Commonwealth of Australia 2007 ISBN X

Transcription

1 Australian National Audit Office business Plan

2 Commonwealth of Australia 2007 ISBN X This work is copyright. Apart from any use as permitted under the Copyright Act 1968, no part may be reproduced by any process without prior written permission from the Commonwealth available from the Department of Communications, Information Technology and the Arts. Requests and inquiries concerning reproduction and rights should be addressed to the: Commonwealth Copyright Administration Intellectual Property Branch Department of Communications, Information Technology and the Arts GPO Box 2154 CANBERRA ACT 2601 or posted at

3 Contents Foreword 4 The status and purpose of the Business Plan 4 Our PBS commitment to the Parliament in Complementary business objectives 6 Key initiatives in supporting Corporate Plan objectives and strategies for KRA 1: Our Clients 7 KRA 2: Our Products and Services 8 KRA 3: Our People 10 KRA 4: Our Business Performance 12 Reporting against commitments 13 Strategic Planning Framework 14 Contact 15 BUSINESS PLAN

4 Foreword Our business planning is a process whereby we consider our business environment, resources and commitments and identify those matters which are most important to the Office in the coming year. We also use the process to position the Office to deliver strongly in the years ahead. The Business Plan is the outcome of this work and presents our external and internal commitments, targets, initiatives, performance indicators and measures of success, taking into account key documents such as our Portfolio Budget Statements, Corporate and Risk Management Plans. I am pleased to say that we met all significant business targets and carried out, or significantly advanced, all action items set out in the Corporate Plan and Business Plan. Our business environment is becoming more challenging, but I take comfort in the knowledge that the Office continues to enjoy the confidence of the Parliament; the Government; other clients; and the community for the way we discharge our statutory responsibilities and contribute to improvements in public administration. Most importantly our independence, the foundation of any effective Audit Office, is intact and working as it should. In broad terms our funding is at a level that, with prudent management, adequately funds our operations. Our organisational agility is good and we are making sound progress in our IT business systems. Our stakeholder engagement is one area requiring particular attention this year. After the Federal Election we will need to place emphasis on our relationship with the new Parliament, Ministers and in particular the new JCPAA. In addition, if we are to preserve our reputation and effectiveness as an Office, we must maintain the quality of our audit work. Our staff remain the key to our success. In this plan you will note the ongoing efforts to provide a workplace of choice with good conditions and challenging work. In closing, is shaping up to be a particularly busy year. I am confident that the work we have done in developing our capacity as an Office, including our systems, our technical expertise and our reputation for quality outcomes will stand us in good stead. I look forward to working with you all in delivering the commitments set out in this Plan and I am in no doubt that we will meet the challenge. Ian McPhee Auditor-General June 2010 The status and purpose of the Business Plan Strategic Planning Framework ANAO governance and business planning is facilitated by the ANAO Strategic Planning Framework which is set out below. The primary focus of our Strategic Planning Framework is achievement of our undertakings to the Parliament, our primary client. These undertakings are set out in the Portfolio Budget Statements (PBS). Our Corporate Plan is our strategic planning document, which describes the context of our business and sets the direction of the ANAO primarily in the form of objectives and strategies over a three year period. The Corporate Plan objectives and strategies also take account of the PBS commitments. The present Corporate Plan covers the period The annual Business Plan is a key document in the Strategic Planning Framework and is guided by the PBS and Corporate Plan in the planning hierarchy. The purpose of the Business Plan The purpose of the Business Plan is to make sure that we identify those matters which are most important to the Office in the coming year and also to position us to deliver strongly in the years ahead. The Business Plan supports the Corporate Plan by ensuring that our annual planning meets the objectives of the Corporate Plan by giving effect to the strategies set out in that document. Delivering our audit products and services To assist the ANAO in the delivery of our commitments and to maintain the Office on a sound footing, strategies and performance indicators are developed in four Key Result Areas (KRA): KRA 1 our clients; KRA2 our products and services; KRA 3 our people; and KRA 4 our business performance. 4

