6.3 Corporate services

Objectives

To provide the best advice to the Minister for Development Cooperation and Pacific Island Affairs, through the Minister, the Government and Parliament, on all matters relating to the development cooperation program.

To provide the executive direction, management, and specialist advice required for a professional, dynamic and efficient international development organisation.

Description

The Corporate Services sub-program encompasses:

policy development;

corporate planning;

program evaluation;

project appraisal and evaluation;

ministerial and parliamentary services;

overall AIDAB resource management;

personnel development;

office support services; and

internal audit functions.

Technical advice on projects and broader aid issues is also provided, primarily in support of country programs.

Performance summary

The performance indicators applied to this sub-program were:

Government satisfaction with the quality of AIDAB policy advice and contribution to government deliberations on development issues;

The availability of a clear plan of corporate priorities and direction, and the extent to which the organisation’s structure is capable of implementing such a plan;

The extent to which appropriate systems manage risk and ensure proper financial management and accountability;

The extent to which corporate strategies ensure that government objectives are achieved by program activities and cross-sectoral issues are properly integrated into program development;

The extent to which corporate services are used efficiently, reflected by personnel procedures and work place features which are efficient and acceptable to staff, unions and AIDAB’s management;

High staff performance, supplemented by training programs to enhance skills and qualifications, consistent with program priorities;

Appropriate information technology systems, acceptable to and widely used by officers; and

Administrative services and databases which comply with Australian Public Service requirements while meeting program needs.

Policy development

The Advisory Council on Aid Policy was established in early 1993, and made an important contribution during 1993-94 by building stronger links between the aid program and the Australian community, and advising the Minister for Development Cooperation and Pacific Island Affairs on aid and development issues. The council includes members from a broad range of groups in the Australian community, as well as the Secretary of DFAT and the Director General of AIDAB as ex officio members. The council’s first meeting was held in July 1993, and subsequent meetings were held in November 1993 and May 1994. Major issues discussed have included population programs, aid to Papua New Guinea and to the South Pacific, and human rights and the aid program.

In November 1993, the Minister for Development Cooperation and Pacific Island Affairs, Mr Bilney, tabled the fourth annual ministerial statement on the aid program entitled Poverty Reduction and Economic Growth in Australia’s Development Cooperation Program. The paper set out Australia’s aid policy on the relationship between poverty reduction and economic growth.

In May 1993, the Government announced its strategy for the implementation of Agenda 21 in the aid program. Agenda 21 is the global strategy for environmentally sustainable development agreed at the United Nations Conference on Environment and Development (UNCED) held in Rio de Janeiro in 1992. Key steps in AIDAB’s implementation strategy are:

the revision of the 1991 interim ecologically sustainable development policy;

a review of progress toward the integration of environmental policies into the aid program; and

as a trial, to prepare country environment profiles for Papua New Guinea and Indonesia.

A revision of the 1991 interim ecologically sustainable development policy, entitled Towards a Sustainable Future: Ecologically Sustainable Development through Australia’s Development Cooperation Program, was prepared during the year. This document updates Australia’s policy in light of Agenda 21 and Australia’s National Strategy for Ecologically Sustainable Development. The document states that the aid program focuses on promoting economic growth on the basis of equity and long-term sustainability; on maintaining and enhancing ecological systems; and on improving quality of life through access to health services, family planning, education, a range of basic human rights, and participation of all groups in development.

In response to a 1990 report by the Senate Standing Committee on Environment, Recreation and the Arts called Environmental Impact of Development Assistance, the Government undertook to conduct environmental audits of the aid program. The 1993 environmental audit, the third annual environmental audit undertaken, analysed the environmental impact assessment processes for 88 projects under Australia’s Development Cooperation Program and was tabled in Parliament in June 1994. As a response to the audit’s recommendations, AIDAB will implement further training, simplify procedures, increase access to additional specialist environmental support for AIDAB officers and will have separate environmental appraisal for all major activities. These initiatives will considerably enhance AIDAB’s capacity to assess impacts accurately and to ensure that appropriate management, which includes enhancement/prevention, mitigation and control, and conservation measures are undertaken. Future audits will incorporate field-based studies to examine actual outcomes and will complement desk based systems audits.

