VENTURE TARANAKI Annual Report
www.taranaki.info
3 Venture Taranaki Annual Review 2007
Venture Taranaki is an initiative founded by
In addition to the New Plymouth District Council, Venture Taranaki is supported by:
CONTENTS Chairman’s Report
04
Graphs
07
Chief Executive’s Report
08
Board Highlights
12
Achievements
14
Executive Views
18
The Year’s Highlights
24
KPIs
32
Audit Report
37
Trustees’ Review
38
Trust Directory
47
South Taranaki District Council, Stratford District Council, Taranaki Electricity Trust, TSB Community Trust, New Zealand Trade and Enterprise, Ministry of Economic Development, Ministry of Education, Ministry of Social Development, Department of Labour, Foundation of Research, Science and Technology, Business in the Community and numerous other private sector organisations.
Picture credits: Rob Tucker Pip Guthrie Venture Taranaki Pat Greenfield Port Taranaki
2
Venture Taranaki Annual Review 2007
Venture Taranaki Trust is the region’s development agency in both economic development and tourism. Incorporated as a charitable trust, Venture Taranaki is a dynamic organisation which has facilitated business success from enterprise inception through to sustainable growth based on international competitiveness. On July 1 2004, Venture Taranaki evolved into a Super Trust, which will continue to drive the creation of wealth through regional business development and regional tourism promotion.
5 Venture Taranaki Annual Review 2007
Chairman’s Report John Young
T
aranaki has continued to surf the economic wave with plenty of excitement and power during rougher seas than usual. It is clear that Taranaki is continuing to keep pace with other main centres, although the heady levels of the previous three years have been hard to maintain throughout the entire country. Since 2004, Taranaki has consistently been above the national economic growth rate, with the exception of the year-on-year growth results for March and June 2007. Whilst the 1.7% economic growth rate for the 2006/07 year is the smallest annual increase
4
Venture Taranaki Annual Review 2007
since March 2001, it is clear that the region’s meteoric success in the preceding three years has undergone a recent stabilisation. Indicators of economic health are abundant. Employment rose 8.6%, average hourly earnings increased 8.6%, average weekly incomes raised 6.5%, Taranaki retail sales rose 6.5% and numbers of businesses increased by 4% to 8,609. Approximately 66.9% of Taranaki people were employed during the year - a total of 58,000, up 2.2% from 2006 and 1% higher than the national average.
Unemployment stayed static on 3.5%, lower than the national average, whilst the region’s employees earned an 8.6% increase in average hourly rates to $22.31 per hour. Taranaki’s median household income has risen by 17.6% since 2001, compared with 14.5% for New Zealand as a whole. In addition, residential consents rose 6.5% and Taranaki retail sales for the March 2007 quarter rose 7.4%. Of real note is the high level of business confidence. The majority of Taranaki businesses remained confident about the regional and national economy throughout the
year, according to our VT six-monthly survey, with 46% believing conditions would remain the same, 22% thinking conditions would improve, and 28% confident the economy would slow down. The agricultural sector was most optimistic, with businesses based in South Taranaki most confident. And, interestingly, the factors of greatest concern to local businesses were fuel prices, government regulations, wages and staff costs, labour availability and interest rates. In my Chairman’s Report last year, I signalled that the 2006/07 year would concentrate on high growth business and projects.
This has been admirably achieved by our team, with high growth grants totalling $1.166m being awarded during the financial year, and 279 interventions with 29 businesses needing high growth business support.
Commission Fund during the
On a practical level, that funding has directly or indirectly impacted on Taranaki businesses collectively employing 1243 FTEs. As local businesses, they and their employees have accessed and gained, through the efforts of Venture Taranaki, crucial assistance and funding when it is vitally needed.
industry in the region.
Three applications have been received by the Taranaki Film
pupils and their immediate
year, including the muchpublicised Charles Upham project. These projects can cement the reputation Taranaki has as a film location, and ensure the continued growth of this lucrative
One of the more exciting projects undertaken has been the Inglewood High School’s Energy Conservation and Renewable Energy Generation Pilot Project. The first of its kind in New Zealand, this joint Venture Taranaki/Ministry for the Environment’s Sustainable Energy Fund project will encourage the school, its families to conserve energy,
and learn different ways of both generating and making power go further. Results will be ongoing during the next year, and we look forward to seeing our initiative spread to other schools in the region. During the period we have completed and launched the Port Taranaki Eastern Redevelopment Project, which indicates annual revenue of $5 million on an initial investment of $28 million and could see more than 100 berths located within a marina near the Lee Breakwater – including those for service vessels and the fishing industry. This project will free up Port
Taranaki’s docking facilities for other ships, and promises to rapidly expand the fishing industry operating from the area, as well as industries supporting marine pursuits and boat-building. Our economic development team has worked solidly on the new Governance project over the year, which will be launched alongside the refurbished Taranaki website. This initiative will develop a register of suitable people to fill governance roles in the region, and is an exciting future development for Taranaki. Within tourism, our successes have reflected in an increase in room nights of 4%. and
7 Venture Taranaki Annual Review 2007
2006/07 Funding Venture Taranaki Total: 3708056
Central Government $447,170 New Plymouth District Council $2,637,289 Other $623,597
Annual Revenue Venture Taranaki 4000000
“Changes in the local wood industry affected our certification and testing business to such an extent in 2005 that we needed to look at the offshore market or be sunk by the changes. Our plan was to develop a range of integrated quality control instruments for the panel (MDF and particleboard) factories, but commercialising these required extra resources for research and development, and offshore marketing. Our hurdles were typical…we had a great idea but needed resources when man power was already stretched.
3500000 3000000 2500000 2000000 1500000 1000000 500000
an arrival increase of 2.8%. Taranaki’s domestic visitors increased by 3.3% over the same period in 2005/06, with international visitor numbers increasing 5.6%. The Taranaki Convention Bureau was officially launched in May, following a robust membership drive, and the region was visited by an impressive array of overseas media. A new visitor guide was collated, published and enjoyed by thousands of visitors to Taranaki and New Zealand. One of the most exciting projects this year was the major step forward of the International Marketing Alliance, an initiative of Tourism New Zealand to marry Taranaki, Wanganui
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Venture Taranaki Annual Review 2007
and Manawatu within a Western North Island (WNI) marketing consortium. A trade mission to the United Kingdom in November saw 14 key wholesalers specialising in New Zealand updated on what the WNI has to offer, and this initiative is set to revolutionise the knowledge outside wholesalers boast about the region in the future. Once again, Venture Taranaki has supported many local events through the Events Fund…including WOMAD, the Taranaki Rhododendron and Garden Festival, ITU World Cup Triathlon, AmericCARna, Creative Fibre Festival, Dutch Mill Taranaki Cycle Challenge, New Plymouth to Mooloolaba Short-Handed Trans-Tasman Yacht Race, Dunlop Targa NZ and the upcoming Taranaki Round the Mountain Relay.
While the global economy is still relatively robust, it is an opportune moment to consider strategies to maintain sustainability into the future. Venture Taranaki is currently investing in a number of initiatives to ensure the region stays at the forefront of New Zealand’s energy sector. Bio fuels, energy conservation and education programmes are the way of the future, and at the forefront of some of Venture Taranaki’s most important work this coming
It has been a pleasure to work with such a dedicated board, and I extend my special thanks to Rhys Greensill who resigned in February for family reasons and Neil Mackay, who completed the year but through business commitments has tendered his resignation from June. Venture Taranaki’s chief executive Stuart Trundle, the management team and staff have continued to excel during the year, and have made my job as chairman effortless and enjoyable.
0
Jun-01
Jun-02
Jun-03
Jun-04
Northland 3.5% 5.0% 4.5%
Auckland 2.4%
4.0% Bay of Plenty 3.9%
3.5% 3.0%
Waikato 3.9%
2.5%
Gisborne 2.0%
2.0%
Taranaki 1.7%
1.5% Manaw atu-Wanganui 2.2%
Haw ke's Bay 1.3%
0.5% Wellington 2.0%
0.0%
Nelson-Marlborough 4.0% West Coast 2.4%
gas exploration, it remains critical to retain capability and
important energy sector.
Jun-07
Year-on-Year growth, June 2007
Zealand open up for oil and
to service the needs of this
Jun-06
Regional Economic Activity
1.0%
year. As other areas of New
expertise within the region
Jun-05
Canterbury 2.9%
John Young Otago 2.2% Southland 3.7%
“Venture Taranaki helped TimberTest jump the fence – or swim the ocean – firstly by helping to access research and development incentives, and then to win marketing capital. This led to $300,000 worth of foreign contracts for test instruments in the first 12 months of launch, with orders for other technology still in the development pipeline and earmarked for launch later this year being negotiated prior to production. “Venture Taranaki’s help with accessing Government incentives for development research and for offshore marketing lowered our risk, and financed a faster and more competitive migration into offshore markets. They helped write the applications and interpreted the requirements – reducing the time needed to prepare and process applications. We have certainly not conquered the foreign market yet – but the help from Venture Taranaki has certainly made a big difference, enabling us to swim (or dog paddle, at least) and not sink as we enter the European market.” Stephen Young Timber Test Ltd
9 Venture Taranaki Annual Review 2007
Chief Executive’s Report Stuart Trundle
of new jobs, and is a critical element in creating a new and sustainable economy for the region. The Trust’s clear focus on business, jobs and economic impact gives us a different and vital role in such regeneration projects.
