A RO A TE O A Aotearoa New Zealand THE WORKSHOP WAS HOSTED AT THE MUSEUM OF NEW ZEALAND TE PAPA TONGAREWA AND THE LEGISLATIVE COUNCIL CHAMBER, WELLINGTON, NEW ZEALAND Ten groups share their outputs from the March 2011 workshop: 1. A magazine cover that showcases success for New Zealand in the year 2058. 2. A coat of arms that illustrates what New Zealand should focus on going forward. 3. A strategy map that articulates a vision and outlines how that vision might be achieved. Groups at work Each of the ten groups preparing their strategy maps; navy blue, rust orange, purple, brown, teal, plum, yellow, red, avocado and emerald green (in clockwise order). 1 Introduction This booklet outlines the outputs of the Institute’s Output 1 two-day workshop, StrategyNZ: Mapping Our A cover design of the New Zealand Listener magazine Future, held on 30–31 March 2011. The workshop in 2058 to display where the vision would take us. started at the Museum of New Zealand Te Papa Output 2 Tongarewa and finished at the Legislative Council A redesigned New Zealand Coat of Arms to represent Chamber in Parliament, Wellington, New Zealand. the vision. See the front cover for the ten proposed This publication provides participants and other Coat of Arms and the back cover to learn more about interested parties with a resource that they can New Zealand’s current Coat of Arms. use to revisit the methods, ideas and strategies Output 3 generated at the workshop. A strategy map that shows the scope in which the country intends to operate. Purpose The aim of the workshop was to encourage a Four groups were chosen by four judges to present conversation about New Zealand’s long-term their findings to a large audience at the Legislative future: where do we want New Zealand to go? Council Chamber. The judges were: Hon. Fran Wilde, Chair of the Greater Wellington Regional The workshop brought together 100 participants Council, who also acted as chair for the judging from around New Zealand and challenged them to panel; Dale Pearce, Principal of Palladium Group develop strategy maps in groups that showed not and an expert in strategy mapping; James Palmer, only their vision for New Zealand but how they Director of Strategy at the Ministry of Agriculture might get there. Our aim was to ‘put New Zealand and Forestry; and Alex Fala, a senior executive at in the room’ to gather a broad range of perspectives; Trade Me. therefore, we invited a diverse range of participants of different ages, professions and backgrounds. The There was also a prize for the best Coat of Arms. methodology is discussed in more detail in Report This was judged by Rik Athorne (manager of 13, and I highly recommend you read this report. It Weta Workshop Design Studio), who chose the is available on the publications page of our website. winning design for challenging the viewer to see New Zealand through a different lens. The The Institute was endeavouring to crowdsource winning Coat of Arms can be seen on page 10. ideas about the country’s future direction using two tools; (i) the creation of strategy maps (from The keynote address by Sir Paul Callaghan was Harvard Businness School), and (ii) applying future riveting; on the following two pages you can studies methods (from the University of Houston). read a summary of this talk. His ideas resonated On 28 March, many of the 100 participants with the participants and electrified the event, attended a two-day preparation course run by Dr creating a momentum that pushed participants to Peter Bishop, the associate professor of strategic produce extraordinary results at the Legislative foresight and director of the graduate programme Council Chamber. There was clear consensus that in futures studies at the University of Houston. participants wanted New Zealand to be a place Peter flew to New Zealand to support the overall where talent wants to live. aim of the workshop and played a significant role in making the event such a success. The goal was So many people helped bring this idea to fruition. twofold: that participants would take these skills Specials thanks go to two MPs for hosting the back to their work and put them into practice and event at the Legislative Council Chamber: Charles the Institute would take the participants’ work and Chauvel and Chris Auchinvole. The speakers build on their thoughts and findings. provided a range of excellent insights; videos of their presentation can be found on the Institute’s Process YouTube channel. Acknowledgements can Participants were divided into 10 groups, with each be found on page 25 and 26. Lastly, I want to group including a ‘process chair’ and a designer. personally thank all the supporters who made