INDIGENOUS COMMUNITIES INDIGENOUS COMMUNITIES INDIGENOUS COMMUNITIES & AUSTRALIAN BUSINESS – BUSINESS AUSTRALIAN AUSTRALIAN& BUSINESS from little things, big things grow from little things,from big things grow A report to the Business Council of Australia INDIGENOUS COMMUNITIES AUSTRALIAN& BUSINESS from little things, big things grow Report to the Business Council of Australia © The Allen Consulting Group Pty Ltd, October 2001 ISBN: 0-9578337-1-7 The Allen Consulting Group Pty Ltd ACN 007 061 930 Melbourne 4th Floor, 128 Exhibition Street MELBOURNE VIC 3000 Telephone: (61–3) 9654 3800 Facsimile: (61–3) 9654 6363 Sydney 3rd Floor, Fairfax House, 19 Pitt Street SYDNEY NSW 2000 Telephone: (61–2) 9247 2466 Facsimile: (61–2) 9247 2455 Canberra Level 3, 60 Marcus Clarke Street CANBERRA ACT 2600 Telephone: (61–2) 6230 0185 Facsimile: (61–2) 6230 0149 Perth Level 25, 44 St Georges Terrace PERTH WA 6000 Telephone: (61–8) 9221 9911 Facsimile: (61–8) 9221 9922 Online Email: [email protected] Website: www.allenconsult.com.au Design & Printing by DPA – Document Printing Australia www.dpa.com.au Indigenous Communities & Australian Business Foreword his report was commissioned by the Business Council of Australia and overseen Tby a steering group of Indigenous community and business sector representa- tives, led by Meredith Hellicar. Organisations represented on the research steering group were: • Aboriginal and Torres Strait Islander Commission - Geoff Clark, Geoff Scott • Australian Chamber of Commerce and Industry - Mark Paterson • Business Council of Australia - David Buckingham, John Hine • Minerals Council of Australia - Bridson Cribb • Reconciliation Australia - Neil Westbury The objectives of this research were twofold: • To contribute to Australia’s economic and social development and the process of reconciliation between Aboriginal and Torres Strait Islander peoples and the wider Australian Community through a better understanding of indigenous community- business relationships and collective activities; and • To assist companies, business organisations and Australian Indigenous communi- ties in their pursuit of future, mutually beneficial activities. In addition to the generous support of the Business Council of Australia and the research steering group, the authors of this publication wish to thank the numerous participants – from Australian business, large and small, Indigenous communities, business and representative organisations, researchers and government departments among others – for their cooperation and generous support. This report was prepared by The Allen Consulting Group Pty Ltd based on national research conducted in late 2000 and early 2001. The Allen Consulting Group Team was led by Dahle Suggett and Mary Ann O’loughlin with research undertaken by Ben Goodsir, Troy Hey and Jane Worner. The authors also wish to gratefully acknowledge the support of John Hine, Assistant Director, Business Council of Australia. The Business Council of Australia is an association of chief executives of leading Australian corporations with a combined national work force of more than 1.1 million people. It was established in 1983 to provide a forum for Australian business leader- ship to contribute directly to public policy debates in order to build a better and more prosperous Australian society. The Allen Consulting Group Pty Ltd is a public affairs, public policy and business consultancy with offices in four States and Territories. iii Table of Contents Executive Summary x Chapter One Addressing Indigenous Disadvantage – the Role of Enterprise 1 Social and Economic Profile of Indigenous Australians 2 The Welfare Response 4 Addressing Disadvantage 5 International Comparisons 8 Barriers to Overcome 11 Chapter Two Business-Indigenous Community Collaboration in Australia 13 Introduction 14 A Changing Social Role for Business 14 Profile of Survey Respondents 15 Companies Without Targeted Indigenous Activities 16 Policies, Strategies and Activities 17 Experiences and Perceptions 20 Future Activities 23 Indigenous Community Experience in Collaborative Activities 23 Chapter Three Building Commitment 25 Introduction 26 Policies and Commitments 26 Ways of Working: Getting the Processes of Engagement Right 38 Operational Capability 48 Chapter Four Education, Training and Employment 51 Introduction 52 Dimensions of Educational Disadvantage 53 Training and Employment 56 Perspectives of Indigenous Participants 77 v Indigenous Communities & Australian Business Table of Contents (continued) Chapter Five Business Development 81 Introduction 82 Targeting Indigenous Business Development 82 Partnership and Joint Venture Approaches 85 Business with Indigenous Communities 90 Indigenous Banking and Financial Services 91 Intermediaries: