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Southbank Institute of Technology66 Ernest Street, South Brisbane, QLD 4101

Postal: Southbank Institute of TechnologyLocked Mail Bag 14, South Brisbane, QLD 4101

P: 07 3244 5000F: 07 3244 5361

www.southbank.edu.au

Annual Report 2008-09

Delivering on the PromiseCutting-edge facilitiesTeachers with real industry experience

CRICOS No. 03020ECRICOS No. 03020E

© State of Queensland, Southbank Institute of Technology 2009

Interpreter Service Statement

The Queensland Government is committed to providing accessible services to Queenslanders from all culturally and linguistically diverse backgrounds. If you have diffi culty in understanding the annual report, you can write to us, contact us directly via telephone on 13 72 48 or email [email protected] and we will arrange an interpreter to eff ectively communicate the report to you.

This report can be viewed on our website atwww.southbank.edu.au/annualreport/

Hard copies of the report are also available on request.

Southbank Institute of Technology Financial Report 2008-09 71

Independence

The Auditor-General Act 2009 promotes the independence of the Auditor-General and QAO authorised auditors. The Auditor-General is the auditor of all Queensland public sector entities and can only be removed by Parliament.

The Auditor-General may conduct an audit in any way considered appropriate and is not subject to direction by any person about the way in which audit powers are to be exercised. The Auditor-General has for the purposes of conducting an audit, access to all documents and property and can report to Parliament matters which in the Auditor-General’s opinion are signifi cant.

Auditor’s Opinion

In accordance with s.40 of the Auditor-General Act 2009 –

(a) I have received all the information and explanations which I have required; and

(b) in my opinion –

(i) the prescribed requirements in respect of the establishment and keeping of accounts have been complied with in all material respects; and

(ii) the fi nancial report has been drawn up so as to present a true and fair view, in accordance with the prescribed accounting standards of the transactions of the Southbank Institute of Technology for the fi nancial year 1 July 2008 to 30 June 2009 and of the fi nancial position as at the end of that year.

D J OLIVE CPA Queensland Audit Offi ce(as Delegate of the Auditor-General of Queensland) Brisbane

30 September 2009

The Honourable Geoff Wilson MPMinister for Education and TrainingPO Box 15033City East QLD 4002

Dear Minister Wilson,

I am pleased to present the Annual Report 2008-09 for the Southbank Institute of Technology.

I certify that this Annual Report complies with:

1. the prescribed requirements of the Financial Accountability and Audit Act 1977 and the Financial Management

Standard 1997, and

2. the detailed requirements set out in the Annual Reporting Guidelines for Queensland Government Agencies.

A checklist outlining the annual reporting requirements can be accessed at www.southbank.edu.au/annualreport/.

Yours sincerely,

Craig SherrinChief Executive Offi cerSouthbank Institute of Technology

Southbank Institute of Technology Annual Report 2008-09

VisionThe Southbank Institute of Technology empowers people for rewarding careers in the global community.

MissionThe Institute delivers high quality, industry ready graduates and associate professionals.

We are leaders in:• Nursing and Allied Health

• Engineering and Built Environment

• Music and Performing Arts

• Hospitality

• IT and Digital Media

The Institute provides educational development pathways and enhances skills for a global market.

Our industry partnerships deliver skilling solutions that increase workforce participation and build organisational capability.

Values

What we stand for

Southbank Institute of Technology

iSouthbank Institute of Technology Annual Report 2008-09

Chair’s ReportOn behalf of the board, I am pleased to present the Southbank Institute of Technology annual report for 2008-09.

The overall performance of the business and its strong operating result demonstrates Southbank Institute of Technology’s focus on delivering a world class educational experience is bearing fruit despite a challenging economic environment.

The Southbank experience

The Southbank experience is all about the unique place, people and product the Institute has now and continues to develop. Our campus is located in the cultural heart of Queensland and features the best custom-designed facilities for vocational education in Australia. Our outstanding people lead the fi eld in the delivery of vocational education and our diff erentiated product off ering – with a focus on associate professional education and the provision of pathways into university – makes this Institute truly extraordinary.

In February 2009, we celebrated the opening of the new South Brisbane campus of the Institute. Three events were held, one showcasing the campus to Industry partners, another allowing students to celebrate at an open air concert and a third offi cially opening the campus with a ceremony offi ciated by then Minister for Education and Training and Minister for the Arts, Rod Welford.

Our students benefi t from the ongoing improvements we are making to the Southbank experience. Delivery of ‘learning in a team setting’ makes the educational environment at the Institute more like a simulated workplace than a classroom.

New student services and facilities are being brought online continually. During the year we installed an electronic queue management system in the Student Services Centre, reducing waiting times and providing management with a better understanding of customer needs through the collection of performance data.

Our staff too enjoys a range of recent improvements, such as the newly initiated Performance, Learning and Innovation workplace management framework which facilitates collaborative management processes.

We continue to invest in our people and provide a working environment that makes the Southbank experience positive for our employees and allows them to develop as vocational education professionals.

We are also continually refi ning the product off ering of the Institute to meet industry needs. We are building our product to meet the demands from today’s market, which diff ers from industry’s previous needs. One of the things we learned from the challenging signals seen during this year was the Institute must deliver product that will lead to growth. To this end we have undertaken to redefi ne our product mix and the growth we are pursuing will allow us to continue developing our product and resources.

Public private partnership

Southbank Institute of Technology students now study in custom-designed buildings after a $550 million redevelopment project was completed on 31 October 2008, two months ahead of schedule.

Construction works, including eleven new buildings and the renovation of four existing structures, were undertaken over the last three years.

Southbank Institute of Technology Annual Report 2008-09ii

The new look campus includes, for example, a building for design and technology training which off ers graphic design, multimedia, photography, animation and civil engineering students a range of contemporary facilities to prepare them for the workforce.

Three new salons, including 30 fully-equipped treatment stations, are at the heart of the beauty training facilities, allowing students to provide client treatments from facials to massage.

Performing arts students benefi t from the creation of a 550-seat auditorium, theatre space and multi-mode classrooms equipped to a professional standard to enable industry ready graduates.

Students in the health, human services and applied sciences learn and prepare for their careers in a new simulated nursing ward, operating theatre and a dental prosthetic surgery.

Axiom Education Queensland (Axiom) and the State Project Team successfully delivered the project ahead of schedule and without serious mishap, handing it over to the Institute for the thirty-year operations phase. We acknowledge and congratulate Axiom for delivering on time, on budget and for conducting its work effi ciently and professionally.

The signifi cance of this successful redevelopment of the campus was underscored by Queensland Cabinet choosing to come to Southbank for a cabinet meeting in May this year.

International

Part of the Southbank experience is meeting people from all walks of life and from all parts of the world. The Institute is proud of the international component of its business and has been working to build this sector.

In 2008-09 we delivered on-campus education to students from more countries than ever before with a

total of 88 source countries represented among our international student body.

It is great to see so many international students here on campus enjoying our fabulous environment and educational opportunities. These students add to the rich cultural mix of our student body. It is a value-add for Australian students to meet people from other parts of the world, to better understand their cultures and to get to know them.

Our delivery of products and services off shore is growing and I am particularly pleased to see our new entry into the Korean market where we are now delivering TESOL training at the Seoul National University of Education, Korea’s premier University for educating teachers.

Financial result

While it has been a diffi cult year for business, the Institute achieved a strong operating result in 2008-09.

The performance of the underlying business before abnormal charges was strong and notwithstanding a fl at corporate market, the Institute recorded $118 million in turnover and a $3.1 million operating profi t.

The 2008-09 fi nancial year was the worst in fi fty years in terms of broad economic conditions, here and abroad. There was chaos in the market due to the global fi nancial crisis and this brought confi dence down to a level not seen in a generation.

In the context of these negative market forces the Institute can be very proud of its achievements this year.

John Puttick Chair Board of Southbank Institute of Technology

iiiSouthbank Institute of Technology Annual Report 2008-09

CEO’s ReportI am pleased to report 2008-09 was a year of signifi cant achievement for Southbank Institute of Technology during which we provided world class training and education to 29,654 students and continued to deliver on the vision of the Queensland Skills Plan.

Associate professional education and training

Our Institute supports Queensland’s economic prosperity by delivering skilled workers, particularly in associate professional areas, to industry.

The Institute’s focus on delivering associate professional training stems from its Government mandate to address particular skills shortages in the labour market. Today the Institute delivers more programs at the upper end of the vocational education spectrum than ever before, with 9888 students enrolled in Certifi cate IV and higher level programs in 2008-09.

The Institute has strong, eff ective links with industry and most importantly we listen and respond to industry needs. We provide fl exible delivery and work/study arrangements, multiple course entry and exit points, and take innovative approaches to articulation and credit transfer.

When strong growth in Queensland’s engineering and health sectors revealed critical skills gaps in associate professional areas, we heeded industry’s calls to move rapidly to develop capacity and deliver qualifi ed workers for these sectors.

We developed an Associate Degree in Civil Engineering which recorded 668 individual course enrolments in 2008-09, 88 of which were international students. I am delighted this program has now produced its fi rst graduates. In health, the Institute paid particular attention to addressing skills shortages in priority health areas in 2008-09, such as in aged care, community services, nursing, oral health, healthy lifestyles, pathology and biotechnology.

Articulation pathways

The Institute builds bridges to the professions by providing pathways for people to access education and training. We have been expanding pathways in specifi c priority professions and developed 31 new articulation pathways from our programs into Australian university courses during the year. The Institute now has a total of 83 formal articulation arrangements with universities and continues to be the largest Queensland provider of pathways into higher education.

Articulation arrangements in health programs are performing strongly with 80 per cent of our nursing graduates progressing to university to complete registered nurse (RN) training. The Institute has successful reverse articulation arrangements in nursing too. In 2009, the nursing upgrade program allowed Queensland nurses to modernise their qualifi cations and gain practical expertise in our modern clinical training environment.

This year also saw the Institute sign a Memorandum of Understanding with Queensland University of Technology which allows Associate Degree in Civil Engineering graduates to articulate into the Bachelor of Engineering (Civil) at QUT with full credit for their Institute studies.

Our diverse range of achievements

We achieved great results in so many fi elds during 2008-09. Noteworthy highlights from the year include the Adult Migrant Education Program which delivered excellent English language skills training outcomes, the Southbank Tertiary Entrance Program for high school students which was over subscribed more than four fold, the Adult Tertiary Entrance Program which continues to provide a second chance at higher education for many Queenslanders, as well as our many successful Creative Industries programs.

Southbank Institute of Technology Annual Report 2008-09iv

The Institute is also working hard to increase the number of indigenous professionals in the state. We are building opportunities for indigenous people to enter the professional workforce by increasing participation and attainment in vocational education through our specialised School of Indigenous Australian People.

Southbank Tertiary Entrance Program (STEP)

STEP off ers school students in Years 11 and 12 access to units within selected SBIT Diploma programs. After fi nishing Year 12, STEP students can complete the entire program off ered by the Institute, with confi rmed entry and credit into the Diploma they have been studying.

STEP’s inaugural intake was originally programmed to be 60 high school students in 2008-09. Due to overwhelming demand, with the program being oversubscribed by more than 460 per cent, the fi rst year intake for STEP was lifted to 281 students.

The future for this program appears promising. Another 30 schools recently joined the 95 previously STEP registered participating high schools, with more eager to be involved. In 2009-10 the Institute is planning to take 500 high school students into STEP. The popularity of STEP indicates students, as well as their mums and dads, appreciate our engagement with high schools and the easy access to vocational education and further study we provide.

The international market

The Institute is actively developing relationships with international markets and overseas universities on a continuous basis. We currently have partnerships with universities in China and Korea to deliver the Institute programs. These partnerships result in foreign students gaining an Australian qualifi cation from the Institute, without needing to leave their home country. Programs delivered off shore include hospitality management and international business. These programs are often tailored by the Institute to be delivered in a fl exible mode which suits both students and our partner institutions.

A central element of the Southbank experience for students is their immersion in our richly diverse environment. The Institute has students from 88 diff erent countries mixing in classes with Australian students on campus, making study at the Institute a truly international experience.

Creative industries

Interest in the creative industries strengthened during the year and in many ways our programs in this area defi ne the Institute. Our complement of creative industries programs show this Institute can, and does, lead the fi eld in many areas. Among Creative Industries’ highlights in 2008-09:

• A Battle of the Bands competition run by students in music technology, performance and business, received broad community support

• Contemporary music students performed in many public settings, including the prestigious Byron

Bay Blues and Roots Festival and at Gig Week at SouthBank Piazza

• Creative Southbank was held in November 2008 to great acclaim. Industry representatives attended campus to experience the product of creative industries students. Guests were treated to facility tours, performances and exhibitions, including contributions by the School of Indigenous Australian People.

• The theatrical performance, The Pineapple Queen, was co-produced by the Institute and La Boite Theatre Company, with rave reviews from critics. Written by Southbank Institute teacher Norman Price, the play’s lead actor was another of our teachers, Lisa O’Neill.

• An artist in residence program was established with students enjoying the ability to interact with a range of working artists.

Our growth and the year ahead

Over the last three years the capacity of the Institute’s facilities has expanded and now our aim is to increase student numbers to new record levels.

Our growth in enrolments during the year is in part due to the execution of a range of highly successful marketing campaigns. These campaigns targeted both individuals and employers, boosted enrolments and served to expand the market for vocational education and training.

In growing student numbers, this Institute is taking a fresh approach to the business of skilling Queenslanders. In 2008-09 we generated over $42 million revenue from commercial arrangements and leveraged industry contributions to skills development to provide even more training.

The growing commercial revenue we generate is a result of our dedication to serving industry’s need for quality training outcomes. I am proud to say the Institute’s dedication to quality extends across every one of our programs, regardless of funding source.

During the year, our focus on quality and commitment to delivering on the Queensland Skills Plan resulted in eff ective skills training and education which will ultimately serve to increase innovation and growth in the Queensland economy.

Craig SherrinCEOSouthbank Institute of Technology

1Southbank Institute of Technology Annual Report 2008-09

Table of ContentsChair’s Report i

CEO’s Report iii

Our Performance 2

Our Highlights 3

Our Financial Position 4

Satisfying Demand, Today and Tomorrow 5

Our Market 6

Our Board 8

Our Corporate Operations 11

Strategy and Governance 11 Product Innovation 13 Market & Business Development 15Corporate Services 17

Our Faculties 19

Design, Arts and Hospitality 19Business and Community Education 22Health Sciences 25

Our People 29

Legislative Reporting Requirements 32

Glossary 36

Annual Financial Report 2008-09 37


Our Performance

Snapshot 2008/2009

The Institute met or exceeded all targets set for 2008/2009 with the exception of its ambitious non-government revenue target. However non-government revenues increased by 13 per cent over 2007/08 outturn (2007/08 non-government revenue totalled $41,046m).

Measures 2008-09Target/Est.

2008-09Actual

Total number of students:

• Southbank Institute of Technology 25,000-26,000 29,654

• Higher-level training (Cert IV and above) 9,000-10,000 9,888

• Mature age 4,500-5,000 5,184

• 15-17 year olds 2,000-2,500 2,228

Total qualifi cations completed:


Total competencies successfully completed:


• Higher-level training (Cert IV and above) 70,000-75,000 71,935

Employment/further study outcome 92% 92%

Number of full fee paying international students 2,600 3,367

Non-government revenue ($’000) 50,015 46,353

Percentage of successful competencies as a proportion of all attempted competencies

80% 82%

Average cost per competency successfully completed ($) 873 742

Southbank Institute of Technology (All) funding ($’000) 118,909 116,320

State Contribution ($’000) 68,894 69,967Other Revenue ($’000) 50,015 46,353Total Cost ($’000) 117,913 113,161Operating Surplus/(Defi cit) ($’000) 996 3,159


Our Highlights

• Student numbers grew by 5 per cent, rising from 28,427 students in 2007-08 to 29,658 students in 2008-09.

• The Institute’s Queensland marketshare rose from 8.84 per cent in 2007 to 10.45 per cent in 2008, according to National Centre for Vocational Education Research (NCVER) 2008 Student and Courses Data.

• The Institute became a registered Higher Education Provider eligible to provide FEE-HELP to students from Semester 1, 2010 and submitted our application to become a VET FEE-HELP provider.

• A second year student of the Diploma of Graphic Design, Anne Walker, won recognition in a national design competition and went on to win a commendation in the Europe and International category of the 2008 Design Against Fur competition.

• Students from performing arts program Set Design and Construction designed and build the set for the theatrical performance The Boy from Oz.

• St George Bank Green Dragon Art Prize – St George Bank in partnership with the Institute ran is acquisitive art competition with a total of $7,000 in prizes distributed. The winning artwork is displayed in St George Bank’s boardroom.

• Creative Southbank, held in November 2008, received great acclaim from industry representatives who experienced the product of creative industries students including, performances, exhibitions and various contributions by the School of Indigenous Australian People.

• Successful competencies completed by all the Institute students grew by 2 per cent compared to the same period in 2007-08

• Our total AHCs (Annual Hours Curriculum) for 2008-09 increased by 8.6 per cent on the 2007-08 fi gure, supported by a strong increase of 16.6 per cent in International activity.

• 31 new articulation arrangements were negotiated, with 82 pathways to universities now in place. The Institute off ers the most pathways to more universities than any Institute or private provider in Queensland.

• We grew our International business signifi cantly – almost 38 per cent more students to 3,367 originating from 88 countries – and earned an extra 42.85 per cent in revenue. The Institute’s share of the VET International student market increased from 32.35 per cent to 40.63 per cent.

• More Queensland school leavers now prefer to study at the Institute than a TAFE Institute – latest QTAC statistics show the Institute captured 54 per cent of All TAFE Preferences and we also have 47 per cent share of All TAFE First Preferences.

• Implemented more aggressive marketing using major campaigns to establish our new brand in the market and increase inquiries and enrolments. - website visits increased by 27.3 per cent - web course searches increased by 21.8 per cent - enquiries increased by 8.6 per cent- enrolments increased by 19.55 per cent

QTAC:- fi rst Preferences increased by 12.7 per cent- all Preferences increased by 32 per cent- acceptances increased by 11.6 per cent

• Customer satisfaction rose. Overall student satisfaction increased 7 per cent to 85 per cent in the TAFE Queensland Student Satisfaction Survey 2009.

• Embedded a new organisational structure and business processes to ensure we have the people and resources required to establish a sound fi scal position in the medium-term and are responsive to market demands. Implementation is continuing.

• About 400 teachers, educational delivery and administrative staff spent approximately 9,250 hours as part of a wide-ranging AQTF audit.


