1984 Quiz Result
(A copy of Craig Soper's powerpoint presentation is available in PDF format here (206k).
Mihi
Tua te rangi e tu nei
Tua te papa e horo nei
Tuia te here tanagata
Ka rango to po
Ka rango te au
Te hei maori ora…E nag mana, e nga reo
Ko Rakiura te iwi
Tena koeto, Tena koeto, Tena koeto ka toaIntroduction
I would like to share a few thoughts with you. These are based entirely on my own observations and are in no way the result of any kind of rigorous research or inquiry. However, if they provide you with something relevant to ponder as you leave today then some purpose has been achieved.
New Zealand is the best place in the world. We have a clean green country, no wars and a free and just society. But we are performing poorly on the economic stage.
I have a vision of a New Zealand at the top of the OECD and having the best quality of life. This is achievable! To reach this goal the Public Service must lead the way by creating an environment whereby New Zealand can prosper. The public sector must also become more effective in policy implementation and "front line" operations.
Credentials - Who am I?
Most of you won't know who I am so I'll share a brief background.
I moved to Wellington 8 years ago and started work for the Ministry of Maori Development. I worked with a number of departments and met some good calibre people. Being a part of the Public Service was a major asset for me as I gained good knowledge and contacts. I then went on to start my own company, Compudigm, which became very successful by commercializing Intellectual Property in the Global Market. I retired as Managing Director in December 2001.
Why is the Public Sector Important?
The public sector is an integral part New Zealand and its economy. A public sector that is performing well will positively contribute to the country's economy and individuals.
This is true not only because the Public Service is large (ie consists of 30,000 employees) and contributes a significant amount directly to our economy but primarily because it is also responsible for creating the environment in which New Zealand business must survive.
Issues with the Public Sector
Proactive, decisive and measurable decision-making needs to be embedded into public servants functions, spirit and work ethic to result in effective government.
A quote from Generaloberst Hans von Seecket sums up this line of thinking, "Mission Tactics means assigning the objective to be reached, providing the necessary means to do so but allowing complete freedom of action for the execution of the mission. This is based on the healthy notion that the one who bears responsibility for its success must also choose the way in which it is achieved. Just as avoiding responsibility is the sign of a weak mind,…. taking on a responsibility to which one is not equal is an overestimate of ones capabilities."
Positive results need to be rewarded but in reality the opposite is the case. Many public servants avoid making decisions because they fear the consequences of an incorrect one. Decisions are based on risk minimization rather than profit/ goal achievement. A number of public servants fear making a mistake, because that reflects badly on an individual who works in a process-orientated environment. But to be fair the Public Service is open to a lot more public scrutiny, which further exasperates the problem.
In business we make mistakes all the time. We understand that we can't win all the time. If you make 10 decisions and 2 are incorrect you are still 6 steps forward.
Venture Capitalits take this further, they aim to make 1 success out of 20 investments. This portfolio approach to investment minimizes their financial risk and ensures that they only need one successful investment to significantly improve their net worth.
Business Needs a Effective Public Service
Business needs an effective Public Service. It is difficult for us to succeed without effective government. This can be achieved by reducing compliance costs, increasing performance and recruiting people with more business experience.
Reduce Compliance Costs
Compliance costs need to be reduced. For example it takes a large amount of administrative effort in complying with government regulations, especially for a small business. For example GST and The Resource Management Act (RMA) are cumbersome and restricting for business in their current form.
How can the Public Sector Improve Performance
As stated in the SSC Statement of Corporate Intent the SSC are, "committing to an Outcomes approach to Public Management". But before the goal can be visualized or realized a set of KPIs need to developed that can be used to monitor the performance of the sector and organisation. These KPIS need to truly measure the health and performance of that sector/organisation. In the Gaming industry KPIs are EBIT, NP, GP, stroke, strike, jackpots. By constantly measuring these KPIs a casino will know how it is performing and be able to implement any required corrective action.
KPIs for each government department need to be similarly identified and implemented. Do we really know how well the government is performing? For example, with regard to Maori policy it would make sense to identify KPIs based on things important for Maori eg unemployment, average income/region and health and measure against Government performance against these KPIs. Sadly in reality these are not effectively measured.
Government needs to make decisions that result in successful outcomes and the Public Service needs to lead this effectively.
Recruit people with Business Backgrounds at all levels
In business, life is much more difficult and competitive. By recruiting business-experienced people Government can improve performance and culture. This needs to be performed in conjunction with staff retention and reward programmes to reduce the large amount of employee turnover in and between government departments.
Examples of alternative thinking on "How to maximize returns"
Today there are alternatives to spending large amounts of money on Information Technology. It is now possible to obtain the operating system, software including word processing and email for FREE. But we continue to pay large amounts when we don't need to.
The reason for this I believe is two fold 1) that a culture has grown up around existing products by which consultants and technical support people feel comfortable and make money from and 2) the decision makers don't want to take a risk on Linux even though there are large benefits to be made.
Also, Government needs to change its approach to large IT projects. The large world wide consulting companies profess ability and credibility due to size. But they are out to "screw" government. They tender for large Government IT projects knowing that their implementation methodology will ensure there are cost overruns. A system design document is signed as part of the contract and every deviation is paid for "through the nose". Software development is an iterative process and as time progresses the clients knowledge and requirements will become more sophisticated. It would be sensible to break these projects down to smaller ones that will add value to the business.
I would challenge government to use New Zealand owned companies. They would have a greater motivation to succeed and even if they fail, the money is still in NZ.
Conclusion
In conclusion, your roles as managers should be to motivate the Public Service to work in an integrated manner with all sectors of the economy. Your leadership will ensure NZ benefits and prospers. In the end, a role of government should be to create an environment for individuals and business to prosper.
However, if there is one thing that I have learned, as a somewhat successful businessman, it is that in all things balance is required. Creating a more effective government for business in New Zealand must be part of wider package, which includes maintaining and improving New Zealanders quality of life.
Finally I would like to thank you for inviting me to speak to you today. It is not often that I am able to do so and within such an auspicious environment. However, although I have discussed some of the issues that I have encountered, today is your day and my best wishes to you all.
