There have been improvements in financial management and control in many areas since our last major audit of this aspect of the Department in 1987. A substantive effort has been made over the last two years. For example, the financial accounting system has been strengthened and there is increased awareness that cost is an important element in decision making. The need to link cost with results should follow. The war is not yet won.
Further progress is needed in many areas.
The Department realizes that this will require a sustained effort over a period of time. Strong leadership will be necessary to encourage acceptance of financial management and control as a management priority throughout the Department worldwide. 22.5 Where appropriate, increased delegation of authority from the Treasury Board to the Department could facilitate the realization of these opportunities. We propose to keep a watching brief over further progress in the areas of concern.