Our Financial PositionIn its fi rst full fi nancial year the Institute’s operating performance was strong, returning a surplus of $3.159 million against a budget of $0.996 million. This was achieved through sound fi scal management strategies including monitoring external infl uences such as the global economic crisis and international events. The Institute also strengthened its cash position during the year.

Operating performance: fi nancial highlights

2008/09 $’000

Income 116,320

Expenses 113,161

Operating Surplus 3,159

Impairment losses & revaluation decrements on land & buildings

26,809

Cash and cash equivalents 17,713

Total Assets 63,223

Total Equity 20,609

Current ratio 1.19%

Quick ratio 0.99%

User charges revenue / Total revenue 39.8%

During the fi nancial year the Institute conducted a comprehensive revaluation on its land and building portfolio. Due to current market conditions, the value of land and buildings were reduced by $29.491 million. As this portfolio was transferred to the Institute on its establishment as a statutory TAFE institute on 1 April 2008 the Institute did not hold suffi cient assets revaluation reserves to off set the write-down of the value of its land and buildings. In accordance with Australian Accounting Standards $26.809 million impairment losses and revaluation decrements were recognised in the Income Statement.

Apprenticeships &Traineeships

International

Student Fees

Adult MigrantEnglish Program

Language, Literacy& Numeracy Program

Training Services

Other

State &Commonwealthgrants

VocationalEducation

Income by management reporting classification

Expenditure by management reporting classification

Advertising& promotion

Agentscommissions

Course relatedsupplies

Depreciation

ICT

Other

Printing &photocopying

Travel & transport Contractors& consultancies

Employeeexpenses

Facilities


Satisfying Demand, Today and TomorrowSouthbank Institute of Technology is dedicated to delivering Queensland Government priorities in vocational education and training through fulfi lling its mandate to deliver higher level qualifi cations, at Certifi cate IV level and above.

Delivering skilled workers for Tomorrow’s Queensland

A key ambition of the State’s Towards Q2: Tomorrow’s

Queensland vision is “Smart: Delivering world class education and training”. Towards Q2 sets a clear target for three out of four Queenslanders to hold a trade, training or tertiary qualifi cation by 2020.

Towards Q2 also outlines the need to deliver innovative training programs to meet skill shortages in the nursing, engineering, ICT and other key professions. The goal of delivering fl exible, high quality, post-school training, as well as the aim of increasing the number of vocational education and training places is also detailed in Toward Q2.

Delivering on the Department’s strategic plan

The Department of Education and Training’s strategic plan 2009-2013 focuses on developing skills for the economy and seeks to link Queenslanders to opportunities that maximise their education and learning potential.

The Institute is delivering on many key objectives in the Department’s Strategic Plan, including to:

• Improve transitions between school, training and higher education, to maximise employment outcomes.

• Strengthen industry and stakeholder engagement to achieve improved skills outcomes.

• Increase participation in vocational education and training pathways at Certifi cate III and above.

• Improve participation and qualifi cation outcomes for Indigenous Queenslanders, focusing particularly on Certifi cate III and above qualifi cations.

• Improve access to training for job seekers and existing workers.

• Refocus training and skilling opportunities to respond to the changing economic environment and industry needs.

• Help training and industry focus on skills that will support environmental sustainability.

• Lead the implementation of outcomes from national higher education and training reforms.

Delivering on The Queensland Skills Plan

A key plank in the Queensland Skills Plan is increasing the delivery of training in high level qualifi cations for associate professionals. The Institute continues to focus on delivering high quality associate professional education and training as well as developing pathways from its programs into university.

Our strategic prioritiesIn support of the State’s vision for education and training, the Institute has established fi ve strategic priorities to guide its future direction. These are:

• A sustainable business model

- a model that ensures the ongoing ability to leverage both the high end courses as well as the foundation programs without brand confusion.

• Competitively positioned with highly regarded products & services

• Exceptional client service – “client service as a business” is our culture and a culture we pass on to our students

• Operational effi ciency and eff ectiveness

• Develop “The Southbank Experience”

- The client experience exceptional client service and engagement coupled with a quality educational experience that is unique and builds on our geographic location within a world class education and training precinct at Southbank.

- The experience of our people a rewarding role in which they are acknowledged and feel part of contributing to quality student outcomes and client service.


Our MarketIn 2008-09 the Institute established itself as the leading provider of high quality education and training in Australian and international markets, continued its transformation toward a more commercial business model and created new opportunities to engage with industry partners.

The Institute services local, state, national and international demand for vocational education and training, and specialises in associate professional and higher-level qualifi cations.

Our client base is broad, including sole subscribing individuals as well as government and corporate accounts. The multiple funding streams of the Institute are shown in the following diagram.

Queensland’s aging population

The ageing of the population continues to drive demand for skilled workers in certain industries where the average age of workers is nearing retirement age. It also drives demand for industries such as Health Services as the population ages and places higher demand on these industries.

Expectations in relation to delivery methods and fl exibility are changing rapidly. With the increasing technology adoption rate, student expectations around fl exibility, availability and use of technology in education are also increasing.

Higher education and vocational education and training

The past decade has seen an increase in private Registered Training Organisations (RTOs) off ering a range of product, often focussing on a niche within the market.

The University sector has also had continuing unmet demand which has led to increased competition from the Higher Education sector for that segment of students with an OP 10-15; traditionally the market of TAFE.

The combined eff ect of these market changes increases the competitive rivalry in both the traditional VET market and the market for Higher Education.

Further, Commonwealth and State targets to increase participation in both higher education and VET to ensure that Australia can meet the skills requirements of the economy is increasingly leading to partnerships between higher education providers and VET providers and references to ‘one tertiary sector’ being the key to economic stability into the future.

Student profi le

Our students come in many guises, including career changers and up-skillers, return-to-workers, school leavers, high school students, mature learners, migrants, aspirants for university entry and professional developers.

Domestic

International

In 2008-09, students from 88 countries studied with the Institute. The table below shows the top 14 source countries for international students during the year.

VET Revenue General 30%

Fee For Service 49%

Other Delivery 5%

User Choice 6% International

10%

Students by fund source

0%

5%

10%

15%

20%

25%

30%

35%

40%

Bris

bane

Sou

th &

Gol

d Co

ast

Bris

bane

Nor

th

Oth

er

New

Sou

th W

ales

Vict

oria

Ove

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s

Sout

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est Q

ld

Wid

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y/Su

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oast

Nor

th Q

ld

Cent

ral Q

ld

Wes

tern

Aus

tral

ia

Sout

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stra

lia

Tasm

ania

Breakdown of students by location

0%

5%

10%

15%

20%

25%

Chin

a

Kore

a

Indi

a

Nep

al

Hong

Kon

g

Viet

nam

Japa

n

Taiw

an

Thai

land

Colo

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Saud

i Ara

bia

Phili

ppin

es

Sri L

anka

Braz

il

Breakdown of students by nationality


Our students come from all age groups

Queensland has a higher proportion of older people without training or tertiary qualifi cations than the rest of Australia. The Institute is addressing this situation with more than 57 per cent of its student body being comprised of people aged 25 or older. Interestingly, in 2008-09 school leavers made up no more than a quarter of the Institute’s total student body.

Graduate employment outcomes

The latest available data of the Institute’s graduate employment outcomes, provided by National Centre for

Vocational Education Research, follows:

Of our graduates commencing work:• 46.0 per cent commenced before beginning training• 15.9 per cent commenced while undertaking training• 38.1 per cent commenced after completing training

Of our graduates employed after training:• 82.1 per cent found work within three months of

completing training• 11.5 per cent took four to six months to fi nd work• 6.4 per cent took over six months to fi nd work

Of our graduates employed: • 15.4 per cent were in their fi rst full-time job• 59.5 per cent previously had a full-time work

The detail above comes from the NCVER Student Outcomes Survey (2007).

Our structure

The Institute has four administrative divisions and three educational faculties, referred to as Directorates, with each playing a vital role in the life of the Institute. The seven Directorates are:

• Strategy and Governance• Market and Business Development• Product Innovation• Corporate Services• Business and Corporate Education Faculty• Health Sciences Faculty, and• Design, the Arts and Hospitality Faculty.

Major structural reforms throughout the Institute have brought more fl exibility to our organisation, allowing us to better respond to the dynamic market environment.

15-24 44%

25-34 22%

35-44 16%

45-54 11%

55+ 5%

Unspecified 2%

Student population by age

CEO/InstituteDirector

Board of Directors

Strategy & Governance

Business & Community Education

Faculty

Health SciencesFaculty

Design, Arts & Hospitality

Faculty

CorporateServices

Product Innovation

Market & Business

Development

TELLS*

*TAFE English Language and Literacy Services


Our BoardThe Institute’s Board brings a vast range of commercial expertise to the organisation along with a deep understanding of educational issues and how best to cater to the needs of industry, plus a broad collection of skills and talents relevant to the VET sector.

The Board is comprised of the Chair and six non-executive Directors, appointed on May 2008 by the then Minister for Education and Training, the Honourable Rod Welford.

The powers of the Board are established under Chapter 6A of the Vocational Education, Training and Employment

and other Legislation Amendment Act 2007.

In 2008-09, the Board spearheaded Institute operations and performance, the project rationalisation project and the Fee Help Project.

It also established Institute strategies and an operational plan, as well as negotiating the Institute’s Operating Agreement with the Minister for Education and Training.

In addition, the Board approved the Southbank Tertiary Entrance Program (STEP) and reviewed the workforce plan as well as the strategic marketing and promotions plan.

Audit Finance and Risk Committee (AFRC)

This committee advises the Board on the quality of external operating controls. It also reviews fi nancial risks, internal and external audit reports, fi nancial statements, business plans and risk mitigation strategies.

In 2008-09, the AFRC focussed on establishing fi nancial accounts and reporting mechanisms for the Statutory Institute. The committee also reviewed budgeting and forecasting mechanisms, international and domestic debt, external audit strategy and systems transitions for SAP and the Institute Student Administration System (ISAS).

The disposal of the Kangaroo Point campus and the valuation and disposal options for the Morningside campus were supervised by the committee. Finally, the AFRC appointed and approved the work program for internal auditors.

Left to right: Ann Garms, Ray Heff ernan, Peter Sullivan, Cheryl Macnaught, Chris Burgess, John Puttick (absent, Kate Seed)


Facilities Committee

This committee monitors and approves the development and management of physical and virtual assets. It also monitors the utilisation of assets and the quality, security, safety and eff ectiveness of facilities.

The Facilities Committee reviewed car park options, educational investment fund initiatives, facilities management, campus redevelopment activities and the public-private partnership contract during the year. The committee also commenced work on the facilities management plan.

Remuneration and Nominations Committee

The role of this committee is to provide advice on appointments, retirements and removal of Board members and to establish a process for the regular evaluation of the Board, Directors and staff . The committee also advises on the appointment and remuneration of the CEO.

The committee established frameworks for executive employment and remuneration in 2008-09, as well as for directly engaged staff . In addition, it appointed executives including the CEO.

Staff , Student and Community Voice Committee

This committee was formed during 2008-09 and comprises board, industry, community and staff representatives along with the CEO. It focuses on engaging with the community, students and staff . The committee considers their needs and develops strategies to serve these vital stakeholders. In addition, the committee monitors staff , student and community concerns. The committee has established its work program and is currently working on staff and student awards.

John Puttick (Chair)Chairman, GBST Holdings Limited

John Puttick brings to the position of Chair of the Board a wealth of experience from his multifaceted 40+ year career in information technology, education and community service.

Founder and Chairman of GBST Holdings Limited, John serves as a member of the Queensland University of Technology Council, is Adjunct Professor at the University of Queensland, and is past-Chairman of Software Queensland. He was Founding Chair of the Royal Blind Foundation in Queensland, past-President of the Rotary Club of Brisbane and Host Committee Chair for the 2003 Rotary International Convention.

Ann Garms, OAM, FAIM Proprietor, Ann Garms Consultants, Interior Design and Furnishing & Hospitality and Tourism Consultant

Ann’s long commitment to the community includes her initiative to establish COTAH and subsequently her involvement with the COTAH Advisory

Council and the Southbank Institute Business Council, prior to her appointment to the Southbank Institute Board. Additionally, in 2001 Ann was appointed as a Member of the Harvard University, John F Kennedy School of Government and Women’s Leadership Board; in 2002 was made a Leading Women Entrepreneur of the World, and in 2003 was appointed as a Fellow of the Australian Institute of Management (FAIM).

Ann Garms has over 30 years experience in the tourism and hospitality sector and is internationally regarded as an industry expert. Having owned, operated and restored fi ve Historic Restaurants. Ann was awarded the Order of Australia in 1991 for her dedication to the Community and Hospitality and Tourism industry and in 1993 Ann received the Advance Australia Award for her dedication to Heritage Preservation and the Community. Ann is currently the Vice President of the National Trust of Queensland, Patron of the QUT Faculty of Business Alumni Chapter – FEW- Fostering Executive Women, a Board Member of the State Library of Queensland Foundation, President of the English Speaking Union, QLD and Board Member of Melanoma Patients Australia.

Chris Burgess Company Director, Allen and Buckeridge, Venture Fund Company; GP Partners Limited

A professional company director since 2002, Chris has been involved in the commercialisation of intellectual property in various roles within and

outside the education sector. Prior to this, Chris’ roles in higher education included positions as Pro-Vice Chancellor (Administration), Australian National University; Deputy Principal (Planning), University of Sydney and Director Finance and Planning, Griffi th University (GU).

Ray Heff ernan Principal, Aston House Consulting Services

Ray Heff ernan is a highly regarded contractor for the communications industry. His contacts with the Queensland Government, Local Government, commercial and not-for-

profi t organisations have assisted them to develop strong outcomes as a result of their ICT investments.

Ray is also well known for his previous appointment and success as the Commercial Manager for the Cape York Digital Network. Ray provides the Board with invaluable industry experience and development expertise.


Kate Seed Industrial Advocate, Queensland Teachers’ Union

Kate Seed brings to the The Institute Board strong skills in negotiation, advocacy, and meeting procedural requirements of Queensland legislation pertaining to the public sector.

Kate is an Industrial Advocate with the Queensland Teachers’ Union (QTU) and has been employed with this organisation since March 1997. In her various roles with the QTU, Kate has had responsibility for the implementation and review of awards governing the working conditions of teachers in Queensland schools and TAFE Institutes , the negotiation of certifi ed agreements in schools and TAFE institutes , Workplace Reform, Remote Area Incentives, Teacher Transfers and TAFE Industrial matters.

Kate represents the QTU on a number of bodies including the Queensland Council of Unions and the Australian Education Union. Kate has experience as a director and chairperson from her role on the board of Teachers’ Union Health.

She has also been involved in the Industrial Relations Society of Queensland, Queensland Council of Unions, Sunnybank Anglican Childcare Centre, TAFE Industrial Committee and the ACTU Youth Committee.

Peter SullivanFellow of CPA Australia

Peter Sullivan brings to the Board considerable fi nancial and education

industry expertise in the areas of strategic fi nancial management and development, strategic planning and governance.

Currently Peter is the Chief Financial Offi cer at the University of the Sunshine Coast. His various roles at the University include the integration of planning, budgeting, performance management and risk management frameworks in support of the Strategic Plan. He also serves on a wide range of University committees.

Prior to 2007, Peter was Executive Director Finance and Resource Planning at the Queensland University of Technology (QUT).

Cheryl Macnaught

Cheryl Macnaught was a Director and co-founder of Whittaker Macnaught – one of Queensland’s most highly regarded fi nancial advisory companies. The company was sold in 2007. With over 25 years experience as an investment consultant and fi nancial

adviser, Cheryl regularly contributes to fi nance programs in the media. She has always been fully committed to promoting education on money management.

Cheryl is actively involved with community aff airs, being a member of, or serving on, the Boards of various professional and government bodies, investment industry associations and other community groups.

Our CEOCraig SherrinChief Executive Offi cer

Craig Sherrin’s fi rst career as a science teacher has provided a strong foundation for his ongoing commitment to progressive vocational education and training. Prior to joining our Institute in December 2000, Craig

was Director of the North Point Institute of TAFE. He also sits on the TAFE Queensland Board. Craig holds a Bachelor of Science, Diploma of Education, Bachelor of Educational Studies and Master of Educational Studies. Craig’s professional experience includes a term in State Parliament (representing the seat of Mansfi eld) before he was appointed as the fi rst manager of the Vocational Education and Training Technologies Centre.


Strategy & Governance

Strategy &Performance

SpecialProjects

Risk, Legal & Audit

BusinessProcess

Strategy and Governance

The role of the Strategy and Governance Directorate is to establish, maintain and develop the Institute’s frameworks for strategic and business planning, governance, risk management, business quality and continuous improvement.

The strategic planning function of this Directorate drives the development of strategic and business plans, risk management and continuous improvement strategies across the business.

Strategy and Governance also has responsibility for ongoing compliance and audit functions, including the review of internal controls and the effi ciency of the Institute. These responsibilities incorporate reporting directly to the Audit, Finance and Risk Management Committee.

The Strategy and Governance Directorate is led by Jodi Schmidt who is focused on managing change within the Institute to deliver a market-based and market-driven organisation that supports the delivery of its core business.

Jodi SchmidtDirector, Strategy & Governance

Jodi has been with the Institute since late 2005, originally in the capacity of Director Corporate Services where she led signifi cant change programs in the areas of Finance and Information Technology. In March 2007, Jodi moved to the role of Director Strategy & Governance to lead the development and implementation of a new governance model for Queensland TAFE Institutes and specifi cally Southbank Institute of Technology.

Prior to joining the Institute, Jodi held various senior positions in both Australia and United Kingdom in Health, Local Government and the private sector in Finance, Marketing and Corporate Services.

Risk management

As a new commercial organisation, the Institute has reassessed established policy and is working to evaluate the risk appetite of the organisation. Our risk management policies and processes comply with, and are aligned to, the Department of Employment and Training Integrated Risk Management Framework and Policy. The policy has been developed in accordance with the Australian and New Zealand Standard for Risk Management (AS/NZS 4360:2004).

The objective of the the Institute risk management policy is to encourage a culture of risk management and to assist in the implementation of best practice principles throughout the Institute. The policy enables potential risks to be identifi ed, monitored and minimised. It also contributes to eff ective corporate governance and allows opportunities for business improvement to be maximised as risks are seen both as opportunities as well as threats.

Specifi c risk management procedures include: • Business Continuity Planning,• Workplace Health and Safety Management,• Insurance Management,• Fraud and Corruption Prevention and Control, and • Compliance Management.

