Kia ora tātou

In the last Ngā Taipitopito, I mentioned a new project to improve the financial viability of our sixteen former Institutes of Technology and Polytechnics (ITPs).

This work is critical to support the government's direction for the future of vocational education and training in Aotearoa New Zealand as outlined in the Minister's Letter of Expectations clarification in May. In that letter, the Minister said “it is important that Te Pūkenga takes whatever actions it considers necessary to improve the financial performance of the network as a whole, through ensuring each of the individual business divisions can become financially sustainable.”

Over the past two months, we have undertaken financial forecasting and modelling for the Tertiary Education Commission (TEC) to assist with advice to the Minister on the financial viability of the former ITP business divisions as standalone entities. This work now needs to be expedited.

To this end, the Tertiary Education Commission (TEC) has directed us to procure the services of specific specialists to undertake an intensive exercise focused on how we can ensure financial sustainability across former ITPs. You can find the TEC’s two letters and a response from our Acting Chair Sue McCormack, on our website (see '2024 Specialists to accelerate work to improve the viability and sustainability of former Industry Training Providers').

The specialists will work with Te Pūkenga management and take a phased approach to this mahi. The first phase, over the next six weeks, is a discovery one, focused on the available information and analysis already completed to assist this work. The discovery phase also includes internal engagement with management teams. Subsequent phases include engaging with stakeholders and confirming each region's necessary provision and delivery modes. This assessment will consider regional skills needs, financial factors, learner demand, other tertiary delivery in the region, and the potential impact of any recommendations on our ākonga and regions. At this stage, this mahi only applies to former ITPs, not former Industry Training Organisations.

This project will be overseen by a Programme Governance Group with an independent chair and representatives from the TEC, Te Pūkenga Council, and the Executive Leadership Team (ELT). The project team will be resourced by the Office of the Chief Executive team (OCE).

Specialists include consultants from PWC, Volte, Calibre Partners and Deloitte. They will work through our Executive Directors and regional senior leadership, and we would appreciate your help and cooperation as required to support this important mahi.

Further details and updates about the project will be posted on Te Whare and shared in Ngā Taipitopito as work progresses.

Your resilience and continued dedication to our ākonga during these times are greatly appreciated. I also acknowledge the support you are providing each other. Thank you also to everyone who has hosted our Minister over the past weeks. The Minister has informed us that she will release a consultation document with a proposal for a new model for vocational education and training within the next few weeks.

I appreciate your patience as we continue to disestablish Te Pūkenga and move towards the proposed new model for our industry. This mahi is an important step to making business divisions viable so they can be stood up earlier as separate entities as part of the government’s vision for vocational education and training in Aotearoa.

I orea te tuatara ka patu ki waho.
A problem is solved by continuing to find solutions.

Gus Gilmore
Tumuaki | Chief Executive