Capability and Governance

Since 2005, the Department has embarked on a long-term programme to develop its capability. In 2007/08, we made significant progress in this area. This links to the Department’s organisational development goals and the Development Goals for the State Services.

ORGANISATIONAL DEVELOPMENT GOALS

In 2007/08, the Department developed five overarching organisational development goals to align our work and focus our priorities. These agreed goals are to:

• be knowledgeable, influential and collaborative experts on labour and immigration
• be a facilitative, responsive and effective regulator providing high-quality and innovative services
• have our people, working environment and shared culture support excellent performance
• be a highly capable Department with integrated systems, processes and policies
• create value for New Zealand.

The Department is also working to create ‘one organisation’. This recognises the Department can provide more effective services, make more efficient use of its resources and better understand the needs of its stakeholders if it operates in an integrated way rather than a collection of independent functions.

An assessment of the scope, role and function of the Department identified a need to provide some core support functions closer to the centre of the organisation. A new Executive Branch meets a critical need to strengthen capability and capacity at the centre to support the Chief Executive in the ongoing transformation and development of the Department. The Executive Branch supports the Chief Executive function and provides the leadership and oversight necessary to develop and maintain a strong, purposeful and connected Department.

DEVELOPMENT GOALS FOR THE STATE SERVICES

The Department leads or contributes to a significant amount of policy advice directly relating to the transformation of the State sector and to the workforce and workplaces of New Zealand. As part of its work, the Department provides services to integrate and model these practices internally. The Department contributes to these goals through a range of initiatives described under the following capability section.

CAPABILITY

Employer of Choice

Ensure the State Services is an employer of choice attractive to high performers, who are committed to service and the achievement of results.

Collective bargaining

Collective bargaining with the Public Service Association saw a settlement proposal developed and released in June 2008 for ratification by members of the union. It included agreed changes to the remuneration system that will provide stepped movement in the salary range subject to individual employees meeting performance criteria assessed through the Department’s performance management system.

Safety and wellbeing

A safety, wellbeing and security team was established to focus on enhancing the Department’s internal Safety and Wellbeing Management System (systems, structures and processes). A number of work plan activities are underway in the areas of reporting, training, policies, structures, communications, security, wellbeing and the ACC Partnership Programme. Once an effective system is in place, the focus will shift to one of wellbeing.

Recruitment

Recruitment within the Department is now coordinated through a new Career Centre. Preferred supplier arrangements now exist with a number of local and national recruitment agencies, and an employment branding strategy has been developed. The centre is responsible for management of the online recruitment process and tool implemented during the year.

Pay and employment equity

The Department completed a report in September 2008 monitoring pay and employment equity within the Department since August 2006. Key findings show that:

• the pay equity ratio is currently 88.82 [1] per cent (down 2.05 per cent)
• employment equity is 59.21 per cent (up 0.3 per cent)
• 70 per cent of staff work in positions where there is pay equity.

People strategy

The Department’s Strategic Leadership Team confirmed the people plan and identified priority areas for groups and units to focus on in their business plans. Guidance material was prepared for the planning process to assist with this.

Performing for Outcomes performance management system

The first year of operation was evaluated showing reasonable understanding of the system and recommendations for system improvements. In particular, further guidance was provided to managers on moderation and a greater focus was placed on managers’ skills to assess and develop capabilities by developing a new capability framework and tools to support managers’ use of it.

Department capability framework

A new set of behavioural capabilities was developed to underpin all of the Department’s people systems for staff. Having a consistent set of capabilities to describe desired behaviours will enable the identification of essential capabilities for job success, recruit against the right capabilities, manage to support those capabilities and develop to grow them. The capabilities will be used when revising or developing new job descriptions, to target selection tools for new staff, in the performance management system (P4O) and to assist managers to develop their staff. Manager capabilities will also be added to the framework.

Engagement survey

The Department undertook its first Gallup engagement survey, with results and follow-up scheduled for early 2009.

Learning and development

A whole-of-Department approach to learning and development culminated in a decision to develop a core curriculum for staff across the Department. A learning and development strategy was commenced to bring together existing learning and development activities and to identify the infrastructure and systems required to align learning and development activity and create a clear pathway for the future.

Management and leadership development

A manager skills programme covering people, financial, and planning and risk management was rolled out during the year. A development library designed to help managers assess their capability and access development tools and options was piloted. A further project to build leadership was scoped as part of the Foundation Capability Programme.

Maori capability

A Korero Maori booklet was developed and distributed to all staff as a resource in using Maori language in the workplace. A Maori capability framework was drafted to support staff cultural development, and a process to support the implementation of the Maori Strategy got underway. This will begin delivery in 2008/09.

Partnership for Quality 2007/2008

The Department and Public Service Association set out an annual work plan of initiatives under the direction of a Partnership for Quality Steering Group. Two major pieces of work were completed. These were an Immigration Contact Centre Productivity Project and block delegate training courses.

Networked State Services

Use technology to transform the provision of services for New Zealanders.

Information and Communications Technology (ICT) Infrastructure Programme

During the year, the Department completed detailed planning and a Stage-2 Business Case (including a formal IQA) for the Information and Communications Technology Infrastructure Programme to obtain approval to drawdown funds for implementation. Remediation work on areas of high risk was also undertaken.

