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everyneighbour

Annual Report 2002-03

Every Neighbour

The ABC encourages awareness ofAustralian culture and values and providesinformation about Australia to overtwenty-nine countries across Asia andthe Pacific through Radio Australia andABC Asia Pacific.

Ask AustraliaABC Asia Pacificlaunched ‘Ask Australia’,a unique online serviceon its website allowinginternational visitors to ask and receiveanswers to questions about living, workingand studying in Australia. Expert answersare provided by a network of more than forty Australian companies andgovernment organisations.

Emampuluh! 60 Years of RadioAustralia in IndonesiaAugust 2002 marked the sixtieth anniversaryof Radio Australia’sIndonesian LanguageService, which is broadcast to a weeklyregional audience of more than 6.5 millionpeople. Despite fierce competition, theservice remains the second most popularinternational radio station in Indonesia.

PNG Wind-up Radio CompetitionRadio Australia launcheda competition offeringPapua New Guineaschool children thechance to win a solar-powered radio fortheir school by saying what they likedmost about their village or town. Thecompetition received more than 1 000entries, many from remote and ruralareas of PNG.

2 1

everyone’s


Every Neighbour

ABC AudiencesThe ABC’s primary responsibility is to deliver

broadcasting services that inform, educate and

entertain the people of Australia. One of the

fundamental determinants of the Corporation’s

success is its audiences. The ABC employs a

range of means to assess its effectiveness in

this regard, including analysis of audience

behaviour and trends; audience attitudes and

perceptions of ABC services; and audience

contacts and complaints.

ABC Audience Research conducts strategically

targeted research, including the commissioning

of external specialist analysis. This work helps to

gauge audience attitudes to ABC services and

inform programming, scheduling and marketing

decisions. ABC Audience and Consumer

Affairs investigates all written complaints

received by the ABC. This unit is independent

of program-making areas and also coordinates

responses to a range of programming and

policy enquiries.

Audience TrendsThe ABC has achieved near record audiences

for its services during the past twelve months

in a dynamic and highly competitive media

environment. This environment is characterised

by new entrants and competing media forms

which provide audiences with an increasing

range of options and sources from which to

seek entertainment and information.

RadioRadio operates in a mature market with a large

and growing number of competitors. The number

of commercial radio licences has increased

from 151 in June 1992 to 257 in June 2003.1

For audiences, radio is cheap and accessible.

The market is characterised by an array

of stations targeting specific audiences.

Since 1996 the number of people listening

to radio has grown with Australia’s population;

95% of people listen at least once per week.

Over this period the average time spent listening

to radio has increased. Audiences in metropolitan

Australia listened to an average of 22 hours and

33 minutes each week in 2002-03,2 compared

with 22 hours and 14 minutes in 1996-97.

In the face of growing competition and

increased audience fragmentation, ABC

Radio performed creditably to maintain an

annual average weekly reach of 4 103 000

listeners (35% of the population aged over 10)

across the eight major cities, a decrease of 1%

over the previous year. This primarily reflected

a decline in Triple J’s audiences, as all ABC

Radio networks other than Triple J achieved

increases in listener numbers. Triple J operates

in the youth market which has seen a number

of new entrants over the past few years. This

has contributed to the decline in reach of the

network from 1.4 million to 1.3 million listeners

over the period 2001-02 to 2002-03.3 This

trend may continue as additional FM licences

are granted in Adelaide, Sydney, Brisbane and

Melbourne in the next two years. In addition to

the proliferation of radio options for youth, the

options for sourcing music have also expanded

exponentially with the growth of the Internet.

Research conducted by the ABC suggests that

downloading music from the Internet is prevalent

among youth.4

ABC Radio’s 2002-03 overall audience

share remained steady at 20.5% - compared

with 20.6% in 2001-02 - with increases in

Melbourne, Newcastle and Hobart.

2 2

1 Australian Broadcasting Authority (1992 data includes supplementary and remote radio licences which are classified as commercial licences in 2003).

2 ACNielsen Radio Ratings Database.3 ACNielsen Radio Ratings Database.4 Australian Broadcasting Corporation. Unpublished Qualitative and Quantitative Research, 2002–03.


2 3

TelevisionThe advent of subscription services in Australia

has had a significant impact on television

audiences. During the past ten years, the

number of hours spent watching all forms of

television has remained steady at an average

194 minutes per day per person.5 However,

over the same period, the amount of time

spent watching free-to-air television has

declined to 162 minutes.6 The primary reason

for the decline in time spent viewing free-to-air

television is the growth of subscription television

providing audiences with a greater number of

viewing options.

Within metropolitan areas an estimated 24% of

households now have pay television,7 compared

with 5% in 1996.8 In homes with subscription

television the proportion of time spent viewing

free-to-air television is approximately 50% of

average weekly viewing.9

The impact of these changes on free-to-air

television viewing in general over the past decade

is evident for ABC Television. The average time

per viewer spent watching ABC television has

declined from 65 minutes per day in 1992-9310

to 60 minutes per day in 2002-03.11 Despite

these slight declines recorded over the past

decade the overall average weekly reach of

ABC Television in the metropolitan areas in

2002-03 is the same as 2001-02 at 8.9 million

(based on minimum five minutes continuous

viewing and excluding viewing by visitors).

When expressed as a percent of the population

average weekly reach has declined slightly,

by 1%, from 67.5% in 2001-02 to 66.5% in

2002-03. Over this same period, similar declines

in reach are evident across free-to-air television.

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5 ACNielsen Television Ratings Database.6 OzTAM Metropolitan Ratings Database.7 OzTAM establishment survey.8 ACNielsen establishment survey.9 ACNielsen Subscription Television Ratings,

March 2002-March 2003.10 ACNielsen Television Ratings Database.11 OzTAM Metropolitan Ratings Database.

0.0 0.6 1.2 1.8 2.4 3.0

2002–03

2001–02

2000–01

1999–00

1998–99

ABC Local Radio

Radio National

Triple J

Classic FM

NewsRadio

Millions

0 10 20 30 40 50

2002–03

2001–02

2000–01

1999–00

1998–99Sydney

Melbourne

Brisbane

Adelaide

Perth

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Canberra

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Regional All

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Sydney

Melbourne

Brisbane

Adelaide

Perth

5 Metro City

Southern NSW

Northern NSW

Victoria

Queensland

Tasmania

2002–032001–02

%

Television (continued)

Average weekly regional audience reach also

remained the same as 2001-02 at 4.1 million

viewers, but was down slightly as a percentage,

from 68.8% to 68%.

ABC share of free-to-air viewing has grown

consistently since the introduction of people

meters in the early ’90s, reaching record levels

in 2002-03. ABC Television share of household

viewing increased from 15.3% to 16.1% in the

metropolitan areas measured by OzTAM,

while average weekly regional audience share

was 17.5%, also 0.8 points higher.12 Average

weekly audience share for prime time (6pm-

midnight) was 16.8% in metropolitan centres

and 17.1% in regional markets, increases of

0.8 and 0.3 percentage points respectively.

In the immediate future further fragmentation

of the television environment is likely to occur

with the digitisation of subscription television

networks. This will increase the number of

channels from approximately 50 to more than

100, and possibly as many as 400 channels

over time.13 In the next few years, these

services are expected to integrate digital video

recorders, which allow viewers to easily record

multiple programs across multiple channels

for playback at the viewer’s convenience.

Overseas experience suggests that these

devices may have a considerable impact

upon the way television will be consumed

in Australia.

OnlineThe Australian online environment is growing in

terms of the number of people using the medium

and the content available. For example, the

number of people using the Internet at home

or work has increased from 8.0 million in July

2002 to 8.6 million per month in June 2003.14

2 4A

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12 ACNielsen and Regional TAM Television Ratings Databases. Data reported for the time period 6am-midnight.

