Executive Summary

CEO and Commissioner's Report

Leo Bator, Commissioner for Superannuation and Chief Executive Officer of ComSuper

It has been a busy and challenging year for ComSuper-one where we delivered on significant legislative measures and successfully managed the increased workload resulting from changing scheme demographics and the global financial market fluctuations.

During the year, relationships with our key stakeholders strengthened. We consulted broadly with our stakeholders and customers on a number of matters, including our three priorities-to provide timely and accurate statements, to pay timely and accurate benefits and to improve our overall service delivery. These key areas will continue to be a priority for ComSuper as we further refine and improve our processes.

Overall, member satisfaction remains high. External benchmarking continues to confirm ComSuper's position as a low cost, high quality service provider of some of the most complex superannuation schemes in Australia.

Throughout the year, we successfully worked on a significant legislative change programme. This was a considerable undertaking for all superannuation administrators and I am pleased to report that we were one of the few administrators who were able to pay pensions on time in July 2007. We also commenced monthly allocations of fund earning to members of the CSS and PSS.

The 2007-08 financial year saw a higher than expected number of members exiting the schemes. This placed additional pressure on maintaining services and standards. We reallocated staff to critical areas and provided appropriate training and support to ensure continuity of service and standards.

As part of our broad programme of business improvements we:

• completed an integrated business planning process, incorporating budgeting and risk management
• developed a Strategic Finance Plan and Capital Management Plan
• reviewed and refined our internal procedures, processes and templates to improve client service and to ensure the ongoing provision of effective and efficient superannuation administration
• completed the first stage of a comprehensive knowledge capture exercise
• participated in an interdepartmental working group aimed at simplifying legislation and processes.

ComSuper expanded the services for military members through improved online functionality and new online seminars.

We strengthened our governance framework to better meet our obligations to Government and the regulatory requirements of the financial services industry. We increased our focus on audit, risk management, quality assurance, knowledge management, fraud control, security, privacy, and, business continuity and disaster recovery. Stage one of the anti-money laundering and counter-terrorism financing legislation was successfully implemented.

During the year, considerable work was undertaken to mitigate risks in our superannuation administration systems. Work is well underway on our Administration Platform Modernisation (APM) Project with a Request for Tender being issued to the market in May 2008. The APM Project is subject to the Gateway Review Process-a process designed to assist delivery of major Government projects.

Our focus on training and development initiatives continued. Relevant staff participated in revised scheme-based training. We strengthened financial services training designed to meet the Australian Securities and Investments Commission's Policy Statement 146 (PS146) standards. We also provided tailored customer service training for all staff.

A particular focus during 2007-08 was on our communication. We reviewed the effectiveness of our approach to key stakeholders and refined our communication mechanisms. We introduced a number of innovations to improve the flow of information between different areas of ComSuper.

ComSuper's new Collective Agreement was successfully negotiated during the year. In addition to linking productivity measures with pay increases, the Agreement extends our commitment to assisting staff to balance their work and life through introducing a package of initiatives such as purchased leave, paid parenting leave of two weeks, July school holiday support, and extending opportunities to access part time employment following maternity leave.

It is pleasing to note that our Customer Service Centre was a state finalist for NSW/ACT in the Australian Teleservices Association Awards. One of our staff members, Diana Richardson, was awarded the state teleprofessional of the year.

The coming year is a particularly exciting one for ComSuper. Our emphasis will be to continue delivering quality services to the scheme members, the Boards of Trustees and the Government. We will build on our existing strong relationships with our stakeholders as we continue to meet our obligations in a responsive and flexible manner. We will look for further opportunities to connect with our customers and to raise awareness of the schemes we administer.

Ongoing identification and achievement of business improvement activities will ensure we maintain quality outcomes. Our processes will be of a consistently high standard. A review of the current benefit application process and increasing online delivery of member statements and annual reports will be our primary focus for enhancing services. We will continue to build on our customer service initiatives. This work will help strengthen our delivery of superannuation administration services into the future.

We will also enhance our environmental management system and continue to identify ways of reducing our impact on the environment. Work has already commenced on establishing an Environmental Contact Officer Network within ComSuper.

This progress would not be possible without the people who work at ComSuper-they are our real strength. I value their contribution in managing the day to day work and in finding innovative solutions to the complex issues that we face. I thank ComSuper staff for their ongoing commitment, dedication and hard work.

I would also like to thank: Senator the Hon Nick Sherry, Minister for Superannuation and Corporate Law, and staff from the Minister's Office, the Trustees and their Executive staff, Authority Members, the external members of our Executive Board and Audit Committee, and, officers of the Departments of Finance and Deregulation and Defence for their assistance during the year.

Leo Bator
Commissioner for Superannuation and
Chief Executive Officer ComSuper