Guidelines for staff are available for each of the three schemes, but they do not yet provide staff with sufficient information on how to attract proposals, undertake assessments, negotiate agreements and monitor assistance. Some training of staff responsible for assessing proposals, negotiating agreements and monitoring outcomes has been provided, but needs to be enhanced. In particular, The Audit Office believes that there is insufficient guidance for staff in undertaking economic assessment of proposals. 

There is a prevailing view amongst Department of State and Regional Development staff that guidelines are just that, and need not be followed. It was apparent, however, that assumptions made in assessments were not always appropriate and may lead to poor decisions. Flexibility need not be impaired by requiring greater adherence to guidelines. This would help ensure minimum standards of process and rigour in all cases.

Parliamentary reference - Report number #60 - released 21 December 1998

NSW Health has progressed in identifying and addressing key R&D issues in a complex and difficult environment. The Infrastructure Grants Program (IGP) is an innovative program and reflects a commitment by Government to support research infrastructure. The IGP has as its aims the provision of significant funding accompanied by clear research objectives and criteria for accountability and introduces a rational basis for the allocation of infrastructure grants.

While NSW Health has progressed, there is an opportunity to make the IGP more efficient and effective. These opportunities are in the areas of addressing longer term planning issues in health, streamlining and clarifying eligibility and selection criteria, improving decision-making structures and processes and improving accountability.

Parliamentary reference - Report number #56 - released 25 November 1998

At the request of the Department of Gaming and Racing, the audit reviewed the efficiency and effectiveness of the organisation and management of casino surveillance undertaken pursuant to the Casino Control Act, 1992 (the Act).

Implicitly the Act requires an effective level of cooperation and coordination between the agencies to achieve their statutory roles and responsibilities. However, The Audit Office is of the opinion that this has not been achieved. As a consequence, the efficiency and effectiveness of the surveillance roles and processes carried out under the Act can be improved.

Revision is required to the surveillance methodology and its implementation, to the skills base within Director of Casino Surveillance (DCS) and the underlying working and to organisational arrangements between and within DCS and the New South Wales Casino Control Authority. Until such revision has been finalised, it is not possible to determine the level of resources or type of surveillance that needs to be undertaken and funded.

Parliamentary reference - Report number #50 - released 10 June 1998

The audit identified that overall the agencies had carried out the redundancy process satisfactorily and the process, with some exceptions, complied with Government and internal policies. Government policy states that performance problems should be dealt with by managing the performance of the employee rather than restructuring/redundancy processes. In a limited number of instances certain employees, whose performance had been questioned, had been offered and accepted voluntary redundancy.

The audit also indicates that the process of redundancies has resulted in lower salary costs, in real dollar terms, without undue increase in either overtime or consultancy costs nor any detrimental effect on service quality. However, it is noted that the decrease in staffing levels occurred exclusively in the non-budget sector. Budget sector staffing levels increased by 1.4 per cent during 1989-95. There are also signs that the need for and the benefits arising out of redundancies are not well planned or measured. The need for redundancies often arises from a desire to reduce staff related costs while there is no comparison of the costs of redundancy compared to benefits.

Parliamentary reference - Report number #37 - released 17 April 1997

Following a request from the NSW Legislative Council in September 1996, a performance audit into various matters affecting the operation of the New South Wales Department of Agriculture was undertaken by The Audit Office.

Among the recommendations from this report, the Audit Office found that:

• An economic appraisal should be undertaken before all major developments, including rationalisation plans, are implemented. It should include details of anticipated benefits from the changes planned, so that their achievement can be evaluated after implementation.

• Government policies should be made explicit or else established by directives in writing. Planning Infrastructure and human resources should be planned to maximise efficiency and effectiveness. If Government chooses alternatives that have higher costs or lower benefits for the Department, then these should be explicitly funded.

• The Department should strengthen its system of internal control by strengthening the role of the Board of Management as a means of management control, directing an overhaul of the Charter of the Internal Audit Committee and using it to drive the Department’s internal audit function and ensuring implementation of an effective financial management information system.

Parliamentary reference - Report number #36 - released 27 March 1997