Centrelink Annual Report 1998-99
Introducing Centrelink
Our Strategic Framework
As a developing organisation, a key priority for Centrelink has been to drive change by implementing a
Strategic Framework that encompasses a vision for the future, sets goals, promotes shared behaviours
and enables future planning.
The Strategic Framework is reviewed annually in consultation with key stakeholders to ensure it
continues to provide a powerful basis for Centrelink’s operations and future development. In 1998–99,
Centrelink’s Strategic Framework 1997–2002 was updated and released as Our Business, Our Future—
Centrelink Strategic Framework 1998–2003. This document was developed after consultation with client
departments and agencies, some stakeholders from the community sector and Centrelink staff, thereby
enabling us to build on the achievements of Centrelink’s first year of operation.
The first part of the Framework, Our Business reinforces and develops the framework and concepts on
which Centrelink was founded to be first choice of Government; the premier broker and service provider
for our customers. It defines our vision, mission and goals, and the underlying philosophies and activities
necessary to achieve them.
The second part of the Framework, Our Future concentrates on Centrelink's business outcomes, linking
the goals to performance indicators and their associated practical strategies, actions and timeframes.
The Strategic Framework maps the strategies to be put in place over the next five years in order to
achieve the Government’s aims when it established Centrelink as the ‘one stop shops’ for service
delivery to the Australian community.
The Framework is the key element in engaging Centrelink's people in a common purpose and approach
while taking the organisation into the new millennium. It is maintained at the local level by Customer
Service Improvement Plans which outline how each Centrelink team will improve service delivery and
contribute to achieving Centrelink's goals and realising our vision.
Our Vision
Making a difference to the Australian community through responsive, high quality government services
and opportunities, and giving value for money.
Our Mission
Building a stronger community through:
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providing opportunities for individuals through transitional periods of their lives;
delivering innovative, cost effective and personalised services for individuals, their families and
community groups;
being an organisation committed to quality;
making the best use of available dollars;
listening to the community’s ideas for giving better service; and
building a quality relationship between customers and Centrelink.
Our Goals
To achieve the commitments to Government and client departments, customers and staff, Centrelink
has set six goals to be achieved progressively over the next five years:
Client Partnerships
To build partnerships with client departments that delivers the required results and provides value for
money.
Customer and Community
To increase customer and community involvement and satisfaction with services.
Centrelink People
To create an environment where Centrelink’s people will give value to customers, client departments
and the community through their skills and commitment to service.
Cost Reduction
To return an efficiency dividend to Government.
Innovation
To provide innovative and personalised solutions, consistent with Government policy.
Best Practice
To be first choice and benchmarked as the best practice in service delivery.
Our Quality First Policy
Linking the strategic with the operational is Centrelink’s Quality First Policy. The Quality First Policy is
simply a structured way of thinking about providing quality customer service.
Key elements include:
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ensuring that all our operations are customer driven;
strong leadership throughout the organisation;
team based working arrangements to optimise the involvement of our people;
an integrated customer service improvement planning and review cycle operating at all levels of
Centrelink and linked back to the Strategic Framework;
measuring performance using a strategic Balanced Scorecard approach; and
focusing on performance improvement and developing a culture that supports and fosters constant
learning and innovation within the organisation at all levels.
Our Shared Behaviours
They are:
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listening to customers and the community;
solving problems and developing opportunities;
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mutual respect for customers and for each other;
exploring and putting in place innovative and cost effective ways to provide the right outcome; and
behaving with integrity and in an ethical manner.
Our Business Outcomes
The Strategic Framework leads to a series of business outcomes for Centrelink, which are to:
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be first choice of Government for the provision of government services;
meet Government expectations of performance;
achieve outstanding customer service across all service centres;
achieve commitment to, and active promotion of, Centrelink and its services by its people;
achieve pre-eminent technologies which enable customer access and support decision making and
knowledge management;
establish Centrelink as the model for service delivery excellence in Australia; and
achieve recognition within Australia by strengthening local communities.
Our Client Business Partnerships
As of 30 June 1999 Centrelink had business partnership agreements with:
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Department of Family and Community Services;
Department of Employment, Workplace Relations and Small Business;
Department of Education, Training and Youth Affairs;
Department of Transport and Regional Services;
Department of Health and Aged Care;
Department of Agriculture, Fisheries and Forestry;
Department of Communications, Information Technology and the Arts;
Department of Veterans’ Affairs;
Tasmanian State Government; and
all State and Territory Housing Authorities.
Note: Following the October 1998 Federal Election, Administrative Arrangements Orders were changed
with a number of department names changing and various transfers of functions.
Our Business
Table 1: Our Business
OUR BASE
Functions
Income support, other payments and referral
services
OUR DIMENSIONS
Number of sites
421 sites Australia wide*
Number of staff
22 641†
Number of client agencies
9 key agencies
Payments on behalf of client agencies
more than $45 billion per annum
Online transactions
more than 2.5 billion per annum
OUR CUSTOMERS
Number of customers
6.1 million
Number of individual entitlements
9.2 million
Letters to customers
more than 84 million per annum
Home visit reviews
116 000 per annum
Booked office appointments
more than 6.5 million per annum
New claims lodged
3.6 million per annum
Newstart and Youth Allowance continuations
19.2 million lodged personally
3 million lodged by mail per annum
Telephone calls answered
more than 19.9 million per annum
Internet web site hits
28.9 million per annum
Notes:
*Includes non-customer service delivery sites.
*Includes paid and unpaid permanent and temporary staff.
Access to Centrelink Services
Customers can now access Centrelink services in a variety of ways, which include:
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in person (visiting a Customer Service Centre, Specialist Service Centre, or a Centrelink agent);
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over the phone (including Telstra multi-media pay phones);
electronically (on the Internet and using one of Telstra’s multi-media pay phones); and
by mail.
THE YEAR IN REVIEW
Report of the Chairman and the Chief Executive Officer
Centrelink's first Annual Report in 1998 recorded the story of the creation of Centrelink which was
formed by the Government to provide exceptional service to the community by linking Australian
government services and to achieve best practice in service delivery. In that report we told of the
initiatives taken to launch and develop the organisation towards those lofty objectives.
The past year has seen the consolidation of those founding initiatives as well as the development of
better and more cost effective ways to deliver government services. Centrelink is rapidly transforming
into a customer focused, outcome oriented and cost conscious organisation.
To achieve our commitments to Government, client departments, customers, our staff and the
community, Centrelink has set itself five goals in the areas of client relationships, customer and
community satisfaction, Centrelink people management, cost reduction and innovation. We have also
developed and implemented key performance indicators which measure our performance against
targets in each of these areas’ our Balanced Scorecard. This year's Annual Report gives an account of
our achievements against those five goals.
In summary, the organisation has, on average, achieved results consistently above target with one
important exception, Centrelink people management. Our goal to create an environment where people in
Centrelink are highly committed to its aspirations and objectives is an area where we have fallen short of
our target. This is not unexpected in a new organisation undergoing significant transformational change.
However, it is not an acceptable outcome and the Board and Management have put in place a number
of initiatives during the past twelve months to address this area of underperformance. These are
described in the body of this report.
Performance targets set in Business Partnership Agreements with client agencies were, for the most
part exceeded.
An efficiency dividend of $96.1 million has been returned to Government. The $96.1 million incorporates
a four per cent reduction in fees paid by client agencies, a standard efficiency dividend of one per cent of
total net operating costs and an Information Technology special dividend of $5.9 million.
Our operating result is a significant improvement over our first year of operation with a surplus before
extraordinary and abnormal items of $20.4 million.
Financial stewardship is sound and again this year Centrelink's Annual Financial Statements have been
signed without qualification by the Auditor-General.
In October 1998 Centrelink announced a major restructuring of its operations with consequent staffing
reductions. While most of the restructuring was funded internally, it was necessary to borrow $31 million
for this purpose. It is intended that this loan will be repaid over the next two years.
Overall service standards have been improved and the staffing reduction targets have been met against
a background of industrial harmony ‘a harmony that was fostered through the successful signing of the
second Centrelink staff development agreement.
However, the year has not been without its difficulties. For a period at the beginning of the year our
service levels dipped below where we had targeted them to be.
The introduction of the Youth Allowance on 1 July 1998 and the implementation of the Job Network in
the latter part of 1997–98, together with the bedding-down of the Newstart Common Platform, a major
change to computing operations, put considerable pressures on Centrelink particularly its Call Centre
and Customer Service Centre networks. This was a difficult time for customers and staff alike and from
it, Centrelink learned some valuable lessons.
We recognised quickly that we needed to put in place strategies to improve the range and quality of
services we provide to customers and client agencies through the Call Centre network as well as in the
Customer Service Centres.
The changes made to Call Centre operations are now producing real gains. The number of busy signals
callers would receive before they were connected to an operator has dropped markedly. Waiting times
and speed of answer have also improved significantly and we are now operating consistently better than
target.
With the strong support and active participation of our people we embarked on a new approach to
customer service providing customers wherever possible with access to a single point of contact each
time they do business with a Centrelink office. As well as the obvious efficiencies that this can produce,
customers do not have to repeat their stories to several people and this style of service builds a more
personalised relationship between our people and their customers.
We know our customers do not like queues and we have become more competent at managing queues
with an emphasis on service by appointment and a focus on personalised ‘one to one’ contact for
customer service.
The productivity gains we made in the Call Centres over the past year and the improvements we
achieved in service to customers would not have been possible without a concerted effort to reduce
backlogs in our Customer Service Centres. We want to acknowledge the work of Centrelink managers
throughout the network in making certain their staff pared back outstanding work so that we were able to
approach our planned improvements with a clean slate.
The foregoing efficiencies have had a direct impact on the cost of delivering services. In addition, not
only do they demonstrate Centrelink’s flexibility and innovation, they also show we are well placed to
deliver a complex range of services that will change frequently in accordance with Government policy
initiatives.
The Next 12 Months and Beyond
When Centrelink was established we built in the philosophy of transition, that is, our responsibility was to
help people move through difficult times and, where possible, to reduce their dependency on
government based programs. This has been particularly important in our approach to jobseekers as we
began a proactive approach towards encouraging people to seek work rather than just to get a payment.
It has also been important outside the urban areas. In rural and regional Australia, where we have
already been able to increase our presence with the addition of extra agents and new offices, we will be
extending our operations to bring a wider coverage and innovation in our services to people living in
these areas. The Internet will play a key part in this.
In this year of consolidation we have also focused on planning for the next phase of Centrelink's
development the new service delivery model and its â life events' approach to customer needs.
One of the major benefits the Government saw in its creation of Centrelink was the development of a
‘one stop shop' so that the people of Australia could access a large range of services from one location.
Through the ‘life events' approach, Centrelink will be able to tailor a range of government services to
meet the particular needs of customers at a point of transition in their lives for example, leaving school,
having a child, becoming unemployed or retiring. This approach contrasts with the traditional model that
expects customers themselves to know about and apply for a range of assistance measures. It means
that Centrelink, rather than the customer, will sort out the complexities of government assistance
programs.
To introduce this new model successfully, we are making major advances in information technology
aspects of service delivery and this will require new and special skills to be developed by Centrelink's
network of Customer Service Officers, particularly their ability to use the technology.
Improving Centrelink's people management, last year our least satisfying Balanced Scorecard
performance indicator, will be a critical factor in our readiness to meet the demands of the new model. It
remains for the Board and Management one of our greatest challenges and it will be the target for
substantial effort at all levels throughout Centrelink during 1999–2000.
Conclusion
We want to thank members of the Board and our people for their contributions to Centrelink during
1998–99. In particular, we want to acknowledge the contribution of Mr Steve Sedgwick, Secretary,
Department of Education, Training and Youth Affairs, to the organisation from its very beginning until he
retired from the Board in March 1999.
Most of all, we want to particularly acknowledge the hard work of our people as they have coped with a
rapidly changing organisation and an array of new Government policy initiatives over the past twelve
months.
Centrelink will continue to make a difference to the people of Australia by delivering the Government’s
social policy agenda at increasing levels of service and cost effectiveness, which will more than meet the
Government’s original expectations of the organisation.
Robin Marrett
Chairman
Sue Vardon
Chief Executive Officer
Table 2: Centrelink’s Performance at a Glance
Our Key
Result Areas
and Goals
OUR CLIENT
PARTNERSHIP
S
OUR
CUSTOMERS
AND
COMMUNITY
OUR PEOPLE
OUR COST
EFFECTIVE
ORGANISATI
ON
OUR
INNOVATIVE
ORGANISATI
ON
To build
partnerships
with client To
increase
customer and
departments that
deliver the
community
involvement and
required results
and provide
value for money.
To increase
customer and
community
involvement
and
satisfaction
with services.
To create an
environment
where
To return an
efficiency
dividend
To provide
innovative and
our people will
give value to
personalised
to Government. solutions
consistent
customers,
client
departments
and
with
Government
policy.
the community
through their
skills
and
commitment to
service.
Our Results*
Note: *Our
People
results are
based on a
survey of
5000 staff
undertaken
in August
1998. All
other results
are a
combination
of
performance
measuremen
ts taken
throughout
the year.
Figure -2
Figure-3
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Figure-4
Figure-5
Figure-6
Our
Achievement
s
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Retained
100% of
existing
business
Exceeded
targets in
timeliness
and accuracy
performance
Achieved
14% above
the
benchmark
for social
security
compliance
reviews
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Delivered
Veterans’
Information
Service
Implemented
new
Commonwea
lth Seniors
Health Card
arrangement
s
Instituted
new Youth
Allowance
payment
system
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Delivered
new
assessment
process for
aged care
residents
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Introduced
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a new
service

delivery
model
embodying
‘life events’ 
and ‘one to
one’ service
• Instituted
a National

that
recognised
staff
through
Achieved
increased
customer
satisfaction
due to ‘one
to one’
service
Achieved
above
benchmark
for dealing
with
complaints
Completed
the
Payment
Cycles
Project
affecting
1.3m
customers
ready to be
introduced
1 July 1999
Established
over 100
new
servicing
arrangeme
nts in
collaboratio
n with local
agencies
Achieved
speedy exgratia
payment
response to
disasters
(floods, gas
plant
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Awards
Program as
well as
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a new
classificatio 
n structure
for a new
Centrelink
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Developme
nt
Agreement
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
feedback

and pay
advanceme
nt
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• Became a
Registered
Training

organisatio
n in June
1999
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• 69% of

staff voted
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• In the
August
1998
Opinion
Survey our
people
rated us
highly in
the areas
of work
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and family;
workplace
diversity
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and equity;
and job
satisfaction
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• Ranked
fourth out of
Australia’s
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100 leading
information
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technology
users
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$65m from
compliance
review
• Achieved
more than
2.5 billion
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and debt
recovery
activities
client
transaction
s online
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• Achieved
nearly 30m
• Achieved
national
contract
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Internet
web site
hits
manageme
nt savings
of
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• Increased
child care
services
over $14m

use of claim
lodgment
on disk
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• Finalised
Call Centre
initial

contact
automation
facilities
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•
Implemente
d
employmen
t

services
online claim
process
• Returned
the
prescribed
efficiency
dividends of
$96.1m
• Achieved
additional
savings of
• Achieved
savings
from
consolidatio
n of
mainframe
computer
operating
and

production
processing
staff
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• Improved
project
manageme
nt

structure
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• Improved
workers’
compensati
on
with
capacity to
link
individual

new to
existing
records

manageme
nt

explosion,
bush fires
and poultry
disease)

Implemente
d a national
training
program for
reception
staff to
reduce
waiting time
for
customers

Centrelink
Information

Technology
systems

• All staff
participated
in the

developme
nt of
Customer

Service
Improveme
nt Plans
– 64%
were
positive
about
performanc
e has led

to reduced
premiums

receiving
97%
approval

rating from
customers
Performance Report
The Balanced Scorecard
As foreshadowed in the 1997–98 Annual Report, the key instrument for measuring and reporting
Centrelink performance from 1998–99 is the Balanced Scorecard. Consequently, this report is primarily
presented in terms of performance against the Balanced Scorecard.
What is the Balanced Scorecard?
The Balanced Scorecard is an approach to performance management which was introduced in
Centrelink from the end of1997. The Balanced Scorecard:
 focuses performance on our strategic goals by linking these goals to explicit measures;
 provides a performance improvement mechanism by highlighting areas of strengths and
weaknesses; and
 communicates our performance across the whole organisation to support future planning.
The 1998–99 Centrelink Balanced Scorecard
The 1998–99 Balanced Scorecard measures performance against five Key Result Areas that reflect our
first five strategic goals. The sixth goal, Best Practice, is not measured individually as it is the sum of the
total achievement against the other five goals and will be validated through external benchmarking.
The Key Result Areas are:
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Client Partnerships;
Customer and Community;
Centrelink People;
Cost Reduction; and
Innovation.
Performance measures underlie each Key Result Area, with each measure having a performance target
that reflects service expectations of our client departments or an internally determined performance
benchmark. Actual performance for each measure is expressed in percentage terms as follows:
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a result of 100 per cent reflects performance equalling our target;
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a result above 100 per cent reflects performance exceeding target; and
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a result less than 100 per cent reflects lower than expected performance.
The averages of the results for the individual performance measures determine the overall result for
each Key Result Area.
1998–99 Balanced Scorecard Results
The Scorecard was reviewed monthly during 1998–99 by the Board of Management, allowing
performance against the selected measures to be monitored as the year progressed. The following
graph shows the monthly performance against targets for each Key Result Area.
On average Centrelink has equalled or exceeded targets for the year in three of the five Key Result
Areas. Customer and Community, Cost Reduction and Innovation exceeded targets; Client Partnerships
showed steady improvement towards achieving targets and Centrelink People remained static and is an
area targeted for improvement.
The measures included in the 1998–99 Scorecard will be reviewed in 1990–2000 and it is expected that
a greater range of performance indicators will be included.
The following chapters discuss our achievements during 1998–99 for each Key Result Area of the
Balanced Scorecard at the national level. For details on how the national level Balanced Scorecard
results are measured see Appendix xiv.
Our Client Partnerships
Working with client departments, our goal is to build partnerships that deliver the required results and
provide value for money for our clients. The Balanced Scorecard measures our performance towards
this goal through the Client Partnerships Key Result Area.
In 1998–99 Centrelink’s business priorities were to:
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consolidate its business relationships with existing clients; and to
selectively pursue new business to strengthen the Centrelink service offer, brand and image in the
community.
Overview
Centrelink is committed to building and maintaining strong and effective partnerships with its clients to
ensure delivery of client and government outcomes through linking Australian Government services and
providing best practice service delivery.
Centrelink’s business relationships aim to:
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recognise and respond to client departments’ needs for outcome accountability without
compromising Centrelink’s need for flexibility in delivering effective and efficient services;
ensure business processes, agreed with clients, meet separate and joint needs; and
establish collaborative processes to develop partnership arrangements that deliver agreed outcomes
to the Australian community.
Centrelink’s Business Development Unit and Customer Segment Teams have worked together to
develop service level agreements, monitor service delivery and maintain effective working relationships
with client departments. Customer Segment Teams are responsible for, amongst other things, ensuring
that client departments’ policies are properly implemented and that Centrelink’s performance is regularly
reviewed with clients to ensure strategic outcomes and operational delivery requirements are being met.
The Customer Segment Teams also bring together all issues relevant to the segment of customers, to
seek efficiencies and to deliver integrated services and outcomes.
Key Strategies
Centrelink business strategies and activities are designed to:
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build client department loyalty by delivering the results we have contracted to deliver;
improve information flow to client departments to assist their policy development and management;
increase competitiveness by delivering high quality services at reduced cost per customer per
service;
increase and diversify business consistent with the mission;
identify and protect Centrelink’s intellectual property;
increase client department confidence in the integrity of Centrelink service delivery; and
develop products and services that deliver increased value for money for clients.
Balanced Scorecard
Overall we have achieved the Client Partnerships’ targets outlined in the Balanced Scorecard.
The Scorecard reports a range of activities including:
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Repeat Business and Long Term Agreements (discussed in the Consolidating Relationships section);
Meeting client expectations (discussed in the Overall Performance and Compliance sections);
New Business (discussed in the New Business section).
Balanced Scorecard service delivery targets reflect Centrelink business and Client Business Partnership
Agreement targets. These targets and priorities are reflected in activity plans developed and
implemented at all operational levels in Centrelink.
Consolidating Relationships
Re-signing of Business Agreements
Centrelink retained 100 per cent of its existing business in 1998–99. The following contracts were
renewed:

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the Department of Family and Community Services (formerly the Department of Social Security);
the Department of Education, Training and Youth Affairs (formerly part of the Department of
Employment, Education, Training and Youth Affairs);
the Department of Employment, Workplace Relations and Small Business (formerly part of the
Department of Employment, Education, Training and Youth Affairs); and
the Department of Agriculture, Fisheries and Forestry (formerly the Department of Primary Industries
and Energy).
The following Agreements were formalised:

the Department of Health and Aged Care (formerly the Department of Health and Family Services);
and

the Department of Family and Community Services (formerly with the Child Support Agency).
The Service Level Arrangement between Centrelink and the Department of Health and Aged Care
provides for a joint mid-term review to be completed by mid-1999–2000.
The Department of Employment, Workplace Relations and Small Business (formerly part of the
Department of Employment, Education, Training and Youth Affairs) continues to operate under the
previous department’s Service Level Arrangement Number Three, although it is close to signing a new
agreement with Centrelink.
The Agreement with the Department of Family and Community Services was for three years (1998–
2001).
Overall Performance
Overall Centrelink met its client performance targets in 1998–99.
Centrelink’s clients use a number of different measures to assess Centrelink’s performance. Timeliness
and accuracy of service delivery are two key performance measures for Centrelink and its clients.
Timeliness
Centrelink has delivered most payments at better than the timeliness standards agreed in its Business
Partnership Agreements.
The processing of new claims against timeliness standards improved during the year. Overall, the target
for 1998–99 was for 85 per cent of all claims to be finalised within the respective timeliness standard for
each payment. Actual standards delivered vary depending on the nature and complexity of the payment
type. More detailed performance information is provided in individual team reports from page 26.
Accuracy of Service Delivery
Centrelink has exceeded the 95 per cent accuracy target agreed with clients for 1998–99. More detailed
performance information is also provided in individual team reports from page 26.
The following graph illustrates timeliness and accuracy performance against the Balanced Scorecard for
the year.
Performance Measures
Some long established performance measures agreed with clients have become less relevant as client
business arrangements have developed. The Procedure and Accuracy Checking measure, for example,
used to assess accuracy in delivery of payments for the Department of Family and Community Services
provides a partial measure of process performance and accuracy but not a complete picture of
Centrelink’s activities. In addition, changes to client departments’ priorities can result in agreed
measures becoming less relevant as performance indicators.
A review of performance indicators will be undertaken in 1999–2000 to ensure agreed measures are
appropriate to on-going business management and reporting requirements.
Strategic Reviews
Each quarter the Chief Executive Officer and other senior Centrelink Executives meet with Client
Departments’ Secretaries and Senior Executives to discuss broad business and relationship issues. The
discussions review critical business issues, evaluate progress in achieving broader program objectives
and examine future options and issues.
Performance Reviews
Centrelink’s performance is formally reported to its clients and is reviewed at joint meetings between
Senior Executives. These meetings are held monthly or bi-monthly and in addition to reviewing
performance, examine critical and emerging issues.
Centrelink teams also formally report and discuss more detailed program and delivery performance
information and analysis with their client counterparts, usually each month.
Improved Information Flow
Major efforts have been made in 1998–99 to increase the range and analysis of customer and
performance information provided to Centrelink clients to assist their policy development and
management, and purchaser roles and responsibilities. Information sought by clients has increased
significantly in amount, range and details client policy and procurement roles have been defined.
Information priority management arrangements have been implemented with clients to meet these
increased requirements.
Increasingly data is being provided to clients in electronic formats such as Power Play cubes and Super
cross datasets to enable more detailed and flexible review and analysis.
Provision of improved information will again be a priority in 1999–2000.
Improving Performance
A key Government objective in establishing Centrelink was to deliver services more efficiently and
effectively to the Australian community. In 1998–99 Centrelink and the Department of Employment,
Workplace Relations and Small Business worked together to sharpen program definition and delivery.
Detailed reviews of existing processes were undertaken to confirm the service policy and delivery
requirements. Where appropriate policies and delivery structures were restructured to ensure they
delivered required outcomes.
The joint review process proved very valuable in confirming policy requirements and in enabling best
practice service delivery design to be agreed and implemented.
Centrelink will conduct joint process reviews of services with the Department of Family and Community
Services and the Department of Employment, Training and Youth Affairs in 1999–2000.
Improved Processing Accuracy
Information Documents
Centrelink has expanded the online reference suite by adding retirement documentation. The
documentation targeted at Customer Service Officers, provides cross-referenced legislative and
reference materials.
In addition, the Retirement Customer Segment has produced a comprehensive suite of quality training
material on the technical issues associated with retirement.
These two measures will assist staff in increasing the accuracy of decision-making and the quality of
information provided to customers.
Segment Team Performance
A summary of major initiatives and delivery performance is provided on a team by team basis below.
Disability and Carers
Major initiatives:

Implemented the Child Disability Assessment Tool and extended the Carer Payment entitlements to
parents of children who have a profound disability.
We have implemented a number of initiatives to improve delivery of Disability Support Pension. These
include re-negotiation of supplier agreements, procedural reviews and improved monitoring
arrangements. These strategies have resulted in the achievement of the Disability Support Pension
timeliness target during the last part of the financial year.
Table 3: Disability and Carers Performance Summary
Payment Type
TIMELINESS
ACCURACY
Target
Performance
Target
Performance
%
%
%
%
Disability Support Pension
70*
68
95
98
Sickness Allowance
85†
80
95
98
Child Disability Allowance
80#
88
95
97
Child Disability Allowance
70*
91
95
97
Notes:
*Target—payment within 49 days of claim lodgement.
†Target—payment within 21 days of claim lodgement.
#Target—payment within 56 days of claim lodgement.
Table 4: Youth and Students Performance Summary
Payment Type
TIMELINESS
ACCURACY
Target
Performance
Target
Performance
%
%
%
%
– New Claims
70*
79
95
97
– Continuations
95†
100
95
99
Austudy Payment
70#
68
95
98
ABSTUDY
70
66
95
99
Assistance for Isolated Children
70
81
95
98
Youth Allowance
Notes:
*Target—payment within 21 days of claim lodgement.
†Target—payment within 2 days of claim lodgement.
#Target—payment within 14 days of claim lodgement.
Table 5: Families and Children Performance Summary
Payment Type
TIMELINESS
ACCURACY
Target
Performance
Target
Performance
%
%
%
%
Family Allowance
85*
92
95
96
Family Tax Payment
85*
92
95
99
Parenting Payment (Single)
90†
94
95
98
Parenting Payment (Partnered)
80*
87
95
97
Notes:
*Target—payment within 28 days of claim lodgement.
†Target—payment within 21 days of claim lodgement.
Table 6: Retirement Performance Summary
Payment Type
Age Pension
TIMELINESS
ACCURACY
Target
Performance
Target
Performance
%
%
%
%
80*
84
95
97
Note: *Target—payment within 28 days of claim lodgement.
We have initiated an examination of Sickness Allowance timeliness performance that will include
reviews of procedures, identification of reasons for delay and enhanced monitoring. This process is
expected to improve performance. For performance summary see Table 3.
Youth and Students
Major Initiatives:

Implemented Youth Allowance and Austudy Payment in July 1998.
We have met our overall performance targets. We have put in place more flexible resource allocation
arrangements to manage the highly cyclical processing workload. For performance summary see Table
4.
Families and Children
Major Initiatives:

Implemented Childcare Assistance payments on 1 July 1998.
For performance summary see Table 5.
Retirement
Major Initiatives:

