Public Sector Report BBC

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The following is a report into a public sector organisation known as the British Broadcasting Corporation (BBC). The BBC is the largest broadcasting corporation in the world, It is a public service broadcaster established by a royal charter, obtaining funding for its main operations through the television licence fee paid by UK households, such as 8 national TV Channels, 10 National Radio Stations, 40 Local Radio Stations and an extensive website. For full TV Licence info and how it is used, see APP. Licence Fee.

The BBC also operates in other areas such as the BBC World Service which broadcasts to the world on radio, on TV and online, providing news and information in 32 languages. It is funded by a government grant, not from the licence fee. The report will look into the purpose of the BBC, how the BBC is run, its mission, vision and values, six public purposes, overall performance, financial information, the six year investment strategy and other general operating activities. Main Findings: The BBC is governed by the BBC Trust which represents the interests of the licence fee payers and sets the overall strategic direction for the company.

The Operational responsibility rests with the executive board, which is responsible for delivering the BBC’s services and running the organisation in accordance with the overall plan set out by the Trust. The Trust works closely with national Audience Councils in order to understand the needs and concerns of audiences. The ambition of the BBC is to Inform, Educate and Entertain, its mission to enrich people’s lives with programs that follow that ambition and its vision to be the most creative organisation in the world.

In order for the BBC to fulfil its mission to inform, educate and entertain, the Royal Charter and Agreement sets out six public purposes. Last year was one of change and many challenges for the BBC, but also a year of considerable achievement with also the six-year investment strategy ‘Delivering Creative Futures’ being approved and implementation begun. Creative Futures is about the BBC meeting the digital future by providing quality and distinctive public service programming in ways to suit the needs of all audiences, and created by production bases across the entire UK using new technology to maximise efficiency.

The Trust set long-term measurable objectives alongside this strategy to ensure outcomes in line with expectations and these include: increasing quality and distinctiveness in everything the BBC does; maintaining maximum reach consistent with its purposes and values; improving efficiency – and a new 3% annual target was set. Facts and Figures: The BBC’s Licence Fee income was up by 3. 0% from i?? 3,243m to i?? 3,369m, with Licence Fee evasion still standing at 5. 1%, although Licence Fee Collection Costs was down by 0. 5% from 4. 1% to 3. 6%. Expenditure on TV, Radio and Online Services were all up, with TV up by 1.

6% from i?? 2,319m to i?? 2,355m, Radio by 6. 2% from i?? 564m to i?? 599m and Online Services up by 18. 2% from i?? 154m to i?? 182m meaning total spend on services was up by 3. 3%. For full details see APP. Financial Info. The BBC showed growth in Reach and Share across the whole board with total BBC weekly reach up by 0. 5% to 93%, %. As well as growing online usage, an increase in television viewing also accounted for this rise, demonstrating that the traditional services and public service content remain important and popular amongst all audiences of all ages.

TV reach was up by 0. 6% to 85% also all Digital TV channels showed promise with BBC Three/Four, CBBC, and the News Channel all up from the previous year. The BBC’s online venture bbc. co. uk also reflected strong growths up to 44% meaning an average of 12m adults a week use the service. For full reach and share figures see APP. Performance. Viewing and listening amongst 16-34 year-olds held firm across the BBC portfolio, and there was a notable increase on BBC Three (23% of 16-34 year-olds watched BBC Three each week in 2007/08, up from 17% in 2006/07).

Freeview is now the most popular digital television platform providing a high signal and picture quality. Freeview’s success has led to increased demand for capacity as the BBC and other broadcasters develop new services such as HD Television. In the early stages, value for money was achieved by making Freeview available to as many license fee payers as possible and now, five years after its launch, new technologies provide new opportunities to deliver even more value.

Alongside traditional linear broadcasting, the BBC made a great advance into the video on demand world with the launch of the BBC iPlayer and the HDTV channel, Since its launch there have been over 100 million programme requests, and in April a quarter of viewings was of programmes outside the top 20 television titles, suggesting that programmes not widely watched through traditional broadcasting are reaching a new audience. The BBC has a commercial arm, BBC Worldwide, which operates a range of businesses including selling programmes around the world and publishing books, DVDs and merchandise.

Its profits are returned to the BBC for investment in new programming and services. BBC Worldwide showed a significant increase in profits by 16. 8% to i?? 118m from i?? 101m ahead of budget and reflecting strong growth, particularly in international markets with an increase in return on sales from 12. 4% to 12. 8%. Over the last three years – before the new 3% annual efficiency targets took effect on 1 April 2008 – the BBC delivered i?? 347 million in annual savings (around 10% of the original cost base).

This was a significant achievement even though it fell short of the target set by some i?? 8m. Greater efficiency of licence fee collection and sustaining the levels of evasion brought the gross cost of collection to 3. 6% of the licence fee which was the lowest ever. Recommendations: My recommendation for the BBC would be with regards to the licence fee, after recently joining a group on Facebook called “10 Million for NO LICENCE FEE”. I feel the BBC in a way forces itself onto the airways and we are required to pay for its upkeep regardless of whether or not we watch it.

i?? 139. 50 is a considerable amount of money to pay especially if you are not using the services. I would suggest that the BBC look into other ways of funding, and have to consider advertising on their channels to generate extra income, and also with the vast range of TV channels and services including SKY and Virgin Media, an opt-out of the TV Licence option should be made available to those who do not wish to subscribe to its services. Conclusions:

Overall the BBC is very well established and an extremely successful public sector company, showing promising growth across all areas of its operations, with ever more demand for its online services, and increasing listening and viewing numbers. The BBC remains the benchmark for all broadcasters with the quality and integrity of its news and factual output is second to none, along with its creativity in other programmes including first class drama and home to the most iconic comedy and entertainment ever. The fact it does this year after year on radio, television and online means the UK should take pride in what the BBC does for its country.

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