intsika yethu local municipality - Provincial Spatial Development plan

These two pieces of legislation are what informs IYLM performance management framework from whichthe new PMS will eventually emerge. Throughout this chapter reference will be made to these two piecesof legislation in order to motivate IYLM’s stance on PMS. In addition to legislation, IYLM has producedthe Performance Management Policy of 2008/09 which in itself references the two aforementionedlegislation as a source of opinion.In accordance with section 38 of the Municipal Systems Act 32 of 2000, “A municipality must establish aPerformance Management System”. Section 39 dictates further that “The executive committee orexecutive mayor of a municipality must:a) Manage the development of the municipality’s Performance Management System;b) Assign responsibilities in this regard to the municipal manager; andc) Submit the proposed system to the municipal council for adoption.In order to monitor its PMS, a municipality should implement a number of activities. The MunicipalSystems Act sets out a number of activities that would assist the municipality in achieving this end. Theseactivities are referred to as core components and are located in section 49 of the act. Beneath is a summaryof these core components.IYLM is expected to set appropriate key performance indicators as a yardstick for measuring performance,including outcomes and impact, with regard to the municipality’s development priorities and objectivesset out in its IDP.a) Set measurable performance targets with regards to each of those development priorities andobjectives;b) Monitor performance, and measure and review performance at least once a year;c) Take steps to improve performance with regards to those priorities and objectives whereperformance targets are not met; andd) Establish a process of reporting.The Municipal Planning and Performance Management Regulations of 2001 elaborates on the details ofwhat the Performance Management System should entail. According to these regulations “Amunicipality's performance management system entails a framework that describes and represents howthe municipality's cycle and processes of performance planning, monitoring, measurement, review,reporting and improvement will be conducted, organised and managed, including determining the roles ofthe different role-players”.The Municipal Planning and Performance Management Regulations provide for the followingrequirements that a Performance Management System should meet in order for it to be credible. Thefollowing are listed as primary requirements of the regulations:a) PMS complies with all the requirements set out in the Actb) Demonstrates how it is to operate and be managed from the planning stage up to the stages ofperformance and reporting;149