I
t has been a challenging but rewarding year, with Taranaki characterised nationally as the region where the principles of productive partnership are brought to life. Venture Taranaki, the regional development agency, cannot achieve in isolation, and is regularly humbled by the quantity and quality of contributions it enjoys from our many community leaders and stakeholders. Change is hardwired into our work, and the last year has seen some of the most profound changes since we were formed. Major Central Government policy shifts have affected both what we do and how we do it. New policy on regional development will have significant implications
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Venture Taranaki Annual Review 2007
and opportunities for regions that are able to produce well- researched proposals for investment to stimulate greater wealth creation. We intend to maximise the benefit from this new policy for our community. Venture Taranaki was created to drive forward this wonderful region’s economy and make this area a better place in which to live, work, visit and invest. We are proud of our track record in helping business, changing lives and turning around communities. Many of the larger projects in which we are a key player may take years to come to fruition, such as the eastern harbour redevelopment of Port Taranaki which could eventually create hundreds
We take our statutory responsibility as a council controlled organisation of New Plymouth District Council very seriously. Our balance sheet is aggregated into our parent Council, and our systems and processes are subject to review by Audit New Zealand. Our total revenue for the financial year was $3.708m ($3.101m in 2006). Our operating net surplus for the 2007 year was $9,755 (in 2006 a surplus of $13,623). Our equity as at the end of the financial year was $341,913. Regional economic strategy is at the heart of everything we do to help deliver sustainable development. During the coming year we will be refreshing the regional
strategy and I encourage everyone to get involved in this process. After all, it is OUR community’s regional economic strategy, and only by all partners working towards the same strategic goals can we achieve the best results for our region. Working in partnership with others has been critical to all our projects. A prime example of this is the relationship we have with the tourism sector. As the regional tourism organisation, we are helping to deliver the new tourism strategic framework for Taranaki in order to put the region firmly on the map as a leading national and international visitor destination. If the region is to continue as a leading competitive economy, we need to be an example in finding innovative ways to address the challenges of climate change. This underpins our aspirations for sustainable economic growth in the region. The Trust has
done a great deal over the past 12 months to put climate change at the heart of our business agenda. We have bought together some of the key players for a pilot energy project in partnership with Inglewood High School. This national pilot could provide new models to provide sustainable power for all schools within the region. The Trust has been given enhanced responsibility for event promotion during the year. Relationships have been developed with major international promoters that have resulted in the securing of the only New Zealand concert for Sir Elton John in December 2007, and securing a long-term relationship with the International Triathlon Union in Vancouver. The latter has ensured that New Plymouth and Taranaki will continue to have one of the largest free events of its nature in Oceania with the ITU World Cup Triathlon festival. This festival allows youngsters
from the age of eight through to 80 to participate within a world sporting event on an annual basis. No other project in New Zealand allows a primary school child from anywhere in the province to be on the same stage as Olympic medallists and world champions. The aspirational benefits of participating and spectating at such events will only truly be understood at the 2016 Olympic Games. We are confident that there will be Taranaki participation at these future Olympics. Our innovative partnership with the Taranaki Chamber of Commerce has created a new model of working collaboratively to ensure the maximum benefit for local industry and commerce. We have financially supported the employment of a fulltime executive at the Chamber to manage on an annual basis AmeriCARna, the Taranaki Business Awards, Taranaki Top Shop and the Targa Rally. The combined economic impact
of these events will exceed $5m, and provide a template for future innovation. In addition, our staff can be justifiably proud of our partnership with Port Taranaki Ltd, a wholly-owned subsidiary of the Taranaki Regional Council. During the year, we commissioned from BERL in Wellington a full economic impact study on the importance of Port Taranaki to the regional economy. We have seconded a fulltime member of the Venture Taranaki team, Dr Rick Goddard, to the port to co-ordinate the scoping of feasibility studies into developing it as a major hub for short sea shipping. Inter-generationally this could result in the port being a major portal for transTasman shipping as well as ferry traffic between the North and South Islands. The Trust continues to provide facilitated offshore trade missions to develop bilateral international trade
with our major overseas markets. These missions are led by a member of the Venture Taranaki team, and have resulted in significant orders for local businesses. The region has already enjoyed one major international feature film and efforts were made into promoting the region as a destination for TV commercials due to the strength of the US dollar. This core business continues to provide economic return, but recent developments have seen a resurgence in the indigenous New Zealand film industry. We have succeeded in attracting an Anthony McCarten movie, which will commence shooting in November 2007. The Trust has provided both locational and production services to ensure that this feature movie will be located in the district. The film has already secured international distribution rights and will showcase the region on the
11 Venture Taranaki Annual Review 2007
world stage. The Trust has also taken a long-term view in developing a Taranaki-based film production company through its support of Fat & Thin Productions. This start-up company is currently raising international venture capital to ensure it can commence the filming of the Charles Upham story in 2008. The Trust also facilitates grants to local businesses, and has secured $1.166m of support for 24 companies. These grants have been awarded by New Zealand Trade and Enterprise, and the Foundation for Research Science and Technology. The grants team has consistently been one of the highest performing in the country and is to be commended for its efforts. The single largest challenge facing our region continues to be the threat posed by skills shortages. The ability of companies to fully meet their potential will be constrained by their ability to attract and retain talent. As innovative companies around the world chase an international talent pool, companies will need to confront the competitiveness of their working conditions as well as their remuneration of talented staff. Our most valuable asset remains our people, but they are also the most mobile of all resources. There is no compelling reason why any
10 Venture Taranaki Annual Review 2007
member of staff should see an employer as their lifelong partner. Therefore it is the responsibility of each and every business to provide the most competitive environment whilst ensuring their ongoing profitability. The Trust has acknowledged the seriousness of this challenge, and has worked throughout the year with major employers in the food processing sector, including Fonterra, PPCS, Yarrows and Tegel. In addition, the regional jobs website has provided a single point access both for employers within the region and the global talent pool. Any charitable trust is ultimately reliant on the support of numerous benefactors. We should acknowledge the longterm funding partnerships with New Plymouth District Council, TSB Community Trust, Taranaki Electricity Trust, Stratford District Council and South Taranaki District Council. Collectively these funding partners have allowed the region to ‘punch above its weight.’ The region is seen as a positive, vibrant destination for major events, innovation and creative thinking. Collectively we can achieve far more working together than each undertaking independent endeavours. This does not remove the autonomy and flexibility
of local delivery to local communities. The benefits of an overarching partnership for intergenerational benefit should not be underestimated.
skills needs of employers
The region of Taranaki needs a strong, purposeful, economic development agency. With three local authorities and a regional council, the alterative sources of economic development capacity and capability could appear relatively modest and fragmented. Situated between the two major urban conurbations of Auckland and Wellington, our regional economic interests could all-too-easily be subservient to our more powerful neighbours. The challenges of maintaining population, growing our international gateway function through Port Taranaki, our pre-eminent position as New Zealand’s energy province and the centre of exploration for oil and gas, and the production hub of New Zealand’s national dairy industry require strong unified leadership. Yet we can only take satisfaction from economic success in Taranaki if all of our communities have an opportunity to participate in and benefit from this growth.
of our board, my colleagues
in the future. The Trust can deliver these and many other initiatives only because of the energy and enthusiasm who work at the Trust and our many partners. At Venture Taranaki we need to continually challenge ourselves and be challenged to improve. During the year a significant test of that ethos was provided by the Audit New Zealand independent performance assessment of the organisation. The assessment was encouraging but we also recognise areas for improvement. I would like to thank all those who have made the period so stimulating, exciting and enjoyable. I am proud of what we are achieving in this marvellous region. Some of that pride is given expression in the case studies in this publication, but I fully recognise that all of it is a
supposed to be the lovelorn
result of shared endeavour and commitment. With
Taranaki’s tears and they weep
our Taranaki partners, I am confident Venture Taranaki and the region will achieve even greater prosperity and
Our educational outcomes are still some of the lowest within New Zealand, and need co-ordinated investment to ensure that the region is well equipped to meet the
“The waterfall cascades are
success in years to come.
out onto the plains leaving little sandy beaches like salty tear marks, caught in the crook of an elbow in the river.” BMW Magazine Spring 06
Stuart Trundle
13 Venture Taranaki Annual Review 2007
Board Highlights
Roy Weaver
Janine Smith
Sir Paul Reeves
Neil Mackay
Paul Winter
Rhys Greensill
“Black gold (oil) and white gold (milk) are two economic themes running at full throttle in Taranaki at present. They are cornerstones of an increasingly diverse regional economy.
“Developing the skills and experience of young people through the Young Enterprise Scheme should not be underestimated, and acts as a strong foundation for the future leaders of Taranaki and New Zealand.
“I have enjoyed the meetings held with the various interest groups of Taranaki. They face issues, but all of them have enthusiasm and commitment to the province. It is important that the Venture Taranaki Trust maintains strong contact with the people we serve.
“The continued focus in the region in building competencies in business through advisory services, mentoring, training and governance adds further building blocks for a strong Taranaki regional economy.
“The developments in the port area are looking promising, and our Trust is playing a leading and co-ordinating role. Coastal and trans-Tasman shipping could become very important, and we are already supporting the port authorities in their planning.
“The Venture Taranaki board has in the past year become far more active in connecting with and developing an understanding of potential investor and partner organisations’ strategies and goals. There are many organisations that have our common objective of advancing the economic performance of Taranaki, and networking with them – along with key stakeholders both locally and beyond – has become increasingly important. We have this year presented, socialised and discussed projects we consider will impact on the region and, whilst they may not align perfectly to current Central Government programmes that Venture Taranaki primarily focuses on, they provide a basis to produce qualified project candidates for consideration and development.”
“One of Venture Taranaki’s major tasks in the year ahead will be to work with other key agencies to leverage everyone’s scarce resources and significantly increase Taranaki’s return on its events strategy, particularly in relation to the development of more high quality Taranaki-owned product.
“For those who study economic development, history shows that settlements were usually established around modes of transport and that the success of those settlements depended on the growth of those modes. Taranaki’s key strategic asset is its port, and businesses will choose to locate in Taranaki because there is an efficient port for them to distribute their goods to Australia and beyond.
“The current Taranaki-wide focus on economic development will help buffer this region against cyclical downturns in future years. However, we must use our present gifts wisely to build a stronger Taranaki. “At Venture Taranaki, we are here to encourage new enterprises and projects that are financially responsible, and will add diversity and strength to our local economy.”
“These initiatives – combined with the essential longer-term economic focus and the impact interventions for the region – further ensures that Taranaki is positioned well for future generations.”
“As always, transport in and out of Taranaki is key to our growth.”
Venture Taranaki’s ‘Super Trust’ board of trustees was appointed from July 1 2004 by a panel consisting of Mayors and Chief Executives of New Plymouth, South Taranaki and Stratford District Councils, plus the Taranaki Regional Council, following the integration of Venture Taranaki with Destination Taranaki, events marketing and the New Plymouth District Council’s marketing into a all-encompassing agency. The board meets once every two months, and is responsible for the governance of the Super Trust. During the financial year, New Plymouth-based trustee Rhys Greensill resigned due to moving out of the region. Trustee Neil Mackay tendered his resignation at the end of the financial year.
12 Venture Taranaki Annual Review 2007
“Helping to accelerate progress on the Port Taranaki hinterland inter-generational opportunity will also, I sense, be vital during the next 12 months. “We must also keep improving our websites, as visitors rely more and more on internet information. Exposure on global websites will be essential to ensuring Taranaki rises higher up the list of places to visit when travelling to New Zealand. The Western North island international marketing alliance will be one important tool in that process.”
“This investment will drive Taranaki’s long term growth. More important work is required to maximise the efficiency of the supply chain to (and from) the port. Removing impediments to rail traffic and planning an adequate ring road system for New Plymouth will ensure that we avoid the ‘Tauranga effect’ of clogged city traffic and increased transport costs. This is going to take a real will and cohesiveness between the three district councils and the regional council. I hope that a ‘Team Taranaki’ can collectively work together to develop a vision around the port and then set out to achieve its goals.”
15 Venture Taranaki Annual Review 2007
Achievements 06/07 • Nearly 517,000 visitor nights (4% increase) in Taranaki
NEW EVENTS AND ANNOUNCEMENTS
• Approximately 30% increase in Visiting Friends and
• Announcement of October 2007
TOURISM
Motorhead concert (October 19, TSB Stadum)
Relatives (VFR), representing 19,400 more visitors staying in private accommodation, shown in comparable monthly VFR monitoring
• Announcement of November 2007
• International room night increase of 5.6%
Beach Boys concert (November 17, TSB Stadium)
• Western North Island international marketing alliance holds first trade mission to United Kingdom
• AmeriCARna 2007.
• Record number of participants from Taranaki attend TRENZ
• Inaugural participation in Meetings 2007
PROJECTS
“VTT has grown in its ability to listen and ask
• Taranaki Convention Bureau officially launched
• Port Taranaki Eastern Redevelopment Project (including marina) • Governance Project completed and ‘soft launched’ • Port Taranaki economic impact report • Inglewood High School’s Energy Conservation and Renewable
advice on sectors it is embarking on .. like into
• Several high profile media familiarisation visits • New visitor guide produced and distributed.
Tourism New Zealand’s Auckland-based International Media Programme team visited Te Popo Gardens as part of a Taranaki familiarisation visit organised by Venture Taranaki’s tourism team.
Energy Generation Pilot Project
• Food processing and food sector employers business plan • Oil and gas industry skills economic impact assessment (ongoing).
