Built Environment
Skills Strategy
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Built Environment Skills Strategy
Executive summary
The Building and Construction Sector Productivity
Partnership was established to address low
productivity in the sector.
This strategy is only the first step in leverging skills to
increase productivity in the sector. The implementation
of the strategy is crucial to its success.
The aim of the partnership is to raise sector
productivity by 20% by 2020.
The skills workstream has worked with stakeholders
to identify the responses that are likely to have a more
immediate and lasting impact than others. During
implementation these areas should be the focus of
initial work.
The Productivity Partnership consists of four
worksteams including one focused on skills. The
skills worksteam developed this strategy to outline
how skills can help transform the sector and identifies
concrete steps that can be taken to reach this goal.
This strategy focuses on skill utilisation, skills
development, deployment of skills and ensuring
workers have the right skills at the right times.
Together, these skill levers will help increase
productivity by ensuring work is done more efficiently
and safely, reducing staff turnover, increasing morale,
and reducing rework and fragmentation.
Through consulation industry stakeholders have
identified four areas that can be addressed to help
increase productivity:
›
Short-term skills challenge
›
Culture
›
Firms
›
Education and training (including Health
and safety)
Three of these areas have been further broken down
into 11 topics of focus that are addressed in detail
in this strategy. For each topic of focus a number of
possible responses are indentified.
Four priorities have been identified as being most
important to focus on first:
›
Getting it right the first time – addressing quality
issues and avoiding rework
›
Eliminating the down time – effectively managing
labour so it is better deployed and less time is
wasted
›
Working towards meaningful careers – developing
pathways into and through the industry so people
have careers rather than jobs
›
Multi-disciplinary team work – increasing
collaboration between firms, different parts of the
sector, and education providers
The workstream envisages that industry will take the
lead on implementing these actions in partnership with
government, the education sector, clients, and other
groups.
For more information visit:
www.buildingvalue.co.nz
Built Environment Skills Strategy
Vision for the sector
The Building and Construction sector in New Zealand
contributes about 4.3% to GDP and employs one in
every 12 New Zealanders in the workforce, or roughly
178,000 people.
Working towards this goal requires a sector that is
characterised by:
›
A more knowledgeable client base that has
better procurement skills
The sector is significant to our economy and the
social fabric of New Zealand but in recent years has
become characterised by declining productivity,
poor skill levels, mixed quality craftsmanship and
management, and poor accountability.
›
Vibrant firms capable of competing for projects
as well as cooperating in partnerships and
effective supply network relationships
›
Management in firms able to survive and grow
Research shows productivity, or output per hour
worked, in the sector is declining compared with
construction sectors in other countries and with
most other sectors of the New Zealand economy.
This poor performance has meant that the sector
has become a drag on economic growth and
performance.
through business cycles by effective business
planning
›
A flexible, safe and skilled workforce able
to adapt quickly to new technologies and
processes with significantly lower accident rates
›
A clear, effective and responsive regulatory
The Productivity Partnership is working to turn this
record around.
Its goal is to:
increase productivity in the sector by
20% by 2020.
To achieve this goal it is clear that
transformative change is needed.
environment
...which together provide whole-of-life value for
clients and end-users at a lower overall system cost.
This strategy outlines how skills can contribute to
this vision for the sector and identifies concrete steps
that can be taken to reach the goal of increasing
productivity by 20% by 2020.
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Built Environment Skills Strategy
The sector
The Built Environment sector includes a wide range of sub-sectors. The information below relates to
the sector as a whole and is included to give a high-level overview of the sector, but individual subsectors may differ.
About 1 in every 12 workers in the
New Zealand economy works in the
Built Environment sector. The number
of workers employed in the sector has
declined by 16% over the past four
years after increasing by around 70%
in the previous five years, peaking in
December 2006.
In 2010, economic activity in the sector
represented 4.3% of New Zealand’s
GDP. This is considerably smaller
than in other countries, with the Built
Environment sector representing 8%
of GDP in the UK, 9% of GDP in the
USA, and 7% of GDP in Australia.
The sector is characterised by very
small firms with 91% of firms having
five or fewer employees. The sector
also has a large proportion of sole
traders with 21% of workers being sole
traders compared to 12% of workers
across all industries in New Zealand.
Workers in the sector are less likely to
work part-time and more likely to work
very long hours than workers in other
New Zealand industries.
