COMMUNITY SERVICES

QUEENSLAND

A Community Services Industry Body Final - 20 December 2012

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CONTENTS

Acronyms............................................................................................................................................................................................ 4

Definitions .......................................................................................................................................................................................... 4

Executive Summary ........................................................................................................................................................................... 6

Background ........................................................................................................................................................................................ 7

Methodology ...................................................................................................................................................................................... 8

Purpose .............................................................................................................................................................................................. 8

Context ............................................................................................................................................................................................... 9

The Community Services Industry ................................................................................................................................................... 11

How should community services be defined? ........................................................................................................................ 11 For profit and not-for-profit organisations ............................................................................................................................. 12 Economic contribution ........................................................................................................................................................ 13 Employment ...................................................................................................................................................................... 14 Comparison with other industries ......................................................................................................................................... 15 Barriers to maximising economic contribution ....................................................................................................................... 16

The Drivers for an Industry Body ..................................................................................................................................................... 17

What can be gained by working together? ............................................................................................................................ 17 The Industry Body in practice .............................................................................................................................................. 20 Addressing concerns ........................................................................................................................................................... 21

Three Way Value Proposition ........................................................................................................................................................... 22

Value for the Industry ......................................................................................................................................................... 23 Value in dealing with other industries ................................................................................................................................... 26 Value in dealing with governments ...................................................................................................................................... 26

Scope of Activities ............................................................................................................................................................................ 27

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Internal relationships .......................................................................................................................................................... 27 External relationships ......................................................................................................................................................... 29

Governance ...................................................................................................................................................................................... 30

The Legal Structure ............................................................................................................................................................ 30 Governance Framework ...................................................................................................................................................... 31

The Industry Body Board ................................................................................................................................................. 31 Advisory Committees ....................................................................................................................................................... 33 Management and Operational Team ................................................................................................................................. 33

Membership...................................................................................................................................................................................... 34

Membership cost structure .................................................................................................................................................. 34 Purchasing additional services ............................................................................................................................................. 37 Corporate partners ............................................................................................................................................................. 38

Economic Model ............................................................................................................................................................................... 39

Expenses ........................................................................................................................................................................... 39 Revenues .......................................................................................................................................................................... 40 Phased establishment ......................................................................................................................................................... 40

Phased Implementation Plan ........................................................................................................................................................... 41

Phase One (years 1-2) ........................................................................................................................................................ 41 Phase Two (years 3-4) ........................................................................................................................................................ 42 Phase Three (year 5 and ongoing) ....................................................................................................................................... 43

Conclusion ........................................................................................................................................................................................ 44

Appendices ....................................................................................................................................................................................... 45

Appendix 1. Risk Analysis .................................................................................................................................................... 45 Appendix 2. Contributing organisations and Steering Committee membership .......................................................................... 50 Appendix 3. Analysis of other industry bodies ...................................................................................................................... 50

Purpose and approach ..................................................................................................................................................... 52 Membership .................................................................................................................................................................... 52 Governance and management structure ............................................................................................................................ 52

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Business Support ............................................................................................................................................................... 57 Advocacy .......................................................................................................................................................................... 57 Communication, Education and Information .......................................................................................................................... 57 Industry Connections .......................................................................................................................................................... 57 Industry Promotion ............................................................................................................................................................. 57 Skills and Labour ............................................................................................................................................................... 57

How We Help Councils .................................................................................................................................................... 58 Membership eligibility ...................................................................................................................................................... 59 Membership benefits ....................................................................................................................................................... 60 How We Help Councils .................................................................................................................................................... 60

Appendix 4. Financial Assumptions ..................................................................................................................................... 63

References ....................................................................................................................................................................................... 63

Acronyms

ABS: Australian Bureau of Statistics CSIB: Community Services Industry Body H&CS Workforce Council: Health and Community Services Workforce Council Industry Body: Community Services Industry Body NFP: Not For Profit QCOSS: Queensland Council of Social Service

Definitions

Industry: A particular form or branch of economic activity associated with a common occupation, product or service (in this case the provision of community services to disadvantaged, vulnerable or at risk Queenslanders) Sector: A distinct subset of an industry, or economy, whose components share similar characteristics (in this case the range of sectors which focus on one or more portion of community service provision, such as aged care or child care or homelessness and poverty)

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Peak body: An organisation or association representing the interests of a certain sector. Peak bodies are recognised by their membership, government and other sectors as the key stakeholder organising, advocating for, and acting on behalf of, their sector. Peak body membership usually consists of smaller organisations with common or related interests who provide goods or services to clients within that sector. Service provider: An organisation, or business, who provides services to a client, either on a for-profit or not-for-profit basis. The primary role of a service provider is localised delivery of services direct to individuals.

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Executive Summary

The provision of community services to Queensland‟s disadvantaged, vulnerable or at-risk is an industry of well over 100,000 employees, which delivers around $5 billion in value-add to the Queensland economy every year through some 2,400 organisations operating in 5,000 locations across the State. The industry‟s direct economic impact is bettered only by the contribution it makes to improving the social fabric of Queensland, a dividend that extends across several generations and forever changes lives. Whilst components of the industry have been well-represented over several decades by a number of peak bodies, the industry as a whole has never had an organisation able to direct its core focus toward „the business of the business‟ that is community services. In order to best address the challenges and opportunities ahead for community services, new cross-industry collaboration is required. This collaboration must recognise and respond to the need for greater sustainability, productivity and connectedness in the way the industry operates. To achieve this, it is proposed that a Community Services Industry Body (CSIB) be established, dedicated to increasing the capacity and viability of community services organisations and securing the long-term future of the Industry in Queensland.

A CSIB will grow „the business of the business‟ by:

Engaging, internally and externally, with organisations and

stakeholders on industry development matters

Influencing and advocating for policy reform, representing the Industry at all levels of government and with other industries

Informing and educating on industry benchmarks, best practice and organisational development

Leading the industry in identifying challenges and acting on opportunities such as increasing productivity and innovation

The CSIB is a three way value proposition. This Report demonstrates how the establishment of a CSIB delivers value within the industry, value in dealing with other industries, and value in dealing with governments.

Importantly, the CSIB will not be engaged in service delivery or other practice-specific issues. Rather, it will be devoted to advancing the business of community services. The result of this work will be improvements to the way the industry operates,

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through better modelling of costs and impacts, greater resilience and adaptability. This Report suggests the CSIB should undertake its role within an efficient and effective governance structure, whilst helping organisations in the industry to do the same. It is proposed that the CSIB operate under commercial arrangements which seek to keep member expenses to a minimum while maximising income opportunities, including corporate partnerships and fee-for-service offerings. The CSIB will offer an affordable membership structure to the estimated 2,400 for-profit and not-for-profit organisations that make up the Community Services industry. It will be particularly mindful of the industry‟s capacity to pay, and focus on generating a return on member‟s investments through advocacy, industry development, leadership and information-provision, as well as providing a range of member services. The full scope of the CSIB‟s proposed activities is outlined within the report, however, in summary:

The Community Services Industry Body IS:

Independent (financially and from governments)

Funded predominately by members

A unified voice for the Community Services Industry to external stakeholders including governments, business and community

Focussed on delivering practical outcomes for organisations

Comprised of both not-for-profit and for-profit organisations

A crucial resource for employers within the industry The Community Services Industry Body is NOT:

Replacing the role of the state peak bodies

Competing with existing organisations for core funding

Focused on direct service provision The establishment of an overarching Industry Body is not without its risks. These are outlined toward the end of this report, alongside proposed mitigations. It is proposed that implementation of a CSIB be phased over a five year period, to allow the Body to be set up with the required human resources and organisational infrastructure to establish and grow a revenue base, deliver value and service to its membership and be sustainable without reliance on government funding. The establishment of an overarching CSIB will help chart a course toward greater sustainability, influence and innovation from the perspective of the business of community services. It represents a critical investment in the long-term capacity of the industry. The value captured by such an endeavour is simply too great to ignore.

Background

The Community Services industry makes a significant contribution to Queensland‟s social and economic wellbeing. The industry,

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however, has been significantly underrepresented in the economic and structural reform processes that underpin its sustainability. The 2012 Working Together Green Paper, commissioned by the Queensland Community Services Futures Forum, identified the need for the Community Services industry to move further toward cross-industry collaboration, to take charge of a reform agenda which engages and influences governments, business and community leaders.

In order to further this aim, a group of ten community services agencies have invested in the development of this report, which provides a framework for the establishment of an Industry Body. Contributing organisations and Steering Committee membership are outlined at Appendix 2.

Methodology

The CSIB project commenced in August 2012, with research being undertaken into models, adopted by similar bodies, across a diverse range of industries in Queensland. This included an assessment of company structures, governance structures, membership structures, the purpose of industry bodies and their benefits to members. This desktop assessment is detailed at Appendix 3.

A series of consultation workshops and several interviews occurred in September 2012 with internal, external and regional stakeholders. The views expressed in this consultation were then conveyed to the Steering Committee and further refined.

Purpose

The purpose of this report is to outline the value proposition and business case for implementing a CSIB. Furthermore it is an assessment of what the Community Services industry is, why an Industry Body is required and the value it brings, as well as how such an entity should be established.

The report starts by exploring the drivers behind the establishment of an Industry Body, spends time outlining the value proposition, and concludes by examining the practical considerations associated with the body‟s formation.

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Context

Traditionally, the concept of „industry‟ has been defined as a particular form or branch of economic activity associated with a common occupation, product or service. We usually associate industries as for-profit groupings of companies who share a defined economic output, for example the mining industry, the construction industry or the tourism industry. Industry associations have long existed as both a consequence of, and a driver for, collective industry identity. Such entities have sustained the ability to engage, advocate, inform and lead on behalf of their industry, constantly adapting to change and innovating to meet the demands of the economy, society and their membership. When service to community exists as the primary driver, however, society tends to see such organisations as a collection of „stakeholders‟ or „non-government organisations‟, rather than a collective industry. This is partly because organisational capacity has traditionally centred around peak bodies, which represent distinct sectors within community services usually related to a particular cause, be it homelessness, children or the elderly. It is also partly because governments and other industries have tended to view the outputs from community services as being somewhat apart from traditional economic activity and instead related to a good and noble cause, an assortment of charitable pursuits.

The challenge for the diverse array of sectors that provide community services is to recognise (internally and externally) that, not only are we a collective industry, but a growing one whose economic activity is central to Queensland‟s future prosperity. The provision of assistance to at-risk or disadvantaged Queenslanders is the central industry identity that exists across all facets of community services.

The industry‟s output, an improvement to the lives of our most vulnerable citizens, has a two-fold impact on the economy: Firstly, the business of undertaking community services directly contributes around $5 billion in value-add to the Queensland economy every year.i Secondly, services which help improve the lot of Queensland‟s disadvantaged provide an indirect boost to the economy by lifting employment, increasing productivity and reducing the call on government assistance.

If we acknowledge that community services are rightfully an industry, we must also recognise that the demands placed upon it have never been greater. The community‟s need for (and access to) quality community services is continuing to increase yet the industry‟s access to funding is continuing to tighten. Industry wage and training costs have increased yet workforce retention remains a key concern. At the same time there is an ever-increasing emphasis on reporting requirements, with up to 60% of the compliance burden attributable to meeting the reporting

obligations of funders.ii

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In sum – the industry is now providing more assistance, with less money, more overheads and less time. A series of significant policy and regulatory issues with industry-wide reach have confronted community services bodies in recent years. These have included the landmark award modernisation and wage equity campaigns and numerous Productivity Commission findings, including the report into the Contribution of the Not-for-Profit Sector, Disability and Support Report and Caring for Older Australians Report. In coming years, additional changes will include the establishment of the Australian Charities and Not-for-Profit Commission, regulatory reform and the introduction of a National Disability Insurance Scheme. While certainly welcome, these and many more changes have all required the commitment of significant time and resources from a multitude of organisations, each making assessments from both their own perspective as well as the wider industry‟s. There is increased industry-wide pressure to deliver more with less, to demonstrate value for money and to compete for labour.

