Strategic Plan

Transcription

1 Fiji Revenue and Customs Authority Strategic Plan A WORLD CLASS REVENUE AUTHORITY DELIVERING EXCELLENCE IN REVENUE COLLECTION, BORDER PROTECTION, TRADE AND TRAVEL FACILITATION

2 TABLE OF CONTENTS Nature and Scope of FRCA s Business 3 Our Vision and Mission 4 Our Values 5 Summary of Results 6 Informants of Strategy 7 Our Strategic Plan Organization Strucutre 15 Our Roadmap 16 Page 2

3 NATURE AND SCOPE OF FRCA S BUSINESS The Fiji Revenue and Customs Authority (FRCA) is a statutory authority established under the FRCA Act 1998 that is governed by a Board and administered by a Chief Executive Officer. FRCA s role is to: i. Collect taxes and duties on behalf of government; ii. iii. iv. Provide quality advice on tax and customs matter to all its stakeholders; Facilitate trade and travel; and Protect the border. Our services are available from ten locations throughout Fiji: Ba, Labasa, Lautoka, Levuka, Nadi, Rakiraki, Rotuma, Savusavu, Sigatoka and Suva. Regular visitations are also held with outer islands, often in partnership with Government. FRCA has embarked on a transformation journey to deliver excellence in our services and in fulfilling our role. Our strategy to achieve this requires redesigning our business operating model with a strong focus on the One Service One Team concept. Accordingly our organization structure is re-aligning to take advantage of internal synergies and technological advancements that will not only make us more efficient and effective but also make it easier for taxpayers, traders or travelers to comply. FRCA has five operating arms: i. People, Capability & Culture ii. iii. iv. Revenue Management Intelligence, Compliance & Investigations Border Force v. Corporate Services vi. Technology % 8.5% 2.3c TOTAL STAFF CUSTOMER SATISFACTION INDEX 2015 AVERAGE REVENUE GROWTH AVERAGE COST OF COLLECTION Page 3

4 OUR VISION & MISSION OUR VISION OUR MISSION A World Class Revenue Authority Delivering Excellence in Revenue Collection, Border Protection, Trade And Travel Facilitation Helping Fiji grow as a leading contributor and funder of sustainable economic, security and social initiatives. Page 4

5 OUR VALUES 1 ONE ORGANIZATION Everyone will work as one toward the goals of FRCA displaying teamwork and respect for each other. LEADERSHIP Our senior leaders will set direction and create a customer orientation, clear and visible values and high expectations. The leaders will ensure the creation of strategies, systems, and methods of achieving excellence and building knowledge and capabilities. INTEGRITY VALUING EMPLOYEES It s a character. It s a culture. It s a way of life. We will invest in the development of our workforce through education, training, welfare and giving opportunities for their continual growth. In return FRCA expects high levels of productivity and integrity from its employees. RESULTS FOCUS PARTNERSHIP AND ENGAGEMENT Our performance measurements will focus on key results. Results should be guided by and balanced by the interest of all stakeholders. The use of a balanced set of performance measures offers an effective means to monitor actual performance, and to marshall support for improving results. We will build internal and external partnerships to better accomplish our goals. Page 5

6 SUMMARY OF RESULTS Revenue Collection Revenue collected by FRCA has contributed close to 90% of total Government revenue over the last five years. The positive revenue collection is attributed to sound tax policies, improved tax compliance as well as multiplier effect through tax cuts. Figure 1 illustrates the trend in revenue collection in the last ten years. Figure 2 illustrates the trend in ratio of revenue collections to Gross Domestic Product (GDP). Border Control The protection of our border and the facilitation of trade are also core roles for FRCA. Figure 3 illustrates the growth in the number of people and the volume of cargo facilitated at our ports of entry. Operational Efficiency The Authority receives an annual grant from the Government to finance its operations. This is supplemented with other income from fees and charges. From 2010 to 2015, the Authority s average Net Surplus was $5.9 million per year. The cost of collecting revenue has remained stable in the last few years at around 2 cents for every revenue dollar collected. See Figure 4. Figure 1: Revenue Collection Figure 2: Revenue Ratio to GDP ,500,000, % 31.0% 2,000,000,000 1,500,000,000 1,000,000, ,000, % 30.0% 29.5% 29.0% 28.5% 28.0% 27.5% % Figure 3: Travel and Trade Volume Figure 4: Cost of Collection ,000,000 Total Trade (EXP + IMP) Total Passenger Movements 1,750, ,000,000 1,700, ,000,000 1,650,000 1,600, ,000,000 1,550, ,000,000 3,000,000 2,000,000 1,000,000 1,500,000 1,450,000 1,400,000 1,350,000 1,300, [p] 2015 [p] 1,250, Page 6