The Institute recognises that risk management is an integral part of good governance and management practice and is committed to its application at all management levels within an Institute-wide framework.

The Board is responsible for overseeing the establishment and implementation of risk management systems and reviewing the eff ectiveness of these systems.

The Institute policy complies with the Department of Employment and Training Integrated Risk Management Framework and Policy. This provides a common and consistent approach to risk management throughout the department and the Institute.

Our Corporate Operations

Jodi SchmidtDirector, Strategy & Governance


The framework is designed to encourage an integrated approach to continually monitor and manage risks at all levels within the Institute that impact on the achievement of strategic and business objectives.

There is a centrally coordinated approach to managing and reporting on risk, however it is the responsibility of all staff to understand and manage the key risks in their area. Management ensures members of staff are familiar with the framework for managing risk through appropriate training and support.

Internal audit

The overall mission of the internal audit activity is to provide independent, objective assurance to add value and improve operations. It assists the Institute to accomplish its objectives by bringing a systematic, disciplined approach to evaluating and improving the eff ectiveness of risk management, systems of internal control and governance processes in an independent and professional manner.

The general scope of work of the internal audit is to determine whether the Institute’s network of risk management, control and governance processes, as designed and represented by management, is adequate and functioning appropriately.

In accordance with the Institute’s Internal Audit Charter, the Institute has retained the services of an external fi rm – PricewaterhouseCoopers – to provide Internal Audit Services.

2008-09 saw the fi rst year delivery of the Institute’s three year Internal Audit Plan with audit work performed in the following areas:

1. Human Resources – Processes and Systems2. Core Financial Process – Procure to Pay3. Core Financial Processes – General Ledger4. Contract Management5. Fraud Exposure6. Release of academic awards within 21 days7. Service Level Agreement – Shared Services Agreement

These areas were identifi ed through a risk assessment undertaken on the internal controls system of the institute. The results of the audits completed were better than anticipated when compared to the risks raised as part of the internal audit planning process in June 2008, indicating that the system of internal control is maturing.

Policies and planning

The Institute has reengineered its process framework and redesigned its communications to allow the organisation to be market driven in its approach to policy and planning development, with a view to being an agile and dynamic organisation. The Institute holds ISO9001:2000 accreditation.

Business and organisational processes for rebuilding the organisation with a process driven methodology are developed using the following methodology:

Special projects

Any signifi cant special projects, especially those focussed on major change initiatives which span the Institute are incubated in project teams within Strategy and Governance. In 2008/2009 two project teams operated focused on:

Student Management System – the Student Management System project is a continuing project which began in late 2007. Beginning with the deployment of laptops to all teaching staff this project has delivered centralised timetabling for the Institute and a pilot program is currently underway across Faculties for the deployment of Electronic Student Attendance Tracking (ESAT) which is expected to be rolled out across the Institute in 2010.

FEE-HELP Project – was initiated in response to the Higher Education Support Amendment (Extending Fee-Help for VET Diploma, Advanced Diploma, Graduate Diploma and Graduate Certifi cate Courses) Bill 2007. In 2008/2009 Southbank Institute submitted applications for both VET Fee-Help for Diploma/Advanced Diploma and Graduate Certifi cate/Diploma programs and Higher Education FEE-HELP for Associate Degree programs with the Department of Education, Employment and Workplace Relations (DEEWR) in accordance with the Higher Education Support Act (HESA 2003). The Institute’s Higher Education FEE-HELP application was approved in May 2009 and the Institute will off er Higher Education FEE-HELP from Semester 1, 2010.


Product InnovationProduct Innovation consists of four distinct business units:

Product Innovation continues to focus on strategies to support and enrich the student experience. Its professional and committed staff provide timely, targeted services that are accessible and easy to use, as well as identify and respond to emerging product and service needs.

Robyn TylerDirector, Product Innovation

Product Innovation is led by Robyn Tyler, whose strategic and business support roles span 18 years in the vocational education and training sector. Robyn has held senior management roles in international and domestic business development, student services, education quality, information management, marketing, web development and student administration systems.

Student Services

Student Services underpins the student life-cycle through the delivery of a range of quality support services which are future focussed and diff erentiate the Institute from its many competitors.

Employability among both VET and Higher Education graduates at the Institute remains high as the Institute continues to focus on achieving outstanding career outcomes for students. A large number of graduates gained full-time employment after completing their Institute qualifi cation, plus a signifi cant number of graduates accept places in further full-time study in higher education on leaving the Institute.

Employment Services has a state-of-the-art online system, CareerHub, which allows employers to lodge job vacancies and students to conduct self-directed job search activities. This system supports students who are searching for full-time employment after fi nishing their qualifi cation. Between November 2008 and February 2009, CareerHub had 218 new employers and 993 new students register, and placed 343 SBIT graduates in jobs.

Disability Services has strong links with community-based service providers, disability networks and disability employment agencies. This facilitates a smooth transition process and successful outcomes for students with a disability studying at the Institute. Disability Services case managed 131 students, providing 4,300 hours of support.

Counselling Services initiated the development of a disaster response agreement within the Southbank Education precinct to share human resources in the event of a critical incident. This alliance with QUT, Griffi th University and Brisbane State High School resulted in a Memorandum of Understanding to formalise arrangements for support in the case of a critical incident in the precinct.

Student Administration Domestic increased productivity by six per cent in the past year with over 125,000 telephone enquiries taken, 18,500 email responses delivered, 21,000 counter and phone enrolments processed,as well as over 1,400 payment plans executed.

Student Administration International increased productivity by 15 per cent in the past year delivering services to over 2,600 international students. The team also implemented the Institute’s new CRICOS Provider Registration in November 2008.

Library and eLearn is increasingly providing e-resources in technology enabled spaces which promote communication and collaboration. This refl ects changing student demand and study practices, which are evidenced by the popularity of 24 hour access to the new library website which was implemented during the year. This library website has revolutionised how students access and research information, and it has received praise from academic library professionals across Australia.

Robyn TylerDirector, Product Innovation

ProductInnovation

Product Design &

Development

Higher Education

StudentServices

Product Technology & Support


Approximately 352,000 people visited the Institute library and eLearn facilities in 2008-09, with many taking advantage of self-service options including the latest self checkout technology.

Product Technology

A new version of the Institute’s content management system, Digibank, was implemented in March 2009, supporting the strategic objective of supplying responsive systems and new technologies. One of the extended features of Digibank is its full integration into our learning management system, Blackboard, which increased its online course capacity by 17 per cent and more signifi cantly boosted the number of enrolments by 61 per cent in 2008-09.

The launch of the Student Enrolment Pack Portal (SEPP) by the Administration Technologies Unit streamlined the online enrolment experience for students in 2008-09. SEPP provided students with a customised entry portal for enrolment information, specifi c to each student’s needs, which resulted in increased enrolments across all programs of the Institute.

Product Design and Development

Product Design and Development fi nalised the curriculum and resource development of all vocational graduate certifi cate and diploma programs in 2008-09. A product rationalisation project also started during the year with 24 recommendations from an extensive review being implemented.

The Southbank Tertiary Entrance Program (STEP) provided 281 Queensland Year 11 and 12 students the opportunity to study diploma programs, on-campus at the Institute, while still studying for their High School Certifi cate. These students were off ered the opportunity to study in a fi eld from a selection of 13 disciplines.

Over the year, the Institute developed 31 articulation pathways from diploma, advanced diploma, vocational graduate certifi cate and diploma programs into related university degrees at Queensland University of Technology, Griffi th University, University of Queensland, University of the Sunshine Coast and Australian Catholic University. The Institute off ers 83 articulation pathways to university, with 45 being dual awards which give students a guaranteed place in a university degree program with at least 12 months credit on successful completion of the SBIT qualifi cation.

The Educational Quality Unit achieved Australian Quality Training Framework compliance during the year, resulting in the renewal of the Institute’s registration.

Higher Education

Higher Education enrolments recorded a 23 per cent increase in the Civil Engineering program in 2008-09. To assist graduates, the Institute developed a Memorandum of Understanding with Queensland University of Technology allowing eligible graduates to articulate into the Queensland University of Technology Bachelor of Engineering (Civil) with full credit for their SBIT studies.

The Institute has been liaising closely with partner universities to explore options for joint development and delivery of degrees and post-graduate qualifi cations up to Masters level.

As a non-self-accrediting higher educational provider, the Institute was rated in the lowest risk category of providers by the Queensland Offi ce of Higher Education.


Market and Business DevelopmentThe Institute’s ongoing viability and success is intrinsically linked to its ability to compete successfully in a fi ercely competitive marketplace.

The vital work of increasing and securing revenue is undertaken by Market and Business Development. This Directorate drives sales for single-subscribers, as well as local corporate, national and international clients by conducting strategic market research and analysis, identifying opportunities and delivering contextualised solutions.

Market and Business Development incorporates best practice in marketing and creativity to deliver sustainable growth for the Institute. During the reporting period, the directorate concentrated on refocussing the component parts of Market and Business Development to provide the Institute with and eff ective, industry focused sales and marketing team.

Mary MartinDirector, Market and Business Development

Mary joined the Institute in 2009, bringing with her a raft of strong commercial expertise gained during a career of over 16 years in senior executive positions within the media and telecommunications sectors. Mary’s extensive experience in marketing and communications includes roles as General Manager Fairfax Digital Queensland, General Manager Business Sales Foxtel, as well as a number of senior executive positions with Telstra.

Market and Business Development is comprised of three areas:

Marketing

Marketing conducts research and analysis to identify opportunities for the Institute. It develops strategies and delivers tools and tactics to increase market awareness and convert prospects into customers.

In 2008, the Marketing team was restructured to bring increased strategic marketing capability to the business. The aim of this restructure was to accelerate brand building and positioning activity in a highly competitive market, as well as to create an account management style approach to product marketing, planning and delivery. As part of the restructure, the role of Marketing Executive was created and three experienced marketers were recruited in November 2008.

During the year, a marketing plan was developed to help deliver the Institute’s strategic business goals, with a focus on strategies to:

• establish the brand and reposition the Institute through innovative campaigns with a concentration on using television and digital media channels,

• drive increased enquiries and single subscriber enrolments,

• promote premium products including vocational graduate qualifi cations,

• maximise return on investment (ROI),

• raise awareness among school leavers, increasing QTAC preferences,

• undertake research-driven strategy development, and

• better understand market segments and clients.

Marketing & Business

Development

Marketing InternationalSales

CorporateSales

Mary MartinDirector, Market and Business Development


Each of the three Marketing Executives developed a specialised marketing plan for premium products delivered by their respective faculty clients. These faculty specifi c marketing plans support the Institute’s corporate marketing plan and are now being executed.

Results snapshot

• Summer Enrolment Campaign (January 2009 vs January 2008)

• website visits increased by 18.9 per cent

• visits to the vocational graduate qualifi cations web page increased 338 per cent

• enquiries increased by 18.9 per cent

• Mid Year Intake Campaign (May 2009 vs May 2008)

• website visits increased by 36.6 per cent

• Semester 1, 2009 QTAC statistics show the Institute captured 54 per cent of all TAFE preferences (increase of 13 per cent from 2008) and gained a 47 per cent share of all TAFE fi rst preferences (up 6 per cent from 2008)

• Semester 2, 2008 QTAC fi rst preferences increased by 45 per cent, with all preferences increasing by 60 per cent

• Semester 1, 2009 QTAC fi rst preferences increased by 16 per cent with all preferences increasing by 15.6 per cent

Corporate Sales

Corporate Sales focuses on understanding industry needs and delivering tailored training and qualifi cations to meet demand, using a customer-focussed and consultative approach.

In accordance with key objectives of the Queensland Skills Plan, Corporate Sales has successfully transitioned

from being product driven and faculty based to off ering industry tailored VET solutions.

Corporate Sales developed partnership engagements with major private and public sector clients including Pathology Queensland, Sullivan Nicolaides Pathology and John Holland in 2008-09, developing innovative training responses to suit the client needs.

International Sales

International Sales builds brand awareness and interest in the Institute’s product off ering in overseas markets, with a view to increasing international student numbers and course delivery. International Partnerships is incorporated into this area and works to build relationships with overseas institutions by developing appropriate partnering opportunities for training.

The International Sales unit consists of two teams. The International Sales team generates revenue from clients on a student visa through single subscriber off erings. For international clients without a student visa, the team off ers a study tour and training enrolment. The International Partnerships team develops relationships with overseas educational institutions and industries to deliver accredited and non-accredited training. The team has developed new partnerships in China and Korea and has also consolidated existing agreements to ensure continued revenue growth.

The International Sales unit delivered year-on-year revenue growth of 16.7 per cent, based on 2007-08 targets, generating $15,084,326 in the 2008-09 year. Growth in student numbers in diploma programs was achieved in the emerging markets of Europe, the Philippines and Latin America. English Language Intensive Courses for Overseas Students (ELICOS) numbers also showed strong growth over the fi nancial year.


Corporate ServicesCorporate Services provides operational and strategic leadership to the Institute in the areas of fi nance, information and communications technology, facilities management and human resources, as well as a broad range of professional and support services. Corporate Services also manages the relationship with industry partners in the Private Public Partnership campus redevelopment.

This directorate is the responsibility of Adrian Robinson, whose previous executive positions include Chief Operating Offi cer and Chief Financial Offi cer of the University of New England, and Group Manager Finance and Facilities at the University of Southern Queensland. Adrian also has extensive senior executive management experience in the private sector in both fi nancial and general management roles.

Adrian RobinsonDirector, Corporate Services

Finance

The critical functions performed by the fi nance department underpin the management and operational capacities of the Institute. Finance supports the decision-making abilities of executive management through the provision of accurate and timely fi nancial and management reporting.

In addition to providing fi nancial and management information, as well as advice and guidance on fi nancial matters, the fi nance department has responsibility for generating the Annual Financial Statements, meeting legislative requirements, Departmental and Treasury guidelines.

The fi nance department underwent a restructure during the fi nancial year, creating effi ciencies and improving its working relationships with education faculties and corporate areas of the Institute.

Human Resources

Human Resources provides services related to the employment, retention and development of staff within the Institute. All operational staff are employed by the Department of Education and Training though are managed on a daily basis by the Institute’s executive offi cers with the assistance of HR.

Following the development of the Institute’s Strategic Workforce Plan, there has been signifi cant commitment and focus on realigning internal structures to support improvements in customer focused business delivery.

The Institute’s ability to enhance its focus on workforce performance has been signifi cantly improved through the introduction of a Performance, Learning and Innovation program. This tool was developed in 2008-09 and will strengthen linkages between performance and employee direction, motivation and empowerment.

Adrian RobinsonDirector, Corporate Services

CorporateServices

Finance FacilitiesSouthbankRedevelop-

mentICTHuman

Resources


Information and communications technology

Key information technology support services are delivered by UNISYS under a TAFE/UNISYS Information Technology and Telecommunications Outsourcing Agreement. This agreement includes help desk services for education and administration staff , desktop support, network and server infrastructure administration and project initiatives. UNISYS is required to coordinate connectivity between the Institute and the Departmental network.

The Institute’s internally employed information and communications technology staff respond to contract administration requirements and interact with the Departmental contract management group to ensure the uninterrupted provision of ICT services critical to educational and administrative staff , and to the student body.

A signifi cant storage area network replacement project progressed in 2008-09. This project will provide data management and server virtualisation technology over the next four years. The Institute also established a new off -site network infrastructure at CITEC in October 2008.

The ongoing annual desktop replacement strategy delivered 400 new computers in administration offi ces and classrooms during the year.

Facilities management

The Southbank Education and Training Precinct campus development reached completion in October 2008. The campus is now a world class education and training facility providing a state-of-the-art learning and teaching environment. The Institute’s innovative facility design and construction works were successfully completed on time and on budget. The redevelopment was characterised by a strong partnership among the consortium partners, stakeholders and the State of Queensland.

An asset management and maintenance methodology has been developed jointly by Southbank Institute of Technology and Axiom/Spotless Services to ensure the ongoing standard of ‘reliable and well-functioning training facilities’ is maintained. The methodology sets out the guidelines for Spotless Services to provide reliable facilities and an eff ective maintenance service to the Institute . This methodology defi nes the standards of maintenance required, the development and implementation of planned and unplanned maintenance services under the legal and contractual requirements, Australian standards and relevant legislative requirements, and any other reactive maintenance as required under the Project Deed. The plan is supported by a number of underlying service delivery plans.


Brett KapernickDirector, Design, Arts and Hospitality

The Design, Arts and Hospitality faculty is led by Brett Kapernick, who joined the Institute in 2008. Brett has worked in a variety of leadership and senior management roles over the past 15 years across a diverse range of high profi le commercial and human service businesses. He joined Southbank Institute after leaving Qantas Airways.

Brett has extensive experience in strategic leadership, organisational and cultural change, fi nancial management and enterprise growth. He is an Associate Fellow of the Australian Institute of Management and was named Australian Institute of Managements’ Regional Winner – Professional Manager of the Year 2004.

The faculty of Design, Arts and Hospitality is based around fi ve distinct areas.

The registrar is responsible for centralised administration processes across all schools within the faculty.

School of Tourism and Hospitality continues to be the training provider of choice for those studying hospitality management, tourism management, events management and professional cookery.

School of Industry and Trades encompasses the Queensland School of Printing and Graphic Arts (specialising in screen-printing, sign writing, graphic prepress and print machining) and delivering apprenticeship programs in bakery, butchery, jewellery and watchmaking.

School of Engineering and Design delivers courses and qualifi cations in animation, architectural and computer aided design, civil engineering and multimedia.

School of Creative Industries provides students with study options in the fi elds of contemporary music, fl oristry, graphic design, performing arts, photography and visual arts.

Our Faculties

Design, Arts & Hospitality

Faculty

RegistrarSchool of

Engineering & Design

School of Creative

Industries

School of Industry &

Trades

School of Tourism & Hospitality

Design, Arts and HospitalityDesign Arts and Hospitality is a faculty comprised of four schools and a registrar team. The four schools are strongly linked with industry, ensuring graduates receive training relevant to industry needs and that they enter the workforce ready to make a signifi cant contribution. We continue to explore new ways to improve our links with industry and build recognition of the quality of our graduates.

The faculty is focused on quality educational outcomes for its students across a diverse range of programs from certifi cate level to associate degree qualifi cations. Those studying programs in this faculty include school students, school leavers, international students, associate professionals and adults returning to study.

The Schools of Tourism and Hospitality, Creative Industries and Engineering and Design have extensive articulation arrangements with universities for a number of their programs, with more pathways being negotiated.

