Annual report 2005/06

Canberra: Australian Institute of Criminology, 2006
ISSN 0311-449X

Corporate services

Objectives

The objective of Corporate Services is to provide accurate, cost effective and timely corporate services information and advice to support all elements of the Institute. These core activities include information and communication technology (ICT), records management, human resources, financial and accounting services and procurement and facilities management.

Description

The Institute's corporate plan and portfolio budget statements set out performance expectations and planned use of resources at the broadest level.

A wide range of corporate and support services are provided by Corporate Services, including:

• human resource management
• information and communications technology
• financial management and reporting
• accounts payable and receivable
• contractual arrangements
• fleet and asset management
• stores management
• freedom of information
• occupational health and safety
• insurance
• office services
• building services
• security and privacy management
• risk management
• fraud control
• environmental policies
• all general services.

Corporate accountability

Corporate governance practices in the AIC are designed to ensure compliance with statutory and other external requirements aimed at achieving best practice in administrative and financial management. These include an audit plan, CEIs and 177 policies and procedures developed and available to staff on intranet.

Audits

The Audit committee was established in March 1999 in accordance with the provisions of section 32 of the Commonwealth Authorities and Companies Act 1997. The committee is responsible for the timetable of audits to be undertaken during the year. The following internal audit/reviews were undertaken during 2005-06:

• annual financial statements and quality assurance of processes (July 2005)
• emerging issues (October 2005)
• financial compliance review 2005-06 (January 2006)
• review of data protection and privacy (March 2006)
• review of Research Services (April 2006).

Building services

After an original contract term of 10 years plus extensions, the lease for the premises occupied by the Institute will be renegotiated. The Institute is also considering relocating its facilities for seminars, roundtables and meetings which involve external participants within the existing building to enhance staff and building security requirements.

Risk management

The AIC's risk management framework aims to provide a systematic way to make informed decisions and gain assurance that risks have been recognised and managed. The primary components of our risk management strategy are:

• the risk control register
• the CEIs - reflect best practice in finance and administration
• a rolling internal audit
• annual ComCover risk surveys/assessments - the program measures AIC's performance in implementing risk management processes and policies against the national benchmark
• major risk assessment of key activities such as ICT management and maintenance of Fedlink accreditation.

A major milestone achieved over the past year was the implementation of a risk control register. The register was initiated by the internal audit team and has been subject to quarterly review. The register covers the gamut of Institute activities and assesses risk on its incidence and organisational impact. It has proved to be a valuable tool in identifying, mitigating, removing or managing risk by drawing stakeholder's effort and attention to the consequences of their actions or omissions.

AIC has a number of strategies in place to ensure risks associated with the delivery of ICT services are identified and managed. Key components are:

• an ICT facilities code of conduct
• an IT assets register
• IT services strategy
• IT threat risk assessment
• risk treatment plan
• ICT contingency plan
• ICT change management policy.

These documents were reviewed and revised during the year.

Fraud control plan

The AIC maintains a fraud control plan in accordance with the requirement of the revised Commonwealth Fraud Control Guidelines of May 2002. The fraud plan is an important strategic document that links with our risk management framework and draws together fraud prevention and detection initiatives into one consolidated document. The fraud control plan is due for its biennial review in the coming year.

Ombudsman/courts and proceedings

There were no investigations or reviews undertaken by the Ombudsman or court matters raised against the AIC in 2005-06.

Freedom of information (FOI)

This statement is provided in accordance with section 8 of the Freedom of Information Act 1982 (FOI Act). The structure of the AIC is covered earlier in this report. Information on categories of documents it holds, and on how access can be made follows.

Categories of documents

• general - internal papers and records, including working drafts, statistical records, copies of facsimiles, interagency and general correspondence and papers, policy documents (including recommendations and decisions) and work plans
• executive - briefing papers and submissions prepared for the Attorney-General, ministerial correspondence and replies to parliamentary questions
• research - research, development and evaluation papers, records of consultations, statistical data holdings, conference proceedings and publications
• administration - finance, establishment, personnel, recruitment, staff development, office services and tender files.