7 INFORMANTS OF STRATEGY People Management Our people are our greatest asset, therefore targeted investment and care of our asset is one of the four strategic drivers for achievement of a world class organization. To ensure achievement of our operational outcomes and to progress towards being a world class Authority, we are focused on organizing and aligning our business structure for maximum focus on our four strategic focus areas, and on aligning our activities for efficiency and productivity. We are building accountable and capable leaders, developing a One Service One Team FRCA workforce that is multi-skilled and agile, able to work across the organization meeting the needs of our customers, our stakeholders and our business objectives. FRCA is actively seeking to retain and recruit people with a strong customer service approach, who understand and demonstrate the importance of competency, agility, productivity, and timeliness; officials who create value for the people of Fiji, who perform our critical functions with integrity and a continuous improvement approach to the services they are responsible for delivering. In the coming year, as we progress our People Strategy, our focus is on ensuring clarity of expectations through a robust and transparent performance management framework. This is essential to build clarity, focus and accountability for delivery. Delivery and development will be recognised through the enhanced framework that is being designed specifically for FRCA. We are focused on building a world class workforce, a workforce that delivers world class service, internally and externally to our customers, stakeholders, and the people of Fiji. Technology Technology is a key cornerstone of the FRCA transformation roadmap. In a nutshell, efficient revenue administration, ease of accessing services, ease of doing business, and intelligent analytics to name a few, are the drivers behind the technology transformation journey. Legacy systems are being replaced. A key project underway is the replacement of the Fiji Integrated Tax System (FITS). The Automated System for Customs Data (ASYCUDA) was recently upgraded from ASYCUDA++ to ASYCUDA World. FRCA is also moving towards a paperless environment. Intelligent analytics is expected to improve as automated information sharing is made easier with the upgraded and new systems. These new developments require a sound and secure architecture to ensure security; data integrity; resiliency; interoperability; adherence to best practice standards and allowing for future growth. It also requires an agile IT workforce with the right skills to keep abreast of advancements and effectively support the business. Customer service expectations and needs Customers have an increasing expectation that access to FRCA information and services, filing of returns and payment procedures will be delivered in a way that is convenient and cost effective. In addition, there is also the need to continually and consistently apply Laws and Policies in case management. With the pending introduction of self-assessment this expectation will increase. With the cost of internet service and hardware steadily decreasing, access to the internet in the community is increasing exponentially. The development of e-services will need to meet customer expectations and needs. New branch offices, delivering full services have recently been opened in Sigatoka, Rakiraki and Ba. Making FRCA s services more accessible is important. National Disasters It can be planned on that FIJI will continue to have natural disasters that will need to be responded to through ensuring services and relief applications are processed quickly. A Disaster recovery and business continuity plan must be ready for implementation in the event of natural disasters occurring. Government requirements of FRCA FRCA is the major funder of the National Budget. Apart from our primary mandate, FRCA continues to partner and support other government initiatives as needed. Our strategic plan is aligned with the Government s national plan to ensure sustainable and effective performance. Compliance behaviour (trends) The economy is growing in a range of 2-3 percent with revenues collected exceeding the growth in the economy. At the macro level, compliance behaviours have remained consistent which in part can be attributed to the low tax rate broad-based policy regime and an improvement in the levels of outstanding returns and debt and customs revenues. Compliance challenges continue to exist. Compliance risk management methodologies have been initiated within FRCA processes with further work to be done in anticipation of self-assessment being implemented for all revenues. The challenge for the Authority lies in the timely dissemination over multiple channels of clearly articulated Tax Rules as well as Quality Practice Statements and Guidelines. The Intelligence-Led, Compliance-Based Risk Management model will ensure secure and safe trade and travel facilitation as well as the extended virtual border. International developments New relationships and markets are developing in Asia. FRCA is now the World Customs Organization Vice Chair Secretariat for the Asia Pacific Region and will hold this position until mid This presents many opportunities for FRCA and Fiji to strengthen economic relations and enhance capacity development. Consultations with bilateral partners are expected to continue as more Double Taxation Agreements (DTAs) are modernized. Page 7

8 OUR STRATEGIC PLAN VISION An overview of the structure and levels of FRCA s Strategic Plan MISSION STRATEGIC FOCUS AREAS PARTNERSHIP LEGISLATION & PROCESSES ORGANIZATIONAL GOALS ORGANIZATIONAL GOALS ORGANIZATIONAL GOALS OBJECTIVES OBJECTIVES OBJECTIVES Page 8

