The Finance Committee are currently undertaking an inquiry into the process of asset management in the Welsh public sector. This inquiry is considering two main areas:
¡ processes involved in the management of the Welsh Government’s own estate; and
¡ guidance, support and the promotion of good practice by the Welsh Government in relation to asset management across the wider Welsh public sector.
Further detail on the terms of reference for this inquiry can be found on the committee’s webpages.[1]
The Committee previously called for information,[2] however due to the limited responses received, now requires further evidence in support of this inquiry. In order to properly understand the issues involved and to gain appropriate evidence for consideration, the Committee needs to develop an understanding of how asset management is approached in local government/health bodies.
To this end, we are seeking further detailed information in relation to the process and practice of asset management within your organisation and would appreciate it if you could provide the information requested below, as fully as possible, and provide examples where you feel it is appropriate.
Strategic links and leadership
1. How does asset management fit within the organisation’s overall strategy?
2. Does the organisation have an overall asset management strategy and published plans which support the corporate objectives?
a. How does this strategy link into the capital investment strategy and wider financial planning?
3. Who has responsibility for leadership on asset management:
a. At a Cabinet/Board level?
b. At Executive level?
c. At Service level?
4. How are Council/Board Members engaged with property asset management and how regularly does the Council/Board review asset performance?
5. Is there a dedicated property division or similar? If so please detail its structure and relationship with other service divisions.
6. Across the organisations (e.g. at Council/Board, Executive and Service level) can you demonstrate that property is utilised as a corporate resource and enabler of service provision?
Systems and Processes
7. Can you demonstrate that property maintenance is supported by adequate information systems? Are these information systems used to:
§ Benchmark performance against that of other bodies; and/or
§ Link with other relevant systems (e.g. geographical information systems)
8. How often does the organisation conduct an options appraisal to ensure that the property maintenance backlog is being managed effectively?
a. Is there a programme of regular property reviews? If so, what do these consider and how often are they conducted?
b. Is information on running costs and environmental impact available to the review team?
9. Can you demonstrate that decisions on new capital projects and other planned works are based on a clear business case, including options appraisal and whole-life costing?
10. How does the property division interact with service divisions, what are the arrangements for involvement/support?
Resources and value for money
11. What are the levels of resource available, at corporate level, to review property assets and running costs? Is this adequate?
12. What information on the property costs of the buildings occupied by services is available to senior management, and how is this utilised by them in considering service delivery?
13. Does property maintenance have adequate resources to meet its policy objectives and is sufficient priority given to routine maintenance within the budget process?
a. Is funding maintenance linked to the condition of assets?
14. Given the current climate of reducing budgets, is there any perception at corporate, or service, level that resources should be diverted directly to front-line services rather than to property management?
15. Can you provide examples of how the organisation works with partners to achieve economies of scale in asset management?
16. Can you please detail the framework in place to continuously review and improve the performance of property management?
a. Are there annual performance plans, agreed by Council/Board Members, setting clear targets for improvement?
b. Does the organisation include this information in public performance reporting?
Guidance and good practice
17. What if any, guidance is adhered to in conducting asset management in the organisation?
18. Do you share good practice and lessons learned on asset management with other organisations/professional bodies, and if so, via what mechanisms?
19. Would a central source of expertise and good practice be beneficial to the Welsh public sector, and if so where should this sit?
a. Would training in property/asset management be beneficial?
20. Would the drive to improve asset management benefit from a repeat of the Wales Audit Office’s 2010 report on buildings management?
[1] National Assembly for Wales, Finance Committee, Asset Management Inquiry
[2] National Assembly for Wales, Finance Committee, Asset Management Inquiry