Brett KapernickDirector, Design, Arts and Hospitality


Registrar

The registrar team is responsible for the provision of services across the faculty in academic planning, performance reporting, student administration, fi nance, human resources and user choice coordination.

A new organisational structure in the registrar’s area saw senior administrative positions fi lled in educational planning, fi nance and performance reporting, program coordination and administrative coordination during the year.

The focus of the Registrar’s team in 2008-09 was delivering consistent and effi cient administrative processes and building a strong administrative team.

School of Tourism and Hospitality

This school continues to be the training provider of choice for study in tourism, events, hospitality and professional cookery.

Brisbane Apprentice, Blake Mickelbourgh packed his bags and headed to the USA after winning the Institute’s Professional Cookery Apprentice of the Year award. Blake won a scholarship to study at the world renowned Culinary Institute of America in San Francisco. Apprentices were judged by Institute judges as well as industry representatives, including Keith McNeil, Executive Chef a the Brisbane Polo Club and Damien Heads, renowned Sydney chef and regular on Channel 10’s Ready Steady Cook. There are over 550 apprentice chefs studying professional cookery at the Institute.

Ann Garms Award for Excellence

Chloe Jackson received the Ann Garms Award for Excellence in Hospitality Management in 2008. As the winner of this prestigious award, Chloe received a

scholarship as a Trainee Manager at London’s luxury St James Sofi tel Hotel where she has been working over the last 12 months.

Shanghai Week

The School of Tourism and Hospitality and the Queensland Government’s Premier’s Offi ce hosted one of several events for Shanghai week in 2009. The Institute sponsored one of Shanghai’s top Duck Chefs, Mr Zhang Kang Yi, for a three day visit which included:

• running Professional Development for a number of the teaching staff in the professional cookery program, and

• joining the school’s top chefs and Restaurant Two’s David Pugh to present an East Meets West Gala fi ve-course degustation dinner on 26 June 2009. This dinner attended by a number of Shanghai delegates, industry representative, patrons and Institute staff .

In 2008, the Vocational Graduate Certifi cate in Culinary Arts and Kitchen Management produced its fi rst graduates. This program was designed to assist chefs in career progression with elements of staff performance, fi nance, marketing, leadership and creative thinking. Prominent chefs from industry where intrinsically linked with the development of this program.

School of Industry and Trades

The Queensland School of Printing and Graphic Arts (QSPGA) is the sole provider of printing and graphic arts training in Queensland, Northern New South Wales and the Northern Territory.

The school has worked closely with the Creative Industry Skills Council to address a number of actions identifi ed in a draft Skills Formation Strategy, which focuses on industry needs. It has conducted numerous industry forums in conjunction with the Print Industry Association of Queensland, aimed at gaining input into proposed changes for meeting industry needs.

Blake Mickelbourgh, Professional Cookery Apprentice of the Year


Customised training programs were provided for Bakers Delight franchisees and their staff , while the school’s partnership with Woolworths’ bakery and butchery departments increased by seven per cent in 2008. Over 550 apprentices from across the state are involved in bakery and butchery programs. Retail bakery continues to be popular with international students, with retail butchery being off ered to international students in 2010.

The Institute is the sole provider for watchmaking and jewellery apprenticeship training in Queensland. The school produces highly sought after graduates. The Institute, along with the Jewellery Association, recognises the Apprentice of the Year for Jewellery each year. In 2008, this award was won by Angela Sharples.

School of Engineering and Design

This school continued to successfully provide Higher Educational (HE) qualifi cations during the year, with over 25 graduates completing the Associate Degree in Civil Engineering. The popularity of HE programs has been enhanced by strong industry ties and endorsements. Many local civil engineering fi rms showed their support by participating with students in 2009’s team and bridge building day.

The Diploma of Building Design at the Institute was the single most popular program for Queensland Tertiary Admission Centre (QTAC) fi rst preferences throughout TAFE Queensland in 2009.

This fi nancial year has seen the fi rst international graduate in the Vocational Graduate Certifi cate in Architectural Digital Illustration. The Architectural Digital Illustration and Animation Teams provided the fi rst group of students to work on an integrated degree program with Griffi th University’s Queensland College of Art. These students have been given the opportunity to complete concurrent studies in a related Bachelor Degree, providing them with credits for two thirds of this qualifi cation.

Multimedia students once again competed against university undergraduates in the “Game-on, 48 challenge”. The Institute is seen as a leader and pioneer in game production. A new National Training Package was introduced in 2009, allowing for the redevelopment of programs for future technologies. The Institute’s new articulation agreements with local universities (particularly with QUT) add to the appeal of its programs.

World renowned animator Jason Lynch joined the Institute in 2009 to run stop-motion classes. This has raised the profi le of the Institute’s screen and animation programs which supply graduates to a strong local industry.

STEP provided the fi rst high school students to join Architectural and CAD studies programs in 2009. Many of these students will be entering the Institute’s diploma programs in 2011.

School of Creative Industries

This school incorporates programs in diverse and creative areas of study such as contemporary music, fl oristry, graphic design, the performing arts, photography and visual arts, delivered in new state-of-the-art facilities.

The talent of students from the School of Creative Industries has been recognised at the third annual Queensland Aspect Awards. Southbank students won two of the six awards, including the overall student winner, at a ceremony held at Parliament House. Entrants were required to create a corporate gift with broad client appeal designed to refl ect a unique aspect of Queensland.

Once again this year, students studying the Diploma of Live Production, Theatre and Events – Construction Manufacturing – were involved in building and painting the props and sets for a theatre production. This year’s production was The Boy from Oz written as a tribute to entertainer Peter Allen and produced by Savoyards musical Comedy Society.

November 2008 saw the inaugural celebration of student works through Creative Southbank. This event was an opportunity for students to showcase their works for industry and the broader community. Students from Diploma programs including, contemporary music, graphic design, photoimaging, visual arts, performing arts (acting) and fl oristry displayed their works.

St George Bank again this year sponsored the Green Dragon Art Prize for student works. Several students received prize monies for artworks deemed appropriate to hang in the corporate offi ces of St George Bank.

Students from the Diploma of Graphic Design again this year entered the DG student design competition, with one of our students taking out third prize in this national competition for the tertiary division.

Students studying in the Diploma of Contemporary Music this year assisted in the Gympie Music Muster and the Bryon Bay Jazz Festival as part of their assessment.

The faculty has been working to create a strong partnership with La Boite Theatre Company to benefi t students studying the Advanced Diploma of Arts (Acting). This association culminated with the production of The

Pineapple Queen, a play written by Norman Price and acted by Lisa O’Neill, both of whom are teachers at the Institute.

Benjamin McAninly receiving the Heidelberg Award for leading Queensland Printing Apprentice 2008 from Jim Darcy Heidelberg.


Business and Community EducationThis faculty develops and delivers quality educational outcomes, focussing on application. This focus enables students to build confi dence, enhance relevant skills and be prepared for their careers and new environments. Teaching professionals in this faculty enjoy working with a diverse student community, comprising associate professionals, school leavers, international students and adults returning to study.

Michelle BlackDirector, Business and Community Education

Michelle joined the Institute in May 2008, bringing extensive experience in providing leadership to support improvements in organisational performance from both public and private sectors. Michelle also boasts an outstanding record of achieving profi t growth in highly competitive markets.

Michelle commenced her career with the Royal Australian Air Force and went on to lead major conference and event programs for global organisations before moving into senior leadership roles in the healthcare sector.

With a wealth of experience leading change, developing strategies, motivating teams and developing people, Michelle implements strategies to deliver profi table growth.

The faculty of Business and Community Education consists of fi ve areas.

The registrar is responsible for centralised administration processes across all schools in the faculty.

School of Business and Information Technology provides training in business and information technology, including Certifi cate IV programs, Diplomas, Advanced Diplomas, Vocational Graduate Certifi cate programs, short courses and industry certifi cations. Many of these programs provide an articulation pathway for students into partner universities.

School of Indigenous Australian People provides a wide range of business, arts and community programs which are delivered with cultural sensitivity to indigenous Australians.

School of Communication and General Education provides programs for workplace communication, adult tertiary preparation, literacy, numeracy and learning support. The school also off ers Vocational Graduate qualifi cations in Education.

School of Language and Literacy provides English language development programs for new migrants, international students and interpreters. In addition, the school provides Vocational Graduate programs in TESOL (Teaching English to Speakers of Other Languages).

Business and Community Education

Faculty

Registrar

School of Communication

& General Education

School of Language &

Literacy

School of Indigenous Australian

People

School of Business

& IT

Michelle BlackDirector, Business and Community Education


Registrar

The registrar team implements processes across the faculty to enable effi ciencies and consistency in resource utilisation, performance monitoring and compliance.

School of Business and Information Technology

The school continues its focus on developing and delivering quality education to support industry, build student confi dence and enhance student work readiness.

Business students studying marketing applied their learning by interacting with industry and developing real marketing plans for small businesses, such as Found in France, The Hotel Orient and Portal Hotel. Marketing students also conducted market research for large organisations such as Telstra.

Project management programs received strong validation against industry benchmarks from professionals and the number of graduates increased by 121 per cent. Students applied their learning to live workplace scenarios through working on specifi c and relevant projects. Employees and students have embraced this mode of learning as it combines employee skills development with workplace outcomes.

Information Technology programs increased enrolments by 12 per cent in 2008-09. A new articulation pathway with the University of Queensland (UQ) was agreed, enabling Diploma of Information Technology students to receive an advanced standing for the entire fi rst year of UQ’s Bachelor of IT. This is a great opportunity for graduating students to complete a degree in only two years at UQ.

The school participated in the Australian Library and Information Association’s course recognition program to accredit the Institute’s library programs with this association.

A partnership was established with Australian Accounting Technicians (AAT), helping current professionals up-skill to a Certifi cate IV in Financial Services (Book keeping).

The school continues to deliver high quality online learning programs to support fl exible learning and create study opportunities for remote students.

School of Indigenous Australian People

Working in collaboration with government and communities, the school continued to build its strong reputation for cultural respect and support of student development through inter-school participation, building employer relationships and working with the community to develop and deliver programs that support the lives and careers of Indigenous Australians.

In partnership with the Department of Communities (Child Safety), the school delivered training to existing employees for a government administration qualifi cation. In 2008-09, the school’s fi rst students graduated with a Certifi cate IV and Diploma of Government.

Certifi cate programs in business continued to be successful with student Cynthia Macklin winning Vocational Student of the Year at the Queensland Training Awards (Brisbane North Region).

University partnership pathways were established to enable indigenous students to articulate into degree studies for justice. Further negotiations with universities, in relation to education and cultural arts qualifi cations, are planned for the coming year.


School of Communication and General Education

The school continued to assist individuals attain their educational goals in a supportive environment, enabling students to pursue their own personal and professional development. These programs ranged from entry level literacy and numeracy, through to post-graduate vocational qualifi cations.

The school delivered the new online Vocational Graduate Certifi cate in Educational Design and the Vocational Graduate Certifi cate in Leading Vocational Education in 2008-09.

The Workplace English Language and Literacy (WELL) program provided training in the areas of communication, literacy and numeracy. Training was individually customised to meet corporate needs by specialised educators within the “Communication @ Work” team.

A new curriculum for the Adult Tertiary Preparation program was implemented with a change to semester units that supports greater fl exibility and progressive achievements. Student retention increased in 2008-09 by 16 per cent.

The Australian Sign Language (AUSLAN) team enhanced its leadership role in Sign Language by increasing the number of subjects off ered online. We continue to be the state’s only accredited provider of the AUSLAN program for working with the hearing impaired.

The school’s Learning Centre team continued to provide valuable support to students across the Institute. Entry level courses are off ered to “second chance” students who are placed on pathways to mainstream courses off ered throughout the Institute.

School of Language and Literacy

The school continued to set a high benchmark in English language and literacy education for many sectors of the community, including adults, migrants, people with disabilities and overseas students.

The quality of the new Southbank campus facilities contributed to a 25 per cent growth in the number of students attending the Adult Migrant English Program (AMEP), as well as an increase of 40 per cent in Language, Literacy and Numeracy Program (LLNP) courses.

With the growing global demand for qualifi ed English teachers, the school’s Vocational Graduate Certifi cate in TESOL (Teaching English to Speakers of Other Languages) program was successfully launched, with the fi rst group of students graduating during the year.

In 2008-09, the English Language Teaching Unit (ELTU) completed a successful migrant work experience program for highly qualifi ed migrants on behalf of Queensland Government, with 100 per cent job placement achieved.

Students in this school participated in many community activities throughout the year, ranging from establishing an international student soccer team through to the AMEP students’ forming a musical group that performed in the Queen Street Mall.


Health Sciences During 2008-09, the Faculty of Health Sciences continued to work closely with its industry partners to ensure graduates are job ready, and well prepared to address current and emerging priorities in the health sector. Particular attention was given to addressing skills shortages in priority areas identifi ed by government, including aged care, community services, nursing, oral health, healthy lifestyles, pathology and biotechnology.

The faculty’s facilities, which include a simulated hospital learning environment, a well equipped dental laboratory, a commercial gymnasium and a beauty and natural therapies spa, continued to provide a rich environment for students to acquire skills and practise these skills in a vocational setting.

In response to positive feedback from students and industry partners, the faculty commenced planning for a number of new programs and systems to improve educational quality. These will result in the introduction of new postgraduate programs, improved support systems for the diverse group of students enrolled in faculty programs, as well as improved alignment of intra and inter-faculty initiatives.

During the last twelve months, 1,318 students graduated from programs off ered by this faculty.

Dr Jim HannFaculty Director, Health Sciences

Jim joined the Institute in March 2009 after seven years in the Australian Federal Police as Executive Director of the Australian Institute of Police Management in Sydney.

Jim has a BSc (Hons) from the University of NSW and a PhD from the Australian National University. At the University of Southern Queensland (USQ), Jim worked as Lecturer in Biochemistry, Head of Department and Associate Dean (Academic), Dean of Faculty of Information Technology, and as Dean of Faculty of Applied Science.

After USQ, Jim joined the Queensland Police Service as Director Information Management Division, and then undertook an appointment as Director Information Management Division in the Department of Justice, before taking on the role of Executive Director Information Services at Southern Cross University.

The faculty of Health Sciences has four schools and a registrar’s offi ce.

The registrar is responsible for centralised administration processes across all Schools in the faculty.

The School of Community Services and Dental produces graduates who work in a range of areas including childcare, community development and welfare. The School is helping meet shortages in child care workers and community development workers.

The School of Health Services provides training and education in nursing, aged care, patient services and paramedical technologies.

The School of Beauty and Recreation delivers training to those working in the sport and fi tness, beauty therapy and spa sectors.

The School of Health Sciences off ers skills to those pursuing a career in biotechnology, laboratory science and pathology.

HealthSciencesFaculty

RegistrarSchool of Beauty &

Recreation

School of Health

Sciences

School of Health

Services

School of Community Services &

Dental

Dr Jim HannFaculty Director, Health Sciences


Registrar

The registrar’s offi ce is responsible for academic planning, performance and reporting, student administration, fi nancial and human resource management.

During the last twelve months, the registrar established a new management team with senior positions in education and planning, program coordination, administration coordination, performance and reporting, and human resource administration.

Notable achievements were the development of a new common academic calendar for teaching and delivery, an improved process for the management of casual staff contracts, the establishment of a vocational placements register, as well as the communication of new administrative arrangements for the faculty.

School of Community Services and Dental

The School of Community Services and Dental was expanded to include all of the Institute’s dental programs during 2008-09. This created opportunities to review the scope of the Institute’s dental programs and develop links between dental and community services initiatives.

Demand remained high for the Diploma of Dental Technology, from both international and domestic students, and there was very strong demand from domestic students for the Certifi cate III in Dental Assisting.

The Certifi cate IV in Oral Health Promotion was developed in 2008-09 for online delivery in Semester 2, 2009. Discussions with the Aged Care team commenced to investigate the delivery of Oral Health Promotion for aged care workers.

Funding was made available for graduates in the Certifi cate III in Dental Assisting to enrol in the Certifi cate IV in Frontline Management, and thereby facilitate the career progression of dental assistants to a practice manager role.

A memorandum of understanding was signed with the University of Queensland in relation to Southbank Institute of Technology providing laboratory dental trays of work for the Dental Hospital. This added revenue to the Dental team for the year and provided educational opportunities for Dental Technology students.

The Certifi cate III, Diploma, and Advanced Diploma in Children Services remained popular in 2008-09 as many workers seek a higher qualifi cation in order to progress to senior positions in the childcare industry.

This year the children services team, in conjunction with corporate sales, secured 23 spots in the Productivity Places Program (PPP) for job seekers to complete the Certifi cate III in Children Services.

The school collaborated with staff and students in the humanities programs, Institute facilities staff and Spotless, to conduct a Multicultural Awareness Day in June 2009. This was a successful event with over 1,500 people attending the festival. It also provided an excellent vehicle for the assessment of students across a number of competencies within their programs.

The school commenced planning to provide its fi rst higher-level VET qualifi cation in 2010 by off ering a Vocational Certifi cate in Community Counselling. This course has been designed to support graduates in the area of social work, welfare work and nursing who require practical counselling skills. The aim is also to provide a pathway to the Masters of Counselling at QUT, Kelvin Grove.


School of Health Services

Health Services encompasses programs in nursing, anaesthetics, aged care and sterilisation.

Nursing

Nursing is a major priority area at the Institute and has built on its strong foundations by achieving in four main areas during the year:

• More students articulating to university; 80 per cent of graduates have successfully progressed to university to complete nursing (RN) training.

• Increased fl exibility and scalability of delivery. Development of ‘upgrade programs’ allowing nurses to modernise qualifi cations. This Upgrade program commenced in 2009.

• Increased university partnerships. The quality of the faculty’s nursing program has been recognised by universities via reverse articulations, allowing university trained nurses to increase their training and experience at the Institute.

• Increased scope of training; development of school entry (STEP) programs. In addition, a specialised indigenous enrolled nurse stream initiative was developed to increase indigenous nurse numbers and participation, to help drive improvements in indigenous health care.

These programs continue to demonstrate the quality and innovation of the teaching of nursing at the Institute.

Nursing boasts cutting-edge simulated clinical nursing laboratories as well as outstanding working partnerships with Queensland Health and the private health sector. Industry feedback shows Diploma of Nursing students are extremely well equipped for employment.

The high quality of the nursing program has also been recognised by the Queensland Nursing Council (QNC) who, in 2009, accredited the Institute’s nursing program to 2014.

