Chapter 6: productivity and innovation

Chapter at a glance

The adoption of new technologies for greater workplace and service delivery productivity is gaining momentum across the public sector.

Employees feel they are encouraged to be innovative in their work (73%) but only 56% feel the sector as a whole is innovative.

The population is growing and ageing, and planning is needed for a public sector workforce of the future.

Agencies are taking early steps to improve workforce flexibility and mobility, informed by the new GSE Act.

With almost half of NSW budget expenditure being employee-related, the NSW Government has signalled more efficient workforce management as a key priority.

Increased productivity in the NSW public sector will have a positive impact on services to the community as well as the economy generally. It is therefore a key performance issue for public sector organisations.

A lot more can be done in public sector agencies to develop a productivity policy agenda that helps drive reform and build on existing strategies for performance, efficiency, continuous improvement and management of resources in a tight financial climate. A key to this work is understanding the drivers of productivity and their impact in individual agencies.

The Audit Office of NSW is examining performance reporting for several areas of government activity to see if the information is available to identify and assess changes in their productivity. The capacity of agencies to track and measure productivity and efficiency is being examined and a report will be tabled in Parliament in early 2015.

The Public Service Commission acknowledges the Gadigal people of the Eora Nation, the traditional custodians of the land on which our office stands.