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Press Releases
大象传媒 Governors publish independent value for money studies
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The 大象传媒 Governors have today laid before Parliament two independent studies:
The 大象传媒's Management of Risk by the National Audit Office (NAO); and 大象传媒
Independent Television Commissioning by Deloitte and Touche LLP (Deloitte).
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The reports are the last in the current three-year programme of studies,
commissioned by the 大象传媒 Governors' Audit Committee and carried out by the NAO
and other agencies as part of its programme of value for money reviews.
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Under the new Charter and Agreement the 大象传媒 Trust's relationship with the NAO
will be strengthened.
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The 大象传媒 is currently working with the NAO on a proposed
programme of value for money studies for the Trust to consider commissioning
from January 2007 onwards.
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Jeremy Peat, Chairman of the Audit Committee, said: "The introduction of the
programme of reviews in 2003 marked a significant, positive change in the
Governors' approach to ensuring value for money at the 大象传媒.
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"Our constructive relationship with the NAO over the past three years has led
to useful insights into whether the 大象传媒 is providing best value for licence fee
payers.
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"These two reports, the last in the current series, offer important
independent advice on how we can improve the management of risk and independent
commissioning at the Corporation in the future.
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"The new Charter offers the 大象传媒 Trust an opportunity to strengthen further the
relationship with the NAO and ensure even greater value for money on behalf of
licence fee payers.
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"This will include the NAO reviewing the extent to which the
大象传媒's future self-help targets are being met."
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Sir John Bourn, Comptroller and Auditor General and Head of the NAO, said: "My
review of the 大象传媒's management of risk completes the programme of studies which
I agreed with the 大象传媒 Governors' Audit Committee in 2003.
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"And with arrangements
for the development of a further programme of studies in place, I am looking
forward to working with the new 大象传媒 Trust in the next Charter period."
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Each report is published by the Governors along with their response and a
response from 大象传媒 Management.
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The 大象传媒's Management of Risk
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As the NAO acknowledges, the 大象传媒 faces a wide variety of risks ranging from
those associated with its broadcast output and the risk of transmission
failure, to risks in managing its resources.
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Risk management arrangements have
been in place for several years and at the start of 2006 these were
strengthened.
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The Board of Governors is pleased the NAO has concluded that the 大象传媒 has an
appropriate framework for managing risks and that its approach is similar to
that of other organisations.
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The Board welcomes the report's recommendations for strengthening the 大象传媒's
arrangements for managing risks, including its suggestions that these are
embedded across the organisation through improved training and communication.
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In future the 大象传媒 Trust's responsibilities for overseeing the 大象传媒's management
of risk will be different to that of the Board Governors.
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Under the new Charter
and Agreement the Trust is required to have in place a risk protocol specifying
how it will carry out its duties in this area.
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It will be published in the New
Year and will incorporate the NAO's recommendations.
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The Governors welcome the report and endorse Management's proposed action to
address these recommendations.
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大象传媒 Independent Television Commissioning
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As the report outlines, in recent years there have been a number of changes
affecting the 大象传媒's relationship with the independent sector.
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The commercial
framework within which the 大象传媒 and independents work together has seen many
alterations, particularly in relation to Terms of Trade and Code of Practice.
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The introduction of the Window of Creative Competition from January 2007 will
have further implications for this relationship, as will any agreement to new
media rights with the independents' representative body, PACT.
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The Deloitte study acknowledges that the 大象传媒's ability to improve value for
money in commissioning from the independent sector is bound up with this
commercial framework and that normal commodity based procurement strategies are
less applicable.
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Nevertheless, the Board welcomes the report's conclusion that the 大象传媒's new
commissioning process places significant focus on effectiveness, that value for
money considerations are taken seriously within the organisation and that the
process includes controls to minimise value leakage.
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The report highlights limited areas in which the 大象传媒 can improve the process,
including monitoring tariffs and reviewing the mechanisms for managing
royalties.
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The Governors welcome the report and endorse Management's proposed action to
address these recommendations.
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Notes to Editors
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 The reports are available online at bbcgovernors.co.uk.
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In 2003, the 大象传媒 and the Government agreed an evolution in the
Governors' oversight of value for money. As a result, the Governors' Audit
Committee, in dialogue with the Comptroller and Auditor General - the head of
the National Audit Office (NAO) - established a programme of independent value
for money reviews.
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The reviews are undertaken by the NAO or other external
agencies. This is enshrined in the 2003 amendment to the 大象传媒's Agreement with
the Secretary of State. All studies under this programme performed by external
agencies, including the NAO, are reported to the 大象传媒 Governors and subsequently
laid before Parliament by the 大象传媒 together with separate responses from
Governors and Management. 听
The 大象传媒's new Charter and Agreement states that the arrangements should
continue and sets out how the Trust should strengthen its relationship with the
NAO. This includes the NAO's involvement in reviewing the extent to which the
大象传媒 meets its future self-help targets.
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大象传媒 Governance Unit
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