bruce thompson elizabeth white – vice...
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Bruce ThompsonBachelor in Economics, Fellow of the Society for Chartered Practising Accountants, Fellow of the Australian Institute of Company Directors (FAICD), Graduate of the Wharton and Melbourne Business Schools Advanced Management Programs
Bruce is a director of SMS Management and Technology Limited and former Chairman and Managing Director of Hewlett Packard Australia and New Zealand where he worked for 32 years in Australia and overseas, until his retirement in August 2000. He retired as Chairman of Innovonics Ltd in January 2005 and as Managing Director and CEO of Keycorp Limited in June 2006. Bruce served as Trustee of the Melbourne Cricket Ground Trust from 1998 to 2007 and has been on a number of boards and industry associations, including the Business Council of Australia from 1995 to 2000. Bruce is a graduate of Monash University with a Bachelor of Economics degree, a Fellow of the Australian Society of Certified Practising Accountants, a Fellow of the Australian Institute of Company Directors and a Graduate of the Wharton and Melbourne Business Schools Advanced Management Programs.
Glen WalkerWorking in a variety of senior management roles in the automotive industry in a career spanning 20 years, Glen is currently General Manager, Manufacturing, MaxiTRANS Industries, a large Australian Public company and the largest manufacturer and supplier of training equipment to the transport industry. Glen has detailed industry knowledge and links, particularly in the advanced manufacturing industry, an important industry sector for the Institute. In his work roles he has employed hundreds of graduates, trades-people and semi-skilled labourers and as such is aware of how the Institute can help prepare its graduates for such employment. Glen has a broad network of contacts in a variety of spheres and governance experience from a number of advisory boards and committees. Prior to joining the Board, Glen served on the Board’s Audit Committee as an independent member co-opted by the Board.
Genevieve WebbBachelor of Arts (Hons) in Psychology, Bachelor of Applied Science in Computing, Fellow of the Australian Institute of Company Directors.
An Executive at the City of Melbourne, Genevieve has extensive experience in management consulting and information technology, having worked across the public, private and community sectors both within Australia and overseas. Genevieve serves on the Audit Committee of a State Government office and on the Board of a transitional housing organisation. Genevieve resigned from her position as Board member for Box Hill Institute during 2007.
Elizabeth White – Vice PresidentBachelor of Arts, Masters in Education
Elizabeth is the Chief Executive of the Victorian Canine Association (VCA), which is the peak body for owners of pure-breed dogs. VCA manages the pedigree register and promotes responsible dog ownership within the community. Previously, Elizabeth held corporate positions within the association management sector and has a background in education administration.
Board TrainingAll Board members received a range of regular publications and updates from professional associations and other advisory bodies highlighting changes in legislation and best practice, such as bi-monthly Australian Institute of Company Directors (AICD) Boardroom Reports and Executive Summaries of leading management and leadership texts.
A number of Directors undertook additional professional development activities in a range of areas relevant to their role at the Institute, such as risk management. Several attended the Australian Institute of Company Directors Conference and various professional development sessions.
Directors of Box Hill Enterprises LtdThe names and relevant details of the Directors in office at the date of this report are:
John Maddock, (Managing Director)
Philip Belcher
Fergus Hudson
Christine Kilmartin
John Rasa
Bruce Thompson
Elizabeth White
Chris Lobb
Noelene Duff
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Executive Reports
28 executive reports
The Deputy Chief Executive Officer, Darrell Cain, was accountable for the achievement of the following objectives:
• Coordinating strategic industry initiatives, including industry training plans across the Institute
• Providing leadership and advice on corporate governance
• Ensuring that the Institute meets all Government obligations and that opportunities for Government funding are maximised
• Ensuring that the Institute complies with all significant statutory obligations deriving from relevant legislation and an ongoing process is in place to review compliance
• Achievement of Institute-wide commercial targets
• Ensuring the Institute meets the requirements of the Whistleblowers Protection Act
Key initiativesGovernment obligations and opportunities
The Institute achieved its Student Contact Hour (SCH) delivery requirements under the 2007 Performance Agreement with the Victorian Learning and Employment Skills Commission (now the Victorian Skills Commission).
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Under the Performance Agreement the Institute was required to deliver a minimum of 4,585,777 SCH and achieved actual delivery of 4,756,269 SCH, which represents 103.7% of target.
The contribution of individual teaching centres to the achievement of the Institute’s Performance Agreement targets is demonstrated in Chart 1, which depicts the percentage of the Institute’s 2007 Government Student Contact Hours delivered by each teaching centre.
Performance Summary
executive reports|performance summary
Darrell CainDeputy Chief Executive Officer
Chart 5: Percentage of 2007 Governmet Profile Belivery by Centre
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During the year, plans for the proposed Nursing Skills Centre of Excellence were developed in conjunction with our industry partners, the Epworth Group, Eastern Health and Deakin University. The Institute was successful in obtaining $4.5m funding from the State Government towards the establishment of this facility. The balance of the funding was sourced from Institute resources.
Work also continued on the plans for the Personal Services Industry Training Centre, in conjunction with our industry partner, Aveda. This project, to be housed in a new four storey building, along with the Nursing Skills Centre of Excellence, involves a total project cost of $17m. It is expected that work will commence on construction in early 2008.
Following the signing of the agreement between PaleoTechnology Australia and the Institute in 2006, work commenced in 2007 on the fit-out of the PaleoTechnology laboratories. In June 2007, the Minister for Skills and Workforce Development, the Honourable Jacinta Allan, formally opened the PaleoTechnology laboratories. The laboratory represents a first for the Australian TAFE system. It is the first partnership between a US based Petrochemical company and an Australian TAFE Institute involving applied research in a TAFE Institute. Under the agreement, students studying the Degree in Biotechnology and Innovation will, as part of their studies, be participating in research in conjunction with PaleoTechnology staff.
