pŪrongo Annual Report 2012 We acknowledge Ngahuia Kopa for allowing us to use her image on the front cover. Her image has been used with permission, and copyright for this image remains with her.
Published in 2013 Te Wānanga o Aotearoa 320 Factory Road PO Box 151 Te Awamutu 3800 0800 355 553 www.twoa.ac.nz
Presented to the House of Representatives pursuant to the Crown Entities Act 2004 Table of contents
Ngā mātāpono Guiding principles 2 Hei whakamaumaharatanga Remembrance 4 Ngā whakahirahiratanga Highlights 6 Tā Te Heamana Chair’s report 8 Tā Te Pouhere CEO’s report 12 Ngā Kaihautū Executive directors 18 He whakamahukitanga Organisational profile 20 Ngā rohe me ngā whare Regions and sites 24 Ngā tauira Our students 27 Ngā kaimahi Our staff members 32 Te ine whakaritenga Measuring our performance 34 Te Huanganui Outcomes framework 36 Outcome one: Mātauranga Māori is enhanced and nurtured 38 Outcome two: Cultural, social and economic prosperity are enhanced 41 Outcome three: Kaitiakitanga is secured 44 Ngā kī taurangi Statement of service performance 47 Attracting and engaging priority learners 48 Supporting priority learners to succeed 50 Ensuring the longevity of our organisation 53 Supporting quality research to help drive innovation 54 Ngā mahi whakahaere Governance 56 Ngā mema o Te Mana Whakahaere Council members 58 Tā ngā mema Council members’ report 62 He oati Corporate responsibility 64 Financial summary 2012 66 Statement of responsibility 69 Te tahua Financial report 2012 70 Independent auditor's report 72 Financial statements 74 Statement of comprehensive income 74 Statement of changes in equity 75 Statement of financial position 76 Statement of cash flows 77 Statement of accounting policies 79 Notes to the financial statements 87 kia matāra! maioha
Kia herea te rangi ki te whenua, te whenua ki te rangi E te Wāhi Ngaro tukua mai rā ō tauwhirotanga ki runga ki ngā iwi e īnoi atu nei E whakawhetai atu nei hoki mōu e manaaki mai ana i a mātou katoa Tae noa ki a Kīngi Tūheitia e noho mai ana i te ahurewa tapu i whakaritea ai e ngā mana nui Paimārire Ko te mapu roa mōteatea mō koutou e te iwi nui tonu kua ngaro e kore e mutu Tāoki mai rā i ngā one whakanewha o tawhiti nui Ko te tai o Wai-whakaoti atu ki a rātou Ko te tai o Wai-whakaora ki a tātou Tihē mauri ora!
E ngā maunga tūparengahua, e ngā wai whēteketeke o ngā kāwai nui, o ngā kāwai roa, tēnā rā koutou katoa. Nei anō ia Te Pūrongo e puta nei ki te ao o te tūmatanui, ki te ao o te tūnekeneke kia noho mai rā ngā whakariterite me ngā whakahaere a Te Wānanga o Aotearoa i te awatea o te māramatanga, o te mōhio. Ahakoa ia ngā tini huarahi e whakatakotongia ana i roto i ngā tini āhuatanga o tēnā mahi, o tēnā mahi, kotahi tonu te aronga: ko te oranga o ngāi tauira. Mā konā e whai hua ai te katoa, ā, ko tātou rā hoki. Nō konei a mihi ka rere, tēnā koutou katoa. mātāpono Guiding principles
Ko Te Ko Te Whakakitenga Uaratanga The vision The mission statement Ki te whakawhiwhi i ngā mea angitū, ā, Ko te whakarite mātauranga e hāngai ana i ngā akoranga katoa tino teitei mō ngā ki ngā wawata o tēnei whakatupuranga, Māori me ngā iwi o Aotearoa me te ao. ki te whakaū hoki i ngā moemoeā o ngā whakatupuranga o te ao tūroa, ki te Te Wānanga o Aotearoa will provide whakatikatika kia mārama ai ki te hā o te holistic education opportunities of the ao tawhito highest quality for Māori, peoples of Aotearoa New Zealand and the world. Ki te whakatō ki roto i te hinengaro tangata te mōhiotanga o ngā taonga tuku iho, tō tātou reo, tō tātou Māoritanga e pai ai tā rātou torotoro i ngā iwi o te ao i runga i te māia me te manawanui
Ki te whakamana i te pūmanawa moe ki te ako hei taumata e hīkoi whakamua i roto i te ao hou
Ki te whakatakoto takoha e whai hua ai
Kia manawapā anō
Kia mutu tonu, he kāinga pai tēnei ao
To provide education that best fits the aspirations of this generation, enhances the dreams of future generations and prepares for understanding the essence of past generations
To equip people with knowledge of our heritage, our language, our culture so they can handle the world at large with confidence and self-determination
To empower ones potential for learning as a base for progress in the modern world
To make contributions of consequence
To care
To make our world a better place
...ko te whāriki 2 kia mau!
Ko Ko Te Ngā Uara Kaupapa The values The philosophy
Our values of Te Aroha, Ngā Ture, Ki te whakawhiwhi i ngā mea angitu, a, i ngā Whakapono and Kotahitanga are akoranga katoa tino teitei mo ngā Māori me embedded in and woven through the ngā iwi o Aotearoa me te ao actions we take to achieve successful Ki te waihanga i tētahi āhuatanga hei outcomes for our tauira, as by achieving akoranga tikanga Māori success for tauira we achieve success as an organisation. Our values also provide Ki te whakawhiwhi i te mea akoranga an on-going cycle of evaluation and whai kiko improvement that contributes to the Ki te tautoko, ki te whakahau, ki te ārahi i achievement of our Kaupapa and our ngā tauira katoa, I a rātou e aru ana i ngā goals. Te Wānanga o Aotearoa defines its whanaketanga i ngā akoranga me ngā mahi values as follows. e pa ana ki a rātou
Te Aroha Ki te whakahau i ngā tauira katoa ki te ako Having regard for one another and those kia whiwhi ai rātou i te puāwaitanga tino for whom we are responsible and to teitei o te māiatanga whom we are accountable Ki te whakahau i ona kaimahi, kia pai ai te Te Whakapono haere o ngā tikanga o te mahi i whakaatu The basis of our beliefs and the mai, kia whiwhi ai rātou i te puāwaitanga tino teitei o te māiatanga confidence that what we are doing is right To provide holistic educational Ngā Ture opportunities of the highest quality for The knowledge that our actions are Māori, peoples of Aotearoa and morally and ethically right and that we are the world acting in an honourable manner To provide a unique Māori cultural learning Kotahitanga environment Unity amongst iwi and other ethnicities; To provide practical learning experiences standing as one To provide support, encouragement and guidance to all tauira in their pursuit of personal development, learning and employment
To encourage all tauira to learn and achieve to their fullest potential
To be a good employer and encourage staff to develop personally and professionally to their fullest potential
3 4 whakamaumaharatanga Remembrance
E te iwi nui tonu tēnei ka tangi mō koutou kua ngaro ki te Hono-i-wairua.
Mahue mai ko mātou te hunga ora ki muri nei auē ahi ai, mōteatea atu ai, mapu atu ai.
Nō reira moe mai rā kei aku rau kahurangi kei aku kuru tongarerewa.
Waiho mai ko mātou hei pīkau ī ā koutou ōhākī hei oranga mō ngā whakatupuranga.
E moe, okioki atu.
To the multitudes who have departed this world, we mourn for you as you now take your place where the spirits gather.
In the world of the living – those of us who have been left behind – we wail in sorrow, we weep as we think of you, we heave a sigh of grief.
But, sleep my cherished ones, my treasured ones.
Leave for us your works that we may continue to fulfil your aspiration to help our future generations.
Forever be at rest.
e moe... 5 whakahirahiratanga Highlights
Building on significant gains made in recent years, Te Wānanga o Aotearoa once again celebrated a broad range of achievements during 2012. As always, our tauira were central to the success of our organisation as they journeyed towards fulfilment of their aspirations. These pages show just a few of the many highlights recorded throughout Te Wānanga o Aotearoa during 2012.
Taking education to the people
Number of tauira (EFTS) 20,494
Number of tauira (head count) 32,372
Working with priority learners
Number of tauira Māori (head count) 15,436
Number of Pasifika tauira (head count) 3,178
Number of under 25-year-old tauira 4,661
Supporting tauira to achieve success
Programme Qualification graduation rate completion rate 76% 72%
6 Supporting engagement with pathways of learning
Diploma and graduate certificate level qualifications (levels 5 & 6) Certificate level qualifications (levels 1, 2, 3 & 4) 8 Degree and post-graduate diploma level 38 7 qualifications (level 7 & above)
Working to fulfil Te Kaupapa Extending pathways, expanding options
94% 91% He Waka Hiringa Masters in Applied Indigenous Knowledge He Korowai Akonga Bachelor of Education Kaimahi who Kaimahi who are proud (Primary Teaching) believe their work is to work for Te Wānanga of significance o Aotearoa He Korowai Akonga Bachelor of Education (Adult Education) Taumata Raukura 90% 90% Infrastructure
Kaimahi who feel Kaimahi who believe Te Wānanga o Aotearoa Te Wānanga o Aotearoa delivers reduces barriers to education education that drives positive cultural, social and economic transformation
Securing the future of our organisation
Surplus $7.9 million (5.2%)
Total income $152 million
Net assets $139 million
7 Tā Te Heamana Chair’s report
The global economy continued to have a significant impact across the country during 2012. These difficult times are driving the Government’s focus towards programmes that deliver employment outcomes and lift youth participation in tertiary education. We acknowledge these aims and, as always, we will provide programmes that lead to academic Richard Batley fulfilment and meaningful employment. We will also continue to explore options to increase the number of young people (particularly young Māori and Pasifika It is a pleasure to males) we attract. introduce the 2012 annual Assuring sustainability report for Te Wānanga Despite the tough economic climate, this o Aotearoa. Once again, report records another period of strong growth for Te Wānanga o Aotearoa, and we have exceeded I am delighted to announce a surplus of $7.9 million for the past year. The expectations – financially platform for our success continues to as well as educationally. be the high quality of education that Te Wānanga o Aotearoa delivers to its I pay tribute to our tauira. In order to remain world-class, we staff for their efforts, continue to review, refine and develop our programme portfolio. But, we also work to management, and to ensure our financial operations are robust and disciplined. Strong financial to my fellow Te Mana management assures funds for our physical Whakahaere members assets – reinvestment in our campuses, on g o 2012 buildings and staff – and helps us meet the whose combined efforts challenges of the ever-changing tertiary Te p Ūr helped achieve these education scene. It is also important for us to remember our positive results. heritage. Te Wānanga o Aotearoa is driven by Māori principles and values and it is this philosophy that sees us thrive.
8 Surplus - five year trend
2008 $5.93 million
2009 $8.12 million is a pre-emptive approach that parallels a Government-led review of governance 2010 $6.21 million structures across the tertiary sector. Results from the review have been presented to 2011 $7.28 million council members, including a preferred model for our future council. The model 2012 $7.94 million indicates a reduction in the size of Te Mana Whakahaere to make council more We are still a young institution – agile and responsive and to promote more effective nimble – and it is our youthful spirit that and robust decision-making. In the coming drives our innovation and gives us the months we will begin a comprehensive energy to achieve where others struggle.
Total net assets - five year trend Maximising efficacy In 2012, we completed the first phase of 2008 $98 million a review of our governance structures and processes – work that began in 2009. The 2009 $112 million review evaluated strategic and planning processes and the kawa of Te Mana 2010 $126 million Whakahaere within the context of driving future organisational growth and realising 2011 $133 million the potential of our organisation. This work 2012 $138 million t 2012 Annu a l r epo
9 consultation with key stakeholders. Remaining competitive This year it was also determined prudent In July, a significant proportion of our to review our executive management funding once again came under threat structure. At the conclusion of the five- through the Level 1 and 2 Review process. year contract for Te Pouhere Bentham Through this mechanism, the Government Ohia, Te Mana Whakahaere decided it was seeks to introduce competition between timely and appropriate to go to market to tertiary institutions delivering education seek out the very best applicants to lead at levels 1 and 2 in pursuit of maximum Te Wānanga o Aotearoa for the next five return on its investment. Traditionally, Te years. It has been seven years since we last We will Wānanga o Aotearoa has focused heavily did so and, with the role of appointing the on programmes at these levels to meet the provide chief executive one of the key functions “ needs of its tauira. I am extremely happy of council and with a fresh new landscape programmes to report that we were very successful in
ahead for Te Wānanga o Aotearoa, we that lead to our bid, with our funding levels remaining
decided collectively to advertise the chief academic unchanged. I believe this result is a executive position. We progressed the “ testament to the regard with which our fulfilment and CEO recruitment process throughout 2012 programmes are held within government and it will culminate in the appointment meaningful and the value we contribute to the tertiary of a chief executive – the incumbent or employment. sector at these levels. otherwise – in April 2013. Welcoming a new member Employing the best people In September, we welcomed Nicholas As I reiterated to our staff throughout Manukau to the council table as the 2012, our commitment to assuring the new tauira representative. Nicholas brightest possible future for Te Wānanga has a background in education and the o Aotearoa dictates that we must environment and is a valuable addition to constantly seek to review and improve our team. I thank Jo Hymers (the outgoing our operation and our progress. In support tauira representative) for her contribution of this perspective, we continue to seek during her time with us, and I wish her out the very best of advice in all areas well for the future. I also acknowledge and of our business. In March, we were very thank all members of Te Mana Whakahaere fortunate to secure the services of Janice for their dedication and their contributions Shiner – the former chief executive of the to this institution, and for ensuring that Tertiary Education Commission. During Te Wānanga o Aotearoa remains true to her time at Te Wānanga o Aotearoa, its philosophy. Janice met with Te Mana Whakahaere to discuss ways in which effective governance and management contribute to raising educational achievement. I on g o 2012 know I speak for my colleagues when I
Te p Ūr say we valued the erudite and insightful Richard Batley recommendations Janice contributed to Chairperson the conversation.
10 t 2012 Annu a l r epo
Johnny Lokeni National Certificate in Career Preparation
11 Ta Te Pouhere CEO’s report
On behalf of the tauira and kaimahi of Te Wānanga o Aotearoa, it is once again my great pleasure to report on the progress of our organisation for what has been a challenging but hugely rewarding year. I acknowledge our Lord God for the many Bentham Ohia blessings we continue to enjoy as we go about our life’s work. I acknowledge our founders, Dr Rongo Wetere and many other whānau, for their foresight and for their perseverance in driving the establishment of this movement. I also acknowledge Kia tautokona ngā mihi our kaimahi (our staff) and our tauira ki a Ihowa o ngā mano, te (our students) for their industry and their commitment to Te Kaupapa o Te Wānanga kaihanga o te rangi me te o Aotearoa. whenua. Whakamihia te From inception, Te Wānanga o Aotearoa has centred its activities on the proverb, upoko ariki e noho mai ‘Don’t teach me about my culture, but use rā. Kīngi Tuheitia tēnei ka my culture to teach me’ (Benny Shendo and Jemez Pueblo). This focus has created maioha atu. E ngā mate a Māori cultural learning environment tuatinitini kua hoki ki for Māori and all peoples of the world and ensured we offer current, relevant, ngā onekura o Rangiātea, quality learning experiences for our tauira. haere, e moe, whakangaro Wherever possible, we have established sites in locations that are accessible to atu rā. Ko te aka roa o te our tauira and we have used formal and rangi ki a rātou, ko te aka informal networks to foster participation – we have taken education to the people nui o te whenua ki a tātou, and encouraged them to engage with us. on g o 2012 tēnā tātou katoa. E ngā Our aim has been to serve and care for our communities, something that requires hard
Te p Ūr maunga kōrero, e ngā wai work and dedication. Our values guide each tuku kiri o ngā iwi, tēnā member of our kaimahi as we carry out this work and our kaupapa is entrenched in all koutou katoa we do.
12 te aroha
Supporting our tauira our organisation and I commend our to succeed management team and thank them for their vigilance in this area of our business. In 2012, we welcomed more than 30,000 tauira into our whānau and set out together Looking to the past to plan on what would be a highly successful for the future educational journey. We significantly Beyond these achievements, 2012 exceeded our targets (agreed with the provided a broad range of highlights as Tertiary Education Commission) as we we continued to shape our organisation built on year-on-year improvements in to meet present realities and prepare for educational performance. Our final overall future challenges. As always, the lessons course completion rate was 80%, well of the past provided a solid vantage above our agreed Investment Plan target of from which to contemplate the many 74%. Our qualification completion rate of competing interests that continue to buffet 2012 provided 72% also exceeded our target (67%). our wānanga. In each situation, we aim a broad range I congratulate all those who completed a to harness the best that each contributor “ qualification with us in 2012 and I look has to offer to achieve a win-win outcome of highlights as forward to seeing these successful tauira at for all stakeholders rather than a diluted we continued one of the many graduations we will hold product weakened by compromise. to shape our throughout the country in 2013. I wish all An example of the power of collaboration organisation to our tauira well in their future endeavours,
between significant stakeholders is Te meet present whether their paths lie in employment or in Rautakinga (our strategic plan), which was further study, and I look forward to hearing completed in 2012. Te Rautakinga brings realities of their successes through our Kāpuia together the thoughts of our council, and prepare“ graduate network. I also acknowledge our senior management and the thousands for future kaiako (tutors) for the knowledge they share of kaimahi, whānau and communities challenges. and the support they provide to our tauira – throughout Aotearoa New Zealand to Ka nui te mihi ki ā koutou e aku rangatira. produce a vision for our people out to Returning a strong the year 2030. The vision is explained financial performance through ten strategic attributes, each of which describes a key outcome for our Adding to this strong academic people and our organisation. Together, performance, Te Wānanga o Aotearoa Group the attributes provide a plan to uplift achieved a sound financial result. The our people, to nurture our culture, to group recorded a surplus of $7.9 million, contribute to the social and economic well within the 3-5% surplus/deficit development of Aotearoa New Zealand, to range specified by the Tertiary Education energise our organisation and to protect Commission. As with previous years, this our environment. As a whole, the document outcome is the product of a stringent shows that our founders’ vision and hopes programme of cost containment combined for the future remain as relevant today as with prudent management of our financial always and, although we have achieved assets. The result reinforces the financial much, there is still much to do. stability and ongoing sustainability of
13 Qualification completion rate being delivered for the first time in 2013 and I look forward to seeing our master’s 2009 63% graduates take their place as leaders of our society. 2010 66% Our concern continued to grow for our 2011 71% rangatahi during the year as the youth unemployment rate remained high. 2012 72% The future of our country rests with our rangatahi and, at present, a good proportion Course completion rate of them are unable to secure employment.
2009 73% While we have been extending our programming into higher levels of 2010 76% education, we have also been planning to extend our education into secondary 2011 79% schools, including the addition of NCEA qualifications. This will create a seamless 2012 80% and integrated articulation pathway to assist secondary school students and Retention rate their whānau.
2009 64% 17% Tauira with disabilities 2010 68%
2011 73%
2012 72%
Extending pathways in 30% secondary and tertiary Tauira not working 33% During recent years, we have centered prior to enrolment Tauira with no our programme development efforts on secondary qualification consolidating pathways of learning to enable tauira to study with us continuously While we work to provide more from foundation to degree level. During opportunities at secondary level, we 2012, our curriculum designers generated also remain dedicated to helping engage significant momentum in this area through rangatahi in education and training at the implementation of a range of bachelor tertiary level to provide them with the skills level degrees. However, more excitingly, they need to gain meaningful employment. we also saw completion of our new In pursuit of this goal, we made significant master’s degree: He Waka Hiringa – Master progress with our Mātātahi Mataora (youth) Te pŪrongo 2012 Te pŪrongo of Applied Indigenous Knowledge. This strategy during the year. Most notably, qualification now enables our tauira to we negotiated two key contracts with the ngā transition seamlessly from foundation Ministry of Social Development to provide ture level to master’s level. He Waka Hiringa is youth services and to extend the range of youth programmes available in our communities. These contracts help us gain access to the people who really need our help – those whose needs haven’t been met at secondary school and who would benefit most from tertiary study. We also created a wide range of programmes to engage youth, including a number of joint ventures to support Māori and non-Māori tauira at other institutions. Riding a new wave of change Budget 2012 provided detail around the Government’s adjustment to the way it purchases our foundation programmes at level 1 and 2. Within the new regime, the Government placed 33.3% of its 2013 level 1 and 2 funding into a contestable pool. This move posed (and continues to pose) a significant threat to our organisation – it has the potential to seriously destabilise our wānanga and removes any certainty surrounding our short and long-term planning. It also seriously threatens the ongoing viability of our organisation. On this occasion our application to the contestable fund was successful and we secured funding for all programmes for which we bid. As things stand, we will go through this process again in 2014. However, we believe a co-constructed alternative developed by ourselves and Government will be a better way to fully realise our contribution to the Government’s national education goals.
The Government’s current drive for
economic transformation is increasingly t 2012 limiting our organisation’s ability to fulfil our distinctive character as defined in the Education Act 1989 – ‘to assist the application of knowledge regarding Annu a l r epo āhuatanga Māori according to tikanga Māori’. Pressure to achieve unrealistic performance outcomes creates an institutional shift that compromises the
15 te whakapono
organisational values that are inherent in As we look to the future, our organisation our mission. This further marginalises those is well placed to continue providing the who have already been side-lined by a unique brand of inclusive and highly secondary education system that somehow relevant education for which we have continues to remain oblivious to the already built a solid reputation. We will needs of a significant proportion of those also continue to develop initiatives that whom it has been charged with educating, acknowledge the critical importance of especially those tauira enrolled in our level providing robust academic and pastoral 1 and 2 programmes. Although hindered by tauira support systems combined with the contestable process, we will continue to welcoming and supportive environments the best of our ability to offer educational and programmes that provide holistic opportunities for these tauira. (rather than insular) outcomes. Te Wānanga o Aotearoa has been delivering Negotiating a viable future these components as part of its quality With the Level 1 and 2 Review process educational experience for more than two complete, we entered negotiations with decades in alignment with Te Kaupapa (our the Tertiary Education Commission for philosophy) and Ngā Uara (our values). We our new Investment Plan 2013-2015. Our will continue to develop our knowledge latest plan presents a new reality for our and experience in these areas in the organisation. In particular, our future targets coming years. will drive us to increase the proportion of tauira aged less than 25 years from 13% Acknowledging in 2012 to 25% in 2015. By 2015, we will our greatest asset also be required to restrict the number of In the meantime, I thank everyone who tauira who hold a qualification at level 2 has contributed to our great results in or above from enrolling on a level 1 or 2 2012. To our tauira, thank you for choosing programme. Put into effect, 90% of tauira Te Wānanga o Aotearoa as your place enrolling at level 1 or 2 will need to have of higher learning as you work towards a qualification no higher than level 1, fulfilling your dreams. We have enjoyed preventing many tauira from accessing our having you in our whānau and we look entry-level mātauranga Māori programmes. forward to your return. By the same date, our Māori tauira will be I send my thanks to members of Te Mana required to achieve performance parity Whakahaere, members of Te Rautiaki with our non-Māori tauira. Mātauranga (our academic board), With the exception of limiting uptake members of Te Ārai Tūpono (our audit and of our level 1 and 2 programmes, the risk committee), members of the board of Government’s targets align with our own Open Wānanga Limited, and kaumātua and kuia of Te Kāhui Amorangi o Te Wānanga o aspirations, particularly as we begin
on g o 2012 Aotearoa. Thank you also to iwi, and hapū working towards fulfilling Te Rautakinga. across the country who have contributed to Although some goals will present
Te p Ūr the success of our organisation. significant challenges, we accept these as we continue to strive to achieve Te But most of all, I send my sincere gratitude Uaratanga (our organisational mission). and my aroha to each and every one of
16 te kotahitanga
our kaimahi (the staff of Te Wānanga o Aotearoa). I thank you for your efforts and for your unwavering dedication to Te Kaupapa of our organisation. I know that many of you often go well beyond the requirements of your job and I thank you for your dedication. I count myself Kia noho ora mai nā i te truly blessed to have been given the pūāhurutanga““ o te aroha opportunity to work amongst such an nui o tētahi ki tētahi me ngā outstanding, talented and caring group of people. You are truly our greatest manaakitanga a te Wāhi Ngaro. asset! Stand strong in the knowledge that your efforts continue to strengthen the community of Te Wānanga o Aotearoa, as well as the tens of thousands of people we serve in communities across Aotearoa New Zealand.
Kia noho ora mai nā i te pūāhurutanga o te aroha nui o tētahi ki tētahi me ngā manaakitanga a te Wāhi Ngaro.
Bentham Ohia Te Pouhere o Te Wānanga o Aotearoa
Work experience taiohi Finnlee Iti with Tautoko Taiohi Denise Flavell
17 Kaihautū Executive directors
Bentham Ohia Hinerangi Raumati Kieran Hewitson
Te Pouhere Kaihautū - Titiraukura Kaihautū - Marautanga (Chief Executive Officer) (Operations) (Curriculum) from June 2013 Ngāi Te Rangi, Ngāti Pūkenga, Ngāti Mutunga, Waikato Ngāti Porou me Ngāti Ranginui, Te Āti Awa, BMS, MMS, FCA Te Whānau-a-Apanui Ngāti Rārua BSocSci With an extensive background MBA, BA, Dip Tchg in investment, financial For more than two decades, Bentham is a vocal proponent management, and governance Kieran has contributed of the transformative power in Māori and non-Māori her substantial skills and of high-quality, relevant and corporate settings, Hinerangi experience to organisations effective tertiary education. brings a unique and highly that promote and protect the sought after blend of skills principle of unhindered access Having worked in a variety to her role as Kaihautū – to tertiary education. A long- of roles at Te Wānanga o Titiraukura. standing kaimahi of Te Wānanga Aotearoa over two decades, o Aotearoa, Kieran’s particular Bentham now unites more Hinerangi and her team use passion lies in Māori and Pacific than 1,000 kaimahi to deliver cost efficient, best-practice development with a focus on education to more than systems and processes to policy and quality assurance. 30,000 tauira annually. furnish the tauira and kaimahi of Te Wānanga o Aotearoa In an acting role, Kieran with the latest learning currently leads our resources supported by up-to- Marautanga directorate to date technology. manage a programme portfolio that balances the educational and cultural needs of tauira while maximising employment opportunities for all.