13 Australian Financial Review, 24 July 2003, p.6.14 ACNielsen NetRatings.

Regional All

Met

ropo

litan

R

egio

nal

Sydney

Melbourne

Brisbane

Adelaide

Perth

5 Metro City

Southern NSW

Northern NSW

Victoria

Queensland

Tasmania

2002–032001–02

0 5 10 15 20 25 %

ABC Audiences(continued)

Source: OZTAM Television Ratings, ACNielsen RegionalTelevision Ratings and Regional TAM

Source: OZTAM Television Ratings, ACNielsen RegionalTelevision Ratings and Regional TAM


Regional All

Met

ropo

litan

R

egio

nal

Sydney

Melbourne

Brisbane

Adelaide

Perth

5 Metro City

Southern NSW

Northern NSW

Victoria

Queensland

Tasmania

2002–032001–02

0 5 10 15 20 25 %

AB

C O

nlin

e’s

Uni

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Aud

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Aud

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each

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Mo

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July

200

1-Ju

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AB

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Pag

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1998

–200

3A

BC

Onl

ine

Aud

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eten

tion

(mo

nth-

on-

mo

nth)

Ju

ly 2

001-

June

200

3

0

10

20

30

40

50

60

70

Jan-

99

Jan-

00

Jun-

00

Jun-

01

Jun-

02

Jan-

98

Source: ABC Server Statistics

Mon

thly

Acc

esse

s -

Milli

ons

Jun-

98

Jun-

99

Jan-

01

Jan-

02

Jan-

03

Jun-

03

2 5

June

May

Apr

ilM

arch

Febr

uary

Jan-

03D

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Nov

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Mar

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Dec

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Oct

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Sep

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Aug

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July

2001 - 02 2002 - 03

netRatings Home and Work

Uni

que

Aud

ienc

e -

Milli

ons

Aud

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each

%

0.0

0.2

0.4

0.6

0.8

1.0

1.2

1.4

0

2

4

6

8

10

12

14

16

18

Reach (Active) %

Source: ACNielsen netRatings, Data: Property, Australian Home and Work Audience


Overview

0

100

200

300

400

500

600

700

800

900

0

10

20

30

40

50

60

70

80

90

100

Retained audienceNew audience Retention rate (%)

2001 - 02 2002 - 03

Milli

ons

%

Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4

Source: ACNielsen netRatings, Data: Property, Australian Home and Work Audience

ABC Audiences (continued)

The number of broadband connections

increased by 112% between March 2002

and March 2003, to over 420 000.15

The average amount of time spent online has

also increased from eight hours to 13 hours

per person per month since December 2001.

During the past twelve months there has

been growth in activities for which people

use the Internet, including travel, banking

and purchasing.16

This growth in usage is reflected in the

results achieved by ABC Online. Average

monthly reach of ABC Online was 1.06 million

people in 2002-03, a 21.5% increase over

2001-02 (876 000 people per month). This

represents reach of 12.9% of the active

Australian Internet population,17 an increase

from the previous year’s average reach of

11.3%. On a quarterly basis, ABC Online

reached 20% of the active Australian Internet

population, while over six months, 27% of

Australians going online visited some part of

the ABC website at least once. ABC Online’s

reach among users with broadband connections

at home was significantly higher than ABC

Online’s average reach, with 16.5% of Australian

home broadband users visiting ABC Online

each month. ABC Online’s reach in this market

was the highest of all Australian news and

information sites.18

ABC Online was ranked as the 15th most

frequently accessed web site by Australians,

and is positioned in the top five web sites in the

Nielsen//NetRatings ‘News and Information’

category. ABC Online ranked first in the Red

Sheriff ‘Entertainment’ category during April

and May 2003.

During March 2003, ABC News Online recorded

over 17 million page accesses by more than

410 000 unique Australian users who accessed

information about the US-led war on Iraq. This

lifted ABC Online’s reach in the active Australian

Internet population to 15.6%. The site drew

favourable media attention for having experienced

the highest growth for the month of any

Australian news site, with a 115% increase

over user numbers in the previous month.19

ABC Online also attracts a significant overseas

audience. In January 2003, Nielsen//NetRatings

data showed that more than 700 000 individuals

from the UK and the US visited ABC Online

during the month.

Responses to ResearchA key finding of recent ABC research is that

greater choice of media content and platforms

has led to some fragmentation of audiences.

This means increased competition for audiences’

attention, as well as changing habits of media

usage. To effectively respond to these changes,

the ABC must use the particular strengths of

radio, television and online, as well as increasing

its ability to operate across existing and emerging

media platforms, to ensure optimum relevance.

The ABC seeks to maximise cross-platform

leverage through targeted cross-media

productions and cross-promotional activities.

In 2002-03, it conducted trials of inbound and

outbound Short Message Service (SMS)

messaging to complement broadcast programs,

and developed Australia’s first multi-stream

interactive television program, Long Way to the

Top: Live in Concert iTV. Beginning in August

2001, the ABC operated Australia’s first digital

terrestrial multichannel television services, ABC

Kids and Fly. Regrettably, budget constraints

forced the Corporation to announce the closure

of these channels in May 2003.

2 6

15 Australian Competition and Consumer Commission,‘Snapshot of Broadband Deployment as at 30 March 2003’.

16 ACNielsen NetRatings.17 ACNielsen NetRatings. 18 ACNielsen NetRatings.19 ACNielsen NetRatings.


RadioDuring 2002-03, Audience Research undertook

a range of qualitative and quantitative audience

research on behalf of the Radio networks.

Ratings data shows that Triple J’s average

weekly reach across the eight major cities has

been declining since 2000-01. The network

commissioned quantitative and qualitative

research to identify the causes of this trend

and highlight avenues for addressing it. The

research showed that a primary cause was the

arrival of a competing youth service in Sydney

and Melbourne in 2001, and in Perth in 2002,

which drew audiences away from Triple J.

However, qualitative research conducted in

2002 with youth in Brisbane, Sydney, Melbourne,

Perth and Albury/Wodonga, suggested that in

addition to new competitors, the composition

of Triple J’s audience has changed in line with

a broadening of Australian ‘youth culture’ to

include people in their twenties and thirties.

The research also highlighted changing

patterns of radio use in relation to other

technologies within Triple J’s core 18-24

year old demographic.

This qualitative research informed quantitative

studies conducted in Sydney, Melbourne,

Brisbane, Adelaide and Perth and led Triple J

to develop short and long term strategies to

regain audience, to continue to play an integral

role in the Australian music industry and to be

innovative in the use of multi-platform delivery.

Triple J introduced a new presentation line-up

in 2003, including a new weeknight program,

Home and Hosed, featuring all-Australian music,

with an emphasis on new music. In addition,

an innovative external marketing campaign

spanning a range of media will be launched in

July 2003 to reposition Triple J and raise further

awareness of the network across Australia.

At the end of 2001-02, Local Radio

conducted specific regional qualitative

research in Mackay, Cairns, Mount Isa,

Tamworth, Lismore, Wodonga, Bendigo,

Geraldton, Bunbury, Renmark and Alice

Springs. This was supplemented in 2002-03

by the 12 Nielsen radio surveys in regional

centres across Australia. The focus groups

indicated a strong demand for local content

during regional Breakfast programs.

Consequently, Local Radio amended its

program format to ensure an appropriate

level of local content in these timeslots.

Research preceded the opening of the

new Local Radio station in Ballarat, including

focus groups and face-to-face interviews with

residents to help tailor content and schedule

key information segments to meet the needs

of the Ballarat community.