The Built Environment sector has had
the highest proportion of work- related
fatalities over the past six years out of
all New Zealand industry groups and
a higher than average number of nonfatal injuries over the same period.
The sector has workers with a wide
range of skill levels. While more than
35% of workers in the sector leave
school with no qualification and 25%
of workers in the sector have no
qualification of any kind, there are
also many highly skilled professionals
including architects, surveyors, and
engineers.
The Adult Literacy and Life Skills (ALL)
Survey conducted in 2006 revealed
that a large portion of workers in the
sector have low literacy (48%) and low
numeracy (52%) skills.
Workers in the sector have a very wide
range of skills including labouring,
technical skills, computing, finance,
management and many others.
Canterbury Earthquakes
The devastating earthquakes that have struck
Christchurch and the wider Canterbury region will
have a profound impact on the Built Environment
sector in New Zealand. In the short-term the
rebuild of Christchurch will increase demand for
building work to a level never before seen in New
Zealand. In the longer-term, the legacy of the
earthquakes on the Built Environment sector may
be changes to building standards and practices.
We have incorporated the impact of the
Canterbury earthquakes into this strategy,
particularly in the section on the short-term
skills challenge. This recognises that there are
immediate issues and actions which need to be
undertaken to address the situation following the
earthquake but there are also more systemic,
longer-term issues which existed prior to the
earthquakes and will continue to persist unless
addressed.
Built Environment Skills Strategy
A Skills Strategy for the sector
One of the key levers that a sector can use to raise productivity is skills. Research from New Zealand and
around the world shows that improving skill development, utilisation, and deployment results in improved
workplace productivity. This can be through improved safety, better staff morale, reduced turnover, and staff
coming up with ideas to make operations more effective, to name a few.
This is particularly true for the Built Environment sector, as identified by the Building and Construction Sector
Productivity Taskforce. Construction is a labour intensive industry that relies on a large number of different skill
sets, many of which are specialised with particular training and knowledge. In addition, construction providers
often have significantly more information than customers or even other providers from different disciplines,
making communication skills and disciplines especially important in this sector.
The Skills Workstream of the Productivity Partnership has developed this skills strategy for the sector so it
can address skill issues. This strategy deliberately covers more than entry training, but the range of skills and
pathways that participants in our industry need. By mapping these now, we demonstrate the multitude of
career options available and a commitment in our industry to a culture of learning, in a safe and productive
environment.
To increase productivity, the sector needs to begin to address the factors that have the most influence and
that can be realistically changed. Through consultation, industry stakeholders have identified four key areas for
action relating to skills that can be addressed to raise productivity. In each of these four areas, stakeholders
identified a small number of topics to focus on. For each topic a range of resposnses have been identified.
Areas for action and topics of focus are shown below.
While implementation of the strategy will be led by industry, it will be a partnership between industry,
government, the education sector, and other relevant groups. For each response key groups involved have
been identified including a lead group which is identified in bold. All of the responses in this strategy require
the support and engagement of individual firms and workers. Therefore, the list of key groups involved in each
response also implicitly includes firms and workers.
AREAS FOR ACTION
Long-term skills challenge
Short-term
skills
challenge
Culture
Firms
Education
and
training
Fragmentation
Boom-bust
Health and safety
Attraction and retention
Management
Pathways
Quality
SMEs
Collaboration
National solution
Engagement with training
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Built Environment Skills Strategy
Short-term skills challenge
A considerable challenge facing the industry in the short-term is that current building and construction work
is very depressed, and yet it is clear that substantial growth in work will occur over the next five years, with
growth likely to start in 2012.
Repairing and replacing buildings and infrastructure following the earthquakes in Canterbury is going to
generate a significant upswing in building and construction activity over the next five years. This, coupled with
repairs needed to correct homes that have been identified as ‘leaky buildings’ and an upswing in business as
usual work due to pent-up demand, is going to cause the building and construction workload to rise sharply
over the next five years. This will lead to demand for labour in the industry dramatically increasing over the
same period. This can be met by giving priority to training and developing new entrants and the existing
workforce, balanced by appropriately skilled internal and external migration.
While there will be substantial pressure to increase the number of workers in the sector, this cannot be
allowed to compromise quality standards. This means that the industry as a whole needs to ensure that
workers have the appropriate skills, qualifications and experience to work effectively. The sector will need to
work hard to make best use of the available labour.
