DIMA Annual Report 1997-98
Sub-program 6.2: Resources
Performance information
Financial and staffing resources summary
Performance outcomes
Objective
To provide a framework which supports business operations and staff and achieves high levels of efficiency and accountability.
Description
The sub-program provides strategic advice to the Minister and the Executive on human, financial and other resources, broader corporate policy and planning issues, develops standards and provides a range of corporate services, largely to internal stakeholders. It makes an important contribution to external stakeholders through its role in helping policy and delivery areas to achieve their objectives.
The sub-program is administered through the Corporate Governance Division.
In the States and Territories, delivery is through State and Territory corporate operations areas. Many of the strategic issues managed within the sub-program involve the Secretary and the departmental Executive. In particular, financial and personnel powers lie with the Secretary and are exercised on his behalf.
[ Top Of Page ]Performance information
Outcomes are measured against the extent to which:
- there is effective resource management leadership;
- increased efficiency and support for business operations is provided;
- organisational accountability is enhanced; and
- staff are supported.
Financial and staffing resources summary
1997–98 |
1997–98 |
1996–97 |
|
| Budgetary (cash) basis | |||
| Components of appropriations | |||
| Annual appropriations | |||
| Running costs | 47 019 |
43 506 |
n/a |
| Other program costs | 164 |
130 |
n/a |
| Total appropriations | 47 183 |
43 636 |
n/a |
| Less adjustments | 607 |
630 |
n/a |
| Total outlays | 46 576 |
43 006 |
n/a |
| Total revenue | 0 |
897 |
n/a |
| Staffing | |||
| Staff years (actual) | 373 |
414 |
n/a |
Due to program restructures in both 1996–97 and 1997–98, sub-program figures for1996–97 actuals are not meaningful for comparative purposes to 1997–98 figures. They have therefore not been included in this table.
[ Top Of Page ]Performance outcomes
(i) Leadership
In November 1997, the Department was restructured to position itself better to maintain the integrity of Australia's borders and to reinforce program management.
These measures included:
- bringing together the entry and compliance functions into one division;
- allowing program managers to take greater responsibility for the delivery of their programs in Australia and overseas, by moving further towards a program model, which more closely aligned program and organisational structures;
- providing clearer lines of responsibility in the management of the migration and humanitarian programs;
- providing an innovative structure, to manage the Information Technology (IT) applications development partnership with Computer Science Corporation (CSC); and
- rationalising operations, to accommodate the introduction of the new financial system, SAP R/3, from 1 July 1998.
These changes were successfully implemented, although they placed significant strains on the financial recording and management systems at the time when those systems were being converted to SAP R/3. This delayed budget-setting processes significantly.
Significant work started on an accruals outcomes/output framework for resource management, with 1 July 1998 as the major target date for the introduction of the accrual financial system. Work also started on an outcomes/output budget and accounting framework to be in place by 1 July 1999.
The Department adopted a new mission statement during 1997–98. The Department's vision is to contribute to Australia's economic, social and international interests through programs directed to:
- the lawful and orderly entry and stay of people;
- needs of business and industry;
- settlement of migrants and refugees and their acquisition of citizenship; and
- appreciation of the advantages of cultural diversity within a framework of national unity.
This mission will be used in developing future internal planning frameworks during 1998–99. (Some of these frameworks are discussed in more detail at sub-program 1.4).
Consideration will be given in 1998–99 to a suite of planning documents to be put in place, including lower-level performance plans, building upon the Client Service Charter. (These are discussed in detail at sub-program 1.4).
1997–98 was the first consecutive year, since Federation, in which the Commonwealth Budget was delivered in May. This provided a more stable resource framework, which allowed the Department to accelerate its internal resource allocation processes. Draft organisational unit budgets for 1998–99 were circulated in June, for the first time.
[ Top Of Page ](ii) Efficiency and business operations
Electronic Funds Transfer at Point of Sale (EFTPOS) facilities are operational in all Australian departmental offices and in overseas posts in London, Manchester, Washington, Los Angeles, Hong Kong and Kuala Lumpur. The EFTPOS take-up rate in Australia has risen from an average of seven per cent, during its initial implementation in 1995–96, to an average of 15 per cent, in 1997–98. The take-up rate in overseas posts varied but ranged from a high of 21 per cent in Hong Kong to 12 per cent in other overseas posts.