ECONOMIC DEVELOPMENT • Satisfaction survey shows 94% of clients happy
• WOMAD 2007 • Taranaki Rhododendron and Garden Festival 2006 • ITU World Cup Triathlon 2006 • AmeriCARna 2007 • Creative Fibre Festival 2007 • Dutch Mill Taranaki Cycle Challenge 2007 • New Plymouth to Mooloolaba Short-handed Trans-Tasman Solo Yacht Race 2007 • Dunlop Targa NZ 2007 • Taranaki Round the Mountain Relay 2007 • TSB Festival of Lights 2006/07 • Top Shop 2007 • TSB Festival of the Arts 2007
• Grants totalling $1.166m into Taranaki businesses
• Start-Up Service attracts 208 clients • ExporTAR network launched • Skills and labour studies undertaken • ETP courses up to 76, with 365 individuals taking up a total of 1617 course places around the region
web-based image library. “I found VTT to be inquiring and thoughtful of outside advice, listening and together achieving a very workable model to develop into the future. It was this ability to listen and heed, and then put to practice, that impressed me and made working alongside
FUNDING AND SUPPORT
with Venture Taranaki service
• Twenty-three Taranaki teams for Young Enterprise Scheme
new territories such as the setting up of a
• Taranaki jobsite boasts 382 employers, 1054 job seekers, 1272 online job applications and 2353 unique visitor accesses
• Sixty one clients matched with mentors during the year, including 12 from the South Taranaki district
• Business confidence retains buoyant • Governance project launched.
• Perth Oil and Gas Expo fruitful for Taranaki companies
VT staff a delightful and fulfilling experience. “I have had feedback from magazine editors about how helpful VTT staff have been to requests for advice and supply of material, helping the magazines to both look good and meet their deadlines. “Visiting journalist friends have remarked that their visits have been made easier by the professional staff who have tended to requests - making VTT stand out as one of the more accommodating provinces to deal with…hence the mass of material published on this region.
Michelle Jordan As manager of the economic development arm of Venture Taranaki, Michelle is responsible for leading the team behind delivery of core services to the business community, including advisory, training, facilitation and business support, as well as managing key projects of an economic development nature including governance services and the Eastern Harbour Redevelopment.
14 Venture Taranaki Annual Review 2007
Meet the Team
Meet the Team
“The team at VTT is providing for an exciting future for the development of Taranaki as a Kayleen Schoeman As contract delivery co-ordinator, Kayleen co-ordinates and delivers the Enterprise Training Programme for Venture Taranaki, which offers businesspeople from around the region free training in a range of subjects. Kayleen also assists in other training courses run by VT, and is often the first port-of-call for clients and customers.
destination worth considering.” Rob Tucker Tucker Media
17 Venture Taranaki Annual Review 2007
Achievements 06/07
FAMILS/VISITS/MAJOR NEWS ARTICLES • Tourism New Zealand IMP famil – July • New Zealand Outside Snow Mt Taranaki article - July • Tetsuwan Dash (Japan television crew) – August • Subaru Magazine (NZ) - August • NZ National Geographic (NZ) - August • Hillsborough Beacon (USA) – August • Straits Times (Singapore) - August • Spring to Life (Singapore) – August/September • BMW Magazine architecture article – August/September • Lonely Planet (US) – September • Sports and Travel (Singapore) – September/October • Weekend Gardener garden article - October • TOGO and China Times Weekly (Korea and China) - November • BBC ‘Around the World in 80 Gardens’ television series – December • Spotlight magazine (Germany) - January • Sydney Morning Herald website – February • Australien Magazin (Germany) - February • Just for Canadian Doctors (Canada) – February • Sydney Morning Herald (Australia) - February • Des Moines Sunday Register (USA) – March • Nico de Boer (Europe) - March • GoNomad (USA) - March • Sunshine Coast Newspapers – April • Sunday Star-Times ’36 Hours in Taranaki’ article - April • Korean film crew – June • TVNZ Breakfast Show (Stuart Trundle on WOMAD) – March • Inglewood High School’s Energy Conservation and Renewable Energy
Venture Taranaki’s Subarus celebrated in style the ITU World Cup Triathlon during the year.
REGIONAL INTELLIGENCE • Four Taranaki Trends publications completed • Two Business Surveys completed • Six Enterprise News and Taranaki Talks “Caniwi Lodge Lake Rotorangi congratulates Paul Stancliffe and the Venture Taranaki team for its successes like no other! Many first-time Kiwi visitors to Taranaki have been enticed by numerous world-class concerts and
FILM
events, the branding of the Forgotten World
• Fat & Thin Productions launch Charles Upham film project
and Surf Highways, and the Western North
• Two other New Zealand-based films destined for the region
Island marketing campaign which links us to neighbouring regions. The emergence of VT’s Convention Bureau will assure members of co-operative marketing, as well as promoting
• Privately funded surf movie filming nearly completed • Film Venture Taranaki head Peter Avery attends AFCI Locations Expo in Santa Monica in April.
Taranaki as a credible venue location.
kayaking, hiking and other activities - has
SUBMISSIONS DRAFTED AND PRESENTED
been privileged to host international famils
• Land Supply Review (New Plymouth District Council)
showcasing Taranaki via articles, photographs
• Business.govt.nz submission for inclusion on website.
and film. These guests lavish praise on their itinerary organisers, are in awe of our region’s
PUBLICATIONS
bush, and vow to bring return visitors.
• 2006/07 Visitor Guide
“Thanks Venture Taranaki - you’re doing
• Western North Island Major Regional Initiative
us all proud and it’s great to at last be
• Refreshes of Surf Highway 45, and Forgotten World Highway 43 brochures
Maureen and Jean Gauvin Caniwi Lodge and Chalets Lake Rotorangi
16 Venture Taranaki Annual Review 2007
• Pukekura Park on Monopoly Board – Close Up (TVNZ) • New Plymouth to Mooloolaba Solo Yacht Race – (TVNZ, TV3) • TVNZ and Sky Sport (ITU World Cup Triathlon broadcast coverage – live and highlights packages) – November
spectacular scenery and pristine native
taken seriously as a tourist destination.”
Generation Pilot Project – Close Up (TVNZ)
• Taranaki Convention Bureau prospectus • Product guide (UK wholesalers) • Taranaki regional folders.
Meet the Team
“Caniwi Lodge - with luxurious eco chalets,
Paul Stancliffe As tourism leader, Paul leads a team of three and oversees the tourism sector in the region. As well as liaising with national tourism bodies, Tourism New Zealand and local tourism operators, Paul provides strategic statistical analysis and feasibility studies, and has played a major role in the development of Tourism New Zealand’s Western North Island international marketing alliance.
“New Zealand Trade & Enterprise has strengthened its relationship with Venture Taranaki over the past two years to help develop and grow business in the Taranaki region. “Through a unique shared resource relationship, the two organisations work seamlessly together to offer their products and services to Taranaki companies, building their capability and encouraging them to become globally competitive. “The benefits obtained through working with VTT in this way have justified this approach, and NZTE remains committed to working with VT collaboratively in the future, to help develop and internationalise Taranaki businesses.” David McLeish Director Business Operations New Zealand Trade & Enterprise
19 Venture Taranaki Annual Review 2007
Executive Views 06/07
Vicki Fairley
Paul Stancliffe Tourism Leader “Over the course of the initial contract, visitor numbers to Taranaki have increased significantly. However, our share of the national visitor market has changed little. International markets have started to climb, and our ability to grow this market exponentially over the next few years will be critical, as the Ministry of Tourism predicts a slowing in the growth of domestic visitation. “In order that we are successful, a concerted effort into product development must be made to attract the international visitor. In conjunction with product development – and increases in activities that operators offer to align them with the demands of being export-ready – Qualmarked and commissionable product are both high on the agenda.
Marketing Manager
providers. Although this is a great improvement, the focus for visitors when making their decision to come here is based around ‘what to do’ initially, and the ‘where to stay’ decision is secondary.
“Taranaki continues to ‘punch above its weight’ in a number of areas. Because it is highlighted as a progressive and exciting region, Venture Taranaki puts a considerable amount of effort into maintaining this profile throughout New Zealand, and continues to extend it overseas in identified target markets, through advertising, media familiarisations, expos and trade visits.
“With continuing changes to the way visitors make their travelling decisions, a major focus on our website development and exposure on key websites globally will be essential to ensuring Taranaki is ‘top of mind’.
“The Trust also works - through its events fund - to ensure the excitement never dies. ‘There is always something happening in Taranaki’ is a statement oft repeated by the local populace and visitors to the region. This year the events calendar has been full. From AmeriCARna, which saw downtown throbbing to the beat of powerful V8 engines, to the Mooloolaba yacht race where thousands lined the coastal walkway to see the boats and their brave skippers off on their voyage, Taranaki has
“In addition, the development of the national i-SITE database will play a key role in allowing Taranaki to be exposed, and product being able to be purchased through all national i-SITEs. A co-ordinated and planned campaign throughout the region to ensure operators are a part of this development will be essential.”
“I attended the Business Smart series at Venture Taranaki, and what I got was a good surprise! I had signed on hoping to garner the odd helpful hint, but picked up so much more. I had a tutor with tons of credibility, experience and ideas, who gave me the ability to stand back and analyse my business, to help me see it for how it is and how it is perceived, its strengths and weaknesses, to value my time and my business, to gain a sense of direction, a strategy, a plan that takes into account the things that are important to me, and to aim high. I’m loving my job again…I’ve rediscovered the drive and excitement I felt when I first started my business, but this time I feel more aware, more inspired to work on my business’s weaknesses. This course should almost be compulsory for those starting a business. Thanks VT!” Greg Miller, SureSigns Taranaki
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Meet the Team
“In 2004, Taranaki had only three Qualmarked businesses – today we have 46…the majority of these accommodation
experienced the best of the best. “Looking forward, the challenge is to maintain this vibrancy and to ensure Taranaki stands head and shoulders above the rest of New Zealand. The Trust has never been afraid to take a bold approach in order to achieve this, and will continue to push the boundaries in the coming year to aspire to even greater heights. “Venture Taranaki’s aim is to ensure that Taranaki - in its attitude, its achievements and its spirit - continues to be an extraordinary region ‘like no other’.”
Carrie Thorne As project co-ordinator for the economic development team, Carrie helps manage major projects such as the Eastern Harbour Redevelopment, the skills and labour initiative (which includes the regional jobs website), the NZ Oil & Gas Specialist Technologies Cluster, the Trust Energy Efficiency Project and other green issues, as well as the Enterprise newsletter.
21 Venture Taranaki Annual Review 2007
Executive Views 06/07
Michelle Jordan
Rob Trusler
Economic Development Manager
Corporate Services Manager
“The past financial year saw Venture Taranaki take on new projects in the economic development space, whilst maintaining a high level of commitment to services vital to the wellbeing of the business community and regional economy. “The year saw a vision for the redevelopment of New Plymouth’s eastern harbour area launched after consulting extensively with a working party; the advent of a regional governance service incorporating a database of potential governance candidates; investigation of skills shortages across a number of sectors; and the introduction of ExporTar, a forum specifically for Taranaki’s exporter community.
“The coming year is shaping up to be ‘conservation’ year for Venture Taranaki, as it takes on a number of projects with a conservation bias. The first of these projects will, in collaboration with the Department of Conservation and iwi, identify a walkway that traverses the three peaks within the Egmont National Park. The Three Peaks Walkway will embrace Mt Taranaki, the Pouakai Ranges and the Kaitake Ranges, and will extend the already highly successful Pouakai Circuit walkway developed in collaboration with DOC three years ago. The proposed new walkway will touch on a number of historic landmarks and the world-renowned Pukeiti Rhododendron Trust gardens, as well as offer hikers spectacular vistas out over the ring plain of Mt Taranaki.
“Alongside of these ‘inter-generational’ projects, services such as Enterprise Training, start-up clinics, mentoring and business support continue to assist Taranaki businesses in turning their aspirations into reality, with demand in start-up and business support exceeding expectations. “The coming year will see the economic development arm of Venture Taranaki further developing partnerships with others, extending current projects, entering into new projects and continuing with its core services, as it assists the Taranaki region to cement its position as a respected player in a global market.”
“All these projects are pivotal in the continual push to ensure Taranaki is positioned strongly in the competitive domestic and international marketplaces we face today.