18 Kingi Wetere Turi Ngatai MNZM Dr Shane Edwards
General Manager - Open Kaihautū - Whakaū Kounga Kaihautū - Marautanga Wānanga Ako (Delivery) (Curriculum) to June 2013 Ngāti Maniapoto Ngai Te Rangi, Ngāti Ranginui Kaihautū - Quality NZCE PGDipEd, BEd, DipTchg Improvement and Research from June 2013 A successful entrepreneur Turi has spent most of his Ngāti Manipoto and manager, Kingi has built working life in the education PhD, MA (Hons), PGDipEcoDev, a reputation for delivering sector. He uses his broad GDipHE, BEd, DipTchg, NCB innovative and flexible experience to motivate his education programmes that teaching kaimahi to provide A widely published, eliminate many of the barriers the high-quality, tauira-centric recognised and respected that prevent people from education that has become indigenous and education accessing tertiary study. the hallmark of Te Wānanga o researcher, Shane is a sought Aotearoa. after public speaker at For more than a decade, Kingi conferences and symposiums. has led his Open Wānanga Turi also works with his Limited team to develop and kaimahi to ensure every tauira Shane currently heads deliver a range of home-based receives timely, effective our Quality Improvement programmes, including the and appropriate support that Unit, which is charged with highly successful Mahi Ora encourages success. maximising the learning and Mauri Ora programmes. experience for each tauira He has also led the delivery through use of Te Toi Roa – a of a range of popular English comprehensive system of language programmes. self-assessment and review. Shane is also responsible for overseeing research activity across Te Wānanga o Aotearoa.
19 Te pŪrongo 2012 whakamahukitanga Organisational profile
Each year, more than 30,000 tauira choose Te Wānanga o Aotearoa as the organisation best able to meet their needs and support them to succeed in tertiary education. hutia te rito... With sites at more than 120 locations in 80 towns and cities throughout Aotearoa New Zealand, we ensure our education is accessible, affordable, relevant, inclusive, and connected with the communities within which we operate. Our success comes from the achievements of our tauira as we work together to make our world a better place.
A brief history During the early 2000s, we Our philosophy experienced a period of explosive growth as tauira rushed to join our hugely popular programmes. Key among these were programmes that provided stepping stones into tertiary education, established literary, numeracy and basic financial skills, relinked tauira with their culture and their whānau, engaged tauira with technology, and motivated them towards Founded in 1983, our employment. Te Wānanga o At Te Wānanga o Aotearoa, organisation originally provided Aotearoa quickly became the we believe education is local training and education largest tertiary institution in a universal right and an options as an alternative to the country, growing from essential platform that opens the unresponsive mainstream 1,008 tauira in 1999 to 66,756 up access to the full range of education providers of the in 2004. However, this rapid experiences life has to offer. time. The Waipā Kōkiri Arts expansion came at a price – our We aim to eliminate barriers Centre (as we were then known) systems and processes were that prevent or discourage quickly became popular with unable to keep pace with the engagement with tertiary young people who recognised extreme demand. In 2005, the education, including financial an opportunity to gain the Government appointed a team and geographical barriers, as skills they needed while of Crown managers to work well as whānau commitments learning in a nurturing and with kaimahi to consolidate the and those created by previous supportive environment. organisation and this work was negative experiences with the completed in 2008. education system. We offer Throughout the 1980s, the a nurturing, whānau-based Centre significantly increased Te Wānanga o Aotearoa learning environment in which Māori participation at tertiary continues to explore what it st we support our tauira to achieve level by taking education to means to be a 21 Century, success and realise their dreams. the people, opening facilities values-driven, Māori in rural towns throughout the organisation operating within Although our organisation Waikato region and South predominantly non-Māori is grounded in Māori values, Auckland. Changing our systems. We seek to revisit we offer inclusive learning name to Aotearoa Institute in ‘traditional ways of being and environments where all are 1989, we began applying for doing’ in search of effective welcome. Our aim is to offer as tertiary status as a wānanga. strategies that more genuinely many programmes as we can in
on g o 2012 We received this recognition reflect the heart of this as many locations as possible. in 1993 (after an amendment organisation and its stated We also provide as many commitment to Māori and to all Te p Ūr was made to the Education Act study options as possible, with 1989) and changed our name New Zealanders. tauira able to study full-time to Te Wānanga o Aotearoa. or part-time, face-to-face or at home, during weekdays, in the
22 evenings, or on the weekends. agility, responsibility and Aotearoa Scholarship Trust (AST) Having this many options allows sustainability as transformative – a charitable trust we set up to tauira to organise their studies agents. administer tauira scholarships. around their lifestyles, including In 2012, AST awarded 20 Over the plan period, we will work and family obligations. scholarships totalling $110,000. drive innovative education that Extensive tauira support systems Scholarships were awarded delivers highly-valued, relevant ensure that our tauira have to those studying at higher skills for our tauira. We will access to the best help across levels (diploma and above) who nurture mātauranga Māori and extended hours and a range were engaged in initiatives develop our indigenous research of options. that impacted positively on capacity and capability to become communities. All recipients were We are dedicated to helping a leading indigenous research studying towards a qualification individuals, families, whānau organisation. We will encourage that will help them in their work and communities throughout uptake of tertiary education and the initiatives in which they Aotearoa New Zealand achieve (particularly among our priority are engaged. educational, economic, social, learners) and support tauira and cultural transformation. Our success. We will consolidate aim is to provide for the needs organisational sustainability to Our programmes of our tauira and support them protect our organisation for future to achieve educational success generations. We will promote the that leads to academic fulfilment health of our people, protect the and meaningful employment. environment, and maintain active, healthy relationships with our We believe our philosophy leads stakeholders. to positive changes in the lives of our tauira, the lives of their Within these attributes, we families, our communities, and will continue to provide an Aotearoa New Zealand. In the organisational environment words of our founders, let’s work that promotes a spirit of service, Phyllicia Kingi together to make our world a a spirit of optimism, a spirit Certificate in Māori Performing Arts better place. of faith and a spirit of unity in support of our goal of whānau Our programmes meet the needs transformation through education. Our strategy of our tauira as well as those of our key stakeholders. We deliver Scholarships more than fifty programmes across eight programme areas, or marau. The eight marau are Tūāpapa (Foundation); Te Reo Rangatira (Māori Language); Angitū (Māori and Indigenous People’s Development); Te Arawhānui (Business, Computing Mosiah-James Green
and Innovation); Hauora (Health t 2012 Certificate in Career Preparation- and Fitness); Toi (Māori and Police Strand Sanshirlee Apera Indigenous Art); Te Hiringa Certificate in Māori Performing (Education and Social Services); Arts - Music Te Rautakinga (our strategic and Umanga (Professional Skills,
plan) describes our objectives Trades and Vocations). Annu a l r epo out to 2030. Detailed across ten We provide additional financial strategic attributes, our strategic assistance to our tauira through plan promotes innovation,
23 Regions and sites Our operations are managed within six rohe (regions) that extend across the length and breadth of Aotearoa New Zealand. Our face-to-face delivery is supported by Open Wānanga, which delivers home based learning for those whose study options are limited by geographical barriers and other constraints. Each rohe has its own essence that reflects the iwi and tauira who reside there and the programmes offered to meet the unique needs of their local communities.
Open Wānanga Tāmaki Makaurau/Te Tai Tokerau Central hub location: Te Awamutu
Regions served: Nationwide Waiariki Number of tauira (2012): 11,330 Tainui Key sites: Nationwide Te Puna Mātauranga Open Wānanga (a wholly owned subsidiary of Te Wānanga o Aotearoa) delivers home-based learning to Whirikoka tauira throughout Aotearoa New Zealand, eliminating geographical barriers that prevent many from engaging in tertiary education. Open Wānanga also delivers a Papaiōea range of English language programmes for tauira with English as a second language.
Te Tai Tonga Te pŪrongo 2012 Te pŪrongo
he tangata 24 Tāmaki Makaurau/ Te Tai Tokerau Waiariki Papaiōea Central hub location: Central hub location: Central hub location: Manukau - Māngere, Auckland Turipuku – Rotorua Hokowhitu – Palmerston North
Regions served: Regions served: Regions served: Hawkes Bay, Northland/Auckland Bay of Plenty Taranaki, Manawatu, Wanganui, Wellington Number of tauira in 2012: 9,388 Number of tauira in 2012: 2,566 Number of tauira in 2012: 2,266 Key sites: Kaitāia, Kaikohe, Ngā Key sites: Tauranga Moana, Rotorua, Mahinga (Whangarei), Te Raki Whakatāne, Kawerau, Tūrangi Key sites: Ngāmotu (New Plymouth), Paewhenua (North Shore), Manukau, Te Matau a Māui (Hastings/Napier), Waiariki is home to large Māori Waihorotiu (Queen Street), Te Whanganui, Hokowhitu (Palmerston and Pasifika populations and this Rewarewa (New Lynn), Glen Innes, North), Taitoko (Levin), Whakaoriori is reflected in our demographics Hoani Waititi Marae (Masterton) for Waiariki rohe, with upwards of With its large Māori, Pasifika and 80% of tauira being from these two Papaiōea is committed to the Asian populations, our Manukau groups each year. Popular programme revitalisation of te reo Māori and aims site celebrates cultural diversity in choices in Waiariki are te reo, to have all kaimahi either fluent in our largest city. Popular programme business, computing, and health the language or working towards it. choices in Tāmaki Makaurau are and fitness leadership. Popular programmes in Papaiōea are computing, te reo, business te reo, the arts (particularly raranga), and tikanga. business and mau rākau.
Tainui Whirikoka Te Tai Tonga Central hub location: Central hub location: Central hub location: Mangakōtukutuku – Glenview, Whirikoka – Gisborne Porirua – Porirua, Wellington Hamilton Regions served: Gisborne, Tairawhiti, Regions served: Wellington, Tasman, Regions served: Waikato Ōpōtiki, Wairoa, Turanganui a Kiwa Nelson, Marlborough, West Coast, Canterbury, Otago, Southland Number of tauira in 2012: 2,590 Number of tauira in 2012: 1,295 Number of tauira in 2012: 3,237 Key sites: Rāhui Pōkeka (Huntly), Key sites: Ōpōtiki, Whirikoka Raroera (Te Rapa, Hamilton), Key sites: Porirua, Te Awakairangi First to greet the new day on behalf Mangakōtukutuku (Glenview, (Lower Hutt), Orongomai (Upper of Te Wānanga o Aotearoa, Whirikoka Hamilton), Apakura (Te Awamutu), Hutt), Waitohi (Picton), Waiharakeke hosts a large percentage of tauira Tokoroa, Maniapoto (Te Kūiti) (Blenheim), Whakatū (Nelson), who have never gained a qualification O-Tautahi (Christchurch), Wānaka, Home to O-Tāwhao marae (the prior to studying with us. Whakatipu (Queenstown) birthplace of Te Wānanga o Popular programme choices at Aotearoa), Tainui rohe also hosts Te Te Tai Tonga continues to support Whirikoka are te reo, tikanga, Puna Mātauranga (our head office) in tauira and kaimahi of O-Tautahi business, the arts (particularly Te Awamutu. Tainui is now catering as they continue to rebuild their raranga) and indigenous research. to a rapidly expanding youth market lives and create an exciting future being driven by a range of new through tertiary education. Popular
youth initiatives called Mātātahi programmes in Te Tai Tonga are 2012 Annu a l report Mataora. Popular programme choices te reo, business, computing and in Tainui are te reo, tikanga, sports social services. leadership and business. he tangata he tangata 25 Te pŪrongo 2012 26 Our students
As a tertiary education institution that understands the extent to which education transforms the lives of our tauira, we are dedicated to promoting, providing and ensuring equal access to education.
As part of this commitment, we encourage and support access by priority learners (Māori, Pasifika and under-25 year olds) and those marginalised by the mainstream education system. However, we also seek to attract those with low or no qualifications, because these are the people least likely to engage with tertiary education and those who have the most to gain. These objectives are reflected in the diversity of our tauira population.
Our tauira demographics reflect areas of need in the communities we serve and have remained relatively stable over recent years. Our people chose to study with us because they value the opportunity to study in a nurturing, whānau-based environment. They choose to study with us because our organisation caters for their needs. They choose to study with us because they trust us to deliver an educational journey that will fulfil their academic aspirations and lead to meaningful employment.
Data presented in this section are drawn from the December 2012 Single Data Return resubmitted to the Ministry of Education on 28 February 2013.
Work experience taiohi Hamiora Davis t 2012 with Tautoko Taiohi Shan Marsters Annu a l r epo ... ko te aroha āno he wai 27 Engagement
Tauira engagement is measured by the number of tauira enrolling at Te Wānanga o Aotearoa and the number of EFTS consumed each year. During 2012, we recorded a slight decrease (-128) in the number of tauira enrolling with us.
The following chart shows the five year trend for tauira numbers.
Number of tauira
2008 35,075
2009 36,695
2010 35,991
2011 32,500
2012 32,372
At the same time, we recorded a slight in increase (+77) in the number of EFTS consumed. This anomaly (tauira numbers decreasing while EFTS increase) occurs when our tauira choose to study programmes of longer duration.
The following chart shows the five year trend for consumed EFTS.
Consumed EFTS
2008 19,030
2009 21,210
2010 21,660
2011 20,417
2012 20,494
Our EFTS target for 2012 was 20,401 against which we achieved 20,494 EFTS. The variance between target and consumed EFTS is 0.5%, which falls within the ±3% threshold set down by the Tertiary Education Commission. on g o 2012 Te p Ūr
28 Age
In 2012, the proportion of tauira aged under 25 years decreased by 1% Key compared with 2011. This decrease is balanced by a 1% increase in the Under 25 yrs proportion of tauira aged 25 to 39 years. The proportion of tauira aged 40 years and older remained unchanged. 25 to 39 yrs
The following chart shows five year trends for tauira age demographics. 40 yrs plus
2008 2009 2010 2011 2012
57% 54% 52% 53% 53% 33% 33% 34% 32% 33% 10% 13% 14% 15% 14%
Gender
As in previous years, we continued to attract a high proportion of females Key to our programmes. The year saw a 2% increase in the number of females studying with us, from 69% in 2011 to 71% in 2012. Male
The following chart shows the five year trend gender profile for our tauira. Female
2008 2009 2010 2011 2012
70% 69% 68% 69% 71% 30% 31% 32% 31% 29% t 2012 Annu a l r epo
29 Ethnicity
Te Wānanga o Aotearoa is the largest provider of tertiary education to Māori throughout Aotearoa New Zealand. In 2012, 15,436 tauira (48%) enrolling with us indicated they had Māori ancestry. Added to this, 3,178 (10%) indicated Pasifika ancestry.
In 2010, the Ministry of Education changed the way ethnicity statistics were reported and statistics produced prior to this date are not compatible with those produced since. For this reason, we are only able to produce a three year trend for tauira ethnicity as follows. Key
Māori
Pasifika
2010 2011 2012 European
Asian
Other
50% 51% 48% 10% 11% 10% 33% 32% 41% 14% 14% 15% 10% 10% 4%
Impairments
As part of our drive to reduce barriers to education, we ensure that tauira with impairments have the facilities and resources they require to be successful in their studies. In 2012, 17% of tauira enrolling with us reported having an impairment.
The following chart shows the five year trend for the proportion of tauira enrolling with us who reported having an impairment that required additional support or resources. Information is drawn from our tauira database.
12% 11% 12% 15% 17%
on g o 2012 2008 2009 2010 2011 2012 Te p Ūr
30 No secondary qualification
Each year, a relatively large proportion of our tauira come to us without having achieved a qualification, either at secondary or at tertiary level. These people have often experienced years of unemployment or underemployment, and this has led them to understand the important role education plays in gaining access to better jobs and higher wages. They enrol with us to start an educational journey towards a better and brighter future.
The following chart shows the five year trend for the proportion of tauira enrolling with us who had not previously achieved a secondary qualification.
38% 38% 35% 31% 33%
2008 2009 2010 2011 2012
Prior activity
Similar to previous years, 30% of our tauira in 2012 were not in the workforce prior to enrolling with us. This figure does not include those studying at tertiary level (16%) and those at secondary school (2%) prior to enrolling. Adding these figures, nearly half our tauira were not in the workforce prior to joining us.
The following chart shows five year trends for activities tauira were engaged in immediately prior to enrolling with us. Key
Non-workforce
Workforce
Tertiary student 2008 2009 2010 2011 2012 Secondary
Overseas
Other
29% 30% 30% 33% 30% 55% 52% 49% 45% 51% t 2012 11% 13% 16% 17% 16% 2% 2% 2% 2% 2% 2% 2% 2% 2% 2% 1% 1% 1% 1% 0% Annu a l r epo
31 kaimahi Our staff members
Our kaimahi are drawn from the communities in which we operate, enabling us to maintain strong connections with our key stakeholders. These relationships provide us with the information we need to plan our offerings and infrastructure in each region. They also enable us to be responsive to the immediate needs of our people and to support the communities we serve.
Our commitment to ensuring equal opportunities for our tauira extends to ensuring equal opportunities for our kaimahi. As a responsible organisation, we provide family-friendly environments, flexible working options and support for kaimahi to undertake further studies that enable Tiari Peri and Tuahine Tata career progression. Kaupapa Toimau Tākaro: Certificate in Sports Leadership (Applied) L4 Data presented in this section are drawn from the August 2012 Single Data Return.
Full time equivalent employees
In 2012, we employed 1,299 full-time and part-time kaimahi across Aotearoa New Zealand, equating to 1,085.5 full-time equivalent (FTE) kaimahi. This is a decrease of 12.5 FTEs (1%) on 2011 numbers. The following chart shows the five year trend for FTE kaimahi numbers.
FTEs
2008 890
2009 1,033
2010 1,085
2011 1,098
2012 1,085.5 on g o 2012 Te p Ūr
he tai ope... 32 Key
Māori Ethnicity 2012 NZ European As a Māori organisation, we retain a high proportion of Māori and Pasifika Pasifika kaimahi. The proportion of kaimahi Māori decreased by 1% to 72% during Asian 2012, while the proportion of Pasifika kaimahi remained constant at 6%. The following chart shows our kaimahi ethnicity profile in 2012. Other Unknown
Gender
Traditionally, our organisation has always maintained a high proportion of female kaimahi. This proportion increased by 2% to 63% in 2012. The 2012 Female following chart shows our kaimahi gender profile in 2012. Male
Capability development
Te Wānanga o Aotearoa understands the importance of providing learning and development opportunities that equip and empower kaimahi to achieve excellence. By supporting kaimahi to expand their skills and knowledge, we ensure that our tauira receive the knowledge, resources and support necessary for them to achieve their aspirations.
In 2012, our kaimahi attended 922 learning and development events. These ranged from workshops and training to conferences and academic study. The following table shows learning events attended by kaimahi in 2012.
Type Total Academic 124 External training 145 Internal training 588 Mentoring sessions 4 National conferences 51 International conferences 0 International professional development 1 International research 9 Total 922
Note: These data are drawn from our training and development database.
Wānanga Ora
Each year, Te Wānanga o Aotearoa completes a kaimahi satisfaction survey called Wānanga Ora. The survey helps us gather information on kaimahi t 2012 understanding of the organisation’s strategic direction, values, goals, performance and satisfaction with management. In 2012, the survey response rate increased by 11.5% to 58.5% compared with the 2011 response rate.
Within the job satisfaction measures, 93.6% of kaimahi felt that their work Annu a l r epo was of significance to them, and 91.0% said they were proud to work for Te Wānanga o Aotearoa. Within the strategy section, 90.2% of kaimahi believed that Te Wānanga o Aotearoa delivers education that drives positive cultural, social and economic transformation, and 89.7% of kaimahi felt that Te Wānanga o Aotearoa reduces barriers to tertiary education.
33
whakaritenga Measuring our performance
In late 2012, Te Wānanga o Aotearoa developed Te Huanganui (our outcomes framework) in response to Auditing Standard 4, or AG4 (revised) released by the Office of the Auditor General. The Auditor-General’s standard came into force in 2012 and Te Pūrongo 2012 marks the first year in which we report against this standard. Achievements against Te Huanganui are published here alongside our Statements of Service Performance. Te Huanganui Outcomes framework
Te Huanganui describes our organisation’s achievements within a societal context, that is, the contributions we make as an embedded entity interacting with the communities within which we operate. The name Te Huanganui refers to the wider benefits or advantages that result from our work, but more literally, the fruits of our labours.
Te Huanganui describes our contributions across three levels: outputs, impacts and outcomes. Framework outputs describe the ‘products’ we deliver as a service provider of tertiary education. Impacts describe the affects our outputs have on our tauira, our stakeholders and those with whom they come on g o 2012 r into contact. Outcomes describe the longer T e p Ū term and larger affects eventually accrued by our society as a whole. Outcomes are aligned with the strategic attributes detailed in Te Rautakinga (our organisational strategic plan). The following diagram shows the structure of Te Huanganui and the relationships between outputs, impacts and outcomes with connections to our strategic attributes.
kia kotahi... 36 2030 Strategic Outputs Impacts Outcomes Attributes
Mātauranga Māori
• High quality, relevant mātauranga • Rangahau is Māori qualifications respected and are delivered credible • Mātauranga Māori • Te Wānanga o • Nuturing is embedded in Aotearoa is respected Mātauranga Māori mātauranga Māori qualifications and by indigenous is nurtured and communities enhanced • Leading indigenous organisational rangahau approach • New Zealanders • Rangahau contributes are motivated to the store of to engage with knowledge mātauranga Māori
Oranga
• Graduates and their • Delivering highly- whānau remain valued, relevant skills engaged with Te • Supporting tauira Wānanga o Aoteroa • High quality, Cultural, social and success relevant qualifications • Graduates are sought t 2012 economic prosperity • Driving innovative are delivered after by community are enhanced education and business sectors • Promoting whānau • Graduates are secure transformation and confident in
mātauranga Māori • Encouraging uptake Annu a l r epo
Kaitaikitanga
• Access to education is maintained for stakeholders • Protecting the environment • Organisation is • Relationships with operated in a iwi and stakeholders • Maintaining active, healthy relationships financially and return benefits for all Kaitiakitanga is secured socially responsible parties • Consolidating manner • Organisation and organisational communities show sustainability increased awareness of protecting PapatŪānuku
37 Outcome one Mātauranga Māori is enhanced and nurtured Mātauranga Māori, including our language, our culture, and our heritage, forms the foundation, the framework and the substance of who we are as Māori, and guides us in our interactions with each other and with our environments. Mātauranga Māori offers a lens through which we view our world as we work to understand traditional, contemporary and emerging Māori knowledge bases and their inter-relationships1. Mātauranga Māori provides the foundation for Māori to succeed as Māori in Aotearoa New Zealand and as global citizens in the Twenty-first Century.
As a Māori organisation, we separate rangahau from • strengthening the mātauranga Māori paradigm definitions of research used in the narrow confines across Te Wānanga o Aotearoa and building of Western empiricism. We are dedicated to the rangahau capability throughout the organisation propagation and protection of rangahau Māori, and we • establishing and nurturing relationships with support rangahau that informs our practice and builds indigenous communities throughout the world, our rangahau culture, capacity and competence. We including hosting representatives from the Royal also support rangahau that promotes te ao Māori and House of the Kingdom of Tonga, American First emancipates our people. Nations communities, the Alaskan Native Policy Alignment with Te Rautakinga Centre and Ka Honua Momona from Hawai’i.
The Mātauranga Māori outcome aligns with two of our Output measures 2030 strategic attributes: Our core mātauranga Māori outputs protect, nurture • Te Wānanga o Aotearoa is steeped in te reo, and enhance this knowledge. Outputs that contribute tikanga and āhuatanga Māori with a worldwide to achievement of these outcomes include:
on g o 2012 reputation for creative and innovative approaches
r • delivering high-quality, relevant mātauranga to indigenous learning and understanding Māori qualifications
T e p Ū • we are a leading edge Māori and indigenous • ensuring mātauranga Māori is embedded in research organisation and a recognised repository qualifications, as well as our organisational of mātauranga Māori. approach Initiatives and projects • promoting rangahau as a significant contributor to As a Māori organisation, we celebrate mātauranga the store of mātauranga Māori. Māori throughout our organisation on a daily basis During 2012, we achieved all targets attached to through our activities, events and ways of being – it our mātauranga Māori output measures. Of note, our engenders who we are. We also nurture and enhance rangahau outputs increased substantially during the this knowledge through a range of initiatives and year. The variance between actual and target rangahau projects designed to promote te ao Māori within Te outputs resulted largely from WIPCE 2011 conference Wānanga o Aotearoa and externally. A few of the more papers being published in 2012. The 2013 target high profile projects we engaged in during 2012 were: remains realistic and achievable for us. • clarifying and strengthening the mātauranga Māori qualification pathway to promote engagement and encourage progression through National Qualifications Framework levels in this field
1 Edwards, S. (2009). Titiro Whakamuri kia marama ai te wao nei: Whakapapa epistemologies and Maniapoto Māori cultural identities
38 The following table shows measures, targets and results for our mātauranga Māori outputs.
Achieved Target Target # Measure 2012 2012 2013
Number of EFTS successfully completing 1.1 post-graduate mātauranga Māori qualifications at 0 0 0 Te Wānanga o Aotearoa
1.2 Number of rangahau outputs 384 100 200 Proportion of tauira who would recommend their programme 1.3 95% 95% 95% to others
EER records a rating of ‘confident’ or ‘highly confident’ against Highly 1.4 Confident Confident capability in self-assessment confident
EER records a rating of ‘confident’ or ‘highly confident’ against Not 1.5 Confident Confident educational performance assessed
1.6 EFTS consumption matches the Investment Plan agreement -.09% +/-3% 99-105%
The target for measure 1.1, post-graduate mātauranga Māori qualifications, is set at 0 because the qualification (Te Waka Hiringa) will be delivered for the first time in 2013 with tauira graduating at the end of 2014.