Implemented Pension Bonus Scheme and changes to the means test treatment of income streams.
For performance summary see Table 6.
Employment Services
Major Initiatives:



implemented and consolidated Centrelink’s role in the Job Network;
tightened the Activity Test administration; and
implemented the Enhanced Mutual Obligation.
The number of Work for the Dole referrals significantly exceeded actual placements. This is because
many projects were approved and subsequently had contract variations to reduce the target for
placements where:



there was an insufficient customer base;
transport was not provided for participants; and/or
customers lived more than 90 minutes from the project locations with no access to public transport.
Placement numbers were also affected by the policy which prohibited Centrelink from referring
customers where there was less than 13 weeks until a project’s completion.
Table 7: Employment Services Performance Summary
Payment Type
TIMELINESS
ACCURACY
Target
Performance
Target
Performance
%
%
%
%
– New Claims
80*
84
95
97
– Continuations
95†
100
Na
Na
Mature Age Allowance
80*
95
95
98
– New Claims
75*
87
95
95
– Continuations
95†
100
95
98
– New Claims
80#
94
95
96
– Continuations
95†
100
95
98
Newstart Allowance
Widow Allowance
Partner Allowance
Notes:
*Target—payment within 16 days of claim lodgement.
†Target—payment within 2 days of claim lodgement.
#Target—payment within 49 days of claim lodgement.
Table 8: Employment Services Referrals and Placements Performance Summary
SERVICE
Intensive Assistance—Point in
TARGET
PERFORMANCE
%
%
85–100
94.8 (June 1999)
No. of Jobseekers
No. of Jobseekers
Time Capacity
SERVICE
TARGET
PERFORMANCE
%
%
Work for the Dole—placements
25 000
21 967
Literacy and Numeracy—
referrals
8 000
8 400
Table 9: Multicultural Services Performance Summary
SERVICE
Provision of interpreters
TARGET
PERFORMANCE]
%
%
85*
99
and translators
A problem was encountered with the printing of the Application for Continuation Payment forms
immediately after the systems release on 21 December 1998. Identification and rectification of the
problem took longer than it should have, which delayed printing and despatch of over 80 000 forms
nationally. With reduced postal services over the Christmas/New Year period, many forms did not reach
jobseekers in time for return to Centrelink by the due date. This resulted in a large increase in customer
contact at Customer Service Centres and through Centrelink Call in the week commencing3 January
1999.
After a thorough investigation of this problem, quality assurance processes have been put in place to
avoid this type of problem in the future.
For performance summary see Tables 7 and 8.
Multicultural Services
Major Initiatives:


implemented new contracts for on call and sessional interpreters; and
launched Centrelink’s vision for Delivering Multicultural Services 1999–2003.
For more details on these initiatives refer to Chapter 5, Our Customers and Community.
For performance summary see Table 9.
Rural and Housing
Major Initiatives:



developed the National Rural and Regional Servicing Strategy;
established the Segment Team; and
introduced Centrepay.
For more details on these initiatives refer to Chapter 5, Our Customers and Community.
New Business Performance Activity
Centrelink selectively pursued new business opportunities in 1998–99. A priority was to seek to increase
the community’s access to Commonwealth services available through Centrelink.
Veterans’ Information Service
Centrelink increased the range of services it delivers on behalf of the Department of Veterans’ Affairs in
New South Wales, Queensland and South Australia.
Centrelink successfully tendered to deliver the Veterans’ Information Service initially on a trial basis at
three sites in New South Wales, one in South Australia and one in Queensland. This has since resulted
in three additional sites being added to Centrelink’s New South Wales delivery and the addition of
community support activities.
A separate agreement has been reached with the Department of Veterans’ Affairs for the out posting of
a Department of Veterans ‘Affairs Officer in the Cairns Customer Service Centre.
Government Information Centre
Under the Government’s Investing in Growth strategy, Centrelink is working with the Office for
Government Online to pilot a Government Information Centre initiative. The pilot facility was opened in
October1998 in Centrelink’s Launceston Call Centre to assist Tasmanian residents with information
about Commonwealth and Tasmanian State Government activities. The facility uses a database of
information supplied by government agencies to refer phone, facsimile and email enquiries to relevant
authorities for further assistance.
Income Assessments for Aged Care Residents
Implementation of this complex initiative has enabled Centrelink to strengthen its relationship with the
Department of Health and Aged Care and broaden the range of services and support it provides the
aged care community.
Financial Information Service
Centrelink has strengthened its Financial Information Service to assist early planning for retirement. We
have increased the focus to provide information to assist earlier planning by younger people.
An increased proportion of information seminar participants are changing their investment or financial
plans (an increase from 18 per cent in 1997–98 to 31 per cent in 1998–99). Seminars continue to satisfy
customers’ needs (a satisfaction rating of92 per cent in 1998–99).
To further improve community access to the Financial Information Service seminars, the National
Seminar Booking Service was setup in January 1999. Using a national phone number, it it has made
over 11 000 bookings for interested people around Australia.
Commonwealth Seniors Health Card
Centrelink has simplified and extended the income test for the Commonwealth Seniors Health Card to
encourage self-funded retirees to take up the card. It was estimated that an additional 220 000 older
Australians would take advantage of the simpler and more generous income test and apply for the
Commonwealth Seniors Health Card. Between 1 January 1999 and 30 June1999 Centrelink issued
around 153 000cards to self-funded retirees who took advantage of this new income test. Since the
announcement of the initiative in the1998–1999 Federal Budget promotional activities have been
ongoing. Centrelink will continue to promote the Commonwealth Seniors Health Card during 1999–
2000.
We issued a more durable slim plastic card to eligible Commonwealth Seniors Health Card holders in
May 1999. The new style card has overcome the previous time consuming production process and
enables applicants to receive their card within 14 days of providing all required information to Centrelink.
Childcare Assistance
From July 1998, Centrelink took over responsibility for payment of Childcare Assistance to child care
service providers, and reconcile these payments against actual attendance by the children.
Child Support Agency
Following a successful pilot in Gosford collocation of Child Support Agency services with Centrelink
offices will occur in other selected sites to increase community access to services.
Compliance Benchmark
Client Partnerships
The Compliance Benchmark is a key performance indicator in the Key Result Area of Client
Partnerships, under the 1998–99 Balanced Scorecard. It is composed of four sub-elements weighted to
achieve an overall result.
The four components are:




savings and debts raised from compliance review activity;
monies recovered by withholdings and cash recoveries;
prosecution referrals to the Director of Public Prosecutions; and
child care service reviews.
Compliance Review Activity
Compliance review activity focuses on cases considered at high risk of incorrect payments a result of
fraud, misrepresentation, error or omission on the part of the customer. Risk based reviews are
conducted where there is a documented risk of incorrect payment, and include: data matching, public
information and risk-based algorithm reviews. The benchmark for social security compliance review
activity totalled $635.9 million in savings and debts raised. Against this, compliance reviews achieved
$725.2 million in combined savings and debts raised, 14 per cent above the benchmark.
Debt Recovery
The 1998–99 debt recovery benchmarks required $545 million to be recovered in debts for both social
security and student assistance payments. For the1998–99 financial year, recoveries totalled $555.6
million for social security and student assistance debts, 1.9 per cent above the benchmark.
Prosecution Referrals
The benchmark for prosecutions was set at 4000 referrals to the Director of Public Prosecutions of
fraudulent misrepresentation of either social security or student assistance payments. This is comprised
of 3950 cases for social security payments and a further 50 student assistance payment cases. Against
this, a total of 3828 cases were referred to the Director of Public Prosecutions for consideration of
prosecution action during1998–99, 95.7 per cent of the target. Of these, 3779 were social security
cases, with an additional 49 student assistance cases referred. The target was not quite achieved, in
part, due to an increase in evidentiary requirements for court proceedings.
Child Care Service Reviews
Centrelink agreed to conduct 800 reviews nationally. This benchmark was included in the 1998–99
Business Partnership Agreement with the former department of Health and Family Services. In total, 886
reviews were conducted, 10.8 per cent above the benchmark.
Overall Compliance Achievement
Overall achievement against the Compliance Benchmark, as shown in Figure 10, is calculated using the
following weighted scale as shown in Table 10.
Appendix ix contains further information on compliance activity.
Table 10: Compliance Summary
ACTIVITY
WEIGHTING
ACHIVEMENT
%
%
Compliance review
85
92.2
4000 Prosecution referrals
10
10.6
800 Child Care Service reviews
5
5.5
TOTAL
100
107.3
Assurance of Support Section
Some migrants to Australia are required to have an Assurance of Support as a condition of being
granted permanent residence in Australia. Centrelink’s Assurance of Support Section was relocated to
Sydney in January 1999. This section has since identified and raised $1.5 million in debts owing to the
Commonwealth, with 70 per cent of these debts already having some form of recovery arrangement in
place.
Other Achievements
Tax Reform
The Tax Reform Implementation Team was established in November 1998 to manage a number of
initiatives that Centrelink has responsibility for delivering as part of the Government’s overall Tax Reform
Package.
These are:




family Tax Benefit, Parts A and Band Child Care Benefit;
compensation measures;
Aged Persons Savings Bonus and Self-Funded Retirees Supplementary Bonus; and
establishment of the Family Assistance office.
The Team’s role is to work closely with the Retirement Customer Segment Team(regarding
compensation and bonus measures), with the Families and Children Customer Segment Team
(regarding family entitlements and the Family Assistance office) and with other teams building
information and decision support systems. It is also responsible for forging strong working relationships
with the Department of Family and Community Services, the Australian Taxation Office and the Health
Insurance Commission to ensure there is a mutual understanding of policy initiatives and commitment to
service delivery.
More detail involving community and business partners in Value Creation Workshops is provided in
Chapter 5, Our Customer and Community, Families and Children, page 53.
Our Customer and Community
Centrelink’s business is service delivery, with over 300 million opportunities annually for our customers
to form perceptions about our service. Given the extensive interaction with people, a strong customer
and community focus is essential for success as Centrelink positions itself for operating in a competitive
environment. Centrelink is embedding and integrating this focus into its culture—the way things are done
in Centrelink.
Key Strategies
Our key strategies are to:





measure customer and community satisfaction;
ask customers and the community to identify their needs and expectations;
design products and services to meet customer, community and client department needs and
expectations;
link customer service with people management, property plans, investment decisions and technology
rollout; and
create a customer driven culture.
Major areas of focus within these strategies in 1998–99 were:



delivering a more personalised service;
improving access to services and information; and
playing an active role in the community.
Measuring Customer and Community Satisfaction
Customer Satisfaction
Centrelink regularly monitors customer satisfaction with its service. Customer satisfaction remained
relatively stable during 1998–99. This is considered to be a very good result given the enormous
changes that occurred in 1998–99 both to policy and computer systems, for example, the introduction of
Youth Allowance on 1 July 1998.
Centrelink’s Customer Charter acts as an important benchmark against which Centrelink measures how
it is performing. Customer satisfaction with Centrelink’s performance against the Customer Charter
remains stable.
A summary of Centrelink’s performance against the Charter commitments can be found in Appendix xiii
and the status of Centrelink’s Charter can be found in Appendix xi. The results highlight the opportunity
that exists to make further improvements in the areas of understanding customers’ individual needs,
speed and efficiency, accuracy and consistency of information and fixing mistakes. A major initiative
which began early in1999, involving the delivery of a more personalised service to customers, is
expected to address the shortfalls in customer satisfaction.
Customer satisfaction with the overall quality of Centrelink’s services (including the quality of its people,
services and information) remains stable over the year at 65 per cent. Customers’ ratings of Centrelink’s
staff remained high at76 per cent. Overall customer satisfaction with the level of service provided by
Customer Service Centres, Call Centres and International Services also remained stable throughout the
year with Call Centres providing the greatest opportunity for improvement. Centrelink telephone service
improved during the latter part of 1998–99 as a number of demand and expectation management
strategies began to take effect.
Favourability
Centrelink experienced a marked turnaround in its favourability (overall impression of organisation)
rating among its customers and the broader community. The favourability rating increased by nine per
cent and eight per cent, respectively from November/December 1998 to May/June 1999. Centrelink
experienced the largest increase of all the organisations benchmarked for favourability purposes.
Centrelink’s Value to the Community
In May 1999, Centrelink’s customers sent a strong signal that Centrelink’s role in their community is
valued. A significant proportion of customers, 82 per cent, believe that ‘Centrelink helps customers
during times of change in their lives’ and nearly three quarters (71 per cent) believe that ‘Centrelink
helps find solutions for its customers’. The majority of customers, again 82 per cent, also recognise
Centrelink’s role as a ‘one stop shop’, acknowledging that ‘Centrelink offers a wide range of government
services in the one place’.
Customers stressed the value of being able to access Centreline in-person with96 per cent agreeing that
‘It is important to have a Centrelink office physically in the local community’.
While almost 60 per cent of customers felt that ‘Centrelink listens to the community’s ideas for giving
better service’ there is scope for Centrelink to improve ‘being responsive to events in the local
community’, with just over half of the customers surveyed believing that this is happening.
Customer Feedback
Centrelink’s Customer Charter encourages customers to provide feedback if they are happy or unhappy
with our service. Feedback is used not only to recover from problems as they occur but to develop local
and national strategies aimed at improving services. A detailed report on customer feedback within
Centrelink and the status of Centrelink’s Customer Charter is in Appendix xi.
Appeals
Centrelink continues to complete customer appeals against decisions within accepted time frames.
However, Centrelink is still intent upon improving the quality of decision making and thereby reducing
the need for customer appeals.
In 1998–99 Centrelink received 47 375 requests for internal review and a combined total of 11 043
appeals to the Social Security Appeals Tribunal and the Administrative Appeals Tribunal were made in
relation to Centrelink decisions. Seventy-three per cent of internal review decisions made during this
period were affirmed.
In the context of making 36 million customers service decisions annually, our level of reviews requested
is small. However, as these decisions can have a profound effect on the lives of our customers,
Centrelink is committed to exploring ways to reduce the level of appeals even further. One way this is
being achieved is by feeding back the outcomes of each review to the person who made the original
decision to investigate whether or not the review resulted from how the service was delivered as distinct
from the actual decision.
Call Wait Time
While Centrelink Call generally achieved its contracted performance standard of an average speed of
answer of 210 seconds, consistently high demand presented a very real challenge to maintaining quality
customer service.
The situation was particularly acute on specific occasions during 1998–99, such as the introduction of
new Youth Allowance arrangements in July 1998, the Christmas/New Year period, and major review
periods. However, there was a substantial improvement in performance in May and June 1999 as key
demand and expectation management strategies began to take effect.
Delivering a More Personalised Service
An example of Centrelink listening to its customers is happening in Area North Australia where the
disability teams have established partnerships with remote community doctors to increase the timeliness
in processing claims made by our customers with disabilities. This initiative is saving time, effort and the
cost of referral and assessment.
‘One to One’
A key initiative in response to what our customers have been telling us, and the first key step towards
implementing Centrelink’s ‘life events’ service delivery model, is Centrelink’s ‘one to one’ service. The
initiative involves every customer having one main Customer Service Officer who manages all the
business that a customer cannot do over the phone. Centrelink began implementing the new style of
service in1999 following a successful trial in 1998 and further trials in early 1999. ‘One to one’ service
builds on initiatives introduced in 1997–98 to provide a more personalised service by:


ensuring that the customer knew who their appointment would be with at the time the appointment
was made; and
ensuring staff phoned the customer before the appointment to build rapport with the customer and
ensure that the customer knew what to bring along to their appointment.
Under the ‘one to one’ approach:




Customer Service Officers are each allocated a pool of existing customers;
new customers are progressively added to each Customer Service Officer’s pool;
Customer Service Officers accept all on-going business relating to their pool of customers; and
Call Centre staff continue to handle day-to-day customer service enquiries.
For our customers the ‘one to one’ service means:




receiving personalised, professional help;
obtaining an assessment of their situation that results in their needs being met in a holistic way;
only having to tell their story once; and
obtaining consistent advice and having greater confidence in the decisions made about their
situation.
The shift in focus away from being purely on the ‘process’ to the ‘solution’ being developed with the
customer is having a dramatic effect on the workplace culture within Centrelink. Our Customer Service
Officers are quickly embracing ‘one to one’ service. For them it means:





increased personal control, responsibility and accountability over every day work;
a more professional relationship with customers;
greater work satisfaction;
learning and development needs being more easily identified; and
better opportunities to recognise and reward individual effort.
‘One to one’ service is placing both ownership and accountability for each customer’s business with their
Customer Service Officer. A previous tendency for some Customer Service Officers to rely on checks
and balances elsewhere for completeness and accuracy has been removed. The direct accountability to
the customers for the ‘one to one’ service officer provides a strong incentive for staff to be thorough,
accurate and to give attention to explaining their decision. This is having a positive effect on the overall
quality of decisions and the resolution of problems.
Decision making is also being strengthened through structured feedback of the findings of both internal
and external reviews of decisions initiated by customers. This feedback not only assists the development
of staff in their role as main contact officers but also helps identify some of the impediments to high
quality customer service.
Centrelink’s more personalised service is expected to be fully implemented by the end of December
1999.
Appointment System
Centrelink’s use of appointments to complement its ‘one to one’ service continues to operate well and
receive high approval ratings from customers. From February until the end of June 1999, appointments
continued to be consistently available within 10 working days of the customer’s request. During our most
recent survey, 83 per cent of customers rated Centrelink’s appointment system as either good or very
good. This is seven per cent higher than for the same period in 1998.
Improved Access to Services and Information
In 1998–99, Centrelink set about improving customer access to services by:





expanding the range of services available;
opening more Customer Service Centres, progressing Centrelink’s open plan office layout program
and improving queue management;
implementing a Rural and Remote Servicing Strategy including an expansion of the number of
Centrelink agents based in rural parts of Australia;
improving the performance of Centrelink’s telephone service and upgrading a number of specialised
services for customer groups with particular needs; and
improving letters, forms and information products.
Expanding the Range of Services Available
The range of services available to Centrelink customers was significantly expanded in 1998–99 through
a range of initiatives including:



