about
annual report | 2008-09
Section 1 - Introduction & Overview
Corporate Profile
The Royal Australian Mint (the Mint) became a prescribed agency within the Treasury portfolio on 1 July 2005, with responsibility for producing circulating coin for Australia. The Mint was established in Canberra in 1965, one year prior to Australia's changeover to decimal currency, and since 1983 has been the sole supplier of Australia's circulating coin requirements.
The Mint also produces a range of high quality collector coins which are sold through an extensive mail order operation, a network of domestic and international coin dealers, Australia Post outlets and the Mint's own retail outlet. In addition, the Mint produces a number of Australian medals and awards, as well as tokens, medallions and jewellery items for domestic and overseas customers. The Mint is also a major Canberra tourist attraction with a public gallery, museum and shop that attracted approximately 142,000 visitors during 2008-09.
The Mint has an ongoing commitment to upholding its reputation as one of the leading producers of quality coins in the world and to achieving business excellence.
Vision
Excellence as a sustainable world class Mint.
Mission
To meet the circulating coin and collector coin needs of Australia.
One Mint Values
Commitment
we believe in the vision and mission of the Mint, and pursue with enthusiasm and determination the achievement of its business objectives and the maintenance of a safe, healthy and happy work environment
Integrity
we are open, honest and straightforward in the way we do our work, and do not take improper advantage of our employment at the Mint
Teamwork
we understand that we depend on one another for effective performance, and are always on the lookout for ways in which we can help our workgroups to be more flexible, more efficient and more enjoyable to be in
Service
we care about the needs of those — both outside and inside the Mint — who receive the products of our work, and we try always to meet those needs at the right time, at the right quality and at the right price
Innovation
we continually seek to identify and implement better, safer and more cost-effective ways of doing what we do, encourage others to do the same, and keep ourselves up to date on relevant developments elsewhere
Respect
we treat one another with courtesy and consideration, and do not belittle the contributions of others to the achievement of the Mint's vision and goals; we value diversity and renounce discrimination on grounds of race,
Professionalism
we take pride in the quality of our products, in the skills and standards we apply to our work, and in our willingness to learn and to share the benefits of that learning with others
The Mint's Service Charter
Services
- We aim to meet your needs as a customer efficiently and promptly, and always look for ways of improving the quality and timeliness of our service.
- We seek to respond promptly to any issue you may raise related to the history, production and distribution of Australian coinage and numismatic products.
- You may contact us through our internet site or by mail, email, phone or fax using the address and numbers given in this publication.
- When you contact us we will be courteous, helpful and prompt in any follow-up actions required.
- Your first contact person will keep you informed of the progress of your request or may direct your request to a more appropriate person.
Response
- We will clearly identify ourselves when you contact us by telephone and will ask for specific contact information from you.
- Your discussions will be treated with respect and confidentiality.
- If you contact us by phone during business hours (8.30 am to 5.00 pm), we will address your query immediately or advise of when a response can be expected. If you contact us by phone out of normal business hours, your call will be recorded and we will aim to call you back during the next working day.
- Your contact by mail, fax or email will be acknowledged within five working days of receipt.
Complaints
- We will address all complaints in terms of the Australian Standard AS 4269-1995 Complaints Handling and of the Trade Practices Act 1974.
- If you return products, please include your contact details. If you are currently included on our mailing list please advise your customer number. We aim to respond within one week of receipt.
- If you continue to have a problem, our customer contact staff will try to resolve the matter, but if necessary, you will be referred to the appropriate manager.
- If the matter is then not resolved, please contact the Chief Executive Officer (CEO) with all details. The CEO will respond within one week of receipt of this contact.
Note: This Service Charter is not legally binding on the Royal Australian Mint, but is an expression of the standards we seek to achieve and maintain.
Resources for Outcomes
Figure 1 Resources for Outcomes
The Mint's total resources for Outcome 1 are set out in Table 1. The variations between budget and the actual operating results for the year are explained below.
Outcome 1 — Manufacture and sale of circulating coins, to meet the coinage needs of the Australian economy, and collector coins and other minted products for Australia and foreign countries
Table 1 Resourcing for the Mint's Outcome
* Full-year budget, including any subsequent adjustment made to the 2008-09 Budget
The variation between Actual Expenses and Budget was attributable to asset write-offs due to obsolescence.
Decrease in actual Average staffing level compared to Budget was due to some projects being completed and having reached their milestones. Staff supporting these projects were no longer required and were not deployed to support the Mint's business-as-usual activities.
(b) Actual expenses — Financial Statements Note 21
Key Priorities in 2008-09
The Royal Australian Mint's 2008-09 Portfolio Budget Statements and internal planning processes identified the following key priorities for Outcome 1:
- produce cost efficient circulating coins for Australia and establish and maintain a circulating coin buffer stock
- provide advice to Treasury and Government on coin related issues
- develop quality corporate products
- develop profitable numismatic products which meet customer expectations
- develop an education program to be undertaken through the visitors centre
- promote public understanding of the cultural and historical significance of coins, and
- maintain Australia's National Coin Collection.
Key Outcomes in 2008-09
Outcome 1 — Manufacture and sale of circulating coins, to meet the coinage needs of the Australian economy, and collector coins and other minted products for Australia and foreign countries
Table 2 Royal Australian Mint Resource Statement 2008-09
Outputs
Output Group 1.1 is the Mint's sole output group and thus the sole contributor to Outcome 1. Crucial to the provision of Outcome 1 is the requirement for the Mint to operate efficiently, as it is primarily a self-funded business operation, receiving government funding predominantly for capital projects only. In addition, the Mint is required to provide a return on investment to the Australian Government through remittance of Seigniorage (that is, the difference between the sale of circulating coin and the cost of production) to the Official Public Account.
Performance Information
The key performance indicators are reflected in the figure below:
Figure 2 Key output performance indicators
Output 1.1.1 — Manufacture and sale of circulating coins for Australia and provision of associated policy and technical advice |
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Output 1.1.2 — Manufacture and sale of circulating coins for foreign countries |
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Output 1.1.3 — Production and sale of collector coins and other minted and like products for Australian and other clients |
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Output 1.1.4 — Provide gallery and visitors services |
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1 Appropriation Bill (No.2) 2008-09 and Appropriation Bill (No.4) 2008-09
2 Special Accounts - Financial Statements Note 19
Analysis of Performance
During 2008-09, the Mint experienced disruptions to normal operations due to a production shutdown to allow for the delivery and implementation of major projects. Through careful planning and closer attention to production scheduling, the Mint was able to meet circulating coin demand despite the shorter production period. The newly established buffer stock was also utilised to meet unexpected demand of circulating coins.
The Mint returned higher Seigniorage compared to budget due to increased demand, particularly for the higher denomination circulating coins.
The Mint's numismatic business line was not immune to the economic downturn and has been affected by the global financial crisis resulting in lower sales than projected. As a result of an unexpected decline in demand, the numismatic business suffered an unbudgeted loss.
The Mint maintained a high standard of professional advice to Treasury portfolio ministers and engaged appropriately with other agencies on matters relating to coinage and Mint operations. The Mint met all its ministerial responsibilities including responding expeditiously to ministerial correspondence and providing information on its operations.
Visitor numbers to the gallery remained steady throughout the year despite the fact that the new gallery did not become available to visitors until late in the financial year. Tourists and school group visits were managed around the completion of the refurbishment.
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