Strategic Industry InitiativesDuring 2007, work continued on the implementation of a number of industry training plans commissioned by the Institute. These included an update of the Institute’s Manufacturing Industry Training Plan, a refinement of the Biotechnology Training Plan and the production of a plan for the Health and Community Services Sector. In each case, the Plan was developed using external experts and industry input to ensure that the Plans met the needs of students and industry.
A major focus for the Institute in 2007 was the drafting of a new Strategic Plan covering the period 2008 to 2012. During the year, an evaluation was conducted of the current Strategic Plan and there was a program of research and consultation leading to the development of a new draft Plan. The consultation was comprehensive and involved staff, students, industry, government and community representatives. In addition, the Annual Planning Conference, involving the Institute’s Leadership and Management Team as well as the Board’s Planning Day, were devoted to the development of the new Strategic Plan. The new Plan was formally adopted by the Institute’s Board in November 2007.
During 2007, the Institute continued to establish strong relationships with industry. A number of proposals involving cooperation between the Institute and industry partners were developed and were the basis of submissions to government for funding.
executive reports|performance summary
Vocational Access & Edu
Mgt & Small Business
94.0%
101.7%
101.5%
102.0%
101.8%
100.4%
105.5%
101.2%
104.0%
102.8%
108.8%
101.7%
101.1%
108.8%
100.1%96.0% 98.0% 100.0% 102.0% 104.0% 106.0% 110.0%
Performing Arts
Media, Design & Art
Industry Educ & Training
Hospitality & Tourism
Health & Comm Services
Hair, Beauty & Floristry
Electrical & Refrigeration
Info & Comm Technology
Business Programs
Building & Furniture Studies
Automotive, Transport & Eng
Biotech & Animal Sciences
John ItalianoChief Information Officer / Deputy Director
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Senior Executive Director
The Chief Information Officer / Deputy Director, John Italiano, was accountable for the achievement of the following Institute objectives:
• Leading the development, implementation and ongoing evaluation of the Institute’s ICT Strategic Plan
• Developing, implementing, reviewing and evaluating of corporate wide information management systems
• Evaluating and developing of on-line delivery systems, including the commercial exploitation of those systems
• Ensuring the Institute has in place appropriate technology to support the delivery of highly efficient student and corporate services (e-commerce)
• Increasing commercial activities that contribute to profitable business outcomes for the Institute, with specific emphasis on the ICT industry
• Leveraging Box Hill Institute’s leadership role in ICT with government to attract additional funding to support infrastructure development and maintenance
Other responsibilities included providing strategic leadership within the Institute and state-wide leadership for the Curriculum Maintenance Manager role for the Engineering Industries cluster.
executive reports|senior executive director
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Key initiativesThe Institute maintained strong relationships with industry during 2007. Key relationships continued with Cisco Systems, Cisco Learning Institute, Panduit, Microsoft and Optus. Teaching Centres continued to provide training to small to medium enterprises, and corporations such as TABCORP and Telstra, as well as private individuals. In addition, the Institute developed strong relationships with Apple, Sony, and Channel 9.
The Institute was granted the right to convene and lead the Specialist Centre for ICT in October, 2006. The Centre was officially established during 2007 with key partners and a project manager appointed.
The continued relationship with Cisco Systems led to further contracts being signed by the Institute to deliver quality assurance services for the Cisco Academy Program across the Asia Pacific and also to continue to deliver “train the trainer” throughout the region.
Strategic partnerships with industryStrong relationships with companies such as Cisco, NHP, Sidchrome, Aveda, Panduit, Agilent and Optus and many others continued to contribute to the Institute’s growth in government and commercial fields. The Institute developed relationships with a range of new companies in different fields, such as Biotechnology and Nursing. Delivery in these areas will benefit from the improved infrastructure installed in 2007.
During 2007, the Institute signed two separate agreements with Apple – Australia to accredit trainers in the delivery of training for the film industry. Box Hill Institute was acknowledged as the first Apple Accredited Technical Training Centre in Australia.
The two key centres involved were Media, Design and Arts (MDA) and the Centre for Information and Communications Technology (ICT). The Institute trained eight staff and established two new Apple laboratories in ICT and one in MDA. The centres have commenced delivering a range of programs commercially with the Centre for ICT embedding Apple training within its recurrent programs. This is another first for an Australian TAFE.
High quality information systems infrastructureThe Institute implemented a new governance structure to approve, monitor and manage all information systems projects during 2007. The Information Systems Committee comprises of the owners of the major information systems (Human Resources, Finance, and Student Management) with the Chief Information Officer.
During this year, major work undertaken by the Institute included:
• Integration of the finance system to use reduced sign-on based user identity
• A major upgrade of the student management system automating fee calculations
• Integration of the student management system with timetabling software to provide students with timetables on confirmation of enrolment
• Implementation of the greening of the network server technology
The roll out of wireless access to the entire Institute network was completed, enabling teaching staff to access resources from anywhere in the Institute. This project assisted in the preparation for full student access to the network as well as to allow for guest login for corporate applications/visitors.
To assist international and national business, the Institute Board Room was upgraded to allow full internet-based videoconferencing.