Results relating to our External Evaluation and Review, or EER (measures 1.4 and 1.5) are taken from our most recent review conducted in 2010. That review evaluated our rangahau capability, our strategic direction and our self-assessment capability – educational performance was not assessed on that occasion. Our next EER is scheduled for April 2013. Educational performance will be assessed as part of that review and results will be reported in Te Pūrongo 2013. Impact measures t 2012 Full impacts that result from mātauranga Māori outputs are more long-term by nature and will become fully evident as Te Huanganui is embedded across our organisation. Two targets were set for 2012 and both of these were achieved.The following table shows mātauranga Māori impacts, measures, targets and results for 2012.
Achieved Target Target Annu a l r epo Impact # Measure 2012 2012 2013
Number of research Rangahau is respected outputs published in Establish 1.7 113 Increase and credible peer reviewed journals or baseline delivered at conferences
Number of Māori and indigenous people travelling Te Wānanga o Aotearoa is to Te Wānanga o Aotearoa Establish respected by indigenous 1.8 5 groups Increase to build their knowledge of baseline communities mātauranga Māori and/or indigenous education Successful qualification 1.9 completion for mātauranga 67% 67% 69% Māori programmes All New Zealanders are Proportion of tauira engaging motivated to engage with in mātauranga Māori mātauranga Māori programmes at Te Wānanga 1.10 50% 30% 31% o Aotearoa (programmes that sit in the mātauranga Māori pathway, including reo)
39 We met our mātauranga Māori qualification completion target (measure 1.9). We also significantly exceeded our target for engaging tauira in mātauranga Māori programmes (measure 1.10). Obviously, this is an encouraging result. However, the reason for the substantially increased interest in these programmes is not clear. We will investigate potential factors that contributed to the increase and adjust targets for future years as required. Outcome measures Over time, because of the volume of tauira we engage across Aotearoa New Zealand every year, we will contribute significantly to changes in rates of awareness and competence in mātauranga Māori. As we build our rangahau capability, we will also improve awareness and increase acknowledgement of te ao Māori as a respected field of knowledge for all New Zealanders. Within these endeavours, we will contribute to the resurgence of te reo Māori as we work to protect and nurture the taonga that is our language and our heritage.
Measures for mātauranga Māori outcomes target medium to long-term changes in the knowledge and use of te reo Māori across the country. Results for these measures are drawn from New Zealand Census data (last conducted in 2006) and Te Puni Kōkiri outcome indicators.
The following table shows measures, targets and results for mātauranga Māori outcomes in 2012.
Trend to Target Measure Current date 2030 The proportion of the population in Aotearoa New Zealand who can 4% 6% hold a conversation in te reo Māori
The proportion of Māori who can speak some te reo Māori 24% 40%
A growing proportion of New Zealanders consider investment in New science and innovation is a high priority measure
The outcome measure of attitudes to investment in science and innovation is drawn from Ministry of Science and Innovation’s Statement of Intent 2011-2014 – ‘Promote the outcomes of science’. on g o 2012 r T e p Ū
40 Outcome Cultural, social and economic two prosperity are enhanced Our programmes, our environments and the work of our kaimahi reinforce and strengthen our culture, establish social equality and support health, wealth and prosperity (or oranga) for all. We provide effective, relevant, culturally-embedded education that offers skills and knowledge to meet the rightful expectations of our tauira for a reasonable quality of life and the chance to realise their dreams. We work towards these ends because we believe in a fairer and more equitable society in which all New Zealanders have access to opportunities that meet their needs, all New Zealanders are supported to succeed, and all New Zealanders are cared for in a way that reflects membership of a civilised society.
Alignment with Te Rautakinga Initiatives and projects The Oranga outcome aligns with five of our 2030 Our commitment to whānau transformation through strategic attributes: education drives us to create innovative initiatives designed to raise the cultural, social and economic • Māori wellbeing has improved significantly as a prosperity of our people. Although all activities within result of our programmes, with Māori employment Te Wānanga o Aotearoa target these objectives, we rates, income levels, and health and lifestyle continue to introduce new initiatives to augment our t 2012 measures greater than the national average current practices. In 2012, a few of these projects • Te Wānanga o Aotearoa has contributed to included: the critical thinking, learning agility, spiritual • developing the Ako Wānanga framework to intelligence, emotional intelligence and analytical
embed Ngā Uara and Te Kaupapa in teaching, Annu a l r epo skills of tauira learning, tauira support and service level practices • Achievement rates amongst our tauira surpass throughout our organisation all other tertiary institutions and our graduates • introducing new programmes designed to attract are respected and sought after in the community, and engage priority learners and pathway them to public and private business sectors meaningful qualifications and employment • Te Wānanga o Aotearoa creates and uses • introducing new enrolment strategies to innovative educational models to support cradle- attract and engage priority learners and to-cradle education ensure appropriate fit between each tauira and • Māori seek out freely accessible Māori his/her programme programmes alongside other peoples of Aotearoa • ongoing monitoring of enrolment patterns New Zealand who value living in a Māori, to ensure EFTS consumption aligns with culturally-aware, respectful and sharing nation. negotiated Investment Plan targets, particularly for priority learners.
41 Output measures Outputs related to Oranga ensure that Te Wānanga o Aotearoa continues to deliver high-quality, relevant qualifications. During 2012, we met or exceeded all measures assessed as part of our Oranga outputs.
The following table shows measures and results for Oranga outputs.
Achieved Target Target # Measure 2012 2012 2013 External Evaluation and Review reports ‘confident’ or ‘highly Highly 1.4 Confident Confident confident’ in capability in self-assessment confident External Evaluation and Review reports ‘confident’ or ‘highly Not 1.5 Confident Confident confident’ in educational performance assessed 1.6 EFTS consumption aligns with the Investment Plan - 0.09% +/-3% 99-105% 2.1 Proportion of tauira who are satisfied or highly satisfied 91% 91% 92% Proportion of Māori SAC EFTS enrolled at 2.3 49% 49% 48% Te Wānanga o Aotearoa
As mentioned above, our most recent EER was conducted by NZQA in June 2010, and educational performance was not considered as part of that review. An EER to be conducted in April 2013 will provide up-to-date data for these measures and will be reported in Te Pūrongo 2013.
Tauira satisfaction data (measure 2.1) are drawn from the Kāpuia Graduate Community Survey question, ‘Did your programme of study meet your expectations?’ Ninety-one per cent of respondents answered, ‘Yes’. Impact measures In 2012, we achieved all targets for impacts resulting from Oranga outputs with the exception of the measure for tauira following a pathway to higher education (recorded 35% against a target of 39%). We are dedicated to encouraging our tauira to engage in a journey through tertiary education that will help them achieve their dreams. In the coming years, we will continue to consult with our stakeholders to identify new programmes on g o 2012 r that will strengthen pathways of learning through our organisation and offer enticing opportunities for tauira to remain engaged in tertiary education. T e p Ū The following table shows impact measures, targets and results for the cultural, social and economic prosperity outcome in 2012.
Achieved Target Target Impact # Measure 2012 2012 2013 Tauira and their whānau Proportion of tauira who would 1. 95% 95% 95% are engaged in recommend their programme to others education Proportion of graduates who gain 2.4 employment or additional responsibility in 62% 62% 63% employment or in the community Graduates are sought after by 2.5 Tauira retained in study 71% 70% 72% the community Proportion of tauira following a pathway to and business 2.6 35% 39% 42% higher education sectors 2.7 Course completion rates 80% 79% 80% 2.8 Qualification completion rates 72% 71% 75% Graduates are secure and Proportion of tauira who confirm Not Establish confident in 2.9 an increased understanding of Increase assessed baseline mātauranga mātauranga Māori Māori
42 Graduate employment and additional responsibility data (measure 2.4) are drawn from the Kāpuia Graduate Community Survey question, ‘Did studying at Te Wānanga o Aotearoa improve your employment opportunities?’ Sixty-two per cent of respondents answered, ‘Yes’.
We were not able to assess the proportion of tauira confirming an increased understanding of mātauranga Māori because the 2012 Tauira Survey (used to gather these data) had already been conducted when the measure was developed. A question to gather data for this measure will be included in future annual tauira surveys.
Outcome measures The cultural, social and economic prosperity outcome includes strategies that address the negative health and welfare statistics associated with Māori and Pasifika populations throughout Aotearoa New Zealand. Our aim is to contribute to significant improvements in these statistics as we continue to address disparities between Māori and non-Māori within our society. At the same time, however, we are an inclusive organisation. Therefore, we aim to contribute to improvements in the quality of life and happiness of all New Zealanders as we move forwards together to make our world a better place.
The following table shows measures, targets and trends related to the cultural, social and economic prosperity outcome.
Trend Target Measure Current to date 2030 The difference between the weekly -$121 -$50 median income for Māori and Europeans in New Zealand (2011)
The proportion of Māori satisfied with 83% 88% life overall (2010)
87% The proportion of all New Zealanders satisfied with life overall 88% (2010)
Median income data are drawn from Statistics New Zealand’s Income Survey. Overall life satisfaction data are t 2012 drawn from The Social Report – Te Pūrongo Oranga Tangata: Social Indicators for New Zealand released by the Ministry of Social Development. Annu a l r epo
Tama nui te rā Collaborative artwork by Toimairangi tauira (2012)
43 two
Outcome three Kaitiakitanga is secured As a future-focused organisation, we are committed to ensuring our own future and protecting our natural environment. Beyond bricks and mortar, Te Wānanga o Aotearoa is the manifestation of our collective efforts to provide a nurturing and supportive learning environment that meets the needs of our people. We place huge value on the efforts of those who have gone before us and we recognise our organisation as a taonga (or treasure) – a mark of deep respect and an acknowledgement of the sacrifices our predecessors made for us in a spirit of service.
The natural environment, too, is considered a taonga. Initiatives and projects Our connections with the land, the water and the air Our commitment to Kaitiakitanga reaches into every are embedded deep within our culture, within our corner of our organisation. Kaitiakitanga encourages worldview and within our ways of being. Our complete our kaimahi to make the most of limited resources reliance on the biosphere demands that we make and to be creative and innovative in their use of these significant efforts to protect our planet. We do this resources. Kaitiakitanga exhorts kaimahi to contribute because we value the lives of those who will follow to the best of their ability in support of our tauira us and we wish to honour them with an inheritance and our organisation in alignment with Ngā Uara worthy of the name. and Te Kaupapa.
Kaitiakitanga describes our efforts to fulfil our The following are a few of the more significant obligations and meet our objectives for sustainability Kaitiakitanga projects we engaged with during 2012: of these taonga. • development of Rautaki Taiao, our organisational Alignment with Te Rautakinga environmental management system
on g o 2012 The Kaitiakitanga outcome aligns with three of our
r • development and promulgation of the Ako 2030 strategic attributes: Wānanga framework to further embed Te Kaupapa
T e p Ū • Te Wānanga o Aotearoa respects Papatūānuku throughout our organisation. in urban and natural settings and seeks Output measures opportunities to rejuvenate our environment Outputs for Kaitiakitanga are those that ensure our to create a sustainable future for our tamariki organisation continues to operate in a financially and mokopuna sustainable and socially responsible manner. These • Te Wānanga o Aotearoa has strategic relationships outputs are core to our values as we seek to nurture with iwi and other stakeholders that include and support the communities within which we operate equity investments in collaborative ventures and to fulfil our mission to make contributions of resulting in positive outcomes for Māori and consequence, to care, and to make our world a better peoples of Aotearoa place. During 2012, we achieved all Kaitiakitanga • Te Wānanga o Aotearoa is a current, agile output targets that were assessed. and financially sustainable organisation with significant funds available to be used to further its mission.
44 The following table shows measures and results for Kaitiakitanga outputs.
Achieved Target Target # Measure 2012 2012 2013 EER reports ‘confident’ or ‘highly confident’ in capability in Highly 1.4 Confident Confident self-assessment confident EER reports ‘confident’ or ‘highly confident’ in Not 1.5 Confident Confident educational performance assessed 3.1 Risk rating under the Financial Monitoring Framework Low Low Low 3.2 The proportion of the Rautaki Taiao plan that is implemented 0 0 25% Number of joint ventures with iwi, TEIs, industry 3.3 17 17 17 and community
As noted in the Mātauranga Māori and Oranga output results, EER results are taken from our most recent review (conducted in 2010) during which educational performance was not measured. Results for measure 1.5 will be reported in Te Pūrongo 2013 after the April 2013 EER is completed by NZQA. Impact measures Impacts resulting from Kaitiakitanga outputs demonstrate our connectedness with the communities within which we work. They also demonstrate our ongoing provision of accessible, engaging and supportive education that meets the needs of our tauira. A key measure of our success in these endeavours is the extent to which we eliminate barriers to entry for at-risk tauira. We define ‘at risk’ as tauira who record one or more of the following variables: no school qualification, a physical impairment, older than 35 years, and/or Māori or Pasifika.
In 2012, we substantially exceeded our target for attracting, providing access for, and supporting at-risk tauira. Ninety-two per cent of our tauira were classified as at-risk against a target of 30%. This variance was unexpected, but clearly shows the success of Te Wānanga o Aotearoa at eliminating barriers to entry, and providing study options and support for these tauira. We will continue to identify and offer support to these priority learners in t 2012 the future.
During 2012, we did not achieve our target for attracting tauira Māori (achieving 48% against a target of 52%). Enrolment of tauira Māori has been trending upwards over recent years; however, in 2012 we retired a number of qualifications that had reached the end of their life cycle, stalling this trend. We are currently strengthening our Annu a l r epo mātauranga Māori programme pathway, which should increase numbers of tauira Māori being attracted to our organisation.
Our efforts to protect and nurture our natural environment led us to initiate a project that integrates a number of existing ad hoc environmental projects under a single umbrella called Rautaki Taiao. Still in the initiation phase, we will begin implementation of this project in 2013 (see output measure 3.2) and we expect to see energy and waste reduction targets being met from 2014 onwards.
Iwi and stakeholder satisfaction was not assessed by Te Kāhui Amorangi (our iwi consultation board) during 2012. Consequently, we are not able to provide a result for this measure. Development of a mechanism to measure this impact is part of the work programme for Te Kāhui Amorangi in 2013.
45 Achieved Target Target Impact # Measure 2012 2012 2013 Proportion of at-risk tauira who are provided with 3.4 92% 30% 35% options to reduce barriers Access to education is to entry maintained for stakeholders Proportion of tauira Māori 53% 3.5 enrolled at Te Wānanga 48% 52% o Aotearoa Increased community and Reduction targets from the organisational awareness of 3.6 Rautaki Taiao plan for energy 0 0 0 protecting Papatūānuku and waste are achieved Relationships with iwi and Iwi and stakeholders express Not stakeholders return benefits 3.7 satisfaction with Te Wānanga 70% 72% assessed for all parties o Aotearoa
Outcome measures Contributions to societal outcomes in relation to Kaitiakitanga include raising the educational level of all New Zealanders while helping reduce our impact on the planet. Data and environmental outcomes are drawn from the Ministry for the Environment’s Statement of Intent (measure1(i)), while educational outcome results are taken from the government’s Better Public Service targets.
The following table shows measures, targets and trends related to the Kaitiakitanga outcome.
Trend Target Measure Current to date 2030 Trend in greenhouse gas emissions and removals in the annual Unknown greenhouse gas inventory on g o 2012 r Proportion of 18-25 year olds with NCEA level 2 or equivalent 68% 85%
T e p Ū Proportion of 25-34 year olds with advanced trade qualifications, 52% 55% diplomas and degrees (at level 4 and above)
46 Ngā kī taurangi Statement of service performance
Our goals and objectives Our Investment Plan (negotiated with the Tertiary Education Commission every two years) describes our service performance commitments for each year. The investment plan negotiation process reflects a collaborative relationship between the Government and Te Wānanga o Aotearoa as we work together to achieve our goals for tertiary education, for our communities of interest and for our wider society.
Our goals and targets for 2012 are recorded in our Investment Plan 2010-2012. This section celebrates the success of our tauira and kaimahi, and all who contributed to the achievements of our goals in 2012. New measurement method In 2010, the Tertiary Education Commission introduced a new method for calculating
educational performance indicators (EPIs), including course completion, retention and t 2012 progression, as well as a new indicator to measure qualification completion. These new measures are not compatible with our previous measures and, consequently, we present results for the past three years only (rather than five-year trends) in this section. Annu a l r epo Comparative results Where possible, data for 2010 and 2011 are reported for comparative purposes. Data for 2011 shown in this report are drawn from the final April 2012 single data return and may vary from those reported in Te Pūrongo 2011 (which was produced prior to the single data return).
47 Attracting and engaging priority learners
Since inception, Te Wānanga o Aotearoa has created opportunities for those whose needs are not met in the mainstream education system. In the past, this has included Māori and Pasifika tauira and those whose interests do not lie in the relatively narrow curricula taught at secondary schools. These people continue to make up a large proportion of our tauira population.
Our people • maintain national delivery with multiple Although we understand the significant wage delivery options (face-to-face, noho and home- premium attached to degree-level study, and the based learning) Government’s drive to increase participation in higher • deliver a wide range of qualifications at NQF level tertiary study, we remain acutely aware of the levels 1 to 3 to help re-engaged learners unmet and ongoing extreme need for foundation- build confidence level tertiary education across Aotearoa New Zealand. • provide clear and continuous programme One-third (33.1%) of our tauira come to us without pathways from foundation through to qualifications. Many require significant help to build degree-level study. a foundation of skills before they are ready to embark on higher level study. These people remain a key In alignment with the Tertiary Education Strategy, we target audience for us. also aim to increase the proportion of tauira studying at level 4 and above. The majority of our tauira are at least 40 years of age and have come to realise (through their life Our success experiences) the value of tertiary education. Although During 2012, Te Wānanga o Aotearoa performed well much work remains with this older age group, we also against its performance targets for attracting priority acknowledge the importance of engaging tauira at a learners. We exceeded our overall aims for engaging younger age. We understand that, if we can engage under-25 year old tauira (13% against a target of on g o 2012 r tauira as they leave school, we can prevent decades of 11%) and Pasifika tauira (10% against a target of disengagement from the tertiary education system. We 10%). We also came within one per cent of achieving T e p Ū also understand that engaging tauira earlier prevents our target for tauira Māori (49% against a target years of unemployment or underemployment and the of 50%). associated negative consequences of this. For these reasons, under-25 year olds are also a significant More significantly, we exceeded targets for enrolling priority learner group for us. tauira at level 4 and above across all priority learner groups. We credit this achievement to a host of Our strategies recently introduced programmes in combination with Our strategies remain unchanged in meeting the needs moves to strengthen and clarify programme pathways. of our priority learners (Māori, Pasifika and under-25 Other contributing factors include successful targeted year old learners) and other key stakeholders. We will marketing strategies and our solid reputation for continue to: delivering high-quality, well-supported, engaging education within Māori and Pasifika communities. • provide avenues for rangatahi to experience tertiary education in multiple contexts prior The following table shows proportions of EFTS to enrolling consumed by Māori, Pasifika and under-25 year old learners as a proportion of total EFTS consumed by • offer qualifications that attract priority learners Te Wānanga o Aotearoa during 2012. • maintain a low or no fees approach to eliminate financial barriers to engagement
48 Achieved Achieved Achieved Target Target Indicator NQF Level 2010 2011 2012 2012 2013
Proportion of SAC Level 1 to 3 27% 26% 22% 28% 23% eligible EFTS enrolled at the TEO who are Māori Level 4 and above 25% 27% 27% 22% 30%
Proportion of SAC Level 1 to 3 6% 6% 5% 7% 6% eligible EFTS enrolled at the TEO who are Pacific Level 4 and above 4% 5% 5% 3% 5% peoples Proportion of SAC Level 1 to 3 8% 8% 7% 8% 9% eligible EFTS enrolled at the TEO who are aged Level 4 and above 6% 6% 6% 3% 7% under 25
In 2013, we will continue to target priority learners and encourage them to engage in higher level education as part of our ongoing commitment to whānau transformation through education. We take this commitment seriously because we are fully aware of the significant impact education can play in mitigating the often negative health and welfare statistics associated with the groups within which we work. t 2012 Annu a l r epo
Liam Ramea Certificate in Sports Leadership (level 4) at Tokoroa Campus
49 Supporting priority learners to succeed Support structures at Te Wānanga o Aotearoa flow naturally from Ngā Uara (the values of our organisation): aroha (love); te whakapono (integrity); ngā ture (lore and the law); and kotahitanga (unity or togetherness). These values are supported by the Ako Wānanga framework, which describes the philosophy, theory and applied educational practice of teaching and learning at Te Wānanga o Aotearoa.
Ako Wānanga includes the elements whanaungatanga Successful course completion (respectful relationships and connections); ako (living, Course completion rates reflect the achievements of learning and teaching); aro (reflective practice); and our tauira, as well as providing an indication of the te hiringa (spirituality, passion and motivation). These effectiveness of our teaching and learning strategies elements have led us to develop a range of initiatives and tauira support systems. In this context, a ‘course’ that support our tauira to succeed in their learning is a component of study that makes up a qualification. journeys. Initiatives include: For those tauira completing multi-year qualifications, • identifying tauira support needs early and course completion rates provide an interim view of putting in place support structures that will tauira achievement. assure success As in previous years, Te Wānanga o Aotearoa exceeded • establishing expectations and parameters all its course completion targets for all tauira with tauira at the start of each programme and groups (including priority learners) across all NQF supporting tauira to achieve the expectations levels. Tauira substantially exceeded our whole-of- within the parameters organisation course completion target, recording 80% • offering flexible and versatile learning options success against a target of 74%. that fit around the lifestyles of our tauira rather Our priority learners, too, performed well, particularly than demanding that they fit their lives around those at level 4 and above. Tauira Māori studying at our needs higher levels exceeded their target by 8%, Pasifika • providing proactive and visible learner support tauira by 9%, and under-25 year olds by 11%. strategies with rapid intervention This is an outstanding result and we look forward to on g o 2012
r • monitoring academic and pastoral support needs celebrating graduations with these tauira in 2013 on an ongoing basis throughout each programme. and beyond. T e p Ū Full course completion rates for tauira studying at Te Wānanga o Aotearoa in 2012 were as follows:
Achieved Achieved Interim Target Target Indicator NQF Level 2010 2011 2012 2012 2013 All levels 76% 79% 80% 74% 81% Successful course completion rate for Level 1 to 3 77% 80% 80% 76% 81% all tauira Level 4 (SAC eligible EFTS) 76% 79% 80% 72% 82% and above
Successful course Level 1 to 3 71% 74% 76% 71% 77% completion rate for tauira Māori Level 4 76% 76% 78% 70% 78% (SAC eligible EFTS) and above
Successful course Level 1 to 3 78% 78% 76% 74% 80% completion rate for Pasifika tauira (SAC Level 4 75% 82% 80% 71% 83% eligible EFTS) and above
Successful course Level 1 to 3 68% 70% 72% 63% 72% completion rate for tauira (SAC eligible EFTS) aged Level 4 70% 75% 76% 65% 77% under 25 and above
Note: Interim results are subject to validation by the Tertiary Education Commission following submission of our final single data return.
50 Our projections for 2013 indicate increases in course completion rates of between 1% and 4% across all indicators. Once again, these improvements are projected based on a range of initiatives currently being implemented at Te Wānanga o Aotearoa. Key amongst these are the implementation of Ako Wānanga and a range of new enrolment processes designed to ensure tauira are enrolled appropriately and provided with all necessary support. Successful qualification completion Qualification completion indicators provide a longer term view of tauira achievement. A qualification is made up of a number of courses delivered over a period of time that can range from 18 weeks to a number of years. Tauira who complete qualifications are more likely to gain employment, earn higher incomes and achieve their career goals.
Overall, our tauira exceeded organisational qualification completion targets by 5% (72% against a target of 67%). Priority learners studying at level 1 to 3 substantially exceeded their qualification completion targets: tauira Māori exceeded their target by 14%, Pasifika tauira by 8% and under-25 year olds by 13%. Indicators for tauira studying at level 4 and above were impacted heavily by the introduction of new three-year qualifications. Tauira on these programmes will not record a qualification completion until completing their final year, starting at the end of 2014. This affected the overall qualification completion rate for tauira studying at level 4 and above as well as rates for all priority learners.
Successful qualification completion rates for tauira studying at Te Wānanga o Aotearoa in 2012 were as follows:
Achieved Achieved Interim Target Target Indicator NQF Level 2010 2011 2012 2012 2013
All levels 66% 71% 72% 67% 73% Qualification completion Level 1 to 3 70% 75% 76% 64% 75% rate for all tauira (SAC eligible EFTS) Level 4 60% 67% 66% 70% 71% and above
Qualification completion Level 1 to 3 63% 69% 72% 58% 71% t 2012 rate for tauira Māori (SAC Level 4 54% 62% 61% 66% 71% eligible EFTS) and above
Qualification completion Level 1 to 3 71% 72% 71% 63% 75% Annu a l r epo rate for Pasifika tauira Level 4 and (SAC eligible EFTS) 65% 75% 64% 78% 76% above Qualification completion Level 1 to 3 58% 59% 66% 53% 59% rate for tauira (SAC Level 4 eligible EFTS) aged 56% 56% 58% 61% 57% under 25 and above
Our projections for 2013 indicate increases in qualification completion rates of between 1% and 10% across all indicators. Once again, these improvements are projected based on a range of initiatives currently being implemented at Te Wānanga o Aotearoa. Key amongst these are the implementation of Ako Wānanga and a range of new enrolment processes designed to ensure tauira are enrolled appropriately and provided with all necessary support.
