Industry Training Organisations to merge

Friday, 8 June 2012
Press Release: The New Zealand Industry Training Organisation
8th June 2012
Industry Training Organisations to merge

NZITO (dairy & meat processing) has completed due diligence with SITO (seafood) as part of the planned merger of the three major food exports sectors under a single Industry Training Organisation (ITO).

At the last NZITO AGM the merger plan was fore shadowed to members and it is pleasing to report the process is ready for endorsement at this year’s AGM.

Not only does this lay the foundation for the primary food export ITO but it ensures NZITO retains scale to provide the efficiencies that underpin our training grants, training resources and other support provided to companies.

Government’s tightening of operational policy has reduced the volumes of training we can support and as such it has limited our revenues - the seafood sector will add 25-30% more trainees to our pool and through rationalisations in staffing and other overheads, positive savings will be made that can be passed on to industry.

The newly created Ministry of Primary Industries and the sectors’ ITOs are supporting this merger. NZITO is working closely with the AgITO and HortITO to improve our services across the whole export food production and processing value chain. The focus will be one of pan-primary sector seamless services and the best practices from each organisation to improve quality and efficiencies. There is also a work stream looking at back office efficiencies and common initiatives to gain synergies and open up new markets to ITO services.

Government has stressed the need for scale, sustainability and greater professionalism from industry training and the primary sector has taken a lead in this regard. In addition a revised governance model for NZITO is being implemented to ensure directors are selected for governance skills and industry connections. The summit bodies from all sectors will be involved in governance selection proceedings going forward raising standards in all areas as we plan ahead for 2012-2014.

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