Built Environment Skills Strategy
Ensuring a national solution
Some responses to the short-term skills challenge relate specifically to Canterbury as the damage
caused by the earthquakes has prompted a need and mandate for immediate action.
However, it is also important that responses are put in place in other parts of the country, particularly in
Auckland, to address the skill needs relating to leaky buildings and pent-up demand.
Responses
Key groups involved
Support the implementation of the Skills for Canterbury
package which aims to increase the number of skilled workers
available to meet increased demand following the Canterbury
earthquakes
Industry Associations and
Institutes, TEC, MSD, DoL, DBH,
ITOs, tertiary providers, CERA, principal
contractors, Canterbury Employment
and Skills Board
Encourage firms to embed training in their business plans
Industry Associations and
Institutes, MED, CDC
Raise awareness among firms about the government's
inclusion of training as a consideration when awarding
government contracts
DBH, Industry Associations and
Institutes, principal contractors,
government agencies
Encourage firms to get support for rapid growth including
business mentoring and programmes run by CERA, MED and
CDC
Industry Associations and
Institutes, CERA, MED, CDC
Review employment approaches and practices across the
sector with a view to improve attraction and retention of skills
Industry Associations and
Institutes, principal contractors,
group training providers
Encourage clients to employ professional procurement
specialists in order to make contracting more effective, to
embed the whole-of-life approach to capital investment and
to stimulate training and skills investment through approaches
such as pre-qualification requirements
MED, Treasury, Construction Clients
Group
Fast-track skilled migrants for the building and construction
sector, through concerted industry input to the rolling reviews
of the Essential Skills in Demand lists and the collation of
evidence of skills shortages
Industry Associations and
Institutes, the Productivity
Partnership, DoL, CERA, principal
contractors
Work together as a sector to build the evidence base to
support the addition of particular occupations to the rolling
reviews of the Essential Skills in Demand lists for immigration
purposes
Industry Associations and
Institutes, Construction Clients
Group
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Built Environment Skills Strategy
Culture
The culture in the Built Environment sector as a whole, as well as in individual firms, is another barrier to skill
development. Culture in this sense refers to the attitudes, beliefs and values of people within firms, in the
industry more widely and of stakeholders. This is particularly important in the way that it shapes how people
within the industry interact with each other and with their customers.
The culture of the Built Environment sector is often perceived as lacking in customer focus, demonstrating
poor risk management, being slow to embrace change, not always being well coordinated and sceptical of
‘outsiders’ to the industry. While these views of the industry culture are not applicable to all firms, they have
an impact on the industry. Some of the impacts include creating negative perceptions of the industry by
customers, creating barriers to enter the industry or change roles in the industry, a lack of focus on quality and
a failure of firms to engage in training. All of these impacts can have negative consequences for economic and
productivity growth within the sector. While a skills strategy can't directly change culture in the industry, it can
bring focus to changing behaviour which, over time, will change the culture for the better.
Built Environment Skills Strategy
Fragmentation
One of the issues relating to culture which impacts on productivity is fragmentation. Many people in the
sector are focused solely on the work that they are doing and don't think about their work in the wider
context of the industry. This causes the focus of work to be on jobs rather than on projects, which
stifles innovation and sustainable design. All of these impacts place a drag on productivity growth.
One of the key ways that skills can address this issue is by ensuring that people in the sector have
a greater awareness of how the work they are doing fits into a wider context and how improving the
whole of the sector in this area will have benefits for individual firms and workers.
Responses
Key groups involved
Encourage collaboration of people and firms working on all
stages of the building process
Industry Associations and
Institutes, supply chain businesses
Incorporate material on multi-disciplinary teamwork into
training and education packages
ITOs, tertiary providers
Require collaboration during the procurement of governmentfunded projects
DBH, MoE, MoH, Corrections
Encourage cooperative arrangements between business of
different sizes where large firms contract work to smaller firms
and support them with training, supervision and management
advice
Industry Associations and
Institutes
Celebrate good examples of collaboration ranging from
individual firms collaborating at a site level to large scale
projects like the partnership between Government and
industry on the Construction Sector Action Plan.