Channels for Engaging with Indigenous Business 94 Indigenous Intermediaries 98 Chapter Six Social Programs and Community Development 103 Introduction 104 People Development 105 Community Development 106 Health, Culture and Sport 115 Philanthropic and Sponsorship Support 118 Features of Social and Community Program Delivery 120 Rationale for Social Programs and Community Development 120 Cooperative Regional Development 120 Concluding Comments: Community Development 121 Chapter Seven Achieving Mutual Benefits 123 Introduction 124 Lessons Learned 125 Identifying Corporate Benefits 127 Securing Community Benefits: Participants’ Views 129 Some Concluding Comments 133 Appendix A Methodology 135 Appendix B Case Study Profiles 137 Appendix C Corporate Leaders for Indigenous Employment 141 vi Indigenous Communities & Australian Business Case Studies and Exhibits Case Study Figures Case Study 3.1 Australian Chamber of Commerce and Industry: Principles of Policy 28 Case Study 3.2 WMC Resources: Indigenous Peoples Policy 28 Case Study 3.3 The Woodside Group of Companies: Aboriginal Affairs Policy 30 Case Study 3.4 Rio Tinto: Aboriginal and Torres Strait Islander Policy 31 Case study 3.5 The Chamber of Minerals and Energy of Western Australia: Policy Statement on Aboriginal Affairs 32 Case study 3.6 Pasminco Ltd: Indigenous Peoples Policy 33 Case Study 3.7 Australia Post: Commitment to Indigenous Australians 33 Case Study 3.8 Australia Post: Indigenous Employment Strategy 34 Case Study 3.9 The Body Shop: Mission Statement 34 Case Study 3.10 Gwydir Valley Cotton Growers’ Association: Employment Strategy Vision 35 Case Study 3.11 Hall Chadwick: Indigenous Business Goals 36 Case Study 3.12 BHPBilliton: Working Responsibly, Indigenous Heritage and Rights 37 Case Study 3.13 Lend Lease: A Community Development Model 42 Case Study 3.14 APMA & AMA: Lessons for a Successful Partnership 43 Case Study 3.15 Pasminco: Establishing Operational Principles 44 Case Study 3.16 Pasminco: Management Structures 44 Case study 3.17 Victorian Minerals and Energy Council: Forming an Indigenous Affairs Policy 45 Case study 3.18 Normandy: Principles to Guide Indigenous Relations 46 Case Study 3.19 Normandy: Assessment Process for Management of Indigenous Relations 47 Case Study 3.20 WMC Resources: Principles for Management 47 Case Study 4.1 Polly Farmer Foundation: Building Educational Opportunities 54 Case Study 4.2 Gumala Mirnuwarni: Achievements 54 Case Study 4.3 Gumala Mirnuwarni: Education Project – Student Views 55 Case Study 4.4 Australian Chamber of Commerce and Industry: Indigenous Employment Program 57 Case Study 4.5 Lend Lease: A Strategy For Outcomes 58 Case Study 4.6 Coles Myer: Retail Training Partnership 59 Case Study 4.7 John Forrest VTEC: Ingredients for Success 61 Case Study 4.8 John Forrest VTEC: Results 61 Case Study 4.9 Hamersley Iron: Training Participants’ Views 62 Case Study 4.10 Eurest: Benefits of Indigenous Employment 66 Case Study 4.11 Eurest: Critical Project Success Factors 67 Case Study 4.12 Australia Wide Consultancies: Indigenous Training and Employment 67 Case Study 4.13 Gwydir Valley Cotton Growers: Strategy Objectives 70 Case Study 4.14 Gwydir Valley Cotton Growers: Employment Strategy Rules 71 vii Indigenous Communities & Australian Business Case Studies and Exhibits (continued) Case Study 4.15 Gwydir Valley Cotton Growers: Moree Mentor Service Model 71 Case Study 4.16 Gwydir Valley Cotton Growers: Number of Placements 72 Case Study 4.17 Gwydir Valley Cotton Growers: Challenges 73 Case Study 4.18 Museum Victoria: Employment and Training Strategies 74 Case Study 4.19 Qantas: Program Achievements 76 Case Study 5.1 The Body Shop: Fostering Indigenous Economic Development 83 Case Study 5.2 Coles Myer: Native Foods Initiative 84 Case Study 5.3 Qantas: Partnerships in the Arts 85 Case Study 5.4 MIM and KOUTHA: Joint Venture in Growth 86 Case Study 5.5 MIM and Queensland Bulk Haulage: Driving Success 86 Case Study 5.6 Hamersley Iron and Gumala Enterprises: Building New Ventures 88 Case Study 5.7 Aurora Resorts and Hotels – Red Centre Dreaming Dinner and Show 89 Case study 5.8 Telstra – Remote Indigenous Community Contracts 90 Case Study 5.9 Carey Mining Pty Ltd: Engaging in the ‘Real’ Economy 91 Case Study 5.10 First Nations Advantage Credit Union: Partnership for Indigenous Advantage 92 Case Study 5.11 Hall Chadwick: Developing Indigenous Enterpise skills 95 Case Study 5.12 Australian Chamber of Commerce and Industry: Indigenous Employment, Education, Training and Small Business Development Program 97 Case Study 5.13 Indigenous Business Australia: Vision and Purpose 99 Case Study 5.14 LUMBU Indigenous Community Foundation: Aims and Objectives 100 Case Study 6.1 Rio Tinto Aboriginal Foundation: Education Initiatives