During 2007, the Centre for Information Technology Services negotiated with Microsoft to implement the Live@Edu system for all eligible enrolled students at Box Hill Institute. Every student will have a Box Hill Institute e-mail address for life, should they decide to take advantage of this.
executive reports|senior executive director
Government
Jill BairdExecutive Director – Government
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The Executive Director – Government was responsible for:
• Increasing government commercial income and profitability within the Institute
• Ensuring centres had appropriate systems and processes in place, including implementation plans to deliver government initiatives and programs to ensure compliance with contract requirements
• Monitoring the International Extended Campus Unit to provide effective and consistent management of extended campuses
• Increasing extended campus business
• Undertaking the role of Country Manager for China
• Targeting appropriate sectors in the Chinese market and ensuring the Institute had the capacity and capability to sustain current activities and further grow revenues and profits
• Contributing to the ongoing strategic planning of the Institute, along with achieving budget targets in areas of responsibility
executive reports|government
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Key initiatives GOVERNMENTGreater Melbourne Employment and Training Services (GRAMETS)During 2007 Box Hill Institute’s GRAMETS consortium once again outperformed most providers Australia wide, performing around 10 percent above the national average and providing the highest number of New Enterprise Incentive Scheme (NEIS) places in Melbourne. It improved its rating from 3.5 stars to 4 stars and was commended at the most recent performance review by the Department of Workplace Relations. This expertise is reflected in the number of Institute’s small business clients who were finalists and winners of various business awards including the Whitehorse Excellence in Business Awards, the Australian Home Based Business Awards, My Business Magazine Business Awards and National NEIS Awards.
Australian Apprenticeships Centre (AAC)The Australian Apprenticeships Centre (AAC) received high acclaim for its performance in this second year of the current contract period. The Department of Employment, Science and Training’s audit resulted in the AAC achieving 99.4% against all quality performance indicators. This is an outstanding result from the team administering and marketing the Australian Apprenticeship program.
Business Enterprise Centre (BEC)In November 2007 Dr Craig Emerson (ALP), the then Shadow Minister for the Service Economy, Small Business and Independent Contractors, announced funding from 2008 to further the work of the Institute’s BEC which provides assistance at the local level to small businesses. It will allow the BEC to provide services to a greater number of small businesses.
Experienced Persons Licence Transition Program (EPLTP) GrantsThe EPLTP program is one of a number of Australian Government measures to minimize emissions of ozone depleting substances (ODS) and synthetic greenhouse gases (SGG). A uniform national system of licensing for technicians was introduced and temporary licence holders will need to upgrade to a full licence by December 2008. Box Hill Institute won two out of six national tenders for the Experienced Persons Licence Transition Program (EPLTP) in automotive air-conditioning, and in refrigeration and air conditioning. Each project was awarded Australia-wide coverage.
Melbourne Eastern Skills Store In July the Victorian Skills Stores initiative commenced. This program encourages Victorians to increase their existing skill levels and recognises participants’ existing skills. This is an excellent initiative between government and private providers with Box Hill Institute (lead agent) and MEGT (Australia) responsible for managing and administering the Melbourne Eastern Skills Store. It has developed a network of 23 public and private registered training organisations to deliver recognition of prior training service.
Language, Literature and Numeracy Programs (LLNP)Box Hill Institute continued to successfully attract funding for the Workplace English Language and Numeracy Program (WELL) and also completed its first full year of delivery for the Language, Literature and Numeracy Program. The LLNP attracted significantly more students than expected, delivering to 14 groups of 20 LLNP students, resulting in very successful outcomes.
Other Government ProjectsA number of other Government projects were secured through:
• Department of Workplace Relations
• Centrelink
• Department of Defence
• Department of Innovation, Industry and Regional Development
• Department of Education, Science and Training
• Department of Human Services
• Department of Primary Industries
• Department of Health and Ageing
• Australian Taxation Office
REGIONAL CHINA Box Hill Institute continued to expand its presence in China with extended campuses in seven major educational institutions, and agreements signed with eight other campuses. The student base in regional China grew by over 30 percent for 2007, from 600 to 800. The focus has been on teacher training, with several groups of teachers visiting from education organisations in Qingpu, Guangdong and Zhejiang.
executive reports|government
Enterprise Services
Maria AlibrandoExecutive Director - Enterprise Services
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During 2007, Executive Director, Enterprise Services, Maria Alibrando was accountable for the achievement of the following Institute objectives:
• Leading and managing the delivery of a wide range of educational products and services for enterprises and industry
• Leading the growth and development of industry sales to meet Institute targets
• Developing an Institute wide framework for the enhancement of relationships with new and existing key enterprises that are mutually beneficial
• Leading the development, implementation and monitoring of the annual Marketing and Enterprise Services Plan
executive reports|enterprise services
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Key initiativesEnterprise Services was a new service centre created in 2006 to provide a total training solution for enterprises.
The service centre is responsible for the development and introduction of enterprise based training and value added services that targeted the Eastern corridor of Melbourne, plus state and nationally based enterprises.
Enterprise Plan DevelopmentData collection and analysis on purchasing behaviour from Box Hill Institute customers was undertaken, along with market research to determine market requirements and business objectives for the next five year planning cycle. This resulted in establishing an enterprise based marketing plan to commence in 2008.
Enterprise Services to Centres of ExcellenceAn Enterprise Community of Practice was developed. Targeted and generic offers of services for all Centres of Excellence were implemented, with a specific targeted approach for two major Centres of Excellence. Assistance included facilitation and workshops, direct selling, and enterprise visits, account management, mentoring, cold calling to potential customers, and development of business proposals.
Sales, client visits, and development of business proposals, aiming to increase centre awareness and to provide support for account management, have occurred across the year.
Business DevelopmentThe Executive Director led a successful tender team for a major contract with the Defence Force.
This important agreement will further enhance Box Hill Institute’s standing as a major player in the delivery of information and communications technology. The Institute will be prime provider of industry-based Communication Information Systems Technology Education and Training (CISTET) for the Defence Force School of Signals (DFSS).