Industry Associations and
Institutes, Constructing Excellence,
Productivity Partnership, secondary
and tertiary providers
Encourage use and development of digital tools such as BIM
and IPD so that teams can better work on whole projects and
understand their role in them
Industry Associations and
Institutes, ITOs, tertiary providers
Investigate the rationalisation of registration and licensing in
the sector into three groupings – engineering professions,
design professions, and construction trades - which allow for
layered registration systems to encourage consistency and
efficiency.
Industry Associations and
Institutes, DBH, Treasury, DoL,
NZQA, tertiary providers, ITOs
Raise awareness among customers of the benefits of having a
competent person who can ensure different contractors work
together
Industry Associations and
Institutes
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Built Environment Skills Strategy
Attraction and retention
Perceptions of the industry and a lack of clear pathways create a problem with attracting people to
the industry. Some people perceive jobs in the sector as being relatively low skilled, having poor safety
standards and as undesirable compared to jobs in other industries. This leads to some potentially very
capable people not pursuing jobs in the industry.
Retention can also be a problem as people are likely to exit the industry in bust periods as outlined in
the previous section, leave for higher pay in Australia, or retire early when they are no longer able to
meet the physical demands of many jobs in the industry. Failing to retain workers is an issue because
the industry loses the skills and experience that people have and this generally impacts on industry
productivity and growth.
Responses
Key groups involved
Develop and implement a whole-of-sector marketing plan
promoting the sector and highlighting building sector roles as
careers rather than jobs
Industry Associations and
Institutes, secondary and tertiary
providers, Careers NZ
Make use of mixed media to attract young people, migrants
and women into the industry and connect with other workers
in the industry
Industry Associations and
Institutes, tertiary providers, ITOs,
Careers NZ
Encourage and incentivise sector workers to remain in NZ and
in the construction sector
Industry Associations and
Institutes
Use innovation in the sector as a tool to keep workers
interested and retain them in the industry
Industry Associations and
Institutes
Address management skills at a firm level as this is a key
factor to retain people in the industry
Industry Associations and
Institutes, TEC, ITOs, tertiary
providers
Encourage businesses to rely less on labour only contracting
and form more supportive employment relationships
DoL, Industry Associations and
Institutes
Ensure that skilled migrants have qualifications that are
appropriate and recognised
DoL, NZQA
Improve information available to potential skilled migrants
about the steps they need to take in order to settle effectively
in NZ, such as further qualifications and occupational
registration requirements
DoL, Industry Associations and
Institutes, tertiary providers
Provide information for construction sector migrants
for inclusion on the main immigration portal at www.
newzealandnow.govt.nz
Industry Associations and
Institutes, tertiary providers, ITOs
Built Environment Skills Strategy
Quality
The perception of the Built Environment sector by the general public, and to an extent from within, is
one tainted by recent events such as the leaky home experience. This is often voiced in complaints
such as late starts, late delivery, variable quality, unexpected costs and lack of customer focus.
These traits are often symptomatic of a lack of planning and lack of communication with the customer,
and can lead to rework and reduced value of the product. These types of behaviours place a
significant drag on productivity in the sector.
Responses
Key groups involved
Raise awareness at all levels of the costs of rework and the
ripple effect flowing from products that don’t meet quality
standards
Industry Associations and
Institutes, tertiary providers, ITOs
Introduce at all levels an understanding that customer
satisfaction is a core industry driver
Industry Associations and
Institutes
Introduce aspects of quality control into training at all levels
Tertiary providers, secondary
providers, ITOs
Celebrate good examples of quality projects as often as
possible
Industry Associations and
Institutes, DBH
Train more procurement professionals to ensure procurement
processes include risks and a whole-of-life value approach
Tertiary providers, ITOs, TEC, DBH
Make code, compliance documents, Standards and research
more accessible, both in terms of cost and readability, in
recognition of their critical importance for the industry in
providing a level of certainty and consistency to practitioners
Set up a feedback website to allow customers to record their
experience including a simple rating system on a few key
indicators
Industry Associations and
Institutes, DBH, Standards NZ,
BRANZ
Industry Associations and
Institutes, DBH
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Built Environment Skills Strategy
Engagement with education and training
The Built Environment sector has an advantage in that it has a long-standing culture of education and
training in the form of on-job learning and apprenticeship type models. However, there are some parts
of the sector where there is not a long-standing tradition of education and training and there are firms
within all parts of the sector that do not see the benefits of education and training.
