Transmittal letter

Independent assurance report to Parliament

Ordered to be published

VICTORIAN GOVERNMENT PRINTER October 2019

PP No 86, Session 2018–19

The Hon Shaun Leane MLC
President
Legislative Council
Parliament House
Melbourne
 
The Hon Colin Brooks MP
Speaker
Legislative Assembly
Parliament House
Melbourne
 

Dear Presiding Officers

Appendix D. Data envelopment analysis

Methodology

Government agencies often measure the efficiency of services by using a cost per output ratio. In contrast, DEA uses multiple inputs and outputs to benchmark efficiency across a group of organisations, such as libraries, that deliver similar services. In applying DEA, the most efficient libraries of the group receive a score of one. The remaining organisations receive a score between zero and one, which shows how their efficiency compares to the most efficient organisation of the same group, as shown in Figure D1.

Appendix A. Submissions and comments

We have consulted with Alpine, Buloke, Boroondara, DELWP, ERLC, MAV and Mornington, and we considered their views when reaching our audit conclusions. As required by the Audit Act 1994, we gave a draft copy of this report, or relevant extracts, to those agencies and asked for their submissions and comments.

Responsibility for the accuracy, fairness and balance of those comments rests solely with the agency head.

Responses were received as follows:

2 Shared library services

If they are to meet changing community expectations for library services, councils and RLCs must make more efficient use of their limited resources. Some councils approach this by sharing services with other councils or organisations.

We compared the efficiency of Victorian libraries to identify whether sharing services helps councils to deliver more efficient library services.

1 Audit context

The council library is an important social asset. In addition to offering book lending, internet access and a free, accessible space for the public, libraries increasingly provide other resources and programs.

For councils, meeting changing community needs in a financially sustainable way is challenging.

This audit examines whether council libraries deliver services efficiently and if the state government's existing support for council libraries drives statewide service improvements.

Audit overview

Context

Council libraries deliver a range of important services to the community. In addition to book lending, libraries offer a free, accessible space for the public, and deliver educational programs for children and adults. Libraries also provide access to the internet and electronic resources (e-resources), as technological advances change the public's expectations of their services.