9 STRATEGIC FOCUS AREAS Focus Areas are the foundation stones of our strategy. They expand on the Vision Statement and create the structure around how the organisation can achieve its goals. ORGANIZATIONAL GOALS Broad goals that FRCA wants to achieve. The primary goals of the organisation, to which objectives will align. OBJECTIVES Specific actions that need to be taken in order to achieve the organizational goals. Have specific measures associated to each objective. VALUES PEOPLE TECHNOLOGY ORGANIZATIONAL GOALS ORGANIZATIONAL GOALS OBJECTIVES OBJECTIVES Page 9

10 OVERALL INDICATORS Overall Indicators Revenue Collection Debt Management Cost of Collection Customer Satisfaction STRATEGIC FOCUS AREA 1: PARTNERSHIP Organizational Goals Objectives Measures 1.1 Promote Voluntary Compliance Implement Behavioral Driven Compliance Manage and promote stakeholder engagement Develop and publish annual compliance plan Publications and assistance to TTT Ongoing information exchange between all stakeholders Develop stakeholders training package Implement Shared Information & Services under B2B & B2C Principles Shared services with identified partners (eg.baf) 1.2 Enhance Gold Card Services Develop the Gold Card Brand Increase membership Increase incentives Ensure Member compliance An Integrated Approach with Selected Local and International Institutes Broaden the Gold Card compliance criteria 1.3 Maintain effective regional and international relationships Develop an International Strategy Lead Asia/Pacific Regional Initiatives (Vice Chair) Consultative process International Plan Donor funding Legal instrument that governs VC role 1.4 Develop Best Practice tools for the South Pacific Region Develop the RTC Best Practice Compendium Promote FRCA Organization Transformation Model Partnership approach with local institutes/bodies RTC Model for the small PIC s Transformation model for Fiji and small PIC organisations Page 10

11 STRATEGIC FOCUS AREA 2: LEGISLATION AND PROCESSES Organizational Goals Objectives Measures 2.1 Harmonize FRCA Administration Legislation Modernize all FRCA administered laws Review and re-write archaic laws Review & Consolidate Revenue Administrative Provisions Carry out preparatory works for drafting harmonized administrative provisions for Tax & Customs laws by Aug Enable Digital Enforcement Capabilities Establish Legal Framework for Electronic Communications/ Electronic Fiscal Devices Prepare legal framework Umbrella MOUs for Shared Information & Services Establish umbrella MOUs with Govt bodies and with banking sector by Sep Review & Implement Cybersecurity Legal Framework Prepare legal framework 2.3 Align with International Benchmarking Standards Review Adoption of UN Conventions/WTO/ WCO/ OECD, etc. as Best Practice Legal Frameworks Gap analysis with international standards by June Transition towards Ratification of Best Practice Frameworks 80% compliance with selected international standards by Review policies and procedures Review all SOPS; Prepare Practice statements Complete business process mapping of key tax & customs processes by Dec Simplification and harmonization of procedures Process mapping Implement all process and legislative changes within agreed timeframe Page 11

12 STRATEGIC FOCUS AREA 3: PEOPLE Organizational Goals Objectives Measures 3.1 Implement People Strategy and new FRCA Structure Implementation of integrated FRCA Structure Implementation of integrated workplace approach Level 1 Structure implemented; CEO & Directors appointed Level 2 Integration of units into the new business streams March 2017 Appointment of Level 2 & 3 leadership positions Director new responsibility areas defined, documented, and operational July Leadership Design and implementation of strategic leadership, people, capability and culture Establish a formal framework for development of leaders (current and potential) Succession planning framework - April FRCA s Employment Framework Agree, communicate and implement remuneration framework Establish partnership forum; Adopt Interest based bargaining Framework completed 1 Jan 2017 Training for managers to lead implementation Communication and information for staff Implementation and staff awareness completed March 2017 Already underway Quarterly engagements with partners Refresh of Collective Agreement Commence November 2016 Adoption of interest based bargaining approach evidenced 3.4 Recruitment and Selection Frameworks 3.5 Policies & Procedures Frameworks Overall recruitment Framework refresh; Establishment of assessment processes and exercises Development of cohort recruitment & assessment centre processes and exercises Development of assessor selection and training processes Code of Conduct production and supported distribution Disciplinary Policy & Procedures production and supported distribution Develop Suite of best practice HR policies and procedures Refreshed generic Recruitment Framework designed and documented March 2017 Cohort Recruitment and Assessment Framework designed, documented and implemented January 2017 Design and build of new programme for FRCA cohorts ready for implementation February 2017 FRCA officer induction programme underway March 2017 Policy endorsed October 2016 Regulation (2002) rescinded Print, distribute, staff awareness Policy endorsed Regulation (2002) rescinded Print, distribute, manager awareness 2017 HR policies and procedures suite developed December 2016 Distribution Implement new HR system Successful transition from current system to new HR system 2017/2018 Page 12