Anaesthetics

Southbank conducts one of only two anaesthetic courses in Australia, and caters to a signifi cant yet largely untapped demand. This course is being strengthened to refl ect industry and student requirements allowing concurrent student training and employment. A number of fl exible alternative delivery strategies are being developed to cater for part-time and external study.

Aged Care

In 2008-09, the accelerated Certifi cate III in Aged Care Work became available for people already working in the industry. The Certifi cate IV in Aged Care Work is for students seeking work in community settings and those planning to apply for the Diploma of Nursing.

The faculty continued to promote strong linkages with the aged care and Nursing industries to facilitate the transition of students and workers between thesetwo industries.

Following the introduction of the new 2007 health package and related industry requirements, a course was developed for allied health care assistants. A short course was established in October 2008 for allied health assistants in podiatry, with courses also available in physiotherapy and occupational therapy.

During 2008-09, exploratory work was undertaken to scope the provision of a number of external courses for delivery into regional and remote Australia.

Sterilisation

The Institute’s sterilisation program continues to receive strong support from hospital sterilising departments and their staff . This support allows students access to valuable vocational placements and to be trained by staff with current industry knowledge.

The faculty met with the Sterilizing Research and Advisory Council of Australia (SRACA) to discuss the development of a new Certifi cate IV in Sterilisation Services during the year.

School of Beauty and Recreation

The School of Beauty and Recreation delivered a number of programs in beauty, hairdressing, fi tness, sport and recreation, sport development and sport management. It also off ered a dual diploma that articulates into the Bachelor of Business (Sport Management) at Griffi th University.

The school’s Health and Fitness Centre and Skin and Body Spa were used extensively by the public, and also for vocational placement by students, in 2008-09. Under the supervision of staff , personal training sessions for the public were expanded, and now attract a growing revenue stream for the school.

The health and fi tness team organised many recreational and health promotion events throughout 2008-09, including weight loss challenges, corporate health checks, self defence programs, an iron man contest, Le Tour de Southbank as well as a training program for the “Bridge to Brisbane Race”.

The fi tness team enhanced their industry involvement through forums, promoting the Institute as the preferred provider of qualifi ed instructors.

The school introduced a range of short courses accredited by Fitness Australia enabling students and fi tness instructors to gain industry-required Continuing Education Credit (CEC) points; these points enable practitioners to maintain their accreditation to practice in the industry.


Facilities in the Beauty and Spa area allow students to be trained in the latest technology and provide students with opportunities to practice their skills on public clients under supervision in a salon environment. During 2008-09, opening times for this area were expanded, with discount treatments being available on evenings and Saturday mornings. The school introduced a professional product range, enhancing students’ training, and made plans to launch a retail range to the public.

The hairdressing team worked with Mission Australia to provide an access program enabling job-seekers to gain competencies towards their qualifi cation while securing an apprenticeship. The team continued to provide apprentices with enhanced salon skills to prepare them for full-time employment.

School of Health Sciences

The school has been actively engaged in developing partnerships to off er a range of new higher degree programs, to facilitate articulation of graduates into university programs, and to create exciting opportunities for high school students to fast-track their entry to tertiary programs. The school also continued discussions to promote student and staff exchanges with overseas universities.

School programs and staffi ng were restructured, increasing the range of diploma specialisations from three to seven, including pathology, pharmaceuticals, environment and forensics.

Course restructuring was undertaken, allowing the Certifi cate IV to be completed in six months, the Diploma in 12 months, and the Specialised Diploma in 18 months. Mid-year entry options for students were also introduced.

Six new short courses began in 2009, including cheese making, wine making and forensics. Additionally, the development of an Advanced Diploma of Laboratory Operations commenced during the year.

An application for Commonwealth Register of Institutes and Courses for Overseas Students (CRICOS) registration of diploma and advanced diploma courses was prepared during the year. This registration will allow international students to obtain vocational biotechnology qualifi cations. CRICOS registration was obtained for the Vocational Graduate Certifi cate (VGC) in Applied Biotechnology in 2009. This is the only post-graduate biotechnology vocational qualifi cation in Australia and is now available to international students.

There was an increase in direct fee-for-service programs in pathology and laboratory skills in 2008-09. The school also established programs to expose high-achieving students to a research environment this year.


Our PeopleAt 30 June 2009, the Institute employed 950 people in full-time, part-time and casual positions with a full-time equivalent workforce of 710 members of staff . These roles are diverse and include positions in the following streams: administrative, operational, professional, technical, teaching and tutoring. In terms of individuals employed by the Institute, there were 568 educational staff and 382 people in the remaining areas of the Institute.

Our people are highly skilled, experienced and industry savvy professionals. They form a friendly and mobile workforce which understands the importance of quality teaching, mentoring and collaboration to the Institute’s vitality. The Institute provides a safe and healthy environment for its staff and encourages ongoing professional development and training.

Workforce profi le

Employment by gender

The following shows the breakdown of staff numbers at the Institute by gender at 30 June 2009.

Classifi cation Group

Female Male Grand Total

Educational 331 237 568

Non-Educational 283 99 382

Grand Total 614 336 950

The following shows the breakdown of Senior Executive staff engaged directly at the Institute by gender at 30 June 2009.

Classifi cation Group

Female Male Grand Total

Senior Executive 5 4 9

Number of full-time positionsStream FTE positions Count of peopleTeacher 294.99 441

Tutor 51.78 100

Workplace Training Offi cer 19.80 27

Educational Leader 2.00 2

Administrative 282.97 300

Operational 14.83 21

Professional 27.74 38

Technical 16.69 21

Total 710.80 950

FTE educational and non-educational staff Stream Non-educational

FTEEducational

FTETeacher 294.99

Tutor 51.78

Workplace Training Offi cer 19.80

Educational Leader 2.00

Administrative 282.97

Operational 14.83

Professional 27.74

Technical 16.69

Total 344.23 366.57Sum of FTE 710.80

Educational

Administrative

Operational

Professional

Technical

Segmentation of Institute staff by role

52% 40%

2%

2% 4% Female

Male

Employment by gender80%

70%

60%

50%

40%

30%

20%

10%

0%Educational

58.3%

41.7%

Non-Educational

74.1%

25.9%


Head count educational and non-educational staff Stream Non-educational

staff Educational

staff Teacher 441

Tutor 100

Workplace Training Offi cer 27

Educational Leader 2

Administrative 300

Operational 21

Professional 38

Technical 21

Total 382 568Sum of head count 950

Workforce planning, attraction and retention

Permanent retention rate

The Institute’s permanent retention rate is 90.1 per cent, based on the number of permanent staff employed as at 30 June 2008 who remained permanent employees as at 30 June 2009.

Permanent separation rate

The organisation’s permanent separation rate of 10.5 per cent represents permanent staff terminations expressed as a percentage of the total permanent staff headcount.

Ethics and the Code of Conduct

All members of staff have an obligation to comply with the Code of Conduct standards established by the Department of Education and Training.

All new staff members receive comprehensive information on the Code of Conduct in their induction.

Staff members are provided with directions and access to the latest versions of the Code of Conduct on both the Institute’s and the Department’s intranet.The Code of Conduct is also used as a basis for performance management issues as appropriate.

Industrial relations

The Institute maintains a strong industrial consultative arrangement through its monthly Local Consultative Committee (LCC) meetings where issues are discussed openly and resolved.

Workplace, health and safety

The Institute maintains a rigorous focus on workplace health and safety through its network of WH&S committees and a steering committee, operated in conjunction with primary facility service provider Spotless.

Workforce Planning Framework

The workforce alignment resulting from development of the Strategic Workforce Plan saw signifi cant work undertaken during the year to attract new and talented applicants for employment and recruitment, as well as to retain existing staff through deployment and/or retraining support.

Facts about our staff

Operational staff continue to be employed as public servants by the Department of Education and Training (DET).

• All conditions of employment have been maintained through the transition of the Institute to statutory authority status.

• The Institute directly employs a small number of senior management and commercial personnel.

Voluntary Early Retirement (VER)

The Institute did not off er any voluntary early retirements during 2008/2009.

Retrenchments

There were three retrenchments from the Institute during 2008/2009 due to these positions being surplus to operational requirements. The total severance benefi t paid was $206,723.29.

Initiatives for women

The Institute’s Board is comprised of three females and four males while the Senior Executive team includes fi ve females and three males. This balance is consistent with the overall workforce profi le which is 68 per cent female and 32 per cent male. The Institute deploys fl exible work practices to support women in the workplace, such as part-time employment, support for family responsibilities and fl exible leave arrangements.

Shared Services

During 2008-09, the Shared Service Agency provided processing services relating to fi nance, human resources, procurement and asset management to Southbank Institute of Technology. The activities of the Shared Service Agency and CorpTech are reported in the annual report of the Department of Public Works.

Staff Awards 2008

The Institute recognises the outstanding eff orts of its staff and celebrates the year’s achievements at its annual Staff Awards celebration.

On 14 November 2008, the Staff Awards 2008 were held at Bronco’s Leagues Club (Red Hill) where staff and partners enjoyed fabulous entertainment, food and music provided by the Institute’s own music teachers.

The Staff Awards in 2008 were aligned with the Institute’s corporate values. Winners of awards were chosen from a pool of peer nominations by a panel of


three judges. Sponsorship for the event was provided by industry partners and allies including John Holland, PricewaterhouseCoopers, Spotless and Qantas, as well as by Chair of the Institute Board, John Puttick.

Certifi cates and prizes were presented at the awards function which was well attended with approximately 400 members of staff and partners witnessing the presentation of 27 Staff Awards. The categories of the Institute’s Staff Awards 2008 included Industry Engagement, Outstanding Educator and Quality Teaching Team, as well as the prestigious Hall of Fame Award. Nine of the awards presented were Executive Awards for Achievement and all of the winners of a Staff Award well and truly deserved the recognition they received at the 2008 event.

Pictured below are the winners of the Industry

Engagement (Team) and Hall of Fame staff awards in 2008.

Industry Engagement Award: Applied Science Fee-for-Service Team

When a training audit identifi ed skills shortages within areas of the pathology sector,

this team (of Caroline Comino, Annie Clasby, Amanda Wilson, Katrina Mengede and Jade Tinney) worked to develop Memorandums of Understanding with Pathology Queensland and SNP – Pathology. They customised Training from Certifi cate 3 through to Diploma levels with the aims of skilling existing staff , recruiting new staff and providing training pathways.

Hall of Fame Award: Jo Jones

Ms. Jones dedication to instigating action and/or providing solutions quickly to large number of enquiries, every day, made her a natural choice

for the Hall of Fame award. When asked about how she provides an effi cient and professional service, no matter what the task or timeframe, Jo says, “It’s always the little things that make the diff erence.”

The winners of Staff Awards 2008

Exceptional Teamwork Award: Contemporary Music Team The team: Mary Carden, Ross McLennan, Ross Williams, Ian Taylor and Rodney Holder

Bridging Silos Award: Staff Social Club CommitteeCommittee members: Allan Pittendreigh, Karen Barns, Karen Munro, Rachel White, Bhavna Ram, Debra Sturdy, Sandra Stuckey, Linda Reiher, Roger Cook and Trish Bosworth

Leadership Award (Administration): Sonya Gillece

Leadership Award (Educational): Roger Cook

Nurturing Talent through Workplace Coaching: Jennifer Menso

Quiet Achiever Award: Maria Thompson

Staff Support (individual) Award: Deborah Robertson

Staff Support (team) Award: Health & Fitness Centre staff The team: Gina Neville, Katrina McIlroy, Reg Heynen and Andrew Barton

Innovation, Ideas & Technology Award: STEP team, Amanda Wallace & Karen Barns

Industry Engagement Award: Applied Science Fee-for-Service Team The team: Caroline Comino, Annie Clasby, Amanda Wilson, Katrina Mengede and Jade Tinney

Excellence in Tutoring Award: Bruce Schneider

Excellence in Tutoring Early Career Award: Silvia Distefano

Young Achiever Award: Ian Vallely

Stakeholder Focus Award: LLNP Contract Administration The LLNP Contract Administration Team: Di Edwards, Aileen Quilkey and Daphne Fong

Quality Teaching Team Award: Jewellery Team The team: Lee Pownall and Jane Foster

Outstanding Educator Award: Jonathon Edwards

Outstanding Educator Early Career Award: Cameron Nix

Hall of Fame Award: Jo Jones

Executive Awards

Technology Evangelist: Deborah Robertson

Performance Catalyst: Ian Vallely

Awesome Asset: Sue McKinnon

Enterprise Meets Learning: Amanda Wallace

Outcomes for Students: Di Webster

Abatement Angel: Jodi Ott

Architect of the Future: Virginia Loraine

International Heroes: Debbie Weterings and Gabrielle Milliner

Integrity Chauff eur: Catherine Stalley


Legislative Reporting Requirements

Southbank Education and Training Precinct (SETP)

Southbank campus has been successfully redeveloped by the RBS-led Axiom Education Queensland consortium. The development reached completion in October 2008 and is now a world class education and training facility.

The redevelopment has been characterised by a strong partnership among the consortium partners, the State of Queensland and other stakeholders. The Institute’s innovative facility design and its construction were successfully completed on time and on budget. Operational services were performed successfully during the construction period and now continue to be performed by consortium partner Spotless.

Sustainability

While the Institute has a focus on growth and delivering high quality educational outcomes, it also has worked to develop a sustainable campus environment. Wherever possible greenhouse emissions are reduced and our environmental footprint is minimised through conserving water and cutting waste.

Waste management

All innovations included in the Ecologically Sustainable Development (ESD) principles for the design of the Southbank Education and Training Precinct are now fully implemented and form the backbone of the Institute’s service delivery. Innovations implemented during the 2008-09 year include:• a refrigerator compactor for the treatment of dry and

wet waste, • a waste services contractor active in the Ti-Tree Bio

Recycle Project, • recycling of all separated paper, cardboard, glass and

metal waste,• bio-degradable, enzyme-impregnated plastic waste

receptacle liners, • cleaning methods eliminating the use of caustic

material.

Additional innovations introduced include the use of a battery powered vehicle for waste collection activities and the use of an organic bio-degradable fertiliser across the grounds and garden beds. The organic fertiliser in use is derived from the agriculture and fi sheries sector where the pest fi sh species Carp is drawn from natural waterways and processed into an organic fertiliser. This product is used in high volume across the site and maintains the healthy existence of the native plant species while reducing environmental impact.

Waste volume

Total waste tonnage at the Institute in 2008-09 (collected and disposed) was 205.82 tonnes. This is a signifi cant increase on the 2007-08 waste volume of 36.12 tonnes, a direct result of the the Institute campus reaching full operational status and the occupants of Kangaroo Point and Morningside campuses being relocated to the South Brisbane site.

Energy and resource management

Electricity consumption

A utilities committee reviews electricity consumption patterns each quarter at the Institute and usage in 2008-09 will be set as a benchmark for future analysis. The utilities committee focuses on consumption saving initiatives, evaluates alternative energy innovations as well as manages consumer education programs.

The Institute consumed 9,978,300 KWh or 9,978MWh of electricity in 2008-09. Forecast electricity consumption for the period was 10,333MWh and this shows an energy consumption saving of 355MWh for the year, compared to the forecast result.

Comparative tonnage of waste

0.00

5.00

10.00

15.00

20.00

25.00

JUL AUG SEP OCT NOV DEC JAN FEB MAR APR MAY JUN

2007/2008 2008/2009

Electricity usage per month 2008-09

050

100150

200250300350400450

Jun-08

Jul-08

Aug-08

Sep-08

Oct-08

Nov-08

Dec-08

Jan-09

Feb-09

Mar-09

Apr-09

May-09

Jun-09

MW

Discretionary Non Discretionary Essential Mechanical


Water

Minimising water consumption is high on the agenda for all stakeholders of the Institute as evidenced through the signifi cant ESD design elements incorporated into the Institute campus and its new and refurbished buildings. The Institute has a benchmark year of 2004-05, set by the Queensland Water Commission, and annual water consumption savings are recorded against this base. The results below highlight the signifi cant benefi t of ESD design and water conservation management. The total volume of water consumed by the Institute for 2008-09 was 32,326 Kl, representing a year-on-year consumption saving of 27 per cent and a total consumption saving of 72 per cent against the benchmark year.

The use of rain water harvesting for irrigation purposes, waterless urinals and promoting water conservation has had a direct impact on consumption levels at the Institute. This was complemented by facilities management partner Spotless Services procuring over 480 Kl of non-potable recycled water to supplement rain water replenishment.

Water consumption annual comparison

0

20000

40000

60000

80000

100000

120000

140000

2004-05 2005-06 2006-07 2007-08 2008-09

KL

Overseas travel

Members of staff travelled internationally during 2008–09 to represent the Institute for many reasons, detailed in the table below, including to deliver teaching under contract, attract future business and to benchmark world best practice in VET.

Overseas travelName & position Destination Reason for travel Travel dates Cost $Adam Suess,International Partnerships Manager

China Training and identifi cation of Corporate Partners

29/06 – 11/07/2008 11,371

Korea Teacher training 17/11 – 21/11/2008 3,668India Training & Recruiting Drive 16/08 – 30/8/2008 13,018

Training Agents 8/04 – 22/4/2008 2,436Japan/ Korea Training & Recruiting Drive 24/05 – 6/06/2006 7,505Shanghei & Beiijing Promotions & Marketing 28/02 – 9/03/2009 1,489

Craig Sherrin, Institute Director & CEO

Indonesia, Vietnam, China, Singapore

QETI Trade Missions to Vietnam & China. Travelled to Indonesia to investigate partnership opportunities.