Focus group research conducted in Sydney,

Melbourne, Brisbane and Dubbo, New South

Wales, for ABC Classic FM in 2002-03 led to

a review of promotional strategies to improve

audience awareness of the live music content

on the network. The audience indicated a

preference for less formal presentation that

retained the ABC’s professional knowledge

and understanding of classical music. The

results will inform consideration of ABC

Classic FM’s line-up in 2004.

TelevisionABC Television commissioned quantitative

studies to examine viewer preferences for a

range of timeslot and program options. ABC

Television utilised information about audience

viewing habits, especially in relation to schedule

changes. This and other research underpinned

decisions to modify aspects of the prime time,

evening schedule, including the decision to

2 7


Overview


schedule Foreign Correspondent on Tuesday

evenings at 9.20pm. An assessment of audience

preferences for Friday evening and Sunday

afternoon programs in regional Queensland, New

South Wales and the ACT was commissioned

in response to an offer of coverage of certain

AFL football matches by the Nine Network.

Audiences expressed strong preferences for

remaining with ABC programming and the

offer was rejected.

To inform local marketing and communications

initiatives, a brand perception analysis was

undertaken in Brisbane, Sydney and

Melbourne. The results highlighted different

lifestyles, different perceptions about television

stations and differing television viewing patterns

in the three cities. ABC Television continually

analyses this information as part of the

development of network schedules and

communication strategies.

The Corporation subscribed to a qualitative

study that tracked viewer attitudes to television

programs over time. Qualitative research was

also used to inform program content, style and

scheduling options; examples included studies

of audience response to the drama series MDA

and the Dimensions factual program strand. As

a result of this research a number of changes

were introduced to various program structures,

formats and other elements including opening

titles and marketing strategies. The outcomes

of these changes will be tested in future audience

research. An important element of the research

was obtaining information about audiences’

views of the strengths of programs such

as Dimensions.

New Media and Digital ServicesABC Online conducted qualitative research

such as usability testing, online surveys and

focus groups. These studies informed the

redesign of the ABC Online front page and the

development and/or redesign of a number of

ABC Online gateways. It used an online survey

to gauge the responses of the interactive

television audience for Long Way to the Top:

Live In Concert iTV.

To continue to address audience needs,

New Media and Digital Services conducted

research into the ways in which people

interact with media content. The findings

suggest that patterns of media usage are

changing. Younger audiences especially exhibit

different patterns of media consumption and

relate to media in new ways. The Division is

exploring a number of new ways for audiences,

particularly children and regional audiences,

to engage with the ABC through innovative

services and platforms.

To prepare for future digital interactive services,

New Media and Digital Services worked with

the Interactive Television Research Institute at

Murdoch University to create prototypes for

News and Children’s programs for interactive

television. The Division is also a partner in the

Institute’s project, Enhancing the Content and

Experience of Children’s Television. In conjunction

with the Institute and other industry partners

Nickelodeon and Channel Nine, the three-year

project will work to develop interactive models

for pre-school children’s television programs;

the ABC will use Play School to develop

prototypes for the interactive models.

ABC Appreciation Survey 2003In order to assess the value that the ABC

provides to the Australian community and

the delivery of its Charter-based obligations,

the Corporation commissioned Newspoll to

conduct a survey of audience perceptions and

appreciation of ABC services. This was the

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Overall Value of the ABC

Quality of Programming - Radio

fourth Newspoll survey commissioned by the

ABC, similar surveys having been conducted

in 1998, 1999 and 2002. The survey was

conducted in June 2003. Newspoll surveyed

a national sample of 1 900 people aged 14

years and over. Interviewing was conducted

by telephone during the periods 2-4 and

10-15 June 2003.

Overall Survey Results 2003The 2003 Survey found that the majority of

the community believe that the ABC offers

good quality programming and information.

Nine in ten (89%) of Australians believe that

the ABC provides a valuable service.

Overall community beliefs and opinions about

the ABC remain largely unchanged compared

with 12 months ago. Most continue to feel the

ABC performs a valuable role, provides quality

content and, when asked, believe it is doing a

good job in fulfilling its various Charter obligations.

At the same time, some small improvements

are evident in relation to beliefs about the ABC

being efficient and well managed, distinctively

Australian, balanced and even-handed in its

reporting of news and current affairs, and in

broadcasting programs of an educational nature.

The vast majority (89%) of respondents believe

the ABC provides a valuable service to the

community. Compared to the previous survey,

there have been small declines in the proportion

of people aged 50 years and over (from 93 to

88%) and those in country/regional areas (from

94 to 89%) who believe the ABC and its services

are valuable, although the proportion of people

in these groups holding that belief is still very

high (almost 90%).

2 9

Very Valuable

Total Valuable

0

20

40

60

80

100

2003200219991998

4441

49 50

88 8691 89

Statistically significant change

%

%

20032002199919982003200219991998

60

100

80

60

40

20

0

20

40

60

80

100

17

58

19

59

21

60

22

55

12

58

13

53

10

55

12

17

261

72

8 12

29

12

29

12

31

13

30

Poo

rG

ood

ABC Commercial Radio

Very GoodVery Poor

Total GoodTotal Poor


%

Poo

rG

ood

Very GoodVery Poor

Total GoodTotal Poor

20032002199919982003200219991998

75

100

80

60

40

20

0

20

40

60

80

100

20

75

18

78

20

79

23

41

4

40

5

43

5

41

5

212

311

29

28

19

53

24

54

18

50

18

51

ABC Commercial TV


All of the graphs below are based on a total sampleaged 14 years and over. “Don’t Know” responses are

not displayed. Source: Newspoll 2003ABC Appreciation Survey

Quality of Programming - Television


Overview

Qua

lity

of

Info

rmat

ion

- A

BC

Web

site

A total of 82% of respondents believe the

ABC does a good job of being distinctively

Australian and contributing to Australia’s

national identity.

TelevisionEight in ten (79%) Australians believe the

quality of programming on ABC Television

is good. Since 1999, there has been a small

but statistically significant improvement in the

proportion that believes the quality of ABC

programming is very good (up from 18 to 23%).

Seven in ten (71%) continue to believe ABC

Television does a good job in terms of the

number of shows it provides that they

personally like to watch.

Teenagers aged 14-17 continue to have less

positive views about the ABC than commercial

television concerning the number of shows

worth watching. However, among 18-24 year

olds, the gap in perceptions between the ABC

and commercial television is less pronounced

in 2003 than in 2002, (for the ABC, the number

of shows worth watching is up from 53 to 65%).

RadioA total of 60% of respondents believe the ABC

provides good quality radio programming (8%

feel it is poor), while 55% believe commercial

radio offers good quality programming (and

30% feel it is poor). About one third are unable

to rate ABC Radio.

Similarly, 56% of Australians believe ABC

Radio does a good job in terms of the amount

of programming it provides that they personally

like to listen to, compared with 55% for

commercial radio.

Over time, the proportions of those who

rate ABC Radio as very good in terms of the

3 0A

BC

Pro

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m D

oes

a G

oo

d/P

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r Jo

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Bei

ng B

alan

ced

and

Eve

n-H

and

ed

Based on those aged 14 years and over who ever visit the ABC website.

Source: Newspoll 2003 ABC Appreciation Survey

Based on those aged 14 years and over who ever watch the respective program.

Source: Newspoll 2003 ABC Appreciation Survey


Very GoodTotal Good

0

20

40

60

80

100

2003200219991998

34 34 3238

92

83

90 89


%

Very Good JobTotal Good Job

%

0

20

40

60

80

100

2003

2002

2003

2002

2003

2002

2003

2002

The World Today

ABC 7pmNews

The 7.30 Report

AM/PM

95

41

93

40

89

38

87

37

89

41

90

45

86

41

85

41

amount of programming people say they like

to listen to and in terms of quality, exhibit an

upward trend, with small increases since

1998, up from 16% to 22% in 2003.