In addition to AIDAB’s environmental assessment procedures for projects, 13 proposals were referred to CEPA (Commonwealth Environment Protection Agency) under the Environmental Protection (Impact of Proposals) Act 1974 and CEPA’s advice was sought on 12 new projects.

The United Nations Commission on Sustainable Development was established at United Nations General Assembly 47 to oversee and monitor the implementation of Agenda 21. Australia holds a seat on the commission, and AIDAB was represented at the second meeting of the commission held in May 1994 in New York. AIDAB was also actively participated in the Australian delegation which negotiated the International Convention on Desertification (INCD) agreed in Paris in June 1994.

In March 1995, the United Nations will convene the World Summit for Social Development in Copenhagen, Denmark. The summit will bring together heads of state and government to address three major social development issues facing both developed and developing countries: the alleviation of poverty; the expansion of productive employment; and the enhancement of social integration. AIDAB participated in the Australian Government’s preparation for the summit during 1993-94.

Human rights, good governance and participatory development have assumed a higher profile in the aid program in recent years. The Government’s policy is to maintain a consistent and principled stand on human rights violations, while stressing the need to engage in productive dialogue and institution-building activities. AIDAB contributed to the National Action Plan (NAP) for Australia which pulls together the strands of government policy relating to the observance of human rights. This was published in 1994. A number of regional human rights institution building activities were supported as a result of Australia’s $300 000 contribution to the United Nations Centre for Human Rights which was announced by Senator Evans at the 1993 World Conference on Human Rights. AIDAB was also involved in developing a human rights training course for DFAT and AIDAB officers. The training course was conducted twice during the year.

AIDAB was also represented at the first meeting of the Development Assistance Committee Working Group on Good Governance and Participatory Development, held in Paris in April 1994.

AIDAB participated actively in the third preparatory meeting for the International Conference on Population and Development which will be held in Cairo in September 1994. In September 1993, the Government commissioned an independent inquiry into the link between population and development. The report concludes that the links between population and development are complex and that while family planning is not a panacea for the problems facing developing countries, few, if any policies are likely to have the breadth of impact of family planning, where the costs are relatively modest. The report found that in poor, badly serviced agrarian communities with few alternative economic opportunities it was particularly likely that fast population growth would lead to greater poverty, less opportunity, food scarcity and environmental degradation. It cautions, however, that family planning programs alone are not adequate to address the problems of such communities: a broader response, providing greater economic alternatives to the poor, is equally necessary. The inquiry report will be an important source document for the population conference to be held in Cairo in September 1994.

Mr Bilney led the Australian delegation to the December 1993 High-Level Meeting of the OECD Development Assistance Committee (DAC) in Paris. Discussion at the meeting centred on a package of proposals for revising the basis and composition of the DAC’s List of Developing Countries and the definition of Official Development Assistance (ODA). Donors agreed to ‘graduate’ from developing country status all countries and territories whose per capita GNP places them above the threshold of the World Bank’s High-Income Country category (currently US$8355), with effect from 1996. The agreement on a graduation threshold was facilitated by an agreement to alter the presentation of the DAC list. It will now be known as the DAC List of Aid Recipients and include all aid recipients in two categories. The first category will contain the ODA-eligible countries and the second all other aid recipients. Only aid to countries in the first category will count towards the 0.7 per cent United Nations ODA:GNP target. Both during and prior to the high-level meeting, Australia argued for changes to the DAC List and ODA definition to improve its credibility in reflecting more accurately the changing development status of many countries. Those changes which might have tended to cause aid diversion away from the needier countries, particularly those in our region, and away from the most developmentally effective forms of assistance were opposed by Australia.

Corporate planning

During the year AIDAB prepared a corporate plan for the period 1994 to 1996, following widespread consultation within the organisation. The plan identifies AIDAB’s priorities and emphasises forward looking strategies. The new plan reflects changes in program emphasis, new development challenges and organisational restructuring within AIDAB. It encapsulates AIDAB’s purpose in the mission statement ‘Australians building a better world in partnership with the people of developing countries’.

