Case Study of The Public Service Commission of Canada

Summary of the Facts•The Public Service Commission of Canada is responsible for providing HR services to the federal government.

•The Staff Development Branch oversees the provision of various professional and technical courses along with senior management courses.

•The SDB operates of a cost-recoverable basis, with courses being sold to client departments at prices similar to market rates.

•Each of the five directorates was a cost center, operating on a “branch break-even” basis, but expected to cover own costs.

•The Directorate of Staff Development and Training services the Ottawa region while the Regional Operations Directorates service the rest of Canada.

•Other directorates, such as the Regional Operations and Consulting, could be sold the use of trainers from the Directorate of Staff Development and Training.

•The internal services directorate handles the marketing and registration for the courses in Ottawa.

•The regional trainers were responsible for course content and administrative and custodial duties.

English: an example of a simple organizational str...

English: Triad organizational structure

English: SBTVD Forum Organizational Structure

•Regional directors and trainers actively sought out consulting work, which they carried out themselves.

•The regional cost centers carried high overhead and travel expenses and had clients with smaller budgets.

•A review of departmental budgets issued by the Treasury Board caused many departments to cut their training budgets.

•Revenue forecasting in the regions was interrupted due to an increase in the number of cancellations.

•Conflict developed between the Regional Operations Directorates and the Directorate of Staff Development and Training in Ottawa over regional autonomy and DSDT ownership of training materials, effectively stifling any open communication.

•The Management Committee in essence concluded the regions had to use the resources of the DSDT, for which the regions would be charged.

•After failing to agree on standard charges, the Management Committee imposed the DSDT program demands on the Regional Operations Directorates.

•The subsequent fiscal budgets projected the regional operations directorate accruing a...