FOI requests can be made by writing to the General Manager, Corporate Services, Australian Institute of Criminology, GPO Box 2944, Canberra, ACT 2601.

FOI requests during 2005-06

There were no FOI requests made to the AIC in 2005-06.

Ecologically sustainable development

This is a report on compliance with the reporting provisions of the Environment Protection and Biodiversity Conservation Act 1999 (EPBC). Under section 516A(3) of the Act, the Directors of the AIC must ensure that a report prepared under the provisions of the Commonwealth Authorities and Companies Act 1997 complies with the reporting provisions (subsection 6) of the EPBC Act.

The AIC has continued its commitment during the past year to improving its energy efficiencies in order to fulfil its obligations under the EPBC Act.

Measures include:

• active recycling of paper, plastic and bottles, and computer toner
• installation of equipment that incorporates energy-saving devices such as desktop computers, photocopiers, dishwashers and printers
• use of lighting and air conditioning management systems
• water conservation - toilets with half-flush systems
• reductions in consumable supplies through reduced printing of material available on the internet, electronic databases, email and document management systems, leading to lower consumption of paper, toners and energy.

The Institute is committed to practices that assist ecologically sustainable development and improve environmental performance. The Institute does not administer any legislation nor have any appropriations directly related to these issues.

Human resources

Human resources include personnel liaison services, staff development, recruitment, industrial relations, occupational health and safety and equal employment opportunity.

Personnel and payroll functions are outsourced to the Administrative Appeals Tribunal.

Operational practice has maintained a high level of activity ensuring quality services to staff of the AIC.

Staffing levels and numbers are listed in Appendix 7.

There were no voluntary or involuntary redundancies during 2005-06.

Workforce planning

The executive management of the Institute continually reviews its workforce requirements. Staff are employed according to the output requirements arising from requests for research and support activities and takes account of outsourcing opportunities in the university research and ICT sectors.

Workplace diversity

The Institute values fairness, equity and diversity. Consistent with that aim, the Institute is committed to preventing and eliminating discrimination on the basis of race, colour, gender, sexual preference, age, physical or mental disability, marital status, family responsibilities, pregnancy, religion, political opinion, national extraction or social origin.

Employee collective agreement

With the exception of the Director, staff at the Institute are either covered by the Australian Institute of Criminology Agency Agreement 2002-2005 or by an Australian Workplace Agreement.

AIC values and code of conduct

The AIC Values and Code of Conduct provides information on the conduct expected of all AIC employees in carrying out their responsibilities. The code forms a part of the compendium of documents providing guidance to employees of the AIC and is available to staff on the intranet.

Performance management scheme

The AIC performance management scheme promotes fairness through clearly defining expectations and building in system controls including:

• use of structured underperformance provisions and strategies
• use of review processes at six and eleven month cycles
• individual training and development plans
• transparent appraisal outcomes for all staff.

As part of the negotiations for the fourth employee collective agreement, the performance management scheme will be reviewed during 2006-07.

Training and development

The AIC is committed to the training and development of its employees. All employees have the opportunity to participate in relevant training and development activities which have a clear connection with Institute work and will assist their ongoing career development. This support may also include on and off the job training, work placements, formal study and the reimbursement or payment for these activities. The Institute recognises that doing so will contribute to achieving Institute goals.

Occupational health and safety

The Institute has an occupational health and safety policy which was established in accordance with the Occupational Health and Safety (Commonwealth Employment) Act 1991.

The Institute has a nominated health and safety representative. This member also serves on the Executive management committee. There were no major occupational health and safety issues during the year.

The AIC continues to provide access to professional counselling services for its staff and their families through the Employee Assistance Program. This service is offered to assist staff with any personal or work related problems.