The national contract for photocopiers was extended until June 1999, to allow for the introduction of a new generation of digital equipment. The extension delivered approximately $300 000 in cost savings compared to 1996–97, through rationalising excess machines and lower lease rates.
Following a select tender process, the Department entered into a new national travel contract with Carlson Wagonlit with added benefits to the Department. For example, as the use of net fares for overseas travel has increased by around 300 per cent, a comprehensive management strategy for capturing and using Frequent Flyer points was introduced. Management capacity for monitoring all facets of travel was enhanced. In addition, the contract allows for interface with the Department's new financial system, SAP R/3.
Other national contracts, such as the national stationery and stores contract and postal services agreement, continue to deliver cost effective and efficient services. The stationery and stores contract provides for same day delivery from devolved desktop ordering. This has eliminated delays in deliveries and unnecessary bulk storage.
During 1997–98 a number of other contracts were negotiated as a result of outsourcing activities. These included IT, detention services and the Migration Advisory Services Scheme.
LEGEND is the electronic system, introduced into the Department in 1996, to provide Australian and overseas staff with timely access to migration legislation and policy. It was expanded in July 1997 to include citizenship legislation and policy and is now distributed to home based workers, 67 overseas offices and 17 regional offices.
In April 1998, LEGEND was further expanded to include a large selection of the Department's client application and information forms. The inclusion of forms on LEGEND will allow officers at regional offices and overseas posts to print high quality copies. This will reduce the volume of low use forms which are ordered for hard copy print and provide ready access to all forms if hard copy stock runs out.
The Department licensed LBC Information Services to commercially publish its electronic migration, citizenship and related legislation, regulations and procedures. The product will be known as the LBC Immigration Service. A selection of DIMA information leaflets and application forms will also be made available on this Service in the near future. The inclusion of forms on the LBC Immigration Service will particularly assist migration agents who complete volumes of application forms. It will allow them to complete the applications and store the data electronically, and it is an example of how the Department aims to facilitate service delivery.
Client application forms are also being made available for down-loading and printing from the Department's home page on the Internet. DIMA is improving its distribution networks by increasing the means of access to its client application and information forms. This will increase awareness of DIMA services as well as facilitate physical access to them.
Regular reports were produced to address the needs of managers. The delivery of reports was partially moved from paper based to on-line reports developed in-house. The on-line reports allow more timely and targeted delivery of information directly relevant to managers' areas of operations, and updates may be provided through the network and e-mail.
Information about overseas post performance (applications and outcomes) was made available to overseas posts, and to onshore areas with an interest in overseas operations, on disk with updates tied to electronic mail. Visa grant information was also available onshore and offshore in a similar format.
Reporting onshore residence processing has been significantly upgraded, with a fully interactive on-line reporting tool.
As part of the Integrated Client Systems Environment (ICSE) development, a number of professional on-line reporting tools will become available and the ability to provide on-line reporting will be significantly enhanced over the coming year.
Streamlined selection guidelines for the recruitment of staff (excluding Senior Executive Service staff (SES)) in the Department were endorsed by the Executive in August 1997. This followed departmental consideration of the Management Advisory Board (MAB)/Management Improvement Advisory Committee (MIAC) recommendations for achieving cost-effective personnel services.
Key features of the new system include the introduction of a simple assessment rating scale for individual (and overall) assessments and the introduction of a Comparative Assessment Grid, which rates the suitability of each applicant with strong claims against selection criteria, and against each other.
The introduction of the Comparative Assessment Grid replaces the need for lengthy selection reports. The new guidelines came into force on 1 October 1997 and have been used extensively with marked savings in time spent on selection exercises by panel members. On average, it took 18 weeks from the time a decision was taken to fill a position until the selected person started in the job. Managers have indicated that the streamlining process has reduced the length of time to fill a position and statistics are being gathered.
The Workers' Compensation Premium for 1998–99 is now significantly lower than that of previous years and reflects changes to the injury profile of DIMA. A drop in the total cost of claims with a slight decrease in the number of claims indicates that DIMA has been successful in reducing the number of high cost claims. The Worker's Compensation Premium for 1998–99 was set by the Safety Rehabilitation and Compensation Commission at $869 214. The premium for the previous year was $1.8 million. In percentage terms, DIMA's rate (0.6 per cent) is now amongst the lowest in the Commonwealth and well below the Commonwealth average premium of one per cent.
