Part 10: Corporate services' consolidation and recruitment

10.1
In this Part, we discuss NZDF's progress in consolidating corporate services and increasing the numbers of corporate personnel.

NZDF centralised and consolidated its corporate services and increased the numbers of corporate personnel.

10.2
Before the Initiative:

• Headquarters NZDF was critically short of personnel to provide services such as personnel, finance, and legal services, and to manage the Offices of the Chief and Vice Chief of Defence Force; and
• the Air Force, Army, and Navy each had their own corporate services personnel managing contracts, facilities, payroll, and travel.

10.3
In total, NZDF estimated that 1300–1400 personnel might be needed to provide corporate services. At 30 September 2008, there were 1200 corporate services personnel.

10.4
NZDF had plans to consolidate the corporate services that were part of the Air Force, Army, and Navy into a new Joint Logistics and Support Organisation (JLSO). These plans were brought into the Initiative. Establishing JLSO would release more military staff for military duties and this was achieved. At 30 September 2008, JLSO had about 320 personnel – about 700 personnel provided these services before consolidation occurred.

10.5
There was an understanding that Headquarters NZDF's personnel numbers should increase early in the Initiative, so there would be better corporate support for the Air Force, Army, and Navy. This was achieved. At 30 September 2008, Headquarters NZDF had about 880 personnel – it had about 640 personnel before the Initiative.

10.6
NZDF has a continuing programme to evaluate the effectiveness and efficiency of corporate services. Each review can increase or decrease the number of personnel as needed. For example, during our audit:

• a review of Headquarters NZDF's personnel structures was in progress; and
• plans were under way for a review of the structure and delivery of education and training.

10.7
NZDF recognises that the number of personnel at Headquarters NZDF needs to increase further, and capability still needs to improve in areas such as asset management, financial management, military information, and intelligence.