In recent years the industry has taken a number of significant steps to adapt to the increasing accountability procedures placed around funding, including increased regulatory and reporting requirements, and has used this as a force for positive change. Collaboration between peak bodies has never been greater, while coordination of service-delivery on the ground has become more common place as competition and consumer choice increases. There is a growing requirement for quality systems and sophisticated models to support the services being delivered.

In response, efficiencies in the way the industry operates and the search for increased effectiveness in advocacy have been clear

and positive trends. The Working Together Green Paper (2012) provides a snapshot of this activity as well as prescriptions for further collaboration. The Queensland Community Services Sector Charter, The Queensland Compact Towards a Fairer Queensland, QCOSS‟ Community Door initiative and the Community Services Futures Forum, are all examples of where a series of common aims and approaches have been set down and committed to by a united industry. In addition, a number of less formal „communities of practice‟ have evolved over time within sections of the industry, often reflecting the practical need to pool resources to run campaigns and attract funding.

Further consolidation of this broad collaborative effort is required to complete the step change towards internal and external recognition of Community Services as an „industry‟ in the economy. An overarching CSIB will be well placed to tackle sustainability, influence and innovation from the perspective of the business of community services. In doing so, however, it must be remembered that the ultimate aim from all such activities is to give peak bodies and local organisations greater capacity to enhance the quality of service-delivery in their communities, improving the lives of disadvantaged Queenslanders.

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The Community Services Industry

How should community services be defined? The Community Services industry includes a variety of organisations whose primary goal is to support individual and community well-being through a range of care, support, education, welfare and related services. There is a range of definitions already in use to describe the sector. As the Health and Community Services Workforce Council suggests, the industry “…exists in every community throughout Queensland, providing services across the population, often focussing on meeting the needs of the sick, frail, vulnerable and at-risk members of the community”.iii

The Queensland Council of Social Services shares a similar conceptualisation of the industry, associating it with the overarching aim of working towards “a fair, inclusive and sustainable Queensland” by providing “a voice for and with

Queenslanders affected by poverty and inequality”.iv Within the industry there is a wide range of sectors, each addressing one or more of the sub-sets of disadvantage, inequality or vulnerability that the industry collectively exists to combat.

Components of the Community Services industry include, but are not limited to:

Aged and community care and respite services

Disability services

Housing and homelessness

Mental health services

Domestic violence services

Family planning and sexual health services

Child protection services

Counselling and mediation services

Drug and alcohol abuse services

Early childhood services

Youth services

Gay, lesbian, bisexual and transgender services

Women‟s services

Employment and training support services

Legal aid services

Financial counselling services The industry also includes organisations that work proactively in prevention, early intervention, intensive support, continuing care, community development, research and advocacy roles to improve the lives of Queenslanders.

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For profit and not-for-profit organisations A variety of corporate structures exist within the Community Services industry. Organisations make the choice to be for-profit or not-for-profit based on a range of considerations which include: history of the organisation, its mission, its eligibility for concessional taxation treatments, its differing sources of funding and the conditions imposed by the funder, as well as broader legal, financial and ethical obligations. It is no longer a simple distinction to say that for-profit organisations are primarily driven by returns on investment, while not-for-profits exist solely to serve immediate community interests. Today some not-for-profit organisations are making money, over and above the costs of simply operating their service, then reinvesting this surplus back into growing their organisation or sector for the long term (often in quite entrepreneurial ways). Similarly, some for-profit organisations withhold their legal right to take dividends and instead reinvest their profits into expanding their services to the community. v

This is not to say for-profit organisations are not concerned with making money. Rather, they increasingly achieve this dividend indirectly, through reinvestments that broaden their service base, by increasing the quality of their infrastructure and by allowing clients to choose user-pays options, such as is the case with many private sector aged care providers. The debate between inclusion of not-for-profit and for-profit organisations in a CSIB can also be re-cast as a consideration around whether an organisation could be considered a „social enterprise‟ or not. Such organisations share a core set of common

features, best defined in the Australian Centre for Philanthropy and Non-profit Studies‟ FACES Report; Social enterprises are organisations that: Are led by an economic, social, cultural, or environmental

mission consistent with a public or community benefit;

Trade to fulfil their mission1;

Derive a substantial portion of their income from trade2; and

Reinvest the majority of their profit/surplus in the fulfilment of their mission.vi

Examples of such social enterprises include The Big Issue street magazine or Melbourne‟s „StrEAT‟ program which provides

homeless young people a chance to make money as street vendors of healthy fast food. Both programs survive off sponsorship from the corporate sector, as well as delivering income for the vendors who sell their products, but could not be considered „for-profit‟ in the traditional sense. If we accept that it is the community service outcomes that actually define the industry, then it is recommended that a genuinely inclusive Industry Body be comprised of both for-profit and not-for-profit organisations.

1 Where trade is defined as the organised exchange of goods and services, including: *

monetary, non-monetary and alternative currency transactions, where these are sustained activities of an enterprise; contractual sales to governments, where there has been an open tender process; and * trade within member-based organisations, where membership is open and voluntary or where membership serves a traditionally marginalised social group. 2

Operationalised as 50% or more for ventures that are more than five years from start-up,

25% or more for ventures that are three to five years from start-up, and demonstrable intention to trade for ventures that are less than two years from start-up.

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Economic contribution The Community Services industry‟s economic contribution is perennially undervalued. This is partly due to a lack of data sets which are uncoupled from the healthcare industry, and partly due to the difficulties in measuring the outcomes of service provision.

What we do know is that the business of providing community services in Queensland is large and growing. An estimated 1,400 not-for-profit (not-for-divided) businesses and 1,000 for-profit (for-profit) businesses operate in more than 5,000 Queensland

locations. vii In the most comprehensive analysis compiled by the ABS on the industry, during 2008-09 nearly $4.6 billion was spent on direct community services activities across Queensland, while a further

$645 million was spent on indirect community services activities.viii More recent data compiled by REMPLAN (February 2012), indicates the Residential Care & Social Assistance Services sector contributes more than $5.1 billion, or 2.1 % of total value added by all industries across Queensland. In addition, the Residential Care & Social Assistance Services sector contributes more than $4.5 billion in annual wages and salaries, as well as purchasing goods and services to the value of more than $1

billion annually from other industries within Queensland.ix Of course, there is an equally significant but less immediately definable economic contribution that results from community service provision and intervention. This includes the savings to the economy that stem from reducing disadvantage, reducing the

call on government funding across a broad spectrum that includes everything from social housing, to employment assistance, to crime prevention expenditure. Conversely, there is a dividend to the economy from increasing the education, skills and training capacity of disadvantaged Queenslanders.

Some of these economic contributions come indirectly through access to life-changing services, such as:

The 310,000 cases of financial and material assistance

provided by the Industry annually in Queensland

More than 1.1 million cases of individual and family support provided annually

Job placement and support for nearly 31,000 Queenslanders with a disability

Childcare support provided for an average of 108,000 children every day

Residential care support provided for an average of 33,000 residents every dayx

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Employment As at May 2011, the Community Services industry was estimated

to directly employ more than 114,000 Queenslanders3,

representing 4.9% of the entire State workforce.xi Extrapolating the latest ABS Labour Force data (August 2012), it can be assumed that the industry‟s total employment count is now more than 117,800 Queenslanders, or more than 5% of today‟s State

workforce.4 xii Previous estimates have consistently put the total industry figure at over 100,000 paid employees, with approximately 80% involved in direct service delivery. Additionally, some 66,000 volunteers dedicate on average nearly 93 hours every year towards

community services.xiii Not only has the community services workforce continued to grow considerably over the last decade, but it has shown remarkable resilience to external pressures, expanding despite the global financial crisis and the downturns experienced in other parts of the Queensland economy. The significance of the Community Services industry will continue to increase with the ageing of the population and the unfortunate widening of the income gap between rich and poor, increasing the

3 As ABS Labour Force data is aggregated, this total workforce figure is based on the

proportion of the entire ABS ‘Health Care and Social Assistance’ employment category who are recorded as working in the Residential Care Services and Social Assistance Services sub-categories (41.3%). 4 Assuming that community services has continued to make up 41.3% of the total ABS Health Care and Social Assistance employment category in Queensland

number of Queenslanders requiring assistance. Statistics show that combined, employment in the health and community services industries are expected to grow by 4.5% per annum over the five years to 2016. The two industries will account for nearly one in four new Queensland jobs over this period, the highest proportion of any industry, with a proportional annual employment growth nearly five times greater than the mining industry.xiv

Despite the industry‟s growing size and high skill base5, community services face a number of employment challenges. This includes wages that continue to be lower than other sectors of the economy, placing pressure on retention. There are also unique demographic features of the community services sector, including high proportions of ageing, part-time and volunteer workers.

The lack of definitive data on the size of the Community Services industry continues to be a concern, underscoring the need for a central body which can undertake such baseline data collection and provide a single point of truth on the Industry‟s economic and demographic contribution to Queensland.

5 Nearly two-thirds of all community services industry workers hold a post-school

qualification – Norton (2010)

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Comparison with other industries In many respects, the Community Services industry is as significant, if not more significant, than Queensland‟s higher profile industries. Community services directly employs roughly twice as many Queenslanders than mining (an industry with an estimated 67,500 direct employees) and is also a much more significant job producer than agriculture (which has approximately 74,300 direct employees). The Community Services industry has roughly half as many employees as Queensland‟s retail sector (250,400 jobs) and is around three-quarters the size of the Queensland tourism industry (162,100 jobs).6 xv

Economically, if we assume a gross industry contribution to the Queensland economy of more than $5 billion annually, the Community Services industry has an impact slightly less than that of the tourism (accommodation and food services) industry, which contributed $6.3 billion to Queensland‟s economy in 2010-11. In comparison, agriculture contributed around $8 billion, retail $13.5

billion and mining $24 billion.xvi These figures highlight that community services is a relatively employment-intensive industry, but due to the nature of the work undertaken, does not generate as much raw economic output as industries which primarily sell goods and services for profit.

6 ABS Labour Force figures averaged over the last four quarters to August 2012

Many data sets measure „health and community services‟ as a combined industry category.

Collectively, health and community services is Queensland‟s largest employer, providing jobs for 282,854 people or more than

12% of the State‟s total labour market as at February 2012.

It is estimated that approximately 58.7% of the H&CS workforce is employed in Hospitals, Medical and Other Health Care Services (health industry), and 41.3% work in Residential Care Services and Social Assistance Services (Community Services industry).