OnlinePrevious audience appreciation surveys

have recorded increases in the proportion

of Australians claiming to ever use the

ABC website (8% in 1998; 12% in 1999;

18% in 2002). In 2003, 20% of Australians

make the same claim, although the

increase from 2002 is not large enough to be

statistically significant. Consistent with 2002,

about 90% of the ABC site’s users believe it

provides good quality information, though the

proportion who believe it is very good is up

from 32 to 38%.

Coverage of Country News and InformationMany more Australians (76%) believe the

ABC does a good job covering country/regional

issues than believe this about commercial

media (42%), and this continues to be apparent

both among people in capital cities and people

in country/regional areas. In 2003, there was a

small increase (from 23 to 27%) in the proportion

that rate the ABC as very good at covering

country and regional information.

Other Specific Charter ObligationsAs found in previous years, the majority of

Australians believe the ABC is doing a good

job in meeting various other Charter obligations

covered by the research.

The dimensions on which the community has the

most strongly formed and positive perceptions

are in relation to the ABC broadcasting programs

that are different from those on commercial

television and radio, and broadcasting programs

of an educational nature.

While overall, the results are fairly stable, the

percentage of people who believe the ABC

is doing a good job of being efficient and well

managed increased from 61 to 68% since the

last survey, which is the highest result for this

category in all four surveys.

For several areas the proportion who feel the

ABC is doing a very good job has increased.

The largest gains occurred for:

• Being efficient and well managed (up from

15 to 22%)

• Being distinctively Australian and contributing

to Australia’s national identity (31 to 38%)

• Being balanced and even-handed when

reporting news and current affairs (29 to 35%)

• Broadcasting programs of an educational

nature (39 to 45%).

A total of 81% of respondents thought

the ABC does a good job of being balanced

and even-handed when reporting news and

current affairs. This issue was also explored

more specifically in relation to the ABC’s

flagship News and Current Affairs programs

(the 7pm News; The 7.30 Report; The World

Today; AM and PM). As in 2002, the vast

majority (ranging from 85-93%) of consumers

of these programs believe they are doing a

good job of being balanced and even-handed.

News and Current Affairs ContentThe survey explored community perceptions

about the amount of coverage given by

the ABC to specific news and current affairs

issues. Among ABC users, on nearly all

issues, a majority continue to feel the

amount of coverage is about right.

A number of statistically significant changes

occurred in 2003, including a decline in the

number believing there is too much coverage

of immigration issues (a reversal of the trend

3 1



Overview


since 1998) and an increase in the proportion

that think there is the right amount of coverage

of sports news.

There were increases in the proportion believing

that there is too much coverage of federal

and state politics, not enough coverage of local

politics, and not enough coverage of industrial

relations issues. Nonetheless, a majority

believe the amount of coverage of federal

politics, state politics and industrial relations

is about right.

Audience ContactsAnother important avenue for assessing

the ABC’s performance with its core

constituency is through audience

feedback, including complaints.

In August 2002, the ABC enhanced its

complaint handling procedures. All serious

written complaints received by the ABC, such

as concerns about factual inaccuracy, lack of

balance, bias or inappropriate content, are

referred to Audience and Consumer Affairs

for investigation and response. Audience and

Consumer Affairs is independent of ABC

program areas and investigates all written

complaints referring to possible breaches of the

ABC’s Editorial Policies, Code of Practice or

Charter. The unit also coordinates responses to

a range of programming and policy enquiries.

In 2002-03, the ABC received more than

186 000 audience contacts via telephone,

email and letter (a 12% increase on the

previous year). Of these, the ABC responded

to 46 838 letters and emails (a 19% increase

on the previous year) and noted the comments

of 139 525 calls to switchboards in State and

Territory capitals (a 9% increase).20

A key concern in the audience contacts this

year was ABC coverage of the Iraq war, with

more than 7 000 audience contacts received.

Of these, more than 5 500 were complaints,

with approximately 4 200 (76%) relating

to scheduling changes. There were 144

complaints (2.6%) related to anti-US coverage

and 147 complaints (2.7%) about pro-US

coverage. Additionally, the ABC received

a set of 68 complaints from the Minister for

Communications, Information Technology

and the Arts on 28 May 2003, alleging

biased and anti-American coverage in the

radio news and current affairs program AM.

Of the 44 408 complaints received, 2 775

alleged party political or other bias, 837

asserted lack of balance and 1 332 were

claims of factual inaccuracy.

TimelinessAs outlined in the ABC Editorial Policies, the

ABC endeavours to respond to all audience

3 2

Table 1 Analysis of contacts receivedContact type Email/Letter Phone Total

Number % Number %

Complaint 12 391 26.4 32 017 22.9 44 408

Appreciation 8 980 19.2 12 779 9.2 21 759

Other* 25 467 54.4 94 729 67.9 120 196

Grand Total 46 838 100.0 139 525 100.0 186 363

* Other includes suggestions, requests for information, comments, and scheduling and transmission enquires.

20 Combined audience contacts received by Audience and Consumer Affairs, News and Current Affairs and the ReceptionAdvice Line (phone, letter and email).


contacts within 28 days. Between 1 July

2002 and 30 June 2003, ABC Audience and

Consumer Affairs responded directly to 21 314

audience contacts. Of these, 15 480 (73%)

received responses within 28 days.

Complaints Review ExecutiveIn August 2002, the ABC established the

role of a Complaints Review Executive (CRE),

to provide an additional level of independent

internal review for complainants who express

dissatisfaction with ABC Audience and

Consumer Affairs’ response to their complaint.

The CRE has broad scope to review the

broadcast in question and the manner with

which the complaint was originally dealt,

and determine whether the ABC acted

appropriately. The CRE is independent of

both ABC Audience and Consumer Affairs

and all program makers.

This additional tier of internal review does not

preclude complainants from seeking external

review via the Australian Broadcasting Authority,

or the ABC’s Independent Complaints Review

Panel, depending on the nature of the complaint.

To 30 June 2003, the CRE had investigated 36

matters. In six cases, the complaint was upheld,

either partially or fully. The CRE was unable

to make a determination on one occasion.

Independent Complaints Review PanelThe Independent Complaints Review Panel

(ICRP) is an independent body that reviews

complaints about ABC broadcasts involving

serious bias, lack of balance or unfair treatment.

Once a complaint has been considered under

the ABC’s internal review system, complainants

may write to the ICRP if they are dissatisfied

with the ABC’s response, or if the ABC has not

responded to the complaint within six weeks

of the complaint being made.

Members of the Panel are appointed by the

ABC Board and have been selected for their

knowledge of, or experience in, journalistic

ethics and practice, media operations and

program production, complaints handling

and other review processes. The current

ICRP Panellists are Ted Thomas (Convenor),

3 3

Table 2 Subject matter of contacts receivedSubject Letter/Email Phone Total % Total

Requests for information, programs,

product availability, other matters 23 887 63 201 87 088 46.7

Radio and television transmission enquiries 1 825 34 183 36 008 19.3

Complaints about program standards and scheduling 7 975 22 753 30 728 16.5

Appreciation of programs and presenters 8 782 12 552 21 334 11.5

Sporting coverage 296 4 865 5 161 2.8

Comments about management issues 1 057 43 1 100 0.6

Bias (other than party political)* 1 019 694 1 713 0.9

Party political bias 693 369 1 062 0.6

Complaints of factual inaccuracy 915 417 1 332 0.7

Lack of balance 389 448 837 0.4

Grand Total 46 838 139 525 186 363 100.0

* Includes claims of bias on such issues as sport and religion.


Overview


Margaret Jones (Deputy Convenor), Professor

Michael Chesterman, Stepan Kerkyasharian

and Bob Johnson.

Reports of ICRP reviews are made public.

