MFAT - Summary of Proposed Changes

What is being proposed?

The changes aim to build on what the Ministry does well, while focusing our work and modernising our organisation in line with wider public and private sector practice. The changes proposed are designed to ensure the Ministry can operate its foreign policy, trade and consular work in a more targeted and flexible manner and to modernise back office functions so they are more efficient and cost less to operate.

The changes proposed include:

• Enabling staff to concentrate on foreign policy issues by modernizing administrative procedures and creating a clear strategic framework for the Ministry’s work.
• The development of deeper expertise by Ministry staff in areas that affect the interests of New Zealand.
• Using technology, outsourcing and ‘hubbing’ to improve efficiency and reduce administration and support staff across the Ministry.
• Changes to the structure of some missions to allow the Ministry to be more flexible in the way in which it represents New Zealand overseas, for example smaller missions in some places and the use of non-resident ambassadors in others. The proposal also recommends that two small missions, in Sweden and Poland, be closed because of changing needs in Europe. A final decision on this recommendation will be made by Cabinet.
• Changes to the way in which people are appointed to jobs to ensure greater depth and level of expertise.
• Reviewing remuneration in order to rebalance packages between what is paid in New Zealand and what is paid offshore.
• A New Zealand based call centre available 24 hours a day seven days a week to answer queries from New Zealanders anywhere in the world and direct them to the appropriate assistance. More complex queries will be directed to Ministry staff.

The changes will be supported by a modern information technology system that is currently being implemented. They would result in savings of $20-25m pa once implemented.

Background

• These changes are aimed at modernising the Ministry in line with organisations around the world. Other foreign ministries, whether large or small, are confronting many of the same issues and the Ministry needs to modernise its operating model by adopting contemporary public and private sector practices.
• The changes will enable the Ministry to work better with other Government agencies with an economic and business focus to raise New Zealand’s rate of economic growth and intensify our international engagement.
• The proposed changes are expected to result in a smaller Ministry that is affordable, with a new business model, simpler systems and improved technology.
• The changes will assist the Ministry to meet the Government’s objectives for the Public Service in the 21st century, including:

- Having clear priorities
- Moving resources from the back office to high quality front line services
- Ensuring public services are modern, responsive and provide good value for money
- Seek efficiencies with baselines to fund highest priority initiatives
- Reducing waste, clutter and duplication
- Outsourcing things that could be done more efficiently by others, where it is not the Ministry’s core business, and where staff do not have the expertise.

Ministry of Foreign Affairs and Trade
Positions (as at 30 January 2012) – 1421 (comprising 914 Ministry positions in New Zealand and overseas and 507 locally engaged positions)
International posts – 54

Change Process

• On 23 February 2012 the Ministry released the change proposals to all New Zealand Ministry staff and Ministry staff seconded offshore for formal consultation
• The proposals are available for staff feedback until late March

ENDS

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