22/10 – 13/11/2008 18,820

South Korea Launching Ceremony between the Institute & Seoul National University of Education

18/01 – 21/01/2009 5,899

Eddie Tse, Adult Tertiary Preparation Teacher

China Service Delivery planning – Changzhou Inst of Mechatronic Tech

28/02 – 3/03/2009 2,526

Grace Li, International Relations Offi cer

Taiwan & Korea Meetings with Agents 23/09 – 10/10/2008 8,393

Promotions & Marketing 21/05 – 1/06/2009 1,598Beijing, Shanghai, Guangzhou, Jinan, Nanjing, Wuhan-Nanning, CIETT China Trip & Agent Sem

Training & Recruiting Drive 24/02 – 17/03/2009 22,147


Name & position Destination Reason for travel Travel dates Cost $Janelle Chapman, Manager International Sales

Singapore, London, Barcelona, Paris, Berlin

ICEF Agent Workshop, Investigate current education markets in Europe

21/10 – 6/11/2008 15494

Philippines Queensland VET Mission 25/11 – 3/12/2008 9002Moscow & Poland ICEF Agent Workshop and

Queensland VET Mission25/03 – 6/04/2009 12105

New Zealand ICEF Workshop 21/04 – 24/04/2009 17356Indonesia Shaping TVET Teacher Education

for the Changing World of Work Conference

19/07 – 27/07/2008 2113

Jeff Gehrmann, Training and Assessment Teacher

China Teaching Delivery under Contract 28/02 – 15/03/2009 2938

Jill Cuthbertson, Creative Industries Teacher


Kelvin Teoh, International Relations Offi cer

Vietnam & Thailand Meetings with Agents 6/11 – 15/11/2008 6215

Hong Kong Meetings with Agents 4/08 – 19/08/2008 9033Hong Kong & Thailand Meetings with Agents 11/03 – 28/03/2009 8255Latin America (Mexico City & Bogota)

Meetings with Agents 23/09 – 10/10/2009 6255

Malaysia & Indonesia Meetings with Agents 15/10 – 28/10/2009 12327Madonna Johanson, Information & Flexible Delivery Teacher


Michelle Leonard, Childrens Services Teacher

China Service Delivery planning – Changzhou Inst of Mechatronic Tech

28/03 – 3/04/2009 2688

Sachiko Davis, International Relations Offi cer

Korea Austrade Korea Fair & agent training

23/10 – 31/10/2008 3755

Japan OKC & SIA Fairs 6/10 – 20/10/2008 4365Stephen Leahy, Information & Flexible Delivery Teacher


Vivian Ip, International Country Manager

China Meetings with Agents 26/06 – 5/07/2009 6553

Rosamond McGahan, International Business Teacher


Wendy Skinner, Director Market & Business Development

New Zealand ICEF Workshop 21/04 – 24/04/2009 2646

Total $252,560

Consultancy use

The table below details work provided by consultants, the consultancy engaged and cost.

Category With whom Amount Purpose

Professional Clayton UTZ $90,922 Legal Services

Professional PricewaterhouseCoopers $169,287 Financial/Business Analysis

$260,210


Records management

The Institute complies with the Public Records Act 2002, Information Standard 40: Recordkeeping and Information, and Information Standard 31: Retention and Disposal of

Public Records by adhering to internally developed and documented procedures.

These procedures ensure all records are assessed for retention and are retained for the periods specifi ed by the retention schedule. The general retention and disposal schedule for administrative records (both approved by Queensland State Archives) is kept secure and is readily accessible by authorised parties. The privacy and confi dentiality of records is maintained.

Procedure measures are met by ensuring:• Retention complies with the standard• Document destruction dates comply with legislation• Records storage is secure

• Register is complete and up-to-date• Approvals received for destruction/transfer of

documents

The information and communications technology department of the Institute is implementing a fi le and print solution for administration and education networks. This solution utilises business rules and policies for ongoing backup and archiving of fi les created on the Institute storage area network by staff and students. The system architect scoped the relevant provisions of the current archiving and record keeping standards and the solution is compliant with standards Information Standard 31 and Information Standard 40.

Ministerial Directive

Ministerial Direction signifi cant to the operation of the Institute is reproduced below in accordance with the Financial Administration and Audit Act 1977.


GlossaryAMEP Adult Migrant English Program

AUSLAN Australian Sign Language

CAD Computer Aided Design

CRICOS Register of Institutes and Courses for Overseas Students

ELICOS English Language Intensive Courses for Overseas Students

ELTU English Language Teaching Unit

HE Higher Education

ISAS Institute Student Administration System

ICEF International Consultants for Education and Fairs

LLN Language Literacy and Numeracy

LLNP Language Literacy and Numeracy Program

NCVER National Centre for Vocational Education Research

OKC Oceania Koryu Centre

QTAC Queensland Tertiary Admission Centre

RPL Recognition of Prior Learning

RTO Registered Training Organisation

SBIT Southbank Institute of Technology

SEPP Student Enrolment Pack Portal

SIA Study in Australia

STEP Southbank Tertiary Entrance Program

TAFE Technical and Further Education

TELLS TAFE English Language and Literacy Services

TESOL Teachers of English to Speakers of Other Languages

TVET Technical and Vocational Education and Training

VET Vocational Education and Training

VGC Vocational Graduate Certifi cate

VGD Vocational Graduate Diploma

WELL Workplace English Language and Literacy

37Southbank Institute of Technology Financial Report 2008-09

ContentsIncome Statement 38

Balance Sheet 39

Statement of Changes in Equity 40

Cash Flow Statement 41

Notes To and Forming Part of the Financial Statements 42

Management Certifi cate 69

Independent Auditor’s Report 70

General InformationThis fi nancial report covers the Southbank Institute of Technology.

The Southbank Institute of Technology (the Institute) was established on the 1st April 2008 as a statutory TAFE institute under the Vocational Education, Training and Employment and Other Legislation

Amendment Regulation (No. 1) 2008.

The Institute is controlled by the State of Queensland which is the ultimate parent.

The head offi ce and principal place of business of the Institute is:

66 Ernest StSouth Brisbane QLD 4101

A description of the nature of the Institute’s operations and its principal activities is included in the notes to the fi nancial statements.

For information in relation to the Institute’s fi nancial report please visit the Institute’s internet site www.southbank.edu.au

Amounts shown in this fi nancial report may not add to the correct sub-totals or totals due to rounding.

Southbank Institute of Technology Financial Report 2008-09



Income Statementfor the year ended 30 June 2009

2009 20081 April to

30 June Notes $’000 $’000

IncomeRevenueUser charges 2 45,431 9,454Grants and other contributions 3 69,967 20,955Other revenues 4 922 320

GainsGain on sale of property, plant and equipment 5 – 50

Total Income 116,320 30,779

ExpensesEmployee expenses 6 2,604 216Supplies and services 7 108,349 28,810Grants and subsidies 8 81 1Depreciation and amortisation 9 2,184 378Impairment losses 10 7,575 160Revaluation decrement 11 18,704 – Other expenses 12 473 154

Total Expenses 139,970 29,719

Operating Surplus/(Defi cit) (23,650) 1,060

The accompanying notes form part of these statements



Balance Sheetas at 30 June 2009

2009 2008Notes $’000 $’000

Current AssetsCash and cash equivalents 13 17,713 2,008Receivables 14 24,413 5,999Inventories 15 17 21Other 16 103 125

42,246 8,153

Non-current assets classifi ed as held for sale 17 8,089 16,194

Total Current Assets 50,335 24,347

Non Current AssetsIntangible assets 18 361 655Property, plant and equipment 19 12,527 34,579

Total Non Current Assets 12,888 35,234

Total Assets 63,223 59,581

Current LiabilitiesPayables 20 27,217 3,622Accrued employee benefi ts 21 324 – Other 22 14,865 9,018

Total Current Liabilities 42,406 12,640

Non Current LiabilitiesAccrued employee benefi ts 21 208 –

Total Non Current Liabilities 208 –

Total Liabilities 42,614 12,640

Net Assets 20,609 46,941

EquityContributed equity 43,199 43,199Accumulated surplus/(defi cit) (22,590) 1,060Asset revaluation reserve 23 – 2,682

Total Equity 20,609 46,941




Statement of Changes in Equityfor the year ended 30 June 2009

Accumulated Surplus/(Defi cit)

Asset Revaluation Reserve (Note 23) Contributed Equity

2009 20081 April to

30 June

2009 20081 April to

30 June

2009 20081 April to

30 June

$’000 $’000 $’000 $’000 $’000 $’000

Balance 1 July 1,060 – 2,682 – 43,199 –

Operating Surplus/(Defi cit) (23,650) 1,060 – – – –

Non-Owner changes in equity:

– Increase/(Decrease) in Asset Revaluation Reserve (Note 23) – – (2,682) 2,682 – –

Transactions with Owners as Owners:

– Net Assets received (MOG Change) (Note 1(r)) – – – – – 43,199

Balance at 30 June (22,590) 1,060 – 2,682 43,199 43,199




Cash Flow Statementfor the year ended 30 June 2009

2009 20081 April to

30 June Notes $’000 $’000

Cash fl ows from operating activitiesInfl ows:

User charges 46,002 9,585Grants and other contributions 61,117 13,875GST input tax credits from ATO 2,796 1,025GST collected from customers 1,824 630Interest received 288 – Other 521 320Outfl ows:

Employee expenses (2,061) (216)Supplies and services (89,125) (33,655)Grants and subsidies (81) (1)GST remitted to ATO (1,981) (473)GST paid to suppliers (2,001) (2,086)Other (248) (81)Net cash provided by (used in) operating activities 24 17,051 (11,077)

Cash fl ows from investing activitiesInfl ows:

Sales of property, plant and equipment 56 242Outfl ows:

Payments for property, plant and equipment (1,402) (661)Net cash provided by (used in) investing activities (1,346) (419)

Net increase (decrease) in cash held 15,705 (11,496)Cash transfers from restructure – 13,504Cash at the beginning of fi nancial year 2,008 – Cash at end of fi nancial year 13 17,713 2,008




Notes To and Forming Part of the Financial Statements 2008-09Note 1: Summary of Signifi cant Accounting PoliciesNote 2: User ChargesNote 3: Grants and Other ContributionsNote 4: Other RevenuesNote 5: GainsNote 6: Employee ExpensesNote 7: Supplies and ServicesNote 8: Grants and SubsidiesNote 9: Depreciation and AmortisationNote 10: Impairment LossesNote 11: Revaluation DecrementNote 12: Other ExpensesNote 13: Cash and Cash EquivalentsNote 14: ReceivablesNote 15: InventoriesNote 16: Other Current AssetsNote 17: Non-Current Assets classifi ed as Held for SaleNote 18: Intangible AssetsNote 19: Property, Plant and EquipmentNote 20: PayablesNote 21: Accrued Employee Benefi tsNote 22: Other Current LiabilitiesNote 23: Asset Revaluation Reserve by Class Note 24 Reconciliation of Operating Surplus/(Defi cit) to Net Cash from Operating ActivitiesNote 25: Commitments for ExpenditureNote 26: Economic DependencyNote 27: Events Occurring after Balance DateNote 28: Financial InstrumentsNote 29: Contingencies



Notes To and Forming Part of the Financial Statements 2008-09Objectives and Principal Activities of the InstituteThe Institute was established as a statutory TAFE institute on 1 April 2008 and is a not-for-profi t entity. The Institute’s mission is to ‘empower people for rewarding careers in the global community’ as Queensland’s lead vocational education and training provider of high-level skills training.

The Institute is located in the Southbank Education and Training Precinct (SETP), Queensland’s fi rst Public Private Partnership (PPP).

The Institute off ers a range of high-level vocational qualifi cations, associate degrees, university pathways and articulation arrangements in key industries.

At the end of 2008-09, it is estimated that the Institute will utilise over 700 full-time equivalent departmental staff and 8 full-time equivalent staff directly engaged by the Institute.

The Institute also manages delivery across TAFE Queensland Institutes of two Commonwealth programs of over $20 million annually – Adult Migrant English Program (AMEP) and Language, Literacy and Numeracy Program (LLNP).

1. Summary of Signifi cant Accounting Policies

(a) Basis of AccountingThe fi nancial statements have been prepared in accordance with Australian Accounting Standards. In addition, the fi nancial statements comply with the Treasurer’s Minimum Reporting Requirements for the year ending 30 June 2009 and other authoritative pronouncements.

This fi nancial report is a general purpose fi nancial report.

Except where stated, the historical cost convention is used.

As the Institute was established as a statutory TAFE institute on 1 April 2008, the comparative fi gures are for the period 1 April 2008 – 30 June 2008.

(b) The Reporting EntityThe fi nancial statements include the value of all revenues, expenses, assets, liabilities and equity of the Institute.

(c) User Charges User charges including student fees and fees controlled by the Institute are recognised as revenues when the related goods are issued or services are delivered. User charges and fees are controlled by the Institute where they can be deployed for the achievement of Institute objectives.

(d) Grants and ContributionsGrants, contributions, donations and gifts that are non-reciprocal in nature are recognised as revenue in the year in which the Institute obtains control over them. Where grants are received that are reciprocal in nature, revenue is accrued over the term of the funding arrangements.

Contributed assets are recognised at their fair value. Contributions of services are recognised only when a fair value can be determined reliably and the services would be purchased if they had not been donated.

(e) Cash and Cash EquivalentsFor the purposes of the Balance Sheet and the Cash Flow Statement, cash and cash equivalents include all cash and cheques receipted but not banked at 30 June.



Notes To and Forming Part of the Financial Statements 2008-09(f) ReceivablesTrade debtors are recognised at the nominal amounts due at the time of sale or service delivery. Settlement of these amounts is required within 30 days from invoice date.

The collectability of receivables is assessed periodically with adequate provision made for impairment. All known bad debts were written-off as at 30 June.

(g) InventoriesInventories are valued at the lower of cost and net realisable value.

Cost is assigned on a weighted average basis and includes expenditure incurred in acquiring the inventories and bringing them to their existing condition.

(h) Non-Current Assets classifi ed as Held for SaleNon-current assets held for sale consist of those assets that management has determined are available for immediate sale in their present condition, for which their sale is highly probable within the next twelve months.

These assets are measured at the lower of the assets’ carrying amounts and their fair values less costs to sell. These assets are not depreciated.

(i) Acquisitions of AssetsActual cost is used for the initial recording of all non-current physical and intangible asset acquisitions. Cost is determined as the value given as consideration plus costs incidental to the acquisition, including all other costs incurred in getting the assets ready for use, including architects’ fees and engineering design fees. However, any training costs are expensed as incurred.

Where assets are received free of charge from another Queensland department (whether as a result of a machinery-of-Government change or other involuntary transfer), the acquisition cost is recognised as the gross carrying amount in the books of the transferor immediately prior to the transfer together with any accumulated depreciation.

Assets acquired at no cost or for nominal consideration, other than from an involuntary transfer from another Queensland Government entity, are recognised at their fair value at date of acquisition in accordance with AASB 116 Property, Plant and Equipment.

(j) Property, Plant and EquipmentItems of property, plant and equipment with a cost or other value equal to or in excess of the following thresholds are recognised for fi nancial reporting purposes in the year of acquisition:

Buildings and Infrastructure $10,000Land $1Other (including heritage and cultural) $5,000

Items with a lesser value are expensed in the year of acquisition.

Land improvements undertaken by the Institute are included with buildings.



Notes To and Forming Part of the Financial Statements 2008-09(k) Revaluations of Non-Current Physical and Intangible AssetsLand and buildings are measured at fair value in accordance with AASB 116 Property, Plant and Equipment and Queensland Treasury’s Non-Current Asset Policies for the Queensland Public Sector.

Where intangible assets have an active market, they are measured at fair value, otherwise they are measured at cost.

Plant and equipment is measured at cost. The carrying amounts for plant and equipment at cost should not materially diff er from their fair value.

Non-current physical assets measured at fair value are comprehensively revalued at least once every fi ve years with interim valuations, using appropriate indices, being otherwise performed on an annual basis where there has been a material variation in the index.

Any revaluation increment arising on the revaluation of an asset is credited to the asset revaluation reserve of the appropriate class, except to the extent it reverses a revaluation decrement for the class previously recognised as an expense. A decrease in the carrying amount on revaluation is charged as an expense, to the extent it exceeds the balance, if any, in the revaluation reserve relating to that asset class.

On revaluation, accumulated depreciation is restated proportionately with the change in the carrying amount of the asset and any change in the estimate of remaining useful life.

Separately identifi ed components of assets are measured on the same basis as the assets to which they relate.

(l) IntangiblesIntangible assets with a cost or other value greater than $100,000 are recognised in the fi nancial statements, items with a lesser value being expensed. Each intangible asset is amortised over its estimated useful life to the Institute, less any anticipated residual value. The residual value is zero for all the Institute’s intangible assets.

It has been determined that there is not an active market for any of the Institute’s intangible assets. As such, the assets are recognised and carried at cost less accumulated amortisation and accumulated impairment losses.

Software Purchased

The purchase cost of software exceeding $100,000 is capitalised and amortised on a straight-line basis over the period of each asset’s expected benefi t to the Institute, namely between 2 and 10 years.

Software Internally Generated

The development cost of software exceeding $100,000 is capitalised and amortised on a straight-line basis over the period of each asset’s expected benefi t to the Institute, namely 10 years.



Notes To and Forming Part of the Financial Statements 2008-09(m) Amortisation and Depreciation of Intangibles and Property, Plant and EquipmentLand is not depreciated as it has an unlimited useful life.

Property, plant and equipment is depreciated on a straight-line basis so as to allocate the net cost or revalued amount of each asset, less its estimated residual value, progressively over its estimated useful life to the Institute.

Assets under construction (work-in-progress) are not depreciated until they reach service delivery capacity.

Where assets have separately identifi able components that are subject to regular replacement, these components are assigned useful lives distinct from the asset to which they relate and are depreciated accordingly.

Any expenditure that increases the originally assessed capacity or service potential of an asset is capitalised and the new depreciable amount is depreciated over the remaining useful life of the asset to the Institute.

The depreciable amount of improvements to or on leasehold land is allocated progressively over the estimated useful lives of the improvements or the unexpired period of the lease, whichever is the shorter. The unexpired period of leases includes any option period where exercise of the option is probable.

For each class of depreciable asset the following depreciation and amortisation rates are used:

Class Rate %

Buildings 1.25 – 4.00Plant and Equipment:

Computer Equipment 20.00Plant and Machinery 5.00 – 20.00Offi ce Equipment 5.00 – 20.00

Intangible Assets:Software Purchased 10.00 – 50.00Software Internally Generated 10.00

(n) Impairment of Non-Current AssetsAll non-current physical and intangible assets are assessed for indicators of impairment on an annual basis. If an indicator of possible impairment exists, the Institute determines the asset’s recoverable amount. Any amount by which the asset’s carrying amount exceeds the recoverable amount is recorded as an impairment loss.

The asset’s recoverable amount is determined as the higher of the asset’s fair value less costs to sell and depreciated replacement cost.

An impairment loss is recognised immediately in the Income Statement, unless the asset is carried at a revalued amount. When the asset is measured at a revalued amount, the impairment loss is off set against the asset revaluation reserve of the relevant class to the extent available.

Where an impairment loss subsequently reverses, the carrying amount of the asset is increased to the revised estimate of its recoverable amount, but so that the increased carrying amount does not exceed the carrying amount that would have been determined had no impairment loss been recognised for the asset in prior years. A reversal of an impairment loss is recognised as income, unless the asset is carried at a revalued amount, in which case the reversal of the impairment loss is treated as a revaluation increase. Refer also to Note 1(k).



