Complete Table of Contents

LETTER OF TRANSMITTAL

HIGHLIGHTS

AREAS OF FOCUS FOR THE COMING YEAR

SECTION 1: FOREWORD BY THE AUDITOR–GENERAL

The ANAO – Providing assurance to Parliament and a stimulus for better public administration
An overview of our work in 2006–07
Our contribution to the Parliament
Providing a stimulus for better public administration
Monitoring our performance
Resourcing the ANAO
Challenges on the staffing front
Our long term accommodation now settled
Our contribution to the profession and standards
To conclude

SECTION 2: REPORT OVERVIEW

The Auditor–General’s role and responsibilities
Vision
Organisation
Outcome–output framework
Financial summary
Resources for outcomes

SECTION 3: REPORTING ON PERFORMANCE

Performance overview
Portfolio Budget Statements scorecard 2006–2007
Business Plan Scorecard 2006–2007
Output Group 1: Performance Audit Services
Performance Audits
Performance audit outcomes by theme
Inclusion of agency comments in audit reports
Performance
Other audit and related products
Contribution to Outcome 1—improvement in public administration
Contribution to the Parliament
Contribution to public sector entities
Client survey
Output Group 2: Information Support Services
Assistance to Parliament
Better Practice Guides (BPGs)
Performance
Increasing awareness of BPGs and related products
National and international representation
Client seminars and advice
Contribution to outcomes
Output Group 3: Assurance Audit Services
Financial statement audit reports
Financial statement audit – period ended 30 June 2006
Interim financial statement audit – period ended 30 June 2007
Internal control
Interim audit conclusions
Audit methodology
Client survey
Performance
Audit fees
Other assurance reports
Contribution to outcome 2—assurance
Financial statement audit opinions
Parliamentary interest
Developments in the auditing profession
Quality assurance

SECTION 4: MANAGEMENT AND ACCOUNTABILITY

Corporate governance
Executive Board of Management (EBOM)
Audit Committee
Information Strategy Committee
Remuneration Committee
Strategic planning framework
Maintenance of appropriate ethical standards
External and internal scrutiny
Internal audit
Decisions by courts and tribunals
Commonwealth Ombudsman
Management of human resources
Attraction and retention of staff
ANAO Workplace Agreement 2006—09
SES remuneration
Performance pay
Learning and professional development
Secondment/exchange program
Undergraduate program
Professional qualifications and representation studies assistance
Graduates
Awards and recognition
Workplace diversity
Occupational health and safety (OH&S)
Other management issues
Consultancy services
Major competitive tendering and contracting activities
Recruitment advertising
Freedom of information
Environmental protection and biodiversity conservation
Service charter
Discretionary grants
Assessment of effectiveness of asset management
Assessment of purchasing against core policies and procedures
Emergency and Business Continuity Plans

SECTION 5: APPENDICES

Appendix 1: Staffing overview
Appendix 2: 2006—07 Financial results commentary and financial statements
2006—07 Financial results commentary
Introduction
Overview of financial performance
Detailed analysis
2006–07 Financial statements
Independent Audit Report
Statement by the Auditor-General and Chief Finance Officer
Income Statement
Balance Sheet
Statement of Cash Flows
Schedule of Commitments
Schedule of Administered Items
Notes to and Forming Part of the Financial Statements
Appendix 3: Audit reports
Appendix 4: Main issues raised in performance audit reports tabled in 2006–07
Audits examining governance
Audits examining border security
Audits examining project management
Audits examining service delivery
Audits examining grants management
Appendix 5: Addresses and papers by the Auditor-General and senior staff
Appendix 6: Procurement activities
Performance against core purchasing policies
Appendix 7: Contact directory
Assurance Audit Services
Performance Audit Services
Appendix 8: Compliance index

SECTION 6: ABBREVIATIONS

List of Figures

Figure 1: Organisation and Senior Management Structure as at 1 July 2006
Figure 2: The ANAO’s Outcome–Output framework
Figure 3: Number of Performance Audit Reports
Figure 4: Number of BPGs produced
Figure 5: Number of Outputs from the Financial Statement Audit Process
Figure 6: Timeliness of Issuing Audit Opinions
Figure 7: Comparison of audit opinions
Figure 8: Strategic Planning Framework
Figure 9: ANAO Values and Behaviours
Figure A2–1: Operating Expenses
Figure A2–2: Operating Revenue

List of Tables

Table 1: Financial resources summary
Table 2: Resources for Outcome 1
Table 3 Resources for Outcome 2
Table 4: Summary of performance ratings for the period ending 31 October 2006
Table 5: Summary of staff secondments and exchanges during 2006–07
Table 6: Summary of studies completed by staff members
Table 7: Details of advertising expenditure
Table A1–1: Staffing profile as at 30 June 2007
Table A1–2: Paid operative staff (employed under the Public Service Act 1999) as at 30 June 2007
Table A1–3: Paid full-time, part-time and non ongoing staff as at 30 June 2007
Table A1–4: Analysis of Workplace Diversity Groups within salary levels 2006–07
Table A1–5: Details of gains and losses – ongoing staff
Table A1–6: Expenditure on staff training
Table A1–7: Basis of employment of staff
Table A1–8: Performance payments
Table A2–1: Summary of financial performance
Table A2–2: Administered funds
Table A6–1: List of consultancy contracts let in 2006–07 valued at $10 000 or more
Table A6–2: Consultancy contracts valued at $10 000 or more 2003–04 to
2006–07