Combined, the health and community services industries:

Inject more than $16.2 billion to the Queensland economy each year

Pay more than $13.5 billion in wages and salaries Attract volunteer and carer contributions, estimated to be

worth $10.5 billion annually Purchase around $2 billion worth of goods and services

annually from other Queensland industries and businesses Created 20,400 new jobs in Queensland in 2011

representing more than 80% of Queensland‟s job growth of 25,400

Created 71,900 new jobs or 28 per cent of the state‟s total

employment growth over five years to 2011xvii

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Barriers to maximising economic contribution There are a number of barriers to maximising the industry‟s economic contribution. Two in particular are unique to the community services sector and relatively immovable. Firstly, the high proportion of income derived from government funding and the expectation that the vast majority of this be directed to immediate service-delivery priorities. Secondly, the industry‟s primary mission being to address disadvantage through community services, rather than return on investment. The two are mutually reinforcing and not necessarily „bad‟ barriers; rather they are a product of the industry‟s historical development in Australia and reflect the nature of the services provided. It is certainly the industry‟s aim, however, to minimise the negative impacts of these barriers. This is done through advocacy for broadened government funding, diversification of income sources, efficiencies in „back-of-house‟ operations and a focus on more clearly defining the industry‟s economic outputs. Other barriers exist that are less structural and able to be shifted over time. A CSIB will be well placed to do the heavy lifting required to address a range of issues, which include:

Increased regulatory burden from governments

Increased reporting and compliance burden from all funders

Increased staff attraction and training costs

Decreased staff retention

Increased expectations and accountability

Lack of data, and therefore acknowledgement, of the industry‟s profile and footprint (including present and future size, scope, outputs and impact)

Lack of front-end incorporation of industry needs into the economic and social planning agendas of all levels of government

Lack of community services infrastructure and support networks in regional Queensland

Limited understanding of career pathways and incorporation into formal VET system

Underpinning much of these issues are capacity and resource constraints. The industry‟s economic contribution would be larger and more properly understood, for instance, if it had greater income available to address elements such as workforce planning, business development, organisational and managerial capacity. Lack of available income for elements outside of direct service-delivery reduces the industry‟s ability to respond to the above challenges, curbs its timeliness in addressing changing industry demand and ultimately impacts its ability to meet client needs. It is a cycle.

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The Drivers for an Industry Body

What can be gained by working together? If we acknowledge that most of the above barriers to the industry‟s future development are able to be lifted, then we need to examine the best way to bring about this change. Earlier, this Report outlined some of the strong collaborations that have already occurred in recent years. In almost every sector of the industry organisations and peak bodies now come together on a regular basis, often around specific focus areas or interests. Examples include Workforce Strategy groups that have developed around community mental health, child protection and aged/community care, as well as the Homelessness Community Action Plans. These initiatives have helped maximise efficiency and effectiveness in tackling particular issues within the industry. An Industry Body would build on the collaborations that have occurred to date. It will tackle what is perhaps the industry‟s biggest challenge – business development – an investment in growing the capacity of every organisation that provides community services.

Through the initial consultation process we asked a range of industry leaders what could be gained from working together.

It was acknowledged that an Industry Body would build innovation and sustainability in how the industry does business. Leveraging the industry‟s existing base of skills and expertise, a CSIB would help community services grow in the following ways:

grow sustainability through advocacy and agenda setting

grow productivity through innovation and professional development

grow connectedness through leadership and information sharing

Drilling down on these themes, the broad spectrum of potential benefits gained from working together under a CSIB includes:

Sustainability

Enhancing public awareness of the value and contribution of the industry

Raising the industry‟s external profile in order to help shape our own thinking about ourselves

Changing the community perception of both not-for-profits and for-profits

Engaging with industries and businesses as equals, not dependents

Advocating to governments as a united industry, on industry-wide issues such as regulation and compliance

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Ensuring our stakeholders, other industries and governments, consider community services in their social and economic planning

Leading the industry‟s reform agenda, not responding to government interpretations of what this agenda should be

Conveying industry priorities to governments

Productivity

Leading our own innovation agenda, where diversification of income sources is supported and cost pressures are unpacked

Bringing a whole-of-industry approach to workforce planning

Driving efficiencies in compliance and reporting so that member organisations have more time and funds to direct to service delivery

Reducing back-of-house costs by improving operational capacity, including educating organisations about administration models, financial and IT systems

Partnering with research bodies to provide an industry-wide perspective on research around issues such as value for money in service delivery

Working with the corporate sector to build a regard for community services in the business community and potentially drive new funding partnerships

Connectedness

Understanding the industry‟s diverse components, mapping

organisations and their roles

Improving communication across the industry, including better information flows, reduced duplication and central collation and distribution of data about the size, diversity and significance of the industry

Establishing a two-way referral system whereby peak bodies can refer issues to the CSIB to advance, or the CSIB can refer issues to a peak body to lead, acknowledging their expertise and experience with the field

Working towards consistent terminology and appropriate pricing structures across the industry

Hearing the needs of local community services practitioners via a road trip throughout Queensland, particularly regional, rural and remote locations

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The Industry Body in practice A practical example of where an Industry Body could utilise all three of the above objectives to better position community services, is in the opening up of the Galilee Basin as Queensland‟s next region to experience a mining boom. All levels of government are increasingly focusing on addressing the „cumulative impacts‟ of developing new resource regions, and with the population of tiny towns like Alpha in the Galilee Basin set to expand by up to six times its current size within the next decade, it is imperative that the provision of community services, from child care to mental health services to family counselling, are all adequately planned for and provided. It is therefore critical that the Community Services industry not only has a seat at the table when cumulative impacts are being considered, but is positioned as an equal alongside governments and other industries in the social and economic planning process. It is critical that an industry-wide perspective is taken, recognising that the sustainability of the industry depends on powerful advocacy. It is also critical that the industry is able to demonstrate productivity and innovation, so that companies and governments recognise that any funding provided will be efficiently and effectively delivered by organisations on-the-ground. Finally, it is critical that the industry is able to demonstrate its connectedness in delivering a single voice about how growth

should be managed in regions like the Galilee Basin, to ensure no Queenslander is left behind. Throughout this process, an Industry Body would provide much more than a seat at the table. It demonstrates that we are a powerful, innovative industry made up of competent, connected organisations that can deliver local services to the people who need them most.

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Addressing concerns There will no doubt be those with reservations, internally and externally, who question the need for an Industry Body. Arguments against an Industry Body may include the fact that existing peak bodies are already successful at advancing their interests. Some organisations may feel that the CSIB will dilute the strength of their own sectoral advocacy. Others may argue that existing collaborations like those described above are already working, “so why reinvent the wheel?”. Some may suggest that establishing an industry-wide body is too costly at a point when most sectors are already facing cost pressures in their back-of-house operations. Self-identity is another potential concern. Some organisations may not currently consider themselves part of a „community services industry‟. Instead, they may see themselves as being part of a smaller (or larger) sector that more closely aligns to their particular service delivery. For a collection of organisations that have previously celebrated their uniqueness from the commercial world, some may view „industry‟ as being a concept better left to those selling products for profit.

These are all legitimate concerns, which must be respected and addressed through the value proposition. Arguments against the establishment of an Industry Body can be broadly grouped as reflecting: concerns about disrupting the status quo

concerns about value (questioning the effectiveness of a new body)

concerns about price (cost of membership vs. benefits) It is likely that peak bodies will be most concerned about what the CSIB would mean for the status quo. Large organisations (including peak bodies) and for-profit operators are likely to be more concerned with value and industry growth, while small to medium sized providers are likely to be more interested in the direct cost vs. benefit scenario as it relates to their particular circumstances.

It is important to emphasise at the outset that, rather than being an attack on the status quo, the CSIB presents an unprecedented opportunity to build on the collaborations of the past and further empower the existing work of peak bodies. An entity which can concentrate on advancing the business of community services and drive greater efficiency and effectiveness in the way the industry operates, should be viewed as the ultimate collaboration. An Industry Body will act on the momentum for change that has developed over recent years, as reflected in the Working Together Green Paper (2012) and Queensland Compact (2011).

Rather than reinventing the wheel, an Industry Body allows existing organisations to further sharpen their focus on the job of tackling disadvantage, while a body dedicated to industry development works on equipping them with more powerful tools of trade. If established correctly, as the model proposed in the following pages intends, then the costs of an Industry Body will be

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recoverable several times over through the value proposition and benefits delivered to its membership.

Three Way Value Proposition

In an environment where resources are scant and the ability of organisations to direct money towards this initiative is limited, it is critical that the value proposition is clearly understood across the industry and beyond. It is likely that a proportion of the Industry Body‟s target membership base will demand a clear articulation of the expected return on their investment. Practical, prescriptive examples that demonstrate the future value-add to their organisation and their client base is crucial to the success of the venture. A three way value proposition shows how the Community Services Industry Body will build the long-term viability of community services in Queensland through sustainable approaches to business management.

Advocacy - a collective voice to drive reform agendas

Business Development - innovation, productivity and organisational capacity-building

Connectedness - leadership and information sharing

Member Services - including referral and advisory service on business matters

Access - a single point of entry to the Community Services industry on matters such as planning, development, partnering and investment

Access - a single point of entry on policy reform impacting on community services business

Accountability- improved efficiency in the management and delivery of Community Services industry on matters such as planning, development, partnering and investment

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Value for the Industry When potential members consider value, many do so from the perspective of direct benefits to their own organisation and its clients. This is particularly the case for small to medium sized, localised organisations. The value proposition therefore needs to answer the „what‟s in it for me‟ question. When surveyed about the challenges facing the not-for-profit sector in 2012, key decision-makers within a range of industry organisations (Australia-wide) mentioned three major concerns; 60.9% listed „funding insecurity‟, 53.4% listed „retaining high performing staff‟ and 47.7% listed „attracting suitable staff‟.xviii

Considering the issues that organisations are most likely to want addressed through an Industry Body, the value of establishing the CSIB can be best demonstrated in response to the following questions:

The value of an Industry Body is its ability to tackle funding uncertainty and effectiveness on multiple fronts. Directly, the CSIB will be a single, powerful advocate for funding from all levels of government. It will act with a united voice to convey the size and contribution of the industry and demand a greater say in social and economic planning for Queensland‟s future. Advocacy will also extend to the private sector, where the Industry Body will concentrate on attracting philanthropy, business investment and corporate partners, diversifying the industry‟s income mix. Indirectly, the CSIB will help free up more income for use in service-delivery. It will do this by helping its members drive efficiencies in back-of-house operations, tackling the compliance and reporting burden and encouraging innovation and productivity in how community service organisations run their businesses. The CSIB will not compete with peak bodies in their core business and will not be involved in direct service provision to clients. Rather, it will focus on lifting the collective capacity of its members to undertake community services.

How will an Industry Body value add to my organisation?

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The value of an Industry Body is its ability to bring a long-term, industry-wide approach to business development. A component of this is workforce planning. If an industry-wide approach is not adopted in relation to business development, attraction and retention will always be an issue. Being able to focus on the business of community services allows an Industry Body to examine the pressures facing staff attraction and retention, including continued wage disparity with other industries, and develop strategic solutions. It is expected that the Industry Body will work closely with organisations like the Health and Community Services Workforce Council to address issues such as training provision and better identification of career pathways.

The value of an Industry Body is its ability to seek out efficiencies in the business of providing community services, minimising the costs of running organisations and maximising the resources available to existing organisations. An Industry Body will focus on lifting the compliance burden away from the front-line, as well as streamlining the way the back-of-house operates. An Industry Body will achieve this by advocating for regulatory reforms that improve the industry‟s sustainability. This includes reducing red tape, as well as streamlining and standardising reporting templates. The CSIB will also focus on increasing productivity by leading an industry innovation agenda. Improving operational and managerial capacity also means greater efficiencies in how the organisation is run. An Industry Body can over time provide organisations with access to governance models, training and advice, as well as access to shared services such as financial and IT systems and group-buy purchasing, driving back-of-house costs down. Perhaps the greatest cost-saving, however, will come through the redistribution of time. An Industry Body will allow individual peak bodies to focus on coordinating and improving service-delivery within their sectors, while the Industry Body takes the lead on

How will an Industry Body help improve workforce planning?