AIDAB’s corporate goals as set out in the corporate plan are:

to promote ecologically sustainable development in developing countries in response to Australia’s humanitarian, foreign policy and commercial interests;

to deliver the highest quality program of development cooperation; and

to ensure AIDAB is a leading international development organisation that is creative, responsive and effective.

Program and project evaluation

The aid program is subject to continuing and extensive evaluation at all levels. AIDAB undertakes some 40 evaluations and reviews annually. These include program effectiveness reviews, comprehensive studies of Australian development activities in particular sectors and more specific evaluations of individual projects and other development activities. All development activities are also subject to a rigorous process of appraisal and review. Aspects of the aid program are also from time to time closely reviewed by the parliamentary Joint Standing Committee on Foreign Affairs, Defence and Trade and the OECD Development Assistance Committee.

During 1993-94, increased emphasis was placed on the process of country effectiveness review with four reviews (those of Thailand, the Philippines, the Indian Ocean Island States, and Malaysia) being undertaken. They are presently being finalised. Nine reviews are scheduled for 1994-95. Overall, the reviews found that in each case, Australia’s development assistance had been effective in meeting the Government’s primary objective for the aid program of contributing to social and economic development. The process of sectoral review was also continued with considerable statistical analysis undertaken in the areas of agriculture, industry and energy, social infrastructure and mining.

Other major activities included reviews of the DIFF (Development Import Finance Facility) scheme and of commercial benefits arising from development cooperation with Indonesia. The preliminary findings of both these reviews indicate that in both cases the programs yielded significant commercial returns for Australia. In the case of DIFF, the program was also assessed as having contributed substantially to economic development in the countries receiving assistance. An effectiveness review of NGO programs also commenced.

A major change in project evaluation methodology was introduced whereby projects are now evaluated in ‘clusters’ of three or more projects. While the approach is not as detailed as in the past, it has major benefits. There are significant cost savings; a large number of evaluations are able to be undertaken; and the level of analysis not only draws out the major lessons of project experience but also allows for more rapid feedback in to the project cycle. Three cluster evaluations were undertaken in China, Indonesia and Fiji. Two more got under way in the Philippines and in the South Pacific. During 1994, a total of eighteen projectswill be evaluated.

Previously all evaluation and review results were published separately. This did not facilitate learning of common lessons. In 1994 it is intended to publish the first in an annual series of evaluation and review compendiums drawing together the results of all evaluation and review activity undertaken during the year. At the same time, major reviews, such as those of DIFF and NGO programs, will be published in full.

AIDAB continues to emphasise quality control in its program through comprehensive appraisals of proposed development activities covering technical, economic, social, environmental and institutional factors, and an extensive process of evaluation and review through which lessons learned can be fed back into project development.

Project appraisal

Selection of bilateral projects is based on detailed economic and technical analysis. In the course of this analysis particular attention is paid to sustainability and risk as well as to project viability in relation to socio-cultural, gender and environmental factors. The appraisal function covers the assessment of project proposals at various stages prior to and during implementation. More than 130 project proposals were assessed during 1993-94, and about 30 field missions were undertaken. Field appraisals and reviews conducted during the year included:

prefeasibility studies for a project to build a major bridge across the Mekong river near Ho Chi Minh city in Vietnam;

prefeasibility studies for a teacher education project in the Philippines;

appraisal of an HIV/AIDS project in Indonesia;

appraisal of a coal washery project in India;

review of a community forestry project in Nepal; and

review of an upland agriculture project in Laos.

In addition, both in-house and field appraisals were conducted for all projects supported under the Development Import Finance Facility. Some 32 DIFF projects were appraised during 1993-94.