greater access for jobseekers to self help facilities;
the delivery of Department of Veterans ‘Affairs service from Centrelink Customer Service Centres in
New South Wales and South Australia; and
the development and implementation of Centre pay, a facility that enables Centrelink customers to
have voluntary deductions taken from their social security payments.
Greater Access to Self Help Facilities for Jobseekers
By the end of July 1998, jobseekers had access to ‘Job Network Access’ workstations in most Customer
Service Centres. The ergonomically designed workstations are coupled with computer touch screens to
provide ready access to online information on job vacancies anywhere in Australia. Customers are free
to use the private workstations which are equipped with daily newspapers, telephones for contacting
employers and Job Network organisations, personal computers with standard resume preparation
software, printers, photocopiers and facsimile machines.
Delivery of Veterans’ Affairs Service
In 1998–99 Centrelink trialled and evaluated the delivery of the Department of Veterans’ Affairs service
from Customer Service Centres in two states. The evaluations have been particularly positive. The New
South Wales evaluation stated in part ‘the trial has exceeded expectations in terms of the number of
veterans using the service, acceptance by the ex-Service organisation sand the satisfaction levels
reported by veterans in the evaluation survey’. Similarly in South Australia, 100 per cent satisfaction was
reported for attitude and professionalism, timeliness, convenience and access and a 97 per cent
satisfaction level for helpfulness and the quality of service.
Centrepay
Centrelink has developed Centre pay, a facility that enables Centrelink customers to have voluntary
deductions taken from their social security payments for direct remittance to a third party organisation as
full or part payment for ongoing expenses, such as rent. By introducing this initiative, Centrelink not only
assists its customers to meet priority commitments, but also provides organisations with a further
deduction facility option. Centre pay was initially developed to assist the Indigenous housing sector;
however, it has since been extended to include the non-Indigenous community housing organisations,
the private rental sector and utilities. Since Centrepay’s introduction, 3878 customers and 608
organisations have registered to use the facility as at 30 June 1999.
In 1999 Centrelink introduced a new service, Centrepay, which allows customers to choose to have
regular bills deducted automatically from their Centrelink payments. This service helps customers
budget and provides security of payment for landlords and other organisations
who have signed up for the facility. The service has been well received by customers, particularly
Indigenous customers in remote communities who have little or no access to standard banking facilities.
More Service Centres
Centrelink opened a total of eight new Customer Service Centres and two Call Centres in 1998–99. Of
these five Customer Service Centres and one Call Centre are located in rural Australia. All of the new
Customer Service Centres were fitted out with Centrelink’s customer-friendly open plan office layout. In
addition, 13 Customer Service Centres and one Call Centre were relocated to provide improved facilities
for customers and staff. A further 19 existing Customer Service Centres were fitted out with Centrelink’s
open plan layout bringing the overall percentage of open plan layout Customer Service Centres to 63
per cent, up by eight per cent from 55 per cent in1997–98.
Retirement Service Centre Pilot Program
Although the pilot program officially ended in June 1998, the six Retirement Service Centres continued
to operate throughout 1998–99. The evaluation conducted by Centrelink during and after the pilot phase
showed continuing strong support from customers. In conjunction with the Department of Veterans’
Affairs, the Australian Taxation Office and the Department of Family and Community Services,
Centrelink is now considering the implications of the Retirement Service Centre pilot for its future service
strategies for retirees. The best aspects of the Retirement Service Centres were:
•
•
•
•
expert service from staff who are aware of the needs of older people;
a sense of ‘space’ in terms of a relationship with Centrelink which retired customers feel they have
some ownership over, and in which they can transact their business in a way that is particularly
suited to their needs and preferences;
availability of specialist staff to assist with more complex transactions; and
access to other aged services available from the Department of Veterans ‘Affairs and the Australian
Taxation Office. These agencies have continued to provide support to the sites as they considered
them to be most successful in terms of their respective program objectives.
Queue Management
Queue management in Customer Service Centres remains an issue for our customers with only 61 per
cent of customers rating our queue handling as good or very good. In response to low customer
satisfaction with this aspect of Customer Service Centre service, Centrelink initiated a national learning
campaign in June 1999for reception staff. The national campaign focussed on improving staff queue
management and work scheduling skills. The national campaign was developed following positive
results from a pilot run in Western Australia in early 1999.
Centrelink’s Rural Outreach program is part of the broader National, Rural and Regional Servicing
Strategy developed to improve delivery of Centrelink services to country Australia. This occasion was
the official launch of Centrelink’s partnership with the South Australian Government and Ruralink as part
of Centrelink’s Rural Outreach program.
Rural and Regional Servicing
Centrelink has been active in seeking the views of customers, community representatives, and other
private and government organisations in order to identify issues relating to service delivery in rural
communities. As a result, Centrelink developed a National Rural and Regional Servicing Strategy.
The Strategy, which commenced in July1998, improves access to Centrelink services for many rural and
regional customers and allows Centrelink to work collaboratively with local communities and other
agencies, including strategic partnerships with state and local Governments.
New Servicing Arrangements
More than 100 new servicing arrangements were established in 1998–99, including agents, visiting
services, self-help facilities and other information technology solutions. One example of these new
servicing arrangements is the joint project at Moira Shire, Victoria, where Centrelink in conjunction with
Cutting Edge Youth Services, provides a bus as a mobile resource and access facility. The bus will be
the regional focus for young people to access information as well as providing counselling and health
related support services. These new initiatives were officially launched in January 1999 by the then
Minister for Community Services, the Hon. Warren Truss MP, jointly with state and local members as
part of the Centrelink Rural Outreach program.
Remote Access Services
Centrelink’s Remote Access Services system introduced in 1998 is recognised by the Commonwealth
Government ‘Technology in Government’ committee as being of international standard, and was
awarded a Government Technology Productivity award this year. The system laptop solution closely
mimics normal office workstations. Remote Access Services system provides mainframe connectivity,
Lotus Notes mail, intranet services and file server connectivity. The laptops allow staff to deliver services
to remote locations anywhere in Australia and they also facilitate home-based work. Remote network
connection occurs via modem, mobile phone or satellite phone with an extremely high level of security
through hardware authentication, 128 BIT encryption services and user login security.
To date, 550 laptops have the capacity for Remote Access Services connectivity. This number is
expected to rise markedly over the next financial year.
During the recent disruptions in Kosovo an 85 year old Serbian customer arrived unexpectedly on an
International Services doorstep in Hobart with all his worldly possessions packed in two overnight bags.
He had once lived in Australia, though the only people he now knew in Australia were the ‘Centrelink
people in Hobart’ whom he had got to know ‘through the newsletter’. International Services staff
comforted the customer until they found him refuge.
Rural and Housing Customer Segment Team
As a further sign of Centrelink’s commitment to improve its services to rural and regional Australia, a
Rural and Housing Customer Segment Team was established in January 1999. The Customer Segment
Team’s primary objectives are to focus on service delivery strategies that will further improve access to
Centrelink’s services to customers who are located in rural and remote locations.
Rural Call Centres
This initiative arose out of community consultation in rural and regional Australia, which identified a
strong need for service delivery strategies more responsive to community needs. Rural Call Centres will
be established at Mary borough in January 2000 and Port Augusta at a later date. These Rural Call
Centres will service a defined rural catchment area and provide a service that understands local issues
and recruits local staff with empathy for the difficulties experienced by rural and regional customers.
Improved Telephone Access
Customers are increasingly signalling their desire to do business over the phone. In order to improve
access to Centrelink’s telephone service a Call Centre Service Delivery Strategy commenced in late
1998and early 1999. The strategy has the following five major elements:
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demand management—reduce the volume of calls by scheduling the timing of events so as to
reduce peak demand periods;
call handling productivity improvement—increase the number of calls handled through changed work
practices, change management practices, new technology and benchmarking;
contingency plans—develop contingency plans for periods of peak demand;
resourcing—increase resourcing in Call Centres either through transfer of existing resources or
increased fees for higher standards of service; and
expectation management—manage the expectations of customers and the community through
improved information.
In addition Centrelink Call has introduced or upgraded a number of specialised services to enhance
service delivery to customer groups with particular needs. These include:
Customers from Diverse Cultural and Linguistic Backgrounds
Rationalisation of the Centrelink Multilingual Service at the Liverpool Call Centre, providing access to
Centrelink services in over 20 languages to customers from diverse cultural and linguistic backgrounds.
Remote Indigenous Customers
Establishment of the Palmerton Indigenous Call Centre (Area North Australia) in December 1998.
Established specifically to service remote Indigenous customers the Call Centre’s ‘footprint’ extends
from Cairns to the Northern Kimberley.
Given the customer base and the vast distances included in the catchment’ footprint’ the Call Centre
team knew that it was important that their customers felt as if they knew each of the team members.
Accordingly, the team developed poster with each of the team member’s photograph and full name. The
poster has been promoted throughout the ‘footprint’s remote communities.
Access to Telephone-based Social Workers
Implementation of a national social work queue as part of Centrelink’s Call Centre operations. Calls are
transferred to a social worker in the queue when a customer is distressed, experiencing a crisis or in
need of counselling and support regarding complex personal issue. This service is proving to be
particularly effective in providing an early intervention service to those Centrelink customers most in
need of assistance. The Social Workers also provide support to our Call Centre staff particularly in
relation to how to deal with customers in crisis.
Carers and Customers with a Disability or Sickness
Implementation of a new telephone number to handle enquiries from customers relating to disability,
sickness and carer issues on 12 April 1999. The then Minister for Community Services, the Hon. Warren
Truss MP, launched the new service on 18 June1999. This initiative resulted from feedback received
from representatives from disability and carer organisations as well as the general community.
The new number is 13 2717 and a feature of the new service is its ease of access. There is minimal
messaging at the beginning of the call and no action is required by the caller in order to be connected to
a Centrelink staff member. Telephone calls from customers are handled by staff who have been trained
specifically in the area of disability awareness and with a detailed knowledge of entitlements and
services.
In its first few months of operation the new service has been very well received, with customers and
peak disability organisations reporting an enhanced level of service to people with disabilities and
carers.
Call Centre Automation
The identification of business requirements for initial Call Centre automation facilities was finalised
during the year. Telephone-based customer self services will include information about recent and next
payments, balance of an advance and provision of statements of current payments to be used for
claiming concessions. Contracts have been arranged with a systems integrator and information
technology developers to build these facilities with the first of these to become available by the end of
1999.
An interim customer self service telephone facility to provide payment details to customers was
implemented in Western Australia in May 1999 for subsequent national rollout in late 1999.This will
result in some improved customer service but will also provide important information about usage
patterns, privacy and security issues, as a precursor to the full program of automation features to
commence in 2000.
Improving Letters, Forms and Information Products
The major areas of focus for improved access through improvements to letters, forms and information
products were:
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the introduction of a customised claim form;
the continued overhaul of Centrelink letters including developing and market testing Centrelink’s new
statement style letter format and other forms; and
increased circulation of the Age Pension News and improvements to it and a range of Families and
Multicultural Services Information products.
Customised Claim Form for Customers Looking for Work
From May 1999, Centrelink began to implement a system eliminating the need for customers wishing to
apply for Newstartor Youth Allowance to fill in forms up to 30 pages long. The system allows customers
to give their details verbally to Centrelink staff for input directly into the system. A customised completed
claim form is printed for the customer to sign and the customer is provided with a copy. Feedback from
both Centrelink staff and customers has been extremely positive—as one staff member said: ‘It’s good
for staff, because they are happy to offer an enhanced service. Customers do not have to fill in the same
long forms, telling their story over and over whenever they go off and on payments, because their details
are recorded on their online claim form’. The intention is to expand the online claim form system to
include a plan for returning to work which will be individualised to the customer’s needs and agreed with
the customer at their first interview. The plan will set the scene for customers to be actively managed
during the period of income support. The online system will also be expanded to cover other products
and services delivered by Centrelink.
Improved Letters
The major overhaul of letters which began soon after Centrelink was established continued throughout
1998–99. Centrelink undertook extensive customer research with carers and representative groups in
developing claim forms and processes for carers payments. As a consequence, new review procedures
were implemented in response to customer feedback.
General improvements that have been made to letters include customer friendly language and ensuring
customers have the necessary information without jargon. As part of Centrelink’s broader work to
significantly improve its letters, Centrelink developed and tested a statement style letter with customers.
The statement style letter is similar in format to a telephone account. The letter, which was released in
late June 1999, sets out the information the customer needs to know about his/her payment and
features any information confirming recent changes or action that the customer needs to take.
Web Post Office
The Web Post Office trialled the delivery of letters to Centrelink customers via the Internet. Customers
in eight regions in South Australia were invited by a direct mail out and at interview to participate in the
trial. The invitation by mail was poorly received but customers with some familiarity with the Internet
almost always took the option up. Using an identifier and a PIN, registered customers were able to log
onto the Centre link Web Post Office Internet site and read their letters. Letters not read in three working
days were resent by post; unfortunately 50 per cent of letters were not read in this time even though an
email was sent advising the customer a letter was waiting to be read. The trial ran from 11 January 1999
to 30 April 1999but continues to operate for Youth Allowance customers in South Australia. Centrelink is
currently researching the likely take up of other customer segments with a view to rolling the Web Post
Office out in 2000.
Age Pension News
This is one of Australia’s most widely circulated publications, going to over two million readers. It is
produced in15 community languages, and an audio edition is provided for the sight-impaired. As part of
Centrelink’s contribution to the International Year of Older Persons, and in line with customers’
references expressed through market research, Age Pension News was substantially upgraded in 1998–
99.It is now produced in a 16 page, colour magazine format, and includes a wider range of material of
interest to retirees.
Market research on the upgraded publication showed overwhelming support for the changes. It
suggested that, while age and service pensioners have retained strong sense of ownership over the
publication, and continue to regard it as authoritative and independent, the smaller size, full colour
pictures and new contents are all greatly appreciated by the readership.
In 1999–2000 the circulation of Age Pension News will be increased to include over 200 000 self-funded
retirees who hold a Commonwealth Seniors Health Card.
Age Pension News, the flagship publication for age pensioners, has turned 10 years of age. The
magazine is delivered to over two million customers and has become a publication that the older
community has come to rely on and even file away as reference material. It has also become the
Commonwealth Government’s major avenue for communication with pensioners. The magazine reflects
the Government’s vision for a more corporate, innovative, customerfocused delivery of services.
Publications for Families
A suite of information products to publicise the benefits and services available to families was published
during the year and distributed widely to customers and community groups. The products are:
• You and Your Family—a 12 page colour magazine issued in December 1998 to 1.8 million Family
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Allowance customers and distributed to Members of Parliament and about 14 000 community
organisations;
Help for You and Your Family—a 16 page colour brochure issued in December 1998 and June 1999
throughout the Centrelink network as well as being distributed to more than 200 000 new mothers.
The brochure provides an overview of Commonwealth assistance for families; and
Helping Families—a 96 page comprehensive guide to family services, issued in January 1999 to
community organisations and others whose work brings them into contact with families in need of
Centrelink’s services.
The response to these publications has been very positive as evidenced by the high demand for them
from our customers and community groups.
In October 1998 the Minister for Family and Community Services, Senator the Hon. Jocelyn Newman,
officially launched the Centrelink booklet Working to Assist People Experiencing Violence. The booklet
promotes Centrelink’s position in relation to domestic and family violence and the services we provide to
affected customers. Minister Newman also launched Centrelink’s Customer Service Improvement Plan
which includes longer term solutions for such customers.
The Parents, Babies and Children Expo held in Adelaide provided a great opportunity for Centrelink to
promote itself to families customers. Centrelink staff were kept busy answering over 1100 enquiries.
Queries from women expecting their first child were many and diverse. A wide range of payments and
services for families were promoted at the Centrelink display and many customers expressed
appreciation for the effort made to provide the information.
Customers Who Are Unable to Read or Comprehend Printed Material
Centrelink has a popular radio program called Centrelink Today that is broadcast nationally for the Print
Handicapped Australia. The show is hosted by Melbourne ABC radio personality, Terry Laidler. Aired
fortnightly, Centrelink Today brings listeners a wide variety of information about Centrelink payments,
programs and services with a particular focus on issues for people who are unable to physically handle
books or newspapers or to read or comprehend printed material.
Multilingual Information for Customers
Centrelink has taken considerable care to provide information through a range of media to cater for the
diverse cultural and linguistic needs of its customers. The Centrelink web site has five pamphlets,12 fact
sheets and nine publications available online in up to 28 different languages which can be printed as
required. Fortnightly radio programs are broadcast in up to 24 languages across Australia on SBS and
community radio stations. Editorial articles regularly appear in the national ethnic press in eight
languages. Through its Customer Service Centres and other agencies, Centrelink provides a wide range
of printed pamphlets and brochures in up to 18 languages. These brochures are specially designed to
provide clear and simple information for easy translation. Centrelink’s multilingual telephone service
answers 20 000 phone calls per month in over 20 languages, providing the full range of Call Centre
services to customers in their own languages.
Playing an Active Role in the Community
Centrelink views itself as an important part of the local community and an important partner working
together with community groups and other tiers of Government to offer seamless services to customers.
Centrelink played an active role in the community in 1998–99 in a variety of ways including:
• being involved in community groups and committees and celebrating key national events;
• involving community groups and other business partners in the process of listening to customers;
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and
responding to and helping the community to recover from disasters.
Involvement in Community Groups and Committees
Centrelink participates in community consultation and involvement through invitations from organisations
and established community groups. Centrelink uses such forums as a means to consult, share
information about Centrelink services, develop appropriate service delivery strategies and launch major
initiatives aimed at improving the delivery of services to the various communities.
The efforts of the Kalgoorlie Customer Service Centre are an example of how Centrelink is forging
strong links with local communities. Staffs are personally involved in a Work for the Dole project that is
revegetating and redeveloping a local nature park, Karlkurrla. The project is one of the most successful
in Australia for placing young unemployed people. In April the Prime Minister, the Hon. John Howard,
praised both Centrelink and the Kalgoorlie-Boulder Urban Land Group for their efforts.
State/Territory-based Migrant Advisory Committees
Centrelink continues to run six State/Territory-based Migrant Advisory Committees. The purpose of
these committees is to facilitate communication between Centrelink and state based organisations that
deal with migrants and refugees. Representatives from these organisations provide feedback to
Centrelink about service delivery and policy impact and Centrelink in turn provides information on policy,
technological and structural changes that will affect these organisations or their clients.
Millions of people around the world celebrated International Day of People with a Disability. Centrelink
joined in the celebrations by sponsoring an event at the Australian Institute of Sport in Canberra and
also by participating in numerous state based events. Centrelink was also one of the major sponsors of
National Information Communication Awareness Network Inc. who coordinated the celebrations across
Australia. The Network is a non-profit organisation which Centrelink plans to sponsor again this year.
Contributing to a Stronger Philanthropic Culture in Australia
Staff of the Townsville Call Centre has introduced an initiative called ‘Helping a Local Organisation
(HALO) Day’. Under this initiative staff voluntarily work extra hours and donate their overtime to local
organisations that help Centrelink customers.
Centrelink Disability and Carers Customer Service Reference Group
This Reference Group provides feedback about quality of services and advice on the impact of new
initiatives. The membership of the Reference Group has been expanded and has representation from
peak disability, industry and community organisations.
The access issues which face customers with a hearing impairment were examined by members of the
Reference Group. The outcomes from this work include the establishment of a TTY line to enable people
with hearing impairments to provide feedback to Centrelink.
A working party has also been formed to examine how Centrelink can identify and improve
communications with customers with intellectual disabilities and recommendations will be made by this
working party in the coming year.
Centrelink Conference with Peak Ethnic Agencies
In June 1999, Centrelink held its first national conference with representatives from 13 peak ethnic
agencies intent on establishing an on-going national reference group. Community agency
representatives showed strong interest and support for the work Centrelink has undertaken to improve
access to its services by people from diverse cultural and linguistic backgrounds. This national reference
group will consist of high level representation from Centre link and the major ethnic agencies, and will
principally focus on issues relating to delivering service to Australia’s multicultural population with the
aim of increasing customer satisfaction.
At the 4 June 1999 Conference, the then Minister for Community Services, the Hon. Warren Truss MP,
launched Centrelink’s vision for Delivering Multicultural Services 1999–2003. Minister Truss announced
that Centrelink will be providing multicultural Australia with comprehensive access and participation in
government programs and services. The statement provides clear direction for meeting Centrelink’s
vision, mission and goals for customers from diverse cultural and linguistic backgrounds.
Multicultural Service Officers
Centrelink operates a national network of over 80 Multicultural Service Officers. These officers are
based in Customer Service Centres and take an active role in assisting Centrelink to develop effective
relationships with community agencies and customers from diverse cultural and linguistic backgrounds.
This year, there has been a specific focus on the development of language services and the delivery of
information to communities about the range of services and payments Centrelink offers. Multicultural
Service Officers have also had a particular focus on the needs of refugees with several successful
projects aimed at tailoring service delivery to that group.
Involving Community and Business Partners
Centrelink takes every opportunity to involve community and business partners in the process of
listening to customers to understand their needs. One way it does this is by inviting them to participate in
Value Creation Workshops.
During 1998–99 a total of 269 workshops were held around the country involving about 4000 customers
and a similar number of staff. This brings the total number of customers and staff who have participated
together in this innovative cultural change intervention to about 10 000 since Centrelink was formally
launched. The workshops involve 15–20 customers participating in a structured feedback session in
which a similar number of staff participate by trying to anticipate what the customers value about
Centrelink’s service and how they will rate the service.
The process of inviting community and business partners to participate in the workshops has proved
extremely useful in creating a shared understanding of the issues affecting particular customer groups. It
also serves to inform the processes of policy and service delivery strategy development. Some
examples of how Value Creation Workshops have been used in this way include:
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workshops involving families required to accurately estimate their income;
customers with disabilities and carers;
customers from diverse cultural and linguistic backgrounds; and
Indigenous customers.
Families with Children
A series of six workshops, focusing on families receiving financial assistance assessed on the basis of
estimated income, was held in early 1999. The workshops were a collaborative effort involving the
Department of Family and Community Services, the Australian Taxation Office and Centrelink’s
Customer Service Centres, Area Support Offices and National Support Office. The outcomes from the
workshops were used to inform the policy for families assistance under the tax reform package and
develop strategies for helping customers improve their ability to accurately estimate their income or
provide timely advice of any changes to estimated income.
Customers with Physical Disabilities
Between November 1998 and March 1999a series of workshops was conducted with customers with
physical disabilities, those with hearing and vision impairment, and carers. The workshops were a
collaborative effort involving the Department of Family and Community Services and Centrelink’s
Customer Service Centres, Area Support Offices and National Support Office. Representatives from the
Department of Family and Community Services attended to learn more about the difficulties faced by
customers in this segment in their dealings with Centrelink.
Peak agencies including the Royal Blind Society, the Victorian Physical Disabilities Association and the
New South Wales Deaf Education Council attended these workshops. Positive feedback was received
from participants about current levels of satisfaction with Centrelink services, and service improvement
strategies are being developed where appropriate.
Through a network service delivery partnership between Area Pacific Central and Disability and Carers
Customer Segment Team a Work and Disability manual has been developed. The manual will assist
staff in both government and community organisations to provide needs based assessments and
employment related services to people with disabilities. Centrelink contracted a number of external
health professionals to assist in developing the manual. External organisations such as the Queensland
Aids Council, the Cerebral Palsy Association and the Muscular Dystrophy Association contributed to the
manual.
Customers from Diverse Cultural and Linguistic Backgrounds
Centrelink has continued to seek feedback from customers of diverse cultural and linguistic
backgrounds. Value Creation Workshops were conducted in five languages in 1998–99—Vietnamese,
Arabic, Greek, Italian and Spanish with staff listening in on headsets to a simultaneous translation of the
discussion. Customers indicated the need for staff to understand their cultural differences but overall had
similar expectations of service to those expressed at English speaking workshops. The workshops,
which are usually attended by one or two representatives from the relevant local ethnic community
group, have been successful in strengthening the partnership between Centrelink and the various ethnic
community groups through a shared understanding of the needs and expectations of customers from
diverse cultural and linguistic backgrounds.
Indigenous Customers
Twelve workshops for Indigenous customers were conducted throughout Australia’s urban, rural and
remote areas in 1998–99.In some cases the Value Creation Team have travelled up to eight hours by
bus to reach the more remote communities. The customers, including community elders, who often have
to travel long distances themselves to attend a workshop, spend up to a full day relating their
experiences of dealing with Centrelink and the local Customer Service Centre staff.
The future of the Centrelink’s Value Creation Team has been strengthened with the training of nine new
Indigenous Facilitators and 28 Indigenous Customer Service Champions to facilitate change focusing on
services to Indigenous customers and their communities.
International Year of the Older Person
The Fraser Coast Customer Service Centre in Area Brisbane introduced an awareness raising program
about elderly abuse in the local Hervey Bay community. An International Year of the Older Person
project, the program was developed in consultation with local government and the Hervey Bay
Community Strategies Group.
Disaster Response and Recovery
Centrelink is one of a number of agencies committed to responding to the needs of people and
communities devastated by natural disasters. A national strategy has been developed to ensure that, in
the event of a disaster, Centrelink is able to continue to provide its normal services to the community as
well as to provide additional assistance to those people who have been most affected by the disaster.
This additional assistance can be financial(through payments such as Special Benefit or Disaster Relief
Payment), or counselling(such as advising people on the types of social security available to them and
providing Social Worker assistance to local community recovery agencies).
During 1998–99 Centrelink provided financial and counselling assistance to a number of communities
that had been affected by several natural disasters.
Examples were:
• northern New South Wales and Queensland coastal communities which were affected by heavy rain
•
and flooding from July to October 1998and again during February 1999; and
Western Australian Exmouth and Moora communities which were devastated by cyclones and
flooding during March 1999.
Centrelink sent a Disaster Recovery Team to Exmouth after Cyclone Vance virtually destroyed the town.
The team’s help was gratefully received.
Centrelink was also called upon by Client Departments to deliver ex-gratia payments to people affected
by various disasters. These occasions included:
• the Victorian gas plant explosion in September 1998. As a result of that crisis, the Prime Minister
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announced the establishment of an Emergency Relief Fund for those people affected by the loss of
gas supplies. This involved an ex-gratia payment to people who were stood down from employment
and who could not immediately receive other income support. Centrelink administered the ex-gratia
payment and also provided a general information service regarding industry and community group
assistance on behalf of both Commonwealth and Victorian Governments;
the Crookwell New South Wales Southern Tablelands bushfires in February 1999. On this occasion
Centrelink administered a Commonwealth Government ex-gratia payment to 37 farmers in the Crook
well, Oberon and Evans Shires who had been affected by the fire; and
an outbreak of Newcastle Disease in chickens in the New South Wales Central Coast, north west of
Gosford, in April 1999. Centrelink administered a Commonwealth Government ex-gratia payment to
farmers whose livestock was destroyed and whose farms were quarantined in an effort to eradicate
the disease. In addition, Centrelink representatives attended regular meetings between State
Government officials and local farmers, and Centrelink provided a dedicated hotline telephone
number for people seeking information on Centrelink’s services.
While disaster management is a State government responsibility, Centrelink plays a key role in recovery
operations, providing income support and other services to customers whose lives have been disrupted
by extreme events. The Victorian Gas Crisis saw Centrelink swing into action. As soon as paralysed
industries started standing down workers in large numbers, Centrelink conducted interviews and
processed claims at their workplaces for five days from the time the gas supply went down.
Multicultural Service Officer Gilda Campbell was quick to respond when a severe hailstorm ruined the
market gardens in Virginia, north of Adelaide. Over 110 market gardens were affected. ‘I thought it was
best for us to go to them,’ Gilda explained ‘to make sure we gave personalised attention and service’.
Vietnamese interpreters and Centrelink staff from three offices visited the area over three days to
respond to enquiries and assist the customers to fill out forms.
Centrelink also helped out in other less widespread but nevertheless as devastating occurrences such
as severe hailstorms that hit north of Adelaide in September 1998.
Centrelink sent a Disaster Recovery Team to Exmouth after Cyclone Vance virtually destroyed the town.
The team’s help was gratefully received.
While disaster management is a State government responsibility, Centrelink plays a key role in recovery
operations, providing income support and other services to customers whose lives have been disrupted
by extreme events. The Victorian Gas Crisis saw Centrelink swing into action. As soon as paralysed
industries started standing down workers in large numbers, Centrelink conducted interviews and
processed claims at their workplaces for five days from the time the gas supply went down.
Multicultural Service Officer Gilda Campbell was quick to respond when a severe hailstorm ruined the
market gardens in Virginia, north of Adelaide. Over 110 market gardens were affected. ‘I thought it was
best for us to go to them,’ Gilda explained ‘to make sure we gave personalised attention and service’.
Vietnamese interpreters and Centrelink staff from three offices visited the area over three days to
respond to enquiries and assist the customers to fill out forms.
Other Achievements
The Payment Cycles Project
The Payment Cycles Project was the major focus of Centrelink’s technical development over 1998–99.
The project was announced by the Government in the1997–98 Commonwealth Budget and provided for
the following arrangements for social security payments:
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make all payments ‘period-based’;
make payments ‘fortnightly in arrears’;
make payments on any week day;
pay all of a customer’s entitlements on the same day (although there is provision for Family Payment
to be paid in the alternate week to other payments);
align entitlement periods for members of a couple; and
introduce a standard ‘14 day notification period’ for all customers (with some exceptions such as
Bereavement payments).
These new arrangements replace a complex array whereby the period of payment and day of payment
have varied over time and between payment types. Each of these separate arrangements was built into
Centrelink’s processing systems. The Payment Cycles initiative has involved changes to virtually every
record in every payment type with the new arrangements to all take effect from 1 July 1999. Close to 1.3
million customers were set to receive a ‘transition’ payment (payment for part fortnight) in the first weeks
of July 1999.
As part of the implementation of this initiative, Centrelink wrote to pensioner customers who maintain
bank accounts with the Commonwealth Bank and St George Bank. That letter explained to those
customers that from 1 July 1999their bank would no longer be able to continue a long standing practice
of crediting payments to their accounts on the day prior to their payday. Centrelink also supported both
banks in their information campaigns on this issue.
Centrelink also wrote to 1.2 million customers in May 1999 advising them of a change in their payday.
The letter set out details of the ‘transition’ payments that would be made in early July as part of the
arrangements for the new payment cycle.
Extensive systems testing and other assurance mechanisms were used to provide a high confidence
level for implementation of this major Government initiative. This work was substantially facilitated by the
passage of legislation in December 1998and early settling of policy issues. A joint Centrelink and
Department of Family and Community Services Steering Committee sponsored a highly cooperative
approach between the two organisations for each phase of this project.
The following new systems facilities were provided in support of this initiative:
• automated decisions on ‘dates of effect’ of verifications to customer payments as customers notify
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•
Centrelink of changes in circumstances. This will reduce future training requirements and improve
accuracy in payments;
components of the Family Payment system were moved into Centrelink’s ‘Common Platform’. As a
result screen and screen flows for this payment group will be in line with those of the other major
payments streams (pensions and benefits) again reducing future training requirements and allowing
staff to move more easily across payment groups;
the systems which take customer payments data and group this data in categories for dispatch to the
Reserve Bank have been restructured in a streamlined and simplified form. These key systems
should be more robust in the future with simpler forms reducing the risk of human error; and
a new format for letters—a ‘statement’ style—was introduced in late June 1999 to present key
information on payments to Centrelink’s customers.
Our People
Our goal is to create an environment where people in Centrelink are proud of their contribution and are
making a difference. The Balanced Scorecard measures our performance towards this goal through the
Centrelink People Key Result Area.
Key Strategies
• develop and implement a Performance Management Framework that ensures all Centrelink people
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are aware of the outcomes expected of them;
develop and implement a Centrelink Leadership Framework that creates a shared vision and culture
based on strategic directions;
develop and implement a Learning Framework;
develop and implement an Organisational Wellbeing Framework;
refine people management policies, systems and practices to support a culture of customer service;
and
redesign the structure and delivery of people management support services to improve efficiency and
support staff.
Overview
The Centrelink People Plan 1999–2000sets out a framework for action so that Centrelink people will
have:
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an understanding of the big picture—Centrelink’s goals and strategies that will achieve those goals;
an understanding of how their job fits into the big picture;
the skills and knowledge they need to meet their responsibilities and to continue to develop; and
better work tools and work policies that apply to their jobs.
Our people, through their knowledge and commitment to service, are one of Centrelink’s main
competitive advantages. To give value, our people need to feel valued. Throughout 1998–99 we have
worked with our people to identify a range of strategic people management initiatives that will help us
create a best practice organisation that attracts, satisfies and retains high performing people committed
to Centrelink’s goals.
We have selected outcome measures for the Centrelink People perspective of the Balanced Scorecard
that relate to our people’s perceptions of the key components of a best practice organisation. These key
drivers have been picked up in the People Plan and the latest Centrelink Development Agreement.
The measures and targets are based on the first Centrelink Staff Opinion Survey undertaken in
December 1997. As the survey indicated that our people viewed leadership, performance management
and learning as key performance drivers, arrange of measures were selected for each of these. A followup survey was conducted in August 1998 using a sample of staff by area, with approximately 5000 staff
being surveyed. The results demonstrated significant underperformance in this area. This is not
unexpected in a new organisation undergoing major transformational change. However, it is not an
acceptable outcome and a number of initiatives have been put in place to address this area of underperformance. These are discussed in the following sections.
Performance Detail
Building Staff Commitment with an Organisational Wellbeing
Framework
The organisational wellbeing framework operates within the People Plan. It is linked closely with
Centrelink’s ongoing commitment to team based work and the leadership, learning and performance
management frameworks.
The framework sets out the organisational wellbeing principles championed by Centrelink together with
the strategies that will ensure these principles are a feature of our workplace. The principles are:
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a work culture that shares knowledge;
a work culture that values and respects the diversity of individuals;
good health in the workplace; and
a safe work environment.
Workplace Diversity
There has been considerable progress against the objectives of the Centrelink Workplace Diversity
Program. Customer Service Centres are using Australian Bureau of Statistics statistical data on
community profiles and are endeavouring to develop Customer Service Centre staffing profiles that
reflect the community they serve. Detailed Equal Employment Opportunity recruitment and staffing data
is located at Appendix iv.
Centrelink has developed an award winning video and training package for its staff to guide them in
using professional interpreters correctly. The ‘Working with Interpreters’ video was the winner in the
open category of the1998 Australian Public Service Workplace Diversity Awards. The video training
package is available for sale through AUSINFO bookshops.
Over 17 per cent of Centrelink staff comes from a multicultural background. New arrangements with the
Institute of Languages, University of New South Wales, for language testing means an increased
number of staff will be able to help customers in the language most relevant to their needs. Testing will
be on demand and over the phone.
A review of the Employment and Career Development Plan for Indigenous People commenced. To
assist in this process, a survey to identify the needs and concerns of Indigenous staff working in
Centrelink was developed. An Indigenous Reference Group has been established to ensure that the
needs of Indigenous staff are met. This, in turn, enables them to provide personalised and culturally
appropriate solutions, which improve the social and economic participation and wellbeing of our
Indigenous customers.
An Eldercare Kit has been released to assist staffs who have care responsibilities for older persons. This
kit also celebrates the ‘Year of Older Persons’ and demonstrates Centrelink’s commitment to a healthy
work/life balance.
A project team has been set up to work with Centrelink staff who require adaptive technologies to allow
them to perform their duties. The aim of the project is to provide better user service by researching and
supporting the development of adaptive technology solutions for staff. Work has been undertaken on the
development of screen reader software for users with severely limited to no sight; screen magnification
software for users with limited sight; and speech recognition software for users who have a physical
impairment that prevents them from ‘normal’ manual keystroke or mouse functionality.
Health and Safety
Centrelink has an Occupational Health and Safety program which was developed as part of Centrelink’s
Occupational Health and Safety Agreement 1997–99.The program is the basis for the achievement and
maintenance of a strong, well developed safe and healthy workplace culture. The most important
aspects of the program are:
• the recognition of the value of early intervention and prevention activities;
• the identification and elimination of hazards; and
• the development of team leaders and managers who are committed to the integration of health and
safety principles into everyday business.
The number of incidents reported to Comcare Australia, and investigations conducted, and directions
and notices given to Centrelink during the 1998–99 period are shown in Table 11 on the next page.
Table 11: Occupational Health and Safety Details 1998–99
TYPE OF INCIDENT
NUMBER REPORTED
TO COMCARE
Death
0
Serious personal injury
19
Incapacity for five or more continuous working days or shifts
59
Dangerous occurrence
19
Total
97
DETAILS OF INVESTIGATIONS ETC. CONDUCTED
NUMBER
Investigations, including tests on plant, substances, object, etc., in the
course of such an investigation
3
Notices given to Centrelink under section 29 of the OH&S(CE) Act 1991—
Provisional Improvement Notices
3
Directions given to Centrelink under section 45 of the OH&S(CE) Act
1991—Directions that the workplace not be disturbed
0
Notices given to Centrelink under section 46 of the OH&S(CE) Act 1991—
Prohibition Notices
0
Notices given to Centrelink under section 47 of the OH&S(CE) Act 1991—
Improvement Notices
0
Note: OH&S(CE) Act 1991—Occupational Health and Safety (Commonwealth Employment) Act 1991.
A Better Health Practices conference was conducted in December 1998 to share information on
strategies for early intervention and case management. It also provided the opportunity to gain a greater
understanding of the issues relating to compensation claims determinations and requirements for
compensation self-insurance. The main action arising from the conference was a research project on the
feasibility of adopting a self-insurance approach to workers’ compensation in Centrelink. The major
benefit of their search at this point will be a consistent ‘best practice’ approach to case management and
early intervention strategies.
Developing Recognition Programs
In order to increase the use of recognition programs in Centrelink, a National Awards program has been
introduced. The awards will recognise achievements related to corporate goals and objectives. There
will be a three-tiered approach: local workplace; Area Support Office/National Support Office Team; and
Corporate awards. New approaches to recognising performance through the remuneration system have
been achieved through the new classification structure (discussed on page 66 as part of the new
Centrelink Development Agreement). The new structure recognises staff performance through feedback
and pay advancement, including accelerated advancement for performance exceeding expectations,
and annual advancement.
Building Individual Learning and Leadership
Individual Learning
Team and Individual Learning Plans were introduced into Centrelink in 1997–98 as part of Centrelink’s
National Learning Strategy. Since then growth in their usage across the agency has been steady. At 30
June 1999, 48 per cent of staff had Team and Individual Learning Plans. Team and Individual Learning
Plans will be important foundation documents for the proper functioning of Centrelink’s new performance
assessment process. Recent team self assessment workshops indicate a strengthening of linkages
between business purpose and learning needs and that both team and individual learning should be
aligned and focused on business outcomes.
Learning Framework
In June 1998, Centrelink’s Board endorsed the National Learning Strategy that with the People Plan sets
the scene for learning and development. The Strategy is based on a logical progression of learning by
individuals in the agency, through introduction to the organisation and its culture, systems and values, to
job readiness for current and future jobs, specialist skills, management skills and knowledge and the
acquisition of leadership skills. A competency-based approach underpins the strategy with national
programs developed and accredited against competency standards. With this in mind, Centrelink
became a Registered Training Organisation on 24 June 1999.
Centrelink has developed, piloted and delivered a range of accredited programs for its staff, including a
Certificate in Business (Office Administration) and Certificate in Business (Administration)for frontline
Customer Service Officers; a Diploma in Business (Administration) for Team Leaders; a Certificate in
Community Services (Youth) for Youth and Students staff; a Diploma in Community Services(Disability
Work) for Disability staff; and a Certificate in Fraud Control (Investigation) for Compliance staff.
During 1998–99 Centrelink strengthened its network of agents for customer driven change by training 28
Indigenous customer service champions bringing the total number of customer service champions, key
change agents, to around 600. The role of these staff is to act as a focal point for staff to pursue their
ideas on how customer service could be improved. The staffs assume responsibility for championing the
cause of improved customer service, facilitating customer driven change and monitoring customer
satisfaction.
The next stage in learning in Centrelink will be the presentation of the bulk of the ‘technical training’
through the new medium of interactive television. The development in 1999–2000 of a Centrelink
Education Network with the capacity for staff to interact with a central presenter and other participants
around the country will enable Centrelink to reach more of its staff quickly and cheaply with uniform, high
quality and timely training. The accredited programs will form the nucleus of Network presentations over
the next two to three years.
Improving Leadership
Leadership has been a prime focus over the period. Centrelink developed an agency specific leadership
model in 1997 that has since been distilled into a set of Leadership Capabilities to be used for selection
and recruitment and for development purposes. Against this background a comprehensive 360 degree
feedback program has been undertaken by the Guiding Coalition, followed by a series of Coaching
Workshops to build skills and foster networks and peer support. A panel of providers under the generic
theme of ‘Leading Change ‘worked with Area Managers and National Support Teams to develop the
leadership skills of mainly management-level staff.
To better equip leaders in Centrelink, Leadership Capabilities have been identified and 360 degree
feedback systems and training programs are being used to support leaders’ development. Work has
also been undertaken to improve leadership through greater self awareness and coaching. Forty seven
members of Centrelink’s Guiding Coalition and 236 senior officers undertook a comprehensive 360
degree feedback process (for example feedback from supervisors, peers, subordinates and customers)
in the period, while 53 undertook coaching workshops to 30 June 1999.
Team Leaders’ Training
Throughout the year leadership development programs were offered to staff at all levels in the Areas
and National Support Office using local initiatives and the opportunities created by Centrelink’s Leading
Change Panel. Consistent with the move towards accreditation, 20 of Centrelink’s frontline leaders
participated in the pilot of a Diploma of Business (Administration) aimed specifically at the development
of operational management and leadership skills.
Using Customer Service Improvement Plans
The results from recent team self assessment workshops indicate a strong commitment to and
involvement in planning activities which were agreed in the Centrelink Development Agreement 1997–
1998. The team assessment workshops are proving a valuable tool in strengthening this area. The move
from centralised planning is a slow process and part of the cultural change Centrelink is undergoing.
Becoming a Best Practice Employer through Workplace
Agreements
New Centrelink Development Agreement 1999–2002
The new Centrelink Development Agreement 1999–2002 is an agreement between Centrelink, the
Community and Public Sector Union and the Media, Entertainment and Arts Alliance under Section 170
LJ of the Workplace Relations Act 1996. The Agreement was certified by the Australian Industrial
Relations Commission on the 11 May 1999. It is a three year; comprehensive agreement that provides a
framework to support Centrelink’s strategic direction. The most important elements are a classification
structure which encourages skills development for all staff and recognises performance through
accelerated pay and advancement, on going structured feedback and early intervention to resolve
performance problems. Quality customer service, better jobs and increased job security will result from
this new agreement.
Centrelink is committed to consulting with staff and their representatives. Industrial Democracy principles
were incorporated into the Centrelink Development Agreement 1997–98 and have been continued in the
new Centrelink Development Agreement. In addition to the negotiations accompanying development of
the new Centrelink Development Agreement, consultation with our staff continued throughout the year.
The highlight was a highly successful National Strategic Development Conference held from 7–9
September1998 and involving over 60 staff, union and management representatives. The conference
outcomes included significant contributions to our short, medium and long term strategies for
achievement of Centrelink’s strategic goals.
Other formal consultative mechanisms include, at the national level, the National Strategic Consultative
Committee that meets twice yearly as well as consultative committees at the local level. Centrelink
provides appropriate facilities for those employees and union delegates with roles representing the
interests of other staff. The Centrelink Development Agreement includes further provision for
consultative processes and representation of staff.
Classification Structure
On 25 June 1999, Centrelink moved to a classification structure based on broad banding of the new
Australian Public Service structure as part of the new Centrelink Development Agreement. The broad
band’s flatten the former structure from a maximum of nine levels down to a maximum of four levels. The
broadband maintain recognition of the broad differences in types of work in Centrelink, with streams for
administration and management, information technology, professional work and public affairs. The
potential for unwarranted increases in Centrelink’s salary profile is reduced through the use of work
availability barriers in the higher bands.
Not only does the new structure reduce organisational hierarchy, but it also focuses on performance
management through the use of a comprehensive performance management system linked to
advancement within the structure. Under the new arrangements, performance management is based on
a combination of agreed work objectives, together with behavioural standards linked to Centrelink’s
Shared Behaviours. The arrangements require regular feedback and review, and promote early
intervention to solve performance problems. Good performance is recognised through salary
advancement. Performance exceeding expectations is recognised through accelerated advancement
and access to higher pay levels.
Assessment against the agreed work objectives and the behavioural standards(known as ‘Performance
Descriptors’) is conducted by the manager or team leader, with self assessment playing an important
role, and peer and team feedback assisting in assessment against behaviours.
Centrelink Development Agreement 1997–1998
Throughout the reporting period, work continued on the implementation of initiatives contained in the
Centrelink Development Agreement 1997–1998.
Salary packaging was introduced on 28 January 1999 as part of the first Centrelink Development
Agreement and has been continued in the new Agreement. In accordance with policy parameters for
agreement making in the Australian Public Service, salary packaging does not involve any extra total
cost to Centrelink.
In addition, a review of remote locality and general allowances was conducted. There view groups
consisted of representatives from the Community and Public Sector Union, employees and
management. The aim of the reviews was to streamline and simplify arrangements in place at that time.
As a result of the reviews, more streamlined allowances arrangements have been included in the new
Centrelink Development Agreement.
Other Achievements
Re-engineering Service Delivery within Centrelink
The Infolink HR Project
The Infolink HR project has been a key tool in the re-engineering of people management service delivery
in Centrelink. Infolink HR is more than a replacement Human Resource Management System for the
more efficient and effective administration of pay and conditions. It has been aligned with the new
Infolink Financial Management System to ensure both internal and external integration of systems and
business. For example, we have been able to reduce costs by taking full responsibility for the
management of our payroll. The better integration of the management of establishments, personnel
delegations and system security has streamlined staff’s access to information technology products and
resources.
In addition, Info link HR will support a stronger internal customer focus for people management advisers
and team leaders/managers. A wider range of people-related activities can be serviced by the system.
The inclusion of recruitment, career and succession planning, performance management, learning and
development, and Occupational Health and Safety modules will provide for better workflows and support
for activities such as human resource budgeting and workforce planning.
Pay Centre Processing Consolidation
As an initial step in progressing the streamlining of delivery of people management services in
Centrelink, the existing nine pay processing centres were restructured into a single national structure.
The permanent structure consists of the National Pay Centre located in Burnie,Tasmania, delivering
payroll as well as pay processing services to all staff, and three out posted Service Centres. The three
Service Centres are responsible for the delivery of specific functions which require specialised skills and
are located in Adelaide, Melbourne and Townsville.
The national pay centre structure is the first trial of a ‘shared services’ approach to providing internal
support services through Service Centres located out in the field, and has also resulted in significant
cost reductions. This restructure was a major change which involved extensive consultation. Staffs
affected by the change were supported through this by a network of Career Transition Officers.
People Management Benchmarking Project
In addition, in order to gain a better insight into the efficiency and effectiveness of our people
management practices, Centrelink participated in the Australian Public Service People Management
Benchmarking Project coordinated by the Public Service and Merit Protection Commission. The results
have provided us with qualitative and quantitative data that we are using to refine our people
management practices and services.
Our Cost Effective Organisation
Our goal is to return an efficiency dividend to Government. The Balanced Scorecard measures our
performance towards this goal through the Centrelink Cost Reduction key Result Area.
Key Strategies





