Who we are

The Auditor General for Western Australia, Mr Colin Murphy, is a statutory officer with responsibility for auditing the state public sector. The Governor appoints the Auditor General for a non-renewable term of 10 years.

The Auditor General reports directly to Parliament and ultimately the people of Western Australia. This independence is the cornerstone of public sector audit and the Auditor General must be free from pressure, influence or interference that may erode that independence.

Mr Murphy was appointed to the role of Auditor General in June 2007. He is the Accountable Authority and Chief Executive Officer of the Office of the Auditor General, which is a public sector department established to support the Auditor General. Subject to the Auditor General Act 2006 and other written laws, Mr Murphy has complete discretion in the performance of his functions.

What we do

The Auditor General is responsible for:

• auditing the Annual Report on State Finances
• conducting audits of financial statements, controls and key performance indicators for departments, statutory authorities, tertiary institutions and corporatised public sector entities
• delivering audit certifications
• conducting across government benchmarking audits on common business practices
• conducting performance audits and compliance, controls and information system audits to ensure there are adequate controls within agencies; compliance with relevant legislation; and, most importantly, efficiency and effectiveness of agency operations or programs
• reporting the results of audits to Parliament in an objective, competent, insightful and timely manner.

The Office of the Auditor General’s corporate focus continues to be driven by the public sector environment in which we operate. In 2012–13 we conducted annual financial statement audits of:

• 40 government departments
• 92 statutory authorities
• 15 corporate bodies
• 5 universities, their 8 subsidiaries and 10 state training providers
• 2 entities as requested by the Treasurer, 6 agency subsidiaries and 5 cemetery boards
• the Annual Report on State Finances for whole-of-government.

Information about our tabled reports is available on page 42.

Our vision, mission and values

Our operations and professional relationships are built on the foundation of independence exercised with integrity and objectivity.

Our vision is Excellence in auditing for the benefit of Western Australians.

Our mission is To improve public sector performance and accountability by reporting independently to Parliament.

In achieving our vision, mission and our purpose of serving the public interest, we will act in regard to the following values:

• Integrity – we conduct our business in an independent, professional and ethical manner and take an open, honest and fair approach to our stakeholders.
• Quality – we improve the performance of the Office and the public sector by working together to manage our resources, our people and our relationships.
• People – we respect and value the contribution of our people and encourage a cooperative approach to how things get done.

Enabling legislation

The Auditor General is appointed by the Governor under the Auditor General Act 2006. The Office of the Auditor General is established as a department of the public service under the Public Sector Management Act 1994.

As the Accountable Authority, the Auditor General must discharge responsibilities under the Financial Management Act 2006.

Key legislation affecting the Office

In performing its functions, the Office complies with the following relevant laws:

• Auditor General Act 2006
• Public Interest Disclosure Act 2003
• Corruption and Crime Commission Act 2003
• Contaminated Sites Act 2003
• Public Sector Management Act 1994
• Salaries and Allowances Act 1975
• Disability Services Act 1993
• Equal Opportunity Act 1984
• Occupational Safety and Health Act 1984
• Workers’ Compensation and Injury Management Act 1981
• Electoral Act 1907
• Industrial Relations Act 1979
• Minimum Conditions of Employment Act 1993
• State Records Act 2000
• Financial Management Act 2006
• Electronic Transactions Act 2011 and 2003
• State Supply Commission Act 1991
• Corporations Act 2001
• Corporations (Western Australia) Act 1990

In performing its functions, the following laws have some impact on the Office of the Auditor General’s activities:

• Constitution Act 1889
• Constitution Act Amendment Act 1899
• Appropriation Acts
• Financial Agreement Act 1995
• Interpretation Act 1984
• Laws affecting agencies and activities subject to audit by the Auditor General.

Performance management framework

The Office of the Auditor General is a public sector department established to support the Auditor General. The Auditor General is an independent officer of Parliament, and as such reports directly to Parliament and ultimately the people of Western Australia, providing assurance about the efficient and effective delivery of services and the responsible management of the State’s finances.

Senior Officers

 

Colin Murphy BCom, FCPA, FCA, FCIS, PSM

Colin Murphy was appointed Auditor General for Western Australia in June 2007. Colin has extensive experience in finance and administration in State and Commonwealth Government roles. He has held senior positions within the State Government in the Departments of Justice, Treasury and Finance, Land Administration and the Building Management Authority. He has also worked for the Commonwealth Department of Finance in Perth and Washington DC and as Business Manager for Murdoch University. Colin is a member of the Australian Auditing and Assurance Standards Board. He is a Fellow, former Board member and past State President of CPA Australia and a Fellow of Chartered Secretaries Australia and the Institute of Chartered Accountants in Australia. Colin was awarded the Public Service Medal in the 2010 Australia Day Honours and in 2013 was presented with the WA Institute of Public Administration Patrons Award for significant contribution to the State and public sector.

