Industry, science and resources portfolio

Performance Indicator

Shift ofResources

ExternalEarnings

PublicationsPatents etc

Research Training

CustomerSatisfaction

Adoption andImpact

Effectiveness
Price
Quantity
Quality

EVALUATIONS

Ongoing, systematic evaluation in CSIRO includes:

1. 
   independent assessment by the 22 Sector Advisory Committees of CSIRO’s performance and progress in relation to the Sector research plans;
   
2. 
   the assessment and reporting of the six performance indicators included in CSIRO’s Triennial Funding Agreement;
   
3. 
   the submission of scientific findings to regular critical appraisal by internal and external peers;
   
4. 
   the critical assessment of patent applications; and
   
5. 
   the annual cycle of Staff Performance Planning and Evaluation (PPE).
   

During the triennium (2000-01 to 2002-03), CSIRO and the Department of Finance and Administration have agreed to work together to further refine the performance indicators included in the Triennium Funding Agreement. This work will be informed by CSIRO’s ongoing implementation of its Organisational Performance Measurement (OPM.) initiative, aimed at developing an integrated set of performance measures tailored to CSIRO’s objectives, strategies, and processes to aid decision making at strategic, tactical and operational levels and for reporting purposes.

COMPETITIVE TENDERING AND CONTRACTING

In 2000-01, the provision of information technology (IT) services was examined as part of the Commonwealth Government IT Outsourcing Initiative. The CSIRO Executive is investigating a number of options to implement the Government IT outsourcing policy in such a way as to maintain essential research capabilities.

In response to the Government’s review of CSIRO’s Property Management and to complement areas acknowledged for best practice - strategic planning, procurement, construction development (tendering and contracting), maintenance and customer service - CSIRO has engaged consultants to further develop components of benchmarking, cost reporting, systems development and completion of the updated Estate Management Plan during 2001. CSIRO is about to sell and lease back a number of properties in response to the Government property review.

Consultants Property Concept and Management undertook market testing of CSIRO’s Estate Management service and determined that:

. CSIRO’s function was at or near best practice, and cost effective;

. 95% of total activity was already outsourced;

. there was no one external provider for the range of professional services required;

. if CSIRO could externalise completely there would be an indicative penalty of three time current cost, without any identifiable improvement in efficiency; and

. CSIRO Property had developed and implemented a unique but simple and effective internal leasing scheme for its property assets, which is also being considered by other agencies. CSIRO has also initiated a range of studies and projects to improve business processes, including:

. a financial management capability review by KPMG, which found the Organisation was well ahead of comparable public sector agencies. This review addressed five key elements of financial management in each of CSIRO’s business units: Planning and Budgeting, Financial Performance Reporting, Costing and Pricing, Project Management and Financial Skills;

. a scoping study by Acumen Alliance on the application of e-Procurement;

. consistent with the Government’s e-Commerce policy CSIRO is maximising the number of payments to supplier and staff effected by electronic funds transfer (EFT). As at April 2001 in excess of 90% of CSIRO’s payments were made by EFT; and

. internal reviews of the CSIRO’s finance system, policy framework, e-business options, occupational health and safety arrangements and intranet design.
The major improvement project involved CSIRO’s human resource (HR) delivery strategy, which resulted in an improved HR intranet design and wider use of on-line facilities to assist staff with leave entry, pay, some HR enquiries and the payment of travel and meal allowances. About 52,000 leave forms previously prepared and approved manually each year are now being handled electronically with significant savings in transaction time. The next phase, which is due for completion in 2001-02, is to examine the efficiency and effectiveness of remaining routine advice services, payroll and the administrative elements of recruitment. CSIRO is also participating in a benchmarking study on recruitment commissioned by Australian Taxation Office.

In 2001 CSIRO will participate in Australian National Audit Office (ANAO) efficiency audits on financial planning and on performance management.

Section 3: Budgeted Financial Statements