A performance audit of the business support and investment activities of the Agency supporting Indigenous-led businesses has found it to be ‘partially effective’.
In his report Indigenous Business Australia’s Business Support and Investment Activities, Auditor-General, Grant Hehir found Indigenous Business Australia (IBA) measured the efficiency of its investment activity but not the efficiency of its business support activity.
“Investment and asset management by IBA can be broadly categorised as being funds management, direct investments or capability development,” Mr Hehir said.
“IBA investment activities are intended to generate financial returns, as well as employment, training and supply chain benefits for Indigenous Australians,” he said.
Mr Hehir said IBA’s governance arrangements were effective except for its identification and management of conflicts of interest.
His report says IBA’s management of business support while its activities were partially effective, in a number of cases its administration of activities was inconsistent with procedural guidance and its record keeping wasn’t sound.
It says IBA’s management of investment activities was effective and its performance measurement and monitoring of business support and investment activities partially effective.
“IBA’s performance reporting is timely, and accurate for investment activities,” Mr Hehir said.
“However, performance reporting for some business support activity is not accurate due to inaccurate or incomplete supporting data.”
The Auditor-General made four recommendations: that IBA update its policies and procedures to manage conflicts of interest; ensure it has complete and accurate customer data; ensure its documentation is complete and complies with record-keeping requirements; and improve business support and investment activity performance reporting.
The Auditor’s online Report can be accessed at this PS News link and his 68-page printed Report at this link.
The Audit team was Glen Ewers, Michael Commens, Clarina Harding and Deborah Jackson.