How will an Industry Body help drive my organisation’s costs

down?

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issues such as business development, policy advocacy, regulatory reform and access to funding.

Part of the value of an Industry Body is the wide range of free and discounted member services that will be available. Some of these will be immediate and able to be accessed „on-demand‟, while other benefits will accrue over time through improvements to the systems and processes within the industry and its organisations.

Member benefits on-demand are likely to include:

A responsive advice and referral service

Advocacy and representation on industry-wide issues that affect your organisation

Access to industry service-mapping

Subscription to industry publications and newsletters

Access to operational models, shared services and group-buy services

Access to data and research about the industry‟s „current state of play‟

Discounts on fee-for-service and events

Over time, accrued member benefits are likely to include:

A productivity dividend through efficiency and innovation

A sustainability dividend through advocacy which helps stabilise the industry‟s future by increasing industry income and decreasing cost pressures.

The opportunity to contribute to policy development, reform agenda and campaigns

A single point of truth on the size, scope and value of the industry, with trend data collected that maps changes over time

Standardisation of measurement systems, unit prices, and industry terminology

A growing connectedness with other community services organisations, which are similarly represented by a proactive Industry Body who is „fighting the good fight‟ and lifting the industry‟s public profile

What benefits do I get for being a member?

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Value in dealing with other industries Access is a key consideration for other industries when seeking out the Community Services industry for relationship-building, partnerships or consultation. Too often they are pulled in a multitude of directions, often straight into sectoral and local sub-components of the industry, without the opportunity to first engage at a strategic level. The value of a CSIB to other industries, including business associations like the Chamber of Commerce and the Australian Industry Group, is a single point of entry to the Community Services industry on matters such as planning, development, partnering and investment. A „one right door‟ approach. An Industry Body can also help facilitate a change of mind-set in other industries about how they engage with community services. A good example is the consultation process undertaken by industries such as mining, construction and property when they consider growth planning for major projects. In such instances, the CSIB‟s benefit is three fold. Firstly, it helps other industries appreciate the size, scope and value of community services to Queensland‟s social and economic well-being. Secondly, it brings about a recognition that having the Community Services industry represented when planning for growth – be it a major project, new resource region or greenfield housing development – is critical to the project‟s ultimate success and community acceptance. Thirdly, it helps these industries develop a confidence that when they do engage with the Community Services industry; it speaks with authority and a united voice.

For the Community Services industry itself, there is an added value to dealing with other industries through a single body. It maximises the ability to leverage investment and funding opportunities by funnelling potential capital through a central point of entry to the industry.

Value in dealing with governments The value proposition in the Industry Body‟s relationship with government is two-fold, improving both access and accountability. Access is again a key benefit for the industry and governments of all levels. The latter will utilise the CSIB as a single entry point through which to develop, debate, negotiate and consult on policy reform at the local, state and national level which impacts the business of Queensland community services. The industry, in turn, should receive greater access to political leadership and public service decision-makers by conveying the industry‟s agendas through a single body. The other benefit is in accountability. Governments are increasingly requiring that funding be tied to definable outputs, seeking out maximum benefit for minimum cost. Too often, however, this simply causes a rise in the reporting burden within industry. An Industry Body will help lift the pressure of accountability from both sides, by providing governments with an assurance that the industry is redoubling its efforts to obtain greater efficiencies. The CSIB will also provide governments with direct intelligence about value for money, by undertaking research and publishing data on the industry‟s growing size, scope and value, and

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demonstrating how this is translating to improved service-delivery outcomes for Queenslanders.

Scope of Activities

Internal relationships The activities undertaken by the Community Services Industry Body will be strategic and complementary to, not in competition with, with the work undertaken by peak bodies or service providers. The relationship within the industry will be mutually reinforcing, as depicted below, rather than top-down.

Once established CSIB will be responsible for activities such as:

Primary advocacy for industry-wide issues, including the need

for increased funding and State and Federal agendas, such as taxation reform

Development of appropriate models for regulatory and procurement reform, and advocating for these

Implementation of industry development programs, including business and governance improvement models

Championing industry productivity and innovation, including workforce planning

Research and data collection for a sustainable industry, including industry profile, cost of service delivery and back of house efficiencies

Two-way referral services to and from peak bodies depending on the nature of the issue (industry-wide or sector-specific), including advocacy and research

Provision of Member services (as described previously)

This full suite of responsibilities will be phased in over time and are dependent on adequate resourcing through the support of members.

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Peak bodies will continue to be responsible for activities such as:

Advocacy on sector-specific issues

Oversight of service delivery within the sector

Focusing on initiatives that improve outcomes for clients within the sector, including sectoral productivity and innovation

Managing their own income and expenditure

Collaborations with like-minded organisations within the sector

Two-way referral services to and from Community Services Industry Body depending on nature of issue (industry-wide or sector-specific), including advocacy and research

Sector-specific events, sponsorship and activities

Service providers will continue to be responsible for activities such as:

Meeting the direct needs of their community and clients

through delivery of community services to disadvantaged, vulnerable or at risk people.

Advocacy on local issues to peak bodies or organisations within their sector

Managing their own income and expenditure

Local collaborations and referral services to and from other local community service groups to best meet local client needs

Recognising the need for on-the-ground flexibility, responsiveness and place-based approaches

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External relationships

For the Community Services Industry Body to operate effectively, it must incorporate itself into the structures and processes that already exist within the industry.

Clients While industry development is the key focus of the Industry Body, clients remain at the core of community services – without them there is no industry. Although the CSIB will not undertake or oversee any service-delivery, as the below diagram suggests the Industry Body must be incorporated into the successful „no wrong door‟ approach to ensuring all client needs are met. There will be no promotion of the CSIB direct to clients. However, phone and web-based referral services will be established to ensure that, should people contact the Industry Body direct, they will be referred in the most effective way to member organisations undertaking service delivery.

Governments, other industries At the other end of the spectrum, the Community Services industry requires the opposite approach when dealing with governments, other industries, businesses and interest groups. In this case a „one right door‟ approach can be utilised, ensuring external partners can seek out an industry-wide relationship or policy position via a central channel.

An Industry Body can drive smarter utilisation of advocacy resources, deferring issues of industry-wide concern to a single body, and referring sector-specific matters to existing peak bodies. From the outset this process can only work as a two-way street. The CSIB must be consultative and show responsiveness to, not just leadership of, the community services marketplace if it is to be the one right door for external partners.

This does not suggest that sectors of the industry will not maintain their strong relationships with governments or other industries. Rather, they will continue to do so, but on sector-specific issues impacting their own members, supported by an active, whole-of-industry perspective. All components of the industry will continue to have a say in how the dialogue that occurs between the CSIB and external partners is formulated. Prioritisation of industry-wide issues will be addressed through a continual two-way dialogue between peak bodies and the CSIB, as well as between service providers and their peak bodies. This prioritisation will in turn be informed by client needs.

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Governance

Success and longevity for the new Industry Body requires the right governance framework and the involvement of the right people. The governance framework must be simple and transparent yet flexible to keep step with changing internal and external influences. Furthermore, the Industry Body should consider:

The role of the board and any advisory committees

The legal and administrative requirements of the proposed structure

The skills, experience and attributes of the board and advisory committee members

Engagement required to gain support and acceptance by the industry

The Legal Structure

It is recommended that the Industry Body be registered as a private company limited by guarantee which will provide for:

Recognition as an authority on a state and potentially national and international level.

Access to a range of income sources

Independence and strength to resist takeover and politicising

As a private company limited by guarantee the Industry Body would be regulated by the Australian Investment and Securities Commission (ASIC) under the Corporations Act. Duties imposed by the Corporations Act on directors and officers of companies include:

The duty to exercise your powers and duties with the care and diligence that a reasonable person would have which includes taking steps to ensure you are properly informed about the financial position of the company and ensuring the company doesn‟t trade if it is insolvent

The duty to exercise your powers and duties in good faith in the best interests of the company and for a proper purpose

The duty not to improperly use your position to gain an advantage for yourself or someone else, or to cause detriment to the company

The duty not to improperly use information obtained through your position to gain an advantage for yourself or someone else, or to cause detriment to the company

The duty to prevent your company trading if it is insolvent

The duty to keep adequate financial records to correctly record and explain transactions and the company‟s financial position and performance.

Consideration should be given at the outset to the requirements for deductible gift recipient (DGR) and other tax concession status in the development of the constitution.

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Governance Framework

It is recommended that the governance framework comprise three key components:

The Industry Body Board

Advisory Committees

Management and Operational Team.

The Industry Body Board

As the group ultimately responsible for the organisation, the Board composition must be subject to a number of considerations. It is recommended that the Board be comprised of individual members not representing the organisations or sectors in which they are currently or were previously employed. As the Board will be merit-based, there will be no rotation of membership between organisations or „voting rights‟ attributed to member organisations through Board positions. The focus of Board selection should be on recruiting talent and influence. Factors that are considered particularly important in the process of establishing a Board include;

Desired skills and experience – which may differ between the establishment and operational phases of the Industry Body. The Board must have a diverse mix of skills and experience which includes; Regional experience in Queensland (living / working)

Business credentials (particularly those outside of the industry)

Adequate time to devote to the position

Ability to leverage existing networks and relationships. The Board must have a mix of strong existing connections to; Different levels of government, both elected

representatives and the public service Community services peak bodies, including interstate and

national Other industries, particularly those with business

relationships to community services and likely to contain associate or affiliate members

Corporate Queensland, explicitly to grow the Industry Body‟s profile and corporate partners program

Board size and remuneration – composition must be large enough to support a diversity of skills and experience, but small enough to allow for effective decision-making. Across Australia the average Board in the not-for-profit sector is comprised of eight people, the majority being non-Executive Directors. Less than 10% of these positions are paid, over and above out-of-pocket expenses.xix It is recommended that in its first year of operation the Board will be unpaid, with the Industry Body to reconsider the issue thereafter.

Ability to meet the legal and financial obligations of a private company limited by guarantee.

It is recommended that the inaugural Industry Body Board be selected by a nominations committee made up of the current project Steering Committee and others as appropriate.

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Once a Board is selected, its role should include, but not be limited to:

Developing and setting the strategic direction and priorities of the Industry Body

Considering policy positions formulated by the Executive and, if approved, adopting and advocating such policy on behalf of the Industry Body

Developing and leveraging relationships with other industry bodies, organisations and stakeholders

Considering the advice of advisory committees.

Advisory Committees

It is recommended that Advisory Committees may be established from time to time to advise the Board on specific initiatives and priorities. Advisory Committees should be purpose driven and time limited. Membership should be drawn from the people with expertise and experience in the subject area. Membership should include at least one representative from the Board.

Management and Operational Team

The Management and Operational Team is the administrative and operational arm of the organisation. Led by a Chief Executive Officer, their role should include, but not be limited to:

Preparing policy and strategic directives for the Board‟s consideration

Implementing the Board‟s decisions in relation to policy and strategic directives

Assisting the Board in meeting the financial and legal obligations of the company

Delivering services to members

Developing and maintaining relationships with stakeholders

Implementing and managing initiatives of the Industry Body

Providing the Board with regular reports on operational issues

Importantly, it is proposed that both the Board and Management of the Industry Body will be merit-based, rather than a representative structure. That is, selection of personnel will not be determined by peak bodies or other members, nor will such organisations be guaranteed Board or managerial positions.

