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FASSET | Annual Integrated Report 2022/23

1. INTRODUCTION

The Financial and Accounting Services Sector enable delivery of appropriate outputs to those whom
Education and Training Authority (FASSET) is a public its operations impact.
entity established in terms of the Skills Development
Act 97 of 1998; and listed as a Schedule 3A entity During the Financial Year, Management prepared
as per the Public Finance Management Act 29 of and submitted relevant policies from various
1999 (PFMA). departments for the Board’s approval. The Board is
supported in its functions and duties by the EXCO, the
The AA relies on the support of its established ARC, FINCO and the HREMCO, all of which have
Board Committees which include the Executive been functional in the reporting period. It is guided
Committee (EXCO), Audit and Risk Committee (ARC), by an approved charter in terms of the FASSET
Finance Committee (FINCO), Human Resources constitution.
and Remuneration Committee (HREMCO), and the
Governance and Strategy Committee (GSC). King IV

The AA ensures that FASSET maintains effective and Meaningful and SETA-wide application of the King
transparent systems of risk management and internal IV corporate governance practices is a key starting
controls by having a functional ARC that is supported point in ensuring desired governance outcomes.
by an effective Internal Audit and skilled executive By aligning its practices with King IV, the principles
management. of which apply to the reporting period, FASSET’s
approach and commitment to corporate governance
The AA is responsible for providing strategic direction has not changed. The Board and Management
to FASSET and ensuring that the organisation continue to fully acknowledge the role of good
achieves its objectives and implements its mandate, governance across all aspects of FASSET as a vital
SSP and strategy as approved by the Executive component of sustainable value creation.
Authority. The AA is accountable to the Executive
Authority and Parliament. The shift to King IV was managed as a project,
with responsibility for each principle assigned to
Parliament, the Executive Authority (the Minister of appropriate functional business areas. The working
Higher Education, Science and Innovation) and committees that were put in place comprised
the Board of FASSET are responsible for corporate senior representatives of the strategy and planning
governance. committee (including risk), human resources
(including remuneration), finance, governance, ICT,
FASSET’s commitment to governance controls include Internal Audit, and the executive Management team
a code of conduct, SLAs and declarations of conflict with the Chief Executive Officer (CEO) as project
of interest. champion, and the Company Secretary as the head
of governance. This inclusive approach ensures a
Corporate governance embodies the processes SETA-wide understanding of the principles and multi-
and systems by which public entities are directed, function application of the practices. It also facilitates
controlled and held to account. governance leadership and accountability. The
working groups benchmarked existing governance
Good corporate governance is key to achieving practices against King IV practices to identify areas
FASSET’s vision of facilitating the achievement for improvement.
of world-class finance and accounting skills and
it also supports FASSET’s values of good ethics,
accountability and innovation.

FASSET’s AA recognises that ethical and effective
leadership is the starting point of corporate
governance. The tone at the top creates the
foundation for good governance. Simply put, FASSET,
from its leadership to its staff on the ground, both
individually and collectively, expects compliance with
standards of good ethics and effectiveness which

Make the future count.
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