As a result, we have exercised leadership in transforming the way CBC/Radio-Canada interacts with Canadians. In addition, we currently partner with SiriusXM Satellite Radio to offer six channels of CBC/Radio-Canada content. This lower price trend is growing and is limiting the growth of CBC/Radio-Canada's Internet advertising revenue.
TV is Still Alive
Radio’s Audience Decline is Not Equally Distributed
All Markets Are Not the Same
CBC/Radio-Canada’s Strengths Going Forward
Strong Brand
Canadians Embrace Our Services
Television
Radio
Digital
Our commitment to Canadians is that by 2020, CBC/Radio-Canada will be Canada's public space where these conversations live. When we started Strategy 2020, more than half of Canadians told us that CBC/Radio-Canada is very important to them personally.1 By 2020, we want three out of four Canadians to feel this way. Vision: In 2020, CBC/Radio-Canada will be the public space at the heart of our conversations and experiences as Canadians.
Progress on the Implementation of Strategy 2020 Initiatives in 2015-2016
The additional $75 million in funding for and $150 million per year on an ongoing basis is a vote of confidence from the government and Canadians in our programs, our people and our vision for the future. The funding will provide an element of flexibility as we assess the progress of our digital strategy and make necessary investments going forward. This includes one-third of the funding to maintain our momentum on key, strategic programming and initiatives already planned this year;
2015-2016 Strategic Initiatives – Expected Outcomes and Results
Content and Services: The Cornerstone of Strategy 2020 1 Engaging Canadians in the Public Space
- Content Support Strategy Production
- Music Digital Infrastructure Consolidation
Expected Results for 2015-2016 Promote relevant, nation-building experiences for the Canadian public and showcase Canadian talent. Expected results for 2015-2016 Expand the reach and impact of schedules and services to keep pace with audiences. Continued to create musical engagement with audiences through revamped morning and afternoon playlists on CBC Radio 2, special music events and a digital focus.
The Strategy Enablers
- Infrastructure Strategy: Modernize, Optimize and Scale
- People and Culture Strategy
Provision of a consolidated digital infrastructure and tools with basic functionalities to support the migration of existing sites to the new framework. Project Objective: Ensure staffing resources are available to deliver the strategy and better reflect Canada in our workforce. An improved sourcing strategy that uses predictive workforce planning to provide workforce analysis, forecast resources, identify future talent and key roles, and identify gaps and risks.
Project Objective: To deliver effective change programs to help leaders and individuals manage the significant changes that Strategy 2020 will bring. Better understanding of our workforce, enabling better planning to address Strategy 2020 resource needs. Better understanding of business needs and shortening time to hire and providing candidates with a better and simpler experience.
While workforce planning and strategic sourcing remain crucial parts of the People and Culture strategy, emphasis has been placed on change management and leadership development in support of Strategy 2020. This objective will continue to form part of the three People and Culture pillars. annual plan. The key components of the new leadership development program (Evolving Leadership Development System - launched in spring 2015) are leading the people side of change and crucial conversations (working effectively with others during change): to date, 58 mid-level leaders participated in the program.
Provides extensive consulting and coaching on effective change management and transition team leadership with senior organizational design project team leaders.
2016-2017 Strategic Initiatives
Content and Services: The Cornerstone of Strategy 2020
- Engaging Canadians in the Public Space Programming
- Financial Sustainability
Maintain CBC/Radio-Canada's geographic presence to be even more local, but at a lower cost. Facilitate CBC/Radio-Canada's technology and real estate footprint across the country by focusing efforts and resources on content rather than infrastructure. CBC/Radio‐Canada's production infrastructure was established at a time when only broadcasters had the financial means to produce and distribute content.
CBC/Radio-Canada's current infrastructure was established at a different time, with different market factors and with a different view of service offerings. It will also enable the Corporation to make more efficient and strategic technology decisions, helping to keep pace with the rapidly evolving media landscape. Undertake the ongoing financial and risk analysis related to the recommendations for the optimization and evolution of the data center infrastructure.
The decrease in leased square footage also contributed to the decrease in the global portfolio. The strategy aims to simplify every part of CBC/Radio-Canada to increase responsiveness, alignment and empowerment. The above Strategy 2020 initiatives set out the direction CBC/Radio-Canada must take to be financially sustainable in the long term.
1 While Workforce Planning and Strategic Procurement continue to be critical parts of the People and Culture Strategy, there has been an emphasized focus on change management and leadership development in support of Strategy 2020.
Measuring Our Performance
Strategic Indicators
Measuring our Success
Measuring our Mandate and Vision
Survey Highlights
Measuring our Strategy 2020
Measuring our Media Lines
French and English Services’ Performance
French Services
English Services
Canadian Content and Results 1
People and Culture: Aligning Our People and Culture Strategy with Our Business Strategy
Aligning Our Strategy With Strategy 2020
Our Compensation Program
Our Pension Plan
Our Learning Commitment
Measuring Our Success
Our Labour Environment
National Union 1
CBC – English File 1
Radio-Canada – French File 1
Risk Management
- Budget Concerns
- Workforce Challenges – Recruiting, Training, Retaining and Empowering a Skilled Workforce
- Union Relations and Negotiations
- Information Security
Update Strategy 2020 implementation plans including the amount, timing and impact of new incremental government funding in the strategic plan. We face financial challenges that include an industry-wide softening of the advertising market and a shift of advertising dollars from traditional television to digital platforms. The implementation of Let's Talk TV decisions, such as small basic packages and discretionary services that are offered independently or in small packages, may adversely affect subscriber and advertising revenues.