Other activities included:
• Writing and winning the response to the RFT for the Transport Accident Commission contract and leading implementation
• As the lead agent, writing and winning with MEGT, the Skills Store contract
• Writing a successful application for the Australian Skills Voucher program
• Securing a major training support contract by providing tendering, project management, intellectual property, curriculum, curriculum mapping, and costing expertise through a complex three phased tendering process
NetworkingThe Executive Director was appointed:
• The Vice Chair of the Whitehorse Business Group
• A Board Member on the Whitehorse Community Health Centre
Across the year, general networking, event attendance and sales management occurred within the Eastern suburbs of Melbourne.
executive reports|enterprise services
International
Noel LyonsExecutive Director - International
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During 2007, the Executive Director International, Noel Lyons, was accountable for the achievement of the following Institute objectives:
• Managing International business development, sales and profitability of the Institute and ensuring financial budgets were met as per the annual international business development plan
• Ensuring the continual growth and financial viability of the Institute’s international operations in targeted international markets
• Managing business growth through implementation of key marketing strategies and the consolidation and expansion of business relationships with Australian enterprises that have the potential for leverage into international markets
• Systematically expanding the Institute’s delivery capacity for international activities
• Ensuring that the contractual arrangements entered into by the Institute were competent and could be delivered in a timely manner and at a competitive cost
• Managing the overall activities for Box Hill Enterprises operations as Chief Operating Officer, ensuring growth and profitability of the company’s business activities
executive reports|international
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Key InitiativesINTERNATIONAL BUSINESS DEVELOPMENTIncreased growth was experienced during 2007 as Box Hill Institute established its reputation as a key player in the international development and commercial segments of the international project market. Major projects were completed during the year and will continue in the coming years, allowing Box Hill Institute to deliver growth and enhance our relationships with key market segments and clients. Some examples include:
Venetian Macau Resort HotelLocated on the Cotai Strip, The Venetian Macau includes a 3,000 suite hotel and the world’s largest casino. Box Hill Institute was awarded a large contract to deliver training programs to approximately 2,300 team members prior to opening in August 2007. The project involved the customisation of learning resources, delivering training programs in the areas of front office, housekeeping, food and beverage, stewarding, Train the Trainer and leadership development, on-the-job training support and planning and coordinating a major seven day simulation exercise.
Singapore Workforce Development AgencyDuring 2007, Box Hill Institute completed the development of the Process Industry Training Framework. This project, which involved extensive industry consultation utilising approximately ten consultants, developed over 660 competency standards, a qualifications framework and a new training methodology for Singapore’s petrochemicals, chemicals, engineering services, pharmaceuticals and environmental technology industries.
Australia Pacific Technical College (APTC)Box Hill Institute designed two feasibility studies for the establishment of the Australia Pacific Technical College (APTC). The first was for the design of the Headquarters and Country Offices. The new APTC will operate across four different countries (Fiji, PNG, Samoa and Vanuatu) and offer Australian qualifications through five different schools. Following the Pacific Islands Forum in October 2006, AusAID commissioned Box Hill Institute to conduct a design feasibility study defining the formal structure of the College Headquarters and Country Offices and the administrative framework under which they will operate.
The second feasibility study was for the design of the Hospitality and Tourism School. The study recommended establishing campuses located in Fiji, Samoa and Vanuatu. Box Hill Institute has now been contracted by AusAID for the implementation of the project for a period of four years (2007 – 2011), including delivery of more than 1360 graduates from the Pacific Islands with qualifications in Hospitality, Tourism and Hairdressing. The project is valued at over $27 million. Project activities include construction and procurement in Fiji, Samoa and Vanuatu; student marketing, recruitment and management; industry liaison and course development and delivery. Initial intake of students occurred on schedule by July 2007 in Vanuatu in the field of Commercial Cookery.
In July 2007, Box Hill Institute was appointed by AusAID to develop a new design for the APTC School of Health and Community Services (SHCS). The design was completed and submitted to AusAID at the end of November. Programs in the design which are planned for delivery in the second half of 2008 include Children’s Services and Community Welfare.
TRANSNATIONAL CAMPUSESGrowth in 2007 saw the commencement of classes in some of our transnational campuses that have been in planning and development for a number of years. The Institute enrolled a significant number of students in extended campuses in 2007, an increase of 40% over 2006. New campuses coming on stream in 2006 included:
Hong Lam Vocational College, VietnamThis school in Ho Chi Minh City in Vietnam came on line in late 2007, offering automotive and electrical qualifications. Already, it has nearly 200 enrolments and very impressive facilities.
Box Hill College, KuwaitBox Hill College, Kuwait opened its doors for business in October with an initial intake of 50 students, predicted to grow to over 1,000 in the next two to three years. Box Hill College, Kuwait will offer graphic design, fashion, business and information technology diplomas to an all female cohort in state of the art buildings.
Arts and Skills Institute, RiyadhArts and Skills took its first intake in September in another Box Hill Institute extended campus women’s college in the Middle East.
INTERNATIONAL RECOGNITIONBox Hill Institute was named the winner in two categories of the AustCham Australia-China Business Awards for 2007. “Business Excellence – Large” and “The Sustainable Development” Award. These are major industry awards and the competition was very strong in both categories.
This Award complements our recent success in winning the Victorian Government Export Award for Education in 2006 and 2007, and the Australian Government Export Award for Education in 2006.