5 Our PBS commitment to the Parliament in The ANAO PBS set out our high level objectives, deliverables and performance indicators on the new program basis for Key elements of this commitment are reflected in the performance information for ANAO Outcome 1 and Outcome 2. The Program deliverables are linked to our Corporate Plan objectives and strategies under KRA1: our clients, and KRA 2: our products and services. This information is set out below. Outcome 1 To provide assurance on the fair presentation of financial statements of Australian Government entities by providing independent audit opinions and related reports for the information of Parliament and the Executive Contributions to Outcome 1 Program 1.1: Assurance Audit Services Program 1.1 Deliverables The program deliverables are a measure of the independent audits of financial statements, accountability and processes. Number of financial statement audit opinions to be issued 250 Other regulatory assurance reports 59 Number of financial statement related report products to be produced 2 Program 1.1 Key Performance Indicators Audit opinions issued in respect of all Australian public sector entities: upon receipt of signed entity financial statements in accordance with ANAO Auditing standards the JCPAA s general satisfaction with the overall quality, timeliness and coverage of ANAO products and services Outcome 2 To improve the efficiency and effectiveness of the administration of Australian Government programs and entities by undertaking a program of independent performance audits and assurance reviews for the information of Parliament and the Executive Contributions to Outcome 2 Program 2.1: Performance Audit Services Program 2.1 Deliverables The program deliverables are a way of measuring the independent performance and assurance audit of Australian Public Sector entities. Number of performance audits to be produced including indigenous program 1 56 Number of Better Practice Guides to be produced 4 Review of DMO Major Projects Report 1 Other audit and related reports 2 1 Notes. 1. The higher number of performance audits in reflects both the restoration of the performance audit program to previous levels and integration of the performance audits undertaken by the former Office of Evaluation and Audit (Indigenous Programs) under its work program. Over the period of the forward estimates, this function will be fully integrated into the Performance Audit program including through the ANAO s performance audits of mainstream programs where these deliver outcomes for Indigenous people. 2. Other includes the Annual Work Program. Program 2.1 Key Performance Indicators Delivery of a work program which is balanced in coverage and nature and which recognises the audit priorities of the Parliament: the value of the ANAO contribution is recognised by the Parliament the value added by ANAO products and services is recognised by public sector entities the JCPAA s general satisfaction with the overall quality, timeliness and coverage of ANAO products and services BUSINESS PLAN

6 Complementary business objectives In addition to the deliverables in our PBS commitments to the Parliament, we have also put in place a range of complementary business objectives that focus on our financial statement and performance audit programs. Business objective Target Key performance indicators Program 1.1 Assurance Audit Services Financial statement audit opinions issued in accordance with timeframes agreed with clients. Opinions issued on, or within two days of client signing statements. Program 2.1 Performance Audit Services Reduction in time to complete performance audits. Elements common to both Programs 1.1 and 2.1 Financial statements completed within agreed timeframe. 85% of opinions signed on the same day, remaining 15 % within two days. Rolling average time for completion of performance audits is within 11 months. Number of opinions issued within and outside agreed timeframes. See Note 1 below. Number of opinions issued on the same day, within two days and after two days of client signing statements. Rolling average time to complete audits. Audits completed within approved budget. All audits completed within 105% of budget. Expenditure for audits. Audits meet ANAO auditing standards. Quality assurance results indicate no significant issues that impact audit conclusions. No significant issues indentified. Note 1: Responsibility for performance under this indicator is a joint responsibility shared with audited entities, however, we continue to work closely with audit committees and CFO to achieve our target. Key initiatives in supporting Corporate Plan objectives and strategies for The Corporate Plan describes the context of our business and articulates key strategies we intend to pursue in meeting our objectives over a three year period. The Business Plan supports the Corporate Plan by giving effect to the strategies set out in that document. In practice, this is achieved by reviewing the Corporate Plan strategies each year and identifying key initiatives throughout the three year life of the Corporate Plan. By the end of the three year life of the Corporate Plan, all objectives should have been addressed through successive Business Plan initiatives. Some of the key initiatives of each Business Plan will flow into following years. The initiatives to be progressed this year, together with performance targets and measures of success to inform our performance against each of the KRAs, are set out below. 6