Notes To and Forming Part of the Financial Statements 2008-09(o) PayablesTrade creditors are recognised upon receipt of the goods or services ordered and are measured at the agreed purchase/contract price, gross of applicable trade and other discounts. Amounts owing are unsecured and are generally settled on 30 day terms.

(p) Financial Instruments

Recognition

Financial assets and fi nancial liabilities are recognised in the Balance Sheet when the Institute becomes party to the contractual provisions of the fi nancial instrument.

Classifi cation

Financial instruments are classifi ed and measured as follows:- Cash and cash equivalents – held at fair value through profi t and loss- Receivables – held at amortised cost- Payables – held at amortised cost

The Institute does not enter transactions for speculative purposes, or for hedging. Apart from cash and cash equivalents, the Institute holds no fi nancial assets classifi ed at fair value through profi t and loss.

All disclosures relating to the measurement basis and fi nancial risk management of other fi nancial instruments held by the Institute are included in Note 28.

(q) Employee Benefi tsPursuant to s.218G of the Vocational Education, Training and Employment Act 2000, the Institute may enter into, and give eff ect to, a work performance arrangement with the chief executive of the Department of Education and Training (DET).

The Institute and DET have entered into a work performance arrangement under which employees of DET will perform work for the Institute to enable the Institute to perform functions and exercise powers and to ensure the delivery of its operational plan.

Under this work performance arrangement:• DET will provide DET employees to perform work for the Institute and DET acknowledges and accepts its obligations

as the employer of these DET employees.• The Institute will be responsible for the day to day management of these DET employees.• The Institute will reimburse DET for the salaries and on-costs of these DET employees.

As a result of this arrangement, the Institute treats the reimbursements to DET for DET employees in these fi nancial statements as contractors. These reimbursements are shown under Note 7 – Supplies and Services (consultants and contractors).

In addition to the employees contracted from DET, the Institute has engaged employees directly. The information detailed below relates specifi cally to the directly engaged employees.

Salaries, Annual Leave, Long Service Leave and Sick Leave

Salaries, annual leave and long service leave due but unpaid at reporting date are recognised in the Balance Sheet at the remuneration rates expected to apply at time of settlement. Payroll tax and workers’ compensation are a consequence of employing employees, but are not counted in an employee’s total remuneration package. They are not employee benefi ts and are recognised separately as employee related expenses. Employer superannuation contributions, annual leave and long service leave expenses are regarded as employee benefi ts.

For unpaid entitlements expected to be paid within 12 months, the liabilities are recognised at their undiscounted values. For those entitlements not expected to be paid within 12 months, the liabilities are classifi ed as non-current liabilities and recognised at their present value, calculated using yields on Fixed Rate Commonwealth Government bonds of similar maturity.



Notes To and Forming Part of the Financial Statements 2008-09(q) Employee Benefi ts (Cont’d)Sick leave taken in this reporting period is less than the entitlement accrued. This is expected to continue in future periods. Accordingly, it is unlikely that existing accumulated entitlements will be used by employees and no liability for unused sick leave entitlements is recognised.

As sick leave is non-vesting, an expense is recognised for this leave as it is taken.

Superannuation

The Institute complies with The Superannuation Guarantee (Administration) Act 1992 (Superannuation Guarantee) which requires the Institute to provide a minimum superannuation cover for all eligible employees. The minimum level of superannuation cover under the Superannuation Guarantee is 9% of each eligible employee’s earnings base.

The Institute off ers a choice of superannuation funds and pays superannuation contributions into a complying superannuation fund.

Contributions are expensed in the period in which they are paid or payable. The Institute’s obligation is limited to its contribution to the superannuation fund.

Therefore, no liability is recognised for accruing superannuation benefi ts in the Institute’s fi nancial statements.

Executive Remuneration

The executive remuneration disclosures in the employee expenses note (refer to Note 6) in the fi nancial statements include: • the aggregate remuneration of all senior executive offi cers (including the Chief Executive Offi cer) whose

remuneration for the fi nancial year is $100,000 or more; and• the number of senior executives whose total remuneration for the fi nancial year falls within each successive

$20,000 band, commencing at $100,000.

The remuneration disclosed is all remuneration paid or payable, directly or indirectly, by the Institute or any related party in connection with the management of the aff airs of the Institute or any of its subsidiaries, whether as an executive or otherwise. For this purpose, remuneration includes:• wages and salaries;• accrued leave (that is, the increase/decrease in the amount of annual and long service leave owed to an executive,

inclusive of any increase in the value of leave balances as a result of salary rate increases or the like);• performance pay paid or due and payable in relation to the fi nancial year, provided that a liability exists (namely a

determination has been made prior to the fi nancial statements being signed), and can be reliably measured even though the payment may not have been made during the fi nancial year;

• accrued superannuation (being the value of all employer superannuation contributions during the fi nancial year, both paid and payable as at 30 June); and

• fringe benefi ts tax included in remuneration agreements.

The disclosures apply to all senior executives appointed by the Institute with remuneration above $100,000 in the fi nancial year. ‘Remuneration’ means any money, consideration or benefi t, but excludes amounts: • paid to an executive by the Institute or any of its subsidiaries where the person worked during the fi nancial year

wholly or mainly outside Australia during the time the person was so employed; or • in payment or reimbursement of out-of-pocket expenses incurred for the benefi t of the entity.



Notes To and Forming Part of the Financial Statements 2008-09(r) Establishment of the InstituteThe Queensland Skills Plan outlined major reforms to Queensland’s vocational education and training system, including the need to revitalise the TAFE system to enable more fl exibility and greater responsiveness to industry and business needs.

In response to the Queensland Skills Plan a new chapter 6A was inserted into the Vocational Education, Training and

Employment Act 2000 to provide a legislative framework for the establishment and operation of statutory TAFE institutes as statutory authorities.

The intent of the statutory authority model is to drive better outcomes for students, employers and industry by positioning statutory TAFE institutes to deliver more training places, particularly at the higher qualifi cations level. The statutory authority model will provide improved fl exibility and responsiveness to increase commercial revenue, develop more collaborative partnerships with the private training sector, as well as position them to compete with private training providers in the fee-for-service market.

This is consistent with the overarching goal of the Queensland Skills Plan in ensuring Queensland’s training workforce matches the needs of industry and our vocational education and training system remains world-class.

As an outcome of this, Southbank Institute of Technology was established as a statutory TAFE institute under the

Vocational Education, Training and Employment and Other Legislation Amendment Regulation (No.1) 2008 on the 1st April 2008 with a mission to ‘empower people for rewarding careers in the global community’ as Queensland’s lead vocational education and training provider of high-level skills training.

Consequently net assets of $43.199 million were transferred from the then Department of Education, Training and the Arts (DETA) to the newly created statutory TAFE institute on the 1st April 2008.

(s) InsuranceThe Institute’s non-current physical assets and other risks are insured through the Queensland Government Insurance Fund (QGIF), premiums being paid on a risk assessment basis. In addition, the Institute pays premiums to WorkCover Queensland in respect of its obligations for employee compensation.

(t) Services Received Free of Charge or for Nominal ValueContributions of services are recognised only if the services would have been purchased if they had not been donated and their fair value can be measured reliably. Where this is the case, an equal amount is recognised as revenue and an expense.

(u) Contributed EquityNon-reciprocal transfers of assets and liabilities between wholly-owned Queensland State Public Sector entities as a result of machinery-of-Government changes are adjusted to ‘Contributed Equity’ in accordance with Interpretation 1038 Contributions by Owners Made to Wholly Owned Public Sector Entities.

(v) TaxationThe Institute is a State body as defi ned under the Income Tax Assessment Act 1936 and is exempt from Commonwealth taxation with the exception of Fringe Benefi ts Tax (FBT) and Goods and Services Tax (GST). FBT and GST are the only taxes accounted for by the Institute. GST credits receivable from, and GST payable to the ATO, are recognised (refer to Note 14).

(w) Issuance of Financial StatementsThe fi nancial statements are authorised for issue by the Chief Executive Offi cer and the Chief Financial Offi cer at the date of signing the Management Certifi cate.



Notes To and Forming Part of the Financial Statements 2008-09(x) JudgementsThe preparation of fi nancial statements necessarily requires the determination and use of certain critical accounting estimates, assumptions, and management judgements that have that potential to cause a material adjustment to the carrying amounts of assets and liabilities within the next fi nancial year. Such estimates, judgements and underlying assumptions are reviewed on an ongoing basis. Revisions to accounting estimates are recognised in the period in which the estimate is revised and in future periods as relevant.

Estimates and assumptions that have a potential signifi cant eff ect are outlined in the following fi nancial statement notes:

Valuation of Property, Plant and Equipment – Note 19.

(y) Rounding and ComparativesAmounts included in the fi nancial statements are in Australian dollars and have been rounded to the nearest $1,000 or, where that amount is $500 or less, to zero, unless disclosure of the full amount is specifi cally required.

The Institute was established as a statutory TAFE institute on 1 April 2008. Therefore the comparative fi gures are for the period 1 April 2008 – 30 June 2008.

Comparative information has been restated where necessary to be consistent with disclosures in the current reporting period.

(z) New and Revised Accounting StandardsThe Institute did not voluntarily change any of its accounting policies during 2008-09. The signifi cance of those new and amended Australian accounting standards that were applicable for the fi rst time in the 2008-09 fi nancial year and have had a signifi cant impact on the Institute’s fi nancial statements is as follows.

A review has been undertaken of revised accounting standard AASB 1004 Contributions, and it is considered the fi nancial statements adequately refl ect the matters required to be disclosed, given the Institute’s present operating circumstances.

New accounting standard AASB 1052 Disaggregated Disclosures now requires disclosure of the amounts of controlled assets and liabilities attributable to each of the Institute’s output. During the reporting period, the Institute did not have any other outputs/major activities.

The Institute is not permitted to early adopt a new or amended accounting standard ahead of the specifi ed commencement date unless approval is obtained from the Treasury Department. Consequently, the Institute has not applied any Australian accounting standards and interpretations that have been issued but are not yet eff ective. The Institute will apply these standards and interpretations in accordance with their respective commencement dates.

At the date of authorisation of the fi nancial report, a number of new or amended Australian accounting standards with future commencement dates will have a signifi cant impact on the Institute. Details of these impacts are set out below.

The Institute will need to comply with a revised version of AASB 101 Presentation of Financial Statements as from 2009-10. This revised standard does not have measurement or recognition implications. However, in line with the new concept of ‘comprehensive income’ in the revised AASB 101, there will be signifi cant changes to the presentation of the Institute’s income and expenses that are currently presented in the Income Statement and the Statement of Changes in Equity. Ignoring other potential impacts on the operating result, if the revised AASB 101 was applied by the Institute for 2008-09 reporting, it would have reported a defi cit of $26.332 million for the year in the Statement of Comprehensive Income. The decrease in the asset revaluation reserve for 2008-09 (approximately $2.682 million) would not therefore be included in the Statement of Changes in Equity. In addition, where there have been retrospective accounting policy changes, retrospective re-statement of items in the fi nancial statements or re-classifi cations of fi nancial statement items during the current reporting period, the revised AASB 101 will require a Balance Sheet to be presented as at the beginning of the earliest comparative period included in the fi nancial statements.



Notes To and Forming Part of the Financial Statements 2008-09(z) New and Revised Accounting Standards (Cont’d)All other Australian accounting standards and interpretations with future commencement dates are either not applicable to the Institute, or have no material impact on the Institute.



Notes To and Forming Part of the Financial Statements 2008-092009 2008

1 April to 30 June

$’000 $’000

2. User Charges

Sale of services 25,128 4,226Sale of goods 760 197Student fees 19,543 5,031Total 45,431 9,454

3. Grants and Other Contributions

Government grants 69,670 19,504Government contributions 269 1,445Donations and sponsorships 28 6Total 69,967 20,955

4. Other Revenues

Recovery of infrastructure expenditure – 285Interest received 331 – Preceptorship funds received 385 – Other 206 35Total 922 320

5. Gains

Gain on Sale of Property, Plant and EquipmentBuildings – 46Plant and equipment – 4Total – 50




1 April to 30 June

$’000 $’000

6. Employee Expenses

Employee Benefi tsWages and salaries 1,112 – Annual leave expense * 137 – Employer superannuation contributions * 126 – Long service leave expense * 60 – Other employee benefi ts 9 –

Employee Related ExpensesWorkers’ compensation premium ** 394 75Payroll tax ** 59 – Staff training *** 353 101Other employee related expenses **** 354 40Total 2,604 216

* The annual leave expense, employer superannuation contributions and long service leave expense are regarded as employee benefi ts.

** Cost of workers’ compensation insurance and payroll tax are a consequence of employing employees, but are not counted in employees’ total remuneration package. They are not employee benefi ts, but rather employee related expenses.

The Institute is also responsible for the cost of workers compensation for DET employees who perform work for the Institute under the work performance arrangement. Refer to Note 1(q).

*** Staff training and development costs are for DET employees contracted to the Institute and directly engaged by the Institute.

**** Other employee related expenses include the costs of fringe benefi ts tax and recruitment fees for DET employees contracted to the Institute and directly engaged by the Institute.

The number of employees measured on a full-time equivalent basis is:

2009 2008

Number of Employees* 8 –

* Refer to Note 1(q)



Notes To and Forming Part of the Financial Statements 2008-09

6. Employee Expenses (Cont’d)

Executive Remuneration

The number of senior executives who received or were due to receive total remuneration of $100,000 or more: 2009 2008

$100,000 to $119,999 1 – $160,000 to $179,999 4 – $200,000 to $219,999 1 – Total 6 –

2009 20081 April to

30 June $’000 $’000

Total remuneration of executives shown above# 995 –

#The amount calculated as executive remuneration in these fi nancial statements includes the direct remuneration received, as well as items not directly received by senior executives, such as the movement in the leave accruals and fringe benefi ts tax paid on motor vehicles. This amount will therefore diff er from advertised executive remuneration packages which do not include the latter items.

7. Supplies and Services

Consultants and contractors 66,606 18,654Supplies and consumables 28,147 6,117Travel 469 176Agents commissions 3,283 886Advertising and promotions 1,311 414Course supplies 1,689 515Printing and stationery 2,013 566Portable and attractive equipment 540 910Subscription, books and publicatons 692 160Shared service provider 1,639 410Other * 1,960 2Total 108,349 28,810

*Includes total fees paid to board members.

The number of board members who received or were due to receive a total fee of: 2009 2008

$0 – $9,999 7 – Total 7 –




1 April to 30 June

$’000 $’000

7. Supplies and Services (Cont’d)

Total fee paid to board members shown above 35 –

8. Grants and Subsidies

Sponsorships 81 1Total 81 1

9. Depreciation and Amortisation

Depreciation and amortisation were incurred in respect of:Buildings and land improvements 803 72Plant and equipment 1,152 233Software internally generated 47 51Software purchased 182 22Total 2,184 378

10. Impairment Losses

Impairment losses on buildings held for sale* 8,105 – Bad debts written off 134 135Impairment (reversals)/losses on trade receivables** (664) 25Total 7,575 160

* Buildings held for sale formed part of the net assets that were transferred from the then Department of Education, Training and the Arts on establishment of the Institute as a statutory TAFE institute on 1 April 2008.

**Refer to Note 14 for details of the recognised impairment reversals.

11. Revaluation Decrement

Land 52 – Buildings 18,652 – Total 18,704 –

Land and buildings formed part of the net assets that were transferred from the then Department of Education, Training and the Arts on establishment of the Institute as a statutory TAFE institute on 1 April 2008.

The decrement, not being a reversal of a previous revaluation increment in respect of the same class of assets, has been recognised as an expense in the Income Statement.




1 April to 30 June

$’000 $’000

12. Other Expenses

Insurance premiums – QGIF 178 60External audit fees* 99 20Losses from disposal of property, plant and equipment 192 74Other 4 – Total 473 154

* Total external audit fees relating to the 2008-09 fi nancial year are estimated to be $90,000 (2008: $29,000). There are no non-audit services included in this amount.

2009 2008$’000 $’000

13. Cash and Cash Equivalents

Imprest accounts 4 3Cash at bank 17,709 2,005Total 17,713 2,008

The Institute established and commenced operating from its own bank account with the Commonwealth Bank from 1 December 2008. Interest earned on cash held with the Commonwealth Bank earned between 2.85% and 4.10% in 2009. (2008: 0%).

Prior to this date the Institute operated out of the bank account of the Department of Education and Training (DET). No interest was earned on cash held by DET on behalf of the Institute.

14. Receivables

Trade debtors 11,917 6,082Less: Provision for impairment (348) (1,012)

11,569 5,070

GST receivable 265 1,061GST payable – (157)

265 904

Grants receivable 12,572 – Other 7 25Total 24,413 5,999

Movements in the provision for impairment

Balance at beginning of the year 1,012 987Increase/(Decrease) in provision recognised in profi t and loss (664) 25Balance at the end of the year 348 1,012




$’000 $’000

15. Inventories

Supplies and consumables – at cost 17 21Total 17 21

16. Other Current Assets

Prepayments 103 125Total 103 125

17. Non-Current Assets classifi ed as Held For Sale

Land 8,089 8,089Buildings – 8,105Total 8,089 16,194

As a result of the development of the Southbank Education and Training Precinct (SETP) and rationalisation of facilities, the Institute plans to divest 4.211 hectares out of a total of 9.135 hectares of land at Morningside campus. This area represents the northern portion of the campus and has been listed on the Government Land Register.

An updated market valuation of this portion of the Morningside campus was obtained from State Valuation Services as at 30 June 2009, the value of the land was retained at its carrying amount of $8.089 million (being the lesser of carrying amount and fair value less costs to sell). The value of the buildings was impaired to nil and the impairment loss of $8.105 million is reported separately in the Income Statement.

18. Intangible Assets

Software Purchased: At cost 748 3,561 Less: Accumulated amortisation (387) (3,018)

361 543Software Internally Generated:

At cost – 615 Less: Accumulated amortisation – (503)

– 112

Total 361 655




18. Intangible Assets (Cont’d)

Intangibles ReconciliationSoftware Purchased Software Internally

GeneratedTotal

2009 2009 2009$’000 $’000 $’000

Carrying amount at 1 July 2008 543 112 655Disposals – (65) (65)Amortisation (182) (47) (229)Carrying amount at 30 June 2009 361 – 361

2008 2008 2008$’000 $’000 $’000

Carrying amount at 1 April 2008 – – – Acquisitions through restructuring (Note 1(r)) 565 163 728Amortisation (22) (51) (73)Carrying amount at 30 June 2008 543 112 655

Amortisation of intangibles is included in the line item ‘Depreciation and Amortisation’ in the Income Statement.

