Introduction
1 The corporate aim
1.1 The British Council is Britain's principal agency for the conduct of cultural relations overseas. It is an independent and non-political organization managed by a Director-General working to a Board.
1.2 In keeping with its Royal Charter of 1940, the aim of the British Council is to promote an enduring understanding and appreciation of Britain in other countries. It does this by providing access to British thought, experience, achievement and expertise across the cultural spectrum, but notably in education, science, the arts and fields which are important in technical co-operation.
1.3 In addition, the Council applies its service capabilities, overseas and in Britain, in the management of a range of schemes and projects for the Foreign and Commonwealth Office (FCO), the Overseas Development Administration (ODA) and other organizations. This work, too, is consistent with the terms of the Royal Charter.
2 Priorities and objectives
2.1 The Council's priorities and principal management concerns in the years to 1994 are:
• to take maximum advantage of opportunities opening up for Britain, particularly in the wider Europe, in East Asia (particularly Hong Kong) and in Southern Africa
to consolidate the Council's role as FCO's principal agency for cultural relations and maintain its role as ODA's principal technical assistance agency
⚫ to increase in real terms the Council's income from sources other than the government grants, and to diversify the sources of that income
• to relocate with minimum disruption most of the Council's principal specialist operations and businesses to central Manchester
⚫ to focus on staff and career development, and on public relations and communication programmes to improve understanding of corporate strategy and the Council's work.
2.2 The principal objectives within these priorities are described in chapters 7 to 16.
3 Operating context
3.1 The Council's mission and chartered purpose remain unaltered but the environment in which it works is changing rapidly. The Council is having to operate in new ways, to adapt to new circumstances and new markets that are increasingly competitive. In order to grow, the Council must take account of the competition, demonstrate that the quality and value of its
services are the best, and actively win business. Underpinning the Council's planning for the new triennium 1991/92 to 1993/94 is its belief in its mission, in its staff, in the quality of its services and in its future.
3.2 A major challenge facing the Council will be the move from one of its central London offices to premises in Manchester at the end of 1991. This is being undertaken for cost advantages and to base the Council nearer the heart of its UK higher educational constituency. Initially about 500 jobs (around one-third of the total UK establishment) will relocate. Some staff loss is unavoidable, with a consequent need to enhance programmes of recruitment and of training. Additionally, internal reorganization in 1990 will enable the Council to improve its cost effect- iveness. While this will mainly be completed by April 1991, i.e. before relocation, the Council is aware that relocation and restructuring together represent a volume of change that will put additional pressure on its staff. A major management task at all levels will be to minimize this and maintain staff confidence and morale.
3.3 Other constraints also affect the Council's planning. These include:
⚫ the impact of inflation on the grant-in-aid from government
• the need to develop the computerized financial system and management information systems
• continuing efficiency pressure on managers
• shortages of appropriately skilled and experienced staff in the face of shifting priorities and demographic factors.
3.4 The Council's planning for the triennium takes account of a number of significant challenges. Principal amongst these are:
growing global opportunity for Council activity
• extending the range of funding partners with which the Council can collaborate
⚫ the change in ODA agency work from grant to contract funding from 1991
growing projectization in aid, cultural and educational work
⚫ the interest of domestic ministries and other organizations in offering cultural services, particularly to the European Community (EC) ⚫ the changing policies of international lending agencies (ILAs).
3.5 Overseas the Council faces international competition of increasing strength and range, particularly in the field of cultural influence and the delivery of English language services. The main competitors are EC partner countries, the old Commonwealth and English-speaking developed world, Japan and the Soviet Union. The overseas environment is additionally complicated by political developments, notably in
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