Question 1 EPWP Case Study

System Description Expanded Public Works Programme (EPWP)

# Process (Activities)
A. Working Hors
1. EPWP beneficiaries start working from 7:30 - 17:00. They are allowed to work a
maximum of 9 hours a day, the minimum depends on the contractor and the availability
of work to be done. (The start time is decided by the contractor, but beneficiaries are
not to work more that 8 hours unless otherwise there is a task that cannot be left
unfinished e.g. pouring of the concrete that was already mixed). EPWP beneficiaries
are requested to sign the attendance register every day on arrival and departure. The
foreman keeps individual attendance registers and each employee signs the
attendance register in the presence of the foreman.

B. Payment of Stipend
2. EPWP beneficiaries are paid by the contractor either monthly or fortnightly; they are
paid at the Ministerial determined minimum wage. Stipend is calculated using the days
worked and rates per day.

3. Payments are made via EFT to EPWP beneficiaries account or by envelope directly to
EPWP beneficiaries. In a case of envelope payments, beneficiaries sign the
acknowledgement of receipt upon receiving their salary.

C. Records Keeping

4. The project leader signs the On-site documents (Attendance register, Monthly data
collection form and Worker payment capture form) after checking them for
discrepancies and forward them together with the proof of payment and pay slips to
EPWP on the first to the sixth day of every month.
Regional offices submit the documents collected from the projects to the Head Office.
Documents are scanned and emailed to the Head office on the 15th of every month.

1. Use EPWP system description presented above, to answer the following questions (use
imaginary information where necessary):
1.1. In the following tabular format, identify five Risks associated with the EPWP (10
Marks)

Process Risk Identified

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1.2. In tabular format below, develop five Audit procedures related to the risk
identified in 1.1 above (10 marks).

Process Risk Identified Audit Procedure

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Question 2: HR Case Study
Human Resource Management Process - Recruitment and Selection
Recruitment and selection refers to the systematic procedure of attracting, screening, and
selecting qualified people for a job for Departments. Recruitment is one of the activities that
impact most critically on the performance of a Department as it is the first step towards
creating competitive strengths and strategic advantage for the Department. This is achieved
by matching the right people to the right jobs.
When the line manager has a vacant post in his/her Unit he/she prepares a written
motivation for filling of the vacant position before it can be advertised. This motivation gets
appraised by the Head of Finance Unit after checking the following;
 if the vacancy exists;
 budget is available for the position; and
 whether the position has been evaluated for grading purposes.
If all the above has been met; a precise instruction of the qualities, qualifications and
experience required to fill the vacancy is prepared and attached to the motivation.
The motivation is sent to the Head of the Department for approval.
Once approved; it is sent to Internal Human Resource Administration (IHRA) for a request to
advertise.
All applications are received by the Security at the Department’s reception area where each
candidate submitting the application is required to sign a register.
After a closing date, a panel is selected, and suitable candidates get shortlisted and
interviewed.
Background checks and competency tests are done for the successful candidates.
On appointment, the selected applicant is required to sign an employment contract and
complete a “Personal Details” form. This form contains personal taxation and banking details
as well as starting salary. This form is signed by the employee and the Head of Finance Unit
and becomes the authorising document (Masterfile amendment form) for addition of the
employee to the Masterfile. An employee file is maintained for each employee. All
documentation pertaining to the employee is placed in the file and files are kept in a lockable
cabinet and the key to the Cabinet is kept by the HR manager for confidentiality purposes.

2. Use the recruitment and selection system description above to answer the following
questions (use imaginary information where necessary):
2.1. Identify five audit objectives associated with recruitment and selection process
[10 Marks].

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Question 3: SCM Case Study
Below is the system description for department A’s demand management and
acquisition processes:
Background: The acquisition of all goods and services is done through the internal
procurement procedures and policies which are aligning with the Public Finance
Management Act (PFMA).
Demand Management: On an annual basis, the Accounting Officer/delegated officials
develops the Annual Procurement Plan which aligns activities in the strategic plan,
operational plan and approved budget allocations for goods and services as well as assets
requirements.
Prior to purchasing of any goods and services, the Supply Chain Practitioner ensures the
following:

- The required goods were budgeted for;

Acquisition Management: Once the demand management phase of the process has been
completed, all supporting documentation is handed over to the Supply Chain Officer by the
Supply Chain Practitioner in order to continue with the sourcing of supplier process to
acquire the required goods and services.
The Supply Chain Officer performs the following actions when sourcing for suppliers:

- Extracts a list of suppliers offering the required goods or service from the Central
Supplier Database (CSD);
- Confirms the supplier compliance in respect of registration status, verification of
company directors, BBBEE level of contribution and tax compliance.
- For the suppliers who are found to be compliant as per CSD, the request for
quotations is emailed to these suppliers and the suppliers are required to submit
these quotations together with their tax clearance certificates, company registration
documents and bank stamped proof of banking details. The deadline for suppliers to
send through their quotations is stated (Day and time) on the email.
- All quotations are received via a centralized email system and can only be accessed
by the Supply Chain Officer.

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HRM Professional Services

Finding Description/ Heading: Candidate to complete

Upon performing the external verification with the South African Nursing Council (SANC), we
noted that 37% of registered, staff and auxiliary nurses reflected on the departmental payroll
were not registered as at 30 November 2021.

Root Cause
 The department relies on SANC to inform them whether the official is eligible to practice
as a clinician upon assumption of duties.
 Lack of proper controls to enforce that all nurses and clinicians appointed by the
department are registered with their respective professional body and that they hold a
“member in good standing” status thereon.
 Supervisory reviews and ongoing monitoring are not undertaken by those charged with
governance to ensure that members are registered with their respective professional
bodies.

Risks

Candidate to complete

Recommendation

Candidate to complete

Questions:

3.1. Identify a heading for the finding, rate the risk and identify whether the control is
inadequate/ineffective. The following format is suggested (heading, risk rating,
adequacy/effectiveness assessment) (3 marks)

3.2 Identify Risk/Effect for the above finding (7 marks)

3.3 Identify recommendations that will be given to management for counter the
finding. (10 marks)

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