13 STRATEGIC FOCUS AREA 3: PEOPLE Organizational Goals Objectives Measures 3.6 Performance & Development Frameworks 3.7 Career Boards Rotation Board Succession Planning Technical competency framework development Leadership competency and career pathway framework Design and implementation of Career Board policies, procedures, and materials Design and implementation of Rotation Board policies, procedures, and materials Technical competency framework designed and documented July 2017 Implementation and ongoing enhancement 2017/2018/2019/2020 Leadership and career pathway competency framework designed and documented July 2017 Establish a succession map for critical FRCA positions 2017/2018 Graduate programme linked to FRCA future skills and knowledge needs Career Board policies and procedures designed and documented March 2017 Implement - June 2017 Enhance and design leadership pipeline for critical FRCA roles 2018/2019/2020 FRCA Succession Plan established ongoing 2018> First Career Board rounds successful completed July September 2017 ongoing enhancement Rotation Board policies and procedures designed and documented April 2017 ongoing enhancement First Rotation Board rounds successful completed September October 2017 ongoing enhancement Page 13

14 STRATEGIC FOCUS AREA 4: TECHNOLOGY Organizational Goals Objectives Measures 4.1 Build Enterprise Capability Develop IT Strategic Architecture Identify and document IT enterprise framework Dec 4.2 Manage Growth & Sustainable Projects 4.3 Ensure a Secure & Intelligent Information Platform 4.4 Provide Agile & Innovative Solutions New Revenue Administration System Single View of TTT (Single Window) International Mail / Subscriptions Management Upgrade Existing Support Systems (HRIS, TRIM, Infrastructure) ASYCUDA World Expansion (Modules) / Fully implement ASYCUDA World Dev Plan Carry out an Information Security Audit Design a Digital Identity Framework Develop an Information Sharing Framework Implement Business Intelligence Analytics Integrated Information Systems (B2B & B2C); EFDs Supply Chain Security Program (NIIE & Central Inspection) Design and implement E-services (e-filing + e-payments) Design and implement Mobile services Unified Communication - Contact Centre (Phase 2) Roll out from 2017 Progressive implementation Project timelines Progressive implementation Progressive implementation Complete and implement recommendations Identify needs and sources Design the framework Identify needs and develop the system Develop and implement systems Purchase the system Identify business model for the central inspection area Roll out from 2017 Identify mobile services required Roll out phase Review Smart Gate Feasibility Study Hybrid infrastructure - Combining Hardware & software for efficiency Needs assessment and implement Vendor Management Consolidate into a package for contracts Achieve a Paperless Environment EDRMS Phase 2 Roll out Phase 2 Page 14

15 OUR ORGANIZATION STRUCTURE Board of Directors Chief Executive Officer Director Revenue Management Director Intelligence, Compliance & Investigations Director Border Force Director Corporate Services Director People, Capability & Culture Chief Information Officer Tax & Customs Revenue Tax & Customs Debt Management/ Lodgmentnforcement FRCA Customer Services includinggold Card FRCA Objections Review Intelligence and Profiling Tax & Customs Fraud Investigations Tax & Customs Audit Compliance Border Control Airports -Marine Wharf Cargo Clearance -Inspections Passenger Processing Legal Services Strategy, Policy & Monitoring Change Financial & Asset Management Internal Assurance Stakeholder Engagement Capability & Productivity Enhancement Frameworks and Initiatives Recruitment, Assessment, Induction & Technical Training HR Services/ Organization Capability, Productivity, & Workforce Planning, Initiatives, Monitoring, Reporting & Forecasting Strategic & Operational Technology enablement Knowledge and Record Management Systems IT Projects Page 15

16 FRCA Strategic Plan OUR ROADMAP Key Milestones from the plan. Lead Asia/Pacific Regional Initiatives Review SOPs & Prepare Practice statements Develop an Information Sharing Framework integrated workplace approach Develop IT Strategic Architecture ASYCUDA World Expansion 2017 BEGIN IMPLEMENTATION OF PLAN Page 16

17 FRCA Strategic Plan Business Intelligience Analytics Asia/Pacific Regional Initiatives (Vice Chair) 2020 Technical Competency Framework ongoing enhancement Implement new HR system Review & Consolidate Revenue Administrative Provisions 2019 Review & Implement Cybersecurity Legal Framework 2018 Ratification of international conventions Modernize all FRCA administered laws People frameworks ongoing enhancement Single View of TTT (Single Window) Design and implement Mobile services Achieve a Paperless Environment EDRMS Phase 2 Page 17

18 NOTES Page 18

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