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Section One - Strategy. Environment, Leadership, Risks and Organisational Capability

Part One – Our Strategy and Performance in 2008/09

Section One – Strategy, Environment, Leadership, Risks and Organisational Capability

(a) Strategy

The Ministry’s strategy for the 2008 financial year incorporated three intermediate outcomes and seven strategic priorities.3 Following the election in November 2008 the Ministry’s strategy reflected the priorities of the National-led Government. This report therefore includes Ministry performance relating to the current Government’s goals and priorities for the period December 2008 to 30 June 2009.

The core of the Ministry’s strategy is to support a vibrant, sustainable and productive arts, culture and heritage sector. This requires the active participation of artists, audiences, cultures, enterprises and communities. Active participation is supported by quality cultural experiences and cultures in New Zealand that are visible and accessible – to New Zealanders and international audiences. Therefore, the initiatives and services supporting Ministry’s strategy in 2008/09 emphasised:

· enhancing the visibility and accessibility of culture and cultural experiences

· providing policy leadership to arts, culture, heritage sector; broadcasting, sport, Government and local authority organisations

· supporting and monitoring the good governance, sustainability and value for money of funded entities

· protection of New Zealand’s cultural heritage

The following strategy map is an overview of how the Ministry’s services provided in the reporting period supported medium and long term goals.4

Strategy Map

3 For further details see pages 8–10 of the 2008 Statement of Intent

4 For further details see pages 6–9 of the 2009 Statement of Intent

(b) Operating environment

Several key trends influence the participation in and funding of arts, culture and heritage activities and, consequently, the Ministry’s strategy:

· greater cultural, ethnic, population and community diversity.These changes boost demand for greater diversity and customisation of cultural experiences. This trend supports the continued focus on increasing the use of the Ministry’s online cultural resources, targeting audiences and audience contribution.

· an adverse economic and fiscal outlook.This affects the availability of funding for artists and cultural organisations and threatens the development of high quality local cultural content. It also underlined the need to ensure that government funded cultural initiatives provide value for money, stimulate demand for cultural activities and are being delivered by cultural organisations that are sustainable in the long term.

· increasing demand for history, culture and heritage experiences. Taking advantage of growing demand for information about New Zealand’s history, people, land, culture and heritage was a priority for the period. Therefore, both reaching a wider audience and ensuring access to national heritage sites were a key focus for the delivery of heritage services.

· realising the potential of Māori.Māori culture is a key foundation from which Māori develop their potential economically and socially. To enhance the Ministry’s contribution to realising the potential of Māori, a number of initiatives were implemented aimed at developing the Ministry’s capability to engage confidently with Māori.

· the increasing visibility of New Zealand’s culture internationally. Accessing opportunities to promote New Zealand’s identity overseas and advance diplomatic, cultural and economic priorities in key regions continued to be a focus for the cultural diplomacy programme and for, the Ministry’s guide to cultural activity in New Zealand.

· rapidly changing online and digital technologies.Managing the transition from analogue to digital television was a priority during the period, with the establishment of an industry-government steering group. Research and analysis was also begun to consult with regional television broadcasters in a fully digital environment.

· We expect that these trends will continue to influence the Ministry’s strategy for the next three years.

(c) Sector leadership and research

Providing increased leadership to the sector became an explicit priority for the Ministry following the election. A sector with a clear sense of direction will be better positioned to realise its social and economic contribution to New Zealand. The Ministry’s sector leadership role includes leading policy development, encouraging good governance in the sector, coordinating cross sector initiatives, facilitating consensus on direction and strategy, supporting the increased contribution of Māori and Māori culture, and communicating the social and economic value that cultural activity contributes to the country.

During 2008/09, several work programmes supported the Ministry’s sector leadership role. The operating performance of these programmes is reported in Section Two.

Supporting the Ministry’s sector leadership activities is its programme of research. This informs:

· the development of strategy and cultural initiatives

· investment in the sector

· communicating the social and economic contribution of cultural activities.

The Ministry uses twenty-four cultural indicators to monitor trends in the contribution of cultural activity to the New Zealand society and economy. The cultural indicators are supplemented by targeted research on key producer, consumer and community arts, culture and heritage related influences and trends.

In 2008/09 the Ministry published targeted research on:


Research report


Selected findings


How Important is Culture? New Zealanders’ Views in 2008 – An Overview.


In 2008 there are now more people who strongly agree that:

·         Māori culture and activities are an important part of New Zealand’s national identity (up from 45% in 1997 to 62% in 2008)

·         Culture and cultural activities have a high profile in NZ (up from 23% to 38%)

·         Cultural activities should receive some funding from Government (up from 37% to 49%)

·         information about culture and cultural activities is readily available (up from 23% to 33%).

Employment in the Cultural Sector 2009 – Ngā Mahi ki te Taha Tikanga ā-Iwi.


Between 2001 and 2006:

·         The number of people in paid cultural employment increased by 21 percent, compared with an increase of 15 percent in total employment

·         There was a 26 percent increase in employment in cultural occupations and an 18 percent increase in employment in cultural industries

·         The cultural industries accounting for the most growth were preschool education, architectural services, religious organisations and interest groups.