Indemnity and insurance premiums for officers

The AIC, through ComCover, provides indemnity insurance for the Director, members of the Board of Management and staff. The insurance premium for 2005-06 was $45,905.96. The Institute reduced its premium due to improved development of risk management practices resulting in an increased discount offered on our premium. The safety, rehabilitation and compensation of work-injured employees are covered by ComCare. The insurance premium for this was $18,710.37 in 2005-06.

Financial operations

The AIC operates its own network based financial management information system, which includes general ledger, debtors and creditors, asset management and purchasing. In addition, a number of services are outsourced. The Institute has adopted full accrual accounting and budgeting in response to financial management initiatives occurring in the wider Australian Government context.

Financial performance

Operating revenues for 2005-06 total $8,185,339. Revenue was received from Government ($5,292,000), goods and services ($2,686,586), and interest ($206,753). Total revenue increased by 13.1 percent compared with 2004-05. The main factors affecting revenue were an increase in government appropriations for costs associated with Fedlink connectivity, an increase in interest earned and an increase in external project funding secured.

Operating expenditures in 2005-06 were $6,742,111 and represented an increase of 3.2 percent compared to 2004-05. The increase resulted from an increase in external funding secured resulting in increases both in supplier and employee expenses.

Overall operating results indicate an operating surplus of $1,443,228 compared with a surplus of $594,065 in 2004-05. Part of surplus relates to the timing of employing skilled staff to work on projects and a management decision to obtain savings for future accommodation needs.

Consultancy services

During 2005-06, the Institute engaged 23 consultancies with contract values over $10,000 at a total cost of $1,351,584. These are for services such as IT network maintenance and Help Desk services, improved information and communication technology management, human resource management advice and research contracts. Details are available on request.

Discretionary grants

The AIC administers discretionary grants on behalf of the Criminology Research Fund (fund). During the financial year, the fund provided three grants. Further information is on CRC projects is contained in the CRC annual report.

The AIC also administers the Australian Crime and Violence Prevention Awards. Awards were made to 44 applicants. Details of the national winners are in the Public Affairs section of this report.

Purchasing

The AIC has developed internal policies and procedures for purchasing goods and services. These are included in the AIC CEIs and are in accordance with the Finance Minister's (CAC Act Procurement) directions 2004 and Ministerial approvals required under the Institute's founding legislation.

Asset management

The AIC manages both current and non-current assets in accordance with guidelines set out in the CEIs and the Australian accounting standards.

AIC non-current assets are subject to an annual stocktake which is used to update and verify the accuracy of asset records. Assets are depreciated at rates commensurate with their economic lives and are verified by audit during the annual financial statements process.

Library resources, infrastructure, plant and equipment assets are carried at fair value and are valued with sufficient frequency so that the carrying amount of each asset is not materially different. A full valuation of the library was carried out by the Principal Valuer of the Australian Valuation Office in April 2006.

Information and communication technology (ICT) services

ICT services comprise the local and wide area networks, desktop PCs and office automation services such as telephone and security monitoring systems, electronic mail, intranet and access to internet services.

The Fedlink accreditation and connection process was completed satisfactorily. Significant ICT infrastructure changes have been implemented as part of the AIC Fedlink certification and connectivity. Compliance with Fedlink standards will be ongoing.

A management review of ICT help and maintenance services was undertaken resulting in the Institute tendering for a new ICT service provider. The successful service provider commenced in May 2006.

Advertising and market research

The following table sets out amounts paid by the Institute on advertising and market research in 2005-06.

Table 6 : 2005-06 expenditure for advertising and market research

Vendor	Purpose	Cost ($)
Actuarial Appointment International	Recruitment advertising for Australian Institute of Criminology	16,202
HMA Blaze Pty Ltd	Recruitment advertising for Australian Institute of Criminology	13,180
HMA Blaze Pty Ltd	Advertising for DUMA	2,067
HMA Blaze Pty Ltd	Advertising campaign for video use to record evidence	616
Professional Careers Australia	Recruitment advertising for Australian Institute of Criminology	6,514
Total		38,579

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