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Membership

It is proposed that membership be open to for-profit and not-for-profit organisations and businesses in the Community Services industry in Queensland. The following categories of membership would apply: Full Member is an entity that: (a) has as its primary purpose the delivery of community services in Queensland, or (b) has a membership base of organisations and/or businesses whose primary purpose is the delivery of community services in Queensland (or such other criteria as the Industry Body may determine in general meeting from time to time).

Affiliate Member is an entity that does not qualify for admission as a Full Member, but has interests and objectives affiliated with community services, such as suppliers of goods to the industry. Associate Member is any entity whose primary function is not the delivery of community services but whose own industry/business is broadly associated with, and/or benefits from, having a strong Community Services industry in Queensland. Guest Subscriber (non-member) enables non-members to register for events and access public material. Guest Subscribers are also eligible to subscribe to receive newsletters and other information to keep up to date with the Queensland Community Services Industry. Subscribers are not eligible for member-only events or pricing.

Individuals are not able to be members. It is recommended that a clear Membership Benefit Statement be established for each of these levels, articulating the value accrued by each membership type.

It is recommended that each new member organisation be required to make an initial two-year membership commitment. This would be in recognition of the need to invest in the Industry Body‟s long term success by helping to underwrite its stability during the establishment phase.

Membership cost structure Membership investment is an essential component in the viability of any industry body. There must be a range of price points for membership to account for the varying capacities to pay within the Community Services industry. A balance must be struck between the need to maintain accessibility for the membership base, as well as the need to ensure a financially viable organisation. A range of models are currently used by other industry associations, for determining the costs paid by full members including:

Categories based on employee numbers

Categories based on annual income

Categories based on gross value of product

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In most cases, industry groups also have tiered cost structures for non-full members, with fees reducing as industry eligibility, access and benefits decrease.

For the CSIB, an indicative fee range for each membership category has been provided for further discussion. This range is derived from averages across a range of other industries; with a slight downwards adjustment for the Community Services industry‟s capacity to pay. It is recommended that membership tiers be based on annual income levels, which for community services may represent the most reasonable delineation, given that the majority of organisations derive their income from external funding (government or benevolent), a high proportion of which is linked to service delivery requirements. The income thresholds selected for each tier broadly reflect ABS data about the number of organisations in each sub-sector of the industry and their annual income.

As the table to the right shows, the average Queensland community services organisation had an income of nearly $2.3 million in 2008-09. However, this figure is inflated by the aged care sector, which makes up only 12% of the industry, yet has an annual income averaging $8.9 million. ABS data would appear to indicate that more than half of the industry‟s organisations have an income of less than $1.3 million per annum. xx

Sector Number of Organisations

Total income

Average per Organisation

Aged care 246 $2.2b $8.9m

Other residential care

170 $207.5m $1.2m

Child care 954 $1.1b $1.2m

Other social assistance

716 $1.2b $1.7m

Total 2,086 $4.8b $2.3m This data, along with membership information provided by a peak body, has been utilised to help make assumptions about the number of potential member organisations in each fee category. It is assumed that roughly one-quarter of Queensland community services organisations have an income of less than $500,000, a further 29% have an income less than $1.5m, a further 21% have an income less than $3m, a further 21% have an income less than $10mand around 4% have an income greater than $10m.

Indicative fee ranges have been proposed based on averages across a range of other industry bodies and associations in Queensland, as well as the Community Council of Australia. Further information regarding indicative fee ranges can be found in the detailed financial assumptions at Appendix 4.

Applying the above assumptions, the Community Services Industry Body membership categories and proposed fees are outlined in Table 1.0.

The Board will retain full discretion to determine fee ranges.

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Table 1.0 CSIB Membership Categories

Membership Categories

Potential members Benefits Indicative fee range

Full Member National, statewide, regional and local community service organisations delivering in Queensland

Peak bodies

Industry development

Advocacy and representation

Industry profile building

Access to member services such as data and information, advisory and group-buy

Discounts on fee-for-service and events

Base tier $200 - $300 (income <$500k)

Low tier $500 - $800 (income <$1.5m)

Mid-tier $1500 - $1800 (income <$3m)

High tier $2500 - $2750 (income <$10m)

Highest tier/Peak bodies $10,000 - $15,000 (income >$10m)

Foundation partners $30,000 -$40,000 (fee halving at year three and decreasing to same rate as peak bodies by year five)

Affiliate Member Those providing products to industry (such as legal, banking, superannuation, HR, accounting)

Inter-state community service organisations

Channel to the industry Profile raising Paid access to member database

$1250 - $1500

Associate Member

Research and Educational institutions Other industry bodies Arts/Cultural, Sport & Rec community groups

Coordinated industry access $1250 - $1500

Guest Subscriber

Governments Off-shore organisations Other bodies and companies Individuals

Access to user pays services and events

User pays (between $100-200 per access)

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Purchasing additional services Most industry bodies in Queensland have a suite of fee-for-service offerings, supplementing their income from memberships. Offering „member services‟ is also used to differentiate between levels of membership. Only full members are able to access the complete assistance of the Industry Body, while affiliate or associate members are able to purchase certain components. Another selling point is the ability to „discount‟ additional services for organisations that pay a higher annual membership fee. In the case of the Community Services Industry Body, the Steering Committee and consultation workshops discussed a range of additional services that could be available for purchase. A full suite of potential offerings has been developed below for further consideration.

Access to group-buy products offering discounts and/or preferred supplier status for back-of-house goods such as office supplies, vehicle fleet, insurance, banking, superannuation (with each supplier company required to be a paid corporate partner)

Access to shared services, such as IT or financial management systems

Specialised consultancy work, such as data sets, industry research and report writing

Access to Membership database, for associate and affiliate members (free for full members).

Subscription to industry publications, for associate and affiliate members (free for full members)

Events, such as annual conference, international speakers, issue-based forums

Training and industry development courses, potentially including recognised competencies such as iap2 certificates.

Half and full day advisory seminars, such as „how to engage with governments‟

As the Industry Body matures, a range of more complex „for-purchase‟ service offerings could be rolled out, such as:

A Quarterly „health of the industry‟ index based on survey

data collected from across member organisations, available externally by paid subscription

A star-rating system for external companies, based on their commitment to community services, either through funding or in-kind contributions

Consultancy services for businesses, providing them advice on how best to engage with the Community Services industry

It must be noted, however, that in each case the provision of such services comes with resource implications and would therefore need to be established at the very least on a full cost recovery basis, with a view to ensuring member services becomes a growing proportion of the Industry Body‟s income stream.

The Board will retain full discretion to determine the additional services offered and fees charged in each instance.

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Corporate partners

A further source of income for some industry bodies is a corporate partners program. This is an important potential source of revenue given the growing value placed on community services within a business community seeking to maintain their social licence to operate. A standing set of annual gold, silver and bronze partners could, for instance, recoup the marketing and communications related operating costs of the Industry Body. In addition to standing sponsorships, it is recommended that a corporate network be established. This would allow the CSIB to maintain regular dialogue with companies interested in sponsoring individual events or advertising in an industry-wide magazine. Some peak bodies, such as QCOSS, already do this to some extent, with industry super funds and universities among those who advertise with the organisation. Project-related partnerships are another element of growing the Industry‟s corporate connections which has strong prospects as a future revenue source. This may include specific funding for management and governance improvement projects that improve the Industry‟s capacity, benefiting particular companies and other industries that do business with Community Services.

Other industry bodies have established successful commercial income sources, such as Queensland Tourism Industry Council‟s Corporate Partners program, where the organisations pay between $12,500 and $36,000 per annum to be connected to member organisations, host events, and be listed as preferred suppliers.

For example, the Queensland Tourism Industry Council‟s Platinum, Gold and Silver partners include:

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Economic Model

A key challenge for any new body is in securing adequate seed funding to position the organisation for success whilst at the same time not over projecting costs, rendering the project prohibitive.

Expenses Table 2.0, to the left, is based on estimates for the minimum requirements for establishing the Industry Body. These estimates are scalable depending on membership and revenue opportunities for the Body.

The establishment costs of the Industry Body are capable of being reduced somewhat through an auspice arrangement with an existing organisation. Depending on the nature of this auspice, it could result in savings associated with legal costs, as well as co-location of office space and shared facilities.

Table 2.0 CSIB expense requirements Cost

estimate

Est. Budget

HR CEO

$160k - $190k

$555k - $625k

Business Development

Manager

$130k -

$140k

Office Manager

$65k - $75k

Senior Policy Officer

$100k -

$110k

Membership &

Marketing Officer

$100k -

$110k

Establishment Office establishment

including 5 work stations

$80k - $100k $80k - $100k

Operating Rent and outgoings

$30k - $50k $310k - $500k

Travel and expenses

$100k -

$150k

Marketing &

communications, including website

$80k - $150k

General

$100k -

$150k

$945K - $1,225k*

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*$1085 midpoint

Revenues

There are three discrete opportunities for income generation for the Industry Body:

Foundation partners

Membership

Commercial activities (including fee-for-service and corporate partners)

Initially, foundation partners will be required to carry a significant proportion of the costs associated with establishing the Industry Body and presenting it as a viable entity to a potential membership base of some 2,400 organisations across Queensland. It is anticipated that the foundation partners will be initially supported by a core membership base of other peak bodies and larger organisations. Over time, the proportion of revenue obtained from foundation partners and core members will reduce, as income from a wider membership base (including for-profit organisations with capacity to pay) increases, corporate partnership opportunities are leveraged, and fee-for-service products are implemented.

Phased establishment The Industry Body will be established in three phases over an initial five-year period.

Phase One – year one and year two

Phase Two – year three and year four

Phase Three – year five and ongoing

The graphs below represent the proportion of income expected to be generated from each of the three revenue sources by the end of each phase. These proportions are based on mid-level assumptions about membership take up rates and mid-level assumptions about the level of fees charged across membership categories and commercial activities.

Further information regarding the detailed financial assumptions used to inform these graphs can be found at Appendix 4.

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Phased Implementation Plan

Phase One (years 1-2) It is essential that the CSIB is seen to get some immediate „runs on the board‟ during its establishment phase. A key focus of the Body‟s initial two years of operation will be about imbedding structures and relationships that allow it to deliver early wins. These early wins must include the establishment of a viable membership base, a definable agenda and visible advocacy. Immediate priorities Internally focused: Establish legal and financial status

Approve Governance structure

Board selection

Management selection

Approve Constitution, including scope of activities

Agree on economic model, including expense and revenue parameters

Agree on membership categories and thresholds

Externally focused: Broad consultation with all peak bodies and key organisations

about the establishment of the CSIB

Distribution of marketing material promoting the CSIB‟s value proposition internally throughout industry

Distribution of marketing material promoting the CSIB‟s value proposition externally to other industries and governments

Development of a Member Benefit Statement for each membership category

Establishment of office, phone services and web presence

Ongoing priorities By the end of Phase One, the following priorities should be achieved: Internally focused: Road trip of Board and Management to community service

organisations across Queensland, particularly regional, rural and remote locations

An intensive marketing and communications campaign which has successfully explained the value proposition to potential members, and resulted in a viable take-up of members after 12 months, with sustained annual membership growth thereafter.

