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Chapter 31
THE AUDIT OF PERFORMANCE 
INFORMATION IN THE PUBLIC SECTOR 
(INTERNATIONAL SYLLABUS ONLY)
1. Introduction
Performance information is information about the performance of an organisation against set criteria 
such as a budget or benchmark. For example, information may be produced about how many units of 
a product are produced or how efficient an employee is in terms of units produced per hour. In terms 
of the public sector this could be number of operations performed in a hospital, or how many times 
the grass is cut in a council park, or how many school children reach a target literacy level.
The audit of performance information in the public sector is examining central and local government 
departments in terms of three main criteria:
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Effectiveness: whether the objectives of the department have been met.
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Efficiency: how well inputs are turned into outputs.
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Economy: obtaining best value for money (ie lowest possible cost for the right quality and 
quantity or resources at the right time).
For example:
A government department is responsible for repairing street-lights. The performance of that 
department can be determined using the '3Es' criteria.
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Effectiveness: Whether each light was repaired within the time limits set by the government 
department.
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Efficiency: How many resources were used to fix each light in terms of materials, labour etc. 
potentially against some standard.
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Economy: The financial budget for fixing lights was not exceeded during a specific period.