FINANCIAL PERFORMANCEBox Hill Institute and Box Hill Enterprises continued to build its existing international market and in 2007, again delivered significant growth in revenue and activities across all international platform areas.
executive reports|international
Delia McIverExecutive Director - Organisational Development
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Organisational Development
The Executive Director - Organisation Development, Delia McIver, is accountable for the achievement of the following Institute objectives:
• Creating a culture within Box Hill Institute that values learning and places a high priority on providing learning opportunities for staff
• Ensuring human resource needs are identified and related plans developed to support the Institute’s strategic, educational and business directions
• Fostering positive working relationships between the Institute, staff and unions
• Ensuring availability of a comprehensive range of services to the management and staff of the Institute, consistent with Institute policies and legislative requirements
Key achievementsOrganisation Development Strategy • A People Management philosophy, an Organisation Development Service Charter and Centre People Management Plans were implemented and are in the process of being evaluated
• A Leadership Capability Framework was developed and a Leadership and Management Plan comprising three programs was developed
• People Management Plans aimed at enhancing support and developing staff in identified Centres were implemented
• Strategies to address key issues identified in the Staff Satisfaction Survey were implemented
• The Organisation Development Advisory Group was implemented and provided employees with an opportunity to provide views and ideas on the leadership and management of people at the Institute
executive reports|organisational development
• Implementation of agreed monthly, six monthly and annual reporting program for the Executive Management Team and regular reports on people management indicators were implemented
• A review of organisation wide communication and change management processes that facilitate consultation and communication with staff and Unions was conducted
Reward and Recognition • Management of the Staff Achievement and Recognition Program (SARP), including a critical review and evaluation of the revised program was completed. Feedback received from staff has been positive. The overall reward structure was changed and the ‘Top Performing Centre Award’ was successfully added to the list of awards
Policies and Procedures • During 2007 ten new and existing policies and procedures were drafted and released for consultation. Of these five were implemented, with the remainder expected to be released early in 2008
• Three Institute guidelines were drafted and released for consultation, one of which was implemented in 2007 with the others scheduled for early 2008
• Police checks were carried out for all new staff
• Working with Children checks were implemented for staff teaching in the Victorian Certificate of Applied Learning (VCAL)
People Development • A strategic Staff Development Plan for the period 2008 to 2012 was developed
• A second Leadership in Action program for frontline management staff commenced in 2007
• Study support funding was provided to staff completing approved programs relevant to their role in the Institute and leading towards a qualification
• Staff Development funds provided by the Office of Training and Tertiary Education (OTTE) were distributed to all Centres. These funds were utilised for activities such as Centre planning/curriculum days and providing strategic staff development programs for staff
• Teaching staff were provided with periods of industrial release to update their currency in relation to industry skills and knowledge jointly by TAFE Development Centre and the Institute
• An across Institute plan to review and update staff qualifications was commenced
• Compliance training programs for the Management team and for staff were conducted to support the implementation of key policies and procedures
• A second in-house staff mentoring program was conducted to support the implementation of key policies and procedures
• Improvements were made to the Online Induction Program and manager induction program
Enterprise Bargaining/Employee Relations • Regular meetings of Institute consultative committees for teaching and PACCT staff continued and provided a forum to discuss issues arising from the enterprise agreements and employment issues while meetings of Agreement Implementation Committees for Maintenance Employees, and for Miscellaneous Employees (Cleaners) also commenced
• The Salary Packaging policy was updated
• Superannuation information sessions were also conducted
• Following an extensive audit, a strategy was developed to reduce leave liabilities
• Negotiation and implementation of Box Hill Enterprises Collective Agreement was completed
Workplace Support • A suite of behavioural policies, (Equal Employment Opportunity and Discrimination, Grievance, Harassment, and Victimisation) were developed and submitted for consultation
• ‘Beyond Blue’ depression awareness sessions were held as part of an enhanced staff support scheme
• A Workplace Behaviour program was conducted based on the Institute’s policies and the law
40 executive reports|organisational development
41
People and Performance Management • Individual Work and Individual Development Plans were prepared for PACCT employees in accordance with the 2005-2008 Collective Agreement
• A review of the management of personal leave (sick and carers leave) at the Institute was undertaken
• Teacher accountabilities and annual planner were implemented and evaluated
• Focus Groups were created to address areas of concern identified in the 2005 Staff Satisfaction Survey, culminating in the submission of an Institute-wide action plan
Business Process Improvement • Enhancements continue to be made to SEIK (the online Self-Service Employee Information Kiosk), including new reports, on-line timesheets and expense claims for a 2008 rollout
• Travel and International employment processes were reviewed and a travel kit produced
Records Management • The Institute was compliant under various Legislation for record keeping of a range of employee information
WorkCover • The Institute achieved a performance rating by the Victorian WorkCover Authority which was better than the industry standard (Technical and Further Education) by almost 12 percent for the past 3 years to the end of the 2006/2007 financial year. This impacted positively on the premium through those years
Recruitment Activity • An updated Recruitment and Selection policy was drafted, consulted upon, and implemented across the Institute