The Managing Director carefully considers

ICRP findings and recommendations, and

when required, takes appropriate action in

response to the Panel’s report.

In the period 1 July 2002 to 30 June 2003 the

ICRP received 17 requests to review complaints,

nine of which were accepted for review. The

eight remaining requests involved matters outside

the ICRP’s area of responsibility. The ICRP

upheld three of the complaints reviewed.

By comparison, in 2001-02, the ICRP received

14 complaints and of those accepted and

partially upheld two complaints which related

to the same program.

Appendix 18 (page 191) provides details of

matters reviewed by the ICRP and the

decisions of the Panel.

Australian Broadcasting AuthorityMembers of the public who complain to

the ABC about matters covered by the

Corporation’s Code of Practice and who

are dissatisfied with the ABC’s response or

the handling of their complaint may seek

review from the Australian Broadcasting

Authority (ABA).

During 2002-03, the ABA finalised its

investigations into ten such matters (17 in

2001-02). In nine of these cases, the ABA’s

investigation concluded that there had been

no breach of the ABC’s Code of Practice.

The ABA found that the ABC had breached

its Code of Practice on one occasion, in

relation to complaints handling.

Upheld complaintsAll upheld complaints are brought to the

attention of the senior editorial staff responsible

and appropriate corrective action is taken. In

2002-03, actions taken in response to upheld

complaints included written apologies to

complainants; on-air corrections and apologies;

counselling or reprimanding of staff; deleting

program segments from future broadcasts

and home video and DVD releases; removal

of inappropriate content or correction of

material on ABC Online; and reviews of

and improvements to procedures. All

upheld complaints are reported in detail

to the ABC Board.

In January 2003, the ABC began publication

of a quarterly Public Report on Audience

Comments and Complaints, in order to

increase transparency and accountability

of the ABC complaints process. The report

provides summaries of audience contacts

and upheld program complaints finalised by

ABC Audience and Consumer Affairs and the

CRE. It is published on the ABC website.

3 4


Corporate GovernanceThe ABC operates within a comprehensive

framework of external and internal controls

covering all aspects of corporate governance:

strategy setting; policy management;

performance and compliance measurement;

and external reporting and accountability

obligations. Throughout 2002-03, the

Corporation maintained an active commitment

to a ‘better principles and practice’ approach

to corporate governance.

Implementation ofANAO RecommendationsIn April 2002, the Australian National Audit Office

(ANAO) tabled the findings of a year-long review

of Corporate Governance in the Australian

Broadcasting Corporation (Audit Report No.

40, 2001-02). The ABC accepted the review’s

14 recommendations for further improving

corporate governance. In 2002-03, the ABC

achieved very substantial progress towards the

implementation of the recommendations. In

doing so, the Corporation also addressed three

related recommendations made by the Joint

Parliamentary Committee on Public Accounts

and Audit (JCPAA Report No. 393, 2002-03).

At 30 June 2003, six of the 14 ANAO

recommendations were achieved, three partially

achieved, four were on track for resolution

when scheduled (for example, on completion of

the Annual Report 2002-03 and the Corporate

Plan 2003-06) and one was not yet achieved.

The ABC supports the intent of the three

related JCPAA recommendations. A

comprehensive progress report appears

as Appendix 6 (page 173).

The JCPAA, which provides Parliamentary

oversight of ANAO activities, received an initial

progress report on implementation when the

ABC appeared before a public hearing on

12 August 2002.

ABC BoardThe ABC Board held ten meetings during

2002-03. Details of the six Board Committees

and Board Members’ attendances at meetings

are provided in Appendix 4 (page 171).

The Board continued to commit itself to a

process of governance reform initiated by

the Chairman in the 1999 Board discussion

paper: The ABC: Of Unique Value and Value

for Money. It made active use of the Board

Committee system through regular processes

of the Audit Committee, Finance Committee

and ABC Advisory Council Committee. The

Editorial Policies Committee provided oversight

to the major revision of ABC Editorial Policies

that concluded during the year. A Board Code

of Practice Committee worked to develop the

draft for consideration by the full Board. One

Director, Mrs Leith Boully, represented the

Board on an ANAO Implementation Steering

Committee, chaired by the Managing Director,

which met four times during the year.

A specialist consultant worked with the

Board to develop a draft Code of Practice for

Directors, articulating governance principles and

requirements. This will be submitted for adoption

to the July 2003 meeting of the Board.

Planning andPerformance ReportingThe ABC’s Corporate Plan 2001-04 and

associated Divisional Plans represented a

significant improvement on previous plans

(refer findings of the ANAO report on ABC

Corporate Governance and the 2003

ABC risk management assessment). Further

areas of improvement were identified for

implementation in the forthcoming Corporate

Plan 2003-06.

3 5


Overview

Corporate Governance (continued)

3 6

However, the performance-reporting framework

adopted for Corporate reporting to the Board

and Divisional reporting to the Managing

Director involved considerable complexity and

some duplication of performance information.

Problems in the collation and verification of

some performance data impeded the process.

The Board and the Managing Director expressed

a preference for a more streamlined approach.

This too will be addressed in the 2003-06

planning process.

ABC Editorial Policiesand Code of PracticeThe Corporation completed a major review of

ABC Editorial Policies, including the ABC Code

of Practice, which is lodged with the Australian

Broadcasting Authority (ABA). The Editorial

Policies incorporate a comprehensive range

of policies and guidelines for journalists and

program makers. Divisions have continued to

deliver staff training in Editorial Policies. The

Board will receive twice-yearly reports on the

operations of Editorial Policies to monitor their

effectiveness and identify matters that may

require updating or revision.

Complaints ManagementSince August 2002, all serious written

complaints received by the ABC have been

referred to the Audience and Consumer Affairs

unit of ABC Corporate Affairs. These include

matters related to factual inaccuracy, lack

of balance, bias or inappropriate content.

Audience and Consumer Affairs is independent

of ABC program departments and investigates

all written complaints in relation to alleged

breaches of ABC Editorial Policies, Code

of Practice or the ABC Charter.

The ABC also appointed a Complaints Review

Executive to provide an additional level of

review for complainants. This additional tier of

internal review does not preclude complainants

from seeking external review via the ABC’s

Independent Complaints Review Panel (ICRP)

or the Australian Broadcasting Authority (ABA).

External ReviewsIn 2002-03, the ABC was the subject of four

financial reviews by the ANAO and one review

by the Australian Taxation Office (ATO). The

reports of three of the ANAO reviews were

tabled in Parliament before 30 June 2003.

Two found the Corporation’s activities to

accord with best practice, while the third

identified ‘insignificant’ reporting errors, which

have been corrected. The ATO found the

ABC’s processes to be adequate. Details of

these reviews are in Appendix 10 (page 182).

Internal ReviewsThe ABC’s internal auditors conducted a number

of reviews of the Corporation’s activities during

the period. These included nine information

technology audits, 17 financial compliance

audits, and 16 comprehensive, operational and

consulting reviews. There were also 17 reports

under discussion at the end of the financial

year. Further details are in Appendix 5 (page 172).

Efficiency and Effectiveness:Output Pricing ReviewThe ABC completed an Output Pricing Review

to accompany the Triennial Funding Submission

to Government in November 2002. This analysis

demonstrated that, since 1996-97, the

Corporation has realised substantial gains

in efficiency and productivity. It found that the

ABC was operating at mid-1990s funding levels,

in real terms, while producing and broadcasting

substantially more outputs. In part, this was

due to the translation of improved efficiencies

in corporate support areas directly into

increased programming and other outputs.

Corporate support costs fell from 13% in the


mid-1990s to 8% of the ‘total price’ of ABC

operations in 2002-03. This represented a

32% reduction in real costs over the period.