Demand for Cultural Tourism – Update 2008


· Interest in cultural tourism products was generally strongest amongst visitors from the United Kingdom, Germany and North American markets

· Interest in cultural tourism products was typically stronger amongst female visitors than males

· Interest in cultural tourism products was most evident amongst the older age groups (45 years +).


(d) Risks

The Ministry’s 2008 Statement of Intent identifies the main risks to the Ministry’s sustained performance. Overall, none of the identified risks to the Ministry’s total performance adversely influenced ongoing performance during the year. The impact on Ministry performance of each risk during 2008/09 was as follows:




Action Taken


Failure to maintain the quality of policy advice, monitoring and other services to Ministers


Sustaining the confidence of some stakeholders in the quality of policy advice was a challenge during the period. The Ministry sought Ministerial and independent feedback on improving the quality of policy advice and has implemented initiatives to address this risk, including a programme of training, mentoring and peer review.


Loss of reputation for reliability and accuracy of Ministry-developed digital resources


The Ministry received no challenges to the accuracy of its digital resources for the period.


Performance failure at a funded agency


Through a programme of funded entity reviews and performance monitoring the Ministry proactively identified and addressed any risks to entity performance.


Failure to understand or meet the requirements of users of Ministry online resources


The growth in visitors to the Ministry’s online resources and more user generated website content signified that the Ministry continued to understand and meet the needs of users.


Failure to maintain and develop effective networks and robust processes for consultation with stakeholders


As part of its on-going operations the Ministry conducted a number of consultation and feedback exercises with stakeholders.


Major technology failure


The Ministry’s technology platforms and related development projects continued to provide service improvements without significant disruption to normal operations.



(e) Developing organisation health and capability

The Ministry’s five-year organisational health and capability strategy is to sustain the continuous improvement of systems, processes, people, leadership and culture.5 In 2008/09 the Ministry’s initiatives focused on enhancing organisation efficiency, developing leadership capability, strengthening the professional development of staff, developing the internal culture and fostering strong relationships with stakeholders.

Organisation health and efficiency

The organisation health and efficiency objectives, performance measures and actual performance for 2008/09 are:






Actual performance


Organisation health


The Ministry is considered a desirable place to work (a responsive, productive and focused work culture)


Employee engagement rates


2007/08 – 3.7 out of 5

2008/09 – 4.03 out of 5 (79th NZ Public Sector percentile)


Average length of service


2007/08 – 3.7 years

2008/09 – 4.3 years


Average age of staff (proxy measure for staff experience)


2007/08 – 42 years

2008/09 – 43.3 years

Organisation efficiency


Average staff cost per output – Total direct salary costs divided by direct staff numbers


Monitor the costs of producing outputs in relation to quality and resources required


2007/08 – $70,386

2008/09 – $80,456

Ratio of staff full-time equivalent (FTE) engaged in output production to corporate support



2007/08 – 3.7: 1

2008/09 – 3.2: 1

Personnel expenses per FTE (whole of Ministry) – Total personnel costs divided by FTE staff numbers



2007/08 – $78,442

2008/09 – $73,890


Overall, these measures indicate that:

· the Ministry’s organisational development programmes have had a positive impact upon employee engagement and work culture

· the Ministry has staff with sufficient experience to effectively contribute to overall performance

· the Ministry’s corporate support activities are being provided at decreasing cost.

Developing capability

The development of staff capability in 2008/09 focused on developing future leaders, increasing staff engagement, professional development of managers and equipping staff to liaise effectively and confidently with Māori. Progress on capability development initiatives either implemented or continued from 2007/08 were:




Actual performance


Continued implementation of the Ministry’s leadership development programme


The Ministry’s Leadership Development Programme for 2nd tier managers has comprised in-house training, external seminars and action learning groups. The programme included developing leadership teams, coaching and engaging with Maori. At an individual level 2nd tier leaders have identified specific learning opportunities to enhance their leadership capability.


Implement staff engagement survey


The results of the April 2008 Engagement Survey were one input in the Ministry’s 2008/09 organisational development plan. The Ministry ran its second Gallup Staff Engagement Survey in March/April 2009. The Ministry’s scored significantly higher in its 2009 ‘Engagement Scorecard’. (For details see Organisation health and efficiency table on page 10)


Expand the professional development programme


The in-house professional development programme for 2008/09 included our regular project management and communications type courses. This year we also introduced a Machinery of Government course that was well subscribed and regarded.
As part of enhancing the Ministry’s ability to engage with Māori, the Ministry’s leadership team completed a te reo and mihimihi course and up to 25 staff completed a very successful tikanga course.


Develop a programme to ensure that the Ministry is equipped to liaise effectively and confidently with Māori


The Ministry’s Māori Engagement work programme was finalised during 2008/09 and overseen by a Steering Committee. A part-time Māori Adviser (Pou Arahi Whakahaere) position was established to implement the work programme and a tikanga specialist engaged.
A set of competencies focusing on knowledge of Māori culture and language, incorporating Māori engagement into team and project management, and relationship management, were developed. These competencies then informed the training and development priorities for 2008/09 and 2009/10. Consultation/Engagement guidelines were developed to support staff when planning work that may relate to Māori.


Updated on 23rd July 2015