Richard Shearer, Quality Performers Ltd
20 Venture Taranaki Annual Review 2007
Meet the Team
“Growing an export business in a competitive market is a complex task. Venture Taranaki has acted like a hub of resources for exporting businesses like QP Sport. Having access to VTT and NZTE programmes, and funding through VTT, has been a great help to our business this year, and I believe having such an effective agency helps us to be competitive from the regions.”
“The second conservation project involves piloting an energy conservation and renewable energy generation project at
Inglewood High School in collaboration with the Ministry for the Environment. The first phase of the project will focus on energy conservation opportunities within the school and in the students’ homes, whilst the second phase will see a wind turbine, solar photovoltaic panels, solar hot water and demonstration scale hydro power generator installed in the school. The teaching staff have been asked to integrate learned outcomes from the pilot into their subject curriculum, with conservation awards to be won at the completion of the pilot. “Finally, Venture Taranaki wishes to play its part in building a sustainable environmental and economic arena for future generations. The Trust itself has started down the road of an in-house energy conservation initiative, with the aim of working towards Carbon Neutral certification within a few years. Energy- aware decisions will be made on a range of items and activities, from new hybrid or low-emission cars, to using recycled paper.”
Garry Sharpe-Young As project manager (events), Garry sources potential events and concerts for Taranaki’s venues, liaises with promoters and venue managers, organises contracts and assists with planning and marketing of events within the region.
23 Venture Taranaki Annual Review 2007
Executive Views 06/07
“Falcon Engineering based in Inglewood, Taranaki, provides engineering design, manufacturing and installation of plant and equipment into the sawmilling and timber remanufacturing industry. One of Falcon’s key products is A-grader, an automated stressgrading machine that uses sound waves to measure the stiffness of timber. Stiffness is an important design property with timber used for structural applications.
Peter Avery Taranaki Film Commissioner
Film Venture Taranaki has provided initial advice, introductions and location advice to several projects this year. We are working closely with a number of exciting feature film projects with a suitable fit across the whole of Taranaki. Two New Zealand movies – one for filming in New Plymouth and the other in Hawera later this year – will soon be announced, and a third created by a local resident is totally home-grown and has almost completed shooting. Fat & Thin Productions also intimated it was keen to shoot a Charles Upham biography in the region.
Meet the Team
“Once again this year, I was a guest of Film New Zealand at the AFCI Locations Expo in Santa Monica in April, and two trends were very obvious. Previous Eastern bloc countries such as the Ukraine were making huge private investments into infrastructural facilities and, coupled with low wages, an abundance of fresh locations and an extremely hardworking labour market, were very attractive for the major studios.
“The second trend was the continued growth within the different US states of both incentives and massive private investments in infrastructure, capitalising upon not only hosting production as a location base, but shooting the studio components, processing the film and post-production as much as possible. “The film business is, of course, by nature an export business, so along with all the other exporters, our business is also suffering at the hands of the high NZ dollar. One recent example of its negative impact was the decision of a Japanese studio not to proceed with filming of a period Ninja movie in New Zealand, expected to start production in late 2007. “Taranaki was looking very positive as a possible location doubling for the Inland Sea of Japan, coupled with post production. However, the inability to be able to get access to the Wellington sound stage, together with the high NZ dollar, meant the decision was made to remain in Japan. The level of international enquiry has fallen in proportion to the rise of the dollar.”
Rebecca Buis As executive officer, Rebecca is our chief executive’s PA and also handles roles within payroll, accounts management and other support requirements. She handles travel requirements, manages the day-to-day office administration and new staff induction processing.
22 Venture Taranaki Annual Review 2007
“With 11 units now installed in New Zealand, the technology has proven itself and, with this background, Falcon is now developing an export market into the United States. Through Nick Fleming of Venture Taranaki, an application for an export market development grant was made, and the subsequent approval of the grant has assisted us in our marketing development work, particularly with the launch of A-grader at the Forest Products, Machinery and Equipment Expo in Atlanta in June this year. A subsequent visit was made to the United States recently to follow up contacts, to visit sawmills in order to better understand local market conditions and requirements, and to conduct a presentation for one of the grading and inspection agencies.
Meet the Team
“With the relentless climb of the New Zealand dollar placing great pressure upon our ability to attract offshore projects, our focus for the past year has been upon helping grow local production. We have been working with a number of New Zealand producers to help get their projects up and running, and 2006/07 has been a year punctuated by a lot of ‘behind the scenes’ activity and media speculation.
Rob Trusler As corporate services manager, Rob’s time is split between meeting the needs of the board, financial overview of the trust, and specific sector project management focusing primarily on energy, engineering and conservation.
“As a direct result of exhibiting at the trade show, we have recently appointed a distributor to represent us in the Pacific North-west, and one in the South-eastern United States. Venture Taranaki continues to assist us in our queries relating to export market development and updating us on local education seminars and NZTE news.” Les Wong (pictured above right with VT’s Nick Fleming (left) and Greg Trowbridge).
Falcon Engineering
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Highlights 06/07
TRENZ 2007
ITU WORLD CUP TRIATHLON 2006
A record number of participants from Taranaki attended the Tourism Rendezvous New Zealand event in Rotorua during May. Seven booths with 13 representatives from all areas of Taranaki gathered to showcase the region, conducting an average of 36 appointments each with buyers from the United Kingdom, Australia, Germany, North America, Japan and China. Attending alongside Venture Taranaki was Quality Hotel Plymouth International, Puke Ariki, Maori Tourism Taranaki, Tui Global, Central Taranaki Tourism Network and South Taranaki Tourism Advisory Group. Venture Taranaki also attended an International Marketing Alliance update meeting with Tourism New Zealand, and met a number of international media interested in Taranaki.
In the second ITU World Cup Triathlon staged along New Plymouth’s foreshore and supported by Venture Taranaki, American former representative swimmer Andy Potts and Australian mum-of-two Rina Hill triumphed over scores of competitors from around the world in blustery conditions to win the men’s and women’s events. More than 100 professional triathletes – including New Zealands Olympic silver medal winner Bevan Docherty who finished fourth – competed in the races, with hundreds of school children turning out for the associated WeetBix Kids Tryathlon and pleasing numbers taking on counterparts in the age group events. For the first time, the event was televised live on TVNZ. The next World Cup event for New Plymouth is scheduled for April 2008.
LONDON EXPO 06 Venture Taranaki, in association with the New Plymouth District Council, sent two staff to the London Expo in October and then held a highly successful recruiting event in Southampton – collecting contact details from 516 interested individuals from the two events covering a wide range of industry sectors. In addition, VT joined Canstaff, Canterbury Development Corporation, Priority One and other New Zealand organisations at a recruiting event in Clevedon near Bristol, and in Solihull. At least three families are known to have moved to Taranaki and entered into the workforce as a result of the trip.
Venture Taranaki Annual Review 2007
Highlights 06/07
Winners of the 2006 ITU World Cup Triathlon in New Plymouth.
JOBS WEBSITE CLIENT SATISFACTION SURVEY
Venture Taranaki’s jobs and lifestyle website was extremely popular during the year, with a total of 382 employers registered as users and 1054 job seekers actively watching the constantly updated list of vacancies within the Taranaki region. Online job applications soared to 1272 for the year, with 2353 unique visitors accessing the site. Up to 89 vacancies have been listed at any one time.
This survey, conducted and collated in June 2007 for the enterprise development team, showed that more than 90% of respondents were satisfied with Venture Taranaki in general…a pleasing six percentage points up on the same survey a year ago. Staff performance ratings also increased five percentage points to 99.4% satisfaction or more, and 96.2% indicated VT catered for their business needs – up from 87.6% a year ago. A total of 40% of Foundation clients rated training as VT’s most important service, whilst 50% of Start-Up clients rated advisory/support the most important. Respondent comments made throughout the report predominantly reinforced the satisfaction findings – “Venture Taranaki is doing an excellent job for Taranaki.”
MEETINGS 2006/07 For the first time, Venture Taranaki attended Conference and Incentive New Zealand’s annual conference expo in Christchurch, with more than 45 appointments undertaken with mainly New Zealand and Australian delegates. The Taranaki Trade and Convention Planner was the focus of most appointments, highlighting the region’s venues, accommodation and unique selling points. Alongside Venture Taranaki, other regionally-based participants were the Quality Hotel Plymouth International and the Taranaki Arts Festival Trust. Next year’s event will take place in Auckland in July.
OIL AND GAS CLUSTER
Michelle Warren As front office executive, Michelle creates positive relationships with clients and offers customer service, maintaining the VTT jobs website, film database and providing administrative assistance.
24 Venture Taranaki Annual Review 2007
GRANTS AND FUNDING Grants totalling $1,165,917 have been awarded to Taranaki businesses this year, signalling that grants actively assisted by Venture Taranaki in this financial period were exceeded by more than double the $500,000 target. Venture Taranaki assisted 24 companies obtain 29 separate grants, including 16 grants to 11 high growth companies totalling nearly $800,000. Twenty of the grants were awarded by New Zealand Trade & Enterprise, and nine by the Foundation for Research Science and Technology. Funding was sourced from nine different types of grants – the most popular being NZTE’s economic development grant for market development.
Meet the Team
Meet the Team
Venture Taranaki facilitates the Oil and Gas Specialist Technologies cluster, which comprises 18 companies providing specialist expertise into the oil and gas sector both nationally and – in many cases – internationally. Formed to help members identify and explore marketing opportunities amongst other objectives, the cluster participated in the AustralAsian Oil and Gas Expo and Conference in Perth, Western Australia, in February. With five members exhibiting and representing the cluster as a whole, the event provided a platform for showcasing the cluster’s capability and identifying opportunities, as well as being an ideal chance to network with industry participants.
Andrew Thomson As the marketing co-ordinator, Andrew is primarily involved with the tourism team, marketing the region through PR and media hosting, website and image library development, production of marketing collateral, project managing trade shows (TRENZ) as well as assisting in the development of local tourism operator product and market development of Taranaki as a visitor destination.
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Highlights 06/07
TARANAKI CONVENTION BUREAU
BUSINESS CONFIDENCE AND GROWTH
Officially launched in May following a robust membership drive, the bureau had 34 members at conception and aims to promote and market conference and incentive travel products and services in Taranaki…ensuring the region is known as the ‘boutique conference destination of New Zealand’. As well as providing host destination familiarisation to chosen buyers, the bureau will offer introductions to support services, compilation of bid documents, site inspections and venue appointments, provision of support collateral and brochures, the formation of accompanying partner programmes, incentive travel itineraries, and a guest speaker database. The bureau will be managed through a website and a dedicated contact person.
Taranaki businesses have become slightly more decisive over the year, according to Venture Taranaki’s two business surveys completed in December 2006 and June 2007. In terms of the New Zealand economy, 28% anticipated a deterioration in June, with 22% expecting improvement. Compared with December’s statistics, there was a small shift away from the 46% who thought the status quo would remain, and a stronger belief that conditions would either improve or worsen. In terms of industry-specific conditions, 57% believed the economy would remain the same, with the agricultural sector and South Taranaki businesses most optimistic. Manufacturing, health, transport and retail were the most pessimistic or cautious. A total of 77% thought employee numbers would remain the same.
BUSINESS START-UPS
YOUNG ENTERPRISE SCHEME
Start-Up services, offered in the form of an appointment-based clinic and workshops for potential business owners, were in hot demand this year, with the need for services resulting in extended hours and additional workshops to that initially scheduled. The Start-Up clinics are run in New Plymouth and Stratford, and attracted 208 clients during the year.
