Official Information Request - Organisational Realignment

Sent: Wednesday, 13 October 2021 3:48 pm
Subject: LGOIMA request - organisational realignment

I refer to your email of 16 September 2021 with further queries regarding the organisational realignment.

Please find below both responses to the new information requested (processed under LGOIMA) and comment on the remaining questions.

LGOIMA RESPONSES:

• “ET” is referred to in the docs – checking, is that executive team?
  Yes
• Have the outcome areas and final functional groupings been changed since June 2021? Have they changed?
  No they have not changed
• Which role previously oversaw council strategy – presumably the strategy group manager? Is that correct?
  Strategy development sits across all parts of Council with the Chief Executive (CE_ holding overall oversight. The strategy team within the Strategy Group led development of over-arching strategies like Vision 2030 - The Rotorua Way, the Spatial Plan, Housing plan and Climate Action Plan. Strategies like the Infrastructure Strategy and Sport and Recreation Strategy are developed by the relevant teams that work in these areas.
• Who is responsible for this now?
  Strategy development sits across all parts of Council with the CE holding overall oversight.
• Can the council please provide an organisational/role hierarchy? Who is effectively second in charge, third in charge and so on and which roles report to which? A diagram may be useful.
  - Deputy Chief Executive’s (DCE’s) report to the CE - DCEs stand in as CE’s representative in his absence if/as required, with the DCE of the CE’s office generally stepping in as acting CE - Third tier roles report to DCEs See the attached leadership structure diagrams for reporting lines for each outcome area.
• What does a ‘dotted line’ responsibility mean?
  Reports to a primary manager but also dotted line to another manager responsible for the person’s work or aspects of it.
• What are the respective budgets for each DCE area and how many staff report to each?
  Below is the opex and capex split by DCE.
  The opex cost doesn’t include the revenue budget or the allocated costs such as depreciation and internal charges.
  

  DCE Group	DCE Name	Opex Budget (Excl Revenue and Allocated Costs)	Capex Budget
  Chief Executive	Craig Tiriana	1,829,781	-
  Community Wellbeing	Currently vacant	28,008,753	61,715,737
  District Development	Jean-Paul Gaston	14,176,690	22,287,500
  District Leadership and Democracy	Oonagh Hopkins	3,979,635	250,000
  Infrastructure and Environmental Solutions	Stavros Michael	38,514,799	53,305,269
  Organisational Enablement	Thomas Collé	17,138,063	8,401,800
  Te Arawa Partnership	Gina Rangi	767,032	-
  Total		104,414,753	145,960,306

  
  FTE data per DCE group as at 30 September 2021:
  

  Area	FTEs
  CE/DCEs	7
  Chief Executive Group	4
  Community Wellbeing	153
  District Development	8
  District Leadership and Democracy	16
  Infrastructure and Environmental Solutions	47
  Organisational Enablement	100
  Te Arawa Partnership	4
  Total	339

• Page three, eight, 14, 21 of the March 2021 staff presentation (attachment 8.1) is that a video or redacted? If a video can you please provide me with the it? If redacted can you please specify the legislative reason.
  These are all videos:
  P3 – 2018 BA5 Presentation (5:45)
  P8 – Vision 2030 (2020) (2:30)
  P14 – Penguins – The Power of Strength (1:20)
  P21 – DCE videos (2:38)
  If you would like a Powerpoint copy of the presentation to view the videos, please contact me and I will arrange for a copy to be made available to you.
• Page six attachment 10 – it says the LTP budget identified funding and resources required to support the delivery of the strategic direction of the council. Can you please point me to the specific place in the LTP (if it was in the final version) where it says this and how much it was?
  This refers to the LTP in its entirety. The LTP sets the direction and the budget needed to fund the direction that has been set.
• When specifically were [the DCEs] appointed?
  The appointments came into effect 29 March 2021
• Is the organisational realignment still under way? What other changes have been made? Page seven attachment 10 says its likely new roles will be created – has that happened and if so, what are the new roles?
  The realignment process is still underway. See the attached leadership structure diagrams for outcome areas that show new roles.
• What is the cost to date of the organisational realignment? Is it the final cost or will there be more? How much more is expected?
  No change to information previously provided: $51,842.35 to date. Final cost not yet confirmed.
• Does the communications manager report to the DCE CEG?
  No
• Why is reputational “risk management” not part of the communications manager role but instead the DCE chief executive’s group role?
  The CE has overall responsibility and the DCE, CE’s Group, assists the CE in his role.
• Do the ‘outcome areas and final functional groupings’ act as job descriptions? If not, do the deputy chief executive positions have job/position descriptions yet? If so, can I please have them – if not, will they and when?
  Job descriptions are not yet finalised.