7 KRA 1: Our Clients Our clients are the Parliament as our primary client, and the Australian Government and public sector entities. Corporate Plan objectives Our clients understand the role of the ANAO. Timely, relevant and high quality assurance to our clients on public sector administrative performance and accountability. Strategic Workforce Plan Priorities Enhance our capability for servicing client needs and maintaining strong client relationships. Corporate Plan strategies to pursue these objectives, priorities and related performance indicators, are set out in the table below. Key initiatives Key initiatives for to support the thrust of these strategies with related performance indicators are also set out below. It is important to note that our annual initiatives are not intended to deliver on all facets of Corporate Plan strategies each year, the aim is to meet all objectives over the three year life of the Plan. Corporate Plan strategies Initiatives to support strategies Performance targets/ measures of success Continue to develop our professional relationship with the Parliament, particularly the JCPAA. Advance our professional relationship with public sector entities to raise awareness and usage of our products and services. 1. Maintain our current practice of visits to ensure that they meet the needs of parliamentarians, with particular emphasis on post 2010 election briefings (Executive, GEDs and EDs, ongoing). 2. Build on our client relationships to enhance communication and awareness of our products and services. (Executive, GEDs and EDs, ongoing). 90% of Parliamentarians surveyed acknowledge the value of the ANAO contribution (an ongoing performance indicator derived from biennial Parliamentary Surveys). The JCPAA has a high level of satisfaction with the overall quality, timeliness and coverage of the ANAO s products and services. Level of client satisfaction as assessed through client surveys and direct liaison. BUSINESS PLAN

8 KRA 2: Our Products and Services Our products and services include independent financial statement audits, performance audits, better practice guides, assurance reports, client newsletters and the sharing of knowledge and expertise. Corporate Plan objectives Completion of audits of the financial statements of all Australian Government entities in accordance with professional standards. A suite of performance and assurance reports that are value adding and readily accessible to potential users. An acknowledged contribution to Australian and international activities that support and advance public sector auditing. Assist in the development of good governance and public sector auditing in developing nations in our region. Strategic Workforce Plan Priorities Strengthen the capability of our people to deliver high quality products. Corporate Plan strategies to pursue these objectives, priorities and related performance indicators, are set out in the table below. Key initiatives Key initiatives for to support the thrust of these strategies with related performance indicators are also set out below. It is important to note that our annual initiatives are not intended to deliver on all facets of Corporate Plan strategies each year, the aim is to meet all objectives over the three year life of the Plan. 8

9 Corporate Plan Strategies Initiatives to support strategies Performance targets/ measures of success Maintain a contemporary auditing approach that efficiently delivers high quality audit work compliant with auditing standards. Deliver an appropriate mix of timely and relevant products on topics including leveraging off our product range to provide the greatest opportunity for improvement in administration across the APS. Continue our involvement in value adding public sector auditing development both nationally and internationally. Maintain our targeted audit capacity building activities in the region. 3. Develop an annual work plan reflecting a changing environment and priorities (AASG and PASG GEDs). 4. Enhance audit methodology and procedures (AASG and PASG GEDs, PSB). 5. Maintain our emphasis on the project management of audits with a focus on aligning resources to product delivery (AASG, PASG GEDs, EDs, ongoing activity). 6. Establish a more even spread of performance audits throughout the coming year (AASG and PASG GEDs). 7. Promote the Blue Book to improve understanding and awareness of our performance audit and financial statement audit work program (AASG and PASG EDs). 8. Continue our national and international presence and contribution to the auditing and accounting professions (All senior ANAO staff, ongoing activity). 9. Continue our assistance to the Indonesian Board of Audit, the Papua New Guinea Auditor-General s Office and our support to visitors and delegations from overseas (Executive, GEDs and CMB, ongoing activity). Extent to which work plan meets changing circumstances and feedback from clients. Achieved improvements in methodology and procedures Achieved improvements in project management of audits. Table a minimum of ten performance audits per quarter for Feedback from parliamentary committee briefings and agency liaison. Achieve planned engagement and contribution to national and international activities. Participation in selected INTOSAI, ASOSAI, Commonwealth and GWG events. Deliver commitment in AusAID funding agreements. Feedback from overseas delegations BUSINESS PLAN