Human resources management

At the end of 1993-94, AIDAB had a total of 576 staff. Of these, 522 were located in Australia, distributed between three divisions in AIDAB’s central office in Canberra, six regional offices in the ACT, NSW, Queensland, South Australia, Victoria and Western Australia, and the AIDAB Centre for Pacific Development and Training in Sydney. One officer was outposted in Darwin and one in Hobart. AIDAB had 54 staff distributed between 23 overseas posts.

Corporate restructuring

On 14 February 1994, AIDAB’s two appraisal sections dealing with projects other than those in PNG and the South Pacific were transferred from the former Program Development and Review Branch to individual branches in the Asia, Africa and Community (AAC) Division. This brought the appraisal function closer to program and project development, leading to efficiencies and better coordination. A further restructuring of the AAC Division will be implemented from 1 July 1994 to provide a better balance between resources as programs expand in Cambodia, Laos and Vietnam. The restructuring processes involved staff consultation from the outset, and proceeded smoothly. An associated relocation of staff will take place in 1994-95.

Equal Employment Opportunity

Equal Employment Opportunity (EEO) objectives are an integral part of AIDAB’s new corporate plan. AIDAB’s Personnel Policy and Establishment Unit provides advice and support to officers responsible for implementing and monitoring EEO principles. Each AIDAB branch and regional office has at least one EEO liaison officer.

A new three-year program outlining AIDAB’s EEO policies, practices and objectives came into operation in June 1993. An activities guide has been developed for all officers with responsibilities under the program. The program will be reviewed in mid-1994 to gauge progress during 1993-94.

A workplace harassment policy was introduced in AIDAB in April 1994. This policy broadens the Sexual Harassment Policy to include other forms of workplace harassment and replaces sexual harassment officers with workplace harassment officers. A workplace harassment officer has been appointed in each division and in each regional office. A workshop for workplace harassment officers was held in June 1994.

Two scholarships were offered to Aboriginal and Torres Strait Islander people in their final year of study during 1993. Both scholarships were taken up and the scholarship holders were later appointed as 1994 graduate administrative assistants. At 30 June 1994 AIDAB had six other Aboriginal and Torres Strait Islander staff. AIDAB’s Aboriginal and Torres Strait Islander Recruitment and Employment Strategy approved in January 1994 by the Department of Employment, Education and Training includes strategies for improving Aboriginal and Torres Strait Islander representation among staff.

Occupational health and safety

A survey in May 1994 revealed that occupational overuse syndrome was the most significant workplace injury and will remain an important target of AIDAB’s Occupational Health and Safety (OH& S) activities and education.

AIDAB continued to conduct programs aimed at maintaining the health, safety and welfare of employees including posture training and a health assessment program. A revised and more detailed Occupational Health and Safety program was approved for 1994-95, including ways and means to address OH& S issues at overseas posts.

Report on child care provision

AIDAB concluded in late 1993 that the cost of establishing a child-care centre for central office staff, either as a single venture or jointly with other agencies in the central business district, was beyond the Bureau’s capacity. AIDAB is continuing to assist its ACT staff to obtain child-care services at ACT Government child-care sites, and subsidises comprehensive school holiday programs. Regional offices were encouraged to explore ways of facilitating access to local facilities.

Industrial democracy

Formal and informal consultation processes in AIDAB give effect to industrial democracy policy and guidelines. Formal consultative processes maintained during 1993-94 include the AIDAB Consultative Council and the National AIDAB-Union Liaison Group. Informal consultations include regular meetings between management and union representatives for discussions on issues such as floor plans, occupational health and safety and appointment processes.

Participative work design practices continued to play an important role in fine-tuning work practices in all AIDAB offices.

Workplace bargaining

A joint working group comprising management and union representatives met during 1993-94 to obtain extensive feedback from staff on possible productivity improvement initiatives, and developed proposals as the basis for further negotiations. Formal negotiations commenced in March 1994, but were suspended in May at the request of the union. AIDAB management has undertaken to frame new proposals for further consideration.

Ombudsman

AIDAB appointed an ombudsman in 1986 to enable the consideration of administrative and other complaints which could not be addressed through other official channels or procedures. The ombudsman also provides a useful alternative where the available channels appear inadequate for a fair and just resolution of an issue within a reasonable period of time.