Launch of member services and fee-for-service programs

Externally focused: CEO and/or Chairperson will have met with key decision-

makers from governments and other industries to introduce the CSIB, establish relationships and promote the Body‟s value

Establishment of advocacy agenda, outlining the key policy issues to be adopted by the CSIB, including at least one public campaign which has captured membership attention and resulted in positive outcomes for the Industry

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Establishment of an annual State Budget critique based on CSIB‟s advocacy agenda

Launch of corporate partners program including standing sponsorship and event-based sponsorship, as well as a preferred suppliers network

Phase Two (years 3-4) With the commencement of year three, the Community Services Industry Body will have finalised its establishment phase and be ready to enter its operational phase. This will require a greater focus on maximising commercial outcomes for the Body, including further diversification of revenue sources such as a maturing Corporate Partners program and rapidly growing fee-for-service operation. Reliance on funding from foundation partners, peak bodies and large organisations will start decreasing in proportion to this rise in external income. By the end of Phase Two, the following priorities should be achieved: Internally focused: Consolidation of existing membership base and annual growth

Evaluation of Member Services offerings to ensure perceived value for money has been delivered

The proportion of total income derived from foundation partners and peak bodies has been lowered to around one-third, with income from corporate partners and fee-for-service increasing proportionally to match.

A definable reduction in the compliance and reporting burden of the membership base has occurred. This has been achieved through advocacy and policy reform, and has been measured through membership surveys of time allocated by members to meeting regulatory/reporting requirements

A definable increase in workforce planning within the industry has occurred, leading to improved staff attraction and retention within the membership base. This has been achieved with the assistance of CSIB training facilitation and improved access to VET and school-based training and has been measured through membership surveys of costs allocated to staffing turnover.

Externally focused: Significant expansion of corporate partners program, including

multiple Gold, Silver and Bronze members

Significant expansion of fee-for-service income, including an increase in user pays events, at a higher charge, and a broad base of consultancy work, including businesses looking for facilitated relationships with Members

An advocacy agenda which is broader and deeper, incorporating multiple campaigns within a detailed whole-of-industry reform agenda that is well recognised and respected by governments and other industries

Regular reporting of data occurs, detailing the size, scope and value of the Industry. This includes reporting measures on innovation and productivity improvements.

Regular publishing of material that positions the Industry Body as a leader, in support of its overarching reform agenda.

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Phase Three (year 5 and ongoing) With the commencement of year five, the Community Services Industry Body will be confident in its operational activities and well positioned to enter a period of ongoing financial stability. The CSIB will be recognised and regarded as the primary conduit for community services agenda setting in Queensland. At this point it would be appropriate to review Board composition to ensure that the skills and experience required during the initial phases of establishment and consolidation remain appropriate for the ongoing operation of the CSIB. By the end of Phase Three, the following priorities should be achieved. Internally focused: A membership comprised of the majority of community

services organisations, including a high proportion of for-profit organisations, who view the CSIB as the primary advocate for whole-of-industry issues that affect their organisations

Ever expanding provision of value-for-money Member Services which are helping to incentivise high levels of membership renewals

Evidence from the membership base that, on average, their funding levels are higher and cost profiles are lower than they were five years earlier – with this change partially attributable to the work of the CSIB

The proportion of total income derived from foundation partners and peak bodies has been lowered to around one-

quarter, with income from corporate partners and fee-for-service increasing proportionally to match.

A stable compliance and reporting regime has been achieved, which the Industry believes is now at the appropriate level to enable members to primarily focus on service-delivery

A stable workforce planning regime has been achieved, which the Industry believes is now at the appropriate level to enable members to primarily focus on service-delivery

Externally focused: A multi-faceted corporate partners program has been built,

with high levels of renewal and competition from prospective partners. A program which is sought out by companies as a means of reaching the Community Services industry and being good corporate citizens

A fee-for-service program has been built, which generates a significant proportion of the CSIB‟s income by delivering specific business development projects for its clients. A program which is sought out by both members and businesses for its insight, professionalism and ability to facilitate access within and with the Industry

An advocacy program that has already delivered results and is seen as a powerful force for an industry which now drives its own reform agenda. A program that has made governments and other stakeholders respond to the Industry‟s voice, not the other way around

Recognised and well regarded trend data sets, which are sought out by organisations, businesses and governments, detailing the size, scope and value of the Industry. This includes reporting measures on innovation and productivity improvements

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Recognised and well regarded publications are produced that advance the Industry Body‟s established reputation as a leader, in support of its overarching reform agenda

Conclusion

From the outset, this report sought to assess what the Community Services industry is, why an Industry Body is required and the value it brings, as well as how such an entity should be established.

The assessment contained in this Report not only outlines a strong value proposition for the creation of a CSIB, but provides a road map for its successful implementation. The conclusion reached is that the establishment of an overarching CSIB represents a critical investment in the long-term capacity of the industry. A Community Services Industry Body will help chart a course toward greater sustainability, influence and innovation. It will do this from an industry development perspective, improving the business of the business and building capacity for an industry which delivers so much for the people of Queensland. The value captured by such an endeavour is simply too great to ignore.

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Appendices

Appendix 1. Risk Analysis

Risk Probability Impact Mitigation plan

Lack of broad support within the Community Services Industry

regarding this project

Medium High Steering Committee to ensure project purpose and progress is communicated beyond those

consulted with to date.

Committee to undertake a broader set of

meetings and consultations once decision has been made to establish CSIB.

Marketing material, including Member Benefit

Statements for each category to be released as

a priority.

Opposition by some peak bodies

fearing takeover or duplication of

their role

Medium High Steering Committee to undertake one-on-one

targeted engagement of each peak body CEO

to explain scope of activities and benefits, prior to going public with CSIB proposal.

Committee to hold sectoral forums with

agreeable peak bodies to reach out to opinion-leaders within each component of the industry,

to provide reassurance and answer questions.

Expenses in establishment phase prove too costly to maintain the

CSIB

Low High Steering Committee to agree on current wage range estimates, which are considered to be

very generous compared to current industry

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Risk Probability Impact Mitigation plan

averages.

Steering Committee to investigate cost saving measures such as auspice arrangements and

co-location of office facilities, prior to

establishment of CSIB.

Two-year membership commitment during establishment phase, providing larger up-front

revenue base.

Lack of membership take up, due to perceived lack of benefits

Medium Medium Intensive marketing and communications campaign (following engagement of all peak

bodies).

Production of a plain English Member Benefits

Statement for each membership fee category.

Lack of membership take-up, due

to opposition of „expensive‟ fee

structure and/or lack of capacity to pay

Medium Medium Clear explanation of rationale behind each cost

category and value placed on each member

benefit.

Initial focus on attracting higher-tier organisations and for-profit members who do

have capacity to pay and can influence small to medium sized organisations in their sector of

the industry.

Members lost over time through poor performance of CSIB in

meeting industry needs

Low High Employ high-quality Board and Management who place high importance on communicating

member benefits, securing membership

renewals and reaching out to members to survey their opinions on the CSIB‟s

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Risk Probability Impact Mitigation plan

performance.

Establishment and promotion of a clear phase one agenda and high-profile advocacy

campaign.

Public acknowledgement of any major fault that

occurs and immediate remediation efforts by CEO.

Advocacy ineffectual,

governments and other industries continue to use existing channels

to industry

Low Medium Employ Board and Management with strong

existing relationships and ability to influence.

Focus on increasing connectedness within industry to ensure peak bodies and organisation

refer/defer whole-of-industry issues and

advocacy responsibility to CSIB.

Change of government/s High Low Board and Management to proactively establish

relationships with all sides of politics and all

levels of government.

Ensure that all interactions with elected representatives and public servants emphasise

the importance of the Community Services industry to Queensland‟s economic and social

wellbeing.

Continued reduction in government funding to the

industry

Medium Medium Ensure that all interactions with elected representatives and public servants emphasise

the importance of the Community Services

industry to Queensland‟s economic and social

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Risk Probability Impact Mitigation plan

wellbeing.

Instigation of major, galvanising public campaign about the need to ensure the

community services Industry is adequately

funded to meet community needs.

Utilisation of CSIB to help diversify funding sources through commercial revenue sources,

including corporate partners and fee-for-service

programs

Lack of corporate

partners/sponsors

Medium Medium Employ Board and Management with strong

existing connections in Corporate Queensland, backed by a highly-connected Marketing Officer

who can build relationships further.

Attraction of potential corporate partners via a

number of angles, including once-off sponsorship of events, a preferred suppliers

network, and discounting arrangements if

required.

Fee-for-service not taken up Medium Medium Identify barriers and address. Compete with

private providers on more than price, but on superior access to industry and knowledge of

relationships (service mapping).

Proactively reach out to organisations that may

require specific advice, training or business development assistance.

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Risk Probability Impact Mitigation plan

CSIB Board member or management involved in a

scandal (i.e. misappropriation of funds)

Low High Establishment of well-understood Employee Guidelines and funding procedures.

Establishment of comprehensive accounting

and annual reporting process.

Public acknowledgement of any major fault that

occurs and immediate remediation efforts by Chairperson on behalf of Board.

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Appendix 2. Contributing organisations and Steering Committee membership

Steering Committee

Wallis Westbrook – Health and Community Services Workforce Council Mark Henley - QCOSS Anna Moynihan – Uniting Care Queensland Trevor Carlyon – Carlyon and Associates Carmel Marshall – Capricorn Community Development Association Contributing organisations

Mission Australia

Centacare Brisbane

The Benevolent Society

Mercy Community Services.

Churches of Christ Care

UnitingCare Queensland

Australian Red Cross

Queensland Council of Social Service

Health and Community Services Workforce Council

Centacare Rockhampton Diocese

Appendix 3. Analysis of other industry bodies

Desktop research was conducted on the following industry bodies:

Mineral Council of Australia

Queensland Resource Council

Australian Industry Group

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Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

Australian Construction Industry Forum

Local Government Association of Queensland

Community Council of Australia

AgForce To the extent that the information was available the following framework was used to collate information on each of these Industry bodies for review:

Date and circumstance in which the body was established

The purpose and approach to delivering on that purpose

The governance structure and any divisional structures

The company structure

Representation on social media

Membership categories/levels

Described benefits to members

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Findings Information has been collected across seven key elements for the industry bodies reviewed. These have been analysed to identify the common themes and grouped into three key areas.

Purpose and approach

While the membership groups of the nine industry bodies reviewed are diverse and include but aren‟t limited to farmers, resource companies, small business and regional councils, there are some consistent themes that cut across the purpose and approach of all of these industry bodies. These consistent themes are:

Sustainability of their Industry and therein members

Advocating on public policy and therefore representing the voice of the Industry to all levels of government

Connecting their Industry with other relevant Industries and community

Being a source of Industry relevant information

Being a leader on what is best for the Industry

Skills/ training/professional development for the workforces of the Industry

Membership

The majority of industry bodies have more than one membership category these vary and include, but aren‟t limited to:

o A range of categories based on employee numbers o A range of categories based on annual turnover o Member and associate level

Member eligibility is described for each category

The majority of industry bodies have clearly defined membership benefit statements

Governance and management structure

The majority of industry bodies have a representative (of membership) board varying in size from four to 30 for example the Mineral Council of Australia have a 12 member board which is comprised of CEOs of resource companies

A secretariat or management/staff structure supports the delivery/implementation of the activities of the industry body

Several of the industry bodies also have advisory committees focused on specific topics/issues/policy areas

The legal structure is typically a company limited by guarantee

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Industry Body

Minerals Council of Australia

Queensland Resource Council

Australian Industry Group Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

Established 2003 (succeeded the Queensland Mineral Council)

Formed in 1998 with the merging of the Metal Trades Industry Association and the Australian Chamber of Manufacturers

1868

Purpose and approach

The MCA‟s strategic objective is to advocate public policy and operational practice for a world-class industry that is safe, profitable, innovative, environmentally and socially responsible, attuned to community needs and expectations.