Governance ReportingSince June 2002, monthly Governance Reports

to the Board from individual Executive Directors

affirm that Divisions have adhered to all

governance requirements (including legislative

obligations) and/or identify breaches and issues

of concern. Executive Directors in charge of

media output or program Divisions are required

specifically to address adherence to Editorial

Policies, including matters of independence,

accuracy and impartiality.

International BenchmarkingThe ABC hosts the information repository for

an international performance benchmarking

system developed by eight national public

broadcasters. In 2001-02, the Corporation

published details of its performance against the

group average. It is unable to do so for 2002-03,

as other participating broadcasters have yet

to provide a complete set of data.

Risk ManagementIn 2002, the Comcover Risk Management

Benchmarking Survey of 115 public and

private sector organisations rated the ABC’s

risk management practices well above the

average. The ABC scored Level 3 (‘Advanced’)

against all 10 key performance indicators in the

survey. This denoted an organisation that was

‘continuously improving their risk management

systems and processes’.21

The Board received a comprehensive report

on the ABC’s risk management environment

in March 2003. This annual risk management

assessment provides a high level appraisal of

whether the performance of the Corporation is

subject to the necessary level of due care and

diligence by the Board and Managing Director.

The March 2003 assessment reviewed the

Corporation’s nominated top 11 risks in relation

to the operational controls in place to manage

them. Nine of the 11 risks were classified as

‘Medium’ to ‘Low’ due to the controls in place.

Of the remaining two risks, Business Interruption

was rated ‘High’ and Occupational Health and

Safety was ‘Medium’ to ‘High’ post controls.

The ABC is developing strategies for completion

in 2003-04 to reduce these risks. The outcomes

will be reported in the next Annual Report.

Management StructureIn February 2003, the Managing Director

announced he would examine progressively

Divisional arrangements, to ensure that

functional structures were appropriate to the

ABC’s evolving needs. The Board subsequently

endorsed a proposal to re-align all revenue-

generating activities into an expanded and

clearly focused ABC Enterprises Division.

This expanded Division will become

operational on 1 July 2003.

In June 2003, a staff consultation process

commenced over proposals to re-align a

number of functions from the Technology and

Distribution Division to several other Divisions,

especially Production Resources. The broad

aims were to: improve functional accountability,

improve the ABC’s on-air performance, re-focus

the Corporation’s technology strategy function,

and deliver efficiency benefits. It was anticipated

that a further paper would be submitted to a

later meeting of the Board.

21 Department of Finance and Administration, Comcover. Benchmarking Risk Management. ABC Results, June 2002.

3 7


Overview

Corporate Governance (continued)

3 8

The Managing Director chairs monthly

meetings of Executive Directors. In addition,

relevant sub-groups of Executive Directors

attend monthly meetings of the Content

Group and Operations Group. There is also

a monthly Commercial Operations meeting,

which considers strategic business opportunities.

Further, the Managing Director chairs a monthly

meeting of the International Broadcasting

Division Board of Management. The Director

of the Corporate Affairs convenes a quarterly

Corporate Marketing meeting with relevant

Executive Directors.

In a further refinement of accountabilities,

the Managing Director expanded the role

of the Director of New Media to include

Digital Services, involving a broader focus

on new media strategic development.

Strategic SupportA number of specialist units exist to support

the Board and Executive Management in

corporate positioning and governance. During

2002-03, the ABC established a Corporate

Marketing unit to provide improved ABC brand

positioning in the community. The Corporate

Planning and Governance unit, situated in the

Corporate Affairs Division, coordinates corporate

and divisional planning processes, corporate

performance reporting, industry analysis and

corporate policy.

Within the Finance and Support Services

Division, the Business Performance unit collates

and analyses information for use in a wide

range of key performance indicators at corporate

and divisional level; and the Business Review

and Development unit provides feasibility

assessment of opportunities, project planning

and implementation and business review of

existing activities.

Reporting on EcologicallySustainable DevelopmentThe Corporation is in the process of ensuring

full compliance with the requirements of section

516A of the Environment Protection and

Biodiversity Conservation Act 1999 (refer

Appendix 16, page 186).

Policy Coordination ProjectCorporate Planning and Governance is

continuing to coordinate an inter-Divisional

review of policy-related documentation. The

review, over two financial years, is to ensure

that policy documentation is appropriate, up-

to-date and readily accessible to employees.

It follows the recommendations of a Group

Audit report in 2002.

Records ManagementCorporate Planning and Governance is

coordinating a project, in association with

National Archives of Australia (NAA), to revise

the ABC’s record keeping and information

management practices. These are in accordance

with the NAA methodology, Designing and

Implementing Record Keeping Systems

(DIRKS). The project will conclude within

the next financial year.


Financial SummaryFinancial Outcome 2002-03Consistent with previous years, the ABC

operated within its total sources of funds

and Government appropriations for the

2002-03 financial year.

Sources of Funds 2002-03The ABC was appropriated $807.7m (including

$31m of borrowings) by Government. The ABC

received $130m from other sources, including

ABC Enterprises, in 2002-03.

The Government Appropriation for 2002-03

included funding for the Corporation’s core

operational activities as well as funding for digital

and analog transmission, Capital Use Charge

(CUC) and Digital Capital. The appropriation

also included an equity contribution toward

Digital Phase 1 debt of $32.574m that, whilst

due to the ABC in the 2002-03 financial year,

had not been released by year end.

The chart ‘ABC Source of Funds’ depicts

ABC’s budgeted funds for the various categories

against actual sources for 2002-03 and its

budgeted sources for 2003-04. Relevant to

this comparison is the discontinuation of the

Government’s CUC for all agencies from 1 July

2003 (following recommendations made in the

Budget Estimates and Framework Review),

and the finalisation of the Digital Capital

program in 2002-03.

Application of FundsThe chart ‘Split Actual Expenditure 2002-03’

broadly represents the ABC’s application of funds

by function for the 2002-03 financial year.

3 9

ABC Source of Funds

Split Actual Expenditure 2002–03


Overview

Other 21%

Support Services 8%

Transmission 18%

Television Programs Produced (including News, Current Affairs and Captioning) 28%

Acq

uisitions (including

Multichannel) 6%

Radio Broadcast (including News and Current Affairs) 19%

2003–04 Budget

2002–03 Actual2002–03 Budget

General Appropriation

Analog Transmissions

Digital Transmissions

Capital Use Charge

Digital Capital

Asia Pacific Grant

Enterprises Revenue

Other Revenue

$ millions

Gov

ernm

ent F

undi

ngIn

depe

nden

t

0 100 200 300 400 500 600 700

4 0

Digital Transm

ission 6%

Analog Transmission 9%

New

Media 2%

Television 56%

Radio 27%

ABC Operational Appropriation

03–0

4

02–0

3

01–0

2

00–0

1

99–0

0

98–9

9

97–9

8

96–9

7

95–9

6

94–9

5

93–9

4

92–9

3

91–9

2

90–9

1

89–9

0

88–8

9

87–8

8

86–8

7

85–8

6

$ M

illion

s

Y

$847

$591

500

550

600

650

700

750

800

850 Includes Capital Indexed at 02-03 levels - December 2002

6 months CPI Index - 30.2% reduction from 1985-86 to 2003-04

Appropriation by Outputs 2003–04


Financial Summary (continued)

AppropriationIn November, the ABC submitted its request

for triennial funding from the Federal Government

for 2003-06. The submission proposed an

increase on current base funding for initiatives

aimed at consolidating the position of the ABC

within the Australian community, providing more

content to more people and enabling the

broadcaster to operate more effectively

within a changing multi-platform

communications environment.