10 KRA 3: Our People Our people are our most valuable asset who collectively define the character of the ANAO and deliver our business commitments. Corporate Plan objectives A motivated, highly skilled workforce that sustains organisational capability. A working environment that is recognised as a work place of choice where people can achieve their potential in a team environment. Highly performing people working in an environment that maximises their contribution to our business objectives. Strategic Workforce Plan Priorities We value, support and develop our people, to meet our corporate objectives Corporate Plan strategies to pursue these objectives, priorities and related performance indicators, are set out in the table below. Key initiatives Key initiatives for to support the thrust of these strategies with related performance indicators are also set out below. It is important to note that our annual initiatives are not intended to deliver on all facets of Corporate Plan strategies each year, the aim is to meet all objectives over the three year life of the Plan. Corporate Plan Strategies Initiatives to support strategies Performance targets/ measures of success Anticipate and respond to the evolving expectations of a workforce. 10. Monitor and participate in relevant APS wide reform agenda (GEDs, ED CMB, ongoing activity). 11. Develop corporate strategy on improved internal communication (GEDs, ED CMB, ongoing activity). 12. Assess our recruitment and selection approach to ensure that it reflects contemporary practice in the timeliness of filling vacancies (GEDs, ED CMB). 13. Develop a range of initiatives to increase the representation of Aboriginal and Torres Strait islander people in ANAO staff numbers (Executive, GEDs, ED CMB, ongoing activity). 14. Monitor developments in relation to APS wide agreement making and effective implementation of any changed employment conditions. (GEDs, ED CMB, ongoing activity) Involvement in reform agenda and resulting business initiatives. Strategy completed and communicated to all staff by December Reduction in the time taken to fill vacancies. Achieve a minimum of 2.7% of total staff numbers. Our agreement making process outcomes are understood and consistent with Government policy. 10

11 Corporate Plan Strategies Initiatives to support strategies Performance targets/ measures of success Continue to deliver an appropriate mix of innovative training and development initiatives to optimise the alignment of our workforce to our business objectives. Ongoing leadership development to facilitate a professional motivated and productive workforce. 15. Continue the development of our staff professionalism and expertise through a focus on technical learning, on the job and structured training (ED CMB, ongoing activity). 16. Continue our involvement in leadership development (GEDs, ED CMB, ongoing activity). 17. Support SES staff to attend broader leadership training (Executive, GEDs, ED CMB, ongoing activity). 18. Maintain meaningful awards and recognition system for outstanding staff achievement and innovation (ED CMB, ongoing). Staff on average undertake 40 professional development hours per year. Staff survey results show staff acknowledge an improvement in the effectiveness of learning and development offerings. Staff survey results indicate leadership is of a high quality. 15% of SES learning and development time spent on broader leadership activities. Management recognise and reward staff success and innovation. Supplementary Performance Targets The following performance targets are generic in nature and reflect the quality of our personnel management in meeting our Corporate Plan Objectives and Strategic Workforce Plan priorities. They also have some relevance to the initiatives above. Performance information will be sourced from our annual staff survey. Over 70% of staff are satisfied with their work and conditions. Over 85% of staff are satisfied with the learning and development programme. Over 85% of supervisors are satisfied with the staff learning and development program. 85% of staff considers that the ANAO values of respect, integrity and excellence are exhibited in the workplace. Staff turnover is below 25%. Our unplanned leave metrics are maintained at or below the APS average BUSINESS PLAN