The Built Environment sector needs to find ways to promote the value of training and encourage
training to take place, particularly in parts of the sector where the training culture has not traditionally
existed.
Responses
Key groups involved
Ensure that training and education packages are fit for
purpose and make sense to employers and employees
ITOs, secondary and tertiary providers,
Industry Associations and Institutes
Encourage employers to formalise training by incorporating it
into employment agreements
ITOs, DoL, Industry Associations and
Institutes
Make clear linkages between different activities within the
secondary and tertiary sectors including trades academies,
apprenticeships, ITPs, and mentoring
ITOs, secondary and tertiary providers,
TEC, MoE
Incorporate generic skills including language, literacy and
numeracy, into training packages so that training is relevant to
all parts of a person's job
ITOs, tertiary providers
Raise awareness within industry about the merits of the
secondary level education qualifications and pathways that are
in effect the entry to the industry
Industry Associations and
Institutes, MoE
Map and publish the network of qualification based and nonqualification based training required
ITOs, secondary and tertiary providers,
Industry Associations and Institutes,
NZQA
Align the requirements of qualifications, registration and
licensing
ITOs, tertiary providers, Industry
Associations and Institutes, NZQA,
DBH
Ensure that industry has buy-in to education and training by
involving them in the development of education and training
initiatives
Industry Associations and
Institutes, ITOs, secondary and
tertiary providers, TEC, MoE
Investigate the further development and application of a
shared workforce demand model to determine if it could
usefully influence tertiary provision, immigration, and other
pathways into the industry
DoL, TEC, Productivity Partnership,
Industry Associations and Institutes,
CERA
Support schemes such as Limited Service Volunteer scheme
as they provide young people with drive, work ethic, and goals
Industry Associations and
Institutes
Built Environment Skills Strategy
Firms
The Built Environment sector is characterised by a large number of small firms and a small number of very
large firms. Small and medium firms (SMEs) are particularly prevalent in the residential sector and the more
specialised trades while very large firms are more likely to work in the infrastructure and commercial building
parts of the sector.
The nature of firms in the industry means that they are especially vulnerable to economic cycles. This has
manifested as large boom periods where there is more demand for work than can be met followed by bust
periods where there is not enough work to go around. These volatile cycles present a barrier to sustained
skill development as people with skills are often lost to other industries or overseas in bust periods and new
people then need to be rapidly trained in boom periods.
The nature of the industry also makes management and supervisory skills critically important. These skills are
important to ensure that work is done safely and to a high standard and that resources are used as effectively
and efficiently as possible. However, due to the prevalence of very small businesses and the regular changes
to economic conditions, management skills are often lacking in the sector. Addressing these firm-related
issues will help increase productivity in the sector.
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Built Environment Skills Strategy
Firm responses to the boom-bust nature of the sector
The Built Environment sector is particularly prone to changes in economic cycles. In the past this has
led to boom and bust periods for the industry. The work being done by the Procurement workstream
of the Partnership is, in part, looking at how procurement might help to smooth these cycles. While
this type of intervention is important, it is likely that the industry will always be at least somewhat
cyclical. Therefore, it is important to think about how firms can best respond to these cycles.
Firms in the Built Environment sector need to be able to respond to cycles that have an impact on
the sector. In order to cope with these types of pressures, the sector has to be flexible and able
to respond to short-term changes, ideally without having a significant negative impact on either
productivity or employment.