The ombudsman is an AIDAB officer who undertakes the responsibilities of the position in addition to their other duties.

Performance appraisal and pay-overview

A total of 212 SES and senior officers was assessed as eligible to receive performance pay bonuses. The aggregate amount paid in performance pay was $469 911. At the end of the financial year two 1993-94 assessments were provisional and the relevant performance pay bonuses were to be paid in 1994-95.

Due to the high mobility of senior officers within the agency, promotions and periods of long-term higher duties, a number of officers submitted and were assessed against more than one performance agreement during the 1993-94 cycle. This resulted in a total of 256 performance appraisal assessments being undertaken in accordance with AIDAB’s approved guidelines. Officers who submitted more than one agreement during the cycle were paid on a pro-rata basis for each assessment. Performance pay was distributed on the basis of 241 assessments at the level of 40-60% of the permissible maximum. Four assessments received 60-80% of the permissible maximum.

SES performance appraisal 1992-93 cycle

A total of 13 officers at the SES level were assessed as eligible to receive performance pay for the 1992-93 performance appraisal cycle comprising nine officers in Band 1, three officers in band 2 and one officer in band 3. Band 1 officers were paid a total of $45 701.09 and Band 2 and 3 officers were paid a total of $30 545.40. Performance pay bonuses for the 1992-93 cycle were paid on 29 July 1993, with 11 on the 40-60% and two on the 60-80% level of the permissible maximum.

Senior officer performance appraisal 1993-94 cycle

AIDAB completed its second cycle of Senior Officer Performance Appraisal in February 1994. A total of 65 officers at the SOGA-B and equivalent level were assessed as eligible to receive performance pay bonuses in 1993-94. The number of actual assessments is somewhat higher, as a number of these officers were assessed more than once during the cycle. The aggregate amount paid in performance pay to SOGB officers was $197 732. Performance pay bonuses were paid on 30 June 1994, with 72 assessments on the 40-60% level of the permissible maximum.

A total of 143 officers at the SOGC and equivalent level were assessed as eligible to receive performance pay bonuses in 1993-94. The actual assessments is somewhat higher, as a number of these officers were assessed more than once during the cycle. The aggregate amount paid in performance pay to SOGC officers was $195 933. Performance pay bonuses were paid on 30 June 1994. Performance pay was distributed on the basis of 158 assessments at the 40-60% level, and two at 60-80% of the permissible maximum,

Personnel development

Personnel development objectives in AIDAB cover both career development needs as well as specific aid skills and the enhancement of skills required for organisational improvement.

Under competency based training based on Australian Public Service norms, AIDAB promotes a range of staff development opportunities including study awards and Studybank. All staff undergo six-monthly performance reviews, including identification of priority development. A strategic approach is then taken to the design and delivery of staff training programs to meet identified needs.

Highlights of the 1993-94 training program included:

the introduction of human rights training, especially for policy and program staff;

promotion of women’s development programs and other training initiatives following the launch of AIDAB’s EEO program for 1993-96;

increased courses on financial, accounting and purchasing as areas of special need;

the launch of an enhancement program for the ASO 1-4 group, including a development-by-rotation scheme, designed to broaden the experience of these officers;

the completion of training for central office staff in new computer software packages and the commencement of such training in regional offices as they gain access to the network;

structured programs for a total of 18 graduate recruits in 1993 and 1994 under the Graduate Administrative Assistant program; and

Senior officer development programs and a middle management development program for ASO 5 and 6.

Of the 576 AIDAB employees as at 30 June 1994, 554 participated in eligible training programs. Of these trainees, 328 people belonged to at least one Equal Employment Opportunity target group (257 women, 6 Aboriginal and Torres Strait Islanders, 27 people with disabilities and 82 people of non-English speaking background). The total number of person-days spent on formal training was 4864 including Studybank and full-time study awards.