Taranaki continues to be the leading region in New Zealand for the Lion Foundation Young Enterprise Scheme, with 85% of the region’s secondary schools participating - compared with a national average rate of 36%. A total of 25 teams from eight Taranaki schools are currently vying for the title of 2007 YES regional winner, with the 2006 title awarded to Move from New Plymouth Girls’ High School in October. Three Taranaki teams from NPGHS attended the ‘nationals’, and Spotswood College’s Carolyn Miles was awarded the Sir James Fletcher Award for Enterprise. Venture Taranaki is a regional funder of YES.
VISITORS Taranaki’s visitors staying in commercial accommodation increased 4% in the year to June 2007, with nearly 517,000 visitor nights to the region. This increase represents 19,825 more visitors to the region, compared with the same period last year (the national increase was 4.7%). International and domestic room nights increased by 15,075 and 4217 respectively, converting to a percentage increase for internationals of 5.6% and domestic 3.3%. The United Kingdom and Australia continue to dominate the countries from which our international visitors originate.
VISITING FRIENDS AND RELATIVES Although just six months of comparable data is now available for the first time, Venture Taranaki’s monthly independent VFR monitoring shows a substantial increase of 29.5% (or 19,396) more visitors staying in private accommodation between November 2006 and April 2007. Of those staying with friends and relatives, 95% came to visit or were on holiday, as opposed to business or sporting trips. Auckland remains the top region with 26%, followed by Wellington on 17.3% and Waikato on 14.5%.
BUSINESS MENTORING (BMNZ) TARANAKI TRENDS AND OTHER PUBLICATIONS
The recent financial year was again a busy time for Taranaki Business Mentors New Zealand mentor service. There were a total of 61 clients matched with mentors, with 12 of those matches being from the South Taranaki region. Venture Taranaki also facilitated another professional development seminar specifically designed for new mentors, which was attended by 10 mentors. This seminar equips mentors, and involves pre and post seminar assignments for mentors to complete, ensuring that they are BMNZ accredited at the end of the process.
Taranaki Trends has been produced four times in the year, with two business surveys published throughout the year. Six times a year, VT’s economic development team sends out an electronic newsletter, Enterprise News, which informs clients and associates on activities, news and upcoming events and opportunities. It also details courses, projects and information on what is happening around the region. The tourism team also produces its regular sector update Taranaki Talk, which offers brief information about topics such as events, research, convention news and successes within the industry.
ENTERPRISE TRAINING PROGRAMME
Nick Fleming As senior enterprise advisor in a co-funded role with New Zealand Trade & Enterprise, Nick offers business advice to Taranaki companies, particularly those with an export focus, through the services available from both VTT (which includes the Foundation for Research Science & Technology), and NZTE.
26 Venture Taranaki Annual Review 2007
TSB TOP SHOP Whilst still the main funding partner for Top Shop 2007, Venture Taranaki handed the administration and organisation for this year’s event to the Taranaki Chamber of Commerce. The Top Shop winner was Judd Opticians, owned and managed by Andrew Judd (New Plymouth). Other finalists included Wildabout (New Plymouth), Brumbys (New Plymouth), Woolworths Supermarket (New Plymouth), 02 Project (Stratford), Et Vous (New Plymouth) and Rapley Flooring (New Plymouth).
Meet the Team
Meet the Team
A record-high total of 76 ETP courses were held during the year, with total attendee numbers reaching 365 individuals taking up a total of 1617 course places for the entire Taranaki region.. Particularly popular was the Business Smart Series, an eight-module high impact programme for the creative sector. This series included training in business planning, sales and marketing, human resources/ self development, systems, finance and growth strategies. Another well-attended series was the Business Planning and Management Essentials modules, which will be run again in the first half of the 2007/08 financial year. Run by Venture Taranaki and funded by New Zealand Trade and Enterprise, the programme is fully subsidised and incorporates business assessments, workshops and coaching.
Vicki Fairley As marketing manager, Vicki looks after all advertising, publications and promotional material associated with Venture Taranaki and the work it undertakes. Vicki is also heavily involved with the events sector and publication of Venture Taranaki’s statistical publications Taranaki Trends and the six- monthly business surveys. After developing and launching the Taranaki brand in 2005, Vicki also works to ensure this brand is promulgated throughout Taranaki and New Zealand.
Venture Taranaki Annual Review 2007
Highlights 06/07
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Highlights 06/07
ECONOMIC IMPACT/RESEARCH/ ASSESSMENT REPORTS
ENERGY CONSERVATION AND RENEWABLE ENERGY GENERATION PILOT PROJECT
A variety of economic impacts, skills projects and other reports have been completed this year, alongside the Port Taranaki Eastern Harbour Development Project. These are:
Taranaki’s Inglewood High School has started piloting a New Zealand first for the next year, involving energy conservation and renewable energy generation aimed at reducing the school’s electricity demand from the national grid by 15% in 12 months. The $100,000 pilot, announced in May and begun on July 1 at the co-educational secondary school, could - if successful - be replicated through the remaining Taranaki secondary schools in 2009, 2010 and 2011. Believed to be the first of its type ever attempted in New Zealand, the pilot project is funded by Venture Taranaki and the Ministry for the Environment’s Sustainable Management Fund, with assistance from Enviroschools, Powerco and EcoInnovation. Using a combination of conservation initiatives, renewable energy generation technologies installation, and The presentation of a $50,000 cheque from Venture Taranaki to the integration of conservation and renewable energy subjects into the the Inglewood High School principal Angela Gattung. classroom curriculum, the project is expected to kickstart a ‘multiplier effect’ by encouraging tandem energy conservation in students’ Inglewood homes. Inglewood High School – which boasts 392 student families – and the project were the subject of a Close Up television story in June.
• Port Taranaki economic impact assessment – Port Taranaki is an integral part of the region’s transport infrastructure, associated with industries that turn over almost $6.3 billion, generate $2.2 billion in value-added GDP and employ close to 19,000 workers, according to a VT-commissioned economic impact assessment. With a workforce totalling 1485 and a GDP contribution of $290m per year, the port is a key participant in industries and activities that account for almost half of Taranaki’s GDP and a third of its employment. “Venture Taranaki - along with a steering
• Oil and Gas Skills Assessment – Venture Taranaki is involved in a skills
committee including myself and other
assessment of the oil and gas industry, with a view to developing a picture of the issues in this sector, and subsequently supporting the implementation of a series of actions to address identified issues. VT has completed an economic impact assessment of the oil and gas sector.
commercial and recreational stakeholders - was tasked with examining the potential for a development of the eastern end of the inner harbour into expanded port facilities,
• Collaborative Labour Research – Venture Taranaki has been working with
commercial facilities and a mixed-use marina
a number of large food processing and food sector employers in the region, developing a business plan proposing a collaborative approach to addressing skills and labour issues in this sector, particularly seasonal labour issues.
development. “VTT has been very thorough and
REGIONAL EVENTS CALENDAR Several new events were added to the region’s calendar during the year, including AmeriCARna – which attracted hundreds of American car and bike lovers and huge crowds from around the region in February – plus the New Plymouth to Mooloolaba Solo Trans Tasman Yacht Race and the first annual WOMAD music festival. Venture Taranaki maintained its financial support of regional events throughout the year, including amongst others the ITU World Cup Triathlon, Dutch Mill Taranaki Cycle Challenge, Creative Fibre Festival, TSB Festival of Lights and Taranaki Festival of the Arts.
• AmeriCARna economic impact assessment – The three-day 2007
professional throughout the process, and
AmeriCARna festival boosted the Taranaki economy by $2.35m, 16 fulltime jobs and $400,000 in disposable income, according to an economic impact report released in July. More than 500 American car enthusiasts descended on the region in February, with media coverage ensuring a national spotlight on the region over the entire week.
the resulting proposal is a very good mix of functionality and practicality, and will satisfy all potential users. With a positive 2006 BERL economic impact assessment, and with the public consultation nearly complete,
WESTERN NORTH ISLAND INTERNATIONAL MARKETING ALLIANCE
I am very confident that we will see a development in the future.
MARKETING AND ADVERTISING
“Whilst there is a little way to go before the
The marketing and advertising of Taranaki and its various events was ongoing during the year, and included major advertisements in New Zealand Outside, NZ Geographic, Weekend Gardener and BMW Magazine. Other publications used during the 2006/07 period included the Taranaki Daily News, NZ Outside Snow and Symmetry (the Subaru magazine). Venture Taranaki also assisted with pre-Taranaki Festival of the Arts television advertising, TSB Festival of Lights bus advertising, and local adverts for the New Plymouth to Mooloolaba Short-Handed Solo Tasman Yacht Race.
various stakeholders finally commit to this development, it will be a fine asset for the region when completed.” Alan Melody Progressive Foodstuffs
The International Marketing Alliance (IMA) initiative of Tourism New Zealand took a major step forward during the year, with the first trade mission to the United Kingdom in November 2006. A total of 14 key wholesalers specialising in New Zealand met with Western North Island IMA during the trip, and were educated on the changing needs of the UK market, updated on regional product and our unique selling points. This was followed by an audit of the wholesalers’ brochures and websites, with recommendations made for inclusion in the marketing collateral. Other WNI activity included the creation of a WNI brochure and website, a joint pre and post-TRENZ itinerary which three delegates took part in, attendance at Kiwilink and the inbound operator/regional tourism organisers’ day. The Western North Island group was also recognised as the best functioning IMA by Tourism New Zealand’s international media programme staff at a recent conference.
28 Venture Taranaki Annual Review 2007
Wendy Turner As part-time administrative assistant, Wendy provides valuable back-up support for all VT teams, and also tackles projects where necessary.
Meet the Team
Meet the Team
New Plymouth
Kathryn Calvert As communications manager, Kathryn offers support to all sectors within VT by producing news releases, copy for brochures, other publications and the website, as well as monitoring and hosting national and international media, providing information for journalists, producing the annual report and ensuring Taranaki is foremost in the media.
Venture Taranaki Annual Review 2007
Highlights 06/07
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Highlights 06/07
GOVERNANCE PROJECT
FAMILIARISATIONS AND MEDIA HOSTING
A new free website service dedicated to increasing the availability of governance expertise in Taranaki is expected to attract top candidates from around the region. The website – www.taranakigovernance.co.nz – has been developed by VT over the year, and offers a nomination service where potential candidates for non-executive governance roles can register, plus a database of organisations wanting governance experts. Available to all private sector and communityoriented Taranaki organisations, the service will target all levels of enterprise from charitable, Maori or community trusts through to Maori incorporations, private sector and not-for-profit organisations. VT will provide candidates to organisations seeking governance expertise, based on identifying the appropriate attributes of suitable candidates. The website will also include a central information hub or library, stocked with resources, information on governance services available in New Zealand, and links to useful websites and organisations with governance expertise.
Interest in the region was extremely high during the2006/07 year, kickstarted by a VT-sponsored visit from Tourism New Zealand’s International Media Programme team in July 2006. Despite the atrocious weather, the team had a great time touring the region, taking part in tourism operator activities and enjoying Taranaki’s top cuisine. ‘The region enjoyed a number of major articles and programmes, including strong interest in events and news stories from TVNZ and TV3. The BBC visited in December to film Te Kainga Marire and the Forgotten World Highway 43 for a new ‘Around the World in 80 Gardens’ television series, Tetsuwan Dash from Japan dropped from a Normanby dam in front of hundreds of thousands of viewers, and the Sydney Morning Herald’s website sent its head travel blogger for a taste of Taranaki in February. Sunday Star-Times completed a ’36 Hours in Taranaki’ story on WOMAD in March, American travel website GoNomad also visited in March, and Venture Taranaki hosted the Sunshine Coast Newspaper group as part of the solo trans-Tasman yacht race from New Plymouth to Mooloolaba in April.