Responses
Key groups involved
Ensuring workers have transferable skills. This would mean
that workers could work in different roles as needed at different
times in the economic cycle
ITOs, tertiary providers, Industry
Associations and Institutes
Create policy and funding settings to allow learners to flexibly
flow between different parts of the provider network during
boom and bust periods
TEC, MoE, ITOs, tertiary providers
Training business owners in financial management to ensure
capital is retained in business during boom times
Industry Associations and
Institutes
Work with government and other large purchasers to develop
better understanding of the purchasing pipeline and where
greater certainty can be provided to the construction industry
about the scale, type and phasing of government and other
large construction projects
DBH, MED, Treasury, Constructions
Clients Group, Procurement
Workstream
Work with government to ensure that its approach to
procuring construction projects uses:
Treasury, Industry Associations and
Institutes, Construction Clients Group,
Procurement Workstream, NZ Green
Building Council
›professional procurement specialist advice
›a focus is on whole-of-life value, rather than lowest price
›principal contractors that have good risk-sharing
partnerships with sub-contractors
Make use of relevant skilled workers from industries which
might be counter-cyclical
Industry Associations and
Institutes, DoL
Encourage building owners to use the low demand periods in
the cycle to carry out maintenance and where required seismic
strengthening, taking advantage of capacity in the industry,
lower rates and lower prices
NZ Property Council, Construction
Clients Group, body corporates,
Insurance Council, Bankers
Association, local and central
government, NZ Green Building
Council
Built Environment Skills Strategy
Raising management skill levels in the sector
A skill that has been in huge demand in the Built Environment sector and in the economy more widely
in recent years is management capability. People with management responsibility need to have
the skills to effectively manage for businesses to operate effectively and respond to changes and
fluctuations. There has also been a shift in thinking away from seeing management as an innate ability
or something that can be learned by observation to a skill which can be learned and which needs to
be practised. The Built Environment sector needs to ensure that the benefits of management training
are understood by firms and workers, and that training is available that effectively meets needs of
current and future managers.
There are also specific management skills that have been identified as being in short supply in the
Built Environment sector. Business management, supervisory, project management, and HR skills are
lacking in many firms and these are especially important to ensure that workers are productive and
being used efficiently.
Responses
Key groups involved
Develop and provide training in aspects of management
including business management, supervision, and project
management as a pathway following apprenticeship or initial
training
Tertiary providers, ITOs, TEC,
MED, Industry Associations and
Institutes, supply chain businesses
Implement training on succession planning, particularly for
SMEs, to ensure that businesses are long-lasting
ITOs, tertiary providers, Industry
Associations and Institutes
Identify the different management skill needs required by firms
in various parts of the sector and of different sizes
Industry Associations and
Institutes, ITOs, tertiary providers
Create best practice guides for business structures
emphasising growth opportunities applicable to their current
size
DBH, MED, Industry Associations and
Institutes
Encourage management to pursue opportunities in process
and productivity improvement
Industry Associations and
Institutes
Investigate whether legislation governing the LBP scheme
should be amended to enable skills maintenance requirements
to include management training
DBH, Industry Associations and
Institutes
Investigate the benefits and costs of introducing company
licencing in the sector compared to voluntary schemes and
qual-marks
DBH, MED, Industry Associations and
Institutes
Encourage the adoption of management quality standards to
encourage best management practice and to embed training
into the normal business planning processes
MED, Treasury, Construction Clients
Group
Adopt professional procurement processes including the
development of NZ building and construction procurement
qualifications
MED, Treasury, Construction Clients
Group, ITOs, tertiary providers
Recruit suitable candidates for the skilled migrant category to
work in the sector in management and professional roles and
facilitate their visa process and settlement
DoL, Construction Clients Group,
Industry Associations and Institutes
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Built Environment Skills Strategy
Focusing on SMEs in the sector
The majority of businesses in the Built Environment sector are SMEs with either sole traders or owneroperators with a small number of staff. SMEs face different issues than their larger counterparts and
are often more vulnerable to changes including economic cycles.
The age of Built Environment sector business owners is also a concern, particularly given the large
share of SMEs in the sector. In many businesses, the owner is older and there are no clear successors
to take over when the owner retires. This can lead to businesses not surviving when the owner retires,
leading to employment losses and reduced productivity in the sector as a whole.
Responses
Key groups involved
Ensure owners and managers in SMEs have training in financial
literacy including contract management and pricing of projects
ITOs, tertiary providers, Industry
Associations and Institutes, Chambers
of Commerce
Ensure there are best practice models for HR practice
focusing on supervision, hiring the right people and ensuring
the skills of both new and existing workers are utilised and
developed
DoL, MED, Industry Associations and
Institutes
Investigate ways to support SMEs to improve long term
business sustainability
Industry Associations and
Institutes, DBH
Provide case studies of how SMEs and larger firms can
overcome issues of scale and lack of capital structure to
collaborate
Constructing Excellence,
Productivity Partnership
Work with major contractors and clients to use procurement
processes, such as pre-qualification, to shape SMEs business
processes (e.g. adoption of new technologies, recruitment and
training practices, etc) to drive improved productivity and value
for the client
MED, DBH, Construction Clients
Group, principal contractors
Work with government agencies and existing Group
Employment and Training Schemes to increase the
availability of trainees and workers available for construction
firms, including SMEs, through new and expanded Group
Employment and Training Schemes
TEC, MoE, DBH, Industry Associations
and Institutes
Built Environment Skills Strategy
Education and training
One of the fundamental levers to address the skills of workers within any industry is education and training.