The ABC’s Triennial Funding Submission 2003-06

was not successful. The 2003-04 Federal Budget

provided for base funding to be maintained at

the level of the 2000-03 triennium. The ABC’s

Comparative operational funding for the 2003-04

Financial Year is:

$m

Total Appropriation per

Outcomes 1, 2 and 3 742.6

Less Analog Transmission Funding -77.2

Less Digital Transmission Funding -54.0

Less Capital Use Charge Tied Funding 0.0

Less Loan Funds -20.0

Total Comparative Appropriation Funds 591.4

The Year AheadIn response to increasing pressure on the

Corporation’s capital budgets, a comprehensive

strategic review of the ABC’s capital funding

requirements was initiated during the year.

A key deliverable from this review will be the

formulation of a ten-year capital funding strategy.

The final outcome of the review will be reported

in the Annual Report 2003-04.

The chart ‘Appropriation by Outputs 2003-04’

depicts the Corporation’s split of its 2003-04

appropriation by outputs. This split incorporates

a notional attribution of corporate and

support areas.

Comparative AppropriationThe 2002-03 operational funds of $591.40m

represents a decrease in real funding of

$255.42m or 30.2% since 1985-86 as depicted

in the chart ‘ABC Operational Appropriation’.

4 1


Overview

Financial Summary (continued)

4 2

Five Year Analysis

(a) Net cost of services is cost of services less operating revenue.(b) Current assets divided by current liabilities.(c) Equity as a percentage of total assets.

ABC Operating2003 2002 2001 Recast 2000 1999

2000

$’000 $’000 $’000 $’000 $’000 $’000

Cost of Services 822 856 781 147 720 938 673 447 678 631 664 697

Operating Revenue 146 299 148 334 113 573 108 986 112 345 117 554

Net Cost of Services (a) 676 557 632 813 607 365 564 461 566 286 547 143

Revenue from Government 733 469 710 565 622 921 599 158 599 158 542 383

Note: recast 2000 reflects the revised disclosure for TV inventory and the writeback of abnormals per change in accounting standards.

Financial Position2003 2002 2001 Recast 2000 1999

2000

$’000 $’000 $’000 $’000 $’000 $’000

Current Assets 214 501 184 949 161 763 166 072 166 072 130 989

Non-Current Assets 744 564 694 941 653 796 646 705 646 705 624 604

Total Assets 959 065 879 890 815 559 812 777 812 777 755 593

Current Liabilities 209 282 178 751 126 334 180 467 180 467 91 350

Non-Current Liabilities 218 673 208 607 229 604 134 892 134 892 184 365

Total Liabilities 427 955 387 358 355 938 315 359 315 359 275 715

Total Equity 531 110 492 532 459 621 497 418 497 418 479 878

RatiosCurrent Ratio (b) 1.02 1.03 1.28 0.92 0.92 1.43

Equity (c) 55% 56% 56% 61% 61% 64%


Corporate Plan SummaryThe ABC Corporate Plan 2001-04 provides

a contemporary strategic framework within

which to satisfy the requirements of the ABC’s

governing legislation, including the Charter.

The primary functions of the ABC are to inform

and entertain and to provide programs of an

educational nature.

Corporate Objectives acknowledge the

balance of effort between competition for

audiences - the relevance and appeal of ABC

services - and the distinctiveness of programming

and content required by the Charter.

In 2002-03, the ABC achieved 74% of the

performance targets laid out in the Corporate

Plan for the year. It fully achieved 67 of the 90

targets, partially achieved 16 and remained

on track to deliver another one in 2003-04.

The Corporation failed to meet only six of

the 90 targets.

A more detailed summary of the ABC’s

Corporate Plan performance is provided

in Performance Against ABC Corporate

Plan 2001-04 (page 108).

Objective 1Relevance and Appeal

Build and retain audience share and reach

through multi-platform programming and

content that is appreciated by a broad range

of communities of interest and need.

As reported elsewhere in this report, community

support for the ABC remains very high - 89%

of Newspoll respondents believe the national

broadcaster provides a valuable service. This

support flowed through to near-record audiences

for ABC services across television, radio and

new media outputs. Overall audience share

remained strong. The audience reach of ABC

Radio declined slightly as a result of the

performance of the Triple J radio network.

The reach of ABC Television declined slightly

in percentile terms in a slowly contracting

free-to-air market. ABC Online continued its

year-on-year growth in reach and numbers of

users. The Corporation continued to demonstrate

industry leadership through the innovative use

of new media platforms such as digital television,

broadband and interactive applications.

Objective 2Distinctiveness

Enable audiences to be informed, educated

and engaged with the challenges of

contemporary life and with one another,

through distinctive information, cultural and

children’s programming and content.

The distinctiveness of ABC programs and

services is demonstrated through qualities

such as its genre mix, spread of services

throughout Australia and internationally, level

and mix of Australian content, and recognition

through awards and peer review. Eighty-two

per cent of Newspoll respondents believe the

ABC does a good job in being distinctively

4 3

Charter-based programs of wide appeal ... innovative,

comprehensive (ABC Charter)

Programs of specialised interest ... national identity, cultural

diversity, international understanding(ABC Charter)


Overview

Corporate Plan Summary (continued)

4 4

Australian and contributing to national identity.

The Corporation extended further its regional

radio services with the opening of new stations

at Wagin, Western Australia and Ballarat,

Victoria. The international television service,

ABC Asia Pacific, extended its presence and

profile following its launch in December 2001.

However, ABC Television reported a decline of

4.3% to 52.0% in the level of Australian content

broadcast between 6am and midnight. Available

resources were concentrated on the maintenance

of first-run Australian content in evening prime

time between 6pm and midnight.

Objective 3Organisational Capability

Ensure effective alignment of the Charter,

strategic aims and activities of the Corporation

as an independent national broadcaster through

its governance, management and commitment

to a skilled and flexible work force.

The ABC’s continuing strong commitment to

improved corporate governance is reflected in

the performance results against this Objective.

With one exception, all targets were met or were

on track. The Corporation decided not to commit

expenditure on an annual conference for the

ABC management group. The Corporation

achieved significant improvements to governance

control processes, measurement of community

appreciation and complaints management.

The proportion of Newspoll respondents who

believe the ABC is well managed and efficient

increased from 61% to 68% over the

previous year.

Objective 4Value for Money

Achieve access to adequate funding, supported

by continued improvement in the measurable

efficiency and effectiveness of resource utilisation.

In 2002-03, the ABC reported its performance

against corporate performance indicators and

internal divisional performance indicators.

It conducted an Output Pricing Review that

demonstrated, for example, a 32% improvement

in management efficiency since the mid-1990s

(based on the fall in corporate support costs

from 13% to 8% of ABC expenditure). The

ABC continued to host an information repository

on behalf of the eight-member International

Benchmarking Group of public broadcasters.

Program output benefited from the second

year of National Interest Initiatives funding

of $17.8 million per annum over four years.

However, the Parliament did not agree to an

ABC request for additional ongoing funding for

the 2003-06 triennium.

Maximum benefit to the people of Australia ... independence, high standards, integrity, compliance

(ABC Charter)

Maximum benefit to the people of Australia ... comprehensive, efficient

(ABC Charter)


Since the opening night of ABC Television

in 1956, the main production base for ABC

Television was at Gore Hill on Sydney’s north

shore. A move from there was necessary for

many reasons, including the cost of refurbishing

and maintaining the increasingly dilapidated

Gore Hill buildings, the desirability of bringing

together the creative energy of production staff

across the ABC’s media platforms and the

need to equip the ABC to take the lead in

digital production and broadcasting.

Construction of the new Ultimo tower building

element of the Sydney Accommodation Project

was completed on schedule in October 2002.

Following final technical fit out, testing and

staff training, daily television News and Current

Affairs programs went to air live from Ultimo

on 26 January 2003. The first major television

program with a live audience (The Fat) was

broadcast from the new studio in May 2003.

