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He said boards of State enterprises and parastatals should enter into performance related contracts with their chief executive officers to ensure improved service delivery and public accountability.
Minister Moyo said the boards had a mandate to ensure that an effective management team was in place for the respective entities they lead.
“Boards also have the duty to monitor and evaluate the management team’s performance on a regular basis. In this regard, a performance based contract template for chief executive officers of SEPs has been distributed through a Cabinet circular to all State enterprises and parastatals for implementation.
“The objective of these performance agreements is to clearly lay down the board’s expectations from the outset, agree on performance targets and indicators as well as modalities for the evaluation of the performance of each public entity with the ultimate intention of performance improvement and delivery of quality goods and services to the people of Zimbabwe,” he said.
He said performance agreements were informed by the respective mandates, strategic plans of the entities as well as work plans for an agreed period usually a financial year or budget year.
He said his ministry in conjunction with the Department of Modernisation and Administration in the Office of the President and Cabinet, was in the process of finalising a performance agreement template that line ministries would use to enter into performance agreements with the boards falling under their respective jurisdictions.
The agreements between boards and respective ministers were intended to provide for a broad understanding and commitment between the parties of what was to be achieved annually and during the tenure of office of each board.
“A circular to this effect will be dispatched to all SEPs through their respective line ministries in due course. I would like to urge all SEPs to review their strategic plans with the view to re-energise themselves for the wider agreed targets consistent with the Government Medium Term Plan, Restructuring Policy and Corporate Governance Framework,” he said.
He said the Government as the major shareholder in public enterprises wanted to see improved service delivery.
Online Reporter