Implement action plans to address the recommendations of the Rubin Report and our commitment to a respectful work environment for all employees. Implementing action plans to address the results of the 2015 Employee Dialogue Survey, as well as conducting an Employee Dialogue Survey in the fall of 2016 to ascertain the effectiveness of the action plan. There is a risk that negative perceptions of CBC/Radio-Canada could undermine credibility and stakeholder support.
There is a risk that the protracted procedures for resolving the Radio-Canada union structure will make the negotiation of the first collective agreement long and difficult. On May 18, 2016, the Board of Directors selected two proposals, both of which would see the public broadcaster's Montreal home remain on part of the same site. As for the sale of the existing facility, the final phase of the process will continue with four bidders.
The final selection of proposals, both for the new MRC and the sale of the existing facility, is expected in autumn 2016 and is subject to approval by the Treasury Board.
FINANCIAL PLAN
Financial Overview
Material Risks to Financial Plan and Outlook
We also continue to monitor and evaluate the broadcasting industry following the decisions made in the CRTC's Let's Talk TV review of the television industry in Canada. Plans have been developed to mitigate any adverse changes to our specialty channel distribution and revenue, including channel transfer negotiations of our specialty channels with our Broadcast Distribution Company partners. These uncertainties have jeopardized the creation of some content and some digital initiatives planned under Strategy 2020.
As such, around 35% of the new funding will go towards securing our momentum and ongoing work so we can continue to move forward with CBC/Radio-Canada's transformation into the digital space as we work with the government and other stakeholders to reinvent our business model.
Looking Forward
Borrowing Plan
APPENDIX A
Financial Overview ($ 000s) 1
APPENDIX B
Capital Budget
Capital Governance and Process
Context for the Capital Investment Plan
Real Estate Strategy
Capital Plan Overview
Capital Investment Plan
Updates to major systems, including broadcast management systems and the migration of an outdated telephone system to a less expensive Internet Protocol-based telephony solution. Current portion of the long-term Telesat lease for transponders (required to be reported as capital under International Financial Reporting Standards). Various projects related to transmitter and tower investments necessary to maintain the coverage of our radio services, maintain infrastructure and comply with codes and regulations.
In addition, there are more than 14 building maintenance and alteration projects required to comply with building codes, regulations, health and safety and to replace obsolete and defective assets.
APPENDIX C
CBC/Radio-Canada’s Mandate Requirements of the 1991 Broadcasting Act
Corporate Mandate
The Role of the Corporation in the Canadian Broadcasting System
Corporate Powers
Regulatory Requirements
The company's other broadcasting activities (e.g. special television and pay audio services) are subject to the same regulatory regime as other industry participants. However, under section 26(1)(b) of the Act, the Governor may order the CRTC to reserve channels or frequencies for the CBC/Radio-Canada. The CRTC has renewed the licenses for CBC/Radio-Canada's conventional television, radio and specialty services.
The decision confirms the corporation's digital media strategy and supports the ongoing implementation of our long-term strategic plan.
Governance
The Auditor General of Canada is the company's auditor (section 61 of the Act). Section 132 of the FAA requires the Corporation to prepare an annual audit report addressed to the Minister of Canadian Heritage. Sections 138 through 142 of the FAA require the company to conduct a special examination of its systems and practices at least once every ten years.
The audit report of this special investigation must be submitted to the Board of Directors. If deemed necessary by the auditor, the auditor, after consultation with the Council, will bring all relevant information to the attention of the Minister of Canadian Heritage. Section 71 of the Act requires the Corporation to submit an annual report to the Minister of Canadian Heritage and to the Chairman of the Treasury Board within three months of the end of its fiscal year.
Finally, in addition to those governance mechanisms set out in the Act, CBC/Radio-Canada introduced a Corporate Whistleblowing Policy (the "Whistleblower Policy") in 2004 and amended it in 2007 to meet the demands of the public . Act on the Protection of the Protection of the Protection of Servants (proclaimed in force on 15 April 2007). Complaints from the public that are not resolved at program level are referred to one of the Corporation's two independent Ombudsmen. With the passage of the Federal Accountability Act, CBC/Radio-Canada (on September 1, 2007) became subject to the provisions of the Access to Information Act and the Privacy Act.
The Access to Information Act (ATIA) gives the public a right of access to all records held by the federal government, Crown corporations and other government institutions subject to the Act; it also sets out exceptions to that right.
Managerial and Organizational Structure
In the case of CBC/Radio-Canada, ATIA specifically states that it does not apply to information relating to CBC/Radio-Canada's journalistic, creative or programming activities.
Senior Executive Team