refine cost structures and set competitive prices;
establish a resource management framework and processes to enable best practice utilisation of
skills across Centrelink;
build capacity for managing outsourcing and contestability;
upgrade financial management infrastructure; and
strengthen preventive compliance measures.
Overview of Centrelink Financial Performance
A summary of 1998–99 expenditure and staff years is shown in the following table.
Centrelink’s net operating result for 1998–99 improved by $14.6 million compared to the corresponding
period last year. This was after taking into account an efficiency dividend of $96.1 million returned to
Government via a reduced revenue base.
The impact of the efficiency dividend is notionally illustrated in the following table.
Table 12: Financial and Staffing Resources Summary
ACTUAL
BUDGET &
ACTUAL
1997-98*
ADDITIONAL
1998-99*
ESTIMATES
1998-99*
$(‘000)
$(‘000)
$(‘000)
Running Costs (RC)
1 621 772
1 825 710
1 713 875
Other Program Costs
47 000
58 949
31 078
1 668 772
1 884 659
1 744 953
Cost of Service
Delivery
1 687 365
na
1 676 517
Other Program Costs
(excl. Service Delivery)
26 975
na
51 305
Total Expenses
1 714 340
na
1 727 822
Staffing: Staff Years
(Actual)
25 336
na
22 641
Budgetary (Cash) Basis
Components of
Appropriations
(excluding RC)
Total Expenditure
Accrual Basis
Table 13: Centrelink’s Net Operating Result 1998–99 and 1997–98
1998-99
1997-98
$m
$m
Revenue (net of dividend)
1697
1700
Revenue (before dividend)
1793
1754
Expenses
-1677
-1687
Operating Result
166
67
Abnormal Item*
-81
-27
Abnormal Item*
30
0
Extraordinary Item
0
-31
Operating Result before div
65
9
Efficiency Dividend
-96
-54
Net Operating Result
-31
-45
Revenue
The Department of Family and Community Services was the primary source of revenue, generating 88.9
per cent of Centrelink’s overall revenue. Centrelink’s operating funds are primarily derived from those
client agencies with whom it negotiates Business Partnership Agreements. Those agreements provide
for funds to be transferred to Centrelink in accordance with arrangements specified in the Business
Partnership Agreements. Table 14 and Figure 12 sets out the available funds in 1998–99.
Table 14: Revenue 1998–99
SOURCE
$M
Department of Family and Community Services
(FaCS)
1 508.4*
Department of Employment, Workplace Relations
and Small Business (DEWRSB)
100.9
Department of Education, Training and Youth
Affairs (DETYA)
48.7
Department of Health and Aged Care (HAC)
12.0
Department of Agriculture, Forestry and Fisheries
Australia (AFF)
4.8
Other Revenue
22.1†
Total
1 696.9
Notes:
*Revenue from Department of Family and Community Services includes $28.906m for Computing Equipment.
†Other
Revenue includes $0.209m from Direct Appropriations from Government.
Abnormal Items
Abnormal items included voluntary redundancies totalling payments of $81 million. The full financial
benefits of staff reductions and infrastructure improvements will become apparent in 1999–2000 and
beyond in terms of lower net operating costs.
A further abnormal item of $29.7 million appeared in the 1998–99 Accounts; refer to Financial Statement
Note 16. In the 1997–98 Centrelink’s Statement of Assets and Liabilities, $29.7 million was reported as a
running cost payable. This amount was correctly classified as a payable to the Department of Finance
and Administration in 1997–98. However, it was also incorrectly included in the net 1997–98
Receivables result of $36 million. A prior period adjustment has been recognised in Centrelink’s 1998–
99.
Statement of Revenues and Expenses which rectifies the 1997–98 treatment of this item and correctly
accounts for Centrelink equity as at 30 June 1999.
Balance Sheet and Cash Flow
Centrelink required a loan from the Department of Finance and Administration during 1998–99 to assist
in the financing of restructuring operations. An original requirement of $143 million for 1998–99 was
progressively reduced to $31 million due to improved financial performance by Centrelink compared to
the original plan.
Performance Detail
Prescribed Efficiency Dividend
A significant milestone during 1998–99 was the achievement, for the second year in a row, of the
Government efficiency dividends in the form of a reduction in the fees paid to Centrelink by client
agencies. In recognition of Centrelink’s need to achieve significant efficiencies through the integration of
services and the removal of duplication across several agencies, a special dividend, in addition to the
standard annual efficiency dividend of one per cent of total net running costs, was applicable to
Centrelink. In 1998–99 the level of the additional efficiency dividend was 4 per cent. The special
efficiency dividend resulted in the return to Government of $59.2 million in 1998–99.
The Financial Statements section of the Annual Report (page 103) shows revenue net of the dividend.
The effects of the dividends are illustrated in Table 13 Centrelink’s Net Operating Result. Table 15
provides a breakdown of the individual components of the dividend.
Table 15: Government Dividend Requirements (Cumulative)
1998–99
1997–98
$m
$m
Normal
31.0
16.0
Special
59.2
38.1
IT infrastructure
5.9
0.0
Total
96.1
54.1
Cost Reduction
Additional Dividend and the Debt Reduction are key performance indicators in the Key Result Area of
Cost Reduction, under the 1998–99 Balanced Scorecard.
Additional Dividend
The Additional Dividend is the dollar achievement in excess of both the compliance savings component
of the compliance review activity benchmark ($399.6 million) and the debt recovery benchmark ($545
million). As savings and recoveries totalled $1 009.6 million, this benchmark was exceeded by $65
million.
Debt Reduction
This measure relates specifically to the Debt Prevention Initiative which is aimed at reducing the
incidence of customer debt. The measure for 1998–99 was a reduction in the average value of
preventable debt raised in the year. Preventable debt excludes debt over which Centrelink has no
control—for example other government debt, Assurance of Support, Newstart Advance (loans) and
compensation recoveries. In the 1998–99 financial year a seven per cent reduction was achieved
against the baseline, exceeding the target by three percentage points.
Debt Prevention Activities
Centrelink places a strong emphasis on a wide range of preventative measures for all dealings with its
customers. The aim of Centrelink’s preventative action is to ensure that all customers are paid correctly
from the start and throughout their relationship with Centrelink, rather than detecting incorrect payments
at a later date. These goals are achieved through a framework of procedures, controls and systems and
by focusing specialist debt preventionresources, known as Debt Preventionand Monitoring Officers, on
addressing the major causes of preventable debt. In this regard the major cause of preventable debt for
Centrelink remains the failure of customers to advice of a change in their income or other relevant
circumstance.
Debt Prevention and Monitoring Officer positions have been established across the Customer Service
Centre network to identify and implement debt prevention strategies. The best of these local initiatives
are further developed and implemented on a national basis in the interest of improved customer service
and reduced outlays. In addition to this, other strategies such as new or revised work practices,
information products to help customers be more aware of their responsibilities and outreach activities to
employers and community groups are being undertaken.
Childcare Assistance
From 1 July 1998, Centrelink assumed responsibility (from the former Department of Health and Family
Services) for the payment and administration of Childcare Assistance. As part of the administration of
Childcare Assistance, Centrelink has been conducting reviews on operators of government funded child
care services to ensure they are meeting the conditions of funding agreed to with the Commonwealth.
During the 1998–99 financial year, 886 child care service reviews were conducted.
In line with Centrelink’s debt prevention strategy, Review Officers and Childcare Assistance Payments
Teams have been conducting educational visits/seminars for child care service operators. This outreach
has been focused on operators new to the child care industry.
Other Achievements
Contracts Management
During the year, Centrelink has achieved savings of over $14 million as a result of management of
national contracts. Contract savings include: travel services; managed voice services; motor vehicle
leases; photocopier services; and mail services. The savings accrued as a result of new contracts or
contract management activities include: nominal or actual calculated cost reductions from better
practices; reduction in or waiver of supplier invoices; liquidated damages and rebates; and
reimbursement of some on costs for inter-agency jointly sponsored action.
Staff Numbers
Centrelink is transforming its culture from one typically associated with the public sector to one that is
more business like in its approach. This is reflected in the expense performance for the year. At the end
of June 1999, the number of staff at Centrelink was 22 641*, a reduction of 2695 compared to 1997–98.
It was achieved without a reduction in service standards and was made possible mainly through
reductions in Customer Service Centre work backlogs, an associated reduction in Call Centre demand,
stabilisation of systems, and more recently the establishment of a ‘one to one’ service. During the year
$81 million in restructuring costs was paid in voluntary redundancies and the full financial benefits of
staff reductions and infrastructure improvements will become apparent in 1999–2000 and beyond in
terms of lower net operating costs.
Note: *Includes paid and unpaid permanent and temporary staff.
Reduced Comcare Premium
Comcare Australia has advised that Centrelink’s 1999–2000 Workers ‘Compensation Premium rate will
be $1.22 per wage and salary dollar. This is a $0.05reduction on the 1998–99 premium rate of $1.27
and reflects an improvement in our overall compensation claims management performance. This is a
very positive outcome considering that the overall Commonwealth premium rate for 1999–2000 has
increased.
In addition to obtaining a reduced premium rate, Comcare has also awarded Centrelink a bonus of $1
150 800 based on our handling of our 1997–98 claims relative to other Comcare customers. To a large
extent, this excellent outcome can be attributed to a joint Centrelink/Comcare project that focused on the
management of Centrelink’s ‘long tail’ workers’ compensation claims. This project along with other early
intervention strategies has resulted in a saving of $7 million in liabilities.
In addition, the early intervention and prevention initiatives commenced as part of our organisational
wellbeing framework outlined in Chapter 6, Our People, pages 61–63 have also assisted in reducing our
premium rate.
Details of outcomes of the Occupational Health and Safety program are in Table 11, Chapter 6, Our
People, page 63.
Absenteeism
Absenteeism has increased 3.6 per cent during the reporting period. This result was not unexpected
given the pressures on our people to adapt to a range of new customer service delivery initiatives. In line
with the new Centrelink Development Agreement 1999–2002, team leaders and managers continue to
promote a positive attendance culture which creates within our people a commitment to customer
service while maintaining a flexible working environment that is sensitive to their family responsibilities. A
renewed emphasis on options such as part time and home based work will be supported with better
tools for workforce planning and monitoring through Infolink HR, our new human resources management
system.
Centrelink Collocation
In order to reduce costs and increase efficiency, Centrelink has entered into a unique arrangement with
our mail house, to share resources at the supplier’s premises. This arrangement offers reduced property
and operating costs for Centrelink, elimination of the need for couriers for document transport, and
reduced risk of delays in sending client letters.
Consolidation of Mainframe Operating and Production
Processing Staff
The mainframe operations staffs from Canberra and Sydney were collocated in Canberra allowing the
operation of both mainframes from a single site. Production processing staffs from Canberra and Sydney
were collocated in Sydney where all the production processing is now managed. These initiatives
resulted in a more efficient and cost effective operation of the two sites.
Information Technology
The Online Learning Centre pilot in Adelaide trialled the use of training packages delivered electronically
via the Intranet to staff via their computers. The feasibility of using the concept across Centrelink will be
explored further next financial year.
Previous annual costs of providing information technology support to Centrelink were estimated at $6.7
million and were delivered from seven state based support centres. The consolidated Information
Support Centre in Canberra is now successfully running at an annual cost of $4 million. Regular internal
staff surveys show a high acceptance of the new help desk at more than 85 per cent.
The Business Improvement Committee
Centrelink has a continuing program of business improvement. The Business Improvement Committee
was established in May 1998 to manage this change program.
The role of the Committee is to ensure that projects:




are consistent with Centrelink strategic objectives;
result in measurable and harvestable productivity benefits;
result in benefits to customers; and
enable Centrelink to maintain and increase competitiveness.
The Committee assesses the value of potential projects through a rigorous business case process. The
Committee assigns priority to those projects with expected high returns on investment and identifiable
gains for customer service.
The three members of the Committee are:



Ross Divett, Deputy Chief Executive Officer;
Graham Bashford, General Manager Business Development; and
Jane Treadwell, Chief Information Officer.
All approved projects are managed through a project management framework which ensures a
consistency of approach and establishes clear lines of accountability for pre-scheduled deliverables.
OUR INNOVATIVE ORGANISATION
Our goal is to provide innovative and personalised solutions consistent with Government policy. The
Balanced Scorecard measures our performance towards this goal through the Innovation Key Result
Area.
Key Strategies
The key strategies are designed to:





develop Information Technology strategies that enable and align with the Centrelink Strategic
Framework;
use new and emerging technologies to personalise service, expand choice, increase convenience
and support decision making;
encourage innovation and creativity in Centrelink people;
support the ‘one to one’ model of customer service; and
build business partnerships and strategic alliances for a ‘single window’ to government services.
Performance Detail
Freedom to Innovate
Nurturing Ideas
The Centrelink Intranet continues to be a popular method for staff to stay informed and to participate in
organisation initiatives. In particular the ‘Centre Think’ site, with sections including an Ideas Bank and
Let’s Talk forum, has proved to be a valuable incubator of new ideas and thoughts.
The monthly Business TV program ‘IT Works’ is in its second season and includes broadcasting of
innovative local information technology initiatives to the rest of Centrelink.
Percentage of Business Undertaken Electronically
Family Support
A new electronic registration process for Child Support Assessment applications was implemented in
December 1998 to improve Centrelink’s effectiveness to electronically transfer customer data to the
Child Support Agency. This resulted in an increase in the number of child care services lodging claims
on disk, rather than completing paper forms.
Call Centre Automation
The identification of business requirements for initial Call Centre automation facilities was finalised
during the year. Phone based customer self-service will include:



information about recent and next payments;
balance of an advance; and
provision of statements of current payments to be used for claiming concessions.
Contracts have been arranged with a systems integrator and information technology developers to build
these facilities with the first to become available by the end of 1999.
An interim customer self-service phone facility to provide payment details to customers was
implemented in Western Australia in May 1999 for subsequent national rollout in late 1999. This will
result not only in improved customer service butal so provide important information about usage
patterns, privacy and security as a precursor to the full program of automation features to commence in
2000.
Employment Services Online Claim Process
During 1998–99 an employment services online claim process was implemented replacing the collection
of information via paper based forms. This is particularly attractive for jobseekers as more than half have
an existing record and conventional processes require them to restate their circumstances. The
collection of new claim information orally, has been overwhelmingly preferred by customers (97.4 per
cent) to the traditional process of relying on a number of paper forms.
‘One to One’
The Information Technology systems have been modified to support Centrelink’s ‘one to one’ service.
Changes have included automating the process for allocating existing customers to a main contact
officer, making it easy for staff to identify a customer’s main contact and automating the allocation of the
work associated with each customer to the appropriate Centrelink person.
Expert Systems
Centrelink is investigating the use of an expert (intelligent) system with the support of the Department of
Family and Community Services. The expert system would guide staff through the necessary policy
rules and legislation to help them determine a customer’s likely entitlements as they enter customer
information. Such a system would provide a record of the decision path and generate up front a
customer letter of likely entitlement at interview. The system would include a’ what if’ capability to enable
customers to test a number of scenarios in assessing the impact of possible changes in their
circumstances.
Use of an expert system has the advantages of:


assisting staff in their day-to-day processing and service functions; and
addressing customer concerns about accuracy, consistency, clarity and completeness of information
provided.
The longer term possibility of extending the expert systems rule base to cover all the business of client
departments/agencies and allowing customers access to their own records for restricted access/update
is being examined. In order to test this technology, a small expert system ‘Planning Your Retirement’ is
being built for release in 1999–2000.
Centrelink, in partnership with the Department of Family and Community Services, has gone to tender in
order to form an alliance with an industry leader in expert systems technologies. Subject to a successful
tender, it is planned that the first large expert system deployed would focus on supporting the Family
Assistance Office and be built in line with the ‘life events’ and ‘one to one’ service.
Future Initiatives
Centrelink has a variety of pilots and trials underway to enable it to fully understand how best to provide
services to customers through a variety of electronic channels.
Projects include:
•
•
•
•
•
a web post office;
the Telstra Multimedia Payphone;
secure Internet Messaging System to enable customers to send private and confidential information;
authentication and use of Public Key Infrastructure to ensure only authorised access to personal
information; and
development of an Electronic Service Delivery Business Plan.
Other Achievements
Services for All
Centrelink is one of Australia’s 100 leading information technology users, ranked number four across the
country*. Information technology is a key enabler for Centrelink, allowing it to deliver services and
payments to over six million Australians. In crisis situations, such as the Victorian gas crisis and the
Exmouth floods, information technology has permitted payments to be quickly made at the doorsteps of
the victims of these disasters.
*Source: Managing Information Strategies magazine, issue winter 1999, page 21.
Year 2000 Innovations
For Year 2000 innovations see Chapter 9, Corporate Overview of Our Organisation, Year 2000
Compliance Report, pages 89–90.
Recognition of Excellence
In April 1999, as part of the 12th Annual Government Technology Awards for Advances in Technology,
Centrelink won a combined silver prize in the Commonwealth Government category for the development
of its Intranet and Remote Access Services system. For more detail see Chapter 5, Our Customer and
Community, pages 43–44.
CORPORATE OVERVIEW OF OUR ORGANISATION
Legislation
The Commonwealth Services Delivery Agency Act 1997 (the Act) which came into effect on 1 July 1997
formally established Centrelink. Under this Act the Agency comprises:
•
•
•
a Board of Management;
the Chief Executive Officer; and
the employees.
Centrelink’s Functions
The Act confers on the Agency responsibility for:
•
•
•
•
the provision of Commonwealth services in accordance with service arrangements, and activity
included in the arrangements that is incidental, conducive or related to the provision of the services;
any functions conferred on the Agency under any other Act;
any functions that the Minister, by written notice given to the Chairman, directs the Agency to
perform; and
activity incidental, conducive or related to the performance of any of its other functions.
Role of the Board of Management
The Act gives the Board power to do all things necessary or convenient to be done for, or in connection
with, the performance of its functions. The Board’s functions are:
•
•
to decide the Agency’s goals, priorities, policies and strategies; and
to ensure that the Agency’s functions are properly, efficiently and effectively performed.
The Board must comply with a direction from the Minister, given in writing to the Chairman, about the
performance of its functions, the exercise of its powers or the conduct of its meetings. Particulars of any
directions given by the Minister in a financial year must be included in Centrelink’s Annual Report. (See
Appendix x.)
The Board must also ensure that general policies of the Commonwealth Government that apply to the
Agency, the Board or the employees are carried out.
Role of the Chief Executive Officer
The Chief Executive Officer is responsible for the day to day management of Centrelink and its
operations.
Organisational Arrangements
The organisational shape of Centrelink has remained dynamic and has been under continual review
over the past year as Centrelink has expanded its operational capacity.
The organisational structure reflects the business operations logically, and facilitates the ongoing
streamlining of organisational levels and functions. It also provides the flexibility to build organisational
capabilities which will be required for Centrelink to function in an increasingly contestable environment.
The organisational framework for Centrelink is summarised in Figure 14 on page 86.
Guiding Coalition
Centrelink has a flat management structure, the traditional divisions and branches have been replaced
with teams. A Senior Executive Service Officer leads each team.
Every Senior Executive Service Officer is a member of the Guiding Coalition. The Guiding Coalition is
our internal Management Committee. Each member represents his or her people. The Guiding Coalition
meets every six weeks.
The Guiding Coalition’s role is within the directions or policies determined by the Board of Management,
to:
•
•
•
•
guide the organisation;
set enabling direction and take key decisions;
establish a culture for the future; and
be an educative forum.
The Span of the Centrelink Network
Figure 15 on page 87 highlights the presence of Centrelink across the nation. Customer Service
Centres, Agents and Community Agents are positioned to allow the widest possible access to all
Australians, whether they be in metropolitan, rural or remote localities. This network allows Centrelink to
deliver a comprehensive suite of services consistent with the Government’s ‘one stop shop’ policy.
Area Support Offices
Given its national focus, Centrelink has grouped its various service centres into 16 geographical areas,
each with an Area Support Office headed by an Area Manager. These offices provide management,
administrative and operational support for Customer Service Centres.
National Support Office
The National Support Office is Centrelink’s headquarters, and as its name suggests, supports the
Government, client departments and the Centrelink network which interacts directly with customers.
There are three main types of teams in the National Support Office, Theme Teams, Customer Segment
Teams and Information and Technology Teams.
Theme Teams manage corporate functions and ensure that Centrelink develops and demonstrates best
practice in all aspects of its operations.
Customer Segment Teams, corresponding to the major customer groups to which Centrelink delivers
payments and services, are responsible for ensuring the achievement of performance levels set out in
business partnership agreements for their particular customer group. They also provide the main point of
liaison for day-to-day contact between Centrelink and its client departments.
Information and Technology Teams are responsible for the development, release and maintenance of
information technology products and services for Centrelink.
Centrelink’s Business Operations
The scope of Centrelink’s business activities is largely determined by its contractual arrangements with a
range of client departments and agencies.
Payments made on behalf of these clients in 1998–99 represented just over a third of Commonwealth
budget outlays.
Business Partnership Arrangements
Centrelink’s business arrangements are outlined in either Business Partnership Agreements or other
business arrangements with client departments or agencies.
The Agreements/Arrangements outline:
•
•
•
•
•
products and services to be provided;
performance outcomes and reporting arrangements;
funding arrangements;
arrangements agreed upon, to manage particular issues; and
new and priority activities.
The Agreements/Arrangements require clear specification of policy and operational outcome
requirements and ensure identification of respective purchaser/provider roles and responsibilities. They
provide clarity of performance and accountability expectations.
For details of Partnership Arrangements as of 30 June 1999, see Chapter 1, Introducing Centrelink,
page 6.
Other Corporate Matters
Discretionary Grants
Centrelink does not administer any discretionary grant programs.
Legislation/Regulations Impacting on Business
The Government requires all Statutory Authorities and Agencies to report on any legislation and/or
regulations that impact on business. Centrelink does not have any actions to report.
Year 2000 Compliance
The Year 2000 Compliance Project was initiated in March 1996 to address the Year 2000 issue in the
former Social Security Portfolio. The key objective is to ensure that risks associated with the Year 2000
problem are effectively managed so that minimal impact is experienced.
Centrelink has a strong governance and reporting framework for Year 2000 compliance. A Year 2000
Steering Committee and Project Office were appointed in 1997 and have been responsible for the
overall operation of the project. During the 1998–99 financial year management and reporting
mechanisms on the status of Year 2000 compliance has been as follows:
•
•
•
•
•
•
•
•
•
steering Committee of senior officers meeting bi-monthly;
quarterly reporting to the Information Technology Committee of the Centrelink Board;
Centrelink Project Office providing a reporting and coordination role;
quarterly reporting to the Government through the Office for Government Online;
monthly status of certification process reported to Centrelink Senior Executive Service;
six monthly Senior Executive Service sign-off, certifying Year 2000 issues have been addressed in
teams;
Year 2000 issues remaining as a standing agenda item at the weekly National Support Office
executive meeting;
monthly meeting of Year 2000 Branch Coordinators; and
six monthly meeting of Year 2000 Area Coordinators.
The Year 2000 Compliance Project targets all information technology and infrastructure items, including:
•
•
•
•
•
•
hardware;
firmware (software instructions embedded in hardware);
internally developed and vendor supplied software and data;
external interfaces;
telecommunications; and
embedded technology.
Centrelink is considered a lead agency in Year 2000 work in Australia by the Office for Government
Online. The status of compliance of critical items within Centrelink met the Office for Government On
line’s best practice guidelines throughout 1998–99. At December 1998 Centrelink had assessed all
systems for business criticality and all critical systems were perceived to be compliant. Since December
Centrelink has been proving compliance of these systems and conducting formal certification. As at 30
June 1999 and in the months leading up to 2000, Centrelink will be continuing to test changes in the
time controlled environment, to ensure a smooth transition into the new millennium.
Major activities for 1998–99 were:
•
•
•
•
•
•
assessment of risk to the organisation through embedded technology;
expanding the role of the Project Office to provide reporting and coordination for all agencies under
the Family and Community Services Portfolio;
significant review of business continuity plans;
conducting end-to-end testing to ensure customer payments into financial institutions continue
without disruption;
conducting a series of thorough tests of business critical applications through its time controlled
environment; and
development of a communications strategy.
The current estimate of the Year 2000project cost for Centrelink over three years is $21 million. This is
small for an organisation of Centrelink’s size. This is because the former Department of Social Security
recognised the Year 2000issue early and implemented an eight digit date standard in 1982. The
Commonwealth Bank and Woolworths have estimated they will spend $115 million and $30 million,
respectively.
The budget for 1998–99 was $6.7 million in cash costs which was reviewed down to $5.9 million in May
1999 due to under expenditure.
A total of $11.34 million has been approved from the Year 2000 seed fund managed by the Office for
Government Online to assist Centrelink, as a lead agency, to meet its Year 2000 objectives.
Information Technology Infrastructure
The Network 2000 project has been a major undertaking and underpins future demands on Centrelink’s
information technology infrastructure. The project provides a Year 2000 compliant platform as well as
improvements to Local Area Network stability. It also provides electronic mail services with the roll out of
Windows NT and Lotus Notes. The project includes the upgrading of both hardware and software at
every Centrelink location and has proceeded throughout the year.
Information Technology
Our people have been asked to cope with many changes to existing systems as well as the introduction
of new systems and technology. An information technology consolidation strategy has been developed
to plan for improving the quality of the releases, formulation and implementation of standards for data
recording and processing, and development of a new testing strategy. In addition, a Senior Executive
Service Officer has been assigned to oversee the quality of releases. Results from the March and June
releases show an overall improvement in the quality and cleanliness of the releases. Further
improvements in information technology operations are anticipated once the new structure for our
Information and Technology Team is in place.
Business Continuity Planning Unit
Centrelink has revised and extended its Business Continuity Planning Unit. This area coordinates
organisation-wide risk management and business continuity strategies to ensure that Centrelink could
recover from an emergency situation or disaster, including Year 2000 continuity issues, with minimal
interruption to customer services.
Security
The principal achievements of the Security Business Team during 1998–99 were the development and
implementation of Access link, the development and implementation of the Security Access
Management System (SAMS mainframe —390) and the administration of the separation of Family and
Community Services from Centrelink Security.
Accesslink
Accesslink, as a complete package, provides staff identification, computer access and building access. It
provides an additional level of protection on individual user system privileges and customer data.
In October 1998, staffs in National Support Office were issued with Accesslink ID Cards to gain access
to buildings at Tuggeranong Office Park. When the rollout of new software is completed for the whole of
Centrelink, staff will be able to use their access card to generate a one-time password, making the logon
procedure to our systems a secure process.
Accesslink implementation was completed in the Network in March 1999 and there are currently 16 500
Accesslink users nationally.
Security Access Management System 390
A new system for administration of mainframe access has been developed and implemented throughout
Centre link. The system receives and processes positional and organisational information which allows
controlled access to, and management of, Centrelink’s computer resources.
Department of Family and Community Services Separation
The Security Business Team administered the separation of the Department of Family and Community
Services from Centrelink Security. The Department of Family and Community Services are now
separated from use of Centrelink facilities, although access may be requested via Security Access
Management System if required and approved by the Centrelink product owner.
Chief Executive Officer Major Speeches
Address on Public Service Reform
International Summit Winnipeg Manitoba
Canada
10 June 1999
Electronic Delivery of Government Services—the Centrelink Experience
Internet Insight Conference
8 March 1999
Three Stages of an Evolving Model to a ‘one stop shop’—Challenges at Each Stage Service
Delivery to the Community: A Time for Critical Reflection
Institute of Public Administration Australia
National Conference 1998
26 November 1998
Protective Security for Staff and Customers
Security in Government Conference—Senior Executive Service Seminar
5 November 1998
Leadership and the Executive Team
Australian Capital Territory Public Sector
Quality Network
21 October 1998
Commitment from the Top: Using agreements and strategic people management to achieve
business goals
This speech was given to officers involved in the designing of workplace agreements in the Department
of Workplace Relations and Small Business.
September and October 1998
The Spring Policy Workshop— Retirement Programs
The Department of Social Security (Retirement Branch) arranged a joint Centrelink/Department of Social
Security workshop to discuss a number of micro policy issues.
24 September 1998
Panel on the Future of Paid and Unpaid Work
The Future of Choice: 8th National
Conference on Volunteering
23 September 1998
CORPORATE GOVERNANCE
Centrelink and the Board of Management
Centrelink’s Objectives
The Agency, operating as Centrelink, was created to provide an administrative framework for integrating
access to Commonwealth services in one place thereby providing a better standard of service delivery to
the community and to individuals.
The scope of the Agency’s activities cover the full range of social security services previously provided
by the former Department of Social Security; student assistance services and some employment
services previously provided by the former Department of Employment, Education, Training and Youth
Affairs; and child care payments to families previously provided by the former Department of Health and
Family Services.
The Agency is a Commonwealth Government Agency but is not a separate entity from the
Commonwealth. All legislation for the operation of Commonwealth departments and agencies apply to
the Agency. The Agency is subject to the Financial Management and Accountability Act 1997. The
Agency’s assets and liabilities are assets and liabilities of the Commonwealth.
Membership of the Board of Management
The Act specifies that the Board should consist of:
•
•
•
the Chairman;
the Chief Executive Officer of Centrelink; and
at least four other members including at least two who are not principal officers of Commonwealth
authorities.
Except for the Chief Executive Officer, who is appointed by the Board, members of the Centrelink Board
of Management are appointed on a part-time basis by the Minister. Appointed members, those members
who are not principal officers of Commonwealth authorities, are appointed for no longer than three years
but are eligible for re-appointment.
The Secretaries of the Department of Family and Community Services and the Department of
Employment, Workplace Relations and Small Business are members of the Board. Both are non-voting
members and are included in the ‘at least four other members’ category of Board members.
Board Members
CHAIRMAN
Mr Robin Marrett
Current Positions:
•
Director, Ruskin Industries Limited.
Previous Positions:
•
•
•
•
Chairman, Electricity Trust of South Australia;
Chairman and Chief Executive of the Economic Development Authority of South Australia;
General Manager and Chief Executive of the Electricity Trust of South Australia; and
Chairman and Managing Director of Mobil Oil, New Zealand and Hong Kong/China.
CHIEF EXECUTIVE OFFICER
Ms Sue Vardon
Current Positions:
•
•
Director, Australian Government Employees Superannuation Trust; and
Member, Council of Flinders University.
Previous Positions:
•
•
•
•
Chief Executive, Department of Correctional Services, South Australia;
Commissioner for Public Employment, Office of the Commissioner for Public Employment, South
Australia;
Chief Executive Officer, Office of Public Sector Reform, South Australia; and
Chief Executive Officer, Department of Family and Community Services, South Australia.
Ms Vardon was named the inaugural Telstra Businesswoman of the Year in June 1995.
NON-EXECUTIVE MEMBERS
Ms Christine Gillies
Current Position:
•
General Manager, Integration, St George Bank, Sydney.
Previous Positions:
•
•
•
Head of Information Technology, Bank of Melbourne;
General Manager, Information Technology, Coles Myer Limited; and
General Manager, MITS Proprietary Limited, Sydney.
Mr Philip Pearce
Current Positions:
•
•
Chairman, James Boag & Son Limited; and
Director, NM Rothschild & Son Australia Proprietary Limited.
Previous Positions:
•
•
Chief Financial Executive, Woolworths Limited; and
Director, Accounting and Audit, Arthur Anderson & Company.
Mr John Thame
Current Positions:
•
•
•
•
•
•
Chairman, Permanent Trustee Company Limited;
Acting Chairman, Council of the National Museum of Australia;
Director, Australian Geographic Group;
Director, Australian Wheat Board;
Director, St George Bank Group; and
Director, Reckon Limited.
Previous Positions:
•
Managing Director, Advance Bank of Australia Limited.
NON-VOTING MEMBERS
Dr David Rosalky
Current Position:
•
Secretary, Department of Family and Community Services (formerly the Department of Social
Security).
Previous Positions:
•
•
•
•
•
•
Secretary, Department of Workplace Relations and Small Business;
Secretary, Australian Capital Territory Chief Minister’s Department;
Under Treasurer, Australian Capital Territory Government;
First Assistant Secretary, Commonwealth Department of Finance;
Group Chief, Canadian Treasury Board; and
Senior Private Secretary to the Prime Minister of Australia.
Dr Peter Shergold AM
Current Position:
•
Secretary, Department of Employment, Workplace Relations and Small Business.
Previous Positions:
•
•
•
Secretary, Department of Workplace Relations and Small Business;
Commissioner, Public Service and Merit Protection Commission; and
Chief Executive Officer, Comcare Australia.
The Chairman and non-executive members of the Board were appointed by Senator the Hon. Jocelyn
Newman, then Minister for Social Security, on 1 September 1997 for three years.
Board Appointments
The Board members who are principal officers of Commonwealth authorities hold office at ‘the Minister’s
pleasure’. Dr Rosalky, Secretary of the then Department of Social Security was appointed in February
1998. Dr Shergold, Secretary of the Department of Employment, Workplace Relations and Small
Business, replaced Mr Steve Sedgwick, Secretary of the Department of Education, Training and Youth
Affairs, as a member of the Board in March 1999.
Disclosure of Interests
Board members provide an annual statement to the Chairman advising of their directorships of other
companies and organisations. Any Director who may have a direct or indirect pecuniary interest in a
matter being considered is required to disclose the nature of the interest at a meeting of the Board.
Board Operations
The Board meets each month to deal with the significant issues relating to Centrelink’s operations. It
works from an Agenda agreed by the Chairman in conjunction with the Chief Executive Officer who
reports to the Board on the financial and operational performance of the Agency. The Chairman provides
a report of each meeting to the Minister for Family and Community Services and the Minister for
Community Services, outlining the key issues discussed and any significant decisions taken at the
meeting.
Board Committees
The Board uses three committees to keep it fully informed about the details of the Agency’s work. They
are:
•
•
•
An Audit Committee to support the Board in ensuring Centrelink operates with proper financial
management and internal controls. Mr Robin Marrett is the Chair of the Audit Committee;
An Information Technology Committee to provide advice and direction to the Board on strategic
Information Technology issues, particularly those likely to impact on Centrelink’s ability to deliver
government services. Ms Christine Gillies is the Chair of the Information Technology Committee; and
a Quality Committee to assure the Board that Centrelink is delivering services that will see it remain
as the ‘first choice’ for Government and customers and results in Centrelink being benchmarked as
best practice in service delivery. Mr Philip Pearce is the Chair of the Quality Committee.
Table 16: Members’ Attendance at Board and Committee Meetings
BOARD MEMBER
CENTRELINK
BOARD
AUDIT
COMMITTEE
QUALITY
COMMITTEE
INFORMATION
TECHNOLOGY
COMMITTEE
(11 meetings)
(3 meetings)
(5 meetings)
(10 meetings)
R. Marrett
11/11
3/3
4/5
C. Gillies
9/11
P. Pearce
6/11
J. Thame
11/11
3/3
S. Vardon*
10/11
2/3
S. Sedgwick
6/7
2/2
D. Rosalky**
10/11
1/1
P. Shergold***
3/4
10/10
4/5
8/10
4/5
7/10
7/10
*Although Ms Vardon is not a member of the Audit Committee, she attends meetings as Chief Executive Officer of Centrelink.
**In March 1999 Dr Rosalky was appointed to the Audit Committee.
***In March 1999 Dr Shergold was appointed by the Minister for Family and Community Services to replace Mr Sedgwick as
a member of the Board.
Each Committee meets on a four to six weekly cycle. The Chairman and all non-Executive Directors
participate in at least one Committee of the Board. The Chief Executive Officer attends meetings of all
Committees. The Charter of each of these Committees is at Appendix ii
Financial Statements
Appendices
Appendix i - Commonwealth Legislation Relevant to
Centrelink
Enabling Legislation
Commonwealth Services Delivery Agency Act 1997
Legislation Conferring Functions on Centrelink
Commonwealth Services Delivery Agency (Consequential Amendments) Act 1997
Social Security Act 1991
Student Assistance Act 1973
Employment Services Act 1994
Aged Care Act 1997
Disability Discrimination Act 1992
Child Care Act 1972
Veterans’ Entitlements Act 1986
Farm Household Support Act 1992
Child Support (Assessment) Act 1989
Child Support (Registration and Collection) Act 1988
Re-establishment and Employment Act 1945
Defence (Re-establishment) Act 1965
Disability Services Act 1986
Gift Duty Assessment Act 1941
Health Insurance Act 1973
Income Tax Assessment Act 1936
Income Tax Assessment Act 1997
National Health Act 1953
Compliance
Data Matching Program
(Assistance and Tax) Act 1990
Crimes Act 1914
Financial Accountability
Financial Management and Accountability Act 1997
Land Acquisition Act 1989
People Management
Public Service Act 1922
Public Service Regulations and Determinations
Occupational Health and Safety (Commonwealth Employment) Act 1991
Safety, Rehabilitation and Compensation Act 1988
Workplace Relations Act 1996
Centrelink Development Agreement 1997–1998
Centrelink Development Agreement 1999–2002
Public Service Commissioner Guidelines: Managing Workplace Diversity
Racial Discrimination Act 1975
Sex Discrimination Act 1984
Disability Discrimination Act 1992
Commonwealth Disability Strategy (Office of Disability)
Human Rights and Equal Opportunity
Commission Act 1986
Superannuation Act 1922
Superannuation Act 1976
Superannuation Act 1990
Long Service Leave (Commonwealth Employees) Act 1976
Maternity Leave (Commonwealth Employees) Act 1973
Administrative Law
Ombudsman Act 1976
Privacy Act 1988
Freedom of Information Act 1982
Acts Interpretation Act 1901
Administrative Decisions
(Judicial Review) Act 1977
Administrative Appeals Tribunal Act 1975
General
Commonwealth Electoral Act 1918
Appendix ii-Committees of the Board
Charter for the Audit Committee of the Board of Management
Background
The Audit Committee assists the Board of Centrelink with its responsibilities for financial reporting,
maintaining an efficient system of internal controls and reviewing specific matters that may arise from
the external audit process.
Membership
The members of the Audit Committee are:
•
•
•
Mr Robin Marrett (Chairman);
Mr John Thame (Director); and
Dr David Rosalky (Secretary, Department of Family and Community Services).
(Ms Sue Vardon attends meetings as Chief Executive Officer of Centrelink.)
Meetings
Meetings shall be held at least quarterly or more frequently if required.
The Chairman will report to the Board on meetings of the Audit Committee.
Responsibilities
The Audit Committee’s specific responsibilities are:
•
•
•
•
•
•
overseeing the agency’s internal audit function and its liaison with external auditors and audit
committees of client agencies;
overseeing compliance with statutory and legislative requirements;
approving the internal audit work program;
reviewing the major findings of internal and external audits, and the adequacy of action taken;
monitoring the effectiveness of the internal audit function; and
monitoring Centrelink’s accounting policies and practices against world best practice.
Charter for the Information Technology Committee
Background
Because of the criticality of Information Technology to the success of Centrelink, the Board has agreed
to the establishment of an Information Technology Committee under the following Terms of Reference
and noting that the words ‘Information Technology’ for this Committee means: ‘the application of
computing, telecommunications and multimedia technologies to the collection, storage, processing and
dissemination of information.’
Charter
The Committee will ensure the Board has a clear understanding of Centrelink’s Information Technology
including:
•
•
•
•
the scope, composition and costs of the current Information Technology environment;
the capability of the current Information Technology environment to support the current business of
the agency and issues surrounding this support;
the Information Technology strategic plan and its alignment to Centrelink’s business strategy; and
the technology trends and opportunities which should be considered in positioning Centrelink for the
future.
Membership
The members of the Information Technology Committee are:
•
•
•
•
Ms Christine Gillies (Director and Chair of the Committee);
Mr John Thame (Director);
Dr David Rosalky (Secretary, Department of Family and Community Services); and
Ms Sue Vardon (Chief Executive Officer).
Meetings
The Committee meets each month.
Responsibilities
The Information Technology Committee’s specific responsibilities are to provide timely advice and
direction to the Board in the following areas:
•
•
•
•
•
current and strategic Information Technology issues and their potential impact on the future success
of Centrelink;
the future direction and leadership of Information Technology specifically, the why, what, when and
how of outsourcing;
the capability of the current Information Technology organisation to deal with the rate of change