51 Supporting the educational journey
Although a reasonable proportion of our tauira come to us with little academic experience and often little idea of what tertiary education is able to offer them, we encourage all of our tauira to engage on an educational journey that will help them achieve their dreams. We use two key measures to assess our success at supporting tauira to continue with their studies: tauira progression and tauira retention.
Tauira progression measures the proportion of tauira studying at level 1 to 3 who, after completing a qualification with Te Wānanga o Aotearoa, progress to study at a higher level with any institution. Tauira retention shows the proportion of tauira who, after successfully completing a programme with Te Wānanga o Aotearoa, enrol on a subsequent programme with us.
In 2012, our tauira exceeded our organisational tauira retention rate by 8%, achieving 73% against a target of 65%. We also achieved our tauira progression rate of 40%.
The following table shows retention and progression rates for all tauira across all levels of study. Results for previous years and targets for 2013 are included for comparative purposes.
Achieved Achieved Interim Target Target Indicator 2010 2011 2012 2012 2013 Progression rate for tauira 40% 38% 40% 40% 45% (SAC eligible EFTS) at levels 1 - 3 Retention rate for all tauira (SAC eligible 68% 73% 73% 65% 73% EFTS)
Note: Interim results are subject to validation by the Tertiary Education Commission following submission of our final single data return.
Tauira progression and retention remain key areas of focus for Te Wānanga o Aotearoa as we continue to work towards our goal of whānau transformation through education. In the coming years, we will continue to refine pathways of learning through our organisation and ensure these are clearly visible to our tauira. We will also on g o 2012 r improve the visibility and availability of academic advice and information that enables tauira to choose the next steps on their educational journeys. T e p Ū
52 Ensuring the longevity of our organisation
In addition to being dedicated to excellence in teaching and learning, we also remain aware of the importance of ensuring the longevity of Te Wānanga o Aotearoa to ensure it is available to future generations.
Financial health Among the many measures we use to assess the health of our organisation is the Tertiary Education Commission’s Financial Monitoring Framework (introduced in 2011). This framework provides an organisational rating that ranges from low through moderate to high financial risk.
In 2012, the Tertiary Education Commission assessed Te Wānanga o Aotearoa as being ‘low risk’. The following table shows ratings for 2012 with the rating for 2011 and the 2013 target included for comparative purposes.
Achieved Achieved Target Target Indicator 2011 2012 2012 2013
TEO risk rating against the Low Low Low Low Financial Monitoring Framework
Literacy and numeracy Te Wānanga o Aotearoa is also assessed against the extent to which literacy and numeracy skills are embedded in our level 1-3 programmes (excluding te reo Māori qualifications). Literacy and numeracy are key skills that contribute to tauira success in tertiary education, as well as in society.
In 2011, we introduced an initiative called Te Whakapahuhu Kahukura – a mechanism to ensure all level 1-3 programmes contained embedded functional, critical, and cultural literacies. In 2012, this initiative reached completion with essential literacies being embedded in all necessary level 1-3 programmes across Te Wānanga o Aotearoa.
The following table shows the progress of Te Whakapahuhu Kahukura over the past three years.
Achieved Achieved Target Target t 2012 Indicator 2011 2012 2012 2013 Proportion of level 1-3 courses offered that contain embedded 73% 100% 70% N/A literacy and numeracy Annu a l r epo
53 Supporting quality research to help drive innovation
We take seriously our obligation to advance mātauranga Māori, and we recognise that increasing rangahau activities related to, or within the paradigm of, mātauranga Māori is a key way of doing this.
Key rangahau events in 2012 included: • Hua parakore food sovereignty symposium – Symposium delegates considered issues of global food sovereignty. Among the delegates was a group from Hawai’i, which is currently involved in food sovereignty issues.
• Tainui rangahau conference – The role of spirituality in transformation through education key note presentations included the principled practices of working with whānau and the spirituality implicit in Te Tiriti o Waitangi.
• Research activity – He Pātaka Tāngata, He Pātaka Kai 2012 (our research register) acknowledges 177 publications of rangahau outputs and completion of 207 scholarly activities (conference presentations, exhibitions and performances). Copies of He Pātaka Tāngata, He Pātaka Kai 2012 are available from Te Puna Mātauranga (the head office) of Te Wānanga o Aotearoa. on g o 2012 r T e p Ū
...te hāpai o te hoe
54 t 2012 Annu a l r epo
Te Rua Everitt Kaiako - Toi Paematua: Whakairo (Level 5) at Manukau Campus
55 Tengako Tetawera Kaiako - Te Arataki Manu Kōrero Governance mema o Te Mana Whakahaere
The makeup of our council is determined by the constitution of Te Mana Whakahaere. Our council representatives come from a broad range of backgrounds and are selected for the wisdom and value they contribute to the strategic direction and governance of Te Wānanga o Aotearoa.
Richard Batley Dr Toby Curtis Lloyd Anderson Deirdre Dale MNZM, JP Chair Deputy Chair Co-opted Member Ministerial Appointment Co-opted Member Co-opted Member Registered Comprehensive BA (SocSci) Ngāti Tama, Ngāti Maniapoto, Ngāti Rongomai, Te Arawa Nurse, Dip Dairy Farming, Deirdre has extensive Waikato, Raukawa PhD, MA (Hons), BA, Dip Tchg Adv Cert in Te Ara Reo Māori experience in the tertiary CA, BMS A Fulbright Scholar, Dr Curtis Lloyd is a longstanding education sector and has With a long history of is an associate fellow of the member of Te Mana served as a commissioner experience at senior levels in New Zealand Institute of Whakahaere, having on the board of the Tertiary government and the private Management (AFNZIM), a joined and served on the Education Commission. sector, Richard brings a fellow of the New Zealand council continuously since She advises organisations, wealth of management and Administration Society 1993. Lloyd’s governance government departments and governance experience to (FNZEAM), a fellow of the experience extends to a regulatory bodies on tertiary his role as Chair of Te Mana Commonwealth Council of variety of educational and education and training Whakahaere. Richard also sits Educational Administration community organisations. matters. Deirdre also sits on on two sub-committees of and Management (FCCEAM) He is a member of Te Te Ārai Tūpono. council: Te Ārai Tūpono and and an Emeritus Associate Ārai Tūpono. General disclosure the Executive Committee. of Auckland University of General disclosure of interests: Technology (EAAUT). General disclosure of interests: Chairperson: Whitireia Dr Curtis also sits on the of interests: Director: Open Wānanga; Foundation; Chairperson: Executive Committee of Director – Open Wānanga; Vice Chairperson: Te Awamutu Whitireia Performing Te Mana Whakahaere. Advisor – Taumarunui Community Area Committee; St John Arts Trust. Kōkiri Trust; Consultant – Te Puni General disclosure Ambulance Association member. Kōkiri; Consultant – Toiora PHO. of interests: Chairperson – Whānau Ora
on g o 2012 (Te Arawa Region); Chairperson – Te Arawa Lakes Trust;
Te p Ūr Director – Curtis Consulting Limited; Chairperson/Director – Taiaorangi Renewable Energy Ltd; Deputy Chairperson – Rotorua Te Arawa Lakes Strategy Group.
58 Council members
Manaoterangi Forbes Associate Professor Tania Hodges JP Jo Hymers Dr Manuka Henare Co-opted Member Ministerial Appointment Ministerial Appointment Tauira Representative Ngāti Maniapoto, Tainui Te Rarawa, Te Aupōuri, Ngāti Ngāti Pahauwera, Ngāti (to August 2012) DipTchg, Dip in Te Arataki Kurī Ranginui, Ngāti Hauā, Ngāti Jo’s professional background Manu Kōrero PhD, BA (Hons) (VUW) Tūwharetoa is in information technology, MBA (with Distinction), Mana is a longstanding Dr Henare is Associate advocacy and representation. GradDipMgmtStud, GradDip member of Te Mana Dean of Māori and Pacific She has worked to support Te Reo Māori, PGCBR, Whakahaere and has served Development at the students in their learning BSocSci, RPN the organisation in a variety University of Auckland environments since 2003. of roles for many years. He Business School and a Tania has considerable Jo is a member of Te has broad experience in the founding director of the Mira experience in governance Rautiaki Mātauranga. educational sector and has Szászy Research Centre. He is and as a consultant on General disclosure served on boards for national also Academic Coordinator of funding, contracting, strategy, of interests: and international educational the Huanga Māori Graduate change management, Māori/ None institutions. Programme, Graduate School iwi relationships, leadership, of Enterprise, and University and workforce and General disclosure of Auckland Business School. community development. of interests: She is a member of the Chairperson: Tai Wānanga General disclosure Executive Committee. Establishment Board; of interests: Trustee: Aotearoa Scholarship Council member: Manukau General disclosure Trust; Trustee: International Institute of Technology; Council of interests: Indigenous Graduate Institute. Member: Advisory Group – Te Director/Shareholder: Digital t 2012 Wānanga o Hoani Waititi. Indigenous.com Ltd.; Trustee/ Shareholder: Whanau.com Trust; Co-chair: Waikato Whānau Ora Regional Leadership Group;
Deputy Chair: Ngāti Pahauwera Annu a l r epo Development & Tiaki Trusts; Director: Ngāti Pahauwera Commercial Development Ltd., Ngāti Pahauwera Development Custodian Ltd., Ngāti Pahauwera Tiaki Custodian Ltd.
59 Ngā mema o Te Mana Whakahaere Council members
Peter Joseph Nicholas Manukau June McCabe Bentham Ohia
NZCTU Nominated Member Tauira Representative Ministerial Appointment Te Pouhere (CEO) Te Arawa, Tūhourangi, Ngāti (from September 2012) Ngāpuhi, Te Rarawa, Te Ngāi Te Rangi, Ngāti Pūkenga, Pikiao Tainui Aupōuri, Ngāti Kahu, Ngāti Ngāti Ranginui, Te Āti Awa, BSc, DipEnvMgt Kahurau Ngāti Rārua Peter has served in a number MBA MBA, BA, Dip Tchg of leadership positions With a background in the tertiary sector and in fisheries and the June’s governance Bentham has dedicated has developed extensive environment, Nicholas experience extends into his career to the education experience in this field. believes in learning 'on the public, private and not-for- sector and has taught in, His career spans the private pa' as well as in the Pākehā profit organisations. She also managed and led educational and public sectors as well world. In recent years, he has has considerable experience institutions. Bentham as community and not-for- been working with iwi across in senior managerial continues to serve on a profit sectors. the motu on fisheries and positions in the corporate wide range of national aquaculture matters. Nicholas sector. June is a member of and international boards General disclosure believes educating our the Executive Committee. and organisations that of interests: rangatahi is paramount. support the advancement Chief Executive: TIASA; Chairman: General disclosure of indigenous people, Aotearoa Māori Women’s Rugby General disclosure of of interests: education and business. Sevens; Selector/Coach: Aotearoa interests: Director on the following boards: Māori Women’s Sevens Team. Consultant: Waikato-Tainui/ Sustainable Prosperity (NZ) Ltd, General disclosure Ministry of Primary Industries; Open Wānanga, Avanti Finance of interests: Consultant: Te Ohu Kaimoana Ltd, Galatos Finance Ltd, Te Waka Director: Open Wānanga; Trustee Limited. Pupuri Pūtea Northland District Member of the following Health Board, Procare Health boards: Americans for Indian on g o 2012 Ltd; Member: Māori Economic Opportunity, and Waikato- Development Panel. Tainui College for Research
Te p Ūr and Development; President: Advancement of Māori Opportunity; Member: Te Tauihu o Ngā Wānanga and Waikawa Marae.
60 Marie Panapa JP Raukura Ropiha Colleen Tuuta Reverend Te Napi Tutewehiwehi Waaka OBE General Staff Representative Academic/Tutorial Staff (from August 2011) Kaumātua Te Ātiawa, Taranaki Representative Co-opted Member Ngāti Pikiao (Te Arawa), Ngāti BEd (Massey) (from November 2011) Ngāti Mahuta, Ngāti Mutunga, Māhanga (Tainui) BML, BMM, Dip Te Reo, Te Atiawa, Taranaki Adj Professor, DipTheol, Dip Marie has been with Te DipDA, DipMS Tchg (Secondary) Wānanga o Aotearoa as a Colleen has extensive kaiako and kaimahi for 27 Raukura is passionate about governance experience in Napi is one of the founding years and has extensive education and meeting the areas of health, banking leaders of Te Wānanga experience in community and the needs of tauira. She and education. o Aotearoa and has a educational organisations. As has served on boards comprehensive background General disclosure one of the founding leaders representing rangatahi. in community and cultural of interests: of Te Wānanga o Aotearoa, development. Napi continues General disclosure Director: Albatross Enterprises she is a vigorous advocate to serve Te Wānanga o of interests: Ltd.; Board Member: Taranaki of the importance of Aotearoa and Te Mana None District Health Board; Elected education. Marie is a Whakahaere as a kaumātua. Board Member: Te Rūnanga o member of Te Ārai Tūpono Ngāti Mutunga; Trustee: New General disclosure and Te Rautiaki Mātauranga. Plymouth Girls High School of interests: General disclosure Board, Mahia Mai a Whaitara, None of interests: and Inspiring Communities None Exchange; President: Te Pikinga Aio Society ki Taranaki; t 2012 Committee member on the following: Takatini, Philanthropy New Zealand – Māori Advisory Committee, Wisdom Village –
Think Tank; Advisor: New Zealand Annu a l r epo Families Commission – Whānau Reference Group.
61 ngā mema Council members’ report
The members of Te Mana Whakahaere are dedicated to governing Te Wānanga o Aotearoa with integrity and in a way that unites kaimahi, management and stakeholders to achieve the objectives of the organisation. Members believe that sound, principles-based decision-making at governance level drives ethical and responsible behaviour at management and kaimahi levels. In particular, Te Mana Whakahaere believes in accountability, transparency and fairness, and acts in the best interests of the organisation at all times.
Constitution from the general staff; and one elected representative from tauira. The positions for Responsibilities members nominated by Kīngi Tuheitia and Te Mana Whakahaere is responsible for Business New Zealand are currently vacant. governing Te Wānanga o Aotearoa in Meetings accordance with all statutory and regulatory obligations applicable to tertiary institutions Te Mana Whakahaere has 12 scheduled and Crown entities. Members of Te Mana meetings per annum, but may meet on other Whakahaere set the strategic direction of occasions if circumstances require. Te Wānanga o Aotearoa and monitor the Process performance of the organisation against these Prior to each monthly meeting, members of over-arching objectives. Te Mana Whakahaere receive comprehensive To achieve its obligations, the council reports on the management and operations of delegates some governance responsibilities to Te Wānanga o Aotearoa. Members also have a number of sub-committees and operational unrestricted access to all other information responsibilities to Te Pouhere (CEO). These and records. Meetings are organised in two delegations are made through the Delegations parts: a public section where non-confidential of Authority framework. matters are discussed, and a private section used for discussing confidential organisational Membership business. The constitution of Te Mana Whakahaere defines the make-up of council membership. Remuneration The constitution allows for the following Remuneration for Te Mana Whakahaere members: four members to be appointed members is determined in accordance with by the Minister for Tertiary Education, Skills Cabinet Office Circular CO (09) 5. Members’ and Employment; Te Pouhere (ex-officio); remuneration is reported in Notes to the one member appointed from Business Financial Statements later in this report. on g o 2012 New Zealand; one member appointed from the Council of Trade Unions, one member Sub-committees
Te p Ūr nominated by Kīngi Tuheitia; five co-opted Te Mana Whakahaere has established three members, one elected representative from sub-committees to help it meet its obligations. the academic staff; one elected representative Each of these is described below.
62 ngā mema Te Rautiaki Mātauranga Kāpuia (our graduate community) enables us Te Rautiaki Mātauranga (academic board) to stay connected with our graduates. Kāpuia advises on matters relating to courses of also provides a channel for former tauira to stay study or training, awards, and any other in touch with kaimahi and with other tauira. academic matters. The sub-committee is also By staying connected with our graduates, we responsible for promoting the maintenance gain an understanding of the impact of the and advancement of indigenous bodies of education we provide. knowledge and maintaining educational Te Kāhui Amorangi is our national collective iwi standards. forum. This nationwide network of stakeholders provides a formal channel to capture the needs Te Ārai Tūpono and aspirations of iwi to inform the strategic Te Ārai Tūpono (audit and risk committee) direction and operations of our organisation. verifies that Te Wānanga o Aotearoa has appropriate processes in place to identify and We use Komiti Āwhina forums to capture manage risks. This sub-committee oversees needs of industry in related qualifications and assesses the integrity of financial being delivered at Te Wānanga o Aotearoa. This reporting, internal control, risk management, approach ensures that our qualifications remain and internal and external audit functions. relevant to employers’ needs and enhances the future employment prospects of our tauira. Executive Committee Te Wānanga o Aotearoa employs 1,299 kaimahi The Executive Committee sets remuneration across Aotearoa New Zealand. Kaimahi are and performance levels for Te Pouhere and drawn from the often small communities within monitors his/her performance. which our organisation operates. Because of Responsiveness to Stakeholders this, the voices of community stakeholders are represented from within our organisation or Te Wānanga o Aotearoa gathers the views through direct whānau links with kaimahi. These of stakeholders to inform decision-making connections help us understand the needs of across all levels of the organisation. Primary our communities at a local and national level. stakeholder groups include tauira, iwi, industry and kaimahi.
Classroom evaluations provide a mechanism to gather important feedback on improvements that can be made to tauira support systems and qualifications in order to better meet the educational needs of tauira. t 2012 Annu a l r epo
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63 oati Corporate responsibility
Te Wānanga o Aotearoa was originally founded to provide opportunities for those whose needs were not being met by the mainstream education system. Our founders were also committed to transferring cultural knowledge and encouraging responsible kaitiakitanga over Papatūānuku. We take our responsibilities seriously because we respect the trust that has been placed in our hands as we work together to make our world a better place.
Cultural halls, marae and other community venues. We recognise the critical importance of These partnerships enable us to support and nurturing mātauranga Māori as part of our protect these invaluable community resources. obligation to enliven tikanga and āhuatanga As an organisation, we understand the Māori. Mātauranga Māori underpins our importance of bringing people together in safe programme development processes and is and supportive environments. Programmes implicit in our organisational practices. Each nurture meaningful relationships through year, we connect thousands of people with practices such as whanaungatanga and mātauranga Māori and we promote these manaakitanga – values that are central to paradigms as normal ways of living throughout all programmes. our educational delivery. In this way, we support the vitality of te ao Māori now and into We also support and sustain local communities the future. by delivering our programmes in smaller towns across Aotearoa New Zealand rather Economic than centralising delivery in main centres. We view education that leads to financial This strategy enables tauira to study locally independence as a key strategy towards and remain with their whānau, as well as reversing the negative indicators often creating local employment opportunities and associated with intergenerational cycles of generating a flow of funds in support of local non-participation in tertiary education. We community sustainability. are dedicated to helping our tauira achieve their study goals as a step towards gaining Environmental meaningful employment. For some tauira, As a future-focused organisation, we this means starting and operating their own understand that each of us is a kaitiaki with businesses. For others, it means learning responsibility for protecting our environment more advanced skills to enter employment for future generations. We aim to provide or progress as an employee in an area of systems and processes that support each their choosing. kaimahi in their duty of kaitiakitanga. This
on g o 2012 Social includes systems that promote waste Te Wānanga o Aotearoa is a conduit for minimisation, energy efficiency, pollution
Te p Ūr community connectedness. We often use prevention, bio-diversity protection and existing community facilities as classrooms climate change mitigation. We do these for delivery of our programmes as a way of things to protect our world for our tamariki contributing to the financial health of schools, and mokopuna.
64 t 2012 Annu a l r epo
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65 mā te huruhuru... Financial summary 2012
The table below shows a comparison of 2012 performance for the Group against budget. 2011 figures are included for comparative purposes.
Performance Actual 2012 Budget 2012 TEC Guidelines against Actual 2011 $’000 $’000 guidelines $’000 Surplus 7,947 6,023 N/A 7,286
Surplus 5.2% 3.9% 3-5% ↑ 4.8% Comprehensive Income 4,986 6,023 N/A 7,286 Cash 58,380 51,044 N/A 59,690
Cash Inflows/Cash Outflows 1.10 1.09 1.08 ↑ 1.13 Working Capital 34,126 29,678 N/A 33,844 Net Assets 138,764 139,204 N/A 133,778
Note: Cash includes cash and other financial assets in both current and non-current assets.
Overall Financial Performance The results show a solid performance by the organisation as follows:
• The Tertiary Education Commission, having observed Te Wānanga o Aotearoa consistently achieving financial criteria set down for tertiary institutions, has assessed the organisation as ‘low risk’. • Budget targets were achieved. • Working capital continues to strengthen when compared with previous years. • Net assets (equity) have increased by $5 million during the year. • Te Wānanga o Aotearoa continues to have healthy cash reserves.
Equivalent Full Time Students (EFTS) Our total consumed EFTS result for 2012 was 20,494 – an increase of 0.4% (74 EFTS) on 2011 numbers. Our highest enrolling programmes were similar to prior years – Te Ara Reo Māori, Mauri Ora, computing, business, social services, health and sports, learning skills and English language.
Te Wānanga o Aotearoa achieved 99.12% of its target EFTS funding and 100.06% of EFTS numbers. As this funding value falls within the Tertiary Education Commission threshold (+/-3%), the organisation received 100% of its allocated funding for the year.
Income The table below shows the profile of our income streams for the past five years.
Government funding
2008 2009 2010 2011 2012 Tauira fees
Other (e.g. interest, joint ventures)
92% 90% 90% 89% 89% on g o 2012 2% 3% 4% 4% 4% 6% 7% 6% 7% 7% Te p Ūr
The income profile for 2012 remained consistent with the profile from previous years. Government funding remains the primary source of revenue for the organisation. Growth in tauira fee income was anticipated for 2012; however, due to lower than expected international tauira enrolments and a change in the programme mix, this was not achieved.
66 Expenditure Source The table below shows the profile of our expenditure for the past five years. Personnel Costs Resources/ Administration Property Costs 2008 2009 2010 2011 2012 Depreciation Impairment of Assets 52% 52% 55% 57% 59% 32% 34% 31% 29% 26% 8% 8% 8% 8% 9% 7% 6% 5% 5% 5% 1% - 1% 1% 1%
Personnel costs continue to increase relative to other expenditure types. This is due to a number of factors, with the most significant contributors being general cost of living increases and employing staff with higher qualifications.
Resource and administration costs have continued to decrease as a result of management’s focus on entering procurement contracts that provide the organisation with better value for money and keep variable costs under tight control.
Property costs have remained fairly stable for the past five years. This results from an ongoing commitment to ensuring that the organisation maximises utilisation of existing space. Changes in our property portfolio between owned and leased sites have also contributed to this result.
Even with a planned purchase of a leased site, depreciation costs have steadily decreased and stabilised over the past five years. This is a result of only minor changes occurring in the property portfolio and the current capitalisation threshold for plant, property and equipment.
Comprehensive Income As a result of a revaluation exercise undertaken on all land and buildings owned by the organisation, Te Wānanga o Aotearoa recognised a decrease in property revaluations of $2.9 million in 2012. The primary contributor to the decline in property values was a building that was assessed as earthquake prone. This resulted in total comprehensive income for 2012 being $5 million.
Financial Position Cash, cash equivalents and other financial assets in 2012 exceeded budget by $7.3 million. Te Wānanga o Aotearoa was $8.2 million down on cash and $15.7 million up on short term deposits when compared with budget. This variance results from a higher than anticipated surplus and opening cash position for the year.
The organisation had a positive working capital balance at the end of the year of $34.1 million. This is an increase of $0.3 million on the 2011 result.
Overall, non-current assets increased by $4.9 million due to the purchase of plant, property and equipment, particularly the acquisition of the Raroera site in Hamilton. This result was partly offset by the loss on property revaluations.
Eight programmes were developed and capitalised during the year along with the purchase of software at a total cost of $1.4 million. As a result of amortisation and impairment there was little movement over the year in intangible assets.
Net assets as at year end are now $138.8 million – an increase of $4.9 million on 2011.
Cash Flow The strong closing cash position for the year shows the result of a focused approach to maximising our earnings from surplus cash. During 2012, Te Wānanga o Aotearoa achieved interest revenue of $3.3 million, $0.2 million below the amount received in 2011. t 2012 This result was achieved by investing in investment-rated trading banks for varying terms within our credit risk criteria. The average interest rate for cash and current financial assets in 2012 was 5.00%. This is an increase of 0.90% from the 2011 result.
During 2012, cash and cash equivalents (both short and long term) decreased from $60 million to $58 million. The net surplus for the year was $7.9 million; however, when non-cash items are removed, the net operating inflow of cash to the organisation was Annu a l r epo $14.0 million.
