Introduction: Every project, including the municipality’s mSCOA project should have an issue log. Key decisions made during the execution of the project should be captured in the project issue log. The issue log forms part of the captured and documented for future use and understanding of the project ‘project knowledge’ which is implementation rationale. Internal- and external auditors use the issue logs during their respective audits. Issues differ from risks in their very nature. A risk refers to a future uncertain outcome, which is mitigated and managed to reduce the possible negative impact it could have. An issue refers to something that is happening at the present time, and needs key decisions in terms of approach and resolution. Once the decisions have been implemented, the issue is closed and recorded for future reference, and the project implementation moves on: What is the difference between a risk and an issue? Example 1: Risk be capable of accommodating all – Will the municipality’s general ledger seven (7) the mSCOA segments? of Issue – The municipality’s existing general ledger can only accommodate four (4) of the will we change our to accommodate all mSCOA segments. How general ledger the mSCOA segments? seven (7) of Example 2: Risk be able to integrate the system with – Will the municipality human resources (HR) the core financials as (compliant)? required by the mSCOA Regulations Issue – During the system’s testing today we realised the HR system does not integrate with should we integrate the HR system with the core the core financials. How financials to meet the requirements (compliance)? mSCOA In many cases, risks are addressed by key decisions of the project team (issue resolution). The success of the action which was taken, determines the outcome of the project (in other words was the risk successfully mitigated?). This is however, not always the case.
Introduction: Every project, including the municipality’s mSCOA project should have an issue log. Key decisions made during the execution of the project should be captured in the project issue log. The issue log forms part of the ‘project knowledge’ which is captured and documented for future use and understanding of the project implementation rationale. Internal- and external auditors use the issue logs during their respective audits. Issues differ from risks in their very nature. A risk refers to a future uncertain outcome, which is mitigated and managed to reduce the possible negative impact it could have. An issue refers to something that is happening at the present time, and needs key decisions in terms of approach and resolution. Once the decisions have been implemented, the issue is closed and recorded for future reference, and the project implementation moves on: What is the difference between a risk and an issue? Example 1: Risk – Will the municipality’s general ledger be capable of accommodating all seven (7) of the mSCOA segments? Issue – The municipality’s existing general ledger can only accommodate four (4) of the mSCOA segments. How will we change our general ledger to accommodate all seven (7) of the mSCOA segments? Example 2: Risk – Will the municipality be able to integrate the human resources (HR) system with the core financials as required by the mSCOA Regulations (compliant)? Issue – During the system’s testing today we realised the HR system does not integrate with the core financials. How should we integrate the HR system with the core financials to meet the mSCOA requirements (compliance)? In many cases, risks are addressed by key decisions of the project team (issue resolution). The success of the action which was taken, determines the outcome of the project (in other words was the risk successfully mitigated?). This is however, not always the case.
07.-Annexure-D_Example-project-issue-log-2-March-2016.docx