required to achieve Centrelink’s vision and objectives;
as a reference point for Centrelink’s Information Technology processes; and
as the ‘conscience’ for Information Technology in Centrelink.
Terms of Reference for the Quality Committee of the Board of
Management
Background
To assist in fulfilling its responsibilities to ensure that Centrelink’s functions are properly, efficiently and
effectively performed, the Board has recognised the need to broaden its focus on the delivery of quality
outcomes. Accordingly, it has decided that the work of the Quality Committee should include people
development, customer service and overall organisational performance.
Charter
The Quality Committee has three main objectives. These are:
•
•
•
establish a framework which supports the achievement of quality outcomes;
ensure that there are appropriate ways of measuring quality outcomes; and
report to the Board on the achievement of quality outcomes.
Membership
The members of the Quality Committee are:
From the Board:
•
•
•
Mr Philip Pearce (Director and Chair of the Committee);
Mr Robin Marrett (Chairman); and
Ms Sue Vardon (Chief Executive Officer).
Advisers from Centrelink:
•
•
•
•
•
•
Mr Ross Divett, Deputy Chief Executive Officer;
Ms Carolyn Hogg, General Manager, Gateway;
Mr John Browne, National Manager, Customer Service Improvement (Quality First);
Ms JenniColwill, National Manager, People Management;
Mr Paul Conn, National Manager, Electronic Access Integration; and
Mr Norman Walker, National Manager Service Delivery Project.
In addition, an Area Manager is invited to attend meetings of the Committee when appropriate.
Area of Expertise
Where the Committee considers it of benefit, it will seek input and participation from external
practitioners and organisations where relevant programs have been successfully established. There are
currently two external consultants to the Committee. They are Mr Shane Garland from QANTAS and Mr
John Stevens from Dench McClean Associates.
Meetings
Meetings of the Committee are held every six weeks. Reports on the Committee’s work are provided to
each meeting of the Board of Management.
Responsibilities
The Quality Committee is responsible for developing a work plan that focuses on the following four key
aspects of Centrelink:
•
•
•
•
people development;
quality;
customer service; and
performance.
Appendix iii-Internal and External Scrutiny
The Audit Process in 1998–99
During 1998–99 Audit and Evaluation staff, augmented by a panel of audit and evaluation firms,
continued to assist the Board and Management to discharge their responsibility for controlling Centrelink
in a manner that results in the efficient and cost effective management of risk with proper financial
management and internal controls.
The Audit Committee comprises the Chairman of the Board of Management and two non-Executive
Board members and met quarterly during the year. A risk assessment-based annual work program was
approved by the Audit Committee and it monitored closely the progress of audit work, responses to all
internal and external audit findings, the financial statements process, and the control environment.
Audits covered all aspects of operations, including information systems, financial operations and
systems and performance within Customer Service Centres, Call Centres, Area Support Offices,
Computer Centres and National Support Office. Ad hoc and special investigations as well as upfront
assessment of and advice to re-engineering projects were added to the program as required and regular
reports were provided to the Committee on progress of Centrelink in addressing Year 2000 issues.
Internal Audit
Forty four internal audit reports were issued during 1998–99. A number of other reports were issued by
the external auditor,(see Australian National Audit Office Activity below).
There were 132 unresolved findings and recommendations at the end of 1997–98 and 147 at the end of
1998–99, and 169were resolved during the year. These numbers reflect both a greatly increased level of
audit activity over the equivalent pre-Centrelink level and a very successful model for focusing
management attention on resolution of issues identified.
Centrelink management is surveyed about its progress in resolving all internal audit findings and
external audit recommendations quarterly. These reports are considered at each of the Committee’s
meetings with the Chief Auditor’s assessment, highlighting instances where he considered management
had not resolved an issue or progress was unsatisfactory. In the case of reports of the Australian
National Audit Office, Australian National Audit Office officers provided the final assessment. The
Committee invites relevant managers to present where warranted. The Australian National Audit Office
commented positively on this innovative model and its potential use elsewhere.
Australian National Audit Office Activity
Significant external audits conducted by the Australian National Audit Office that impacted on Centrelink
were as follows.
Report No 20, 1998–99, Audits of the Financial Statements of
Commonwealth Entities for the Period ended 30 June 1998
The Financial Statements for Centrelink for the period ended 30 June 1998 were unqualified.
However, the Australian National Audit Office noted a significant internal control matter concerning asset
recording Examination of the asset records revealed that the asset register could not support all asset
related figures included in the financial statements. A number of actions have been completed to
address these issues.
Report No 30, 1998–99, the Use and Operation of Performance
Information in the Service Level Agreements
The objective of the audit was to establish whether the performance assessment framework specified in
the agreements enabled the adequate assessment of achievements under purchaser/provider
arrangements entered into by the former Department of Employment, Education, Training and Youth
Affairs, the former Department of Social Security and Centrelink.
The audit concluded that, in developing the 1998–99 agreements, all parties had taken account of the
lessons learned from the operation of the agreements in the first year. It found that the performance
assessment framework in both agreements contained overall program objectives which were linked to
agreement objectives. These in turn were linked to services to be delivered and performance indicators
and would assist to ensure that both the purchaser and provider can measure the provider’s
achievements.
Report No 32, 1998–99, Agency Management of Parliamentary Workflow
This audit was an across portfolio audit. Its objectives were to ascertain whether agency management of
parliamentary workflow was efficient and effective, and whether optimum service was providedto clients.
The audit aimed to identify and make recommendations for achieving better practice.
The audit’s overall conclusion was that the agencies reviewed achieved a generally high degree of
effectiveness in their coordination and management of parliamentary workflow. Centrelink was identified
as ‘better practice’ in its innovative handling of ministerial correspondence.
Ombudsman
In addition to the FREECALLTM 1800 Customer Feedback line, a valuable strategy for improving
customer service is maintaining a constructive relationship with the Ombudsman’s office. Customers
who contact the Ombudsman are usually referred to the Customer Service Managers in the local
Centrelink offices so that a speedy solution of the problem can be achieved.
A much smaller number of complaints are referred to National Support Office. These cases usually
involve issues of general significance in the delivery of a particular benefit. The resolution of matters
raised in this way involves close consultation between officers of the Ombudsman’s office and Centrelink
staff in the particular customer segment responsible for customer service. Centrelink welcomes the
Ombudsman’s monitoring of the development of procedures and systems designed to overcome
acknowledged problems.
Centrelink has been pleased to cooperate with the Ombudsman in his preparation of reports relevant to
its customers. The Ombudsman is preparing for public release a report on the quality of information
provided by Commonwealth agencies about available benefits. This has afforded Centrelink with an
opportunity to explain important aspects of its new customer service delivery model including the letter
project, the ‘one to one’ service for customers, the ‘life events’ approach, and the electronic service
delivery initiatives. The Ombudsman has already agreed that these initiatives should contribute greatly
to ensuring that customers access the full range of benefits appropriate to their situation.
Appendix iv-Staffing Overview
Summary statements:
Performance Based Pay
•
•
In 1998–99, Centrelink paid $160 783 in performance based pay to Senior Executive Service Officers
for 1998–99 performance.
Of the 62 Senior Executive Officers, 47 received performance based pay.
Staff Training
In 1998–99 we saw a continuation of the emphasis on service delivery reported last year. Accredited
programs for Centrelink’s Customer Service Officers integrating foundation skills and knowledge across
Centrelink’s various lines of business were piloted and will be implemented across the service delivery
network in 1999. Other accredited programs which provide in-depth skills and knowledge within
payments steams were also developed and implemented.
There was a focus on the development of leadership skills with leadership activities undertaken by
senior staff nationally and at various levels under local initiative.
In all, a total of $6 134 156 was spent on external training and related activities for the year. This figure
does not provide the full picture with the vast bulk of training devoted to ‘technical’ or service delivery
issues being undertaken on the job, through in-office trainers using centrally-produced training materials
or by self-directed learning using instructional packages, Business Television or computer-based
learning.
Centrelink is actively encouraging the use of Team and Individual Learning Plans to focus development
on the strategic needs of the organisation. At 30 June 1999 some 48 percent of Centrelink staff had
plans in place.
Centrelink has also made a commitment to the use of innovative technology to deliver training to its
extended office network. A key strategy is the enhancement of Centrelink’s existing Business Television
network through the addition of an interactive capability.
Table 17: Centrelink Staffing
Staff numbers by various employment categories, as at 30 June 1999.
Key to Centrelink Staffing Table: FT Full-time, PT Part-time, PERM Permanent, TEMP Temporary.
ALL CENTRELINK
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
CEO
1
0
1
1
0
1
0
Centrelink SES
62
34
28
62
0
62
0
Centrelink 4
931
545
386
915
16
924
7
Centrelink 3
4 550
2 065
2 485
4 292
258
4 512
38
Centrelink 2
15 231
4 787
10 444
12 861
2 370
14 073
1 158
Centrelink 1
647
212
435
528
119
293
354
Professional 1
426
77
349
321
105
306
120
Professional 2
298
78
220
251
47
291
7
Information
Technology
235
180
55
229
6
235
0
Information
Technology Manager
224
171
53
216
8
224
0
Information
Technology Technical
7
5
2
7
0
7
0
Public Affairs 1
9
6
3
9
0
9
0
Public Affairs 2
6
3
3
5
1
6
0
Public Affairs 3
2
2
0
2
0
2
0
Trainees/Cadets
12
3
9
12
0
6
6
Total
22 641*
8 168
14 473
19 711
2 930
20 951
1 690
Note: *22 641 includes paid and unpaid permanent and temporary staff.
NATIONAL SUPPORT OFFICE
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
CEO
1
0
1
1
0
1
0
Centrelink SES
46
24
22
46
0
46
0
Centrelink 4
502
275
227
490
12
498
4
Centrelink 3
865
422
432
832
33
839
26
Centrelink 2
315
130
185
294
21
217
98
Centrelink 1
29
15
14
27
2
16
13
Professional 1
2
0
2
2
0
2
0
Professional 2
4
1
3
4
0
4
0
Information
Technology
230
175
55
224
6
230
0
Information
Technology Manager
224
171
53
216
8
224
0
Information
Technology Technical
7
5
2
7
0
7
0
Public Affairs 1
8
5
3
8
0
8
0
Public Affairs 2
6
3
3
5
1
6
0
Public Affairs 3
2
2
0
2
0
2
0
Trainees/Cadets
3
0
3
3
0
3
0
Total
22 44
1 239
1 005
2 161
83
2 103
141
CALL CENTRE NETWORK
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
0
1
1
0
1
0
Centrelink 4
51
36
15
51
0
51
0
Centrelink 3
354
135
219
339
15
354
0
Centrelink 2
3150
820
2 330
2 478
672
2 768
382
Centrelink 1
39
13
26
24
15
4
35
Professional 1
1
1
0
0
1
0
1
Professional 2
14
2
12
12
3
13
1
Total
3 610
1 007
2 603
2 905
705
3 191
419
AREA EAST COAST NEW SOUTH WALES
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
0
1
1
0
1
0
Centrelink 4
29
20
9
28
1
29
0
Centrelink 3
240
116
124
225
15
240
0
Centrelink 2
865
329
536
737
128
845
20
Centrelink 1
48
23
25
40
8
44
4
Professional 1
23
4
19
21
2
23
0
Professional 2
16
7
9
14
2
16
0
Information
Technology
1
1
0
1
0
1
0
Public Affairs 1
1
1
0
1
0
1
0
Total
1 224
501
723
1 068
156
1 200
24
AREA HUNTER NEW SOUTH WALES
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
28
18
10
28
0
28
0
Centrelink 3
217
92
125
195
22
217
0
Centrelink 2
755
230
525
625
130
733
22
Centrelink 1
21
2
19
16
5
10
11
Professional 1
18
4
14
10
8
12
6
Professional 2
17
6
11
15
2
17
0
Total
1 057
353
704
890
167
1 018
39
AREA SOUTH METROPOLITAN NEW SOUTH WALES
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
14
8
6
14
0
14
0
Centrelink 3
145
68
77
141
4
145
0
Centrelink 2
605
193
412
534
71
573
32
Centrelink 1
29
8
21
28
1
12
17
Professional 1
22
3
19
18
4
15
7
Professional 2
15
0
15
12
3
15
0
Total
831
281
550
784
83
775
56
AREA SOUTH WEST NEW SOUTH WALES
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
17
12
5
17
0
17
0
Centrelink 3
153
63
90
142
11
152
1
Centrelink 2
606
150
456
527
79
582
24
Centrelink 1
25
3
22
20
5
9
16
Professional 1
18
4
14
12
6
15
3
Professional 2
17
7
10
12
5
16
1
Total
837
240
597
731
106
792
45
AREA WEST NEW SOUTH WALES
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
24
15
9
24
0
24
0
Centrelink 3
153
75
78
145
8
153
0
Centrelink 2
581
166
415
502
79
566
15
Centrelink 1
21
5
16
17
4
13
8
Professional 1
30
5
25
22
8
17
13
Professional 2
14
2
12
12
2
14
0
Total
824
269
555
723
101
788
36
AREA NORTH AUSTRALIA
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
11
6
5
11
0
10
1
Centrelink 3
83
28
55
82
1
80
3
Centrelink 2
239
54
185
219
20
218
21
Centrelink 1
32
9
23
29
3
6
26
Professional 1
4
0
4
4
0
2
2
Professional 2
9
3
6
9
0
9
0
Total
379
101
278
355
24
326
53
AREA PACIFIC CENTRAL
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
29
16
13
28
1
28
1
Centrelink 3
311
133
178
292
19
310
1
Centrelink 2
1 059
342
717
898
161
1 004
55
Centrelink 1
72
26
46
69
3
29
43
Professional 1
42
5
37
38
4
31
11
Professional 2
21
1
20
17
4
20
1
Total
1 535
524
1 011
1 343
192
1 423
112
AREA BRISBANE QUEENSLAND
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
39
20
19
39
0
39
0
Centrelink 3
277
121
156
256
21
277
0
Centrelink 2
1 076
378
698
957
119
1 012
64
Centrelink 1
53
21
32
45
8
23
30
Professional 1
45
9
36
29
16
34
11
Professional 2
26
7
19
21
5
26
0
Trainees/Cadets
1
1
0
1
0
1
0
Total
1 518
558
960
1 349
169
1 413
105
AREA NORTH QUEENSLAND
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
0
1
1
0
1
0
Centrelink 4
19
7
12
18
1
18
1
Centrelink 3
180
62
118
174
6
177
3
Centrelink 2
547
136
411
488
59
482
65
Centrelink 1
20
7
13
18
2
8
12
Professional 1
21
4
17
15
6
16
5
Professional 2
14
3
11
14
0
14
0
Information
Technology
1
1
0
1
0
1
0
Trainees/Cadets
6
1
5
6
0
2
4
Total
809
221
588
735
74
719
90
AREA SOUTH AUSTRALIA
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
0
1
1
0
1
0
Centrelink 4
42
29
13
42
0
42
0
Centrelink 3
353
167
186
333
20
352
1
Centrelink 2
1 045
354
691
856
189
1 000
45
Centrelink 1
48
18
30
39
9
26
22
Professional 1
44
9
35
34
10
38
6
Professional 2
31
9
22
26
5
30
1
Trainees/Cadets
2
1
1
2
0
0
2
Total
1 566
587
979
1 333
233
1 489
77
AREA TASMANIA
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
15
12
3
14
1
15
0
Centrelink 3
178
87
91
158
20
176
2
Centrelink 2
503
198
305
407
96
454
49
Centrelink 1
19
10
9
14
5
8
11
Professional 1
20
5
15
17
3
10
10
Professional 2
9
3
6
8
1
9
0
Information
Technology
1
1
0
1
0
1
0
Total
746
317
429
620
126
674
72
AREA NORTH CENTRAL VICTORIA*
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
0
1
1
0
1
0
Centrelink 4
24
17
7
24
0
24
0
Centrelink 3
258
113
145
238
20
258
0
Centrelink 2
985
358
627
828
157
957
28
Centrelink 1
49
12
37
40
9
36
13
Professional 1
30
6
24
23
7
23
7
Professional 2
26
3
23
21
5
25
1
Total
1 373
509
864
1 175
198
1 324
49
AREA NORTH VICTORIA*
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink 4
3
2
1
3
0
3
0
Centrelink 3
16
9
7
12
4
16
0
Centrelink 2
38
17
21
33
5
33
0
Centrelink 1
5
2
3
5
0
5
0
Information
Technology
1
1
0
1
0
1
0
Total
63
31
32
54
9
58
5
AREA SOUTH EAST VICTORIA*
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
0
1
1
0
1
0
Centrelink 4
23
11
12
23
0
23
0
Centrelink 3
207
99
108
200
7
207
0
Centrelink 2
815
288
527
713
102
715
100
Centrelink 1
41
11
30
39
2
18
23
Professional 1
28
3
25
23
5
17
11
Professional 2
20
6
14
16
4
19
1
Information
Technology
1
1
0
1
0
1
0
Total
1 136
419
717
1 016
120
1 001
135
AREA WEST VICTORIA*
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
26
19
7
26
0
26
0
Centrelink 3
238
126
112
227
11
238
0
Centrelink 2
847
306
541
735
112
840
7
Centrelink 1
23
8
15
20
3
14
9
Professional 1
30
6
24
23
7
21
9
Professional 2
17
8
9
13
4
17
0
Total
1 182
474
708
1 045
137
1 157
25
AREA WEST AUSTRALIA
Classification
TOTAL
Male
Female
FT
PT
PERM
TEMP
Centrelink SES
1
1
0
1
0
1
0
Centrelink 4
35
22
13
35
0
35
0
Centrelink 3
322
138
184
301
21
321
1
Centrelink 2
1 200
338
862
1 030
170
1 074
126
Centrelink 1
73
19
54
38
35
12
61
Professional 1
48
9
39
30
18
30
18
Professional 2
28
10
18
25
3
27
1
Total
1 707
537
1 170
1 460
247
1 500
207
Note: *During June 1999, our Victorian Areas were in transition to a new structure. These staffing figures reflect the state of
the organisational structure taken as at 30 June 1999.
Table 18: Senior Executive Service Information
SENIOR EXECUTIVE SERVICE (SES) STAFFING LEVELS AT 30 JUNE 1999
Male
Female
Inoperative
Female
Inoperative Male
SES Band 3
1
-
-
-
SES Band 2
4
1
-
-
SES Band 1
29
25
2
-
All SES
Classifications
34
26
2
-
INTER-AGENCY MOBILITY
Transfer from Other
Department/Agency
Commenced work in the APS
SES Band 3
-
-
SES Band 2
-
-
SES Band 1
3
3
All SES Classifications
3
3
INTER-AGENCY MOBILITY
Within National Support
Office
National Support Office
to Area Management
Area Management to
National Support Office
Within Area
Management
SES Band 1 x4
SES Band 1 x1
SES Band 1 x1
SES Band 1 x1
SES Band 2 x1
GAINS AND LOSSES BETWEEN 1 JULY 1998 AND 30 JUNE 1999
Appointed to SES
SES Band 1 x7
Transfer from other Departments/Agencies
SES Band 1 x3
Temporary transfer from other
Departments/Agencies
Nil
Transfer to different Departments/Agencies
Nil
Retired or resigned
SES Band 1 x4
Acting in SES for 3 months or more
SES Band 1 x8
Table 19: Equal Employment Opportunity*
Key to Centrelink Equal Employment Opportunity (EEO) Table: ATSI Aboriginal and Torres Strait
Islander people, PWD People with a disability, NESB1 Australians of (or from) diverse cultural and
linguistic backgrounds, first generation, NESB2 Australians of (or from) diverse cultural and linguistic
backgrounds, second generation.
APPOINTMENT TO CENTRELINK BY EEO* CATEGORY 1998–99
Total†
Female
ATSI
PWD
NESB1
NESB2
Area Hunter New
South Wales
39
28
-
3
-
3
Area East Coast
New South Wales
35
16
-
1
7
3
Area West New
South Wales
17
11
-
-
4
5
Area South West
New South Wales
24
17
-
1
3
2
Area South Metro
New South Wales
56
39
6
3
-
4
Area Pacific
Central
85
53
3
4
2
5
Area Brisbane
Queensland
38
21
-
1
1
8
Area North
Queensland
46
33
7
2
-
7
Area East Victoria
17
11
-
-
-
-
Area North
Victoria
2
1
-
-
-
-
Area South
Victoria
8
4
-
-
-
-
Area West
Victoria
13
11
1
1
-
-
Area West
Western Australia
48
34
3
4
-
4
Area South
Australia
29
17
2
1
-
6
Area Tasmania
16
12
6
-
-
3
Area North
Australia
19
11
1
2
-
2
Call Centres
575
434
8
13
30
36
Total Areas
1 067
753
37
36
47
88
Total National
Support Office
156
65
1
5
27
25
Total
Appointments
1 223
818
38
41
74
113
EEO groups as %
of total
appointments
-
66.9
3.1
3.4
6.0
9.2
Total staff as at
30 June 1999
20 951
13 220
806
1 235
1 049
2 566
EEO groups as %
of total staff
-
63.3
3.9
5.9
4.9
12.1
Notes:
*Now referred to as Workplace Diversity.
†Table
contains full-time and part-time permanent staff.
EEO GROUPS AS A PERCENTAGE OF CLASSIFICATION
Classification
Group
Salary
Range
Female
ATSI
PWD
NESB1
NESB2
Centrelink SES
More than
$69 251
45.6
-
7.0
3.5
5.3
Centrelink 4
$52 729–
$70 914
39.7
0.3
5.5
2.6
9.9
Centrelink 3
$39 713–
$50 636
52.1
2.5
7.3
3.5
12.3
Centrelink 2
$31 946–
$39 712
67.8
4.2
5.6
5.0
12.1
Centrelink 1
$14 870–
$31 103
61.9
6.8
7.0
3.8
11.6
Professional
$29 909–
$70 914
77.1
0.2
4.2
5.2
16.7
Information
Technology
$34 480–
$70 914
23.0
-
2.6
23.0
15.0
Public Affairs
$36 737–
$72 180
35.3
-
11.8
-
11.8
71.4
85.7
-
-
28.6
Trainees/Cadets $8 414–$31
303
Appendix v-Consultancy Services
Policy for Selection and Engagement of Consultants
Centrelink’s policy on the selection and engagement of consultants is based on the relevant
Commonwealth Procurement Guidelines/Circulars.
It is Centrelink policy to restrict the use of consultants to circumstances where the required expertise or
services are unavailable when required from within the Australian Public Service, and the task is short
term and discrete. In general, Centrelink’s requirements for consultancy services can be identified
against a number of broad categories which may include market research, statistical information
gathering and analysis, advertising and promotional campaigns, business analysis and review, training
and service delivery advice.
Selection Procedures
The method of selection of consultants is based on principles consistent with the procurement
methodology adopted for obtaining other goods and services and is predicated on the principles of value
for money and open and effective competition. Factors taken into account in the selection of consultants
include the extent of competition available in the market place, the complexity and the estimated cost of
the proposed consultancy, the available time frame and the cost of approaching the market and
evaluating offers.
Centrelink considers that this is best achieved through a combination of public and restricted tendering
processes. Due to the nature of consultancy services required, there are some instances where
consultants may be engaged without a competitive selection process but this is usually limited to
instances where similar services have been provided to other Commonwealth agencies or where the
consultant may have provided the services previously and has a comprehensive understanding of the
objectives of the program.
In instances where a proposal has been made to confine an inquiry to a particular consultant, the
delegate must be satisfied that the method of procurement selected has been fully justified in
accordance with the relevant requirements under the Commonwealth and Centrelink’s procurement
policies, guidelines and protocols.
Explanatory Notes for Table 20
The following legend serves as an explanatory guide to the data contained in Table 20:
‘How Engaged’ Codes
P/T = Public Tender
R/T = Restricted Tender
Justification for Codes
A = Skills currently unavailable within the Agency
B = Requirement for collection of quantitative statistical information
C = Requirement for independent or impartial research/assessment by an independent organisation
D = Requirement for specialist/ professional expertise
Summary
The total number of consultants engaged during the 1998–99 financial year where the amount paid was
$2000 or greater was 180. They are summarised against two broad categories being General
Consultancies and Human Resource Consultancies. There were 121 General Consultancies with a total
committed value of $10 113 174.70 and 59 Human Resource Consultancies with a total committed value
of $934 409.59. The total amount paid for consultancies was $7 011 157.28.
Complete details for consultancy services received during the year 1 July 1998 to 30 June 1999 where
the total committed value did not exceed $2000 in both General and Human Resources Services
Consultancy categories are available from Centrelink, on request.
Table 20: Payments of $2000 or above made to general and Human Resource Consultants 1 July 1998
to 30 June 1999
CONSULTANCY SERVICE
Consultant
Consultancy
Service
Provided
How
Justification 1998-99
General
Engaged Code
Amount
Consultancies
Paid to
(Total Value)
Consultant
$
$
Acumen
Alliance
System
Integration
Review
R/T
A
21 024.00
21 024.00
Acumen
Alliance
Quality
Assurance on
Info link
(Financial
R/T
C
176
000.00
176 000.00
R/T
A
22 800.00
22 800.00
R/T
A
8 670.00
8 670.00
R/T
A
50 000.00
50 000.00
Management
System)
Acumen
Alliance
System
Process
Mapping
Analysis
of current
business
processes
Acumen
Alliance
Reconciliation
of information
required for
Centrelink’s
Financial
Statements
AMR Quantum
Market testing
of New
Zealand
Migrant
Waiting
Period
Human
Resources
Consultancies
(Total Value)
$
Annexus Pty
Ltd
Provide
professional
and high level
R/T
C
40 163.00
48 000.00
R/T
B
6 393.75
Standing
Offer
R/T
D
6 492.00
6 492.00
R/T
D
24 300.00
24 300.00
strategic
guidance
and direction
on
use of the
Internet
Anutech Pty
Ltd
Develop
statistical
model for the
Medical
Assessment
Project
AR Liband &
Assoc Pty Ltd
To develop
and facilitate
a creative
planning
process to
assist the
progress of
the
creation of
independence
in the quality
arena
throughout
Centrelink
Arplan Pty Ltd
Production of
a cost model
for future
projection of
Information
Technology
service
cost (Phase
1)
Arplan Pty Ltd
Production of
a cost model
for future
R/T
D
5 500.00
12 000.00
R/T
C
168
570.00
201 600.00
projection of
Information
Technology
service
cost (Phase
2)
Assure Pty Ltd
Activity Based
Costing
Development
and
Financial
Management
AT & G J Lee
Partnership
Provision of
Telephone
Professional
Training
R/T
A
3 100.00
3 100.00
Australian
Institute of
Advance
Leadership
Visionary
Leadership
Event
Program
R/T
D
37 500.00
37 500.00
Australian
Institute of
Advance
Leadership
Leadership
Development
R/T
D
50 450.00
50 450.00
Australian
Institute of
Advance
Learning
Leadership
Program
R/T
A
17 100.00
17 100.00
Australian
Institute of
Management
Time
Management
Training
R/T
A
3 295.00
3 295.00
Australian
Institute of
Advance
Learning
Leadership
Development
R/T
D
3 800.00
3 800.00
Barclay
Consulting
Conduct a
planning day
R/T
C
3 884.00
3 884.00
Barry Leith
head &
Associates
Assessment
of Individual
Learning
P/T
D
Nil
9 600.00
Plans and
propose
strategy for
addressing
needs
BB
Professional
Services*
Project to
obtain
Customer
Feedback
10 000.00
10 000.00
11 000.00
28 000.00
on Current
and
Proposed
Review
Processes for
Parenting
Payment
(single)
BB
Professional
Services*
Evaluation of
new look, new
contents
Age Pension
News
Benchmarking
Link-up
Australia
Prepare a
R/T
Benchmarking
Strategy
paper
for
presentation
to
the Centrelink
Board
D
Biztrac, Edith
Cowan
University
Leading
P/T
Change Panel
– Standing
Offer for the
provision
A, D
Nil
Standing
Offer
of training
services
in the field of
Leadership
and Change
Management
as required
Brian Sweeney Evaluate the
& Associates*
Delivery
Mechanism
for the Family
Assistance
Tax Reform
Measures
Brian Sweeney Evaluation of
& Associates
Call Centre
Research
R/T
A
50 000.00
50 000.00
Brian Thomas
Strategic
planning and
Leadership
Training
R/T
D
Nil
Bridan Projects Construction
Management
R/T
D
150
868.00
150 868.00
R/T
D
Nil
40 000.00
9 000.00
Services for
internal fitout
Rockingham
Bright Star
Information
Technology
Group Pty Ltd
To devise a
service –
based costing
solution to be
implemented
within
Centrelink’s
financial
system
Note: *These consultancies were engaged under partnership arrangements between the Department of Family and
Community Services and Centrelink using the Centrelink Market Research Panel Contract. Specific details of these
consultancies are contained in the Department of Family and Community Services annual report.
Consultant
Carlton
Consulting
Group
Consultancy
Service Provided
Leading Change
Panel – Standing
Offer for the
provision of
training services
in the field of
Leadership and
Change
Management as
required
How
Engage
d
Justificatio
n Code
1998-99
Amount
Paid to
Consultan
t
General
Consultancie
s (Total
Value)
Human
Resources
Consultancie
s (Total
Value)
$
$
$
P/T
A, D
Nil
Standing
Offer
Cibourne Pty Project
Ltd
Management
Services
R/T
D
Nil
192 000.00
Colin
MacPherson
Strategic financial
reporting direction
R/T
A
37 022.50
37 022.50
Computer
Power
Education
Project
Management
training
R/T
A, D
4 510.00
4 510.00
Computer
Power
Education
Project
Management
training
R/T
A, D
4 510.00
4 510.00
CSC
Australia Pty
Ltd
Implement
Knowledge
management
process
improvement
R/T
A
15 000.00
Customer
Connection
Training on
customer service
skills
P/T
A
28 300.00
Dench
McClean
Associates
To provide
consultancy
services in
relation to
conducting an
‘Environmental
Scan’ and the
facilitation of a
workshop
R/T
D
2 300.00
15 000.00
28 300.00
2 300.00
Dialogue
Consulting
Pty Ltd
R/T
A
Nil
Dunhil
Managemen
t Services
P/T
D
3 000.00
5 000.00
Dunke Pty
Ltd
R/T
A, C
11 621.00
12 000.00
Dunke Pty
Ltd
R/T
C
45 900.31
65 000.00
Electrical
Engineering
Services
R/T
A
3 600.00
Standing
Offer
Development of
Activity Based
R/T
A, D
34 000.00
34 000.00
R/T
A, C
42 690.00
42 690.00
R/T
A, C
68 290.00
68 290.00
R/T
A, C
72 750.00
72 750.00
R/T
D
Nil
10 500.00
D. Rudd and
Partners
Ernst and
Young Pty
Ltd
7 800.00
Costing model
Research and pre
test for Employer
Contact Unit
Eureka
Strategic
Research
and Employer
Hotline Campaign
To conduct an
Evaluation of the
Financial
Information
Eureka
Strategic
Research
Services Seminar
Stage 2
Evaluation of
Financial
Information
Eureka
Strategic
Research
Fellows,
Medlock &
Associates
Service
Communication
Strategy
Facilitation of
Strategic
Development
Conference
Figura
Consulting
Pty Ltd
Gartner
Group
Consultancy on
Contestability
issues
R/T
D
14 880.00
14 880.00
Consultancy
Service to provide
independent
R/T
A, C
42 000.00
42 000.00
P/T
A, D
Nil
R/T
D
255
000.00
255 000.00
R/T
A, C, D
Nil
150 000.00
R/T
D
7 500.00
7 500.00
Information
Technology
advisory services
Leading Change
Panel—Standing
Offer
Standing
Offer
for the provision
of
training services
in
in the field of
Global
Workplace
Solutions
Leadership and
Change
Management as
required
Development of
performance
prescriptors to
assist in
assessing
performance