• There were 263 positions advertised in 2007, comprising 116 PACCT positions, 136 teaching positions (including 37 expressions of interest for sessional teachers), 10 Centre/Executive Manager positions (including 2 acting Centre Manager and 1 Executive Manager positions), and 1 Executive Director position
• The following is a summary of the Executive Director/ General Manager and Centre Manager/Executive Manager appointments that were made or commenced in 2007: o Executive Director Corporate Marketing – Tania Crosbie (resigned 27 July 2007)
o Executive Manager Workplace Relations – Bernie Parsons
o Executive Manager Employee Relations – Gillian Shedden
o Executive Manager, People Development and Support – Chris Heazlewood
o Executive Manager Marketing and Customer Service – Rosalie Staggard
o Executive Manager Projects - Enterprise Services – Kylie Dillon
o Executive Manager Academic Planning & Research – Stephen O’Sullivan
o Registrar – Caroline Luscombe
o Executive Manager International Business Development – James Stafford
o Executive Manager Compliance Research and Audit – Stephanie Tomasetti
o Acting Centre Manager Media Design & Arts – Jamie Iversen
o Acting Centre Manager Performing Arts – Jenny Hillman
o Executive Manager International Business Development – Colin Abbott
executive reports|organisational development
42
Workforce Data
TEACHING STAFFEmployment Status Full Time Part Time Total EFTOn-Going Female 78 65 143 122On-Going Male 142 15 157 150Fixed Term Female 30 42 72 57.5Fixed Term Male 43 14 57 52.3Sessional Female 0 204 204 48Sessional Male 0 229 229 61.8SUB-TOTAL Female 108 311 419 227.5SUB-TOTAL Male 185 258 443 264.1 293 569 862 491.6
GENERAL STAFFEmployment Status Full Time Part Time Total EFTExecutive Officers Female 6 1 7 7Executive Officers Male 8 0 8 8Management Female 15 1 16 15.6Management Male 23 1 24 23.6PACCT On-Going Female 131 55 186 162.6PACCT On-Going Male 48 4 52 50.4PACCT Fixed Term Female 29 24 53 43.1PACCT Fixed Term Male 19 6 25 23.1PACCT Casual Female 0 21 21 7.8PACCT Casual Male 0 12 12 4.5Other Staff On-Going Female 1 1 2 1.5Other Staff On-Going Male 28 4 32 29.7Other Staff Fixed Term Female 1 2 3 2Other Staff Fixed Term Male 0 0 0 0Other Staff Casual Female 0 34 34 7.5Other Staff Casual Male 0 30 30 13SUB-TOTAL Female 183 139 322 247.1SUB-TOTAL Male 126 57 183 152.3TOTAL Female 291 450 741 474.6TOTAL Male 311 315 626 416.4
GRAND TOTAL 602 765 1367 891
executive reports|organisational development
43executive reports|chief finance officer
Joanne JamesChief Finance Officer
Chief Finance Officer
The Chief Finance Officer, Joanne James, was accountable for the achievement of the following Institute objectives:
• Ensuring that the Institute’s annual operating and capital expenditure budgets and financial plans reflected the Institute’s strategic and management plan objectives and that resources were allocated to enable achievement of these objectives
• Ensuring that revenue, expenditure and surplus targets were achieved, liquidity ratios and investment balances were maintained at financially prudent levels and that the Institute’s investment in assets was maximised
• Ensuring compliance with all relevant financial management and other financial statutory requirements for Box Hill Institute of TAFE and Box Hill Enterprises Limited within an appropriate internal control, risk management and audit framework and as required by the Victorian Auditor General and the Board’s Audit Committee
• Ensuring that the Institute’s commercial contracts, development processes, policies and procedures were in accordance with sound commercial principles and that a robust framework was in place for the management and monitoring of profitable trading arrangements
• Enabling the Institute to capitalise on the efficiencies to be obtained from eBusiness infrastructure and processes
• Ensuring that the Institute had an appropriate Risk Management Framework to manage key risk areas and that there were processes in place to ensure continuous improvement, monitoring and review of the Institute’s Risk Management policies and procedures
44
2007 Financial ResultsFor the year ending 31st December 2007, the Institute and its controlled entity, Box Hill Enterprises Limited, recorded a consolidated net operating result before capital grants and specific items2 of $10.412 million, (2006: $14.663 million). The 2006 net operating result included an abnormal gain recorded on disposal of a non core Institute campus. This gain was subsequently reinvested in further refurbishment and expansion of buildings located on the Institute’s main Elgar campus.
Allowing for the abnormal gain during 2006, the Institute’s 2007 net operating result reflects continuing strong surpluses for the Institute from its commercial operations and represents a significant favourable result over the original 2007 budget targets and key financial performance indicators approved by the Institute’s Board.
The sound financial performance for 2007 was due to a number of factors, including significant growth in revenue from
• Government fee for service operations, with further expansions of the Institute’s Migrant Language and Literacy Programs and New Apprenticeship Centre programs
• International operations, comprising fee for service from international students studying in Australia and abroad, together with a number of offshore Vocational Education and Training projects
• Other fee for service operations, predominately relating to degree and associate degree delivery, with further expansions in the Institute’s Applied Music, Biotechnology, Commerce and Computer Networking degrees together with additional revenues generated from new degrees offered in 2007 in the areas of Hospitality and Management, and Fashion Design
2 Operating result before government contributions – capital, depreciation and operating expenditure from government contributions - capital.
Summary of Significant Changes in Financial Position during the YearAt 31st December 2007, current assets of $57.007 million represented an increase of 39.3% on total current assets recorded at 31st December 2006. The increase for 2007 compared to previous year is due to cash flows generated from the 2007 trading results, together with shortening maturity dates for financial assets previously held long term. This higher level of liquidity is considered prudent as the Institute has a number of major capital works programs scheduled but not yet contractually committed, for commencement during 2008.
The Institute’s land and buildings were revalued at 31st December 2007, by the Valuer – General Victoria. This revaluation has resulted in a significant downwards adjustment in building values with a corresponding impact on the Institute’s asset revaluation reserve. The Institute attributes the valuation decrement to the age and condition of a number of the Institute’s buildings, particularly on its Elgar and Whitehorse campuses.
Current liabilities for 2007 increased by 20.0 percent with non current liabilities relatively unchanged at 2.0 percent.