Te Wānanga o Aotearoa had a net cash outflow of $19 million on investing activities. This expenditure relates mainly to property, plant and equipment, and programme development. Te Wānanga o Aotearoa developed and capitalised eight programmes in 2012, compared with twelve in 2011. The concentration in 2012, as was the case in previous years, on property, plant and equipment has seen the completion of major improvements on many of our large sites and an acquisition of the Raroera site in Hamilton. ...ka rere te manu 67 on g o 2012 Te p Ūr
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68 Statement of responsibility
In the financial year ended 31 December 2012, Te Mana Whakahaere (the Council) and the management of Te Wananga o Aotearoa were responsible for: • preparation of the annual financial statements and statements of service performance and the judgements used in them • establishing and maintaining a system of internal control designed to provide reasonable assurance as to the integrity and reliability of financial reporting In the opinion of Te Mana Whakahaere and management of Te Wānanga o Aotearoa, the financial statements and statements of service performance fairly reflect the financial position and operations of Te Wānanga o Aotearoa for the year ended 31 December 2012.
24/04/13
Richard Batley, Chairman Date CA, BMS (Waikato) t 2012 24/04/13
Bentham Ohia, Te Pouhere (CEO) Date Exec MBA, Dip T, BA Annu a l r epo
69 tahua Financial report 2012 Te pŪrongo 2012 72 auditor’s report Independent judgement, includingourassessment of risksof material misstatement of thefinancialstatementsandnon- financial statementsandnon-financial performance information. The procedures selecteddependonour An auditinvolves carryingoutprocedures toobtainauditevidence aboutthe amountsanddisclosures inthe If we hadfound materialmisstatements thatwere notcorrected, we would have referred totheminouropinion. to influence readers’ overall understanding of thefinancialstatementsandnon-financialperformance information. Material misstatements are differences oromissions of amountsanddisclosures that,inourjudgement, are likely statements andnon-financialperformance information are free from materialmisstatement. requirements andplancarryoutouraudittoobtainreasonable assurance aboutwhetherthefinancial the InternationalStandards onAuditing (New Zealand). Thosestandards require thatwe comply withethical We carriedoutourauditinaccordance withtheAuditor-General’s AuditingStandards, whichincorporate Basis of opinion responsibilities, andwe explain ourindependence. The basisof ouropinionisexplained below. Inaddition,we outlinetheresponsibilities of theCouncil andour Our auditwascompleted on24April2013.Thisisthedateatwhichouropinionexpressed. • • In ouropinion: Opinion • • We have audited: her behalf. the auditof thefinancialstatementsandnon-financialperformance information ofthe Wānangaand group on Auditor-General hasappointedme, BHHalford, usingthestaffand resources of AuditNew Zealand, tocarryout The Auditor-General istheauditorof Te Wānanga oAotearoa Te Kuratini oNgāWaka (theWānanga) andgroup. The financial performance information for the year ended31December 2012 To thereaders of Te Wānanga oAotearoa Te Kuratini oNgāWaka andgroup’s financialstatementsandnon- 31 December 2012. achievements measured againsttheperformance targets adoptedintheinvestment planfor theyear ended section of theannual report onpages 36to54fairly reflects the Wānanga andgroup’s service performance the non-financialperformance information of the Wānanga andgroup intheperformance measurement ʄ ʄ the financialstatements of the Wānanga andgroup onpages 74to115: section of theannual report onpages 36to54. the non-financialperformance information of the Wānanga andgroup intheperformance measurement that includeaccounting policiesandotherexplanatory information; and equity andstatementof cashflows for the year endedonthatdateandthenotestofinancial statements financial positionasat31December 2012,thestatement of comprehensive income, statement of changes in the financialstatements of the Wānanga andgroup onpages 74to115, that comprise thestatement of ʄ ʄ · · fairly reflect the Wānanga andgroup’s: comply withgenerally accepted accounting practice inNew Zealand; and · · financial performance andcashflows forthe yearendedonthatdate; financial positionasat31December 2012;and T On behalfof theAuditor-General Audit New Zealand Other thantheaudit,we have norelationship withorinterests intheWānanga oranyof itssubsidiaries. incorporate theindependence requirements of theExternalReporting Board. When carryingouttheaudit,we followed theindependence requirements of theAuditor-General, which Independence section 15of thePublicAuditAct2001andCrown Entities Act2004. performance information andreporting thatopiniontoyou basedonouraudit.Ourresponsibility arisesfrom We are responsible for expressing anindependentopiniononthefinancialstatementsandnon-financial Responsibilities of theAuditor The Council’s responsibilities arisefrom theE financial performance information, whetherinprintedorelectronic form. due tofraud orerror. TheCouncil isalsoresponsible for thepublicationof thefinancialstatementsandnon- financial statementsandnon-financialperformance information that are free from materialmisstatement, whether The Council isresponsible for suchinternalcontrol asitdeterminesisnecessary toenablethepreparation of the investment plan. Wānanga andgroup’s service performance achievements measured againsttheperformance targets adoptedin The Council isalsoresponsible for preparing non-financialperformance information that fairly reflects the • • The Council isresponsible for preparing financialstatementsthat: Responsibilities of theCouncil sufficient andappropriate audit evidence to provide abasis forourauditopinion. We have obtainedalltheinformation andexplanations we have required andwe believe we have obtained publication of thefinancialstatementsandnon-financialperformance information. non-financial performance information. Also we didnot evaluate thesecurityand controls over theelectronic We didnotexamine every transaction, nordowe guarantee complete accuracy of thefinancialstatements and • • • • An auditalsoinvolves evaluating: opinion ontheeffectiveness of the Wānanga andgroup’s internal control. to designauditprocedures thatare appropriate inthecircumstances butnotfor thepurposeof expressing an performance information thatfairly reflect thematters towhichthey relate. We consider internal control inorder internal control relevant totheWānanga andgroup’s preparation of thefinancialstatementsandnon-financial financial performance information, whetherduetofraud orerror. Inmakingthoseriskassessments, we consider auranga, New Zealand fairly reflect the Wānanga andgroup’s financialposition,performance andcash flows. comply withgenerally accepted accounting practice inNew Zealand; and the overall presentation of thefinancialstatementsandnon-financial performance information. the adequacyof alldisclosures inthefinancialstatementsandnon-financialperformance information; and the reasonableness of thesignificantaccounting estimatesandjudgements made by the Council; the appropriateness of accounting policiesusedandwhetherthey have beenconsistently applied; ducation Act1989andtheCrown EntitiesAct2004. 73
Annual report 2012 Financial Summary
Te pŪrongo 2012 74 Expenditure For theyear ended31December 2012 comprehensive income Statement of Financial statements The accompanying notesform part ofthesefinancialstatements. Other comprehensive income Income Explanation of significantvariances againstbudget isdetailedinnote21. T Other expenses Depreciation andamortisationexpense P Total income Other income Interest income Total othercomprehensive income Gains/(loss) onproperty revaluations Surplus/(deficit) T Government funding Total comprehensive income otal expenditure uition fees ersonnel costs
dec11 dec12 dec12 dec11 dec12 group dec12 g roup group
Notes 11,12 2(b) 2(a) 2(c) 16 3 4
152,339 135,160 144,392 85,296 51,436 (2,961) (2,961) 7,947 4,986 Actual 7,660 8,028 5,897 $’000 3,254 153,902 147,879 135,361 53,447 86,422 Budget 6,023 6,023 8,010 6,782 3,537 8,222 $’000 - - 151,004 143,718 134,877 54,394 81,529 7,286 7,286 Actual 7,795 6,386 3,455 6,286 $’000 - - 158,503 149,412 135,216 66,562 76,203 15,018 (3,035) (3,035) Parent 9,091 6,056 Actual 6,647 3,053 5,216 $’000 159,342 152,474 135,361 67,706 77,608 13,749 Budget Parent 6,868 6,868 7,160 3,380 6,852 $’000 - - 149,692 134,877 158,148 68,784 73,870 14,118 Parent 7,038 3,287 5,866 8,456 8,456 Actual $’000 - - For theyear ended31December 2012 changes inequity Statement of Financial Summarycont. The accompanying notesform part ofthesefinancialstatements. Balance at1January Comprehensive income Balance at31December Suspensory loansfrom theCrown Capital contributions from theCrown Non-comprehensive income items T otal comprehensive income Surplus/(deficit) Other comprehensive income dec11 dec12 dec12 dec11 dec12 group dec12 g roup group
Notes 16 16
138,764 133,778 (2,961) Actual 7,947 4,986 $’000 - - 139,204 133,181 Budget 6,023 6,023 $’000 - - - 133,778 126,492 Actual 7,286 7,286 $’000 - - - 122,559 116,503 (3,035) Parent Actual 9,091 6,056 $’000 - - 124,034 117,166 Budget Parent 6,868 6,868 $’000 - - - 116,503 108,047 Parent 8,456 8,456 Actual $’000 - - - 75
Annual report 2012 Te pŪrongo 2012 76 Current assets As at31December 2012 financial position Statement of The accompanying notesformpart ofthesefinancialstatements. Exec MBA,DipT Bentham Ohia,Te Pouhere (CEO) CA, BMS(Waikato) Richard Batley, Chair For andonbehalfof T Explanations ofmajorvariances againstbudgetareprovided innote21. Equity Non-current liabilities Non-current assets Current liabilities
Total equity Property revaluation reserve Intangible assets Total non-current assets Property, plant andequipment Retained earnings Net Assets Total non-current liabilities Provisions Other financialassets Investment inOpenWānanga T Creditors andotherpayables Total current assets Debtors andotherreceivables Cash andcashequivalents Employee entitlements Other financialassets Prepayments Inventories Working capitalsurplus/(deficit) T auira fees otal current liabilities , BA e ManaWhakahaere (theCouncil):
dec11 ec 12 d dec12 ec 11 d dec12 dec12
Notes 10 (b) 10(a) 16 12 11 16 13 7 9 6 5 7 8
138,764 104,833 138,764 129,240 126,719121,293113,157111,597 85,122 13,213 10,562 39,791 24/04/13 24/04/13 50,794 34,126 16,668 Date Date Actual 6,498 3,248 5,376 2,068 5,730 group g roup Group $’000 9,524 195 376 311 195 - 109,526 139,204 139,204 12,485 88,312 13,344 13,577 24,123 12,528 42,206 29,678 Budget 7,870 5,757 2,478 2,028 6,271 $’000 500 - - - - 133,778 133,778 80,654 13,344 10,223 10,932 36,123 17,581 99,934 51,425 33,844 12,485 Actual 5,936 2,096 2,672 6,220 $’000 429 311 - - - 122,559 122,559 99,502 44,887 23,174 82,354 13,213 16,387 36,000 21,713 Parent Actual $’000 9,402 3,934 4,703 2,938 5,009 117 117 317 964 282 1 124,034 103,776 124,034 12,437 85,821 13,344 12,033 11,896 22,500 17,928 38,186 20,258 Budget Parent 4,610 1,625 2,028 5,532 $’000 500 1 - - - 116,503 116,503 104,066 95,202 45,513 21,301 12,437 78,333 13,344 18,230 32,500 24,212 Parent Actual 3,524 $’000 9,191 1,105 2,476 5,553 429 241 - - 1 Cash flows from operating activities For theyear ended cash flows Statement of The accompanying notesformpart ofthesefinancialstatements. Cash flows from financingactivities Cash flows from investing activities Purchase of property, plantandequipment Net increase/(decrease) incashand Net cashflow from financingactivities Capital contribution from theCrown Net cashflow from investing activities Purchase of investments Programme development Software development Sale of investments Sale of property, plantandequipment P Interest income received Dividend income Receipts from tuitionfees Receipts from government grants Cash andcash equivalents31December Cash andcash equivalents1January cash equivalents P Receipts from otherincome Net cashflow from operating activities ayments toemployees ayments tosuppliers
31 December 2012
dec11 ec 12 d dec12 ec 11 d dec12 group dec12 g roup group
(85,786) (50,716) (18,822) 134,987 (13,297) (34,168) 13,975 30,631 10,223 (1,876) (4,847) Actual 5,844 3,233 6,410 5,376 $’000 (290) 178 3 - - (18,662) 135,527 (14,853) (82,639) (56,015) 17,114 13,577 15,125 (3,537) (2,994) Budget 7,934 6,781 3,537 (815) ------(15,973) 134,305 (28,916) (81,566) (50,759) 24,000 10,223 16,892 (9,757) (1,843) Actual 6,090 5,658 3,162 9,304 585 919 (42) 2 - - (17,128) 135,043 (12,460) (34,000) (76,747) (67,321) 30,631 13,455 12,640 (4,488) (1,385) Parent Actual 5,104 3,103 9,191 4,703 156 (70) 3 - - (16,199) 135,361 (14,304) (74,170) (71,517) 13,749 14,864 12,033 13,368 (2,831) (1,480) Budget Parent 6,564 3,381 (415) ------(11,968) 134,305 (26,344) (73,975) (67,797) 24,000 13,860 15,066 (9,341) Parent Actual 5,670 3,098 3,001 6,093 9,191 $’000 (826) 585 (42) 2 - - 77
Annual report 2012 Te pŪrongo 2012 78 Surplus/(deficit) from thestatement of comprehensive income Add/(less) non-cashitems R For theyear ended Statement ofcash flows(continued) The accompanying notesformpart ofthesefinancialstatements. Add/(less) itemsclassified asinvesting orfinancingactivities Add/(less) movements inworking capitalitems econciliation from thenetsurplustocashflows from operating activities Depreciation andamortisationexpense Net (gain)onleasemake good provision Found property, plantandequipment Total itemsclassified asinvesting orfinancingactivities Net (gain)ondisposalof property, plantandequipment Total non-cashitems Asset impairment (Increase)/decrease intrade andother receivables (Increase)/decrease ininventories Net cashflow from operating activities Net movement inworking capital Increase/(decrease) inprovision for employee entitlements Increase/(decrease) intauira fees Increase/(decrease) inrevenue received inadvance Increase/(decrease) intrade andotherpayables (Increase)/decrease ininterest accrued (Increase)/decrease inprepayments
31 December2012
(1,461) 13,975 7,947 7,587 g roup Group $’000 (555) (490) (172) (198) 7,660 2012 2011 (959) (98) 195 691 (98) (53) (21) 28 - 16,892 (1,672) 7,286 7,795 4,171 8,624 1,261 (279) (279) (202) (196) (293) (598) 829 (37) 88 - - (2,860) 12,640 (1,671) Parent 9,091 6,647 6,495 (959) (512) (111) (544) (172) (86) 117 690 141 (86) (41) 50 15,066 Parent 8,456 7,038 7,867 $’000 (291) (966) (291) (196) (286) (105) (571) 2011 829 110 153 (82) 11 - - L Open Wānanga Limited consists of OpenWānanga domiciled inNew Zealand. of Te Wānanga oAotearoa are incorporated and Scholarship T Wānanga Limited (100%owned) andtheAotearoa Te Wānanga oAotearoa, anditssubsidiaries,Open Te Wānanga oAotearoa group consists of theparent, opposed tothatof makingafinancial return. provide full-timeandpart-time tertiaryeducationas The primaryobjective of Te Wānanga oAotearoa isto E and isgoverned by theCrown EntitiesAct2004andthe Te Wānanga oAotearoa isaTEIdomiciledinNew Zealand For theyear ended accounting policies Statement of thousand dollars ($’000). dollars andallvaluesare rounded tothe nearest The financialstatementsare presented inNew Zealand Functional andpresentation currency revaluation of artwork, landandbuildings. historical cost basisexcept where modified by the The financialstatementshave beenprepared ona Measurement base benefit entitiesandthey comply withNZIFRS. accordance withNZGAAPasappropriate for public These financialstatementshave beenprepared in (NZ GAAP). Zealand Generally Accepted Accounting Practice which includetherequirement tocomply withNew the Crown EntitiesAct2004andthe been prepared inaccordance withtherequirements of The financialstatements of Te Wānanga oAotearoa have Statement ofcompliance T were authorisedfor issue on24thApril2013by group for theyear ended31December 2012 The financialstatements of Te Wānanga oAotearoa and Standards (NZIFRS). Zealand E as publicbenefit entities for thepurposes of New Te Wānanga oAotearoa hasdesignateditselfandgroup (100% owned). Reporting entity e ManaWhakahaere. imited anditssubsidiary, OpenEnglishL ducation Act1989. quivalents toInternationalFinancialReporting rust (100%controlled). Thesubsidiaries
31 December 2012 ducation Act1989, imited updated for thesechanges. longer required tobedisclosed.Note4and11hasbeen certain information aboutproperty valuationsisno are nolonger required tobeseparately disclosed and amendments ontheorganisation isthatdonations standards ineachjurisdiction.Themaineffect of the many of thedifferences between theaccounting accounting standards withsource IFRSandtoeliminate amendments istoharmoniseAustralian andNew Zealand Amendments) –Thepurposeof thenew standard and Australian Accounting Standards (Harmonisation Amendments toNZIFRSharmonisewithand FRS-44 New Zealand AdditionalDisclosures and or disclosure effect: financial year, whichhave hadonlyapresentational revisions toaccounting standards duringthe Te Wānanga oAotearoa hasadoptedthefollowing during thefinancial year. There have beennochanges inaccounting policies Changes inaccounting policiesandestimates an entityelectstodesignatea financialliabilityat fair are thesameasthoseof NZIAS39,except for when the financialassets. Thefinancialliability requirements model) andthecontractual cashflow characteristics of how anentitymanages itsfinancialassets (itsbusiness rules inNZIAS39.Theapproach in NZ IFRS9isbasedon amortised cost orfair value, replacing themanydifferent to determinewhetherafinancialasset ismeasured at standard NZIFRS9.9usesasingleapproach and hasbeenpublishedinthenew financialinstrument Phase 3Hedge Accounting. Phase1hasbeencompleted Measurement, Phase2ImpairmentMethodology, and following three main phases:Phase1Classification and Measurement. NZIAS39isbeingreplaced through the NZ IAS39FinancialInstruments:Recognition and NZ IFRS9FinancialInstrumentswilleventually replace are relevant toTe Wānanga oAotearoa are: not effective that have not been early adopted and which Standards, amendmentsandinterpretations issued but been earlyadopted issued thatare notyet effective andhave not Standard, amendmentsandinterpretations its subsidiariesisNew Zealand dollars. The functionalcurrency of Te Wānanga oAotearoa and 79
Annual report 2012 Te pŪrongo 2012 80 from theirscope. amended NZIFRSthatexclude publicbenefit entities Accordingly, nodisclosure hasbeenmadeaboutnew or the new Accounting Standards Framework iseffective. reporting requirements for publicbenefit entitesupuntil Therefore, theXRBhaseffectively frozen thefinancial IRFS willnotbe applicabletopublicbeneiftentities. that allnew NZIFRSandamendmentstoexisting NZ Framework for publicbenefit entities,itis expected Due tothechange in theAccounting Standards Accounting Standards Framework atthistime. Aotearoa isunabletoassess theimplicationsof thenew As thePAS are stillunderdevelopment, Te Wānanga o preparing its31December 2015financialstatements. Aotearoa expects totransition tothenew standards in on orafter1July2014.ThismeansTe Wānanga o entities isexpected tobefor reporting periodsbeginning The effective date for thenew standards for publicsector current InternationalPublicSectorAccounting Standards. being developed by theXRBandare mainlybasedon Entity Accounting Standards (P entity anditwillberequired toapplyfullPublicBenefit Wānanga oAotearoa isclassified asaTier1 reporting (XRB). UnderthisAccounting Standards Framework, T Strategy) developed by theExternalReporting Board Accounting Standards Framework (Incorporating aTier The Ministerof Commerce hasapproved anew be appliedby publicbenefit entities. certainty whenanequivalentstandard toNZIFRS9will Framework willapplybefore thisdate, there isno 2016. However, asanew Accounting Standards required tobeadoptedfor theyear ended31December value through thesurplusordeficit. Thenew standard is Statement ofaccounting policies(continued) AS). Thesestandards are e • as follows: the gross carryingamountfor eachclass of assets is The measurement basesused for determining library booksandartwork. computers, furniture andfittings,motor vehicles, waka, land andbuildings,leaseholdimprovements, equipment, Property, plantandequipmentasset classes consist of 3. was determined. exchange rates atthedatewhenfair value a foreign currency are translated usingthe Non-monetary itemsmeasured atfair valuein initial transaction. using theexchange rate asatthedateof the of historicalcost inaforeign currency are translated Non-monetary itemsthatare measured interms sheet date. translated atthe rate of exchange rulingatthebalance and liabilitiesdenominatedinforeign currencies are ruling atthedateof the transaction. Monetaryassets in thefunctionalcurrency attheexchange rates T 2. o Aotearoa. the parent entityfinancialstatements of Te Wānanga Investments insubsidiariesare carriedatcost in of thesubsidiary. ownership benefits thatarisefrom theactivities unable tomateriallyimpactthelevel of potential Aotearoa orwhere thedeterminationof suchpoliciesis have beenirreversibly predetermined by Te Wānanga o power onthegoverning bodyorwhere suchpolicies Te Wānanga oAotearoa controls themajorityvoting activities of thoseentities.Thispower exists where operating policiessoastoobtainbenefits from the Aotearoa hasthecapacitytocontrol theirfinancingand financial statementsallentitieswhere Te Wānanga o Te Wānanga oAotearoa consolidates inthegroup Subsidiaries eliminated onconsolidation. group balances, transactions, income andexpenses are and expenses onaline-by-line basis.All significantintra- together like itemsof assets, liabilities,equity, income consolidated financialstatements,whichinvolves adding The purchase methodisusedtoprepare the 1. Significant Accounting Policies ransactions in foreign currencies are initiallyrecorded impairment losses. on buildingsandsubsequent accumulated valuation less subsequent accumulated depreciation Land buildingsare measured atcost or Property, plantandequipment Foreign currency translation Basis ofconsolidation E improvements Leasehold Buildings as follows: rates of majorclasses of assets have beenestimated useful lives. Theuseful lives andassociated depreciation of theassets totheirestimatedresidual valuesover their artwork atrates thatwillwriteoff the cost (orvaluation) all property, plantandequipmentotherthanland Depreciation isprovided onastraight-line basison Depreciation • • in othercomprehensive income butisrecognised in asset revaluation reserve thisbalance isnotrecognised asset. Where thiswould result in adebitbalance inthe an asset revaluation reserve inequityfor thatclass of other comprehensive income andare accumulated to The netrevaluation results are credited ordebitedto are accounted for onaclass-of-asset basis. Property, plantandequipmentrevaluation movements difference, thenthe off-cycle asset classes are revalued. from fair value. Ifthere is evidence supportingamaterial annually toensure thatthey donotdiffer materially The carryingvaluesof revalued classes are assessesd materially from fair valueandatleastevery two years. to ensure thatthecarryingamountdoesnotdiffer Land andbuildingsare revalued withsufficient regularity Revaluations year end. and adjustedifapplicable, attheendof eachfinancial The residual valueanduseful life of anasset isreviewed useful life of theimprovements whichever istheshorter. unexpired periodof theleaseorestimatedremaining Leasehold improvements are depreciated over the subscriptions L L Waka Motor vehicles and fittings Furniture Computers ibrary ibrary books quipment impairment invalue. accumulated depreciation andanyaccumulated All otherasset classes are statedatcost less not depreciated. Artwork isheldatcost orvaluationandis 1-10years 15-65years 5 years 2 years 10 years 5 years 5 years 2-4years 10 years 10%-100% 1.53%-6.66% 20% 50% 10% 20% 20% 25%-50% 10% impairment losses. at cost less accumulated amortisationandaccumulated costs, thecost model isappliedandtheasset iscarried Following initialrecognition of course development intangible asset will flow tothegroup. that future economic benefit arising from use of the accreditation hasbeenreceived andwhenitisprobable of educationalcourses andare capitalisedonce Course development costs relate todevelopment Course developmentcosts accumulated impairment losses. are carriedatcost less accumulated amortisationand initial recognition, separately acquired intangibleassets capitalised atitscost asatthe dateof acquisition. After Computer software isseparately acquired and Computer software 4. they are incurred. equipment are recognised inthesurplusordeficit as The costs of day-to-dayservicingof property, plantand can bemeasured reliably. flow to Te Wānanga oAotearoa andthe cost of theitem benefits orservice potentialassociated withtheitemwill capitalised onlywhenitisprobable thatfuture economic Costs incurred subsequenttoinitialacquisition are Subsequent costs transferred toretained earnings. in therevaluation reserve inrespect of thoseassets are When revalued assets are sold,theamountsincluded the surplusordeficit. asset. Gainsandlosses ondisposalsare recognised in comparing theproceeds withthecarryingvalueof the Gains andlosses ondisposalsare determinedby Disposals recognised atfair valueasatthedateof acquisition. asset isacquired atnocost, orfor anominalcost, itis equipment isinitiallyrecognised atitscost. Where an In mostinstances, anitemof property, plantand and isnotdepreciated. Work inprogress isrecognised atcost less impairment cost of theitemcanbemeasured reliably. with theitemwillflow to Te Wānanga oAotearoa andthe future economic benefits orservice potentialassociated recognised asanasset if, andonlyif, itisprobable that The cost of anitemof property, plantandequipmentis Additions comprehensive income. previously expensed andthenrecognised inother recognised inthesurplusordeficit uptotheamount revaluation thatreverses aprevious decrease invalue the surplusordeficit. Anysubsequentincrease on Intangibleassets 81