against
Hay
Managemen
t Group
Health
Services
Australia
Horn
Information
Technologie
s
Centrelink’s
Shared
Behaviors
Provision of
medical
consultation
services
for employees
Mainframe
Software
Management
Ian Dove
Architect
Fitout Design—
Nundah
R/T
D
Nil
4 500.00
Project
Management
Chermside
R/T
D
Nil
7 750.00
Ian Dove
Architect
Ian Dove
Architect
Fit out Design—
Stones Corner
R/T
D
Nil
15 000.00
Project
Management
Stones Corner
R/T
D
Nil
15 000.00
Ian Dove
Architect
Develop and
distribute 360
R/T
A, C, D
11 830.00
11 830.00
P/T
A, C, D
58 317.20
68 000.00
R/T
A, C, D
Nil
Standing
Offer
R/T
B
5 252.00
5 252.00
Impact
Human
Performance
Technologie Develop effective
s
communications
R/T
D
13 416.00
13 416.00
In focus
Data
Solutions
P/T
A
3 000.00
IEDEX Pty
Ltd
Degree Feedback
Questionnaire
Develop and
distribute 360
IEDEX Pty
Ltd
Degree Feedback
Questionnaire
Develop and
distribute360
Degree Feedback
Questionnaire for
senior officers in
IEDEX Pty
Ltd
management
positions
Develop and
distribute 360
IEDEX Pty
Ltd
Degree Feedback
Questionnaire
Customization of
Microsoft
database
11 000.00
Integrated
Space Pty
Ltd
Architectural
Design and
Drafting Services
R/T
A
3 005.00
Standing
Offer
Integrated
Space Pty
Ltd
Architectural
Design and
Drafting Services
R/T
A
44 089.50
Standing
Offer
Alternative design
and production of
a prototype HTML
R/T
A
7 000.00
7 000.00
R/T
A
6 880.00
7 000.00
P/T
A, D
Nil
R/T
D
95 703.00
95 703.00
R/T
D
7 031.00
7 031.00
interface design
for
Interact
Technology
Group Pty
Ltd
revised Balanced
Scorecard
application
Design and
production of a
prototype HTML
interface design
for
Interactive
Multimedia
Pty Ltd
revised Balanced
Scorecard
application
Leading Change
Panel—Standing
Offer for the
provision
Standing
Offer
of training
services
in the field of
Leadership
John Little &
Associates
and Change
Management
as required
Julia
Schofield —
JSC
Australia
Development of
multimedia
Kelstrom Pty
Ltd
Assessment of
lighting system
Presentation
Year 2000
R/T
Compliance of the
embedded
D
65 060.00
191 583.00
Standing
Offer
technologies of
Knight Frank
Price
Waterhouse
Centrelink
buildings
throughout
Australia
Mechanical
Le Quesne
Engineering
& Associates Services
R/T
A
11 851.00
Learning
Excellence
R/T
D
3 100.00
3 100.00
Training Services
Managing
Underperformanc
e
R/T
D
2 000.00
2 000.00
Leo
Carmody
To provide
consultancy
R/T
D
391.00
11 000.00
services in
relation
to the facilitation
LSA Quality
Pty Ltd
of the Quality
LSA Quality
Pty Ltd
Development for
Teams Trainers
R/T
A
4 585.00
4 585.00
Macquarie
House Pty
Ltd
Leadership
Transitions
Workshop
R/T
D
3 500.00
3 500.00
Design and
R/T
develop workshop
Manager
D
6 125.00
6 125.00
D
16 800.00
16 800.00
Macquarie
House Pty
Ltd
Adviser Program
Leadership
Transitions
Macquarie
University’s
Research &
Consultancy
Company
R/T
Structured
Conflict Prediction
Workshop
Provision of
Executive and
Senior
Management
R/T
A
5 600.00
25 240.00
Managemen
t Technology
Education
Difficult People
R/T
D
3 500.00
3 500.00
Provision of
information for
R/T
A
5 500.00
5 500.00
R/T
A
20 000.00
20 000.00
R/T
A
150
000.00
150 000.00
R/T
A
15 000.00
15 000.00
Maggie Cox Development
& Associates Program
Managing
Work &
Family
the Eldercare
Information Kit
Pre Test of
Seasonal Work
Preclusion
Mark
Dignam &
Associates
Period Poster
and Brochure
Evaluation of
parent support
groups for
customers
Market
Access*
on independent
homeless rate
Evaluation of the
Forms and
Information
Market
Access
Market
Attitude
Research
Services
Gathering
Strategy
Pretest the March
1999 Edition of
the Newsletter
Employment
Update
Note: *These consultancies were engaged under partnership arrangements between the Department of
Family and Community Services and Centrelink using the Centrelink Market Research Panel Contract.
Specific details of these consultancies are contained in the Department of Family and Community
Services annual report.
Market Attitude Research
Services
Evaluation of the
Combined Claim Form
(Purple Pack)
R/T
A
36 075.00
36 075.00
Market Attitude Research
Services
Evaluation of
Commonwealth Seniors
Health Card
R/T
A
20 150.00
20 150.00
claim form
Market
Solutions(Australasia Pty
Ltd)
Evaluate impact of
Financial Information
Services Seminars
A, C 11 242.00
11 242.00
Market
Solutions(Australasia Pty
Ltd)
Market Testing
Employment Update—
June 1999 edition
A
15 000.00
15 000.00
Market
Solutions(Australasia Pty
Ltd)*
Market testing of Home
and Residences Choices
booklet
Mercadier
Development of
Evaluation handbook
P/T
D
Nil
80 000.00
Millar Watson Architects
Architectural planning
and construction
supervision
R/T
D
20 000.00
20 000.00
Moreland Group
Leading Change
Panel—Standing Offer
P/T
A, D Nil
Sta
ndin
g
Offe
r
for the provision of
training services in
the field of Leadership
and Change
Management
as required
New Focus
Consultancy on client
satisfaction research
R/T
D
27 771.00
27 771.00
Newton WaymanResearch
Pre Testing of a Press
Advertisement
R/T
A
9 775.00
9 775.00
R/T
A
11 000.00
11 000.00
—re changes to
payment cycles
Newton WaymanResearch
Post Evaluation of Static
display
(Disabilities)
Note: *These consultancies were engaged under partnership arrangements between the Department of Family and
Community Services and Centrelink using the Centrelink Market Research Panel Contract. Specific details of these
consultancies are contained in the Department of Family and Community Services annual report.
Note: *$13 017.00 was paid to Management and Technology. Management and Technology is an associated company of
Ross Begbie and Associates. This payment was made as an administrative oversight.
Note: †These payments were made to Team Systems Pty Ltd as a member of the Upton Martin Consortium, under the
Leading Change Panel standing offer arrangements for the provision of training services in the field of Leadership and
Change Management.
Note: †These payments were made to Team Systems Pty Ltd as a member of the Upton Martin Consortium, under the
Leading Change Panel standing offer arrangements for the provision of training services in the field of Leadership and
Change Management.
Newton
WaymanResearch
Market testing of
Statement Style
R/T
A
17
700.00
17 700.00
R/T
A
22
680.00
22 680.00
Letters Flyer
Newton
WaymanResearch
Market testing of two
ABSTUDY
Claim Forms and an
Information Booklet
Newton
WaymanResearch
Pre Testing Payment
Cycles Brochure
R/T
A
27
900.00
27 900.00
Niki Ellis&
Associates
Research of Customer
Aggression
R/T
A
37
000.00
41 600.00
NIS Australia
Extension of contract
for programming
R/T
A, D
17
235.00
17 235.00
design services
On Purpose
Managerial Coaching
R/T
D
14
000.00
15 000.00
Origin Consulting
Group Pty Ltd
Managing Change
workshop
R/T
A, D
4 586.59
4 586.59
Origin Consulting
Group Pty Ltd
Managing Change
workshops
R/T
A
6 100.00
6 100.00
Orima Research
Pretest Youth and
Students Magazine
R/T
A
14
900.00
14 900.00
Orima Research
Pre testing of
R/T
ABSTUDY Claim Form
A
18
300.00
18 300.00
Orima Research
Pretest of Mutual
Obligation Publicity
R/T
A
19
600.00
19 600.00
R/T
A
19
950.00
19 950.00
R/T
A
42
080.00
42 080.00
material—1998
Orima Research
Pretest of Mutual
Obligation Publicity
material—1999
Orima Research
Market Testing of
Carer Allowance and
Payment Claim
Processes and Forms
Outcome
Management
Services
Review of Centrelink’s
Balanced Scorecard
R/T
C
Nil
3 000.00
Parity People
Project planning and
management
R/T
A
51
890.50
140 000.00
Path Consulting
Team Building
R/T
A
6 230.00
9 345.00
Paul Hannah
Consulting
Training Information
Technology Skills
R/T
D
5 084.00
5 084.00
Phillips Fox
Consulting Pty Ltd
Advice on duty of care
for service delivery
model
R/T
D
2 500.00 2 500.00
Price Waterhouse
Coopers Pty Ltd
Risk Management
Plan
P/T
A, D
71
642.00
Price Waterhouse
Coopers Pty Ltd
Development of Team
Leader Training
R/T
D
25
200.00
Price Waterhouse
Coopers Pty Ltd
Assist on installation of R/T
Agency Banking
A
100
829.00
PriceWaterhouse
Coopers Pty Ltd
Leading Change
Panel—Standing
P/T
A, D
Nil
72 000.00
25 200.00
100 829.00
Standing
Offer
Offer for the provision
of training services in
the field of Leadership
and Change
Management
as required
Prospect
Management
Consulting
Facilitate Management
workshop/conference
R/T
D
10
000.00
10 000.00
PSI Consulting Pty
Ltd
Replacement National
Contracts
R/T
A, D
24
000.00
24 000.00
PSI Consulting Pty
Ltd
Infrastructure Baseline
Costs
R/T
D
120
500.00
175 000.00
PSR Software Pty
Ltd
System analysis
services to
R/T
A
Nil
25 000.00
define reporting
requirements
PSR Software Pty
Ltd
System analysis
services to establish
R/T
A
36
531.00
40 000.00
technical user
requirements for
the Performance
Data Management
Systems project
Public Service and
Merit Protection
Commission
Provision of
investigative and
counseling services of
staff grievances
R/T
C
32
550.00
32 550.00
Quadrant
Research Services
Pre Testing of
R/T
Disability R/T
Connections Magazine
A
6 500.00 6 500.00
Quadrant
Research Services
Conduct of an
evaluation of a Web
Post Office Trial with
Youth Allowance
R/T
A
A 29
950.00
Quasar
Professionals
Recruitment for
Information
Technology
R/T
A, D
75
000.00
A 29 950.00
150 000.00
Personnel
RD Rogers
Engineers Pty Ltd
Structural Engineering
Services
R/T
A
480.00
Standing
Offer
Reengineering
Australia
Planning Facilitation
R/T
D
4 875.00 4 875.00
Rengain
Consulting
Verification of mapping R/T
of General Ledger
A
9 840.00 9 840.00
A
98
000.00
module to Treasury
module on the
Financial system
Research
Advantage
Market Research to
refine and evaluate
the Social Security
Fraud and Compliance
Communication
Strategy
R/T
98 000.00
RMIT Business
Accrual Accounting
Training
A
2 550.00
2 550.00
Robyn Taylor
Team Training
Training Team skills
D
20
660.00
20 660.00
Ross Begbie &
Associates Pty Ltd
Leading Change Panel
—Standing Offer for
the provision of
training
A, D*
87
129.04
Standing
Offer
services in the field
of Leadership and
Change Management
as required
Roy Morgan
Research
Centre Pty
Ltd
Customer
Research into
Social Work
Services
R/T
A
22 427.00
22 427.00
Roy Morgan
Research
Centre Pty
Ltd
Customer
P/T
satisfaction
research for
Customer
Service Centre
Network,
A, B, C
1 473
652.59
2 441 879.00
R/T
D
9 986.00
P/T
D
25 000.00
25 000.00
R/T
C
5 000.00
45 315.00
Call Centre
Network and
International
Services,
and
Community
satisfaction
research
Seven
Dimensions
Pty Ltd
To provide
course
development
and facilitation
for the
9 986.00
leadership
team
training
program
Seven
Dimensions
Pty Ltd
To provide
consultancy
services for
production,
delivery of a
series of
training videos
on ‘The
Best in
Customer
Service’
Sicore
International
Staff Opinion
Survey
Analysis
SMS
Consulting
Group Pty
Ltd
Project
Management
and business
analysis
R/T
D
86 175.00
100 000.00
R/T
D
Nil
12 600.00
R/T
A
5 970.00
48 800.00
R/T
D
6 007.20
40 000.00
services
combined with
SAP
knowledge—
for
the
Performance
Data
Management
System project
Surgam Pty
Ltd
Facilitation
services for a
workshop on
the Strategic
Assessment
of Business
Risks
Sutton
Consulting
Review of
common use
arrangement
for debt
collectors
Synthesys
Strategic
Consulting
Pty Ltd
Manage
scenario
planning
exercises on
specific
subject
matters
(including the
transfer
of scenario
planning
skills and
knowledge of
concepts to
participants
and Centrelink
staff) and
provide
strategic
advice
to Centrelink
Tactics
Consulting
Information
Mapping
Training
R/T
A, D
2 640.00
2 640.00
Tactics
Consulting
Information
Mapping
Training
R/T
A, D
7 410.00
7 410.00
Tactics
Consulting
Provide
Information
Mapping
service for
R/T
D
70 017.00
84 202.00
R/T
D
29 358.20
29 358.20
R/T
D
112
837.45
190,000.00
R/T
D
4 400.00
4 400.00
P/T
A
10 000.00
10 000.00
conversion of
manuals
to online
format
TARP
Australasia
Pty Ltd
Revision of
Customer
Feedback
Categories
used by
Centrelink to
code
Customer
Feedback
TARP
Australasia
Pty Ltd
Consultancy
services to
assist with the
benchmarking
of
Centrelink Call
Centers
Team Based
Strategies
Pty Ltd
Role
clarification
workshop for
Centrelink Call
Leadership
Team
Team
Systems Pty
Ltd
Team Building
Training
Team
Systems Pty
Ltd
Leading
Change
Panel—
Workshop in
the
effectiveness
of
current
operations in
an Area
Support Office
R/T
A, D†
12 208.00
14 375.00
Team
Systems Pty
Ltd
Leading
Change
Panel—
Training the
R/T
A, D†
23 382.40
R/T
C
18 500.00
24 000.00
33 000.00
Area
Executive to
analyses the
overall
business
strategy
TillinghastTowers
Perrin
Actuarial
assessment of
compensation
insurance
TVS
Partnership
Project
Management
Services—
Strathpine
R/T
D
Nil
11 500.00
TVS
Partnership
Fit out Design
Services—
Strathpine
R/T
D
Nil
11 500.00
University of
South
Queensland
Leading
Change
Panel—
Standing
P/T
A, D
Nil
Standing
Offer
P/T
A, D
Nil
Standing
Offer
Offer for the
provision
of training
services in
the field of
Leadership
and Change
Management
as required
University of
Canberra
and
Canberra
Institute of
Technology
Leading
Change
Panel—
Standing Offer
for the
provision of
training
services in the
field of
Leadership
and
Change
Management
as required
Universal
Insight
Provide
consultancy
services in
relation to
R/T
D
3 000.00
3 000.00
R/T
D
98 551.50
130 000.00
R/T
C
2 600.00
2 600.00
planning, team
building,
management,
mentoring
and coaching
Universal
Insight
To provide
consultancy
services in
relation to
learning
organisations,
organisational
change
and the quality
agenda
University of
South
Australia
Marketing
Science
University of
Western
Australia
Provision of
Staff
Satisfaction
Research
R/T
C
Nil
30 000.00
Upton
Martin
Consortium
Leading
Change
Panel—
Standing Offer
P/T
A, D
5 980.00
Standing
Offer
83 200.00
for the
provision of
training
services in the
field of
Leadership and
Change
Management
as required
Upton
Martin
Consortium
Guiding
Coalition
Coaching
Program
R/T
A, D
Nil
Value
Creation
Group Pty
Ltd
Strategic
planning and
concepts
R/T
A
25 459.29
40 000.00
Value
Creation
Group Pty
Ltd
Implementation
of Value
Creation
process
R/T
D
1 080
609.26
2 770 789.00
Vantage
Point
Consulting
Pty Ltd
Leading
Change Panel
—Standing
Offer for the
provision of
training
services in the
field
P/T
A, D
22 937.00
of Leadership
and
Change
Management
as required
Standing
Offer
Vasiliki
Nihas &
Associates
Provision of
multimedia
based training
module
R/T
D
Nil
20 000.00
R/T
A
30 000.00
30 000.00
A, D
53 150.00
53 150.00
on intercultural
communication
Wallis
Consulting
Group
The Pre Test of
the Future
Directions
Magazine—
1999 Edition
William M
Mercer Pty
Ltd
Development of R/T
Choice of
Superannuation
Options
Woods
Styles
Australia
Employee
Assistance
Program
P/T
A
95 310.00
95 310.00
Worthington
Di Marzio
Evaluation of
R/T
Centrelink ATSI
products
A
50 000.00
50 000.00
Worthington
Di Marzio
Market testing
of Letters
Improvement
R/T
A
9 000.00
9 000.00
30 000.00
Project
Worthington
Di Marzio
Evaluation of
Carer
Communication
Strategy
R/T
A
30 000.00
Write
People
Professional
writing training
P/T
A, D
7 700.00
Yann
Campbell
Hoare
Wheeler
Pretest
R/T
Statement Style
Letters Trial
A
33 215.00
33 215.00
Yann
Campbell
Hoare
Wheeler
National
customer
satisfaction
research
D
39 850.00
39 850.00
for November
1998
R/T
7 700.00
Yann
Campbell
Hoare
Wheeler
Annual review
of Customer
Charter
P/T
A, C
Nil
40 650.00
Yann
Campbell
Hoare
Wheeler
Pretest the
Payment
Cycles Letters
R/T
A
50 000.00
50 000.00
Yann
Campbell
Hoare
Wheeler
National
customer
satisfaction
research
P/T
A, B, C
56 620.00
65 350.00
for May 1999
Appendix vi-Advertising and Market Research
This appendix lists expenditure to be reported under the Commonwealth Electoral Act 1918.
Table 21: Advertising and Market Research Expenditure
MEDIA ADVERTISING ORGANISATIONS—MASTER ADVERTISING AGENCIES WHICH HAVE HAVE
PLACED CENTRELINK ADVERTISING IN THE MEDIA. THIS COVERS BOTH CAMPAIGN AND NONCAMPAIGN ADVERTISING
Payee
Amount
Purpose
National Indigenous Radio
Service
$50 000
Radio campaign targeting
Indigenous people
AIS Media
$2 405 263
Advertising for Fraud &
Compliance campaign
Radiowise
$57 700
Radio campaign for the
Retirement Assistance
TMP Worldwide
$7 081
Press advertising for the
Retirement Assistance
Advertising Investment Services
$273 964
Press advertising for the
Commonwealth
Seniors Health Card
AIS Media
$6 402
Advertising for Youth Allowance
TMP Worldwide
$53 663
Advertising for Pension Bonus
Scheme
AIS Media
$55 000
Advertising for Pension Bonus
Scheme
Harry M Miller
$25 000
Advertising for Financial
Information Service
Royal Blind Society
$21 148
Audio versions of Age Pension
News
TMP Worldwide
$3 404
Press advertising for What to do
When
You Start Work
AIS Media
$12 790
Advertising for Seasonal
Workers’
Preclusion Period
ADVERTISING AGENCIES AND OTHER AGENCIES WHICH HAVE DEVELOPED ADVERTISING
CAMPAIGNS
Payee
Amount
Purpose
BAM-SSB
$125 970
Campaign for Fraud &
Compliance
Radio for the Print Handicapped
$52 138
General information for the print
handicapped
Independent & General
$4 080
Radio campaign re Carers
Payment, targeting
multicultural audiences
National Information Community
Awareness Network
$25 000
Campaign for International Day
for people with Disabilities
The Big Issue Australia
$1 530
Press advertising for Rent
Assistance for Sharers
Independent & General
$56 160
Dissemination of Centrelink
information to
the ethnic community
Special Broadcasting Service
$180 450
Provision of multicultural
broadcasting services
Country Wide Publications
$5 160
Advertising for Youth Allowance
Vibe Australia
$3 000
Advertising for Youth Allowance
DIRECT MAIL ORGANISATIONS
Payee
Amount
Purpose
Canberra Mailing
$35 619
Sorting and mailout of agency
material
Salmat Mailing Services
$116 743
Sorting and mailout of agency
material
Toll Logistics
$328 118
Sorting and mailout of agency
material
Mail Management
$92 885
Sorting and mailout of agency
material
Lane Print Group
$ 19 698
Sorting and mailout of agency
material
Prime Prospects
$ 34 305
Sorting and mailout of agency
material
Canprint
$ 10 845
Sorting and mailout of agency
material
National Mail & Marketing
$ 35 187
Sorting and mailout of agency
material
PMP Communications
$1 038 783
Sorting and mailout of agency
material
Bounty Services
$ 45 520
Sorting and mailout of agency
material
Appendix vii-Privacy
Liaison with Privacy Commissioner
Centrelink has informal administrative arrangements in place with the Privacy Commissioner’s Office
which enable Centrelink to deal with complaints as efficiently as possible. These arrangements resulted
in the Privacy Commissioner’s Office deciding not to investigate five cases after making preliminary
inquiries under section 42 of the Privacy Act 1988 and in other cases being handled more effectively.
Complaints referred by the Privacy Commissioner
The Privacy Commissioner formally referred nine cases to Centrelink during 1998–99 and after receiving
reports from Centrelink has finalised nine cases under paragraphs 41(1)(a) or 41(2)(a) of the Privacy Act
1988. Paragraph 41(1)(a) involves a finding that there has been no interference with privacy while a
dismissal of a complaint under paragraph 41(2)(a) is based on a finding that Centrelink adequately dealt
with the complaint.
Reports and determinations by the Privacy Commissioner
The Privacy Commissioner may issue a report or declaration under sections 30 and 52 of the Privacy
Act 1988 regarding Centrelink. These statutory reports and determinations enable the Privacy
Commissioner to report directly to a Minister and to make a decision either to dismiss or to substantiate
a complaint. During 1998–99, the Privacy Commissioner did not issue any reports or determinations
under the above sections.
Under section 73 of the Privacy Act 1988 an agency may apply in accordance with the regulations for a
public interest determination under section 72 by the Privacy Commissioner about an act or practice that
breaches an Information Privacy Principle. Centrelink has not applied under section 73 to the privacy
Commissioner for any such determination.
Privacy Incident Statistics
Centrelink’s policy is to investigate all privacy incidents which include mailout errors, alleged privacy
breaches from the public and staff, auditing of computer accesses to detect unauthorised accesses and
any privacy incidents at Customer Service Centres and Call Centres. In 1998–99, there were 1076
privacy incidents investigated. These investigations resulted in 28 per cent of incidents being
substantiated as a breach of privacy or confidentiality.
Table 22: Investigation Outcomes 1998–99
FINALISED
SUBSTANTIATED
SUBSTANTIATED FAULT OF EXTERNAL
AGENCY
UNSUBSTANTIATED –
INFORMATION
WITHDRAWN
1 076
301
3
772
100.0%
28.0%
0.3%
71.7%
Included in the privacy incidents investigated are the serious cases of information fraud. There are
criminal sanctions imposed by provisions of the Social Security Act 1991, the Student & Youth
Assistance Act 1973 and the Crimes Act 1914 in relation to the unauthorised access to, use or release
of customer information. Criminal acts under these provisions would generally come within the definition
of fraud as defined by the Commonwealth Law Enforcement Board in the ‘Best Practice for Fraud
Control—Fraud Control Policy of the Commonwealth’. The criteria used require an element of benefit or
financial gain, or of evading a liability to, the Commonwealth as an object of the perpetrator. In most
cases one of the above elements would be present.
Information fraud may also occur with the unauthorised release of staff information or other agency
documents of a confidential or commercial-in-confidence nature where the above elements are present.
Table 23: Types of Incidents Reported 1998–99
TYPES OF INCIDENTS REPORTED 1998-99
NUMBER
Information Privacy Principles 1–3 Privacy Act
1988
14
Information Privacy Principles 4–8 Privacy Act
1988
43
Information Privacy Principles 9–11 Privacy Act
1988
8
Browsing—Unauthorised Access
398
Browsing—Unauthorised Disclosure
372
Unauthorised Use
131
Mail House Error
31
Misdirected Mail—Officer Error
90
Soliciting Disclosure
20
Offer To Supply
1
Untrue Representations
21
Survey Related Incident
16
Other
49
Of the 1076 investigations finalised during the financial year, criminal charges were laid in 10 cases. Of
the criminal cases finalised one officer received a jail sentence, one officer was fined, two officers were
placed on Good Behaviour Bonds, one received a warning letter and in one case there was insufficient
evidence to proceed. Disciplinary action was undertaken against 140 members of staff, resulting in these
officers being either dismissed, fined, counselled or a warning letter being issued.
In 773 of the 1076 cases finalised in the 1998–99 financial year, Automatic Data Processing logging
information was used to assist in proving or disproving an allegation. Automatic Data Processing logging
involves Centrelink retaining records of accesses by Centrelink officers of the computer data bases.
The use of Automatic Data Processing logging information in the detection of breaches has provided
investigation staff with a very accurate and positive investigative tool. Centrelink is able to provide
substantial evidence to determine the guilt or innocence of a staff member who has allegedly breached a
customer’s privacy. It also has the ability to substantiate to a customer whether the customer’s privacy
has been breached through an unauthorised or improper access to customer records on payment
systems.
Appendix viii-Freedom of Information
Information Access
Release of Information Authorised by Law
Centrelink releases information to law enforcement agencies and missing persons agencies in the public
interest under ministerial guidelines issued in accordance with the Social Security Act 1991.
Centrelink also releases specific information to other government agencies in relation to jointly
administered programs. Details of this information is provided on claims and notices issued by
Centrelink under Information Privacy Principle 2 of the Privacy Act 1988.
Freedom of Information Practices and Procedures
Centrelink has instituted practices and procedures to improve the access of customers to their records
and documents. A wide range of personal information documents are made available to customers
outside the formal Freedom of Information processes. This has provided a more timely and effective
service to customers.
Requests from customers for more detailed documents or those involving third party information are still
handled through the normal Freedom of Information processes.
Decision making expertise and the necessary delegations to make decisions under the Freedom of
Information Act 1982 is usually held in Centrelink Area Offices. This provides an effective and expert
service to customers.
Each Customer Service Centre has a Freedom of Information Contact Officer, whose main duties
include the release of documents outside the formal Freedom of Information process, providing advice to
customers on how to lodge a formal Freedom of Information request, accepting requests, negotiating
with customers about requests and providing access to documents. Selected officers in each Area
undertake reviews of Freedom of Information decisions.
The Privacy and Freedom of Information Team in National Support Office manages the Freedom of
Information function and maintains manuals and instructions. The Team develops information guides
and training packages for use in Customer Service Centres.
Freedom of Information Request Statistics
During 1998–99, 6460 requests for access to documents under Freedom of Information were received
by Centrelink, with 6322 requests answered. A total of 515 remained outstanding at 30 June 1999. The
figure of 6460 represented a six per cent decrease from the previous year.
Of the requests finalised in the period, 63 per cent resulted in full access to the requested records, 23
per cent in part access and 0.15 per cent of applicants were refused access. Seven cases were
transferred to other agencies and 196 cases were withdrawn by the customer. Of those customers
granted access, 17 sought an amendment to documents which they believed contained information
which was incomplete, incorrect, out of date or misleading.
Of those requests for access under Freedom of Information which were received during the financial
year, 73.6 per cent were finalised within the 30 days permitted under the Act. A further 16.5 per cent
were finalised within 60 days.
Under the exemption provision of the Freedom of Information Act 1982, Centrelink may refuse to provide
access to documents. The majority of exemptions claimed in 1998–99 were to protect the
confidentiality/privacy of third parties or other customers.
Freedom of Information Reviews and Appeals
In the past year, 121 requests were received for an internal review where the applicant was not satisfied
with a decision about access. Of the reviews completed at the end of the year, there were 34 matters
where access or part access was granted and 87 where the original decision was affirmed.
Of those where the original decision was affirmed, two applicants requested a further review by the
Administrative Appeals Tribunal. The result of matters with the Administrative Appeals Tribunal was:
•
•
one case where the original decision was varied; and
One case where the decision was dismissed.
Publication of Certain Documents and Information
Section 8 Freedom of Information Act 1982
Introduction
Section 8 of the Freedom of Information Act 1982 requires the publishing in the annual report of agency
statements concerning:
•
•
•
•
•
particulars of the organisational structure and functions indicating decision making powers affecting
members of the public;
arrangements for external input to the decision making process;
the categories of documents that are maintained by the Agency;
the facilities in place to assist members of the public to obtain access to documents of the Agency;
and
information about the procedures in place to assist in providing members of the public access to
documents.
Organisational Structure and Functions Statement
Information about the structure, functions and organisation of Centrelink is provided in Chapter 9,
Corporate Overview of Our Organisation, pages 84–88.
Arrangements for External Individuals and Agencies to Provide
Advice to Centrelink
Individuals or organisations outside Centrelink’s administration may express their views about its policy
formulation or about its administration of schemes.
This can be done by making representations to the Minister or the Secretary or by being invited to serve
on committees, working parties or advisory bodies which are established to provide the Minister or the
Secretary with advice on specific issues and programs.
Centrelink also receives comment and feedback on programs from various focus groups of community
members organised by external consultants or Centrelink officers.
Categories of Documents Maintained by Centrelink
Centrelink makes manuals, instructions and guidelines available on request for inspection and purchase
by the public. These can be purchased from Centrelink’s Online Reference Unit, Tuggeranong Office
Park, Box 7788, Canberra Mail Centre, ACT 2610.
Centrelink has also complied with its obligation under the Freedom of Information Act 1982 to produce
and update an index of all manuals and guidelines. The index is available for inspection at an Australian
Archives ‘Information Access Office’ in all capital cities.
Documents in the Possession of Centrelink
Documents held by Centrelink may be categorised as:
•
•
•
•
separate records of decision making bodies such as agenda and minutes;
separate records of Cabinet matters, including Cabinet submissions and Cabinet minutes;
general correspondence and associated categories of documents according to subject matter; and
documents maintained separately which relate to administrative functions, for example, finance and
personnel documents, assets listings and payroll records.
None of these documents are:
•
•
•
open to the public as part of the public register or otherwise, in accordance with an enactment other
than the Freedom of Information Act 1982, where that access is subject to a fee or other charge;
available for purchase by the public in accordance with arrangements made by Centrelink, with the
exception of manuals, instructions or guidelines; or
customarily made available to the public other than under the Freedom of Information Act 1982, free
of charge on request.
Centrelink officers make forms and leaflets relating to payments and other services freely available to
the public.
Facilities for Access to Documents
Centrelink Customer Service Centre offices have facilities for inspection of documents accessed under