Current liabilities, comprising accrued expenses, revenue in advance and employee leave provisions (both current and long term), have increased as a result of:
• Salary adjustments arising during the year from the flow on effect of the 2007 component increases for EBA adjustments
• An increase in accrued expenditure relating to minor works projects completed at year end
• An increase in revenue in advance for programs and projects enrolled or contracted in 2007, but not due for delivery until 2008
The net effect of the above changes is an increase in the consolidated entity’s working capital, adjusted for current long term employee provisions, from 3.03:1 in 2006 to a ratio of 2.70:1 as at 31st December 2007.
executive reports|chief finance officer
45executive reports|chief finance officer
Five Year Consolidated Financial Summary
2 From 1st January 2007, the Institute revised its capitalisation threshold for assets to $5,000. In accordance with aplicable accounting standards, only prior period comparatives for 2006 have been restated2 From 1st January 2007, the Institute revised its capitalisation threshold for assets to $5,000. In accordance with aplicable accounting standards, only prior 2 From 1st January 2007, the Institute revised its capitalisation threshold for assets to $5,000. In accordance with aplicable accounting standards, only prior 2
YEAR ENDED 31st. DECEMBER 2007
$’000
2006
$’000
2005
$’000
2004
$’000
2003
$’000 SUMMARY OF OPERATING STATEMENT PERFORMANCE: REVENUE FROM CONTINUING OPERATIONSGovernment Contributions – Operating 56,987 53,413 51,154 46,835 46,123Fee for Service 32,844 22,698 17,345 16,431 16,302Other Operating Revenue 8,993 8,093 8,310 7,424 7,486Revenue from non-operating activities 4,514 10,135 2,893 3,393 2,360TOTAL REVENUE 103,338 94,339 79,702 74,083 72,271EXPENSES FROM CONTINUING OPERATIONS (94,457) (80,583) (74,565) (71,122) (67,567)
NET RESULT FROM CONTINUING OPERATIONS BEFORE CAPITAL AND SPECIFIC ITEMS.
8,881 13,756 5,137 2,961 4,704
Government Contributions – Capital 6,795 5,956 2,180 6,698 9,747Depreciation and Amortisation (4,149) (3,927) (5,276) (4,040) (4,390)Expenditure using government contributions –capital (1,115) (1,122) - 2 -2 -2
NET RESULT FROM CONTINUING OPERATIONS FOR THE PERIOD
10,412 14,663 2,041 5,619 10,061
46
YEAR ENDED 31st. DECEMBER 2007
$’000
2006
$’000
2005
$’000
2004
$’000
2003
$’000 SUMMARY OF OPERATING STATEMENT PERFORMANCE: Current Assets 57,007 40,902 22,531 31,225 26,200Non-Current Assets 131,081 153,504 156,090 129,587 114,834Total Assets 188,088 194,406 178,621 160,812 141,034Current Liabilities – Due Within 12 Months 18,775 15,143 12,305 11,275 10,218Current Liabilities – Due longer than 12 Months 8,731 7,769 6,915 7,590 6,931Non-current Liabilities 2,286 2,240 2,401 2,362 2,007
NET ASSETS 158,296 169,254 157,000 139,585 121,878Equity:Accumulated Surplus 43,910 33,498 17,553 18,212 10,756Reserves 87,262 108,632 112,323 94,249 83,998Contributed Capital 27,124 27,124 27,124 27,124 27,124
TOTAL EQUITY 158,296 169,254 157,000 139,585 121,878NET CASHFLOW FROM OPERATING ACTIVITIES – EXCLUDING GOVERNMENT CONTRIBUTIONS - CAPITAL
11,491 7,189 5,665 6,149 7,749
WORKING CAPITAL RATIO ADJUSTED FOR CURRENT LONG TERM LIABILITIES
3.03 2.70 1.83 2.77 2.56
The summarised financial information presented for the 2003 year is based on information that was prepared in accordance with Australian Generally Accepted Accounting Principles (A-GAAP) applying for the relevant year.
The 2004 to 2007 summarised financial information is based on information that has been prepared in accordance with the Australian equivalent of the International Financial Reporting Standards (A-IFRS).
executive reports|chief finance officer
Compulsory Student Services and Amenities FeeThe Institute levies a compulsory student services and amenities fee that is determined in accordance with the Ministerial Directions on Students Fees and Charges.
Statement DetailsTotal Student Services and Amenities Fees Collected for year ending 31st December 2007
$671,845
Purpose for which the services and amenities fees are applied The services and amenities fee is managed by the Institute’s Student Services and Support Centre.
The fee is fully applied to the provision of funding for student recreation, counselling and welfare and other non-academic support services.
The collection and disbursement of the services and amenities fees are fully managed by the Institute and are not paid to any student organisations.
47executive reports|chief finance officer
ConsultanciesDetails of consultancies engaged during 2007 are as follows:
Consultancies over $100,000
Consultants Number of Engagements
Total Fees Paid Particulars of Projects involved
Estimated Future Commitments
Solidity Pty Ltd 1 $478,779 Support, Development and Maintenance of QL-S Student System for the Statewide MIS Project
-
Ndevr Pty Ltd 1 $760,230 Support, Development and Maintenance of QL-S Student System for the Statewide MIS Project
-
NIIT Technology Pty Ltd 1 $375,213 Support, Development and Maintenance of QL-S Student System for the Statewide MIS Project
-
Lyons Architects Pty Ltd 1 $423,827 Architectural services related to the Institute’s Capital Works and Infrastructure Programs
$1,200,000
Consultancies under $100,000
Number of Engagements 56Total Fees Incurred $1,012,352
These engagements relate to various consultants primarily engaged for the provision of architectural, quantity surveyor and design services related to the Institute’s building works program, strategic initiatives in Biotechnology, IT and Nursing and various IT related consultancies.
Risk ManagementAs part of its annual Risk Management program and commitment to continuous improvement, the Institute undertakes an annual review of its Risk Management Policy and Risk Management Plan to ensure that the Institute’s risk management framework continues to appropriately support the Institute’s operations.