12 KRA 4: Our Business Performance Our business performance is achieved through sound organisational structure, strong governance, good management and efficient technical support commitments. Corporate Plan objectives Respond effectively to changes in our environment. Effective processes, systems and management practices that meet our business needs. Promote a culture that is receptive to innovation in our approach to business planning and operations. Strategic Workforce Plan Priorities Effective practice management. Corporate Plan strategies to pursue these objectives, priorities and related performance indicators, are set out in the table below. Key initiatives Key initiatives for to support the thrust of these strategies with related performance indicators are also set out below. It is important to note that our annual initiatives are not intended to deliver on all facets of Corporate Plan strategies each year, the aim is to meet all objectives over the three year life of the Plan. Corporate Plan Strategies Maintain a strategic focus that recognises change and facilitates a timely and appropriate response. Evaluate and apply contemporary business technology processes, resourcing practices and performance measurement to support our business requirements. An enterprise wide approach that integrates our business processes to increase business performance within ongoing financial constraints. Encourage innovative approaches in our planning and business practices Initiatives to support strategies 19. Implement strategic planning framework. (Executive, GEDs, ED CMB, ongoing activity). 20. Engagement of senior executive group in consideration of strategic issues of relevance to the ANAO (All SES). 21. Reap the benefits of our investment in information technology initiatives and knowledge management. (GEDs, ED CMB, ongoing activity). 22. Further develop IT audit capabilities to meet the specific needs of service groups and support areas (AASG GEDs ED CMB, ongoing activity). 23. Use of our management information to improve practice management (Executive, GEDs, all EDs ongoing activity). 24. As appropriate, participation in APS shared service initiative to achieve value for money (Executive, GEDs, ED CMB, ongoing activity). 25. Raise awareness of the concept of innovation and its potential for improving our planning and business practices. Performance targets/ measures of success Corporate planning is in accordance with our Strategic Planning Framework, on time and effective. Senior executive group attendance at events to consider strategic issues of relevance to the ANAO. Achieved improvement in staff productivity and process efficiency. Achieved improvement in IT audit capability. Achieve better integration of our business systems to improve decision making. Achieve value for money from involvement in APS shared service initiative. Adopt innovative tools for future strategies and operational level planning. 12

13 Reporting against commitments Our Business Plan commitments are reported as described below PBS targets PBS targets are reported in the Annual Report and progressively to EBOM. Complementary business objective targets Complementary business objective targets are reported in the Annual Report and progressively to EBOM. Key Initiatives Progress on key initiatives is reported progressively to EBOM. BUSINESS PLAN

14 Strategic planning framework portfolio budget statements Describe our commitments to the Parliament including outcomes, program deliverables and key performance indicators RISK MANAGEMENT & FRAUD CONTROL PLANS Identify and analyse business risks and fraud risks and how we deal with these risks CORPORATE PLAN Sets out our business framework including our vision, environment, values and behaviours and objectives and strategies in our four key result areas IT STRATEGIC PLAN Guidance on future decisions regarding the selection of information systems and technology BUSINESS PLAN Sets outcomes, program objectives and deliverables in terms of products and services and program performance indicators Describe specific initiatives to implement corporate plan strategies under each KRA and sets out performance targets and measures of success for each initiative Performance is reported in the annual report Includes strategic workplace planning priorities Service group AND SUPPORT AREA OPERATIONAL PLANS Derived from the business plan and service group and support area risk plans Describes specific service group and support area action items to implement strategies under each KRA Describes specific products, services and resources required and indicators to measure service group performance INDIVIDUAL PERFORMANCE AGREEMENTS Each performance agreement contains elements which relate to the KRA as set out in our corporate and business plans 14

15 Contact Should you wish to know any more information about this Business Plan, please contact the Executive Director Corporate Management Branch, Anya Moore. Telephone: (02) BUSINESS PLAN

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