Financial Management in the Foreign and Commonwealth Office - Public Accounts Committee Contents


3  Disseminating good practice

23.  The Department has a senior accountant from KPMG on its board as a non-executive director. He also chairs the Department's Audit and Risk Committee, which provides a robust challenge, holding the Department to account for its financial management. The Department reported that he has helped, alongside the Director General, Finance and the Director of Finance, to raise standards, to challenge, to demand accuracy, not to be satisfied with inadequate data, bringing a rigour that is seen by the Accounting Officer as being very important. The challenge that non-executives can bring with their outside experience is very helpful, not just to the Audit and Risk Committees, but to departmental Boards more generally. The Committee notes that there are plenty of people who have a senior business background, alongside a basic level of understanding of accounting matters, who are capable of making a very good contribution to Government departments as non-executives. It is crucial that departments provide the receptive environment, as FCO has done, to maximise the positive contribution that non-executive directors can make.[52]

24.  In addition to the Financial Reporting and Management Group in the Treasury, which holds regular seminars and training events with finance directors and departments to spread good practice, there is a strong network of finance directors around Whitehall.[53] For example, the FCO's Director General Finance sits on the Finance Leadership Group.[54] As part of the Five Star Finance programme, the Department is keen to act as a beacon and share good practice. The Director of Finance has set up a Business Improvement Group. This Group brings together people from across Whitehall who are interested in sharing good practice and learning from each other.[55]


52   Qq 43-45 Back

53   Q 36 Back

54   Q 37 Back

55   Q 38 Back


 
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Prepared 17 December 2009