Glen Clarke BBus, FCPA

As Deputy Auditor General, Glen is responsible for the three operational audit divisions of the Office and has worked extensively in all three. He has previously held a senior position in the Commonwealth Department of Veteran’s Affairs and is currently the Deputy Chairman of Bizlink, a not-for-profit organisation that assists people with disabilities to obtain open employment.

Jason Beeley BA Hons (Oxf), Dip Strategic Studies

Jason joined the Office in 2006, following five years as a commercial and general manager in the defence and technology sectors. He previously worked for eight years with the UK National Audit Office in London, conducting and managing value for money studies, mainly of the Ministry of Defence. He was appointed Assistant Auditor General, Performance Audit in 2009, and is Chair of the Australasian Council of Auditors-General Performance Audit Executives Group.

Colin Campbell BSc Ag Econs, MSc NRM, GAICD

Colin has a Bachelor of Science in Agricultural Economics and a Masters Degree in Natural Resource Management. He worked as a Natural Resource Economist in both the public and private sectors before joining the Office in 2002. Colin was appointed as Assistant Auditor General in 2008.

Don Cunninghame BCom, FCPA, CISA

Don is a Fellow of CPA Australia and a Certified Information Systems Auditor. He joined the Office in 1992 after an information systems audit career mainly in the internal audit divisions of large insurance companies. Don has worked in our information systems audit branch, headed our corporate services division, was our chief finance officer and was a director of assurance services before being appointed Assistant Auditor General, Assurance Services in 2008.

Sadie Godfrey MBA (Curtin), Assoc Dip Bus (Accounting)

Sadie has diverse and extensive experience in corporate management, working in the areas of education and industrial relations. She was previously Director of Corporate Services at the Department of the Registrar, Western Australian Industrial Relations Commission before joining the Office as Assistant Auditor General, Strategy, Policy and Corporate Services in 2008.

Michelle Shafizadeh BBus, FCA, Registered Company Auditor

Michelle joined the Office in 2010 and became Assistant Auditor General, Standards and Quality in 2011. She is a Fellow of the Institute of Chartered Accountants and Registered Company Auditor. Prior to joining the Office, Michelle was a member of the National Assurance Services Technical Division of William Buck Chartered Accountants. Michelle was also a Perth Assurance Services Partner of BDO Chartered Accountants where she was employed for over 14 years. She has extensive experience in external financial audit, Corporations Law, Australian Stock Exchange, risk management, governance and review of information systems.

Organisational strategies

We have a comprehensive five year strategic plan that provides us with the focus to deliver on our vision of ‘Excellence in auditing for the benefit of Western Australians’.

Strategic planning is a management tool that helps us to focus our energy to ensure that we are all working toward the same goals and to assess and adjust the Office’s direction in response to a changing environment.

We continue to ensure this Plan is incorporated into our business operations. Our Corporate Executive conducts quarterly strategic planning sessions to track progress and address any emerging opportunities, issues or weaknesses.

The key components of our Strategic Plan, strategic themes and key result areas, as illustrated in Figure 2, are explained in more detail on the following pages.

Appendix 1 shows a summary of our Strategic Plan progress.

Components of our Strategic Plan 2011-16

Key result areas

1. Our clients – Our clients are Parliament and public sector agencies of Western Australia; we continue to maintain our independence to ensure our credibility. We strive to add value to Parliament and client agencies.
2. Our products and services – Our products and services include independent financial statement audits, performance and compliance audits, assurance reports, certifications and the sharing of knowledge and expertise. We aim to increase opportunities for improvement.
3. Our people – We not only want to meet the standards we expect of others, we want to exceed those standards. We aim to continue to build the capacity of the Office.
4. Our business performance – We recognise the need to act on opportunities to improve and enhance the efficiency of our work. We work to shift effort to things that matter.

This Annual Report has been structured around our four key result areas.

Objectives

Broadly describe the results of what we want to achieve in light of needs and relevant issues.

Strategies

Specific, measurable actions and directions designed to reach the objectives established. Our strategies are fulfilled through the creation, continuation, change or elimination of programs.

Measures and targets

Objectives and strategies need to be measurable with clear targets that support the work of our individual divisions.

Risk management

We have a comprehensive risk management framework, which forms an integral part of our strategic planning processes. Our reputation for independence and integral behaviour is among our most valued corporate attributes.

Our strategic progress

Please refer to Appendix 1 for a complete listing of our objectives and strategies, together with a status indicator for each. This acts as a report card on our strategic progress to date.