The Institute achieved a Self-Assessment Risk Framework Quality Review score of “Very Good” in relation to the Victorian Management Insurance Authority’s 2007 Risk Framework Quality Review Program.
The Institute utilises this program to assist with its assessment of performance in relation to risk management and to ensure that best practice guidelines are considered, and implemented as appropriate, in relation to its risk management practices.
Kerri FergusonGeneral Manager - Teaching and Apprenticeships
48
Teaching and Apprentices
During 2007 the General Manger Teaching and Apprentices, Kerri Ferguson, was accountable for the achievement of the following Institute objectives:
• Ensuring that teaching centres delivered programs to students in line with the Institute’s Strategic and Annual Management Plans, by ensuring the centres had appropriate systems in place
• Leading the process for development of annual centre business plans, ensuring that all Institute wide targets and KPIs within the General Manager’s areas of responsibility were achieved
• Coordinating apprenticeship and traineeship activities across the Institute
• Managing the day-to-day operations of the Directorate staff and convening Institute-wide activities as requested by the CEO
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49
Key initiativesEducation Program Management and DeliveryThe General Manager Teaching and Apprenticeships is the direct report for the Centres for Building and Furniture Studies; Electrical and Refrigeration Trades; Hair Beauty Floristry; and Performing Arts. Three of these centres delivered a significant proportion of the Institute’s apprenticeship activities and in 2007 exceeded their student contact hour targets.
The Centre for Building and Furniture Studies experienced significant growth and changes in delivery requirements due to the Victoria Crescent facility coming on line. The Centre delivered training from Pre-apprenticeship to Advanced Diploma. This Centre continued to attract high calibre students who showcased their talent by winning five Housing Industry Association Awards. The top award at the Cabinet Makers Association Awards was won by a Furnishings Apprentice while plumbing apprentices enjoyed success at the Master Plumbers Awards, including taking home the prestigious Gold medal as the State’s top apprentice.
The Centre for Electrical and Refrigeration Trades delivered in excess of targeted hours, due to strong demand for the apprenticeship programs. In 2007 the Centre Manager embarked on a fact finding tour to several overseas countries to gain an understanding of the requirements for the international skill recognition program. The Centre is currently working with Hong Lan College in Vietnam providing resources and technical expertise to establish an electrical and refrigeration training facility for apprentices.
The degrees offered through the Centre for Performing Arts enjoyed a highly successful year with record enrolments. The Centre also implemented the Music Industry Business Office, MiBO facility.
Staff in the Centre embraced opportunities to upgrade their professional qualifications by participating in professional development programs ranging from Certificates through to Masters degrees.
The Centre for Hair Beauty and Floristry relocated to Building 3 in preparation for the development of the new Personal Services Industry Training Centre. The Hairdressing Beauty Industry Association (HBIA), Level 1 Apprentice of the Year was won by Hairdressing student Jason Mitchell. Floristry students competed successfully at the Melbourne International Flower and Garden show, being awarded second and third prizes in the advanced floral competition. The Floristry Industry Apprentice of the Year was won by Jessica McGregor who will travel to Europe in 2008.
The official launch of the Aveda Day Spa was held in May and was well attended by industry representatives.
In September the Centre hosted four education staff from Aveda Corporation US to commence the professional development for all Box Hill staff to ensure they can be Aveda certified by 2008.
Directorate A variety of Institute wide activities and functions were coordinated through the Institute Directorate with the aim of improving internal communications and forging stronger relationships with business and the local community.
The Administration Officers Network met regularly during 2007 to hear an excellent program of speakers. The network offered all administrative staff mechanisms for sharing ideas and supporting each other.
The Staff Service Recognition function recognised staff who had achieved ten years of service at the Institute.
The Staff Achievement and Recognition Program Christmas function was attended by 525 with several staff recognised by their peers for their outstanding achievements and contribution to the Institute in 2007. Board President, John Rasa congratulated all staff for the outstanding achievements in 2007 at the Annual Board Dinner, attended by 100 guests.
The Sapphire Connection Dinner, an annual event, enabled past staff members to remain connected to the Institute and keep abreast of the Institute growth and development.
The Post Secondary International Network (PIN) was hosted by Box Hill Institute in July 2007. Twenty seven international delegates from seven countries attended. The conference theme for 2007 was “Education 2020” and was structured so that delegates were able to present their views as well as listening and considering the views of industry leaders. Guest speakers were selected to highlight the impact, characteristics and areas of changes within their respective industries.
executive reports|teaching and apprentices
Rob McAllisterGeneral Manager - Teaching, Innovation, and Degrees
50
Teaching, Innovation and Degrees
During 2007 the General Manager Teaching, Innovation and Degrees, Rob McAllister, was accountable for the achievement of the following Institute objectives:
•ActingasadirectreporttothemanagersfortheCentresforBusinessPrograms;ComputerTechnology;InformationSciences; InformationTechnologyServices;MediaDesignandArts;andAutomotiveTransportandEngineering
•EnsuringtheCentresdeliveredprogramstostudentsinlinewiththeInstitute’sStrategicandAnnualManagement Plansbyensuringthecentreshadappropriatesystemsinplace
•LeadingtheprocessofdevelopmentofannualcentrebusinessplansandensuringthatallInstitutewidetargets andKPIswithintheGeneralManager’sareasofresponsibilitywereachieved
•Promotingtheincreaseduseofe-learningandflexibledeliveryinteachingcentresacrosstheInstituteandincreasingthe commercialviabilityofthecentre
•LeadingthegrowthofacultureofinnovationintheInstitute,identifyingandsponsoringinnovativeprojects,andensuringthatskills increativityanddesignwereembeddedinalloftheInstitute’slearningprograms
•Workingwithcentresontheimplementationofdegreeprograms
executive reports|teaching, innovation and degrees