You have the right to seek an investigation and review by the Ombudsman of this decision. Information about how to make a complaint is available at www.ombudsman.parliament.nz or freephone 0800 802 602.

Publication of responses to LGOIMA requests

Please note: Our LGOIMA responses may be published on the Rotorua Lakes Council website after they have been responded to, with requesters’ personal details withheld. If you have any concerns about this please contact the Council on info@rotorualc.nz

QUESTIONS FOR COMMENT:

• The functional grouping for the DCE chief executive’s office group states it “manages the political interface” with the mayor and deputy mayor - what does “managing the political interface” mean and why is a council officer involved in this?
• Is page 14 of the March 2021 staff presentation (attachment 8.1) the rationale for the organisational realignment?
• As the corporate planning and governance manager was not a member of the executive team, was that the only final deputy chief executive who did not take part in the development of ‘Preparing for Our Future’, or did that person also participate in its development as well?
• Why were the deputy chief executives appointed before internal consultation began? (It appears the first time staff were made aware of the concept was March 25 and on March 29 they were told the DCEs had been appointed.)
• Why did the deputy chief executives receive and process the staff feedback on the changes to their own roles? Did the council not view this as a conflict and if not, why not?
• Why did the deputy chief executives (perhaps bar one – see question above) participate in the development of a change proposal they were subject to?
• How can/did the council ensure fairness and transparency in its internal consultation process if the original feedback (if anonymised) received is not shared? If it’s not shared with the public, was it shared with RLC staff? Who was it shared with?
• If the changes to roles are not significant enough to trigger a formal restructure and recruitment process, in what way are they expected to be significant enough to make a significant impact on outcomes for the council?
• What was the picture of penguins about in the chief executive’s presentation to elected members (attachment 12) about?
• When did the chief executive become aware the council had sent the media the wrong information regarding salary raises (the $40,000 minimum rise) and why did the council not provide proactive clarification of the misinformation it had provided? Was this point ever clarified to staff?
• Did the council ever have any kind of communications plan to make the public aware of the changes, prior to when the media began to ask questions about it?

From CE Geoff Williams:

The organisational realignment is progressing. The aim is to ensure RLC is in the right shape to deliver on the direction and outcomes set in the 2021-31 Long-term Plan, which focuses on addressing significant and unprecedented local challenges including housing, infrastructure, economic recovery and climate change. There is increasing pressure on councils to provide local leadership on issues spanning social, economic, environmental and cultural wellbeings, as well as dealing with the impacts of COVID-19.

Our organisation is being asked and expected to do more and deliver more and this requires exceptional leadership and a different approach and way of working. For example, as in housing where rather than just enabling housing through planning and consenting, we are working directly with Central Government, iwi and other landowners, developers and property owners to address Rotorua’s complex housing challenges.

We have moved to a new structure based around six key outcome areas: Community Wellbeing, District Development, District Leadership and Democracy, Environmental and Infrastructure Solutions, Organisational Enablement and Te Arawa Partnership. The Office of the Chief Executive has been renamed to Chief Executive’s Group.

Deputy chief executives have been appointed to lead each of these areas and deliver the strategic outcomes sought. The DCE titles reflect the high level of accountability and responsibility for delivering significant outcomes and provide the mandate to represent our organisation in leading this important work with our partners and stakeholders.

The model for the organisational realignment – ie the outcome areas (based on the direction and outcomes set in the LTP) and the change from group managers to DCEs – was set by myself, as chief executive, with guidance from an HR expert in organisational change. We have had guidance from both internal and external HR expertise every step of the way to ensure everything is done properly and that the process is robust. It has been a highly consultative process with every level of the organisation having input.

Some new roles are proposed to support the delivery of outcomes and details for recruitment are being finalised with roles to be filled over a period of time.

Recruitment for a new DCE Community Wellbeing, to fill the vacancy left by Jocelyn Mikaere, is also getting underway. We want to fill this role as soon as possible to ensure continuity of the work that sits within this outcome area.

The realignment has provided an opportunity to create a more adaptable and responsive organisation that is capable of delivering real value for our community in a highly uncertain environment. I’m incredibly proud of the work that is being done by our organisation for the betterment of the district and the people who live here.

Re “The functional grouping for the DCE chief executive’s office group states it “manages the political interface” with the mayor and deputy mayor - what does “managing the political interface” mean and why is a council officer involved in this?”: This is about helping the CE to maintain the relationship between the organisation and the mayor and deputy mayor. It is not a political function.

Regards