[ Top Of Page ](iii) Accountability
The accrual and outcomes/outputs based approach to budgeting, accounting and reporting in DIMA requires significant refinement of the planning and accountability processes within the Portfolio. Under the proposed accrual framework, business planning, budget development, internal accounting and management and portfolio reporting will need to be more fully integrated.
In March 1998, a working group was charged with the task of developing and implementing the new framework. The working group developed a draft portfolio-wide outcomes/outputs framework, in consultation with all areas of the Department, which will be discussed with the Department of Finance and Administration early in 1998–99. The final schema, when agreed by the Minister and the Minister for Finance and Administration, will form the structure for appropriations to the Portfolio for the financial year 1999–2000.
One of the key developments in 1997–98, was the preparation for the implementation of a new financial management information system
(SAP R/3) on 1 July 1998. An interface with the Department's human resource system is planned for September 1998 and should provide DIMA with fully integrated computerised resource management systems. These changes were supported by training for selected staff.
Following the introduction of the full integration of systems, and in association with the further development of the accruals framework, a systematic program of education and training (and business process re-design) will be implemented. This aims to ensure that all staff are able to use the new framework and systems to improve planning, performance and accountability.
The Departmental Audit and Evaluation Committee (DAEC) oversaw the Department's internal audit function. The DAEC comprises each Division Head, with the Deputy Secretary as chair.
One of its primary roles is to oversee audit and evaluation activity within the Department by providing general strategic direction. For example, in mid–1997, the Department decided that internal audit services could be more effectively delivered through an external provider. Following a competitive selection process a contract was signed with Ernst and Young in February 1998 for a period of two years.
A range of audits were conducted against the DAEC-approved Internal Audit Program, which was primarily focused on management systems and operational aspects of the Department's activities, using performance and compliance audit techniques. The major outcomes, of the initiative to outsource internal audit, so far have been:
- improved service delivery (with three audits undertaken in the first three months compared with three audit reports undertaken in the previous financial year); and
- the transfer of costs from DIMA to the contractor, for overheads such as keeping audit staff up-to-date with developments in their field, costs associated with absenteeism and turnover, and difficulties in recruiting suitable top-level staff.
The outsourcing of the function has enabled DIMA to reduce staffing from 11 Average Staff Years (ASY) two years ago to 2.5 ASY in 1997–98.
On 1 January 1998, a set of Chief Executive Instructions (CEIs) was issued, to coincide with implementation of the new Financial Management and Accountability Act 1997. The CEIs provide the financial management framework and accountability ground rules to apply within the Department. The CEIs will be reviewed early in 1998–99 to reflect changed business processes, resulting from implementation of a new financial system and progression to accrual resource management.
Supplementary Administrative Circulars (ACs) are progressively being issued dealing with specific financial and related accounting topics and provide detailed policy and procedural guidance to officials responsible for the day-to-day financial management and accounting operations in the Department.
At June 1998, six of the 23 supplementary ACs had been revised and formally issued, including Management of Refunds, Accountable Forms and Stamps, Compensation for Detriment Caused by Defective Administration, Act of Grace Payments, Australian Government Credit Card, and Claims against the Commonwealth. Another seven were close to completion and are expected to be issued in July 1998.
A complete review of the Department's financial delegations was also undertaken, to reflect the requirements of the Financial Management and Accountability Act 1997. This review provided the opportunity to:
- revise the extent of delegation distribution across the Department;
- streamline the levels of, and limitations on, officials holding financial delegations; and
- withdraw some financial delegations to Central Office to increase scrutiny of financial processes.
The Financial Services Performance Indicators (FSPIs) are a non-regulatory tool for the ongoing and regular management and monitoring of financial activities in the Department. They were developed by the Department, in liaison with the Australian National Audit Office (ANAO), and have since been seen by the ANAO as representing best practice. The FSPIs are collected on a monthly, quarterly, half-yearly and annual basis. The objective of the FSPIs is to improve the capacity of the Department to monitor basic financial services in a decentralised financial environment.
A review started in September 1997 to ensure that the FSPIs continue to provide an appropriate level of assurance as to their adequacy, compatibility with specific financial statement needs, relevance to the new financial system, and flexibility in providing management with assurance, in response to changed legislative requirements. During 1997–98, a lowered level of compliance was evident, and action has now been taken to ensure full compliance and complete the review process.