Annual report 2012 Te pŪrongo 2012 82 economic benefits orservice potential. deprived of the asset, replace itsremaining future inflows andwhere Te Wānanga oAotearoa would, if dependent ontheasset’s abilitytogenerate netcash or service potentialof theasset are notprimarily cost for anasset where thefuture economic benefits Value inuseisatermfor depreciated replacement asset’s fair valueless costs tosellandvalueinuse. amount. Therecoverable amountisthehigherof an the asset’s carryingamountexceeds itsrecoverable impairment loss isrecognised for theamountby which to beimpaired, arecoverable amountisestimated.An impairment ateachbalance date. Whenanasset isfound have afiniteuseful life are reviewed for indicators of and are testedannuallyfor impairment.Assets that not yet available for useare notsubjecttoamortisation Intangible assets thathave anindefinite useful life orare impairmentofproperty, plantand 5. they are incurred. as expenses in thesurplusordeficit inthe year inwhich All otherresearch anddevelopment costs are recognised the asset isde-recognised. asset andare recognised inthesurplusordeficit when the netdisposalproceeds andthecarryingamountof the intangible asset are measured asthedifference between Gains orlosses arisingfrom de-recognition of an indicator of impairment exists. Intangible assets are testedfor impairmentwhere an is reviewed annuallyfor indicators of impairment. The carryingvalueof eachclass of intangibleasset made accordingly. is different from theprevious assessment, changes are expected useful life orexpected patternof consumption are reviewed attheendof eachfinancial year. Ifthe for eachclass of intangibleasset having afinitelife The amortisationperiodandmethod assets isasfollows: A summaryof policiesappliedtothegroup’s intangible Amortisation Statement ofaccounting policies(continued) acquired generated/ Internally Method used Useful lives equipment andintangibleassets acquired Separately method Straight line Finite -5years software C omputer acquired separately generated/ Internally capitalisation method from Straight line Finite -5years costs development C ourse is evidence of short-term profit-taking. portfolio thatare managed together andfor which there the purposeof sellingintheshort-term orispartof a is classified in thiscategory ifacquired principally for include financialassets held for trading. Afinancial asset Financial assets atfair valuethrough surplusordeficit Financial assetsatfair value throughsurplusordeficit. purpose for whichtheinstrumentswere acquired. Classification of thefinancial asset dependsonthe • • • categories for thepurposesof measurement: Financial assets are classified intothe following ownership. transferred substantiallyalltherisksandrewards of been transferred andtheorganisation andgroup has flows from thefinancial assets have expired or have assets are derecognised whentherightstoreceive cash group commits topurchase orselltheasset. Financial on trade-date, thedateonwhichorganisation and Purchases andsalesof financialassets are recognised costs are recognised inthesurplusordeficit. through surplusordeficit inwhichcasethetransaction transaction costs unless they are carriedatfair value Financial assets are initiallyrecognised atfair valueplus 6. surplus ordeficit. reversal of animpairmentloss isrecognised inthe For assets notcarriedatarevalued amount,the recognised inthesurplusordeficit. or deficit, a reversal of theimpairmentloss isalso class of asset waspreviously recognised inthesurplus However, totheextent thatanimpairmentloss for that the asset revaluation reserve for thatclass of asset. credited toothercomprehensive income andincreases The reversal of animpairmentloss onarevalued asset is or deficit. total impairmentloss isrecognised inthesurplus For assets notcarriedatarevalued amount,the balance isrecognised inthesurplusordeficit. results inadebitbalance intherevaluation reserve, the revaluation reserve for thatclass of asset. Where that assets theimpairmentloss isrecognised againstthe is writtendown totherecoverable amount.For revalued amount, theasset isimpaired andthecarryingamount If anasset’s carryingamountexceeds itsrecoverable value of expected future cashflows. The valueinusefor cash-generating assets isthepresent fair valuethrough othercomprehensive income. loans andreceivables; and fair valuethrough surplusordeficit; Other financialassets or deficit. Any impairmentlosses are recognised inthesurplus asset orgroup of financialassets isimpaired. whether there isanyobjective evidence thatafinancial At eachbalance date, Te Wānanga oAotearoa assesses Impairment offinancialassets from equitytothesurplus ordeficit. recognised inothercomprehensive income isreclassified On derecognition, thecumulative gain or loss previously losses, whichare recognised inthesurplusordeficit. other comprehensive income, except for impairment at theirfair value, withgainsandlosses recognised in After initialrecognition, theseinvestments are measured • • designates inthiscategory: 12 monthsof balance date. TheInstituteandgroup management intends torealise theinvestment within They are includedinnon-current assets unless not classified inany of theothercategories above. fair valuethrough othercomprehensive income orare comprehensive income are thosethatare designatedas Financial assets atfair valuethrough other comprehensive income Financial assetsatfair value throughother derecognised are recognised inthesurplusordeficit. Gains andlosses whentheasset isimpaired or method less anyprovision for impairment. measured atamortisedcost usingtheeffective interest After initialrecognition, loansandreceivables are balance date, whichare includedinnon-current assets. except for maturitiesgreater than12monthsafterthe in anactive market. They are includedincurrent assets, with fixed ordeterminablepaymentsthatare notquoted Loans andreceivables are non-derivative financialassets equivalents anddebtorsotherreceivables) Loans andreceivables (includingcash andcash remeasurement recognised inthesurplusordeficit. are measured attheirfair valueswithgainsorlosses on After initialrecognition, financialassets inthiscategory as heldfor trading are classified asacurrent asset. selling intheshort-term orpartof aportfolio classified Financial assets acquired principallyfor thepurposeof Derivatives are alsocategorised asheldfor trading. shareholdings thatitholdsfor strategic purposes. which mayberealised before maturity;and investments thatitintendstoholdlong-term but surplus ordeficit. was recognised, theimpairment loss isreversed inthe related toanevent occurring aftertheimpairment loss instrument increases andthe increase canbeobjectively If inasubsequentperiodthefair valueof adebt or deficit. surplus ordeficit are not reversed through thesurplus E surplus ordeficit. comprehensive income isreclassified from equitytothe recognised inthesurplusordeficit) recognised inother any impairmentloss onthatfinancialasset previously the acquisition cost andthecurrent fair value, less cumulative loss (measured asthedifference between fair valuethrough othercomprehensive income, the If impairmentevidence exists for investments at is impaired. are considered objective indicators thattheasset into receivership orliquidation,and default inpayments of thedebtor, probability thatthedebtorwillenter For debtinvestments, significantfinancialdifficulties is considered objective evidence of impairment. decline inthefair value of theinvestment below its cost For equityinvestments, asignificantorprolonged comprehensive income Financial assetsatfair value throughother directly againsttheinstrument’scarryingamount. financial assets, impairmentlosses are recognised reclassified ascurrent (thatis,notpastdue). For other Overdue receivables thathave beenrenegotiated are allowance account. receivable isuncollectible, itiswrittenoff againstthe loss isrecognised inthesurplusordeficit. Whenthe use of anallowance account, andtheamountof the amount of theasset isreduced through the rate. For debtors andotherreceivables, thecarrying flows, discounted usingtheoriginal effective interest amount andthepresent valueof estimatedfuture cash impairment isthedifference between theasset’s carrying indicators thattheasset isimpaired. Theamountof the liquidation, anddefault inpayments are considered the debtorwillenterintobankruptcy, receivership, or financial difficulties ofthedebtor, probabilitythat the originaltermsof theloanorreceivable. Significant will notbeabletocollect amountsdueaccording to there isobjective evidence thatTe Wānanga oAotearoa Impairment of aloanorreceivable isestablishedwhen equivalents anddebtorsotherreceivables) Loans andreceivables (includingcash andcash quity instrumentimpairmentlosses recognised inthe 83
Annual report 2012 Te pŪrongo 2012 84 an interest expense andis includedin“finance costs”. the provision dueto thepassage of timeis recognised as and therisksspecificto obligation. Theincrease in current market assessments of thetimevalueof money obligation usingapre-tax discount rate thatreflects expenditures expected toberequired tosettlethe Provisions are measured atthepresent valueof the amount of theobligation. obligation, andareliable estimate canbemadeof the economic benefits willbe required tosettlethe a pastevent, itisprobable thatanoutflow of future obligation (eitherlegal orconstructive) asaresult of uncertain amountor timing whenthere isapresent A provision isrecognised for future expenditure of 11. face value. Creditors andotherpayablesare recorded attheir c reditors andotherpayables 10. or less. term depositswithanoriginalmaturityof three months position comprise cashatbankandinhandshort- Cash andcash equivalentsinthestatementof financial c 9. debts are writtenoff whenidentified. collection of thefullamountisnolonger probable. Bad A specificprovision for impairmentismadewhen for impairment. carried atoriginalreceivable amountless anyprovision T debtors andotherreceivables 8. in theperiodwhenwrite-down occurs. net realisable valueisrecognised inthesurplusordeficit The write-down from cost tocurrent replacement cost or • • as follows: The cost of purchased inventory isdetermined obsolescence oranyotherimpairment. potential of inventory heldfor distributionreflects any The replacement cost of theeconomic benefits orservice replacement cost atthedateof acquisition. cost orfor nominalconsideration, thecost isthecurrent realisable value. Where inventories are acquired atno basis are measured atthelower of cost andnet provision of services thatare notissued onacommercial Inventories heldfor distributionorconsumption inthe inventories 7. Statement ofaccounting policies(continued) auira fees andotherreceivables are recognised and Provisions first-out basis. rendering of services –purchase cost isonafirst-in, materials andconsumables tobeutilisedfor weighted average cost inventories heldfor resale –purchase cost isona ash andcashequivalents When funding is received inadvance of theproject the totalestimatedcosts tocomplete thefullproject. percentage of costs incurred todate compared to The stage of completion ismeasured basedonthe based onthestage of thecompletion of theproject. o Aotearoa. Revenue from theseprojects is recognised established andagreed between TECandTe Wānanga projects andorganisational change objectives as incurred by Te Wānanga oAotearoa tocomplete specific Commission (TEC)inrelation tocosts expected tobe Funding isreceived from theT Other government grants upon entitlement. Government grants are recognised as revenue Government grants or receivable. Revenue ismeasured atthefair valueof consideration 15. Revenue lease term. in thesurplusordeficit onastraight-line basis over the Operating lease paymentsare recognised asan expense lease termonthesamebasisasincome. amount of the leasedasset andrecognised over the negotiating anoperating leaseare addedtothecarrying as operating leases. Initial direct costs incurred in and benefits of ownership of theasset are classified Leases where thelessor retains substantiallyalltherisks 14. Leases as incurred. are recognised asanexpense inthesurplus ordeficit for asdefined contribution superannuation schemesand Obligations for contributions toKiwisaver are accounted Defined contributionschemes 13. Superannuation schemes be usedby staffto cover thosefuture absences. to theextent Te Wānanga oAotearoa anticipatesitwill entitlement thatcanbecarriedforward atbalance date amount iscalculatedbasedontheunusedsickleave leave entitlementsearnedinthecoming year. The coming year are expected tobegreater thanthesick leave totheextent thatcompensated absences inthe Te Wānanga oAotearoa recognises aliabilityfor sick sick leave. leave earned,butnotyet taken atbalance date, and salaries andwages accrued uptobalance date, annual entitlements atcurrent rates of pay. Theseinclude date are measured atnominalvaluesbasedonaccrued expects tobesettledwithin12monthsof balance Employee entitlementsthatTe Wānanga oAotearoa Short-term employeeentitlements 12. Employee entitlements ertiary E ducation and activitiesof Te Wānanga oAotearoa. Onthisbasis purposes, beingpurposesconsistent withthepurposes o Aotearoa orotherwiseexclusively for charitable by thecompany by wayof distributionto Te Wānanga for profits not reinvested inthe company tobeapplied dividends. However clauses2.1.2and2.2.2doprovide shares inthecompany donotcarryanyrighttoreceive constitutions; inparticular clause4.2provides thatthe arrangements were not consistent withthesubsidiaries o Aotearoa anditssubsidiaries isincorrect. The implemented from 2008to 2012by Te Wānanga The form of thedividend/debt arrangements Why thishasbeentechnically incorrectsince2008 Wānanga Limited. 2008. Moving forward adonationwillbepaidby O pen of thedebt.Thishasbeentechnicallyincorrect since by OpenWānanga Limited inorder tomanage thevalue entity debt.Inthepastadividendhasbeendeclared annually, thetwo entitiesconsider thevalueof theinter- because of this aninter-entitydebthasarisen.Atleast between theorganisations asthey are neededand as theseservices are performed. However fundsflow Open Wānanga Limited invoices Te Wānanga oAotearoa delivery services toTe Wānanga oAotearoa since 2001. Open Wānanga Limited hasprovided educational subsidiary Financial arrangement betweentheparentand deficit inthe period inwhichthey are received. donations are recognised asrevenue inthesurplusor the subsidiarycompany, OpenWānanga Limited. These Donations are received by Te Wānanga oAotearoa from onations 16. D the netcarryingamountof thefinancialasset. through theexpected life of thefinancialinstrument)to that exactly discounts estimatedfuture cashreceipts effective interest methodwhichappliestheinterest rate Revenue isrecognised astheinterest accrues (usingthe Interest an accrual basis. R Rental income days for eachcourse. the daysof course completed asapercentage of total date. Stage of completion ismeasured by reference to stage of completion of thecourse asatthebalance sheet period inwhichthecourse istaughtby reference tothe Revenue from tauira tuitionfees isrecognised over the Student tuitionfees completion method. is released over thespecificperiodusingstage of being completed, deferred income isrecognised and ental income isrecognised inthesurplusordeficit on are prepared inaccordance withNZGAAPandare Whakahaere atthebeginning of theyear. Budget figures Budget figures are thoseapproved by Te Mana 19. of GST Commitments andcontingencies are disclosed exclusive flow inthestatement of cashflows. financing activities,isclassified asanetoperating cash authority ,includingtheGSTrelating toinvesting and The netGSpaidto, orreceived from thetaxation or payablesinthestatementof financialposition. the taxationauthorityisincludedaspartof receivables The netamountof GSTrecoverable from orpayable to • • amount of GST except: Revenues, expenses andassets are recognised netof the 18. and equipmenttofair value. This reserve relates totherevaluation of property, plant, Property revaluation reserve • • • equity are: classified intoanumber of reserves. The components of assets andtotalliabilities.E E 17. original arrangements. to dosoretrospectively, witheffect from thedate of the documentation required toremedy thepositionwillseek replacement distribution(donation)arrangements. The unwinding thedividendarrangements andimplementing and itssubsidiaryare abletoremedy thepositionby as shareholders. Therefore Te Wānanga oAotearoa distributions toTe Wānanga oAotearoa intheircapacity “grants” for charitablepurposes.Distributionsare not Limited canbeintheform of “donations”, “gifts”or Wānanga Limited. Distributionsfrom OpenWānanga Te Wānanga oAotearoa isthesoleshareholder of Open What hasbeendoneandwhentoremedythesituation from 2008to2012were permitted. the substance of thedividend/debt arrangements made quity ismeasured asthedifference between total Budget figures of GSTincluded. receivables andpayablesare statedwiththeamount the expense item asapplicable of thecost of acquisition of theasset oraspartof authority, in which case the GST is recognised as part and services isnotrecoverable from thetaxation where theGSTincurred onapurchase of goods GoodsandServices Tax (GST) capital contribution property revaluation reserves retained earnings Equity . quity isdisaggregated and 85
Annual report 2012 Te pŪrongo 2012 86 government grants for publicbenefit entitiesbecause does notprovide authoritative supportonaccounting for repaid intheevent theconditions are notmet. NZIFRS attached whichrequire allorpartof thegrant tobe centre facility. Thegrant hasanumberof conditions for theconstruction of anew earlychildhood learning Te Wānanga oAotearoa received agrant from theCrown Early childhoodcentregrant in note16. capital contributions recognised inequityisdisclosed contribution directly inequity. Information about o Aotearoa accounts for thefundingasacapital the authorityof acapitalappropriation, Te Wānanga Where fundingisreceived from theCrown under an expense appropriation andisrecognised asrevenue. Thus itisprovided by theCrown undertheauthorityof Most Crown fundingreceived isoperational innature. Distinction betweenrevenueandcapital contribution a buyer anddisposeof theassets andliabilities. the activationandcommitment toaprogramme tolocate through theenteringintoacontractual saleagreement or Aotearoa mustbecommitted tosellingtheasset either must beavailable for immediatesaleandTe Wānanga o through asaletransaction. Theassets andliabilities held for salewhenitscarryingamountwillberecovered Te Wānanga oAotearoa classifies assets andliabilitiesas Classification ofassetsandliabilitiesasheldforsale impairment inthisfinancialperiod. and, assuch,theseassets have notbeentestedfor the triggers for impairmenttestinghave beensignificant asset isdetermined.Management doesnotconsider that impairment trigger exists, therecoverable amountof the environments, andfuture programme expectations. Ifan performance, technology, economic andpolitical that mayleadtoimpairment.Theseincludeprogramme to Te Wānanga oAotearoa andtotheparticularasset at eachreporting dateby evaluating conditions specific Te Wānanga oAotearoa assesses impairmentof allassets Impairment ofnon-financialassets has therefore classified theleasesasoperating leases. risks andrewards of ownership ontheseproperties and o Aotearoa hasdeterminedthatitretains allsignificant property leasesonitsproperty portfolio. Te Wānanga Te Wānanga oAotearoa hasentered intocommercial Operating lease commitments statements asaresult of key judgements orestimates. The following itemshave beenincludedinthefinancial 20. financial statements. by T consistent withtheaccounting policiesadopted Statement ofaccounting policies(continued) e ManaWhakahaere for thepreparation of the Key judgements, estimatesandassumptions land andbuildings. assumptions exercised inthemeasurement of revalued Note 11provides information abouttheestimatesand Property revaluations made whenconsidered necessary. the remaining useful life. Adjustmentstouseful lives are assessed atleastonce peryear andconsidered against vehicles). Inaddition,thecondition of eachasset is leased equipment)andturnover policies(for motor warranties (for plantandequipment),leaseterms (for based onhistoricalexperience aswell asmanufacturers’ The estimationof the useful lives of assets hasbeen Estimation ofusefullivesassets cash flows. or saleandthattheprogrammes willprovide positive asset isvalidsothattheasset willbeavailable for use feasibility of completing theintangible Aotearoa whenitcanbedemonstrated thatthetechnical Development costs are onlycapitalisedby Te Wānanga o Capitalised programme developmentcosts to theCrown. Aotearoa willberequired torepay allorpartof thegrant therefore notconsidered probable thatTe Wānanga o to satisfyingtheremaining grant conditions. Itis the grant asrevenue becausemanagement iscommitted Framework andinapplyingitsjudgement hasrecognised considered theliabilitydefinition intheNew Zealand of Government Assistance. Te Wānanga oAotearoa has 20 Accounting for Government Grants andDisclosure recognition andmeasurement requirements of NZIAS public benefit entitiesare notpermittedtoapplythe government funding (a) income 2 financial statements Notes tothe *Employer contributionstodefined contributionplansincludecontributionstoKiwisaver. 3 institutions. *Contract income relatestolicencesandsubcontracting arrangements thatTeWānanga oAotearoa haswithother (b) (c) For theyear ended Total personnel costs Increase/(decrease) inemployee sickleave Employer contributions todefined contribution plans* Wages andsalaries Student Achievement Component Funding Fees from internationalTauira Fees from domesticT Total government funding Other government funding P Quality R Other income Found property, plantandequipment Profit onsale of property, plantandequipment Contract income* Total tuitionfees Total otherincome erformance BasedResearch Fund Tuition fees Other income Rental income Sales toOpenWānanga Limited Canteen sales Donation from OpenWānanga Limited Miscellaneous income Dividends from external sources Personnel costs einvestment Plan
31 December 2012 auira 133,384 135,160 84,443 85,296 5,216 1,613 2,732 3,810 5,897 8,028 g roup Group group Group $’000 $’000 2012 2011 2012 2011 781 681 163 309 114 959 101 72 3 - - - 132,091 134,877 80,793 81,529 5,866 2,259 1,771 3,038 6,286 6,386 730 420 160 367 336 724 367 148 6 2 - - 133,440 135,216 75,491 76,203 15,018 Parent Parent 5,216 1,613 2,732 1,275 5,413 4,124 5,216 694 163 309 114 959 18 89 3 - - 132,091 134,877 73,229 73,870 14,118 Parent Parent 5,866 2,259 1,771 1,470 6,468 2,980 5,866 635 160 367 336 367 724 6 2 - - 87
Annual report 2012 Te pŪrongo 2012 88 use by thegroup There were nocashorequivalentbalances heldat31December 2012thatwere notavailable for The weighted average effective interest rate for termdepositsis3.86%(2011 -4.01%). approximates theirfair value. The carryingvalueof cashatbankandterm deposits withmaturitiesless thanthree months 4 Notes tothefinancialstatements(continued) c 5 Fees toprincipalauditor Total cashandequivalents T Cash atbankandinhand Make good provision Loss onsaleof property, plantandequipment Impairment of property, plant&equipmentstock Minimum leasepayments–operating lease Rent Occupancy expenses Artwork lease T T Inventories consumed Consultancy fees Small capitalpurchases Intercompany expenses Scholarships Satellite payments Koha Bad debtswrittenoff Impairment of receivables Administration Management fees Total otherexpenses erm depositswithmaturitiesless than3months auira resources ravel Audit fees for prioryear Audit fees for financialstatementaudit Payments toAotearoa Scholarship Trust Payments toOpenWānanga Limited Other Expenses ash andcashequivalents . 10b 13,859 51,436 1,711 2,000 3,376 3,260 2,407 6,878 8,627 2,164 4,532 2,595 1,902 1,584 5,376 g roup Group group Group $’000 $’000 2012 2011 2012 2011 296 777 105 336 156 195 36 13 3 - - - 10,623 13,839 11,846 54,394 1,920 6,723 5,123 4,154 2,041 6,268 2,285 4,215 2,318 2,396 2,301 (116) 290 121 829 131 396 307 76 - - - - 24,963 10,627 66,562 Parent Parent 1,711 7,156 2,000 2,703 3,260 1,239 6,241 2,164 3,291 2,347 1,902 4,703 197 777 332 156 117 66 13 3 - - - - 11,270 68,784 24,397 Parent Parent 1,915 8,177 5,000 4,191 4,154 1,401 5,722 2,285 3,145 2,091 2,396 9,191 (116) 205 121 829 389 307 76 20 - - - - graduation. Therefore thecarryingvalue of T Tauira debtors are non-interest bearingandreceipt isnormallyonenrolment andnolaterthan value of otherdebtors approximates theirfair value. Other debtors are non-interest bearingandreceipt isnormallyon30-dayterms.Therefore thecarrying Fair V 31 December. For thepurposeof thecashflow statement,cashandequivalents comprise the following asat c R 5 Other receivables Tauira receivables debtors andotherreceivables 6 econciliation of cashfor thepurposeof thecashflow statement Total debtors andotherreceivables Less provision for impairment Gross debtors andotherreceivables Related partyreceivables Total cashandequivalents T Accrued interest Cash atbankandinhand T Net Tauira fee receivables Less provision for impairment T erm depositswithmaturitiesless than3months auira fee receivables rade receivables Subsidiary (note19) Other related parties(note19) alue ash andcashequivalents(continued) auira debtors approximates theirfair value. 2,619 1,808 2,000 3,376 3,248 5,376 g roup Group group Group $’000 $’000 2012 2011 2012 2011 261 550 662 646 (17) (16) - 11,846 2,170 1,787 6,723 5,123 2,672 155 228 522 515 (13) (7) - Parent Parent 2,309 1,683 2,000 2,703 2,938 4,703 550 662 646 (17) (16) 52 24 Parent Parent 1,974 1,733 5,000 4,191 2,476 9,191