The Australian minerals sector's approach to sustainable development ... The minerals industry recognises that its past success and future prosperity is dependent on a sound and expanding national economy, an educated and cohesive society and a sustainable natural environment.

The minerals sector supports public policy settings aimed at the following objectives ...

sustainable economic growth characterised by

The Queensland Resources Council is a not-for-profit peak industry association representing the commercial developers of Queensland’s minerals and energy resources.

QRC works to secure an environment conducive to the long-term sustainability of minerals and energy sector industries in Queensland.

QRC works collaboratively with kindred organisations and stakeholders to achieve positive outcomes for QRC members. QRC is not a government organisation.

Our aims QRC aims to be:

Exemplary – a leading corporate citizen, ethical and responsive in all dealings with

The Australian Industry Group (Ai Group) is a peak industry association in Australia which along with its affiliates represents the interests of more than 60,000 businesses in an expanding range of sectors including: manufacturing; engineering; construction; automotive; food; transport; information technology; telecommunications; call centres; labour hire; printing; defence; mining equipment and supplies; airlines; and other industries. The businesses which we represent employ more than 1 million employees. We are an organisation committed to helping Australian industry with a focus on building competitive and sustainable industries through global integration, skills development, productive and flexible workplace relations, infrastructure development and

QTIC is the peak Industry Body for tourism in

Queensland. A private sector, membership-based organisation, QTIC

represents the interests of

the tourism and hospitality industry across the state.

All of Queensland‟s 14 Regional Tourism Organisation (RTOs) are members of QTIC, as are 20 industry sector associations and in excess of 3,000 regional members, operating in all sectors of the tourism industry. QTIC works in

partnership with government agencies and industry bodies at a local, state and national level, to strengthen the voice of tourism in all relevant policy forums.

Prior to the recent elections, QTIC released a major strategic document, Game

Changing Priorities for the Future of Tourism in Queensland: A path towards

As Queensland‟s peak business body, we‟re here to ensure your

business reaches its full potential.

By representing business when we deal with government and by providing the resources to help

businesses grow, we are all about removing barriers to unleash the yet-to-be-realised possibilities that lie

within Queensland business.

Since 1868 we‟ve made it our business to represent, protect and nourish Queensland businesses in every way possible.

We‟ve advocated on behalf of our members to make business more

efficient, with our lobbyists and media experts pressuring to change policy, enact legislation and reduce red tape at all levels of government.

We‟ve listened to our members so

that we can speak on their behalf, with our influence and persistence making sure everyone‟s voice gets heard.

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Industry Body

Minerals Council of Australia

Queensland Resource Council

Australian Industry Group Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

low inflation, low interest rates, fiscal prudence, and a skilled and productive workforce;

a sound, fair and stable society, where effort is encouraged and rewarded and a helping hand extended to those in need; and

a sustainable natural environment, reflecting national consistency and balance in policy settings.

The MCA recognises that the future of the Australian minerals industry is inseparable from the global pursuit of sustainable development. Through the integration of economic progress, responsible social development and effective environmental management, the industry is committed to contributing to the sustained growth and prosperity of current and future generations.

The economic significance of the Australian minerals industry ... The Australian minerals

members, our people and stakeholders

Representative – effective in providing representation across the entire Queensland minerals and energy sector

Influential – respected by, and influential with governments, the community and the media, reflecting the quality of our policy advice and analysis

Strategic – focused on strategies to secure long-term sustainability of the minerals and energy sector

Leading – recognised widely for our leadership role by resource sector stakeholders

Trusted – carries a high degree of confidence and expectation from our stakeholders.

Our role

QRC‟s role is to support the long-term sustainability of the resources sector in

innovation. Our legitimacy

comes also from our role in and connection with the broader community.

Our organisation provides practical information, advice and assistance to help members run their businesses more effectively. It ensures through policy leadership that members have a voice at all levels of government, by representing and promoting their interests on current and emerging issues. Ai Group members operate small, medium and large businesses across a range of industries

regaining Queensland's status as the leading tourism state. The priorities were

identified and developed in close consultation with industry, Regional Tourism Organisations, sectoral associations and other stakeholders. The

document forms the basis for QTIC's engagement with the new state government on its tourism policies and priorities.

QTIC has also been actively involved in the development a number of state and national strategic documents for the tourism industry, including the National Long Term Tourism Strategy, Tourism Australia‟s Tourism Potential 2020 and the State Government‟s Queensland Tourism Strategy.

A strong voice for tourism can support a strong tourism industry. In turn, a strong

tourism industry drives sustainable business and product development, stimulates business attraction and investment, develops workforce skills and training and supports tourism jobs and business.

We‟ve promoted training and education to make our members

more competitive, with industry-certified professionals and courses up-skilling workforces and enhancing business performance.

We‟ve provided best practice legal advice to comprehensively protect

our members, with our legal team offering compliance and security when it comes to issues such as OHS, employee relations and dispute resolution.

We‟ve identified and researched emerging industry issues to keep

our members up-to-date, with our information and knowledge team providing insights and analysis for members to develop real business intelligence.

We‟ve created business networks and commercial partnerships to

better connect our members, with our networking team setting up connections that deliver untold opportunities to grow businesses and reduce costs.

We‟ve taken the lead role in creating the best possible environment for Queensland

businesses to succeed, because we know that by taking care of business we‟re ensuring everyone can reach

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Industry Body

Minerals Council of Australia

Queensland Resource Council

Australian Industry Group Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

industry is an industry of considerable size and economic and social significance, benefiting all Australians both directly and indirectly.

Queensland by:

Building strong community and stakeholder support for the minerals and energy sector‟s social licence to operate

Promoting a world-class regulatory environment

Implementing strategies to secure key business inputs including skills, infrastructure, and Queensland‟s minerals and energy inventory.

A strong tourism industry contributes significantly to Queensland‟s economic, community and ecological prosperity. QTIC‟s primary objective is to achieve the best outcomes from Queensland‟s tourism potential.

QTIC's Vision

To improve the tourism business environment To be responsive to and representative of industry‟s position and needs To advocate for the benefit of our members

their full potential.

Structure Board (12) Secretariat

Board (30) Executive Team and Staff

Board (8) National Executive State and Regional Executive Org structure unknown but employ 300 staff and 550 apprentices nationally

Board (9) CEO plus 13 staff

Divisions: VIC NT

ACT, NSW, VIC, QLD, SA Specific regions include: Ballarat, New Castle, Bendigo, Albury/Wodonga, Wollongong and a Perth Affiliate

100 Chambers across the state

Company Structure

Public Company Limited by Guarantee - NFP

Public Company Limited by Guarantee - NFP

Public company Limited by Guarantee

Social Media

Twitter Twitter Twitter Linkedin YouTube

Twitter FB

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Industry Body

Minerals Council of Australia

Queensland Resource Council

Australian Industry Group Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

Membership Member Companies –

companies engaged in the exploration for or development, extraction or processing of mineral resources. Associate Members -

company supplying goods, services or processes to the resources sector

Full membership is open

but not limited to companies, including contractors, engaged in exploration for or development, extraction or processing of mineral resources, oil, gas or electricity. (92) Cost (Excl. GST) = $4,000 for under 50 employees, then $115 per employee. Service membership is

open to any person or company supplying goods, services or processes to the resources sector (174) Cost (Excl. GST) = $1,830 Associate members are

government agencies or self-employed people who are directly or indirectly connected with the resources sector. (38) Cost (Excl. GST) = $260 Honorary Life Members (5) Kindred Bodies

Member companies –

companies engaged in the delivery of goods, including industries such as manufacturing, transport and logistics, telecommunications and IT, construction. Associate members –

companies supplying services to „industry‟. Cost (Incl. GST) = $1,272 for 1 to 17 employees then $73 per additional employee. $275 joining fee for new members

Corporate Partner/Sponsorship (3

levels) Cost: Platinum $36,000, Gold $24,000, Silver $12,500. (incl. GST) Company Membership

(based on number of employees – 6 categories) Cost (incl. GST): >200 staff = $6,500 101-200 staff = $3,600 51-100 staff = $2,500 21-50 staff = $1,250 6-20 staff = $625 <5 staff = $325 Associates - non-Tourism

Industry Members Associations – Sectoral

Industry Cost: both $1,250 (incl. GST)

Business Membership based on number of employees (6 categories) Cost (excl. GST): >500 staff = $2,750 50-499 staff = $2,000 20-49 staff = $1,400 10-19 staff = $750 5-9 staff = $550 0-4 staff = $350 Student Membership = $10

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Industry Body

Minerals Council of Australia

Queensland Resource Council

Australian Industry Group Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

Member benefits

Through membership you will:

influence government policy and decisions

work with key government ministers and bureaucrats

develop proactive industry policy positions

gain easy access to key state and federal government papers and reports

have input into industry submissions to government

have your initiatives and activities promoted by the QRC

access key research information and industry best practice guidelines

sit on influential industry committees and taskforces

network with other companies that share your interests and concerns

receive regular updates on issues affecting the industry, policy and legislation

enjoy the advantages of being part of Queensland's premier IB.

Our range of membership services, advice and information includes our Award variation and update service, and expertise in workplace relations, human resources, OHS, workers‟ compensation, equal employment opportunities and more.

Ai Group members also have access to the comprehensive desk top reference, BIZassistManual, and the telephone advisory service, BIZassistInfoline.

Business Support Advocacy

Communication, Education and Information

Industry Connections

Industry Promotion

Skills and Labour

Based on the highest level of membership

Inform Subscription (12 issues)

Pulse Survey (Quarterly)

25 EAL Calls

5 Modern Awards

CCIQ Member Directory

5 Free Webinars (Rest at 20% off)

2 Free Seminars (Rest at 20% off)

2 Free Events (Rest at 20% off)

Unlimited Free Advocacy Reports

Access to MyCCIQ

Up to 47% off Export Documentation

10% off ABTS Training Services

Up to 10% off ABCS Consulting Services

10% off ABLA Legal Services

25% off recruitment fees at ABRS

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Industry Body

Australian Construction Industry Forum

LGAQ Community Council of Australia Agforce

Established 1896 2010 1997 The merger of Cattlemen's Union of Australia (CU), the Queensland Grain growers Association (QGGA) and the United Graziers' Association (UGA)

Purpose Australian Construction Industry Forum (ACIF) is the meeting place for leaders of the construction industry in Australia.

ACIF facilitates and supports an active dialogue between the key players in residential and non-residential building, and engineering construction, other industry groups, and government agencies.

Our Members are the most significant Associations in the industry, spanning the entire asset creation process from feasibility through design, cost planning, construction and building and management. A key initiative is ACIF

Forecasts - accurate and credible short- and long-term forecasts of demand for residential and non-residential building, and for engineering construction.

ACIF also provides a number of resources for the industry, including biannual ACIF Briefings, a Directory of key organisations, as well as policies and productivity tools.

The Local Government Association of Queensland (LGAQ) is the peak body for local government in Queensland. We are a not-for-profit association setup solely to serve the State's 73 councils and their individual needs. We have been advising, supporting and representing local councils since 1896, allowing them to improve their operations and strengthen relationships with their communities. We do this by:

connecting them to people and places that count;

supporting their drive to innovate and improve service delivery through smart services and sustainable solutions;

and delivering them the means to achieve community, professional and political excellence.

LGAQ is 100 percent council-owned, offering a range of support services and solutions to all council employees.