MARKETING COLLATERAL Several larger projects were completed by Venture Taranaki during the year, such as the refreshes of both the Forgotten World Highway 43 and Surf Highway 45 brochures. Staff also oversaw the creation of a Western North Island marketing alliance brochure, website and product offering guide (for United Kingdom wholesalers), as well as a Taranaki Convention Bureau prospectus. Folders incorporating the Taranaki regional branding were also produced, along with reprinting of the ‘things to do’ tear-off sheets.
PORT TARANAKI EASTERN HARBOUR DEVELOPMENT PROJECT
EXPORTAR
Venture Taranaki and Port Taranaki publicly unveiled draft plans in May for a $28.8 million Port Taranaki Eastern Harbour Development that boasted a 114-berth marina for commercial, recreational and port usage. The proposal, supported by an economic impact study commissioned from Business and Economic Research Ltd, was dependent upon the port’s future redevelopment, but was projected to conservatively add $13.8 million to regional GDP and provide 158 new full-time jobs in its first year. Work needed to complete the facility included dredging, building a fixed breakwater and two floating breakwaters, reclamation of land and the provision of more than 100 new carparks.
Launched late in 2006, ExporTar provides a cohesive approach to delivering value to Taranaki exporters. Knitting together the services and information available in the marketplace into one central point, and making these accessible inside of Taranaki – while also introducing new services – ExporTar combines events, capability-building and support services for the betterment of the exporting community. Since inception, ExporTar has collated 289 contacts on its database, with two presentations given so far – 65 people attended the launch presentation in November, and 60 attended a luncheon presentation earlier this year that featured addresses by two wellknown business leaders and a presentation by the Foundation for Research Science and Technology.
Venture Taranaki board trustees check out alternative energy ideas at an Eco Innovations’ travelling roadshow.
Peter Avery As film commissioner for the Taranaki region, Peter advises local and incoming film-makers on location scouting, infrastructural information, developing local resources, permitting, financing and generally making the Taranaki region a film-friendly environment to work in.
30 Venture Taranaki Annual Review 2007
“The Venture Taranaki tourism team has been active over the past 12 months, working towards increasing visitor numbers to the region and promoting Taranaki to both domestic and international markets. “They have worked alongside individual tourism operators including Tairoa Lodge & Cottage. We are a South Taranaki-based tourism operator providing boutique accommodation in an 1875 Victorian villa and a venue for private functions. “Paul Stancliffe and his team are always very ‘available’ to discuss individual issues and have provided advice and expertise pertaining to our business, in terms of operating efficiencies and growth. There has been opportunity to attend tourism workshops, host famils and access to tourism trends and information.”
Meet the Team
Meet the Team
Three NZTE ExporTar education programme workshops have been attended by 32 people from 29 companies, with the next event scheduled in October. A bench-marking trip to successful exporters in other regions is also a possibility in the next year.
Venture Taranaki Annual Review 2007
Highlights 06/07
Clare Rose As project manager of the Taranaki Convention Bureau, Clare has been directly involved with its launch and recruitment of members. She is also the co-ordinator of the Taranaki agency for Business Mentors New Zealand, successfully assisting 61 clients to find mentors in the Taranaki area during the year.
Linda Morrison Owner/operator Tairoa Lodge & Cottage
33
TARGET KEY PERFORMANCE INDICATOR
ACTUAL ACHIEVEMENT 2006/2007
ECONOMIC DEVELOPMENT ACTIVITY
TARGET KEY PERFORMANCE INDICATOR
ACTUAL ACHIEVEMENT 2006/2007
GROW EXISTING BUSINESS BUSINESS ADVISORY SERVICE
FOSTER INTERNATIONALLY COMPETITIVE COMMUNITIES YOUNG ENTERPRISE SCHEME • Participation of 20 teams • Sponsorship of Education Taranaki to deliver YES programme to the standards determined by the Enterprise New Zealand Trust ENTERPRISE TRAINING PROGRAMME (ETP) • To increase the capability of regional business through a coordinated training and development programme as per NZTE contract • 80% satisfaction by attendees
Achieved. 23 teams participating
Achieved
• 500 client enquiries assisted
1251 client enquiries assisted
• Survey of client satisfaction
Completed with greater than 80% satisfaction achieved
• Facilitation of at least $500,000 worth of approved grants to high growth Taranaki companies
Achieved with $1,165,917 worth of grants approved
Achieved. 78 ETP workshops delivered across the region Achieved
BUSINESS MENTORING • 60 mentor matches • Independent survey by BMNZ (Business Mentoring New Zealand) indicates above average performance in relation to service quality
Progressing
» Maintain and grow VTT regional jobs website
Achieved with 382 registered employers
» Review the Learning and Development network for sustainability for 2007/2008
Achieved. 42 providers registered.
» Maintain and grow the L&D website subject to the review of the network
Achieved
Ongoing. Feasibility study on collaborative solutions to skill shortages undertaken for several of the larger food industry organisations VT part of working party to address aging labour market in the oil & gas industry
FACILITATE BUSINESS START-UPS BUSINESS INVESTMENT • Assist sustainable wealth creating businesses with significant growth potential to establish in the region
61 matches achieved Achieved
NON EXECUTIVE DIRECTOR INITIATIVE To ensure regional businesses have access to skilled governance resources through: • Establishment of a database of potential directors and companies/trusts
Comprehensive website established and launched
• Facilitation of a governance training programme
Achieved
• Provision of a central one stop shop for information about governance
Achieved
REGIONAL INTELLIGENCE AND COMUNICATIONS • Taranaki Trends produced at least three monthly
Achieved. 2 full and 2 interim reports
• Business surveys produced at least six monthly
Achieved
• E news sent to VTT customers at least six times per year
Achieved
• Website – maintained and updated every two weeks
Achieved
• Project research undertaken as defined by VTT
Research undertaken allocated to specific project budgets
PROMOTE NATIONALLY COMPETITIVE, HIGH GROWTH BUSINESS SECTORS
» Five clients assisted
8 assisted.
» One business start-up
2 business start ups
» Post contact satisfaction
Achieved.
Provided
» Provide 20 clinics per year for start-ups
52 provided
» Referral to commercial provider
Achieved
32 Venture Taranaki Annual Review 2007
• Maintenance of business tool kits
BUSINESS GRANTS SERVICE
» Facilitation of scholarships for 5 regional executives to attend INSEAD (International Executive Management Training Programme)
BUSINESS START-UPS • Provide an initial client assessment service including draft business plan completion where appropriate
Achieved
Achieved
FILLING THE SKILL GAPS • Identification of skill gaps in the regional economy and development of initiatives in conjunction with training providers and others to address these gaps
REGIONAL SKILLS SURVEY • Undertake market research to identify future regional skill requirements
• Provision of ‘business advisory’ help service
FILM OFFICE • Provision of film unit to proactively seek and respond to prospective film location opportunities • Oversee and promote the Taranaki Film Commission Fund as an equity investment
OIL/GAS TECHNOLOGIES CLUSTER • Provision of facilitation services to assist implementation of KPIs in cluster business plan • Market intelligence report to strengthen local collaboration
Provided Provided. Three applications to the film fund received
Provided Completed
Venture Taranaki Annual Review 2007
Key Performance Indicators
35 ACTUAL ACHIEVEMENT 2006/2007
REGIONAL TOURISM CONTRACT
PROMOTE NATIONALLY COMPETITIVE, HIGH GROWTH BUSINESS SECTORS
SUSTAINABLE PRACTICES AND RELATIONSHIPS WITH THE LOCAL COMMUNITY
HIGH GROWTH BUSINESS SUPPORT • Targeted, customised assistance to 20 medium-high growth and selected ‘star’ companies to maximise growth • Survey of client satisfaction – 80% satisfaction rate
ONE REGION Quantity At least 2 articles per month either locally or nationally celebrating tourism benefits and activities in Taranaki Quality The content of articles must be positive about regional tourism benefits and activities
MAORI BUSINESS DEVELOPMENT/RELATIONSHIP BUILDING • Attend Hui Taumata 2006 identify appropriate services for Maori enterprise • Continue with scholarship programme
INTERNATIONAL RELATIONSHIPS • Undertake one international trade project in partnership with local businesses to promote the region and discuss opportunities for trade, employment and regional development
Achieved Achieved – 96.2% satisfied or greater
Achieved Underway
Achieved. Attended Immigrate Expo 06 in London
PORT HINTERLAND RE-DEVELOPMENT • Port marina project progressed to business case and confidential briefing to key stakeholders, including NPDC and TRC undertaken • Study undertaken to measure the regional impact of Port operations
Achieved
PROACTIVE LEADERSHIP, COMMUNICATION & PLANNING PROACTIVE LEADERSHIP & COMMUNICATIONS Quantity Identif y at least ten key national tourism organisations Quality Establish and develop ongoing strategic working relationships
Achieved Achieved
ESTABLISH A NEW TOURISM ADVISORY GROUP (TAG)
MAJOR INTERVENTIONS REGIONAL GROWTH FUND • Submission provided to the TSB and TET Community Trust re the Regional Growth Fund • Subject to acceptance of above, launch to be undertaken by 1 March 2007
Achieved
Achieved Not undertaken as acceptance not forthcoming
Achieved. ‘Public Good’ assessment undertaken Completed
Quantity Identify 12 experienced people willing to participate in Tourism Advisory Group
Achieved
Quality Draw upon skill sets and networks from public/private, local/national and tourism/ wider industry bases
Achieved
ESTABLISH AN ONGOING PROGRAMME OF LOCAL TOURISM STAKEHOLDER MEETINGS Quantity Two stakeholder meetings per annum Quality Local tourism stakeholders remain fully informed of progress
Achieved Achieved
DEVELOPING THE RIGHT PRODUCTS FOR THE RIGHT MARKETS DEVELOPING DISTINCTIVE PRODUCTS
ENGINEERING – NICHE ENERGY TECHNOLOGY • Identify a niche energy technology compatible with Taranaki’s competitive advantages with commercial and/or environmental potential
HIGH IMPACT PROJECTS – NEW OPPORTUNITY RESPONSE CAPACITY • To identify 3 significant projects offering regional benefits
Quantity Encourage 5 operators per annum to achieve a Qualmark grading Energy conservation project (EnviroPower) underway with Inglewood High School in partnership with the Ministry of the Environment
Quality Achieve Qualmark accreditation
5 identified Achieved
• Facilitate programme/forum for exporters community
Ongoing
Quantity Two annual surveys (one visitor satisfaction etc, one residents’ attitudes etc) Quality Create measurement benchmarks
BUILD REGIONAL BRAND RECOGNITION
EVENTS • To attract /retain three significant events
Achieved. 45 tourism providers in the region have achieved Qualmark accreditation
ATTRACTING THE IDEAL VISITORS
• Undertake one feasibility analysis of the above
DISTRICT MARKETING • Implementation of a targeted product development and promotional strategy run to the satisfaction of the Council
Achieved
Implemented
Achieved VFR (Visit Friends and Family) research commenced monthly Achieved Economic impact surveys: PIHMS Visitor Satisfaction Survey NRB Residence Survey AmeriCARna Economic Impact Assessment
REDEVELOPMENT OF THE TARANAKI BRAND Quality Brand reflects regional aspirations and positioning
Achieved.
ENSURE VTT BUILDS A STRONG RELATIONSHIP WITH TNZ Achieved. 8 events attracted/retained
• To increase by 2000 bed nights external visitors to the region
Achieved
• Events are timely and appropriate
Achieved
Quantity At least 5 meetings per annum with key TNZ managers
Achieved
Quality Strong working relationship developed and maintained
Achieved
PROVIDE AN ONGOING COMMUNICATIONS FUNCTION Quantity Taranaki articles appear at least four times per annum Quality Key regional branding themes and range of “things to see and do” are articulated
34 Venture Taranaki Annual Review 2007
Achieved. Wide variety of articles appeared in a range of publications Achieved
Venture Taranaki Annual Review 2007
TARGET KEY PERFORMANCE INDICATOR
37 Quantity Four TLA plus VTT publications and advertisements (e.g. TVC) carry distinctive Taranaki brand Quality Publications and presentations reflect prominent and clearly articulated Taranaki brand
Achieved. All Councils are using the regional brand.
