Rules of procedure of the Social Insurance Institution (effective 1 March 2016)

In accordance with section 7, subsection 1, paragraph 3 of the Act on the Social Insurance Institution (17.8.2001/731), the following rules of procedure for the Social Insurance Institution (hereinafter referred to as 'the Institution') are established.

Section 1.
Administrative structure and organs of the Institution

The administrative structure and organs of the Institution are laid down in the Act on the Social Insurance Institution. The Institution is organised as six business units. The business units are composed of individual units. Insurance districts are equated with units. Units may consist of claims determination centres, centres of expertise and sections. Sections may consist of teams. At the local level, the operations of the Institution are divided into five insurance districts, which are part of the Benefit Services business unit. The business units are assigned individual outcome goals and rules of procedure are established for them.  

Section 2.
Management

The operations of the Institution are managed and developed by the Board as specified in the Act on the Social Insurance Institution.

The responsibilities of the Director General are laid down in the Act on the Social Insurance Institution and sections 3 and 5 of these Rules of Procedure. The division of responsibilities between the Director General and the Directors is decided by the Board.

Section 3.
Result-oriented management

An operating and financial plan for the Institution is drawn up annually by the Director General and submitted to the Board for decision.

On the basis of an operating and financial plan, the Board concludes a performance agreement with the Director General. The Director General concludes performance agreements with the business units which are under his or her responsibility. Each Director concludes performance agreements with the business units which are under his or her responsibility.

Achievement of the goals agreed in the performance agreement is reported by the Director General to the Board, by the Directors to the Director General, and by the directors of the business units to the Director General and the Directors.

Section 4.
Presentation of matters to the Board

Matters are presented to the Board by the Director General. However, the Director General may delegate the task of presenting matters to the Board.

The Board decides on the right to attend Board meetings.

Section 5.
Responsibilities of the Director General

In addition to the provisions of section 9, paragraph 3 of the Act on the Social Insurance Institution and the provisions of section 3 of these Rules of Procedure concerning the responsibilities of the Director General, the Director General is responsible for the strategic management and development of the Institution and for the units entrusted by the Board to his or her responsibility and for the matters within the purview of such units.

The Director General decides on the rules of procedure of the units which are under his or her responsibility and, upon the proposal of the Directors, the rules of procedure of the other business units. In the event of uncertainty about which business unit is responsible for a certain matter, the issue is resolved by the Director General.

The Director General has general authority to decide on the Institution's processes.

Section 6.
Responsibilities of the Directors

The Directors are responsible for the planning and management of the business units which have been placed under their responsibility by the Board and for the planning and management of the matters for which the units are responsible. The Directors report to the Director General.

The Directors deputise for each other in accordance with the decision of the Board. The Director General is deputised by a designated Director.

Section 7.
Management Teams

A Management Team and an Extended Management Team operate under the leadership of the Director General. The Management Team consists of the Director General, the Directors, and members appointed by the Director General. The Management Team deals with key matters to be presented to the Board and other matters necessitating a broader analysis than can be given within a single sector of operations.

The Extended Management Team consists of the members of the Management Team and the directors of the business units and other members assigned to it by the Director General. The Extended Management Team concerns itself with issues and policy orientations relating to the Institution and provides support to the Director General and the Directors.

The business units each have their own management team whose responsibilities are defined in more detail in the rules of procedure pertaining to them.

Section 8.
Cooperation in the preparation of matters

The process-based management approach adopted by the Institution requires seamless cooperation across unit boundaries. Business units and staff members shall maintain contact by means of mutual consultation, provision of information and other suitable methods.

The director of the business unit responsible for the preparation shall ensure that the rules and provisions issued on cooperation are adhered to when preparing matters.

Section 9.
Customer service network  

The Board decides on insurance districts and the establishment and closing of local offices.  
The Director of the Customer Relations business unit decides on shared government services and other customer service operations.  

Section 10.
The business units of the Social Insurance Institution

The Social Insurance Institution is composed of the following business units:

  1. Customer Relations   
  2. Benefit Services    
  3. Operational Development   
  4. ICT services          
  5. Shared Services     
  6. Advisory Staff Unit 

Section 11.
Internal Audit

There is an Internal Audit unit, which reports to the Director General. The regulations of the Internal Audit are confirmed by the Board.

Section 12.
Responsibilities and operational functions of the Customer Relations business unit 

The Customer Relations business unit is responsible for providing high-quality and accessible customer service across all service channels and for providing advice and guidance to customers according to individual need.  

The operational functions of the Customer Relations business unit are as follows:  

  1. management and development of customer relations
  2. management and development of customer services
  3. delivery of customer services through various channels and modalities  
  4. communications with customers and partner organisations

Section 13.
Responsibilities and operational functions of the Benefit Services business unit  

The Benefit Services business unit is responsible for determining claims for benefit in an accessible, consistent and effective manner and at a high level of quality, taking into account the individual needs of customers, and for making proposals for legislative reform actively and with the customers' needs in mind.