Financial management

In common with the rest of the Foreign Affairs and Trade portfolio, AIDAB is to present its 1993-94 accounts in accrual reporting format as part of a Commonwealth accrual reporting pilot project. Almost all Commonwealth departments will move to formal accrual reporting for the 1994-95 financial year. AIDAB’s 1993-94 financial statements will be audited by the Australian National Audit Office. Participation in the pilot project has helped AIDAB to develop policies and procedures prior to the 1994- 95 switch to accrual reporting.

Following a review, AIDAB took steps in May 1994 to tighten procedures for financial claims management. These include strengthening staff training and revising project and contract checking for consistency with a future computerised activity management system.

Auditor-General

Two Australian National Audit Office (ANAO) reports relating to AIDAB were tabled in Parliament during the year. In March, the ANAO reported on the follow-up audit of AIDAB’s aid to Papua New Guinea. AIDAB’s financial statement for 1992-93 was also reported.

The follow-up audit of aid to Papua New Guinea examined action taken by AIDAB in relation to recommendations of the Auditor-General’s report no. 13, Australian International Development Assistance Bureau-Aid to Papua New Guinea, which was published in November 1990.

The follow-up revealed that action had been taken by AIDAB to varying degrees on all recommendations of the original audit with considerable progress in the type of aid and rationale for development assistance to PNG. Some concerns remained, however, in terms of project monitoring and control. These are being addressed by the programming area and relevant working groups.

Payment of accounts

Spot check program and random sampling

Four spot checks on the financial management systems and procedures of NGOs and contractors were successfully conducted as part of AIDAB’s 1993-94 spot check program. All spot checks led to requirements for small amounts of remedial action by the NGOs and contractors. Spot checks and random sampling of projects claims will be increased in future years.

Fringe benefits taxation

Following the Government’s decision to raise the effective level of Fringe Benefits Tax (FBT) from 1 April 1994, AIDAB completely reviewed its FBT liabilities. Additional funds were obtained to meet the increased 1993-94 obligation.

Accommodation management

AIDAB’s accommodation needs have expanded with the aid program’s expansion in volume and change of composition. Additional accommodation required for the expanding Papua New Guinea program led to planning for the lease of the second floor in AIDAB House, Canberra. Occupancy is expected to occur during 1994-95. AIDAB also began discussions with the Department of Finance to formulate a property resource agreement, also for completion in 1994-95. In order to address AIDAB’s longer term central office accommodation needs, AIDAB commissioned the Australian Property Group to conduct an overview appraisal of options in Canberra. This includes consideration of relocating to Section 30, Forrest, near the new DFAT building in York Park. Leases of regional office accommodation in Adelaide and Brisbane were meanwhile renewed during the year.

Assets management

Following the installation of the GAMES assets management system in the 1992-93 an annual stocktake and assets reconciliation were completed in AIDAB’s central and regional offices. A similar program will be conducted each year.

Audit and risk management

Activities continued to focus on audits of current bilateral projects, contractors, NGOs, overseas posts and internal AIDAB operations. ‘Pre-emptive’ audits of projects and contractors focused on contractors’ management systems in Australia and overseas and included their interface with AIDAB’s project management systems.

The pattern of controls built into AIDAB’s contractual arrangements for project delivery was strengthened considerably to provide for more effective interaction between contractors and AIDAB. Enhanced internal controls resulted generally from audit reviews and enabled greater efficiency and transparency in AIDAB’s administration of funds. A formal half-yearly follow-up routine of approved audit recommendations played its part in encouraging improved internal controls.

Coupled with this, staff of AIDAB’s Audit and Risk Management Section delivered training for certifying officers, induction modules on audit and ethics and continued to assist in skills transfer in the areas of financial and project management for operational staff. The last of these was reflected in the development of revised purchasing review guidelines for the bureau and the administration of NGO grants.

Audits completed or undertaken during the year included SAGRIC International, ANUTECH, ACIL Australia, the International Development Program of Australian Universities and Colleges, the Eastern Universities Project in Indonesia, the ASEAN Biotechnology Project, the Bangkok post, a Jakarta post follow-up, an AIDAB Centre for Pacific Development and Training follow-up, an extended review of the Royal Papua New Guinea Constabulary Project Phase 1, the Solomon Islands Secondary Education Project (architectural services), and AIDAB’s financial systems.