Audit Report
Achieved
UPDATE THE IMAGE, FILM AND SUGGESTED ITINERARY LIBRARIES Quantity At least 10 icon images and numerous (up to 100) supporting images are available to promotional agencies. Develop wider range of film images
Achieved. ‘Hero’ shots compiled as defined by the Taranaki brand
Quality Quality reflects technological advancement in image capture and production
Achieved. Wide range of film footage available in a high resolution format.
INVOLVING MAORI IN TOURISM MAORI REGIONAL TOURISM ORGANISATION Quantity One database of Maori businesses Quality Accurate and up to date
Achieved Achieved
• The financial statements of the Trust and group on pages 38 to 45:
DOMESTIC MARKETING Quantity Establish convention bureau and attend at least one MICE event (e.g. Meetings 2005) per annum
Convention Bureau launched May 07. Attended Meetings 07
Quality Enhanced local coordination of MICE promotion
Underway
INTERNATIONAL MARKETING
Quality Key travel motivations closely match Taranaki’s key themes and products
Achieved. Themes dovetail with Tourism New Zealand’s “Interactive Traveller” strategy. Achieved
SEASONALITY AND EVENTS SEASONALITY AND EVENTS Quantity Events calendar is produced and updated regularly Quality Events awareness and local industry coordination is enhanced
working and can be relied The Auditor-General is the auditor of Venture Taranaki Trust (the Trust) and group. The Auditor-General has appointed me, JR Smaill, on to produce complete using the staff and resources of Audit New Zealand, to carry out the and accurate data; audit of the financial statements and performance information of • verifying samples the Trust and group, on his behalf, for the year ended 30 June 2007. of transactions and account balances; which incorporate the New Unqualified opinion In our opinion:
DOMESTIC AND INTERNATIONAL MARKETING
Quantity Identify the range and scope of key travel motivations that can match interactive travellers with Taranaki’s key themes & products
TO THE READERS OF THE VENTURE TARANAKI TRUST AND GROUP’S FINANCIAL STATEMENTS AND PERFORMANCE INFORMATION FOR THE YEAR ENDED 30 JUNE 2007
Achieved. Events information is available via www.taranaki.co.nz and Taranaki Talk, VT’s e-newsletter. Achieved
DISTRIBUTION OF INFORMATION
° comply with generally accepted accounting practice in New Zealand; and ° fairly reflect: · The Trust and group’s financial position as at 30 June 2007; and · The results of operations and cash flows for the year ended on that date. • The performance information of the Trust and group on page 46 fairly reflects the achievements measured against the performance targets adopted for the year ended 30 June 2007.
Zealand Auditing Standards. We planned and performed the audit to obtain all the information and explanations we considered necessary in order to obtain reasonable assurance that the financial statements and performance information did not have material misstatements, whether caused by fraud or error. Material misstatements are differences or omissions of amounts and disclosures that would affect a reader’s overall understanding of the financial statements and performance information. If we had found material misstatements that were not corrected, we would have referred to them in our opinion.
DISTRIBUTION OF INFORMATION Quantity 20,000 motivational and 110,000 visitor guides produced Quality High standard of technical production and distribution
Ongoing (yearly) Ongoing (yearly)
UPGRADE THE OFFICIAL WEBSITE OF TARANAKI TO REFLECT THE NEW THEMES OF THE REGION Quantity New website developed Quality High technical standard and range of functionality
36 Venture Taranaki Annual Review 2007
Achieved Achieved. Stats on www.taranaki.co.nz show that the site averaged between 185 and 200 unique user sessions each day between January – March
The audit was completed on 12 September 2007, and is the date at which our opinion is expressed. The basis of our opinion is explained below. In addition, we outline the responsibilities of the Board and the Auditor, and explain our independence.
The audit involved performing procedures to test the information presented in the financial statements and performance information. We assessed the results of those procedures in forming our opinion.
Basis of opinion
Audit procedures generally include:
We carried out the audit in accordance with the AuditorGeneral’s Auditing Standards,
• determining whether significant financial and management controls are
• performing analyses to identify anomalies in the reported data; • reviewing significant estimates and judgements made by the Board; • confirming yearend balances; • determining whether accounting policies are appropriate and consistently applied; and • determining whether all required disclosures are adequate. We did not examine every transaction, nor do we guarantee complete accuracy of the financial statements and performance information. We evaluated the overall adequacy of the presentation of information in the financial statements and performance information. We obtained all the information and explanations we required to support our opinion above.
financial statements must fairly reflect the financial position of the Board and group as at 30 June 2007. They must also fairly reflect the results of operations and cash flows for the year ended on that date. The Board is also responsible for preparing performance information that fairly reflects service performance achievements for the year ended 30 June 2007. The Board responsibilities arise from the Local Government Act 2002. We are responsible for expressing an independent opinion on the financial statements and performance information and reporting that opinion to you. This responsibility arises from section 15 of the Public Audit Act 2001 and section 69 of the Local Government Act 2002. Independence When carrying out the audit we followed the independence requirements of the Auditor-General, which incorporate the independence requirements of the Institute of Chartered Accountants of New Zealand. Other than the audit, we have no relationship with or interests in the Trust or any of its subsidiaries.
Responsibilities of the Board and the Auditor The Board is responsible for preparing financial statements in accordance with generally accepted accounting practice in New Zealand. Those
JR Smaill Audit New Zealand On behalf of the Auditor-General Wellington, New Zealand
Venture Taranaki Annual Review 2007
PROMOTE THE TARANAKI IDENTITY PROMINENTLY
39 Venture Taranaki Trust & Group Statement of Financial Performance For the year ended 30 June 2007
2007 $ 3,566,261 56,271 84,331 1,193 3,708,056
2006 $ 2,856,615 218,033 26,217 3,100,865
23,400 10,000 293 109,641 164,828 1,862,711 138,435 916,034 84,126 388,833 3,698,301
21,548 73,309 76 344,881 1,005,974 132,000 1,050,960 81,157 377,337 3,087,242
9,755
13,623
For the year ended 30 June 2007
2007 $
2006 $
Net surplus/(deficit) for the year Total recognised revenue and expenses
9,755 9,755
13,623 13,623
332,158
318,535
341,913
332,158
Grant revenue Other revenue Interest Gain on disposal of assets
For the year ended 30 June 2007 The Board of Trustees present their Annual Report including financial statements of the Trust for the year ended 30 June 2007. The business of the Trust is facilitating economic development in Taranaki. The nature of the Trust’s business has not changed during the year under review. For and on behalf of the Trustees
Chairman Venture Taranaki Trust & Group Statement of Financial Position As at 30 June 2007
Note
2007 $
2006 $
777,762 85,920 33,411 89,980 987,073
541,215 120,553 10,645 22,738 695,151
Audit fees Audit fees - IFRS Bad debts Depreciation Loss on disposal of assets Marketing Professional fees and subcontractors Rental and operating lease expenses Salaries and wages Trustees fees Other operating expenses
Current Assets Cash & cash equivalents Accounts receivable Other current assets GST receivable Total Current Assets
Net surplus/(deficit)
Statement of Movements in Equity
Non Current Assets Property plant & equipment Total Non Current Assets
2
Total Assets
80,527 80,527
149,183 149,183
1,067,600
844,334
Equity at 30 June 2007
Current Liabilities Accounts payable & miscellaneous accruals Employee benefit liabilities Deferred grant Total Current Liabilities
8
651,218 64,469 10,000 725,687
392,068 42,775 77,333 512,176
341,913
332,158
1,067,600
844,334
Equity Trust equity Total Liabilities & Equity
These financial statements were authorised for issue by the Trustees on 12 September 2007 by Chairman
Trustee
The accompanying notes form part of these financial statements
38 Venture Taranaki Annual Review 2007
Equity at 1 July 2006
The accompanying notes form part of these financial statements.
Venture Taranaki Annual Review 2007
Venture Taranaki Trust & Group Trustees’ Review
41
For the year ended 30 June 2007
Note
Cash Flows from Operating Activities Cash was provided from: Interest Grants and other income Cash was applied to: Operating expenses Net GST movement
Net cash from operating activities Cash Flows from Investing Activities Cash was provided from: Asset sales
10
11
2007 $
2006 $
84,331 3,564,409 3,648,740
26,217 3,138,244 3,164,461
3,337,801 34,600 3,372,401
3,061,605 (14,134) 3,047,471
276,339
116,990
Venture Taranaki Trust & Group Notes to the Financial Statements For the year ended 30 June 2007 1.
Statement of Accounting Policies Reporting Entity Venture Taranaki Trust is controlled by the New Plymouth District Council and is a Council Controlled Organisation as defined in Part 1 Section 6 of the Local Government Act 2002, and a Charitable Trust incorporated in New Zealand under a Trust Deed dated 27 May 1998 and is domiciled in New Zealand. The Trust commenced operations on 1 July 1998. Financial Statements
1,193 1,193
150 150
for the “Group� are the economic entity comprising Venture Taranaki Trust and Taranaki Pure Limited. Taranaki Pure Limited is a non trading subsidiary that has no assets or liabilities. Accordingly, the amounts presented in the financial statements are those for both the parent and the group. Under Section 7 of the Local Government Act Taranaki Pure Limited has been granted an
Cash was applied to: Asset purchases Net cash from investing activities
40,985
114,461
(39,792)
(114,311)
exemption from being a Council Controlled Organisation. Basis of Preparation The financial statements are a general purpose report which have been prepared in accordance with generally accepted
Cash Flows from Financing Activities Net cash from financing activities
accounting practice in New Zealand as required by clause 7.1 (4) of the Trust Deed. The financial statements comply with New -
-
Zealand equivalents to the International Financial Reporting Standards (IFRS) and other applicable financial reporting standards as appropriate to public benefit entities that qualify and apply differential reporting exemptions. The primary objective of the Trust is facilitating economic development in Taranaki, rather than making a financial return. Accordingly, the Trust has designated itself
Net increase (decrease) in cash held Cash and cash equivalents at the beginning of the year
236,547 541,215
2,679 538,536
a public benefit entity for the purposes of New Zealand Equivalents to International Financial Reporting Standards (NZ IFRS).
Cash and cash equivalents at the end of the year
777,762
541,215
IFRS Statement
The accompanying notes form part of these financial statements.
This is the first set of financial statements prepared using NZ IFRS. There has been no change to the Trust’s previously reported financial position, financial performance or cashflows. The accounting policies set out below have been applied consistently to all periods presented in these financial statements and in preparing an opening NZ IFRS statement of financial position as at 1 July 2005. Currency The financial statements are presented in New Zealand dollars and all values are rounded to the nearest dollar. The functional currency of the Trust is New Zealand dollars. Measurement Base The accounting principles recognised as appropriate for the measurement and reporting of financial performance and financial position on a historical cost basis are followed by the Trust.
40 Venture Taranaki Annual Review 2007
Venture Taranaki Annual Review 2007
Venture Taranaki Trust & Group Statement of Cash Flows
43 Venture Taranaki Trust & Group Notes to the Financial Statements (Continued) For the year ended 30 June 2007
2. Property Plant and Equipment Specific Accounting Policies
2007
Cost
Current
Accumulated
Book Value
Year Depn
Depn
2007
100,691
29,079
100,691
76,703
784
72,315
The following specific accounting policies which materially affect the measurement of financial performance and financial position have been applied.
Leasehold alterations
•
Cash and cash equivalents include cash on hand and deposits held at call with banks and other short term highly liquid investments
Fixtures and fittings
with original maturities of three months or less.