All intangible assets of the Institute have fi nite useful lives and are amortised on a straight line basis. Refer to Note 1(l).

No intangible assets have been classifi ed as held for sale or form part of a disposal group held for sale.

Software purchased with an original cost of $2.813 million and a written down value of zero which are no longer in use have been removed from the asset register.

Software internally generated with an original cost of $0.448 million and a written down value of zero which are no longer in use have been removed from the asset register.

2009 2008$’000 $’000

19. Property, Plant and Equipment

Land:At independent valuation 2009 9,145 10,429

9,145 10,429Buildings:

At independent valuation 2009 – 36,987Less: Accumulated depreciation – (16,082)

– 20,905Plant and equipment:

At cost 21,521 18,144Less: Accumulated depreciation (18,743) (15,267)

2,778 2,877Work in progress:

At cost 604 368Total 12,527 34,579




19. Property, Plant and Equipment (Cont’d)

Independent valuations of land and buildings at the Morningside campus were performed as at 30 June 2009 by State Valuation Services using ‘fair value’ principles based on market value.

The southern portion of the campus, representing an area of 4.924 hectares, is idle. However at 30 June 2009, it is not being actively marketed for sale.

On the basis that the land and buildings on this portion of the campus are predominantly idle and have no future economic benefi t, the Institute used State Valuation Services’ fair value to revalue these assets to their estimated recoverable amount. The land value was written down to the lesser of its carrying amount and fair value less costs to sell, thereby reducing the land value by $1.284 million. The carrying amounts of the buildings were written down to zero on the basis that they have no future economic value. The total decrement on revaluation of the buildings was $20.102 million.

Plant and equipment is valued at cost in accordance with Queensland Treasury’s Non-Current Asset Policies for the

Queensland Public Sector.

The Institute has plant and equipment with an original cost of $10.038 million and a written down value of zero. Plant and equipment with an original cost of $3.947 million is still being used in the provision of services. The remainder has been identifi ed as surplus and it is planned to dispose of this plant and equipment in the next reporting period.




19. Property, Plant and Equipment (Cont’d)

Property, Plant and Equipment ReconciliationLand Buildings Plant and

EquipmentWork In

ProgressTotal

2009 2009 2009 2009 2009$’000 $’000 $’000 $’000 $’000

Carrying amount at 1 July 2008 10,429 20,905 2,877 368 34,579Acquisitions – – 912 490 1,402Disposals – – (127) – (127)Transfers between classes – – 254 (254) – Post-capitalisation – – 14 – 14Reverse previously recognised revaluation increment in Asset Revaluation Reserve (Note 23) (1,232) (1,450) – – (2,682)Revaluation decrement recognised in operating surplus/(defi cit)* (52) (18,652) – – (18,704)Depreciation – (803) (1,152) – (1,955)Carrying amount at 30 June 2009 9,145 – 2,778 604 12,527

2008 2008 2008 2008 2008$’000 $’000 $’000 $’000 $’000

Carrying amount at 1 April 2008 – – – – – Acquisitions through restructuring (Note 1(r)) 17,286 27,862 2,518 328 47,994Acquisitions – – 393 268 661Assets donated – – 5 – 5Disposals – (230) (34) – (264)Transfers between classes – – 228 (228) – Assets reclassifi ed as held for sale (8,089) (8,105) – – (16,194)Revaluation increment 1,232 1,450 – – 2,682Depreciation – (72) (233) – (305)Carrying amount at 30 June 2008 10,429 20,905 2,877 368 34,579

* Revaluation decrement is shown as separate line items in the Income Statement




$’000 $’000

20. Payables

Trade creditors 22,934 3,622Other 4,283 – Total 27,217 3,622

21. Accrued Employee Benefi ts

CurrentWages outstanding 140 – Accrued annual leave 162 – Accrued long service leave 22 – Total 324 –

Non-CurrentAccrued long service leave 208 – Total 208 –

22. Other Current Liabilities

Unearned user charges revenue 12,686 6,194Unearned grant revenue 2,162 2,709Other 17 115Total 14,865 9,018




23. Asset Revaluation Reserve by Class

Land Buildings Total2009 2009 2009

$’000 $’000 $’000Balance 1 July 2008 1,232 1,450 2,682Revaluation decrements (1,232) (1,450) (2,682)Balance at 30 June 2009 – – –

2008 2008 2008$’000 $’000 $’000

Balance 1 April 2008 – – – Revaluation increments 1,232 1,450 2,682Balance at 30 June 2008 1,232 1,450 2,682

The asset revaluation reserve represents the net eff ect of upwards and downwards revaluations of assets to fair value.

Both the revaluation decrements of land and buildings (refer also to Note 19) were debited to their respective asset revaluation reserve to the extent possible. The balances of the decrements (Land: $0.052 million; Buildings: $18.652 million) were charged to the Income Statement as revaluation decrements.

24. Reconciliation of Operating Surplus/(Defi cit) to Net Cash from Operating Activities

2009 20081 April to

30 June $’000 $’000

Operating surplus/(defi cit) (23,650) 1,060

Depreciation and amortisation expense 2,184 378Donated assets received (4) (5)Asset donated expensed 4 – Post capitalised assets (14) – Proceeds from sale of assets (56) – Loss on sale of property, plant and equipment 192 72Gain on sale of property, plant and equipment – (50)Revaluation decrements on land and buildings 18,704 – Impairment losses 7,575 160

Change in assets and liabilities:(Increase)/decrease in receivables (18,523) 2,903(Increase)/decrease in GST input tax credits receivable 796 (904)(Increase)/decrease in GST payable (157) – (Increase)/decrease in inventories 4 31(Increase)/decrease in prepayments 22 108Increase/(decrease) in accounts payable 23,595 (4,959)Increase/(decrease) in accrued employee benefi ts 532 – Increase/(decrease) in unearned revenue 5,847 (9,871)

Net cash from operating activities 17,051 (11,077)




25. Commitments for Expenditure

(a) Non-capital Expenditure CommitmentThe following commitment represents an arrangement with Department of Education and Training for the Institute’s use of the facilities at the Southbank Education and Training Precinct. The commitment for expenditure at reporting date is payable as follows:

2009 2008$’000 $’000

Not later than one year 24,616 23,846Later than one year and not later than fi ve years 97,057 94,193Later than fi ve years 418,750 612,256

Total 540,423 730,295

(b) Capital Expenditure CommitmentMaterial classes of capital expenditure commitments inclusive of anticipated GST, contracted for at reporting date but not recognised in the accounts are payable as follows:

2009 Plant &Equipment

$’000Payable:

Not later than one year 450Total 450

The Institute does not have any fi nancial lease liabilities or non cancellable operating leases commitments at the date of these fi nancial statements.

26. Economic Dependency

As published in the Queensland State Budget – Service Delivery Statements the Institute will be dependent on State contributions of $77.010 million during the 2009-10 fi nancial year.

27. Events Occurring after Balance Date

In accordance with Section 218W(3) of the Vocational Education, Training and Employment Act 2000 the Board of the Institute has approved the recommendation to the Minister for Education and Training that no dividend be declared for the period 1 July 2008 to 30 June 2009.



Notes To and Forming Part of the Financial Statements 2008-0928. Financial Instruments

(a) Categorisation of Financial InstrumentsThe Institute has the following categories of fi nancial assets and fi nancial liabilities:

2009 2008Category Note $’000 $’000

Financial AssetsCash and cash equivalents 13 17,713 2,008Receivables 14 24,413 5,999Total 42,126 8,007

Financial LiabilitiesFinancial liabilities measured at amortised cost:Payables 20 27,217 3,622Total 27,217 3,622

(b) Financial Risk ManagementThe Institute’s activities expose it to a variety of fi nancial risks – interest rate risk, credit risk, liquidity risk and market risk.

Financial risk management is implemented pursuant to Government and the Institute’s policy. These policies focus on the unpredictability of fi nancial markets and seek to minimise potential adverse eff ects on the fi nancial performance of the Institute.

The Institute measures risk exposure using a variety of methods as follows:-

Risk Exposure Measurement method Credit risk Ageing analysis, earnings at risk Liquidity risk Sensitivity analysis Market risk Interest rate sensitivity analysis




28. Financial Instruments (Cont’d)

(c) Credit Risk ExposureCredit risk exposure refers to the situation where the Institute may incur fi nancial loss as a result of another party to a fi nancial instrument failing to discharge their obligation.

The maximum exposure to credit risk at balance date in relation to each class of recognised fi nancial assets is the gross carrying amount of those assets inclusive of any provisions for impairment.

The following table represents the Institute’s maximum exposure to credit risk based on contractual amounts net of any allowances:

Maximum Exposure to Credit Risk 2009 2008Category Note $’000 $’000

Financial AssetsCash and cash equivalents 13 17,713 2,008Receivables 14 24,413 5,999Total 42,126 8,007

No collateral is held as security and no credit enhancements relate to fi nancial assets held by the Institute.

The Institute manages credit risk through the use of a credit management strategy. This strategy aims to reduce the exposure to credit default by ensuring that the Institute monitors all funds owed on a timely basis. Exposure to credit risk is monitored on an ongoing basis.

No fi nancial assets and fi nancial liabilities have been off set and presented net in the Balance Sheet.

The method for calculating any provisional impairment for risk is based on past experience, current and expected changes in economic conditions and changes in client credit ratings.

No fi nancial assets have had their terms renegotiated so as to prevent them from being past due or impaired, and are stated at the carrying amounts as indicated.

Aging of past due but not impaired as well as impaired fi nancial assets are disclosed in the following tables:





(c) Credit Risk Exposure (Cont’d)2009 Financial Assets Past Due But Not Impaired

Contractual Repricing/Maturity Date:Overdue Total

NotOverdue

Less than 30 Days

30 – 60Days

61 – 90Days

More than 90 Days Total

Financial Assets

$’000 $’000 $’000 $’000 $’000 $’000 $’000Financial AssetsReceivables 21,460 2,514 94 258 87 2,953 24,413Total 21,460 2,514 94 258 87 2,953 24,413

2008 Financial Assets Past Due But Not Impaired


NotOverdue

Less than 30 Days

30 – 60Days

61 – 90Days


Financial Assets

$’000 $’000 $’000 $’000 $’000 $’000 $’000Financial AssetsReceivables – 5,605 224 74 96 5,999 5,999Total – 5,605 224 74 96 5,999 5,999

2009 Impaired Financial Assets


NotOverdue

Less than 30 Days

30 – 60Days

61 – 90Days


Financial Assets

$’000 $’000 $’000 $’000 $’000 $’000 $’000Financial AssetsReceivables – – – – 348 348 348Total – – – – 348 348 348

2008 Impaired Financial Assets


NotOverdue

Less than 30 Days

30 – 60Days

61 – 90Days


Financial Assets

$’000 $’000 $’000 $’000 $’000 $’000 $’000Financial AssetsReceivables – – – – 1,012 1,012 1,012Total – – – – 1,012 1,012 1,012





(d) Liquidity RiskLiquidity risk refers to the situation where the Institute may encounter diffi culty in meeting obligations associated with fi nancial liabilities.

The Institute is exposed to liquidity risk in respect of its payables.

The Institute manages liquidity risk through the use of a liquidity management strategy. This strategy aims to reduce the exposure to liquidity risk by ensuring the Institute has suffi cient funds available to meet employee and supplier obligations as they fall due. This is achieved by ensuring that minimum levels of cash are held within the bank account so as to match the expected duration of the various employee and supplier liabilities.

The following table sets out the liquidity risk of fi nancial liabilities held by the Institute. It represents the contractual maturity of fi nancial liabilities.

2009 Payable in Total < 1 year 1 – 5 years > 5 years

Note $’000 $’000 $’000 $’000 Financial LiabilitiesPayables 20 27,217 – – 27,217Total 27,217 – – 27,217

2008 Payable in Total < 1 year 1 – 5 years > 5 years

Note $’000 $’000 $’000 $’000 Financial LiabilitiesPayables 20 3,622 – – 3,622Total 3,622 – – 3,622

(e) Market Risk The Institute does not trade in foreign currency and is not materially exposed to commodity price changes. The Institute does not undertake hedging in relation to interest risk and manages its risk as per the liquidity risk management strategy.





(e) Market Risk (Cont’d)

Interest Rate Sensitivity AnalysisThe following interest rate sensitivity analysis is based on a report similar to that which would be provided to management, depicting the outcome to profi t and loss if interest rates would change by +/-1% from the year-end rates applicable to the Institute fi nancial assets and liabilities. With all other variables held constant, the Institute would have a surplus and equity increase/(decrease) of $177,000. This is mainly attributable to the Institute’s exposure to variable interest rates on its cash deposit with Commonwealth Bank. As this bank account was established as at 1 December 2008 and prior cash balances were held as part of DET’s bank account, sensitivity analysis for 2008 is not relevant.

Financial Instruments Carrying Amount 2009 Interest rate risk

-1% 1% Profi t Equity Profi t Equity

Cash 17,713 (177) (177) 177 177

Overall eff ect on profi t and equity (177) (177) 177 177

(f) Fair ValueThe fair value of fi nancial assets and liabilities must be estimated for recognition and measurement and for note disclosure purposes.

The fair value of monetary fi nancial assets is based on market prices where a market exists, or is determined by discounting expected future cash fl ows by the current interest rate for fi nancial assets with similar risk profi les.

The fair value of trade receivables and payables are assumed to approximate their nominal value less estimated credit adjustments.

The carrying amounts of all fi nancial assets and fi nancial liabilities approximate their fair values.

29. Contingencies

The Institute was not aware of any contingent assets or contingent liabilities as at 30 June 2009.



Certifi cate of the Southbank Institute of TechnologyThese general purpose fi nancial statements have been prepared pursuant to section 46F of the Financial Administration

and Audit Act 1977 (the Act), and other prescribed requirements. In accordance with section 46F of the Act we certify that in our opinion:

(a) the prescribed requirements for establishing and keeping the accounts have been complied with in all material respects; and

(b) the statements have been drawn up to present a true and fair view, in accordance with prescribed accounting standards, of the transactions of the Southbank Institute of Technology for the fi nancial year ended 30 June 2009 and of the fi nancial position of the Institute at the end of that year.

Sandra Stuckey CPA Craig Sherrin Chief Finance Offi cer Chief Executive Offi cer

Date: 19 August 2009 Date: 19 August 2009


Independent Auditor’s ReportTo the Board of Southbank Institute of Technology

Report on the Financial Report

I have audited the accompanying fi nancial report of Southbank Institute of Technology which comprises the balance sheet as at 30 June 2009, and the income statement, statement of changes in equity and cash fl ow statement for the year ended on that date, a summary of signifi cant accounting policies, other explanatory notes and certifi cates given by the Chief Executive Offi cer and the Chief Finance Offi cer.

The Board’s Responsibility for the Financial Report

The Board is responsible for the preparation and fair presentation of the fi nancial report in accordance with prescribed accounting requirements identifi ed in the Financial Administration and Audit Act 1997 and the Financial Management

Standard 1997, including compliance with applicable Australian Accounting Standards (including the Australian Accounting Interpretations). This responsibility includes establishing and maintaining internal controls relevant to the preparation and fair presentation of the fi nancial report that is free from material misstatement, whether due to fraud or error; selecting and applying appropriate accounting policies; and making accounting estimates that are reasonable in the circumstances.

Auditor’s Responsibility

My responsibility to express an opinion on the fi nancial report based on the audit is prescribed in the Auditor-General

Act 2009. This Act, including transitional provisions, came into operation on 1 July 2009 and replaces the previous requirements contained in the Financial Administration and Audit Act 1977.

The audit was conducted in accordance with the Auditor-General of Queensland Auditing Standards, which incorporate the Australian Auditing Standards. These auditing standards require compliance with relevant ethical requirements relating to audit engagements and that the audit is planned and performed to obtain reasonable assurance whether the fi nancial report is free from material misstatement.

An audit involves performing procedures to obtain audit evidence about the amounts and disclosures in the fi nancial report. The procedures selected depend on the auditor’s judgement, including the assessment of risks of material misstatement in the fi nancial report, whether due to fraud or error. In making those risk assessments, the auditor considers internal control relevant to the entity’s preparation and fair presentation of the fi nancial report in order to design audit procedures that are appropriate in the circumstances, but not for the purpose of expressing an opinion on the eff ectiveness of the entity’s internal control, other than in expressing an opinion on compliance with prescribed requirements. An audit also includes evaluating the appropriateness of accounting policies and the reasonableness of accounting estimates made by the Board, as well as evaluating the overall presentation of the fi nancial report including any mandatory fi nancial reporting requirements as approved by the Treasurer for application in Queensland.

I believe that the audit evidence obtained is suffi cient and appropriate to provide a basis for my audit opinion.

Southbank Institute of Technology Financial Report 2008-09 71

Independence

The Auditor-General Act 2009 promotes the independence of the Auditor-General and QAO authorised auditors. The Auditor-General is the auditor of all Queensland public sector entities and can only be removed by Parliament.

The Auditor-General may conduct an audit in any way considered appropriate and is not subject to direction by any person about the way in which audit powers are to be exercised. The Auditor-General has for the purposes of conducting an audit, access to all documents and property and can report to Parliament matters which in the Auditor-General’s opinion are signifi cant.

Auditor’s Opinion

In accordance with s.40 of the Auditor-General Act 2009 –

(a) I have received all the information and explanations which I have required; and

(b) in my opinion –

(i) the prescribed requirements in respect of the establishment and keeping of accounts have been complied with in all material respects; and

(ii) the fi nancial report has been drawn up so as to present a true and fair view, in accordance with the prescribed accounting standards of the transactions of the Southbank Institute of Technology for the fi nancial year 1 July 2008 to 30 June 2009 and of the fi nancial position as at the end of that year.

D J OLIVE CPA Queensland Audit Offi ce(as Delegate of the Auditor-General of Queensland) Brisbane

Southbank Institute of Technology66 Ernest Street, South Brisbane, QLD 4101

Postal: Southbank Institute of TechnologyLocked Mail Bag 14, South Brisbane, QLD 4101

P: 07 3244 5000F: 07 3244 5361

www.southbank.edu.au

Annual Report 2008-09

Delivering on the PromiseCutting-edge facilitiesTeachers with real industry experience

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