228 522 515 (13) 13 (7) - 89
Annual report 2012 Te pŪrongo 2012 90 Group being experienced by thedebtor. Other impaired receivables have beendeterminedtobeimpaired becauseof thesignificantfinancialdifficulties previous periodsandareview of specific receivables. of receivables. Expectedlosses have beendeterminedbasedonananalysisof losses for Te Wānanga oAotearoa in The impairmentprovision hasbeencalculatedbasedonexpected losses for Te Wānanga oAotearoa andthepool All receivables greater than30daysinage are considered tobepastdue. Parent The ageing profile of receivables at year endisdetailedbelow: debtors andotherreceivables (continued) Impairment 6 Notes tothefinancialstatements(continued) Movements intheprovision for impairmentof receivables are asfollows: Not pastdue P Past due61-120days Past due1-60days Not pastdue P Past due61-120days Past due1-60days Total Total At 31December R Additional provisions madeduringtheyear At 1January ast due>120days ast due>120days eceivables writtenoff duringtheperiod
impairment gross 2,499 2,309 2,971 3,281 $’000 2012 2011 163 110 229 476 443 23 group Group $’000 (156) 2012 2011 (33) (33) 169 (33) (33) 20 33 ------2,499 2,309 2,938 3,248 (307) 163 110 229 443 410 137 190 impairment gross Net 23 20 Parent 1,577 2,077 2,496 1,996 (156) 358 358 169 18 43 18 43 20 33 Parent (307) (20) (20) 137 190 (14) (14) 20 (6) (6) - - - - 1,577 2,077 2,476 1,976 $’000 344 344 Net 18 37 18 37 or impaired. There were noimpairmentprovisions for otherfinancialassets. None of theassets are eitherpastdue Impairments The discount rates range between 2.53%and2.91%(2011-2.46%3.30%). the cashflows of termdepositsheld. rate ontermdeposits atbalance datewithprincipaltermstomaturitythatmatchascloselypossible determined by discounting future interest cashflows usingadiscount rate basedonthemarket interest The fair value of non-current termdepositsis$13,133,387(2011-$14,305,299).Fair valuehasbeen Term deposits Fair value Non-current portion Current portion 7 No inventories are pledged assecurityfor liabilities. There have beennoreversals of write-offs (2011-NIL). required inanumberof programmes. Thiswrite-off amountedto$86,269in2012(2011-$129,167). During theyear, awrite-off of inventories occurred duetoachange in resources andtechnologies predominantly comprise booksandresources usedintheteachingof courses totauira. are materialsorsupplies whichwillbeconsumed inconjunction withthedelivery of services and Inventories are madeupof consumables andinventories heldfor distributiontocampuses.Consumables therefore, thecarryingamountatcurrent replacement cost isNIL(2011-NIL). The carryingamountof inventories for distributionare measured atcost asat31December 2012and Inventories heldfor distribution inventory 8
Total otherfinancialassets Total non-current portion T Total current portion Term depositswithmaturitiesof 4-12months erm depositswithmaturities>12months Other financialassets 13,213 13,213 39,791 53,004 39,791 2,068 g roup Group group Group $’000 $’000 2012 2011 2012 2011 49,467 13,344 13,344 36,123 36,123 2,096 13,213 13,213 36,000 49,213 36,000 Parent Parent 964 13,344 13,344 32,500 45,844 32,500 Parent Parent 1,105 91
Annual report 2012 Te pŪrongo 2012 92 For termsandconditions relating torelated partiespayables,refer tonote18. payables approximates theirfair value. 7 daysand20thof the monthfollowing invoice date. Therefore, thecarryingvalueof trade andother Creditors andotherpayablesare non-interest bearingandare normallysettledontermsvaryingbetween Related partypayable: creditors andotherpayables 9 Notes tothefinancialstatements(continued) and OpenEnglishLimited Subsidiary -OpenWānanga Limited Goods andServices T P Income inadvance Other government funding Accrued expenses T rade payables ay AsYou EarnT ax ax 10,562 10,562 1,563 1,701 2,695 4,003 g roup Group $’000 2012 2011 544 56 - 10,932 10,932 1,575 1,581 3,814 3,326 636 - - 16,387 Parent 7,012 9,375 1,289 1,538 2,463 3,541 544 - 18,230 Parent 8,703 9,527 1,406 1,494 3,554 2,437 636 - Movements for eachclass of provision are asfollows: Group b measured atthecurrent rates of payandclassified ascurrent liabilities. Annual leave andsickleave entitlementsexpected tobesettledwithin12monthsof thebalance sheetdateare a 10 Movements for eachclass of provision are asfollows: Parent arrangements isdisclosedinnote17. in December 2014,December 2015andAugust2018.Information aboutTe Wānanga oAotearoa’s leasing The cashflows associated withthenon-current portion of theleasemake-good provision are expected tooccur these leases,whichimpactson thetimingof expected cashoutflows tomake-good the premises. make-good any damage causedto thepremises. Inmanycases, Te Wānanga oAotearoa hastheoptiontorenew In respect of anumberof its leasedpremises, Te Wānanga oAotearoa isrequired attheexpiry of theleasetermto Lease make-good Balance at1January2012 Sick leave Annual leave Accrued salaries Balance at31December 2012 Discount unwind Unused amountsreversed Amounts used Additional provisions Balance at1January 2012 Balance at31December 2012 Discount unwind Unused amountsreversed Amounts used Additional provisions Provision Employee Entitlements Provisions Lease make-good Lease make-good 5,132 5,730 $’000 $’000 group Group g roup Group $’000 $’000 2012 2011 2012 2011 195 117 195 117 195 208 390 195 ------3,959 2,057 6,220 Total Total 204 195 117 195 117 ------Parent Parent 4,594 5,009 117 193 222 117 Parent Parent 3,605 1,773 5,553 175 - - 93
Annual report 2012 Te pŪrongo 2012 94 2012 Group 11 Notes tothefinancialstatements(continued) 2011 NBV At31December 2012 NBV At1January2012 Closing accumulated depreciation at31December 2012 R Impairment R Impairment Disposals R Depreciation Disposals Opening accumulated depreciation at1January2012 Depreciation Closing cost at31December 2012 Opening accumulated depreciation at1January2011 R Closing cost at31December 2011 Impairment R R Impairment Disposals NBV At31December 2011 R Additions NBV At1January2011 Disposals Opening cost at1January2012 Closing accumulated depreciation at31December 2011 Additions Rev Opening cost at1January2011 evaluation eclassification eclassification evaluation evaluations eclassification eclassification a luations Property, plantandequipment 23,280 22,068 23,280 22,068 22,068 22,068 22,068 22,068 (1,538) 2,750 $’000 Land ------Buildings (4,483) 47,333 44,680 47,333 49,163 49,163 43,790 44,680 43,497 (1,714) (2,856) (4,483) (2,495) (9,414) 7,992 1,812 6,754 3,580 $’000 (653) (293) 831 (19) 19 (1) ------Total Land& improvements Buildings (10,952) (4,483) 70,613 66,748 70,613 71,231 71,231 65,858 66,748 65,565 (1,714) (2,856) (4,483) (2,495) 7,992 1,812 9,504 3,580 $’000 (653) (293) 831 (19) 19 (1) ------Leasehold (1,523) (2,685) (2,685) (3,747) (2,085) 1,438 1,590 1,810 2,961 4,495 4,495 1,223 5,284 1,810 1,537 $’000 (310) (602) (949) (831) 819 653 109 246 (36) 47 27 ------Equipment (2,452) (3,059) 1,405 1,258 1,258 4,379 1,320 $’000 (930) (740) (190) (740) (741) (205) 1,965 (320) 475 147 518 277 518 640 34 ------C omputers (2,593) (2,565) (2,565) (2,123) 3,435 3,219 3,219 2,804 $’000 (396) (368) (386) (346) (498) 364 842 658 594 654 197 654 681 (10) (54) 384 18 4 ------Furniture & v Fittings (1,026) 1,103 (216) (193) (193) (512) (388) 500 358 110 203 313 203 (23) (25) 97 10 10 77 (1) 1 ------(6,213) (5,481) (1,335) (5,481) (1,152) (4,412) ehicles Motor 3,277 3,137 9,490 1,553 8,618 8,618 1,312 7,457 3,137 3,045 $’000 (456) (143) (538) (624) 139 464 539 473 ------1,272 1,146 1,146 1,172 (685) (653) (653) (623) Waka 587 137 493 493 (39) 549 (50) (11) (18) (13) 12 7 8 5 ------Artwork 3,448 2,781 3,448 1,114 2,781 2,781 1,352 1,462 2,781 1,462 $’000 (447) (33) ------(3,558) (3,251) (3,251) (2,973) vL Library 2,658 2,565 6,216 5,816 5,816 5,383 2,565 2,410 $’000 (668) (580) (373) (353) 361 302 773 786 ------(2,201) (2,163) (2,163) (1,637) 2,615 2,507 2,507 2,074 $’000 (328) (526) (290) 290 414 398 344 433 344 437 C ------(5,074) (4,968) 1,273 1,594 1,273 4,753 1,594 1,594 5,574 1,594 $’000 988 988 WIP ------(17,919) (22,214) 103,041 102,868 102,868 (22,214) (19,893) (10,952) 85,122 80,654 19,329 14,740 97,964 80,654 78,071 (6,145) (6,248) (2,582) (4,147) (5,622) (5,888) 7,992 1,980 3,447 $’000 (138) Total 468 618 199 - - - - 2011 2012 Group 11 NBV At31December 2011 NBV At1January2011 Closing accumulated depreciation at31December 2011 Rev Impairment R Disposals Depreciation Opening accumulated depreciation at1January2011 Closing cost at31December 2011 R Impairment R Disposals Additions Opening cost at1January2011 NBV At31December 2012 NBV At1January2012 Closing accumulated depreciation at31December 2012 R Impairment R Disposals Depreciation Opening accumulated depreciation at1January2012 Closing cost at31December 2012 R Impairment R Disposals Additions Opening cost at1January2012 eclassification evaluations eclassification evaluation eclassification evaluation eclassification aluations Property, plantandequipment 22,068 22,068 22,068 22,068 23,280 22,068 23,280 22,068 (1,538) 2,750 $’000 Land ------Buildings (4,483) 44,680 43,497 49,163 43,790 47,333 44,680 (1,714) (2,495) 47,333 49,163 (2,856) (4,483) (9,414) 1,812 3,580 7,992 6,754 $’000 (293) (653) 831 (19) 19 (1) ------Total Land& improvements Buildings (10,952) (4,483) 66,748 65,565 71,231 65,858 70,613 66,748 (1,714) (2,495) 70,613 71,231 (2,856) (4,483) 1,812 3,580 7,992 9,504 $’000 (293) (653) 831 (19) 19 (1) ------Leasehold (2,685) (1,523) (3,747) (2,085) (2,685) 1,590 1,810 1,537 1,223 4,495 5,284 1,438 1,810 2,961 4,495 $’000 (602) (310) (949) (831) 109 819 653 246 (36) 47 27 ------Equipment (2,452) (3,059) 1,320 1,258 4,379 1,405 1,258 $’000 (740) (930) (741) (205) (190) (740) 1,965 (320) 518 277 475 147 518 640 34 ------C omputers (2,565) (2,593) (2,565) (2,123) 3,219 2,804 3,435 3,219 $’000 (386) (396) (368) (346) (498) 658 654 197 681 364 842 594 654 (54) (10) 384 18 4 ------Furniture & v Fittings (1,026) 1,103 (193) (216) (512) (388) (193) 500 358 203 (25) 110 203 313 (23) 10 77 97 10 (1) 1 ------(5,481) (6,213) (1,152) (4,412) (1,335) (5,481) ehicles Motor 3,137 3,045 1,312 8,618 7,457 3,277 3,137 1,553 9,490 8,618 $’000 (456) (624) (143) (538) 539 473 139 464 ------1,146 1,172 1,272 1,146 (653) (685) (623) (653) Waka 493 549 (50) 587 137 493 (18) (13) (39) (11) 12 8 5 7 ------Artwork 2,781 1,462 1,352 2,781 1,462 3,448 2,781 1,114 3,448 2,781 $’000 (447) (33) ------(3,251) (3,558) (2,973) (3,251) vL Library 2,565 2,410 5,816 5,383 2,658 2,565 6,216 5,816 $’000 (580) (353) (668) (373) 302 786 361 773 ------(2,163) (2,201) (1,637) (2,163) 2,507 2,074 2,615 2,507 $’000 (526) (328) (290) 344 433 437 290 414 398 344 ------C ------(4,968) (5,074) 1,594 5,574 1,594 1,273 1,594 4,753 1,273 1,594 $’000 988 988 WIP ------(22,214) (17,919) 102,868 (19,893) 103,041 102,868 (22,214) (10,952) 80,654 78,071 14,740 97,964 85,122 80,654 (6,248) 19,329 (4,147) (5,888) (6,145) (2,582) (5,622) 3,447 7,992 1,980 $’000 (138) Total 618 199 468 - - - - 95
Annual report 2012 Te pŪrongo 2012 96 2012 Parent 11 Notes tothefinancialstatements(continued) 2011 NBV At31December 2012 NBV At1January2012 NBV At31December 2011 Closing accumulated depreciation at31December 2012 NBV At1January2011 R Closing accumulated depreciation at31December 2011 Impairment R R Impairment Disposals R Depreciation Disposals Opening accumulated depreciation at1January2012 Depreciation Closing cost at31December 2012 Opening accumulated depreciation at1January2011 R Closing cost at31December 2011 Impairment R R Impairment Disposals R Additions Disposals Opening cost at1January2012 Additions Opening cost at1January2011 evaluation evaluations eclassification eclassification evaluation evaluations eclassification eclassification Property, plantandequipment(continued) 23,030 21,818 21,818 21,818 23,030 21,818 21,818 21,818 (1,538) 2,750 $’000 Land ------Buildings (4,393) 46,133 43,480 43,480 42,345 46,133 47,873 47,873 42,640 (1,714) (2,758) (4,393) (2,403) (9,301) 7,804 1,812 6,731 3,440 $’000 (653) (295) 831 (19) 19 (1) ------Total Land& improvements Buildings (10,839) (4,393) 69,163 65,298 65,298 64,163 69,163 69,691 69,691 64,458 (1,714) (2,758) (4,393) (2,403) 7,804 1,812 9,481 3,440 $’000 (653) (295) 831 (19) 19 (1) ------Leasehold (1,393) (2,643) (2,643) (3,726) (2,085) 1,291 1,590 1,661 1,661 1,521 2,684 4,304 4,304 1,033 5,247 $’000 (222) (554) (949) (831) 819 653 109 160 47 ------Equipment (2,452) (3,006) 1,306 1,238 1,179 1,179 4,312 $’000 (855) (683) (172) (683) (741) (205) 1,965 (316) 383 496 496 265 640 59 34 ------C omputers (1,999) (1,991) (1,991) (1,551) 2,668 2,639 2,639 2,224 $’000 (372) (368) (386) (346) (496) 364 669 658 397 648 648 197 673 (54) 384 18 ------Furniture & v Fittings 1,075 (172) (165) (165) (998) (512) (388) 500 358 175 175 175 (25) 10 10 77 (7) 3 ------(5,454) (4,897) (1,125) (4,897) (4,008) ehicles 2,780 2,644 2,644 2,466 8,234 1,335 7,541 7,541 1,197 6,474 Motor $’000 (456) (966) (143) (499) (603) 139 429 533 473 ------1,272 1,146 1,146 1,172 (685) (653) (653) (623) Waka 587 137 493 493 549 (39) (50) (11) (18) (13) 12 7 8 5 ------Artwork 3,210 2,580 2,580 1,304 3,210 1,077 2,580 2,580 1,309 1,304 $’000 (447) (33) ------(3,558) (3,251) (3,251) (2,973) vL Library 2,658 2,565 2,565 2,410 6,216 5,816 5,816 5,383 $’000 (668) (580) (373) (353) 361 302 773 786 ------(2,201) (2,163) (2,163) (1,637) 2,615 2,507 2,507 2,074 $’000 (328) (526) (290) 290 414 398 344 344 433 437 C ------(5,074) (4,898) 1,196 1,594 1,594 1,196 4,676 1,594 1,594 5,573 $’000 919 919 WIP ------(16,317) (20,839) (20,839) (18,817) (10,839) 82,354 78,333 78,333 75,825 98,671 18,493 99,172 99,172 14,238 94,642 (5,691) (5,916) (2,582) (4,147) (5,573) (5,760) 7,804 1,980 3,447 $’000 (138) Total 429 585 199 - - - - 2011 2012 Parent 11 NBV At31December 2011 NBV At1January2011 Closing accumulated depreciation at31December 2011 R Impairment R Disposals Depreciation Opening accumulated depreciation at1January2011 Closing cost at31December 2011 R Impairment R Disposals Additions Opening cost at1January2011 NBV At31December 2012 NBV At1January2012 Closing accumulated depreciation at31December 2012 R Impairment R Disposals Depreciation Opening accumulated depreciation at1January2012 Closing cost at31December 2012 R Impairment R Disposals Additions Opening cost at1January2012 evaluations eclassification evaluations eclassification evaluation eclassification evaluation eclassification Property, plantandequipment(continued) 21,818 21,818 21,818 21,818 23,030 21,818 23,030 21,818 (1,538) 2,750 $’000 Land ------Buildings (4,393) 43,480 42,345 47,873 42,640 46,133 43,480 (1,714) (2,403) 46,133 47,873 (2,758) (4,393) (9,301) 1,812 3,440 7,804 6,731 $’000 (295) (653) 831 (19) 19 (1) ------Total Land& improvements Buildings (10,839) (4,393) 65,298 64,163 69,691 64,458 69,163 65,298 (1,714) (2,403) 69,163 69,691 (2,758) (4,393) 1,812 3,440 7,804 9,481 $’000 (295) (653) 831 (19) 19 (1) ------Leasehold (2,643) (1,393) (3,726) (2,085) (2,643) 1,590 1,661 1,521 1,033 4,304 5,247 1,291 1,661 2,684 4,304 $’000 (554) (222) (949) (831) 109 819 653 160 47 ------Equipment (2,452) (3,006) 1,306 1,179 4,312 1,238 1,179 $’000 (683) (855) (741) (205) (172) (683) 1,965 (316) 496 265 383 496 640 59 34 ------C omputers (1,991) (1,999) (1,991) (1,551) 2,639 2,224 2,668 2,639 $’000 (386) (372) (368) (346) (496) 658 648 197 673 364 669 397 648 (54) 384 18 ------Furniture & v Fittings 1,075 (165) (172) (998) (512) (388) (165) 500 358 175 (25) 175 175 10 77 10 (7) 3 ------(4,897) (5,454) (4,008) (1,125) (4,897) ehicles 2,644 2,466 1,197 7,541 6,474 2,780 2,644 1,335 8,234 7,541 Motor $’000 (456) (966) (603) (143) (499) 533 473 139 429 ------1,146 1,172 1,272 1,146 (653) (685) (623) (653) Waka 493 549 (50) 587 137 493 (18) (13) (39) (11) 12 8 5 7 ------Artwork 2,580 1,304 1,309 2,580 1,304 3,210 2,580 1,077 3,210 2,580 $’000 (447) (33) ------(3,251) (3,558) (2,973) (3,251) vL Library 2,565 2,410 5,816 5,383 2,658 2,565 6,216 5,816 $’000 (580) (353) (668) (373) 302 786 361 773 ------(2,163) (2,201) (1,637) (2,163) 2,507 2,074 2,615 2,507 $’000 (526) (328) (290) 344 433 437 290 414 398 344 ------C ------(4,898) (5,074) 1,594 5,573 1,594 1,196 1,594 4,676 1,196 1,594 $’000 919 919 WIP ------(20,839) (16,317) (18,817) (20,839) (10,839) 78,333 75,825 14,238 99,172 94,642 82,354 78,333 (5,916) 18,493 98,671 99,172 (4,147) (5,760) (5,691) (2,582) (5,573) 3,447 7,804 1,980 $’000 (138) Total 585 199 429 - - - - 97
Annual report 2012 Te pŪrongo 2012 98 The totalvalueof property, plantandequipmentinthecourse of construction is$1,195,898(2011-$1,593,661). Work inprogress Wigmore of JonesLangLaSalleandthevaluationiseffective asat31December 2012. The mostrecent valuationof buildingswasperformed by registered independentvaluers WilliamHickey andDave Market rates andcapitalisationrates were appliedtoreflect market value. Non-specialised buildings(for example, residential buildings)are revalued atfair valueusingmarket-based evidence. • • • • Depreciated replacement cost isdeterminedusinganumberof significantassumptions including: no reliable market dataisavailable for buildingsdesignedfor educationdelivery purposes. Specialised buildings(for example, campuses)are valuedatfair valueusingdepreciated replacement cost because Buildings Wigmore of JonesLangLaSalleandthevaluationiseffective asat31 December 2012. The mostrecent valuationof landwasperformed by registered independentvaluers WilliamHickey andDave comparable landvalues. Land isvaluedatfair valueusingmarket-based evidence based on itshighestandbestusewithreference to Land V 11 Notes tothefinancialstatements(continued) aluation Straight-line depreciation hasbeenappliedindeterminingthedepreciated replacement cost valueof theasset. The remaining life of assets isestimated. New Zealand cost information. The replacement cost isderived from recent construction contracts of similarassets andProperty Instituteof appropriate for obsolescence duetoover-design orsurpluscapacity. The replacement asset isbasedonthereproduction cost of thespecificassets withadjustmentswhere Property, plantandequipment(continued) 2012 Group in Computing andCertificate in Career Preparation - Police. intangibleassets Programme development costs were incurred indeveloping Bachelorof MaoriArt,DiplomainTu Taua, Certificate 12 2011 NBV at31December 2012 NBV at1January2012 Closing accumulated amortisationat31December 2012 Disposals R Impairment Amortisation Opening accumulated amortisationat1January2012 Closing cost at31December 2012 Disposals R Impairment Additions Opening cost at1January2012 NBV at31December 2011 NBV at1January2011 Closing accumulated amortisation at31December 2011 Disposals R Impairment Amortisation Opening accumulated amortisationat1January2011 Closing cost at31December 2011 Disposals R Impairment Additions Opening cost at1January2011 eclassification eclassification eclassification eclassification development Software (1,830) (1,346) (1,346) 2,711 1,441 1,101 1,365 2,931 1,365 2,711 $’000 (484) (295) (352) (733) Programme 220 313 991 708 (34) 34 ------(7,801) (6,793) 10,988 (1,031) (6,793) (1,196) (5,652) 9,964 1,136 8,664 1,380 3,187 3,171 3,171 9,964 3,012 $’000 (112) (80) 23 55 ------
(1,697) (1,155) 1,965 1,400 1,389 1,886 2,210 1,400 2,210 1,400 1,886 1,400 (178) WIP ------(9,631) (8,139) 14,075 11,991 16,129 14,075 (1,155) (1,515) (8,139) (1,697) (1,548) (6,385) 3,321 3,760 6,498 5,936 5,936 5,606 $’000 (112) (295) (292) Total 313 23 89 - - - - 99
Annual report 2012 Te pŪrongo 2012 100 2012 Parent intangibleassets (continued) 12 Notes tothefinancialstatements(continued) the group financialstatements. The balance dateof thecompany is31 December. Theresults of OpenWānanga Limited are consolidated into investment inOpen Wānanga Limited Open Wānanga Limited isafullyowned subsidiaryof Te Wānanga oAotearoa andisinthebusiness of education. 13 2011 in Ta Moko $80,000,work-in-progress -DiplomainHauora $128,563andshortcourses $49,088). Tangata (Introduction) $56,475andHeWaka Tangata (Applied)$55,362. (2011-$257,651,consisting of: Diploma Te Wānanga oAotearoa wrote off intangibleassets of $111,837in2012 consisting of two programmes, He Waka pledged assecurityfor liabilities. There are norestrictions over thetitleof Te Wānanga oAotearoa intangibleassets, norare anyintangibleassets NBV at31December 2012 NBV at1January2012 Closing accumulated amortisationat31December 2012 Disposals R Impairment Amortisation Opening accumulated amortisationat1January2012 Closing cost at31December 2012 Disposals R Impairment Additions Opening cost at1January2012 NBV at31December 2011 NBV at1January2011 Closing accumulated amortisationat31December 2011 Disposals R Impairment Amortisation Opening accumulated amortisationat1January2011 Closing cost at31December 2011 Disposals R Impairment Additions Opening cost at1January2011 eclassification eclassification eclassification eclassification development Software (1,068) 1,790 1,087 1,790 1,087 1,790 $’000 (703) (365) (703) (295) (256) (186) Programme 313 956 555 722 369 (34) 34 ------(4,664) (4,096) (4,096) (3,285) 5,602 5,382 1,506 6,481 1,817 1,506 5,602 2,097 $’000 (591) (112) (866) 991 300 (80) 23 55 ------(1,373) 1,128 1,164 1,318 1,395 1,395 1,318 (664) (178) 931 931 931 931 WIP ------(5,732) (4,799) (4,799) (1,122) (1,373) (3,471) 2,119 8,323 2,420 7,255 3,934 3,524 9,666 3,524 3,784 8,323 $’000 (956) (664) (112) (295) (292) Total 313 23 89 - - - - During 2012,Te Wānanga oAotearoa received grants from theMinistryof E 14 Unallocated expenditure Professional development Capital expenditure Property occupancy costs Whare Amaiwas openedinFebruary 2012 Total Salaries Funds appliedto: Total Ministryof E Incentive funding Bulk funding Whare Amai T Capital expenditure R Property occupancy costs Salaries Funds appliedto: T Incentive funding Bulk funding Raroera Te Puawai T R Faculty support Salaries Funds appliedto: T Incentive funding Bulk funding Te RauOriwa T Professional development Property occupancy costs Salaries Funds appliedto: T Incentive funding Bulk funding Nga Kakano oteManukau T Salaries Funds appliedto: T Incentive funding Bulk funding Apakura Te Kakano otal otal Ministryof E otal otal Ministryof E otal otal Ministryof E otal otal Ministryof E esources esources Language andkaupapa Special needs Low socio-economic Language andkaupapa Special needs Low socio-economic Language andkaupapa Special needs Low socio-economic Special needs Low socio-economic Language andkaupapa Training Training Training Training Training Early learningcentres ducation fundingreceived ducation fundingreceived ducation fundingreceived ducation fundingreceived ducation fundingreceived $’000 2012 2011 ducation for earlylearningpurposes. 588 678 457 394 350 350 350 350 588 539 574 678 555 655 457 457 441 394 394 392 55 30 18 24 31 14 11 7 7 2 6 6 2 7 5 2 ------495 557 543 306 495 495 480 557 507 536 543 507 524 306 306 302 30 15 30 5 5 5 6 6 2 2 4 4 2 5 9 4 9 2 ------101