the Freedom of Information Act 1982. Agency publications may also be inspected at these locations.
Information on these facilities can be obtained from the Freedom of Information Contact Officer in each
Customer Service Centre, the Freedom of Information Action Officer in each Area Office or from the
Business Manager, Privacy and Freedom of Information, in National Support Office.
Procedures for Gaining Access to Documents
All offices will provide, on request, access to some personal documents held by the office. This is
outside of the formal Freedom of Information process.
Applications for access to documents under the Freedom of Information Act 1982 must be made by
letter, statement or by completing a form. Centrelink has developed Freedom of Information request
forms available in all customer service delivery offices, to ensure that requests for access to documents
are handled quickly.
There are two forms. These are:
•
•
the form ‘I want to access, or change my information about me’ which is used to request access via
photocopies or inspection or make changes to documents; and
the form ‘I want to ask for a Review’ which is used by applicants to appeal against and request an
internal review of a decision about access to documents under Freedom of Information.
The above forms have tear off leaflets that explain the Freedom of Information process and customer
rights. These forms can be filled out in the office, where a Freedom of Information Contact Officer is
available to assist, or can be posted out on request. Requests made under the Freedom of Information
Act 1982 may be lodged at, or posted to, any agency office.
General enquiries about Freedom of Information may be directed to the Freedom of Information Contact
Officer in any Centrelink Customer Service Centre.
Appendix ix-Compliance Activity
Over the 1998–99 financial year, Centrelink completed 2 726 114 reviews of eligibility and entitlement.
These included 2 663 918 reviews of social security payments, 61 310 reviews for student assistance
payments and 886 child care service reviews.
As a result of this review activity there were 292 993 instances where incorrect payments were
identified. Social security payments were either reduced or cancelled on 256 376 occasions and 36 617
student assistance reviews led to savings or identified debts.
Savings to future outlays for social security payments totalled $41.7 million a for tonight, and savings of
$8.6 million for the year were identified for student assistance payments.
Over the 1998–99 financial year 1 406 621 debts were raised to the value of $869.2 million. Of these, 1
335 884 were social security debts worth $828.5 million (including compensation recoveries) and 70 737
were student assistance debts worth $40.8 million.
Refunds/repayments to Centrelink for 1998–99 totalled $555.6 million. Of this, $501.7 million was
recovered against social security debts, an additional$22.4 million was recovered on behalf of other
government agencies and $31.5 million was recovered against student assistance debts. In addition,
Centrelink recovered a further$117.2 million under the compensation recovery provisions of the Social
Security Act 1991. Of this amount, $107.2 million was additional to the $555.6 million reported above.
A total of 3828 cases were referred to the Director of Public Prosecutions for consideration of
prosecution action during 1998–99 of which 3779 were social security cases with a further 49 student
assistance cases referred.
During the 1998–99 financial year, 3147cases were prosecuted through the courts. Of these, 3077
cases were prosecuted for social security fraud with a conviction rate of 97.9 per cent, and a further 70
cases were prosecuted for student assistance fraud resulting in a conviction rate of 97.1 per cent.
Within these overall figures there were the following highlights:
Social security payments:
•
•
•
•
The Data-matching Program continued its strong performance with five data matching cycles
conducted in 1998–99.This review activity resulted in the cancellation or reduction in the rate of 35
657 payments with 70 141debts being raised. Savings to future outlays from these matches totalled
$2 million a fortnight and$81 million in debts were identified for recovery action.
Employment Declaration Form reviews resulted in the cancellation or rate reduction of 37 222
payments. These reviews achieved fortnightly savings to future outlays of $7 million and identified
debts totalling $123.2 million.
49 052 reviews were conducted from tip-offs received from the public resulting in 4924 cancellations
to payment, with a further 10 428 rate reductions, and debts totalling $29.9 million being identified.
There were 3011 convictions recorded for welfare fraud involving $30.3 million.
Student assistance payments:
•
•
data matching of enrolment details with educational institutions resulted in 23 121 cases of savings
or identified debts, with annual savings to outlays of $6.5 million and identified debts of $16.7 million;
and
there were 68 convictions recorded for fraud involving $595 317.
Report to Parliament
The Minister regularly tables reports in Parliament on social security review and associated debt activity
undertaken by Centrelink. This report and the press coverage it receives increases the profile of the
control activities being undertaken by Centrelink which in turn helps ensure that social security payments
are only received by those who are entitled to them.
In line with the deterrence provisions of the Fraud Control Policy of the Commonwealth, giving publicity
to court cases of welfare fraud is also designed to create public recognition of the risks and penalties
involved in attempting to defraud the system and to encourage voluntary compliance.
Enhanced Investigation Initiative
During the 1997–98 financial year Centrelink conducted a successful pilot scheme involving the use of
private firms to provide optical surveillance services. The purpose of the pilot was to determine the
effectiveness of surveillance in the investigation of cases where traditional methods of investigation had
proven unsuccessful. Centrelink has since conducted a public tender process to select private firms to
provide surveillance services on its behalf. These firms will assist in the investigation of certain cases of
serious social security fraud. Only sufficient information necessary to conduct the surveillance is passed
to the firm providing the service and each case is under the control of a specialist Centrelink surveillance
project officer. The project officers act as the liaison point between service providers and Centrelink.
Contracts with selected firms contain strong privacy and confidentiality safeguards. The private firms
selected through the tender process are required to adhere to the Guidelines for the Conduct of Covert
Surveillance in Commonwealth Administration, published by the Privacy Commissioner in 1992, the
Information Privacy Principles in the Privacy Act 1988 and stringent Centrelink guidelines. The Privacy
Commissioner’s office was closely involved in the process. Surveillance personnel were also vetted by
the Australian Security Vetting Service.
Cash Economy
The cash economy is recognised as an area of significant risk for Centrelink. In response to this,
Centrelink continued to develop its cash economy compliance strategy, establishing a specialist team to
address cash economy issues as well as other complex investigation matters. The out posting of
specialist Centrelink staff to the Australian Taxation Office was consolidated and in the future will be
extended to cover most branches. Joint initiatives with the Australian Taxation Office were undertaken
including checks on casual workers in the Hunter Valley of New South Wales where a number of
fraudulent cases associated with the cash economy were successfully prosecuted. There was continued
liaison with representatives of a number of Commonwealth agencies under the auspices of the
Interagency Cash Economy Working Group which met on a regular basis throughout the year.
Appendix x-Notifiable Events
Sections 9 and 13 of the Commonwealth Services Delivery Agency Act 1997 (the Act) provide for the
Minister to give a direction to the Centrelink Board of Management in writing through the Chairman.
Section 10 of the Act requires that, before giving a direction under Section 9, the Minister must ask the
Board for its advice and comments on the impact of the direction on the Agency’s operations. Particulars
of any directions given by the Minister and advice by the Board are required to be reported in
Centrelink’s Annual Report.
During the 1998–99 financial year the Centrelink Board of Management received two Ministerial
Directions. The first required that the Chief Executive Officer of Centrelink provide briefings on factual
and operational aspects of the services provided to the Ministers of any agencies with whom Centrelink
has entered into service arrangements. The second direction called upon the Board to implement the
Centrelink Privacy Directions.
Chief Executive Officer Briefings to Other Ministers
On 27 August 1998, under Section 10 of the Act, the then Minister for Social Security, Senator the Hon.
Jocelyn Newman, forwarded a proposed direction to the Chairman for consideration by the Board. The
proposed direction required the Board to direct the Chief Executive Officer to provide factual and
operational briefings to any Minister responsible for the functions of any Commonwealth agency with
whom Centrelink has entered into service arrangements. The briefings can be instigated either by the
Minister or by the Chief Executive Officer.
The Board advised the Minister that the proposed direction would have no adverse affect on the
operations of Centrelink. He also noted the need for arrangements that would continue to recognise the
role and responsibility of relevant portfolio Secretaries for negotiating and managing arrangements with
Centrelink.
On 28 August 1998 Senator Newman issued a formal direction under Section 9 of the Act.
Subsequently, on 1 September 1998, the Chairman wrote to the Chief Executive Officer directing her to
comply with this direction.
Centrelink’s Privacy Guidelines
In March 1997, in relation to implementation of the Agency, and during the debate on the
Commonwealth Services Delivery Agency (Consequential Amendments) Bill 1997 the then Minister for
Social Security, Senator the Hon. Jocelyn Newman stated that the existing strong privacy regime from
the former Department of Social Security would apply to Centrelink. She said there would be no
diminution in the protections that the Privacy Act and the confidentiality provisions of the various other
acts administered by Centrelink, such as the Social Security Act 1991, afford to the customers of
Centrelink. The Minister said Privacy Guidelines would be developed and the Board would be required
to implement them.
The Centrelink Privacy Guidelines were presented to the Centrelink Board of Management in April 1999.
The Board, noting that the Guidelines had been supported by the Privacy Commission, approved the
Guidelines. The Board asked that they be promulgated throughout Centrelink, recognising that the
Guidelines formalised a privacy regime that had been in operation since the creation of Centrelink.
Subsequently, to give effect to Minister Newman’s commitment, on 16 June 1999 the Hon. Warren Truss
MP, the then Minister for Community Services, issued a formal direction under Section 9 of the
Commonwealth Services Delivery Agency Act 1997 directing the Board of Centrelink to implement the
Privacy Guidelines. On 21 June 1999, the Chairman of the Centrelink Board of Management wrote to
the Chief Executive Officer directing her to comply with the Minister’s direction
Appendix xi-Customer Charter Status and Customer
Feedback Handling Report
Centrelink’s Customer Charter
Centrelink’s Customer Charter defines the experience its customers can expect and acts as a significant
lever for creating a customer driven culture by helping staff to focus on what is important to their
customers.
The first revised edition of the Customer Charter was issued in September 1998, along with a new
companion document for staff, The Customer Charter in Practice, one year after its launch on 24
September 1997.The first annual review used a similar process to that used for the Charter’s
development, involving wide consultation with customers, community groups, customer service staff and
client departments. The second annual review of the Charter is underway, with reissue expected in
September 1999.
Customer awareness of the Charter continues to be low (eight per cent) and activities to promote the
Charter are planned for 1999–2000. Of those customers who knew of the Charter, the numbers who
have read it has increased significantly, from 39 per cent to 51 per cent.
Customer Feedback
The Customer Charter encourages customers to provide feedback if they are happy or unhappy with our
service. The four main ways that customers provide feedback to Centrelink are by either:
•
•
•
•
phoning the customer Relations Line on FreecallTM 1800 050 004;
completing a Customer Comments Card(available at all offices);
completing an online Customer Comment Card found at the Centrelink web site
(www.centrelink.gov.au); and
speaking to any Customer Service Officer in person.
Use of feedback
Information from feedback on customer service is used in the following ways:
•
•
•
•
referring the feedback to the action officer concerned;
drawing the feedback to the attention of other staff;
improving and changing the way things are done; and
feeding the response into the agency’s corporate planning process.
Feedback activity
The instances of feedback requiring issues to be resolved were much higher this year than in the
previous year because:
•
•
•
1998–99 was the first full year of operation for Centrelink’s 1800 Customer Relations Line;.
the service was advertised in the Telstra white pages in 1998 and 1999; and
An improved (speedier) recording system enabling all feedback to be entered was introduced at the
beginning of 1999.
In 1998–99 there were 90 782 instances of feedback requiring issues to be resolved compared to 34
207 in the first nine months of Centrelink’s operations (October 1997– June 1998). This type of feedback
activity represented less than half of one per cent of total decision making activity.
Average time to resolve feedback
Most feedback was addressed and resolved at the ‘tier one’ level or source of the complaint and within
the standard for resolution at that level, which is two working days.
Feedback system
All customer complaints, compliments, suggestions and general information requests are recorded by
staff working on the 1800 Customer Relations Line onto a database.
Centrelink’s Customer Relations Line services are delivered from 14 sites around the country.
Feedback statistics
Centrelink records all feedback received by customers whether they are complaints, compliments,
suggestions or requests for general information.
It is possible to record a range of information on the system about each customer contact. The
information can include:
•
•
•
•
customer details (e.g. name, contact phone number, date of birth, Customer Reference Number);
type of feedback (e.g. compliment, suggestion, complaint, information request);
service provider;
product type (e.g. Age Pension);
•
•
•
category (e.g. procedures, waiting times, appointments, information, customer service);
details of the situation; and
resolution details (e.g. response, resolution date and resolution details).
The type and amount of information recorded is needs based and varies with each individual customer
contact. For example, customer details are not recorded if the customer does not need or wish to be
called back, if these details are not essential to resolving the problem, or if the customer wishes to
remain anonymous.
In some cases only the nature of the call is recorded. For example, no details other than the complaint
category ‘Call Centre Busy’ is recorded if a customer rings to complain about not being able to get
through when ringing Centrelink as recording further information would not add to the usefulness of the
data.
Improvements to Service Delivery made as a result of customer feedback
Many improvements have been made as a result of customer feedback. One example is where a
customer complained about a standard letter. The wording was changed, and the customer
subsequently received the new style letter and responded positively to the change.
The four most common complaints
•
•
•
•
Could not get through to a Call Centre, busy signal.
Not satisfied with the decision or assessment Centrelink has made.
Delay in processing customer’s claim for benefit.
Information inaccurate, incomplete or ambiguous.
The four most common compliments
•
•
•
•
Helpful service.
Efficient service.
Caring service.
Friendly service.
Percentage of complainants satisfied with complaint resolution
More than half of customers surveyed recently who had made a complaint were satisfied with how their
complaint was handled. Centrelink’s standard is that all feedback, regardless of complexity, be resolved
within the timeliness standards.
Appendix xii-Customer Satisfaction Performance
Table
Table 24: Overall Customer Satisfaction (As measured by various Customer Satisfaction
Surveys) Centrelink undertakes a comprehensive customer satisfaction research program.
Overall, customer satisfaction has remained stable over 1998–99.
AREA OF OVERALL CUSTOMER SATISFACTION
November ’98
May ’99
%
%
Overall Quality of Centrelink
(including people, services and
information)*
65.0
65.0
Overall Level of Service by
Customer Service Centres
(including quality of people,
services and information)†
72.8
73.3
Overall Level of Service by Call
Centres (including quality of
people, services and
information)#
60.8
60.3
Overall Level of Service by
International Services (including
quality of people, services and
information)**
93.5
92.0
Centrelink Staff Overall*
76.0
76.0
Notes:
*Source: National Customer Satisfaction Survey (Yann Campbell Hoare Wheeler)
†Source:
Customer Service Centre Customer Satisfaction Survey (Roy Morgan Research)
#Source:
Call Centre Customer Satisfaction Survey (Roy Morgan Research)
**Source: International Services Customer Satisfaction Survey (Roy Morgan Research)
Appendix xiii-Customer Charter Performance Tables
Table 25: (As measured by the Customer Service Centre Satisfaction Survey)
CUSTOMER CHARTER PERFORMANCE FOR THE CUSTOMER SERVICE CENTRE NETWORK
November ’97
May ’98
November ’98
May ’99
%
%
%
%
– Staff friendliness
78.8
78.9
77.7
78.2 (+0.5)
– Staff helpfulness
78.8
78.4
77.4
77.4 (0.0)
– Way staff
treated you
78.8
78.2
78.0
78.3 (+0.3)
– Understand
customers’ needs
*
61.3
58.2
58.1 (-0.1)
YES
*
*
69.5
71.2 (+1.7)
NO*
*
*
17.2
16.7 (-0.5)
64.0
61.5
59.8
60.6 (+0.8)
74.0
74.3
73.5
74 (+0.5)
We will help you
by:
1. Being friendly,
helpful, respectful
and sensitive to
your individual
needs
2. Identifying
ourselves when
we talk with you
– Did staff identify
themselves to
your satisfaction?
3. Giving prompt
and efficient
service
– Staff speed and
efficiency
4. Listening
carefully to what
you say to us
– Communication
skills—listening
5. Providing
accurate and
consistent
information that is
easy to
understand
– Accuracy of
information
69.3
64.7
65.8
67.8 (+2.0)
– Consistency of
information
*
*
58.0
59.1 (+1.1)
– Information that
is easy to
understand†
†
†
†
†
72.1
71.6
70.4
71.3 (+0.9)
– Were you
referred to other
services? (% Said
YES)
*
*
7.5
7.9 (+0.4)
– Handling of
referral
*
*
66.3
66.6 (+0.3)
†
†
†
54.0 (+14)
– Purpose of last
visit/call to fix a
mistake
*
*
24.3
23.8 (-0.5)
– Rating of
mistake resolution
*
*
57.6
55.9 (-1.7)
6. Explaining the
things you need to
know and do
– Communication
skills—explaining
7. Providing or
referring you to
other services you
may need
8. Making it easy
to access
government
services delivered
by Centrelink
– Overall, how
easy is it to
access
government
services provided
by Centrelink?†
9. Fixing mistakes
10. Improving our
letters and
telephone services
– Letters overall†
†
†
†
†
– Telephone
service overall#
#
#
#
#
Notes:
*Not measured in this wave of the survey.
†See
Table 28 for results from the National Customer Satisfaction Survey (Yann Campbell Hoare Wheeler).
#See
Table 26 for results from the Call Centre Survey (Roy Morgan Research).
Table 26: (As measured by the Call Centre Satisfaction Survey)
CUSTOMER CHARTER PERFORMANCE FOR THE CALL CENTRE NETWORK
November ’97
May ’98
November ’98
May ’99
%
%
%
%
– Staff friendliness
81.1
82.1
81.6
80.5 (-1.1)
– Staff helpfulness
79.4
79.4
77.8
76.3 (-1.5)
– Way staff
treated you
79.4
79.0
79.9
78.1 (-1.8)
– Understand
customers’ needs
*
61.3
54.9
55.0 (+0.1)
YES
*
*
81.8
85.2 (+3.4)
NO*
*
*
10.1
9.4 (-0.7)
*
*
73.2
74.9 (+1.7)
75.8
76.7
75.8
75.6 (-0.2)
We will help you
by:
1. Being friendly,
helpful, respectful
and sensitive to
your individual
needs
2. Identifying
ourselves when
we talk with you
– Did staff identify
themselves to
your satisfaction?
3. Giving prompt
and efficient
service
– Staff speed and
efficiency
4. Listening
carefully to what
you say to us
– Communication
skills—listening
5. Providing
accurate and
consistent
information that is
easy to
understand
– Accuracy of
information
67.3
64.7
64.2
65 (+0.8)
– Consistency of
information
*
*
56.7
55.3 (-1.4)
– Information that
is easy to
understand†
†
†
†
†
72.0
73.0
71.5
70.9 (-0.6)
– Were you
referred to other
services? (% Said
YES)
*
*
17.2
16.4 (-0.8)
– Handling of
referral
*
*
59.1
59.5 (+0.4)
†
†
†
54.0 (+14)
– Purpose of last
visit/call to fix a
mistake
*
*
36.4
34.9 (-1.5)
– Rating of
mistake resolution
*
*
58.7
55.1 (-3.6)
6. Explaining the
things you need to
know and do
– Communication
skills—explaining
7. Providing or
referring you to
other services you
may need
8. Making it easy
to access
government
services delivered
by Centrelink
– Overall, how
easy is it to
access
government
Services provided
by Centrelink?†
9. Fixing mistakes
10. Improving our
letters and
telephone services
– Letters overall†
†
†
†
†
– Telephone
service overall#
66.5
64.0
60.8
60.3 (-0.5)
Notes:
*Not measured in this wave of the survey.
†See
Table 28 for results from the National Customer Satisfaction Survey (Yann Campbell Hoare Wheeler).
Table 27: (As measured by the International Services Satisfaction Survey)
CUSTOMER CHARTER PERFORMANCE FOR THE INTERNATIONAL SERVICES CALL CENTRE
November ’97
May ’98
November ’98
May ’99
%
%
%
%
– Staff friendliness
88.0
92.5
91.0
95.0 (+4.0)
– Staff helpfulness
84.0
89.6
84.5
92.0 (+7.5)
– Way staff
treated you
84.0
90.5
88.0
93.0 (+5.0)
– Understand
customers’ needs
*
*
65.0
74.0 (+9.0)
YES
*
*
71.0
70.0 (-1.0)
NO*
*
*
12.0
13.0 (+1.0)
*
*
85.0
91.0 (+6.0)
83.5
92.0
90.5
97.0 (+6.5)
We will help you
by:
1. Being friendly,
helpful, respectful
and sensitive to
your individual
needs
2. Identifying
ourselves when
we talk with you
– Did staff identify
themselves to
your satisfaction?
3. Giving prompt
and efficient
service
– Staff speed and
efficiency
4. Listening
carefully to what
you say to us
– Communication
skills—listening
5. Providing
accurate and
consistent
information that is
easy to
understand
– Accuracy of
information
75.0
84.6
80.5
84.5 (+4.0)
– Consistency of
information
*
*
75.5
83.5 (+8.0
– Information that
is easy to
understand†
†
†
†
†
80.0
87.6
88.5
90.0 (+1.5)
– Were you
referred to other
services? (% Said
YES)
*
*
*
*
– Handling of
referral
*
*
*
*
†
†
†
54.0 (+14)
– Purpose of last
visit/call to fix a
mistake
*
*
25.5
37.0 (+11.5)
– Rating of
mistake resolution
*
*
74.5
85.2 (+10.7
6. Explaining the
things you need to
know and do
– Communication
skills—explaining
7. Providing or
referring you to
other services you
may need
8. Making it easy
to access
government
services delivered
by Centrelink
– Overall, how
easy is it to
access
government
Services provided
by Centrelink?†
9. Fixing mistakes
10. Improving our
letters and
telephone services
– Letters overall†
†
†
†
†
– Telephone
service overall#
92.0
93.0
93.5
92.0 (-1.5)
Notes:
*Not measured this wave of the survey.
†See
Table 28 for results from the National Customer Satisfaction Survey (Yann Campbell Hoare Wheeler).
Table 28: (As measured by the National Customer Satisfaction Survey)
CUSTOMER CHARTER PERFORMANCE—NATIONAL RESULTS
November ’97
May ’98
November ’98
May ’99
%
%
%
%
– Staff helpfulness
and friendliness
(CSC/CC)
78/85
*
*
*
– Staff friendliness
(CSC/CC)
*
76/79
*
*
– Staff helpfulness
(CSC/CC)
*
74/78
*
*
– Way staff treated
you (CSC/CC)
76/83
75/78
*
*
–Understand
customers’ needs
63
59
*
*
Wearing name
52
badges or identified
themselves
54
*
*
67
67
*
*
67
67
*
*
We will help you
by:
1. Being friendly,
helpful, respectful
and sensitive to
your individual
needs
2. Identifying
ourselves when we
talk with you
(% said yes) (CSC)
Staff identification
(% said yes) (CC)
3. Giving prompt
and efficient
service
– Staff speed and
efficiency
4. Listening
carefully to what
you say to us
– Staff listening
carefully to what
75/82
71/75
*
*
– Accuracy of
advice (including
up to date)
70/75
68/73
*
*
– Consistent
57/64
60/60
*
*
– Information that
is easy to
understand
*
*
65
68
70/76
69/73
*
*
76
74
*
*
– Operating hours
71/75
71/66
*
*
– Handling Queues
(CSC)
61
58
*
*
– Time waiting on
hold (CC)
23
19
*
*
customers tell them
5. Providing
accurate and
consistent
information that is
easy to understand
6. Explaining the
things you need to
know and do
– Explaining the
things customers
need to know and
do
7. Providing or
referring you to
other services you
may need
–
Providing/referring
to appropriate
services
8. Making it easy to
access government
services delivered
by Centrelink
– Access to the
right person
68/61
62/57
*
*
– Getting through
to (CC)
42
34
*
*
*
*
40
54
– Letters overall
72
68
66
66
– Telephone
service overall†
48
43
*
*
– Overall, how
easy is it to access
Government
services provided
by Centrelink?
10.Improving our
letters and
telephone services
Notes:
CSC—Customer Service Centre (office).
CC—Call Centre (telephone service).
*Not measured in this wave of the survey.
†See
Table 26 for results from the Call Centre Survey (Roy Morgan Research).
Appendix xiv-The 1998–99 Centrelink Balanced
Scorecard
The strategic goals of an organisation focus on key issues of corporate survival. They set the direction
for the organisation, defining how it will navigate through an increasingly competitive environment. The
Balanced Scorecard provides a framework that translates Centrelink’s vision and strategy into a
comprehensive set of performance measures.
The Balanced Scorecard is a strategically focused performance management system. It measures
achievement across the range of a business’s activities, giving a more complete picture of our
performance.
For Centrelink, the Balanced Scorecard takes us beyond timeliness and accuracy measures to
assessing the satisfaction of our customers, the well-being of our people, and our ability to continue
getting business from our client departments.
Structure
The Centrelink Balanced Scorecard for 1998–99 contained a three level hierarchy:
•
Key Result Areas, reflecting the first five of Centrelink’s Strategic Goals:
1. Client Partnerships;
2. Customer and Community;
3. Centrelink People;
4. Cost Reduction; and
•
•
5. Innovation.
Key Performance Indicators within each Key Result Area (representing critical areas of success,
including the strategies required to help Centrelink meet its strategic goals); and
Performance Measures which enabled assessment of the progress of our success against the Key
Performance Indicators. Performance Measures are the foundations upon which we can chart our
progress towards meeting our strategic goals.
Reporting of Results
The Balanced Scorecard enables a clear and concise picture to be drawn as to how Centrelink is
actually performing against business expectations. In the Scorecard context, these expectations are
represented by targets, set appropriately for each individual Performance Measures. Scorecard results
emanate from assessing our actual performance against the performance targets for which we strive to
achieve.
Wherever possible, given the availability of the appropriate information, results are gathered in relation
to the activities of offices directly serving the public (Customer Service Centres and Call Centres).
Balanced Scorecard results for 1998–99,with the exception of financial components, were displayed
relative to the number ‘1’,with ‘1’ representing the exact achievement of the target result.
A result of greater than ‘1’ represented achievement exceeding the target performance; a result less
than ‘1’ represented underperformance against target. For example, a Scorecard result of 1.10 (110 per
cent) indicated that actual performance against the measure exceeded the target expectation by 10 per
cent. Conversely, a result of 0.90 (90 per cent) indicated underperformance of 10 per cent below the
target expectation.
How the Key Result Area Result Was Obtained
The Key Result Area results reported in Chapters four to eight were derived from the average of the
results for each individual Performance Measure falling under the respective Key Result Area, (results at
Key Performance Indicator level could similarly be derived by averaging the result of the applicable
Performance Measures).
As for Performance Measures, results for Key Result Areas are relative to the number ‘1’ (100 per cent),
with ‘1’ representing achievement of target.
The Usefulness of the Balanced Scorecard for Centrelink
The Scorecard provides a consistent measure of our success in meeting the Centrelink Strategic Goals.
It is the primary tool used to inform the Centrelink Board on the organisation’s performance and is an
important part in enabling Centrelink managers to identify business aspects that may, for example,
require particular attention.
The Balanced Scorecard is available to all Centrelink staff through a computerised system. Monthly
results are displayed, down to Area or Customer Service Centre level where measures are available at
that level. To facilitate the adoption of best practice, staffs are able to track the performance of offices
within their geographic Area or against any other Area or office.
To complement the national Balanced Scorecard, Customer Service Centre Offices may also produce
local Customer Service Improvement Plan Scorecards. These help individual offices monitor
performance issues of particular relevance to them at any time. Like the national Balanced Scorecard,
local Scorecards are designed to reflect Centrelink’s strategic goals.