Office equipment
257,456
57,849
234,717
22,739
Other fixed assets
36,864
8,603
24,184
12,680
•
Accounts receivable are initially measured at fair value and subsequently at fair value less any provision for impairment.
•
Accounts payable are stated at cost.
•
Property, plant and equipment are stated at cost less accumulated depreciation. Depreciation is provided on a straight line basis
•
66,633 $
at rates calculated to allocate the assets cost less estimated residual value, over the estimated useful life of the asset. •
Motor vehicles
2006
13,326
538,347
$
Cost
Major depreciation periods are:
4,388
25,913
109,641
$
40,720
457,820
$
80,527
Current
Accumulated
Book Value
Year Depn
Depn
2006
Furniture and fittings
10 years Leasehold alterations
71,612
Office equipment
3-5 years
Fixtures and fittings
85,433
785
80,261
5,172
Motor vehicles
3 years
Office equipment
252,097
54,325
182,033
70,064
Other fixed assets
35,482
5,613
15,581
19,901
IS equipment
4-10 years
IS software significant systems
5 years
Motor vehicles
-
66,633 $
511,257
71,612
12,586 $
73,309
-
12,587 $
362,074
54,046 $
149,183
Statement of Cashflows Cash means cash balances on hand, held in bank accounts, demand deposits and other highly liquid investments in which the
3. Taxation
Trust invests as part of its day-to-day cash management.
The Trust has been granted charitable status under KC5 and CB(1) of the Income Tax Act 1994. The Trust will be exempt from income tax
Operating activities include cash received from all income and records the cash payment made for the supply of goods and
on income providing that such income is applied for the charitable purposes as set out in the Trust Deed.
services. Investing activities are those activities relating to the acquisition and disposal of non-current assets. Financing activities comprise the change in equity and debt capital structure of the Trust. •
Operating lease payments, where the lessors effectively retain substantially all the risks and rewards incidental to ownership of the leased items, are recognised as an expense. They are included in the determination of the operating surplus in equal instalments over the lease term.
•
Goods and Services Tax (GST) The financial statements have been prepared on a GST exclusive basis, with the exception of receivables and payables whose invoices include GST.
•
Lease commitments under non-cancelable operating leases for motor vehicles excluding GST are:
2007 $
2006 $
Not later than one year Later than one year and not later than five years Later than five years
3,732 3,732
7,464 11,617 19,081
Government grants are recognised as income when the conditions of entitlement have been met. Government grants are received from central and local government for tourism, events and economic services.
•
4. Operating Lease Commitments
The Trust qualifies for differential reporting as it is not publicly accountable and it is not large as defined in the framework for differential reporting. The Trust has taken advantage of all available differential reporting exemptions except that a Statement of Cash Flows has been prepared in accordance with NZ IAS-7.
42 Venture Taranaki Annual Review 2007
Venture Taranaki Annual Review 2007
Venture Taranaki Trust & Group Notes to the Financial Statements (Continued) For the year ended 30 June 2007
45 Venture Taranaki Trust & Group Notes to the Financial Statements (Continued) For the year ended 30 June 2007
5. Related Party Transactions During the normal course of business the Trust purchased and supplied goods and services from and to the following related parties: 2007 2006 $ $
6. Subsidiary On 23 October 1998 the Trust incorporated Taranaki Pure Limited (formerly Bizlink Taranaki Limited) through the subscription of $1 for 100 ordinary shares. This company was incorporated solely for the purpose of retaining the name and has not traded. The cost of the $1 investment was written off in the year ended 30 June 2000. Taranaki Pure Limited has been granted an exemption from being a Council Controlled Organisation under
Engineering Taranaki Incorporated. Roy Weaver is the Chairman. Services provided to Services provided by Amounts receivable from Amounts owing to
Section 7 of the Local Government Act. 40,715 3,235 300
29,828 342,094 -
7. Contingent Liabilities There are no contingent liabilities at balance date. (2006 : The Trust has an unresolved personal grievance claim against it as at 30th June 2006. Whilst the Trust is confident of a successful outcome at arbitration, in the event the claim was proven, the sum involved would not be material.)
Port Taranaki Limited. Roy Weaver is the Chief Executive and John Young is the Chairman. Services provided to Services provided by Amounts owing to New Plymouth District Council. The Trust is a Council Controlled Organisation. Services provided to Services provided by Amounts receivable from The Boardroom Practice Limited. Janine Smith is a Director Services provided by Western Institute of Technology at Taranaki. John Young is a Councillor. (Resigned December 31, 2006) Services provided to Services provided by
8. Employee Entitlements 20,059 39,532 482
2,969,725 64,388 -
39,233
16,867 11,907 482
2,154,731 3,283 2,269
2007 $
2006 $
Balance at beginning of year Additional provision made Amount utilised
42,775 67,527 (45,833)
56,619 11,973 (25,817)
Balance at end of year
64,469
42,775
Current Non-current
64,469 64,469
42,775 42,775
7,988
Employee entitlements relate to employee benefits such as accrued annual leave. The provision is affected by a number of estimates, including the 1,000 -
1,800 145,756
timing of benefits taken. All employee entitlement is expected to be consumed during the year.
9. Events Post Balance Date EMA Central. Paul Winter is a Director. Services provided by Amounts owing to
The Trust will relocate to new offices on or around 30 September 2007. 118 70
10. Cash Flow
Govett Brewster. Owned by Trust Settlor, New Plymouth District Council. Services provided to All transactions were carried out on normal commercial terms.
The net GST component of operating activities reflects the net GST paid and received with the Inland Revenue Department. The net GST component 1,654
-
has been presented on a net basis, as the gross amounts do not provide meaningful information for financial statement purposes. 11. Reconciliation of Net Surplus with Net Cash Flow from Operating Activities
Net (deficit) surplus after tax Add (less) non-cash items: Add depreciation (Profit) loss on disposal
Movements in working capital: Decrease (increase) in accounts receivable Increase (decrease) in payables
44 Venture Taranaki Annual Review 2007
2007 $
2006 $
9,755
13,623
109,641 (1,193) 118,203
73,309 (150) 86,782
(55,375) 213,511 276,339
185,462 (155,254) 116,990
Venture Taranaki Annual Review 2007
Venture Taranaki Trust & Group Notes to the Financial Statements (Continued) For the year ended 30 June 2007
47 Board of Trustees % of people who think Taranaki is a vibrant place to live / visit (community and visit or survey)
Trustee:
Achieved ExporTar programme for exporters. Port redevelopment study.
Not Achieved $250,000 into Taranaki film ventures. $47,000 into 3 Peaks Walkway $30,000 Short Sea shipping
Achieved World series Triathlon & AmeriCARna.
Achieved Actual $522,000
Not Achieved Actual 4% increase compared with national average 4.7%.
Achieved Actual 2.02 days compared with national average 1.88 days.
Not Achieved Actual 5.6% against target of 10% and national average of 2.2%
Identity at least two projects with hi impact potential and undertake feasibility studies.
Invest $500,000 p.a. in a contestable fund programme for new ventures
Attract 2 significant events resulting in > 2000 bed nights
Invest $500,000 in tourism development and regional promotion
Achieve visitor growth above national average
Achieve length of visitor stay above national average
Achieve international visitor growth of >10% p.a.
4.
5.
9.
10.
Tourism & Events
Hi Impact interventions
Kiwi Co-operative Dairies Ltd Auroam Ltd Lactanz WA Port Taranaki Ltd Fulford Radiology PKW Farms Ltd Taranaki District Health Board Taranaki Veterinary Centre Patea Veterinary Club
Rhys Greensill (resigned from board February 07) Executive Director: True Wines Ltd Director Kiwi Finance Ltd Mortgage Link (Taranaki) Ltd Agenz Ltd TenderLink.com Ltd Ex CEO and Regional Head: Jaakko Poyry Consulting (Asia-Pacific) Sir Paul Reeves Chancellor: Director: Chairman: Convenor: Trustee: Negotiator: Member: Neil Mackay Managing Director: Director: Ex-Chief Executive: Ex-Managing Director:
Auckland University of Technology Village at the Park Tuhono Maori Trust Hui Taumata Taskforce Wellington Tenths Trust Port Nicholson Block Claim Waitangi Tribunal
Janine Smith Director:
Chair: Advisory Board: Ex Chief Executive: Ex Director/Chair:
Roy Weaver Chief Executive: Chairman:
Trustee: Director: Paul Winter Chief Executive: Ex-Chief Executive:
Bank of New Zealand The Warehouse Group Ltd Kordia Group Ltd The Boardroom Practice Ltd The Academic Coaching School Ltd Consultants Oceania Ltd McLarens Young New Zealand Ltd University of Auckland Graduate Business School Arnotts Biscuits New Zealand Ltd Airways Corporation Ltd Custom Fleet New Zealand Ltd Auckland Philharmonia Orchestra
Port Taranaki Ltd Engineering Taranaki Consortium CApENZ Advisory Board West Coast Coal Company Ltd NZ Harbours Superannuation Trust Greyport Terminal Ltd
Employers & Manufacturers Assoc. – Central New Zealand Tourism Board
Greenchip Thrifty Car Rental Ltd Say Systems Ltd Musacus Global Industry New Zealand Budget Rent-A-Car New Zealand
Venture Taranaki Trust & Group Trust Directory For the year ended 30 June 2007 Nature of Business
Facilitating economic development in Taranaki
Business Office
41 Molesworth Street New Plymouth
Trustees CELEBRATE Celebrate business success
Facilitate, promote, encourage and invest in sustainable business growth, investment and employment opportunities in Taranaki. Maintain ongoing client relationship with emerging and existing high growth companies.
FACILITATE & SUPPORT BUSINESS
8.
Achieved Energy conservation & renewable energy generation project Inglewood High School. Support one social and/or environmental initiative p.a. 3.
7.
Achieved Updated and enhanced web portal. Maintain Taranaki web portal www. taranaki.info including subsidiary sites www.taranaki.co.nz and www. taranakijobsnz.com 2.
Enabling & Foundation services LEADERSHIP Provide leadership and support for the development and implementation of local, regional and national strategies for the creation of a vibrant and buoyant regional economy
46 Venture Taranaki Annual Review 2007
6.
Achieved $1.1 million grants approved.
Vibrant
Prosperous
# people participating in continuing education or training
Director:
Inject $500,000 of crown grants into the regional economy
Skilled
Regional GST Economic activity (NBNZ Trends rpt) Employment rate Unemployment rate Business confidence Net business growth; # businesses; FTEs Prosperous
John Young (Chairman) Former Chairman: Chairman:
1.
and
Future Taranaki Facilitation Group Regional Outcomes NPDC Themes Trust Objectives (Ex 2006/7 SOI document)
VTT Interventions (Outputs)
Performance Targets and Measurements
2006/7 Outcomes
Performance Targets and Other Measures by Which the Performance May be Judged in Relation to its Objectives
John Young (Chairman) Paul Winter Roy Weaver Janine Smith Sir Paul Reeves Neil MacKay (Resigned 2007) Rhys Greensill (Resigned 2007)
Auditors
Audit New Zealand Wellington On behalf of the Auditor-General
Accountants
Staples Rodway Taranaki Ltd New Plymouth
Bankers
TSB Bank New Plymouth
Solicitors
Auld, Brewer, Mazengarb & McEwen New Plymouth
Venture Taranaki Annual Review 2007
Statement of Service Performance
41-43 Molesworth St, PO Box 670, New Plymouth, New Zealand Ph: (06) 759 5150 Fax: (06) 759 5154 Freephone: 0800 4 venture (0800 483 688) Email: exec@venture.org.nz Websites: www.taranaki.info www.taranakinz.org www.filmventuretaranaki.com
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