Annual report 2012 Te pŪrongo 2012 102 • • • determined according tothefollowing hierarchy: For thoseinstrumentsrecognised atfair valueonthestatementof financial position, fair valuesare Financial valuehierarchy disclosures FINANCIAL LIABILITIESatamortisedcost Other financialassets: Loans andreceivables FINANCIAL ASSETS The accounting policiesfor financialinstrumentshave beenappliedtothelineitemsbelow: Financial instrumentcategories 15. Notes tothefinancialstatements(continued) Total financialliabilitiesatamortised cost Creditors andotherpayables Total loansandreceivables T Debtors andotherrereceivables Cash andcashequivalents erm deposits models where oneormore significantinputsare notobservable. Valuation techniqueswithsignificantnon-observableinputs-Financialinstrumentsvaluedusing and financialinstrumentsvaluedusingmodelswhere allsignificantinputs are observable;and instruments inactive markets orquotedprices for identicalorsimilarinstrumentsininactive markets Valuation techniqueusingobservableinputs-Financialinstrumentswithquotedprices for similar markets; Quoted market price -Financialinstrumentswithquotedprices for identicalinstrumentsinactive Financial instruments 10,562 53,004 10,562 61,628 3,248 5,376 group Group $000 2012 2011 10,223 10,932 49,467 10,932 62,362 2,672 16,387 49,213 16,387 56,854 Parent 2,938 4,703 18,230 45,844 18,230 57,511 Parent 2,476 9,191 Counterparties without credit ratings Cash atbankandtermdeposits Counterparties withcredit ratings and P The credit qualityof financialassets thatare neitherpastduenorimpaired can beassessed by reference toStandard Credit qualityoffinancialassets credit risk. Te Wānanga oAotearoa holdsnocollateral orothercredit enhancements for financialinstrumentsthatgive riseto significant asa result of theabilitytowithholdgraduation from tauira whodonotpaytheir fees. Receivable balances are monitored onanongoing basiswiththeresult thatthegroup’s exposure tobaddebtsisnot With theexception of tauira fees, thegroup trades onlywithrecognised andcreditworthy third parties. represented by thecarryingamountinstatementof financialposition. banks, debtors andotherreceivables andgovernment bonds.For each of these, themaximumcredit exposure isbest In thenormalcourse of business, Te Wānanga oAotearoa isexposed tocredit riskfrom cashandtermdepositswith cash intotermdepositsandgovernment bondswhichgives risetocredit risk. Aotearoa toincuraloss. Duetothetimingof itscashinflows andoutflows, Te WānangaoAotearoa invests surplus Credit riskisthethatathird partywilldefault onitsobligationtoTe Wānanga oAotearoa causingTe Wānanga o (b) interest rate risk. in market interest rates. Borrowings andinvestments issued atvariableinterest rates create exposure tocashflow Cash flow interest rate riskisthethatcashflows from afinancialinstrumentwillfluctuatebecause ofchanges Cash flowinterestrate risk risk. Te Wānanga oAotearoa doesnotactively manage itsexposure tofair valueinterest rate risk. interest rates. Borrowings andinvestments issued atfixed rates of interest create exposure to fair valueinterest rate Fair valueinterest rate riskisthethatvalueof afinancial instrumentwillfluctuateduetochanges inmarket Fair value interestrate risk contracts are entered intotodiminishtheriskof fluctuationsin exchange rates. Where tranactions inforeign currencies are forecast thatare materialtoTe Wānanga oAotearoa, forward exchange items from overseas andalsoattendsoverseas conferences whichexposes ittocurrency risk. Te Wānanga oAotearoa hasonlylimitedexposure toforeign currency risk. Te Wānanga oAotearoa purchases library in foreign exchange rates. Currency riskisthethatfair valueorfuture cashflows of afinancialinstrumentwillfluctuateduetochanges Currency risk (a) are speculative innature tobeentered into. risk averse andseekstominimiseexposure from itstreasury activities.Thepoliciesdonotallow anytransactions that Te Wānanga oAotearoa haspoliciestomanage risksassociated withfinancialinstruments. Te Wānanga oAotearoa is Financial instrumentrisks Total financialinstrument assets T Existing counterparty withno defaults inthepast Debtors andother receivables Total cashatbankandtermdeposits AA- otal debtors andotherreceivables oor’s credit ratings (ifavailable) ortohistoricalinformation aboutcounterparty default rates. Credit risk Market Risk 58,418 61,666 58,418 3,248 3,248 group Group $’000 2012 2011 59,690 62,362 59,690 2,672 2,672 53,915 56,853 53,915 Parent 2,938 2,938 55,035 57,511 55,035 Parent 2,476 2,476 103
Annual report 2012 Te pŪrongo 2012 104 Group 2012 Parent 2011 Group 2011 Parent 2012 contractual undiscounted cashflows. based ontheremaining periodatthebalance datetothecontractual maturitydate. Theamountsdisclosedare the The tablebelow shows ananalysisof Te Wānanga oAotearoa financialliabilitiesgrouped according tomaturity, C flow requirements. Te Wānanga oAotearoa manages liquidityriskby continuously monitoringforecast andactualcash There are norestrictions ontheuseof thisfacility. Te Wānanga oAotearoa hasanoverdraft facility of $1millioninplace. ($1million2011). Te Wānanga oAotearoa aimstomaintainflexibility infunding by keeping committed credit lines available. of fundingthrough anadequateamountof committed credit facilities and theabilitytocloseoutmarket positions. commitments asthey fall due. Prudentliquidityriskmanagement impliesmaintainingsufficientcash,the availability Liquidity riskisthethatTe Wānanga oAotearoa willencounter difficulty raisingliquidfundstomeet Management ofliquidityrisk (c) 15 Notes tothefinancialstatements(continued)
ontractual maturityanalysisoffinancialliabilities Total Accrued pay Creditors andotherpayables Total Accrued pay Creditors andotherpayables Total Accrued pay Creditors andotherpayables Total Accrued pay C reditors andotherpayables Liquidity risk Financial instruments(continued)
c
amount 16,609 c arrying 20,003 12,989 18,230 10,932 16,387 10,952 10,562 1,773 2,057 $’000 222 390 cash flows ontractual 18,230 10,932 16,387 10,952 10,562 20,003 12,989 16,609 1,773 2,057 $’000 222 390 Less than 18,230 10,932 16,387 10,952 10,562 20,003 12,989 16,609 1,773 2,057 1 year $’000 222 390 1-2 years ------
2-5 years $’000 ------
More than 5 years ------Parent 2011 Group 2011 Parent 2012 Group 2012 on theremaining periodatthebalance datetothecontractual maturitydate. The tablebelow shows ananalysisof Te Wānanga oAotearoa financialassets grouped according tomaturity, based C
ontractual maturityanalysisoffinancialassets Total -termdeposits Other financialassets Debtors andotherreceivables Cash andcash equivalents Total -termdeposits Other financialassets Debtors andotherreceivables Cash andcash equivalents Total -termdeposits Other financialassets Debtors andotherreceivables Cash andcash equivalents Total -termdeposits Other financialassets Debtors andotherreceivables Cash andcashequivalents
c
amount 49,467 53,004 56,854 c arrying 57,511 62,362 61,628 45,844 10,223 49,213 3,248 $’000 2,476 9,191 2,672 2,938 4,703 5,376 cash flows ontractual 45,844 49,467 10,223 49,213 53,004 57,511 62,362 56,854 61,628 3,248 2,476 9,191 2,672 2,938 4,703 5,376 $’000 Less than 32,500 36,123 10,223 36,000 39,791 44,167 49,018 43,641 48,415 3,248 2,476 9,191 2,672 2,938 4,703 5,376 1 year $’000 1-2 years 3,000 3,000 7,500 7,500 3,000 3,000 7,500 7,500 ------
2-5 years 10,344 10,344 10,344 10,344 5,713 5,713 5,713 5,713 $’000 ------
More than 5 years ------105
Annual report 2012 Te pŪrongo 2012 106 Total sensitivitytointerest rate risk Cash andcash equivalents Financial assets Interest rate risk Parent Total sensitivitytointerest rate risk Cash andcash equivalents Financial assets Interest rate risk Group of Te Wānanga oAotearoa atbalance sheetdate. reasonably possible market movements withallvariablesheldconstant basedonthefinancialinstrument exposures The tablesbelow illustrate thepotentialprofit andloss andequity(excluding retained earnings)impact for (d) 15 Notes tothefinancialstatements(continued) goals andobjectives for whichithasbeenestablished, whileremaining agoing concern. The objective of managing Te Wānanga oAoteaora’s equityistoensure thatiteffectively and efficiently achieves the financial dealings. Aotearoa’s equityislargely managed asaby-product of managingrevenues, expenses, assets, liabilitiesandgeneral dealings prudentlyandinamannerthatpromotes thecurrent andfuture interests of thecommunity. Te Wānanga o Te Wānanga oAotearoa manages itsrevenues, expenses, assets, liabilities,investments, andgeneral financial and borrowings. otherwise charge assets orinterests inassets, granting leasesof land orbuildingspartsof buildings 1989, whichincludesrestrictions inrelation to:disposingof assets orinterests inassets, abilitytomortgage or Te Wānanga oAotearoa issubjecttothefinancialmanagement andaccountability provisions of theE E The capitalof Te Wānanga oAotearoa isitsequity, whichcomprises retained earningsandproperty revaluation. (e) measured asabasispoints(bps)movement. Forexample adecrease in50bpsisequivalent toadecrease ininterestrates of0.5%. The interestrate sensitivityisbasedonareasonable possible movement ininterestrates, withall othervariables heldconstant, 1. Explanationofinterestrate risksensitivity quity isrepresented by netassets. Sensitivity analysis Financial instruments(continued) Capital Management Note Note 1 1 Surplus Surplus (47) (53) (47) (53) -100bps -100bps Equity Equity Other Other $000 2012 $000 2012 - - - - Surplus Surplus 47 53 47 53 +100bps +100bps Equity Equity Other Other - - - - Surplus Surplus (102) (102) (92) (92) -100bps -100bps Equity Equity Other Other $000 2011 $000 2011 - - - - Surplus Surplus ducation Act 102 102 92 92 +100bps +100bps Equity Equity Other Other - - - - Retained Earnings 16 Property revaluation reserves Property revaluation reserves suspensory loanwasreceived in2011. probable allthefundingdeliverables would beachieved. Thefinal confirmation oftheequity conversion forthe were recognised directly inequityonreceipt toreflect thesubstance of the transactions andthatitwasmore than The equitycontributions for thesuspensoryloanagreed toin1999were completed in2010($20,000,000) and Suspensory loan $60,000,000. of $11,811,000 wasmadetocorrect apriorperiodclassification error. Asat31December 2011,thebalance was made E in theWānanga Capital EstablishmentR The Crown hasmadeequitycontributions toTe Wānanga o Aotearoa inlinewiththerecommendations outlined C apital contributions Balance at31December Capital Contributions from theCrown Surplus/(deficit) for the year Balance at1January Total Equity Balance at31December Land andbuildingsnetrevaluation gains/(losses) Balance at1January Land andbuildings quity contributions of $71,811,000.During2012anadjustmentfrom Retained EarningstoCrown E Equity eport -Waitangi Tribunal R 121,293 129,240 138,764 12,485 (2,961) 7,947 9,524 9,524 g roup Group group Group $’000 $’000 eport 1999(WAI 718).To date, theCrown has 2012 2011 2012 2011 - 114,007 121,293 133,778 12,485 12,485 12,485 7,286 - - 104,066 113,157 122,559 12,437 (3,035) Parent Parent 9,091 9,402 9,402 - 104,066 116,503 95,610 12,437 12,437 12,437 Parent Parent 8,456 - - quity 107
Annual report 2012 Te pŪrongo 2012 108 No contingent rents have beenrecognised insurplusordeficit duringtheperiod. as follows: Future minimumrentals receivable undernon-cancellable operating leasesasat31December are entering intotheseleases. contracts. Renewals are attheoptionof thelessee. There are norestrictions placed uponthelessee by These leaseshave anaverage life of between oneandtwo years withrenewal termsincludedinthe interest of thegroup tousethesebuildingsfor theiroperations. The group owns anumberof buildingsandhasentered commercial leaseswhere itisnotinthebest Operating lease commitments-Groupaslessor as follows: Future minimumrentals payableundernon-cancellable operating leasesasat31December are entering intotheseleases. contracts. Renewals are attheoptionof thegroup. There are norestrictions placed uponthelessee by These leaseshave anaverage life of between oneandsixyears withrenewal termsincludedinthe group topurchase theseassets. The group hasentered commercial leasesoncertain buildingswhere itisnotinthebestinterest of the Operating lease commitments-Group aslessee Capital commitments represent capitalexpenditure contracted for atbalance date, butnotyet incurred. Capital commitments c (a) 17 Notes tothefinancialstatements(continued) After oneyear butnomore thanfive years Within oneyear More thanfive years After oneyear butnomore thanfive years Within oneyear Property, plantandequipment ommitments Statement ofcommitments andcontingencies 10,270 5,517 3,815 1,033 1,033 group Group group Group g roup Group $’000 $’000 $’000 2012 2011 2012 2011 2012 2011 108 938 108 - 10,676 1,688 4,890 4,098 2,251 2,251 162 216 54 Parent Parent Parent 2,968 2,893 1,033 5,861 1,033 108 108 - - Parent Parent Parent 3,627 3,212 2,251 6,839 2,251 162 216 54 - Te Wānanga oAotearoa hasnocontingent assets asatbalance date(2011-NIL). Contingent Assets Open Wānanga Limited. Te Wānanga oAotearoa entered anarrangement in2008withtheBankof New Zealand toprovide aguarantee for Financial guarantee repayment of funding. ten years. Thecentre openedin2008andmustremain openuntil2018.Failure toachieve thiswillresult inthe early learningcentre inManukau. Inorder tofulfillthe conditions of fundingthe centre must remain open for Te Wānanga oAotearoa hasacontingent liabilityof $692,533(2011-$692,533)related tothecreation of anew Government funding Ifsuccessful, theestimatedsettlementcosts would beapproximately $15,000. Open Wānanga Limited hasonecontingent liabilityasatbalance date(2011-NIL). If successful, theestimatedsettlementcosts would beapproximately $4,200. Te Wānanga oAotearoa hasonecontingent liabilitiesasatbalance date(2011-NIL). Litigation Contingent Liabilities (2011 -one). As at31December 2012,there were nooutstandingpersonal grievances claimsagainstTe Wānanga oAotearoa Personal grievances c (b) Dynaspeak programme. delivery tointernationaltauira untilSeptemberwhenTe Wānanga oAotearoa wasaccreditated andpurchased the designed for delivery tointernationaltauira. DynaspeakEnglishL English L over theEnglishlanguage delivery thatwasprevisouly delivered by OpenWānanga Limited. InJuly2011,Open In May2011,OpenWānanga Limited establishedasubsidiarycompany, OpenEnglishLimited. Thesubsidiarytook provider network. educational services for Te Wānanga oAotearoa andTe Wānanga oAotearoa ispartof theOpenWānanga Limited Limited isappointed by theTe ManaWhakahaere of Te Wānanga oAotearoa. OpenWānanga Limited provides Open Wānanga Limited isawhollyowned subsidiary of Te Wānanga oAotearoa. Theboard of OpenWānanga 18.1 Open Wānanga Limited andtheAotearoa Scholarship Trust. The consolidated financialstatementsincludethe of Te WānangaoAotearoa anditssubsidiaries 18 Donations from OpenWānanga Limited Purchases from Open Wānanga Limited andOpenEnglishLimited Aotearoa Scholarship Trust Papatoa Forestry Limited Open Wānanga Limited Sales toOpenWānanga Limited andOpenEnglishLimited ontingencies imited purchased theassets of DynaspeakEnglishL Open Wānanga Limited (includingsubsidiaryOpen EnglishLimited) Related partydisclosure Incorporation New Zealand New Zealand New Zealand imited, beingtheDynaspeakEnglishprogramme C ountry of imited continued tohold theaccreditation for % 2012 i nvestment Equity Interest 100 100 100 25,419 5,413 1,348 $’000 2012 2011 2011 100 100 100 24,543 6,468 1,481 $’000 2012 - - 1 $’000 2011 109 - - 1
Annual report 2012 Te pŪrongo 2012 110 18 Notes tothefinancialstatements(continued) Aotearoa Scholarship Trust provides scholarships for tauira of Te Wānanga oAotearoa. in April2010.Theboard of trusteesisappointedby Te ManaWhakahaere of Te Wānanga oAotearoa. Aotearoa Scholarship Trust isawhollyowned subsidiaryof Te Wānanga oAotearoa andwasestablished 18.3 Amounts owing by andtoDynaspeakEnglishL L invoices DynaspeakEnglishL holds internationaltauira fundsatbalance sheetdateinaseparate trustaccount. OpenEnglishL English Limited, awhollyowned subsidiaryof OpenWānanga Limited. DynaspeakEnglishLimited P dynaspeakEnglishLimited 18.2 Amounts owing by andtoOpenWānanga Limited andOpen EnglishLimited Amounts owing by andtoAotearoa Scholarship T imited for thepurchase of theprogramme, rent andhomestayfees. atrick Ibbertsonisadirector of DynaspeakEnglishL Dynaspeak EnglishL P Scholarships toAotearoa Scholarship T Sales toAotearoa Scholarship T T P Sales toDynaspeakEnglishL T T
Trade receivables Trade payables Aotearoa Scholarship T rade receivables rade payables rade receivables ayments toAotearoa Scholarship T ayments toDynaspeakEnglishL Related partydisclosure (continued) Aotearoa Scholarship Trust imited isnotarelated partyfor P rust registered for GSTon1July2012. imited for thesefunds.Open English L imited rust imited rust rust imited rust imited andisthegeneral manager of Open arent in2012. imited paidDynaspeakEnglish 7,012 $’000 $’000 $’000 $’000 $’000 2012 2011 2012 2011 2012 2011 2012 2011 2012 2011 209 696 67 16 24 16 66 - - imited $’000 8,703 156 979 83 95 31 20 13 - - Aotearoa toenableitprovide educationalservices. the Tertiary E Deirdre DaleisaTe ManaWhakahaere memberof Te Wānanga oAotearoa andwasalsoacommissioner of 18.4 Amounts owing by andtoT T the University of Auckland.TheUniversity of Aucklandhasmadeacontribution towards theMaoriinto Manuka Henare isaTe ManaWhakahaere memberof Te Wānanga oAotearoa andis alsoanemployee of 18.5 The Amounts owing by andtotheUniversity of Auckland wānanga payanannualsubscriptiontoTe Tau IhuoNgāWānanga. Zealand: Te Wānanga oRaukawa, Te Whare Wānanga oAwanuiarangi andTe Wānanga oAotearoa. Allthree Te Tau IhuoNgāWānanga. Te Tau IhuoNgāWānanga isthecollective nameof thethree wānangainNew Bentham OhiaisTe Pouhere (Chief Executive Officer) of Te WānangaoAotearoa andisalsothechair of 18.6 Amounts owing by andtoTe Tau IhuoNgāWānanga ertiary E Trade receivables Purchases from Tertiary E Sales toTertiary E Trade payables Purchases from theUniversity of Auckland Sales totheUniversity of Auckland Trade receivables Trade payables Sales toTe Tau IhuoNgāWānanga Purchases from Te Tau IhuoNgāWānanga Trade receivables Trade payables ertiary E The Tertiary EducationC The University ofAuckland Te Tau IhuoNgāWānanga ducation (MITE)project. ducation Commission (TEC)untilSeptember2011.TheTCprovides fundingtoTe Wānanga o ducation Commission isnolonger arelated partyin2012. ducation Commission ertiary E ducation Commission ommission ducation Commission $’000 $’000 $’000 $’000 $’000 $’000 2012 2011 2012 2011 2012 2011 2012 2011 2012 2011 2012 2011 20 45 ------100,809 20 1 ------111
Annual report 2012 Te pŪrongo 2012 112 into T deliver Te Ara R of Manukau Instituteof Technology. Te Wānanga oAotearoa rents rooms from Manukau Instituteof Technology to Manuka Henare isaTe ManaWhakahaere memberof Te Wānanga oAotearoa andis a Te ManaWhakahaere member 18.7 18 Notes tothefinancialstatements(continued) AMO inoneoff projects andhired them for voice over work in2011. Bentham OhiaisTe Pouhere of Te Wānanga oAotearoa andisthepresident of AMO. Te Wānanga oAotearoa use 18.8 Amounts owing by andtoManukau Instituteof T Amounts owing by andtoAdvancement of MāoriOpportunity Amounts owing by andtoTe Waka PupuriPuteaLimited Pupuri uteaL Te Waka PupuriPuteaLimited. Te Wānanga oAotearoa rented office space for12monthsin2012 from Te Waka June McCabe is aTe ManaWhakahaere memberof Te Wānanga oAotearoa andisalsoadirector of 18.9 Open Wānanga Limited purchases tauira learningresources from G Wetere. Rongo Wetere isthefather of KingiWetere, bothWilliamandRongo are trusteesof Aotearoa Institute. G g 18.10 G TL Investments L TL Investments L Trade payables Trade receivables Purchases from Manukau Instituteof T Sales toManukau Instituteof Technology Sales toAdvancement of MāoriOpportunity Purchases from Advancement of MāoriOpportunity Trade receivables Trade payables Trade receivables Sales toTe Waka PupuriPuteaLimited Trade payables Amounts owing by andtoG Purchases from G T Purchases from T rade payables Related partydisclosure (continued) ertiary E Manukau InstituteofTechnology Advancement ofMāoriOpportunity(AMO) Te Waka PupuriPuteaLimited TL Investments Limited ducation (MITE)project. imited. eo Māoriprogrammes. Manukau Instituteof Technology hasmadeacontribution towards theMaori imited isafullyowned subsidiary of Aotearoa Institute. WilliamWetere isthebrother of Kingi imited isnota related partyfor theparent in 2012. e Waka PupuriuteaL TL Investments L TL Investments L imited echnology imited imited echnology TL Investments Limited. $’000 $’000 $’000 $’000 $’000 $’000 $’000 $’000 2012 2011 2012 2011 2012 2011 2012 2011 2012 2011 2012 2011 2012 2011 2012 2011 598 52 16 1 1 2 ------632 142 10 16 2 3 1 ------Tai Wānanga. the Board of Trustees of Tai Wānanga. Te Wānanga oAotearoa provides administration services for Mana Forbes isaTe ManaWhakahaere memberof Te Wānanga oAotearoa andisalso thechairof 18.11 When assessed asrequired thegroup raises suchaprovision. of therelated partyandthemarket inwhichtherelated partyoperates in. - NIL).Thisassessment isundertaken eachfinancial year following an examination of thefinancialposition receivables relating toamountsowed by related partiesasthepaymenthistoryhasbeenexcellent, (2011 For theyear ended31December 2012,thegroup hasnot raised anyprovision for impairment of There have beennoguarantees provided orreceived for anyrelated partyreceivables. Outstanding balances at31December 2012and2011are unsecured andsettlementoccurs incash. normal market prices andnormalcommercial terms. Provision of services toandpurchases from related partiesare madeinarm’s lengthtransactions atboth Terms andconditionsoftransactions withrelatedparties educational courses. Zealand Post. Theprovision of services togovernment-related entitiesmainlyrelated totheprovision of the purchase of electricityfrom Genesis,airtravel from AirNew Zealand andpostalservices from New and have allbeenconducted onanarmslengthbasis.Thepurchase of goods andservices included December 2012are smallwhencompared tothetotalexpenditure andrevenue of Te Wānanga oAotearoa The purchase andprovision of goods andservices togovernment-related entitiesfor theyear ended31 provides services toentitiesrelated totheCrown. Te Wānanga oAotearoa purchases goods andservices from entitiesrelated totheCrown anditalso Te Wānanga oAotearoa isexempt from payingincome tax,resident withholdingtaxandFBT. levies isbasedonthestandard termsandconditions thatapplytoalltaxandlevy payers. GST In conducting itsactivities,Te Wānanga oAotearoa isrequired topayvarioustaxes andlevies (suchas Collectively, butnotindividually, significant transactions withgovernment-related entities December 2012. $135.109m (2011-$133.376m)toprovide educationandresearch services for theyear ended31 Te Wānanga oAotearoa hasreceived fundingandgrants from theTertiary E The government influences the roles of Te Wānanga oAotearoa as well asbeingamajorsource of revenue. Significant transactions withgovernment-related entities and theAotearoa Scholarship T Te Wānanga oAotearoa istheparent of thegroup andcontrols two entities,beingOpenWānanga Limited Trade payables T Amounts owing by andtoTai Wānanga Sales toTai Wānanga , P rade receivables AYE andACC levies) totheCrown andentitiesrelated totheCrown. Thepaymentof thesetaxes and Tai Wānanga rust. ducation Commission totalling $’000 $’000 2012 2011 2012 2011 57 1 - 521 - 2 113
Annual report 2012 Te pŪrongo 2012 114 Directors fees paidby OpenWānanga were asfollows: Key management personnel compensation distributed asfollows: Wages andsalariesincludesTe ManaWhakahaere andsub-committees remuneration of $120,286(2011-$83,702) Te ManaWhakahaere remuneration 19 Notes tothefinancialstatements(continued) Colleen Tuuta Nicholas Manukau Gary Dyall Jo Hymers Steve Ruru Wayne McLean Manuka Henare Matthew Goodall Deirdre Dale Peter Joseph Toby Curtis June McCabe Lloyd Anderson Mana Forbes Tania Hodges Richard Batley Richard Batley T Kaihautū June McCabe Lloyd Anderson Termination payments Short termandemployee welfare benefits e ManaWhakahaere Key Personnel Remuneration Council Council Audit &Risk Council Audit &Risk Audit &Risk Council Council Council /Audit&Risk Council Council Council Council /Audit&Risk Council Council Council /Audit&Risk 1,192 1,313 1,313 group Group $’000 $’000 $’000 1,313 2012 2011 2012 2011 2012 2011 121 45 18 18 81 Appointment -
date date Nov-09 Nov-93 Aug-11 Aug-11 Aug-04 Sep-12 Sep-07 Mar-05 Apr-09 Jun-10 Jun-98 Oct-01 Jan-06 Jan-08 1,179 1,263 1,263 1,263 Jul-11 Jul-08 45 18 18 81 84 - Retirement Sep-12 Jul-11 ------$’000 2012 121 11 10 10 12 11 15 25 1 5 1 2 3 4 7 4 - $’000 2011 10 25 84 2 1 2 2 2 2 5 2 6 3 8 6 8 - account position. Cash andother financialassets are above budget by $7.3mduetoahigherthananticipatedsurplusandopening Cash andother financialassets Group property, plantandequipmentisbelow budget by $3.5masaresult of thedecrease inproperty valuation. Property, plantandequipment Statement offinancialposition Other expenses are below budget by $1.2mduetolower thanexpected spendintauira resources andconsultancy. Other expenses Personnel costs are below budget by $1.2mduetodelayed and lower staffappointmentsthan expected. Personnel costs of artwork. tender of aMinistryof SocialDevelopment contract for youth mentoringservices andagainrealised from astocktake Other income isabove budget by $1.7mduetoajoint venture withUnitec(carpenteryprogramme), thesuccessful Other income change intheprogramme mix. T Student Fees Statement ofcomprehensive income 21 There were noevents afterthebalance date. 20 auira fees income isbelow budget by $2.4mduetolower thanexpected internationaltauira enrolments anda Performance againstbudget Events afterthebalance date 115
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