1. Functional Leadership: Directions to support whole of government approaches Helen Wyn, Corporate Centre sponsor for Functional Leadership Workshop for Crown Entity monitoring departments 28 November 2013

2. What we’ll cover... Better Public Services and Functional Leadership 101 Directions to support whole of government approaches – Crown entities and new legislative provisions Directions - what’s in the pipeline What it means for you – how can you help 2

3. The world as it was - pre BPS Strong vertical accountability CEs having autonomy to manage Strong incentives to focus on agency delivery ×Weak incentives for system or sector approaches Department Chief Executive Minister 3

4. Functional leadership – a key pillar of Better Public Services Functional leaders mandated to drive performance in business functions across the state services Minister Chief Executive 4

5. Who are the Functional Leaders? Brendan Boyle (MSD) David Smol (MBIE) Colin MacDonald (DIA) 5

6. How does it work? Functional leaders have responsibility to drive performance in business functions across the system, including:  Strategy  Capability  Tools/services  Assurance (GCIO) From Public Service to State Services... 6

7. Legislative changes to extend functional leadership mandates Changes to the Crown entity directions to support whole of government approaches s107 of the Crown Entities Act amended to:  give options for engaging with groups of Crown entities  increase the range of purposes for a direction to any of: improve (directly or indirectly) public services secure economies or efficiencies develop expertise and capability ensure business continuity manage risks to the government's financial position Crown entities have to give effect to a direction that applies to them  except CRIs which only have to have regard to a direction 7

8. Whole of government direction – the process A direction can be initiated by any Minister, but MoF and MoSS have to take the proposal to Cabinet and issue the direction A proposal needs to have information on:  the issue (problem/opportunity) to be addressed  the costs/benefits (or advantages/disadvantages) and how costs would be managed  how compliance will be monitored, and how achievement of the intended benefits will be assessed Consultation – formal and genuine 8

9. Next steps Engagement process with selected Crown entity Chairs and CEs to start before Christmas Letters to all ‘in scope’ Crown entity Chairs and CEs, and their monitoring departments: – what is proposed – consultation questions – consultation contacts and processes – Timeframes 9

10. Contacts for more information Property: Matt Meehan matt.meehan@pmcoe.govt.nzmatt.meehan@pmcoe.govt.nz Procurement: Karen English karen.english@mbie.govt.nz & Murray.Heyrick@mbie.govt.nzkaren.english@mbie.govt.nz Murray.Heyrick@mbie.govt.nz ICT: John Roberts & Katie McFadden john.roberts@dia.govt.nz & katie.mcfadden@dia.govt.nz john.roberts@dia.govt.nzkatie.mcfadden@dia.govt.nz Overview: Robyn Rendall robyn.rendall@treasury.govt.nzrobyn.rendall@treasury.govt.nz 10