Between November 2002 and June 2003, more

than 1 500 staff were progressively relocated in

a sequence of 290 separate moves to ensure

continuation of the ABC’s 24 hour radio and

television broadcasting activities. Remaining

alterations and modifications to service and

support areas in the original Ultimo building

are scheduled for completion in August 2003.

At Lanceley Place, Gore Hill, redevelopment

of the major production support facility and

drama production centre continued. A new roof

top helipad and hangar were commissioned,

together with new garage and service facilities

for the digital television outside broadcast van

fleet. Drama support functions, including

props, costume and wardrobe storage, were

relocated to new purpose-built accommodation.

New set-making and mechanical workshops

are scheduled for completion in August 2003.

The Ultimo Centre brings together all aspects

of the national broadcaster’s Sydney operations.

Its extensive facilities provide for production

across all media as well as for live performance.

It also includes the national transmission and

distribution centres, and the ABC Film and

Tape Archives which are now housed in

climate-controlled vaults. For the first time the

creative, technical and administrative services

of the ABC in Sydney, together with corporate

management are housed in one centrally

situated building.

The Prime Minister officially opened the building

on 28 November 2002. Around 1 000 staff

and guests attended the historic event which

included the screening of a brief video capturing

the sounds and images of the 70-year history

of the public broadcaster and a performance

by the Sydney Symphony Orchestra.

4 5

Opening of the ABC’s new Ultimo Centre in Sydney

Sydney Accommodat ion Project


Overview

4 6

ABC Executive Directors Geoff Crawford CVODirector of Corporate Affairs

Geoff Crawford joined the ABC as

Director of Corporate Affairs in May 2002.

Prior to that, he worked for twelve years

at Buckingham Palace, the last four as

the Queen’s Press Secretary. He joined the

Department of Foreign Affairs and Trade

in Canberra in 1974, working in a number

of areas within the Department, as well

as undertaking overseas postings to the

Middle East and Pacific regions.

Grahame GrassbyActing Director of ABC Enterprises

(until 10 March 2003, not pictured)

Since joining ABC Enterprises in 1984,

Grahame Grassby has held a number of

senior business management positions.

In 1999, Grahame was appointed General

Manager Consumer Publishing, with

responsibility for the seven Enterprises’

consumer product business units and

associated sales and marketing activities.

Sue HowardDirector of Radio

Sue Howard was born and educated in

Melbourne. Before embarking upon a career

in radio, she worked in the publishing industry

and as a teacher. Sue has worked in the radio

industry for over 20 years, joining the ABC as

a radio presenter in 1986. Between then and

taking a management role in 1995, she has

been a broadcaster with Radio National, ABC

Classic FM and Local Radio. She was appointed

Director of ABC Radio in July 2000.

Helen HughesDirector of Development

Helen Hughes has worked in broadcasting

for more than twenty years, in roles ranging

from Head of News and Current Affairs

Queensland, Network Editor of the 7pm

News Sydney and Development Manager

Local Television. Helen has held her current

role as Director of Development for the past

two years and is based in Brisbane.

Pictured from left to right:

Geoff Crawford, Lynley Marshall, David Pendelton, Colin Knowles,

Colin Palmer, Russell Balding, Helen Hughes, Sandra Levy,

Andrew Lean, Robyn Watts, Max Uechtritz, Sue Howard


Colin KnowlesDirector Technology and Distribution

Prior to joining the ABC in 1997, Colin was

General Manager of Planning and Corporate

at the Australian Broadcasting Authority,

where he was responsible for development

of digital broadcasting strategies for Australia.

He has been actively engaged in regulatory

and engineering developments in digital

broadcasting technology since 1983.

Colin has over 30 years experience in the

broadcasting, telecommunications and

engineering industry and has degrees in

Communications Engineering, Management

and Business Administration.

Andrew LeanDirector of Production Resources

Andrew Lean was appointed Director of

Production Resources in 2000. Prior to joining

the ABC, he was Director of Production for

the Seven Network. Andrew worked for the

Seven Network for 23 years.

Sandra LevyDirector of Television

Sandra Levy was appointed Director

of Television at the ABC in June 2001.

She has an impressive list of production

credits, including A Difficult Woman, Come

In Spinner, True Believers, Police Rescue,

Secret Mens Business, GP; as well as

feature films Serenades, The Well, and High

Tide. Sandra was part of the independent

production house Southern Star for ten

years and before that was ABC Head of

Drama from 1986 to 1989. She has served

as a board member with the Australian Film

Finance Corporation, the Australian Film

Commission and the Australian Film

Television and Radio School.

4 7


Overview

Max UechtritzDirector of News and Current Affairs

Max Uechtritz has been Director of News and

Current Affairs since June 2000. Max joined the

ABC in 1986 after a career in newspapers and

commercial television. As well as a number of

ABC management roles, Max has had extensive

experience as a foreign correspondent for the

ABC, with postings in Washington and London,

and has reported on some of the most significant

international events in recent history.

Robyn WattsDirector of Content Rights Management

Robyn Watts has been Director of Content

Rights Management since July 2000. Robyn

was formerly CEO of Southern Star Sales,

a division she established for the company

and grew to a worldwide distribution force

of 13 000 hours of television programming.

Previously Robyn was Director Marketing and

Distribution at Film Australia and the Tasmanian

Film Corporation. Robyn has been a Board

member of Screenrights, the Australian Film

Television and Radio School, and the Screen

Producers’ Association of Australia.

4 8

ABC Executive Directors (continued)

Lynley MarshallDirector of New Media and Digital Services

Lynley Marshall has over 16 years experience

in the broadcasting industry. Prior to joining the

ABC, Lynley held a series of senior business

positions in New Zealand, including Director of

the Independent Business Units of The Radio

Network, General Manager of The Radio Bureau

and General Manager of TVNZ Enterprises.

Colin PalmerDirector of Human Resources

Colin Palmer joined the ABC in 1974 and went

on to manage industrial relations in the Television

Division in 1988 and later for the entire ABC in

1996. Colin has played a key role in the evolution

and negotiation of ABC enterprise agreements

and acted as the Corporation’s advocate prior

to his appointment as Director of Human

Resources in June 2001. Colin has studied

employment law, organisational behaviour,

personnel management and has senior level

management experience in all disciplines of

human resources.

David PendletonDirector of Finance and Support Services

David Pendleton joined the ABC as General

Manager of Group Audit in 1996. He went

on to become General Manager of Financial

Operations and Accounting, and later Head

of Finance. He was appointed to the position

of Director of Finance and Support Services in

February 2002. Prior to joining the ABC, David

held senior management positions in the public

sector at the NSW Roads and Traffic Authority

and State Super Investment and Management

Corporation.


4 9

Organisational Chart

CONTENT GROUP

InternationalBroadcasting

Division

Director of HumanResources

Colin Palmer

Director of Finance &Support ServicesDavid Pendleton

Director of News& Current Affairs

Max Uechtritz

Director ofDevelopmentHelen Hughes

OPERATIONS SUPPORT GROUP

ABC BOARD

Managing DirectorRussell Balding

Board Secretariat

Director of TelevisionSandra Levy

Director of Radio

Sue Howard

Director ofCorporate AffairsGeoffrey Crawford

Director of ContentRights Management

Robyn Watts

Director of New Media

& Digital ServicesLynley Marshall

ABC EnterprisesDivision

STATE & TERRITORY DIRECTORS

NSW - John GrahamVic - Murray Green

Qld - Chris WordsworthSA - Sandra Winter-Dewhirst

WA - Geoff DuncanTas - Rob Batten

NT - Tony BowdenACT - Liz McGrath

Director ofTechnology &Distribution

Colin Knowles

Director ofProductionResources

Andrew Lean

ABC Advisory Council


Overview

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