The primary purpose of a PMS is to provide a structured approach for municipalities to
enhance their performance and accountability. By assessing the implementation of
plans and optimal use of resources, PMSs ensure municipalities fulfill their duties
effectively. The PMS framework fosters a culture of continuous improvement, helping
municipalities to identify areas needing enhancement and take corrective actions where
necessary. Furthermore, PMSs promote transparency and accountability, enabling
municipalities to demonstrate their performance to the public and other stakeholders.
Establishment of a Performance Management System
The establishment of a PMS is regulated under Section 38 of the Municipal Systems
Act. A municipality must establish a PMS that aligns with its resources, circumstances,
and priorities outlined in its integrated development plan (IDP). This ensures that the
PMS is tailored to the specific needs and conditions of the municipality, making it a
practical and relevant tool for performance improvement.
Section 38(b) emphasizes the importance of fostering a culture of performance
management among political structures, office bearers, councillors, and the
administration. This cultural shift is crucial for the successful implementation of the
PMS, as it requires the commitment and participation of all municipal stakeholders.
The administration of municipal affairs in an economical, effective, efficient, and
accountable manner is another critical aspect of establishing a PMS, as stipulated in
Section 38(c). This approach ensures that the PMS is not only a theoretical framework
but also a practical tool for day-to-day municipal management.
Development of a Performance Management System
The development of a PMS is guided by Section 39 of the Systems Act. The executive
committee or executive mayor, or a committee of councillors appointed by the municipal
council, is responsible for managing the development of the PMS. This body assigns
responsibilities to the municipal manager, ensuring a clear line of accountability and
leadership in the PMS development process.
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