How We Help Councils

Representative Body Advocacy

The Community Council for Australia is an independent, non-political

member-based organisation dedicated to building flourishing communities primarily by enhancing the extraordinary work and effort undertaken within the not-for profit sector in Australia. CCA seeks to

change the way governments, communities and the not-for-profit sector relate to one another. This

includes establishing a regulatory environment that works for community organisations and not against them.

The mission of CCA is to lead by being an effective voice on common and shared issues affecting the contribution, performance and viability of nonprofit organisations in Australia through:

providing thought and action leadership

influencing and shaping sector related policy agendas

informing, educating, and assisting organisations in the Sector to deal with change and build sustainable futures

AgForce has been the unifying voice for Queensland‟s beef, sheep and grain producers since 1999. Our strength

continues through our membership and a strategic vision to secure the productivity, profitability and sustainability of the agribusiness sector. AgForce provides direction and solutions for our members to overcome challenges and build on opportunities, and links rural and regional Queensland with urban communities through our Every Family Needs A Farmer initiative.

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Industry Body

Minerals Council of Australia

Queensland Resource Council

Australian Industry Group Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

State and National Voice Policy Learning and Development Leaders

The Community Council of Australia was first formally established in 2010 when a group of like-minded CEOs in the not-for-profit (NFP) contributed their own resources to creating a new organisation that would facilitate

collaborative relationships and advocate for the not-for-profit sector on key issues that impact the viability

and effectiveness of the sector.

Structure Board (26) Secretariat (3)

Policy Executive (President plus 15) Board (President plus 3) Staff

Board (16) Staff - Unknown from website

State Executive Commodity Presidents State Councillors

Company Structure

NFP South East North South West Central Southern Inland

Social Media

FB Twitter Linkedin

FB Twitter YouTube

Twitter Twitter FB

Membership Membership eligibility

Australian building or construction industry associations which have a national structure and focus, whose principal membership is comprised of individual persons and/or private sector business enterprises and which serve the interests of their members in one or more of the: a. residential sector, b. non-residential sector, c. civil, structural, process and services engineering sectors, d. investment property sector

While membership is voluntary, all Queensland councils are members.

Annual membership based on turnover Costs (Excl. GST): <$250k turnover = $100 p.a. $250k to $1m = $500 p.a. $1m to $2.5m = $1,000 p.a. $2.5m to $5m = $2,500 p.a. $5m to $10m = $5,000 p.a. $10m to $50m = $10,000 p.a. $50m to $100m = $20,000 p.a. >$100m = $35,000 p.a.

Full – The principals of a single,

eligible farming enterprise may nominate any person with an interest in that enterprise as the full member (6 categories based on gross value of production over 5 year average) Costs: (Excl. GST) $0-$70k turnover = $403.50 p.a. $70k - $200k = $674 p.a. $200k to $500k = $1,044 p.a. $500k to $2m = $1,344 p.a. $2m to $7.5m = $2,575 p.a. >$7.5m = $15,000 p.a.

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Industry Body

Minerals Council of Australia

Queensland Resource Council

Australian Industry Group Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

Joint - Joint membership is available to

those who have an interest in eligible farming enterprise represented by the nominated full member. Joint membership is only available to people who are not otherwise eligible for full membership Cost: $67.50 p.a. Student - An association of students

from a Queensland tertiary institution is eligible for a membership as a student member and may nominate one representative from the association to vote on matters at a subregional level on behalf of the association. Cost: $381 p.a. Support - A person or business may

eligible for membership as a support member if they operate businesses or are individuals with an interest in the industries represented by AgForce. Cost: $381 p.a. Young - Any person between 18 and

30 years of age with an interest in the rural industry and not eligible for membership as full or joint members may become young members. Cost: $70 p.a.

Member benefits

Membership benefits

ACIF meets four times a year, and carries out an ongoing program of activities focused on achieving its objectives between meetings. ACIF is

How We Help Councils

Representative Body

We facilitate investigation, analysis and action on all matters of interest or concern to members. From

Member-driven means CCA will: 1. Act as the coherent voice of

NFPs delivering benefits to Society and Communities; be seen as an active, credible and

Members can access a range of internal services through AgForce including:

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Industry Body

Minerals Council of Australia

Queensland Resource Council

Australian Industry Group Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

the only organisation that brings senior leaders of the industry together to collaborate in:

1. developing policies, backed up with credible information;

2. engaging with politically influential individuals to communicate ACIF policy messages;

3. being involved in work by other peak consultative groups operating in policy terrains that impact on the construction industry;

4. using the capacity of its Construction Forecasting Council (CFC) and Industry Briefings, to provide valuable information to decision makers and the industry, and support ACIF policy positions;

5. communicating policy positions to the industry.

Members develop working relationships with other industry leaders, in the private and public sectors. They are able to propose adoption of and support for issues and policies of concern to them, in dialogue with government and other sectors of the economy. They exercise first hand influence and control over "industry good" initiatives including research, procurement practices, and skill formation initiatives.

debating state and federal policy changes to influencing funding arrangements, the LGAQ strives to successfully represent the broader aspirations of Queensland local government.

LGAQ coordinates advisory and reference groups as well as actively seeking member feedback through LG Online and formal survey processes. Resolutions at the LGAQ Annual Conference also provide direction for LGAQ policy initiatives.

Advocacy

LGAQ represents member interests on numerous boards and committees. From the Industrial Relations Commission to any number of government and industry boards, committees and working groups, representatives are present to ensure that the voice of local government is heard. The Association welcomes members' views and encourages council participation and engagement.

State and National Voice

LGAQ acts as a spokesperson for Queensland local government. It releases close to 100 news releases per annum and averages over 3000 mentions a year in all forms of media. LGAQ conducts significant campaigns and represents the united

2. authoritative advocate for the coherent interests of member organisations and the NFP community

3. Provide national and balanced leadership on matters affecting Australian society and community; through well-researched policies and positions endorsed by members

4. Develop effective means for member consultation; to drive outcomes and benefits for members and the sector

The Community Council of Australia will work to the following objectives governed by the objects in the Constitution (including, but not limited to):

1. The pursuit and promotion of all or any purposes which are now or may be deemed by law to be charitable or otherwise for the benefit of the community.

2. Promotion and organisation of efficiency and co-operation in the achievement of the above purposes, specifically:

Engage the leadership of

Delivering results

AgForce leads the way in ensuring the issues of rural Queensland are heard at the local, state and national level of industry and government. Find out about the current industry issues as well as our ongoing policy and commodity-specific work for sheep and wool, cattle and grain producers. AgForce Projects

Rural landholders and primary producers can attend workshops on vegetation management, GPS utilisation, property computer mapping, forestry, the Delbessie Agreement and access technical support staff. AgForce Buying Service

AgForce provide direct sales of Datamars NLIS tags and specific GIS/GPS support to members. News and information

Members can stay up to date on agricultural issues and events and AgForce‟s advocacy work through our weekly e-newsletters and magazine Envoy, and receive members alerts on hot issues via email.

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Industry Body

Minerals Council of Australia

Queensland Resource Council

Australian Industry Group Queensland Tourism Industry Council

Chamber of Commerce and Industry Queensland

front of local government in many issues, such as the Federal 'Inquiry into Cost Shifting'.

Policy

Policy development, representation, advice and support are available to all members through the Association's large team of managers, advisors and officers. Councils are welcome to contact the Association on any policy matter, with written and telephone support available at no cost.

Learning and Development Leaders

LGAQ is an accredited training provider (RTO) that provides targeted training modules to thousands of local government employees annually. Services are available on a 'fee-for-service' basis to all of our members. Visit the Learning and Development pages for a comprehensive guide of courses on offer.

Australia in examining Australia‟s societal challenges and in developing more effective solutions and enhancing co-operation and engagement between business, government and other sectors of society

Initiate, undertake or co-ordinate research which contributes to the improved management, accountability and effectiveness of not for profit organisations, and improves public policies and legislation which further these purposes

Provide a national leadership forum for the exchange of information, research and knowledge in relation to issues affecting the Sector

Develop policies and initiate programs to identify and meet the needs of the Sector

Member Benefits and Services

Members can access a range of benefits and services Agforce have arranged through partnerships with organizations. These benefits and services include:

WFI – Discounts off membership

renewal for choosing WFI, one of Australia‟s leading rural insurers and offers direct, personal service. Mitsubishi – access to fleet-rate

discount prices BOC Gas - discounts on gas and on

equipment Westpac Agribusiness - flexible

banking and financial solutions. Grain Harvest Management Scheme

- cost of joining rebateable off AgForce membership. Motorpass – exclusive deals for

Agforce members nib health care – discount on „Your

Corporate Health Cover‟ options.

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Appendix 4. Financial Assumptions See attached spread sheets.

References

i REMPLAN modelling of: Australian Bureau of Statistics, Australian Industry (sub-division). Cat. DO001_201011 (Canberra, 2012) ii Carlyon, T. 2012. Working Together Green Paper, commissioned by the Queensland Community Services Futures Forum. iii H&CS Workforce Council. 2012. Our Industry. [online]. Available from:

http://www.workforce.org.au/community-services.aspx iv QCOSS, 2012, About us. [online]. Available from: http://www.qcoss.org.au/about-us v Our Community, 2012, Help Sheet: What is the difference between for-profit and not-for-profit groups? [online]. Available from:

http://www.ourcommunity.com.au/boards/boards_article.jsp?articleId=1309 vi Barraket, J. Collyer, N. O‟Connor, M. Anderson, H. 2010. Finding Australia‟s Social Enterprises Sector. Australian Centre for Philanthropy and Nonprofit Studies vii Norton, M. 2010. The Queensland Community Services Sector 2010, Work Futures Pty Ltd, commissioned by QCOSS viii Australian Bureau of Statistics. Community Services, 2008-09. Cat. 8696.0 (Canberra, 2010) ix REMPLAN modelling of: Australian Bureau of Statistics, Australian Industry (sub-division).

Cat. DO001_201011 (Canberra, 2012) x Australian Bureau of Statistics. Community Services, 2008-09. Cat. 8696.0 (Canberra, 2010) xi Health and Community Services Workforce Council. 2012. Community Services Sector, Industry Skills and Workforce Development Report June 2012, p. 4. xii Australian Bureau of Statistics. Labour Force, Australia, August 2012. Cat. 6291.0.55.003.

(Canberra, 2012). xiii Carlyon, T. 2012. Working Together Green Paper, commissioned by the Queensland Community Services Futures Forum. xiv Department of Education, Employment and Workplace Relations. 2011. Industry Employment Projections Report 2011. xv Australian Bureau of Statistics. Labour Force, Australia, August 2012. Cat. 6291.0.55.003.

(Canberra, 2012). xvi Australian Bureau of Statistics. Australian National Accounts: State Accounts, 2010-11. Cat. 5220.0 (Canberra, 2012) xvii Health and Community Services Workforce Council. 2012. Our Industry [online]. Available from: http://www.workforce.org.au/community-services.aspx xviii CBB Executive Salary Survey. 2012. CBB Consulting [online]. Available from: http://www.cbb.com.au/images/ExecutiveSalarySurvey/CBB_Executive_Salary_Survey_2012_we

b.pdf xix Reforming not-for-profit regulation - Final Report. 2004. University of Melbourne, Centre for Corporate Law and Securities Regulation [online]. Available from: http://cclsr.law.unimelb.edu.au/index.cfm?objectId=017B1CA1-B0D0-AB80-

E29B8B41F029F841 xx Australian Bureau of Statistics. Community Services, 2008-09. Cat. 8696.0 (Canberra, 2010)