The Built Environment sector has a long-standing tradition of training, most fundamentally the apprenticeship
model and more recently provider-based education as well. This tradition of training is a real strength as
it ensures that people working in the sector have the required skill levels and also that specific skills and
knowledge are passed down and retained in the industry.
However, there are areas that the industry could address to help improve productivity and to ensure that the
industry continues to evolve and grow. The nature of training in the industry through both the traditional model
of apprenticeships and specialised professional courses has meant that there can be significant barriers to
enter the industry. This is particularly a problem for people who are unfamiliar with the industry or who have
little work or life experience such as many school leavers. In addition, once people have completed their initial
training pathways through the industry, the forms of continuing education are not always clear.
By developing well articulated pathways into the industry, a wider range of people will be able to enter the
industry and entry will be much clearer to those considering the industry. Collaboration between different parts
of the tertiary sector will ensure that education and training is taking place in the most efficient manner and
that duplication is avoided. A third area that needs to continue to be improved is health and safety education.
While this has been a focus for some time, the health and safety record of the industry is still relatively poor
and needs to continue to be addressed.
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Built Environment Skills Strategy
Health and safety
The construction industry has had too many work-related fatalities. The sector also has a relatively
high rate of non-fatal injuries. Some of this may be attributed to a range of factors including the nature
of work, the "She'll be right" attitude, lack of awareness and application of health and safety best
practice, and low levels of language, literacy and numeracy.
The high rates of work-related injuries and fatalities have a negative impact on productivity in the
sector. Loss of work time, skills and focus can all result from an even relatively minor injury, particularly
in SMEs. Firms also face high costs from injuries in the industry, both at an individual firm level and at
an industry level through high ACC levies.
A great deal of work is already being done to make the sector safer. One of the key worksteams in this
area is the Construction Sector Action Plan which is a partnership between industry and Government.
This work aims to make construction sites safer, to establish health and safety as an integral part of
working on a construction site, and to increase productivity by working safer. The challenge for the
sector is to work together to continue to reduce the number of injuries and fatalities in the future, not
just for workers on site but also for the general public in the buildings in which they work and live.
Responses
Key groups involved
Work with groups actively involved in Health and Safety to
embed effective health and safety practices in firms and on
projects
DoL, Industry Associations and
Institutes
Ensure health and safety is embedded in all levels of education
and training
Industry Associations and
Institutes, secondary and tertiary
providers, ITOs
DoL and industry work together to ensure a consistent
enforcement role
DoL, Industry Associations and
Institutes
Promote the work of the partnership between DoL, ACC, and
the industry
DoL, ACC, Industry Associations and
Institutes
Consider health and safety in procurement and contracting
processes
Procurement Workstream, DoL,
ACC, DBH
Work together to raise language, literacy and numeracy skills
in the sector
LLN Organisations, Industry
Associations and Institutes, ITOs,
Tertiary and Secondary Providers
Change the "She'll be right" culture to a "Safety first" culture
All
Built Environment Skills Strategy
Pathways
There is a lack of clear pathways into the Built Environment sector, between different parts of the
sector, and to higher skilled parts of the sector.
The pathways between secondary education and tertiary education and work have been highlighted
in recent years as being of increasing importance. There has been a focus on pathways and creating
links between secondary schools and further education and training over the past few years. There is a
challenge for the sector to create similar pathways into the industry for skilled migrants or people from
other industries with relevant skills and to create pathways to more skilled occupations for workers
already in the industry.
More generally, the proliferation of qualifications in fields relevant to the sector that do not link to one
another and which are often highly specialised has created barriers to people moving between jobs in
the sector. This is particularly a problem given the boom-bust cycles in the sector that make it difficult
for people to easily move to areas that are in demand.