Government Shared Network (GSN)

Implementation of the GSN continued, with migration of the Department’s onshore offices and EDS Datacentres from their disparate networks to a single encrypted network provided by the GSN.

ICT Sourcing Project

The Department reviewed and renegotiated its contracts with providers. We have consolidated contracts and streamlined our management of them to deliver more efficient and effective services.

Financial Management Information System (FMIS)

A business case was completed to secure funding for the implementation of a FMIS. This is a critical business function for the Department, identified through departmental review and recognised by the Treasury and Ministers.

Human Resource Management Information System (HRMIS)

The first phase of a project to improve the capability of the Department’s existing HRMIS was completed during the year. This will improve managing and reporting on the Department’s personnel establishments across the Groups and bring them into one central database. As a result, the Department will have a reliable and valid ongoing record of its establishment, a single repository for the job descriptions for each position and online access for managers and staff to this information. The project is focused on ensuring data integrity to ensure that, if the current system cannot deliver what is expected from a modern HRMIS, the Department is well prepared for efficient data transfer for any new system implementation. Phase two of the project will see further enhancements implemented.

Value-for-Money State Services

Use resources and powers in an efficient, appropriate and effective way.

Sustainability

The Department is committed to promoting the aims of the Carbon Neutral Public Service programme and the Govt³ programme. These include implementing the Government’s sustainable development policies, the use of government purchasing power to promote sustainable practice, improving energy efficiency and reducing emissions of greenhouse gases, and improving, monitoring, reporting and celebrating success in the sustainability of government activities.

The Department produced three reports to meet Cabinet requirements in 2007/08: the Govt³ Survey, the Carbon Neutral Public Service Inventory and the Emissions Reduction Plan. The latter two reports were placed on the Department’s website. Waste streaming initiatives continue to expand across the Department.

Coordinated State Agencies

Ensure the total contribution of government agencies is greater than the sum of the parts.

Capital and business planning

The Department began a new process to improve capital and business planning. The plans set or confirm objectives and specify the actions and resources required to achieve them.

Accessible State Services

Enhance access, responsiveness and effectiveness, and improve New Zealanders’ experience of State Services.

Document management system

A project was progressed to replace the existing document management system to existing users. The new system will have scalable functionality so it can be implemented across the Department.

Intranet redevelopment

The Department completed a rebuild of the intranet with the introduction of new processes for the maintenance of content.

Department’s websites

As a first step to providing an integrated suite of websites, a ‘reskinning’ of the Department’s websites was undertaken with rationalisation of existing content. The website received positive comments from the State Services Commission.

Accessible buildings

Findings from an audit found that one of the buildings the Department leases could not be entered by people with a disability. Following the audit, owners of the building commissioned a design for a ramp and other accessibility enhancements that would provide acceptable access.

Trusted State Services

Strengthen trust in the State Services, and reinforce the spirit of service.

Risk

Implementing whole-of-Department approaches to risk management, business continuity planning, legislative compliance and internal assurance began in 2007/08.

Business policies

Implementation of a comprehensive set of business policies was progressed in a wide range of areas, including procurement, sensitive expenditure and security.

Government, Executive and Ministerial Support

This function has moved into the new Executive Branch to standardise and centralise processes and provide more guidance and support to strengthen capability in this area.

GOVERNANCE

Structure

The Secretary of Labour chairs the Strategic Leadership Team (SLT), which is the governance committee for the Department. This team comprises the Secretary and six Deputy Secretaries and leads the Department’s strategic direction, organisational development and capability, and organisation performance and monitoring. The SLT works through staff and other stakeholders to achieve the Department’s purpose.

The team is supported by five sub-committees: Policy Forum; Planning and Budgeting; Human Resources; Information; and Audit.

Work groups

The Department is organised into the following groups:

• Workplace delivers policy and services related to employment relationships, workplace practices, workplace health and safety, safe management of hazardous substances to build healthy, productive workplaces and the monitoring of ACC’s performance.
• Workforce delivers immigration, employment and skills policies to build New Zealand’s workforce, as well as managing immigration in New Zealand’s best interests.
• Work Directions focuses on achieving the best labour market outcomes possible at a national, regional and sectoral level, through strategic analysis, engagement and comprehensive and tailored labour market information and insights.
• Legal and International provides legal services, advice and support to the Department and Ministers and manages labour-related international engagements. The group also provides an internally independent home for support staff for immigration appeal bodies and the newly created Immigration Advisers Authority.
• Corporate supports the Chief Executive and whole-of-Department capability through a range of central services, advice and standards for human resources, information technology and management, communications and marketing, financial management, planning and reporting, and property.
• Executive Branch supports the Chief Executive and SLT to enhance the performance of the organisation from its centre, by providing assurance on departmental systems, processes and policies. The Executive Branch includes internal audit, the Government, Executive and Ministerial Support team, and provision for a centralised Maori, Pacific and other Ethnic response capability.

Ministers and portfolios

The Department provides services to the Government through four portfolios - Labour, Immigration, Employment and ACC. The Minister of Labour is the Responsible Minister for the Department. The Department administers four Votes and reports on them to the ministerial portfolios listed below.

Ministers and Portfolios

Minister	Vote
Minister of Labour	Labour
Minister of Immigration	Immigration
Minister for Social Development and Employment	Employment
Minister for ACC	ACC

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