The Departmental Evaluation Plan was approved by the DAEC in June 1997, and it involved 21 activities over 1998–2000. In 1997–98 four evaluations were completed covering the July 1995 changes to the Domestic Violence Provisions of the Migration Regulations, Visitor Facilitation – Agency Arrangements, and two progress reports on Business Skills migrants. Seven were cancelled and six were started. The evaluation activity was overseen by the DAEC as an important component of performance management in the Department.
The DAEC also initiated a review of the evaluation function, with an emphasis on re-designing the function to take into account recent developments in the field, particularly the recommendations in the Auditor-General's Audit Report No 3, Program Evaluation in the Australian Public Service. The review will also examine how best to accommodate the evaluation function into the overall architecture of the review, evaluation and audit activities of the Department. The expected outcome of this review is the development of an evaluation function which enhances the quality of corporate governance and performance.
Training sessions were conducted for more than 1 700 Australian staff to enhance their understanding of the conduct expected of Departmental officers, and to provide advice on how best to perform their duties ethically. There were 280 locally engaged staff at Australian overseas missions similarly trained. Individual briefings were provided to 11 officers from the Department of Foreign Affairs and Trade and the Australian Federal Police.
A total of 178 allegations relating to the conduct of departmental officers were received, compared with 208 in 1996–97. Fifty eight of these alleged corruption were in relation to the issue of visas. The majority of cases investigated were found to be unsubstantiated or disproved. Five officers were counselled about their actions (six in
1996–97). Five matters were referred to the Director of Public Prosecutions for criminal prosecution (three in 1996–97). One Australian officer, and five locally engaged staff, were dismissed. Four officers resigned while under investigation (11 in 1996–97). Internal investigation action was overseen by an Internal Investigations Steering Committee, and chaired by the Deputy Secretary.
A Fraud Prevention Unit was also established within the Internal Investigation Section in 1997. It prepared a risk assessment questionnaire which, was subsequently approved by the Commonwealth Law Enforcement Board, and 244 questionnaires were completed in 1997–98.
The question of accountability is central to the management of the immigration and multicultural affairs portfolio. The sum of the activities reported above promotes and enhances the culture of accountability and best practice which is central to all DIMA operations.
[ Top Of Page ](iv) Staff
A Certified Agreement under the Workplace Relations Act 1996 was negotiated, on behalf of staff, between the Department and the Community and Public Sector Union (CPSU) on 31 March 1998. The Certified Agreement received an 88 per cent approval rating by the
78 per cent of staff who voted. It was lodged with the Australian Industrial Relations Commission and certified on 16 July 1998.
The Certified Agreement was designed to offer staff flexibility in adjusting the balance between work and personal commitments by offering flexible working and leave arrangements. The Department expects to achieve productivity savings through changes to some conditions of employment, such as the Performance Management Scheme and in reductions in the overtime penalty rate and the period of higher duties allowance, and changes to paid study leave. The Certified Agreement provides for a
7.5 per cent pay rise over 28 months. The Certified Agreement provides a stable environment for staff and for the Department in the lead up to and during the 2000 Olympics.
The focus of the Department's staff development activities was to equip staff to deliver consistently high quality services to departmental clients both in Australia and overseas. In 1997–98, the Department delivered a range of formal courses and workshops focussing on departmental programs and service-wide initiatives such as complaints handling. Departmental officers and external service providers delivered formal and informal training. In addition, program specific training was provided through cost effective,
self-paced modules as part of its Skills Development Program. Increased interest in these programs indicates they are meeting training needs and course evaluations continue to drive improvements.
A continuing priority was the delivery of training to staff overseas, Australia-based and locally engaged staff. Training visits by locally engaged staff to the Department's Central and Regional Offices were also arranged to provide better understanding of departmental culture and programs. Feedback provided by staff and their managers indicates positive outcomes in terms of productivity and a higher quality of service provided.
The Certified Agreement negotiating team meeting in Melbourne during March 1998.
Activity in the Department's State and Territory workplaces included the continued promotion of health and safety issues through the provision of advice, work-station assessments, training and the contracting of consultants and specialist trainers.