There was continued cooperation with the Attorney-General’s Department on a range of legal matters leading, among other things, to improved contract documentation based on the concept of shared risk.

The approach taken to audit activities consolidated earlier directions to give priority to advice and prevention through review of activities in their formative stages. The audit strategic planning process was undertaken with a view to further development of ‘pre-emptive’ auditing initiatives.

Fraud control

AIDAB’s third fraud prevention plan was prepared during the year through the work of the Fraud Prevention Advisory Group. The emphasis in the revised plan is on risk assessment and management training in the area of fraud by operational areas and IT systems.

The fraud risk assessment underpinning production of the third plan was based on a review of implementation action completed on the basis of the previous plan, together with an examination of new systems, functions and procedural developments.

Arrangements for the referral of suspected fraud cases to the AFP and the DPP were formalised and made known to all staff.

Information technology

The Information Technology (IT) Strategies Committee was appointed by the Executive in 1993 to oversee the implementation of AIDAB’s Corporate Information Technology Strategic Plan (CITSP) 1993-95. The committee comprises representatives from each AIDAB division and advisers from DFAT and from the IT industry.

The first of the steps outlined in the strategic plan began in 1992-93 and included conversions to the Windows environment to improve office automation. Installation of local area networks and connection to AIDAB’s wide area network proceeded in regional offices in the ACT and Victoria and ACPAC. Local area networks and electronic mail links to AIDAB were installed in overseas posts in Jakarta, Kuala Lumpur, Suva and Honiara. The latter two were installed as a joint exercise with DFAT at a significant saving and serve as a useful model for sharing resources in other posts. A plan for upgrading the office automation software in all posts and for connecting posts via e-mail will be developed in 1994-95.

The CITSP identified the need to replace AIDAB’s aging Wang mini-computers, and to manage corporate data more effectively on a single computer platform. A new database was purchased and an applications development environment was selected in 1993-94. Hardware to run the database will be selected and installed early in 1994-95. A program of replacing Wang personal computers continued in 1993-94. AIDAB is seeking funds for other Wang replacements through the mechanism of an asset replacement program.

A batch of information technology related purchases during the period November 1993 to February 1994 were published in the Commonwealth Gazette outside the prescribed three month notification limit. The delay was caused by an administrative oversight. The reports are now submitted to AGPS on a monthly basis.

A major initiative began to computerise and link all aspects of AIDAB’s project and contracts management, related financial processing and reporting for sectoral and statistical needs. Work on the new activity management system is being supervised by an activity management committee.

Ministerial and parliamentary services

AIDAB prepared 646 ministerial submissions and drafted replies to more than 2044 pieces of ministerial correspondence. AIDAB also prepared numerous briefings and speaking notes for Ministers and parliamentarians, briefs for possible parliamentary questions, responses to questions on notice and submissions to parliamentary inquiries.

Review of contracts function

A comprehensive review and documentation of AIDAB’s purchasing procedures, practices and systems was completed during 1993-94. As a result of the review, significant changes to AIDAB’s selection process for consultancy services will take effect from 1 July 1994. The changes include a new formula for taking price into account in the selection process based on a 70 per cent weighting for technical merit and 30 per cent for price, new selection criteria which better reflect AIDAB’s requirements and increase the potential for new firms to access AIDAB consultancy contracts, a streamlined selection process and a new contractor performance assessment process. The changes seek to promote international best practice, to open aid consultancy contracts to more Australian firms and to encourage them to include younger professionals.

The eligibility criteria will also be widened so that all identifiably Australian firms are now eligible to bid for AIDAB consultancy contracts. Previously, Australian firms which did not have a beneficial domestic shareholding of 51 per cent or more were not eligible to bid for AIDAB consultancy contracts in their own right. The new eligibility criteria further reinforce the Australian character of the aid program by requiring that the majority of staff who will perform the services, including the team leader, must be Australian (or New Zealand) citizens or permanent residents.