this The 10 group pages are contained in this booklet workshop possible, see the back cover. It was an from pages 6–24. ambitious goal, and it worked. Thank you again for all your support. Each group provided a vision for New Zealand’s future and a strategy for reaching it. They were Wendy McGuinness then tasked with providing three outputs, requiring Chief Executive collaboration, creativity and critical thinking: McGuinness Institute 2 Sustainable economic growth for New Zealand: An optimistic myth-busting perspective Sir Paul Callaghan Long-term vision is something we tend to avoid in that environmental limitations prevent us from New Zealand, with the possible exception of scaling it up at all, let alone by the factor of 5 or 6 we Mäori, who have greater reason to focus on the need to make up the $40 billion per annum shortfall. development of their assets for future generations of mokopuna. But I will argue here that vision is Interestingly, our largest export-earning sector essential to any strategy aimed at enhancing is manufacturing (contradicting yet another prosperity. It is my belief that we are poor because New Zealand myth that everything is ‘made in we choose to be poor, and that what holds us back China’). At around $250,000 a job on average, these are self-serving but dishonest myths. businesses thrive by producing goods that have a high profit margin and a high ratio of value to The first myth is that we are an egalitarian society, weight. The key to this kind of manufacturing is a great place to bring up children. But in income knowledge content, and that in turn is driven by disparity, child mortality, imprisonment rates and investment in research and development (R&D). most other negative social indicators, we are among The poster child of such business is Fisher and the worst in the OECD. The second myth is that Paykel Healthcare, with $500 million per annum of we are clean and green. In truth, the reality is exports. If we had 100 such companies, our altogether different. Like other developed countries prosperity would be assured and in a manner which we have despoiled our environment to eke out a is entirely sustainable. Such businesses generate no measure of prosperity, and we therefore have no greenhouse gases, do not require land or energy, moral high ground from which to preach to others. and do not dump nitrates into our streams. Out in Our valuable dairy industry severely impacts our the larger global economies, there are even more rivers and lakes. Our pastoral industries are startling examples of sustainable businesses which significant emitters of greenhouse gases. The third are highly productive. Apple Inc. earns around myth is that we, as New Zealanders, do not need $2,000,000 per job while Google and Samsung prosperity, that we have ‘lifestyle’ instead. But we around $1,400,000. complain that our health system cannot afford to meet our needs and that our infrastructure is decrepit. Now we face significant economic stress 100 inspired entrepreneurs could following the Christchurch earthquake. Furthermore, the ‘lifestyle’ argument is hard to turn this country around. sustain, given New Zealanders are the second hardest working in the OECD. But when we It currently takes one genius look at how hard we work against how productive we are, in comparison to other OECD countries, entrepreneur to make a company we see that New Zealanders are amongst the least productive. ... and it takes time to grow it. Fifty years ago more Australians migrated to 100 individuals could earn us New Zealand than vice versa and the New Zealand dollar was much stronger than Australia’s. Now $440 bn per annum in exports Australia is 35 percent richer than New Zealand, representing a $40 billion per annum GDP shortfall and get our prosperity up with no for us. Let me illustrate that in a different way. There are 1.3 million full time equivalent of jobs in environmental downside. New Zealand. In order to maintain our current per capita GDP we need a revenue per job of $125,000. In order to match Australia we need around The obvious and the politically fashionable $170,000. Tourism brings in around $80,000 products will undoubtedly be addressed by much per job, and while usefully employing unskilled bigger players than New Zealand in the world New Zealanders, it cannot provide a route to economy. Where we will be successful is in the prosperity. By contrast the dairy industry brings in technology niches. Because we are only 0.2 percent around $350,000 a job. The problem with dairy is of the world’s economy, we are subject to a 500 3 times multiplier which can make such niches highly But we have it in our power to change all that.