Ministries did not follow up the experience from a previous comprehensive audit when using external consultancy services

Press Release – November 24, 2009


From November 2008 to October 2009, auditors from the Supreme Audit Office (SAO) performed an audit of finances used for external consultancy services within the period from 2005 to 2008. The audited ministries used the outputs of the external consultancy services to achieve the defined goals in 11 cases out of 18, of which in six cases the goals were only partially achieved. The quantity of money spent on these 11 consultancy services constituted approximately 51 % of the quantity of audited finances, i. e., approximately CZK 94 million.

Among the audited bodies were Ministry of Transport, Ministry of Finance, Ministry of Defence, Ministry of Labour and Social Affairs, Ministry of the Interior, and Ministry of Foreign Affairs. From 2003 to 2007, the Government repeatedly provided that administrative bodies made the central state administration more effective. However, no binding rules for using the outputs of external consultancy services were set. By the time the audit was completed, a state of affairs that would guarantee objective outputs and conditions for making central state administration more effective had not been attained.

“Auditors recommend the ministries to set binding regulations for using external consultancy services, especially with these intended to make the central state administration more effective. The regulations should respect the update methodologies of managing processes and the best practice standards, so that the outputs of external consultancy services are put to a larger use“, said president of the SAO František Dohnal.

When using external consultancy services, the audited ministries did not follow up the experience from a previous comprehensive audit performed at Ministry of Finance. The comprehensive audits would ensure more effective achievements if the ministries submitted to them. Instead, the ministries performed audits, which failed to evaluate the achievements.

“This state of affairs followed from fundamental systemic shortcomings in the process of making the central state administration more effective and insufficient managing activities of the audited ministries. The whole process lacked a centralized control. No regulations were binding ministries in charge or central state administrative bodies to adhere to some unanimous strategy when making central state administration more effective“, said Dohnal.

The auditing operation was included into the SAO’s 2008 Audit Plan under No. 08/37. Petr Skála, Member of the SAO Board, controlled the operation and prepared the audit conclusion as well.

Bc. Radka Burketová
Press Speaker
Supreme Audit Office

print the page