The operational functions of the Benefit Services business unit are as follows:  

  1. management and development of benefit processes
  2. processing and determination of claims for benefit and the management and development of the relevant activities
  3. defining and enhancing the content of benefit products
  4. making proposals for reform in benefit legislation. 

Section 14.
Responsibilities and operational functions of the Operational Development business unit   

The Operational Development business unit is responsible for the cost-effective and customer-oriented development and continuous improvement of customer service and benefit processes, information systems and related services as well as for the management of project activities.
 
The operational functions of the Operational Development business unit are as follows:  

  1. development and continuous improvement of customer and benefit information systems and related processes and services
  2. management of project activities
  3. data administration functions
  4. system architectures and the tools and methods used for operational development  
  5. development of data exchange procedures and data warehousing
  6. quality assurance and testing
  7. oversight of contractors' obligations and liabilities with respect to information systems       

Section 15.
Responsibilities and operational functions of the ICT Services business unit 

ICT Services is responsible for the accountable and cost-effective production and delivery of ICT services for customers, partner organisations and staff.
      
The operational functions of the ICT Services business unit are as follows:  

  1. management and development of ICT services
  2. cooperation with clients
  3. production of ICT services  
  4. ICT procurement and contracts

A Kanta services unit operates in the ICT Services business unit, tasked with developing and maintaining nationwide IT services for social and health care.     

Section 16.
Responsibilities and operational functions of the Shared Services business unit 

The Shared Services business unit is responsible for producing and delivering services which are common to the entire organisation and which facilitate general operations, and doing so effectively and cost-efficiently and in a way that takes the needs of the customers into account.
 
The operational functions of the Shared Services business unit are as follows:  

  1. management and development of shared services  
  2. administrative and facility management services
  3. procurement and legal services  
  4. human resources services  
  5. financial services
  6. information delivery services  

Section 17.
Responsibilities and operational functions of the Advisory Staff Unit

The Advisory Staff Unit is responsible for providing managerial services in furtherance of Kela's strategic goals and overall success and for supporting executive decision-making as part of strategic leadership in service delivery.

The operational functions of the Advisory Staff Unit are as follows:  

  1. management and development of the Institution  
  2. finances and human resources
  3. result-oriented management
  4. government and community relations and communications  
  5. legal affairs, liaison with institutions, and security     

Section 18.
Organisational structure and responsibilities of the business units

Detailed provisions concerning the organisational structure and responsibilities are included in the rules of procedure specific to each business unit.

Section 19.
Responsibilities and qualifications of directors of a business unit

Each director of a business unit is responsible for the management of their business unit and for the planning and development of matters within its responsibility. The director of the Advisory Staff Unit and the head of Internal Audit report to the Director General. The other business unit directors report to the Director responsible for the sector of operations in question.

The rules of procedure specific to each business unit may contain further provisions governing reporting.  
Business unit directors must have a suitable Master’s degree and familiarity with the questions and management issues relevant to the topic area of the business unit.

The provisions concerning the business unit directors also apply to the head of Internal Audit.

Section 20.
Responsibilities and qualifications of heads of unit

Each head of unit is responsible for the management of their unit and for the planning and development of matters within its responsibility. Heads of unit report to the director of the respective business unit.

Heads of unit must have a suitable Master’s degree and familiarity with the questions and management issues relevant to the topic area of the unit. The provisions concerning the heads of unit also apply to the directors of insurance districts.  

Section 21.
Qualifications of other personnel

The qualifications of other personnel than those referred to in sections 19–20 are set out separately.   

Section 22.
The division of responsibilities in certain situations

Matters relevant to the sector of operations of two or more business units are dealt with by the unit to whose sector of operations it primarily belongs. The business units may come to a mutual arrangement concerning the division of responsibilities for a specific matter or specific matters which differs from the provisions of these Rules of Procedure should such an arrangement be expedient in regard to the handling of the matter.

If a matter handled by one business unit touches upon the operations of another unit, the other unit must be consulted when preparing the matter.

Section 23.
Presentation of matters

Administrative decisions of the Institution shall be taken on presentation in accordance with the more detailed instructions of the Board concerning competence in administrative matters. Matters shall be presented by officials designated by the Director General, a Director or a director of a business unit.

Section 24 §
Informing the Director General

The Director General shall be informed of key issues relating to the operations of the Institution.

Section 25.
Entry into force  

These Rules of Procedure will enter into force on the 1st of March 2016. They supersede the rules of procedure established on 11 June 2015.  

Prior to the entry into force of these Rules of Procedure, measures may be initiated which are required for the implementation of the Rules of Procedure.