs": null, "subkind": "paragraph", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "185a244b-a5b2-4200-9889-a569f2be7a6c", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.78, "w": 0.46, "x": 0.5, "y": 0.13 }, "kind": "table", "text": "Area | Important features of a financial strategy\nPeriod | A financial strategy should cover 5-10 years.\nCost | A clear understanding of the business model and the cost of individual activities within it\nSavings options | Evidence based options for achieving savings\nSavings details | Details of one-off and recurring savings\nScenario planning | Scenario planning to outline best, worst and most likely scenarios of the financial position and the assumptions used\nAssets/Liabilities and Reserves | Details of assets, liabilities and reserves and how these will change over time\nCapital Investment Activity | Details of investment needs and plans and how these will be paid for\nDemand | An analysis of levels of service demand and project income\nFunding shortfalls | Any income or funding shortfalls and how to deal with these\nStrategy links | Clear links to the corporate strategy and other relevant strategies such as workforce and asset management\nRisks and timescales | The risks and timescales involved in achieving financial sustainability", "attrs": null, "subkind": "data", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "917536a7-ca1d-402c-8942-720a7d1818a1", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.04, "w": 0.45, "x": 0.04, "y": 0.05 }, "kind": "title", "text": "3.5 Wider scope requirements (continued)", "attrs": null, "subkind": "headline", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "f84e6513-ec49-48d1-9f76-60b5559d8cc7", "frameworkName": null, "frameworkSlug": null }, { "bbox": { "h": 0.03, "w": 0.3, "x": 0.04, "y": 0.1 }, "kind": "title", "text": "Financial sustainability (continued)", "attrs": null, "subkind": "subtitle", "toolName": null, "toolSlug": null, "confidence": null, "componentId": "5464ed31-66e5-480a-899d-160115ca7eed", "frameworkName": null, "frameworkSlug": null } ], "metrics": [], "tools": [], "frameworks": [ { "name": "Audit Scotland Financial Strategy Framework", "slug": null, "matchId": "f1338450-b8b1-4c4a-84f1-948186e5e392", "evidence": "Table summarizing features of a financial strategy based on 2014 Audit Scotland report", "confidence": 0.8 } ], "arcBeats": [ { "to": 20, "from": 13, "beatId": "4e4e5232-b2d6-43b9-ab9b-dbe01c37a3d9", "arcName": "The Consultant's Gambit", "arcSlug": "consultants-gambit", "beatName": "Evidence & Proof", "beatSlug": "consultants-gambit-evidence-proof", "evidence": "The document provides detailed information on the audit findings.", "position": 2, "confidence": 0.8, "parentBeatName": "Evidence", "parentBeatSlug": "evidence" } ], "loops": [ { "to": 25, "from": 20, "name": "Mece Breakdown", "slug": "40-mece-breakdown", "bestFor": "Problem structuring, ensuring completeness, strategic analysis", "matchId": "f73dd25c-a299-4ff7-ac85-7be316f17ade", "evidence": "The document provides a comprehensive analysis of the audit findings.", "position": 1, "objective": "Providing a detailed breakdown of the audit findings.", "structure": "The Whole -> Category A (distinct) -> Category B (distinct) -> Category C (distinct) -> Complete Coverage", "confidence": 0.6, "description": "Divide a complex topic into mutually exclusive, collectively exhaustive categories" } ], "imagePathAlt": null, "thumbSrc": null, "thumbSrcAlt": null, "locked": true }