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Enabling functions
The GRDC's two enabling functions-Corporate Services and Corporate Strategy & Program Support-are responsible for key operational activities in relation to:
- corporate strategy
- information management systems
- corporate communication
- risk management
- quality management
- human resource management
- finance and administration
- corporate governance and legal services.
These activities provide essential support for the corporation's responsibilities under the PIERD Act and the CAC Act, and equip individual output groups to deliver their targeted outputs.
Outlined below and throughout this annual report are key activities undertaken by Corporate Services and Corporate Strategy & Program Support during 2006-07.
Line of business strategies
Following publication of the strategic business plan The Way Forward, the GRDC developed its line of business (LOB-known for reporting purposes as an 'output group') strategic options for the future.
The development of the LOB strategies involved extensive discussions and consultation with the GRDC's stakeholders, including grain growers, grower groups, grower organisations, the Australian Government and research partners.
The LOB strategies laid the foundations for the GRDC's new five-year strategic R&D plan, Prosperity through Innovation, which took effect from 1 July 2007.
Business process review
A key part of The Way Forward business strategy was a commitment to attain a level of 'best operating practice' in the GRDC's core business processes and enabling activities.
The GRDC undertook a comprehensive review of its core business processes in 2006-07. The purpose of this review was to simplify existing sub-processes and activities to increase efficiency and effectiveness while continuing to meet all statutory requirements. The review made several recommendations, which will be implemented during 2007-08.
Portfolio monitoring and reviews
'Portfolio monitoring' is a broad term that covers a range of activities undertaken by the GRDC to ensure that individual projects achieve their objectives and scheduled milestones, and that the R&D portfolio as a whole continues to address industry and government stakeholder priorities. The portfolio in 2006-07 included around seven hundred projects, at various stages of development, spread across four output groups.
The portfolio monitoring system includes internal guidelines and/or procedures for:
- identifying and managing risks associated with individual projects during planning and implementation stages
- evaluating progress reports for project performance against objectives
- developing business cases, terms of reference and time frames for a limited number of formal reviews of targeted investment areas from across the entire portfolio.
At the project level, portfolio monitoring involves an annual assessment of each project, by way of an annual progress report that identifies progress against the aims and milestones of the project. Satisfactory progress reports must be submitted to the corporation before further payments are made to research providers.
Other GRDC portfolio monitoring activities in 2006-07 included:
- external visits to research providers' facilities, including research laboratories and sites where field trials are carried out
- internal monitoring procedures to assess the performance and efficiency of administrative activities associated with managing the large investment portfolio. This includes tracking the status of progress reports against internal performance targets and producing summary reports for management and staff. This contributed to a significant reduction in the number of progress reports remaining outstanding (unprocessed) at 30 June 2007.
Project management system
The GRDC successfully installed and implemented the Clarity Project Management System, a robust and versatile tool capable of handling all GRDC project work, during 2006-07. The project took 14 months to complete, from the issue of the request for tender to full implementation.
The Clarity project consolidated three critical databases and forms environments into one application so that all staff have access to common reporting features and tools. New business processes were also introduced to improve the handling of projects within GRDC.
A concerted effort to train all levels of staff at the GRDC ensured that the new system was universally accepted, and all staff are happy with the system and its performance.
Electronic document and records management system
The GRDC commenced assessment of its records management needs in 2006-07. In March 2007, the corporation issued a request for expression of interest to supply an electronic document and records management system. Procurement and implementation of a system is planned for 2007-08.
Impact assessment
Evaluating the impact of R&D investments and reporting to stakeholders on performance are parts of the GRDC's core business. In 2006-07, the GRDC worked with other rural R&D corporations to develop a common methodology and governance arrangements for quantifying the impacts of R&D investments on each target industry as well as the wider community. An independent and comprehensive impact assessment exercise will commence early in 2007-08.
Portfolio analysis
In 2006-07, the GRDC undertook a comprehensive analysis of its R&D investment portfolio, in terms of:
- project type-pure basic, strategic basic, applied and experimental research
- project size
- research areas
- delivery time to growers of R&D products and services
- financial benefits to growers
- risk
- public good, market failure industry good, and industry good.
The analysis has provided a greater understanding of the characteristics of the current portfolio, and is expected to facilitate the development of a more balanced portfolio.
Grains value driver analysis
The GRDC worked on a grains industry value driver analysis (VDA) during 2006-07, to prioritise the drivers of grower profitability, productivity and sustainability in the grains industry.
As part of the VDA, two agroecological zones,Mallee agroecological zone and South-east Queensland agroecological zone, were studied. Preliminary results from the VDA show that larger farm size, greater land use intensity, superior water use efficiency and higher cash receipts are some of the characteristics of better performing farms.
The VDA is also expected to facilitate the development of a more balanced R&D investment portfolio.