Organisationaltransformation

Mark GirardManaging Director, Client Advisory Division

Queensland Treasury

CorporationThe Government’s central

financing authority

§ Balance sheet management – ALM approach

§ Managing the State’s debt and providing the lowest cost of funds

§ Cash management facilities, including $9 billion Capital Guaranteed Cash Fund

§ Financial advisory services, tailored solutions to make fully informed business decisions

§ Education program, delivered in partnership with UQ Business School Executive Education

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QTC bond outstandings over timeManaging the State’s borrowing requirement for 30 years

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TOTAL AUD BOND OUTSTANDINGS OVER TIME

INVESTMENT IN STATE ASSETS§ Water infrastructure (drought)

§ Hospitals§ Electricity network upgrades

and extensions (including Kogan Creek power station)

§ Road network

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Future proofing our businesses for internal and external challenges.§ What we have learned about change§ What got us here will not get us there§ People fit for purpose§ Agile and flexible

Organisationaltransformation

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“Through increased strategic clarity we will deliver our core business and leverage our skills and abilities in new ways to effectively impact government outcomes:§ We will Repurpose§ We will Re-set toolkit§ We will Restructure§ We will Increase the impact of our efforts§ We will Increase our productivity”

CEO, Philip Noble

What got us here, will not get us there.

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Consider what you want to achieveRenovate or build?

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Harnessing engagementAnnual Leaders’ Summit

2014We are changing

our systems

2015We are changing

our structure

2016We are changing

our culture

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Old complexity

Spre

adsh

eets

Data store

In house systems

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New state – less complexity

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System upgrade processThree 6 month phases:

Map existing architecture and business

operating model to desired

future state

Vendor proposals and

evaluation

System implementation,

configuration, data migration,

testing

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QTC strategic workforce planning

Structure

Staff profile

Balance of front and back facing roles

Skills/capabilities

Culture

Where are we now?A

Structure

Staff profile

Balance of front and back facing roles

Skills/capabilities

Culture

Where do we want to be?B

Key levers/activities:§ Organisational design§ Change principles§ Selection principles§ Forecast key capability availability and gaps

Employee transition activities:§ Mentoring/personal brand/networking skills§ Interview skills/CV writing§ Technical retraining§ Retention incentives as appropriate§ Change leadership/resilience§ Financial planning

How do we get there?

Detail re: activities?

C

DFront

Back FrontBack

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Culture transformation

While creating a strong sense of: purpose, focus, recognition, support

FROM§ Inwardly focused§ Reactive§ Taking our reputation for granted§ Agnostic about efficiency§ A right to infinite appeal § Protection culture,

leading to energy atrophy

TO§ Outwardly focused§ Proactive§ Consciously managing the goodwill

of our business§ Ruthless about efficiency of process§ Effective decision making§ Creating discomfort, it produces growth

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§ Seize opportunity and unleash your organisation’s energy and potential

§ Re-purpose your organisation and re-set your tool kit

§ Set targets and back yourselves to achieve them

§ Structure your organisation so it is fit for (new) purpose

§ Increase productivity, the bandwidth of each employee, improve the impact of your efforts

§ Ratio - Back office vs. front office

How do you transform your

business?

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Employeeengagement

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Identifying areas of the State’s balance sheet where we can save money

STRATEGIC INITIATIVESFind savings to be

able to spend

PROCUREMENTBuying power of the

State for services

INVESTMENTS & FXWhole-of-State investment

and FX initiatives15

Client Advisory DivisionStrategy and operating model

CAPACITY BUILDINGCREATING CLIENT OUTCOMES

INDUSTRY PARTNERSALIGNED TO THE STATE OF QUEENSLAND

We optimise the operational and financial performance of clients by combining our whole-of-government insights with specialist skills and industry experience

We align our priorities with the State’s priorities

We embed teams in client businesses to grow both QTC and client capacity

We partner with management consultants for global best practice

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DEPARTMENT SPEND REVIEWS

CHANGE HAS ENABLED MORE STRATEGIC INITIATIVES

CORRECTIONS HEALTHHOUSINGPOLICE

Analyse spending:§ Identify controllable expenses§ Identify addressable costs

Find savings:§ Develop cost savings initiatives§ Develop cost avoidance initiatives

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Key takeaways

§ Better use technology to automate process§ Define your culture and build it§ Structure your organisation to be fit for purpose§ Strong buy in to organisational strategy§ Don’t overcomplicate – keep it simple§ Leaders to drive the change – need to set them

up for success§ Recognise, acknowledge and celebrate§ Surround yourself with energy givers not takers§ How many of you are doing, as opposed to

managing or leading

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