The Department provided induction courses for new employees and for returning officers to familiarise them with the core business of the Department and its programs. The structured vocational program provided to Graduate Administrative Assistants was based on the Joint APS Training Council's graduate competency package. The Department's curriculum has been recognised by the ACT Accreditation and Registration Council.
Success in implementing the Staff Development Strategic Plan has been reflected in the take up rate and feedback from staff for courses which were provided on the Staff Development Calendar, which had been tailored in response to Learning Agreement data.
Learning agreements and the Department's mentoring program are closely linked to the changes in personnel policies and practices, arising from the Department's Certified Agreement. For this reason, work on those two issues was not progressed independently of the finalisation of the Agreement. For 1998–99, the performance management component of the Department's Certified Agreement will integrate learning agreements and the Department's mentoring scheme into the Department's performance management scheme.
A Central Office health day was held in November 1997, and staff were particularly interested in complementary health techniques, information sessions and practical demonstrations. Following this success, Health Day '98 is planned to build upon that interest and knowledge.
Activity in the Department's State and Territory workplaces included the continued promotion of health and safety issues through the provision of advice, work-station assessments, training and the contracting of consultants and specialist trainers.
Implementation of the Occupational Health and Safety (Commonwealth Employment)(National Standards) Regulations continued during the year with particular emphasis placed on the safe use of desktop computers. Information technology trainers and occupational health and safety staff prepared and distributed an information paper which presented staff with simple changes to reduce postural loads. This package is being further developed during 1998 and efforts will be made to ensure that all staff receive the updated information and other health and safety training. In addition, guidelines for the assessment of plant are being prepared as part of office refurbishment management.
In December 1997, the consultative mechanisms within the Department were tested when Telstra installed a mobile telephone base station on the roof of one of the Department's Canberra buildings. The Department agreed to monitor electro-magnetic emissions and will report to staff through the Occupational Health and Safety Steering Committee. A request by Optus later in the year to install a microwave dish was considered by health and safety representatives and proved the consultative model to be effective.
Consultations with employee representatives in Central Office and the State and Territory offices were conducted through Regional Consultative Committees which met regularly throughout 1997–98. Issues discussed included an update on the Workplace Diversity Plan, overseas and local staff access to the Employee Assistance Program, staff development and training directions, workplace harassment training, Comcare and grievance statistics and Occupation Health and Safety issues.
Significant emphasis was placed on achieving a harmonious and harassment-free working environment to ensure that the full potential of each staff member is valued and realised. This was achieved through the provision of targeted seminars on equal employment opportunity, workplace diversity and workplace behaviour. A Workplace Behaviour Strategy was launched in August 1997, followed up by awareness raising training courses, which included a focus for managers and supervisors on their particular responsibilities under the Strategy.
This strategy was recognised, as an innovative Public Service initiative, in the Public Service and Merit Protection Commission (PSMPC) 1997 Equity Awards, which was held on 10 February 1998.
The Department's performance against Equal Employment Opportunity (EEO) initiatives was good. Approximately 55 per cent of staff were female, compared with the Australian Public Service (APS) performance indicator and the departmental target of around 50 per cent. The percentage of female staff in senior officer positions was 32 per cent and in SES positions was 29 per cent. This compares with the APS Year 2000 indicator of 28 per cent for senior officer female staff and 20 per cent for female SES positions, and DIMA internal targets of about a third of women in SES and senior officer positions.
Aboriginal and Torres Strait Islanders make up 1.4 per cent of the Department's staff. This remains significantly below the APS indicator of two per cent and slightly below the departmental target of 1.5 per cent. To increase the number of staff members in this category, the Department has initiated a number of targeted recruitment strategies including support for the Aboriginal and Torres Strait Islander network and an indigenous recruitment strategy.
Staff members with disabilities represent 5.7 per cent of total staff, exceeding the APS 2000 indicator of five per cent and the DIMA EEO Program target of four per cent.
Staff from non-English speaking backgrounds constitute 29 per cent of the Department's workforce, exceeding the APS 2000 indicator of 15 per cent and approaching the Department's target of 30 per cent.
Work also started on a Workplace Diversity Program for implementation on 1 September 1998. The draft plan will incorporate current EEO requirements but has a broader focus recognising and harnessing the potential benefits of the differences in Departmental staff and accommodating family-friendly policies which positively affect recruitment, productivity, morale and retention rates.