Responses
Key groups involved
Develop and support the Sectoral Pathways work being led
by the Ministry of Education, and other work focussing on
strengthening pathways within schools and from schools into
work, education and training
MoE, DBH, TEC, ITOs, secondary and
tertiary providers, Industry Associations
and Institutes, Careers Advisors,
Careers NZ
Promote industry expectations of a minimum entry criteria for
new entrants to the industry of NCEA level 2 or equivalent in
reading, writing and maths to begin effectively working in most
roles in the industry
Careers NZ, Industry Associations
and Institutes, Careers Advisors,
Careers NZ, ITOs, secondary and
tertiary providers
Develop and promote career pathways for skilled workers to
move into the industry, between different parts of the industry,
and for whole-of-life learning
ITOs, tertiary providers, Industry
Associations and Institutes, Careers
Advisors, Careers NZ
Identify and create pathways for groups of people working in
other industries who may have transferable skills
DoL, ITOs, Careers NZ, Industry
Associations and Institutes
Create pathways for skilled migrants to more easily become
fully skilled by targeted training which highlights information
and skills specific to the NZ context
Industry Associations and
Institutes, DoL, providers, NZQA,
TEC
19
20
Built Environment Skills Strategy
Collaboration across the tertiary sector
The Built Environment sector will be more productive if the tertiary sector works more collaboratively.
Different parts of the sector have different strengths in terms of delivery styles and perceptions and
some also have advantages at different stages of the economic cycle. Working collaboratively will
ensure the best possible outcome for the sector as a whole as well as for learners.
Responses
Key groups involved
Review funding policies to ensure they are consistent and
aligned to help foster cooperation and collaboration in the
tertiary sector instead of competition.
MoE, TEC, ITOs, tertiary providers
Improve transferability between qualifications and programmes
being offered in different parts of the sector
Tertiary providers, ITOs, NZQA
Share qualification development, review of qualifications and
moderation of delivery
ITOs, tertiary providers, NZQA,
Industry Associations and Institutes
Develop and provide generic entry-level qualifications to
replace the current multiple pre-trades qualifications which
can be accessed in schools as well as in providers and
workplaces
Tertiary providers, ITOs, MoE, TEC,
Industry Associations and Institutes,
Careers Advisors, Careers NZ
Create an environment where learners can move between
tertiary providers and ITOs to best meet the needs of both
firms and individuals
ITOs, tertiary providers, NZQA, TEC
Through collaboration, set up Centres of Excellence in parts of
the sector to promote innovation in building and construction
design and practice
Tertiary providers, TEC, Industry
Associations and Institutes, ITOs
Built Environment Skills Strategy
Where to from here
The Built Environment Skills Strategy was developed
over the last 18 months through consulation with
the sector. This process included a number of
stakeholder forums, a skills summit in June 2011, the
development of a draft strategy for consultation, and
a submission process.
Engaging with stakeholders has ensured that the
views of the sector are well represented in the
strategy and that groups have bought in to the
process which ultimately will give the strategy the
best chance of being successful.
In many ways, the launch of this strategy is when the
real work actually begins. Implementing the strategy
is crucial to its success and impact on sector
producitivty.
To ensure that the momentum generated continues,
an action plan for the sector as a whole is being
developed. The first stage of this has been working
with stakeholders to identify the responses that are
likely to have a more immediate and lasting impact
than others. During implementation these areas should
be the focus of initial work.
Four priorities have been identified as being the most
important to focus on first:
›
Getting it right the first time – addressing quality
issues and avoiding rework
›
Eliminating the down time – effectively managing
labour so it is better deployed and less time is
wasted
›
Working towards meaningful careers – developing
pathways into and through the industry so people
have careers rather than jobs
›
Multi-disciplinary team work – increasing
collaboration between firms, different parts of the
sector, and education providers
Communication will also be key to the
implementation of the strategy in 2012. Everyone
needs to be kept informed of progress that is being
made and to reinforce the message that while
implementation of the strategy will be led by industry,
it needs to be a partnership between industry,
government, the education sector, clients, and other
relevant groups.
Where to find out more
More information is available on:
www.buildingvalue.co.nz
On this site you will find a glossary of key terms, a range of supporting documentation, background
reports, and information about the work of the rest of the Productivity Partnership.
If you would like to discuss the strategy please contact:
Ruma Karaitiana
Chair, Skills Workstream
Building and Construction Productivity Partnership
21
Thank you to all the organisations that have
contributed to the development of this strategy
Industry Associations and Institutes
Businesses
Tertiary Education Providers
Industry Training Organisations
Central and Local Government Agencies
Other Organisations
978-0-478-38161-0 (print)
978-0-478-38162-7 (electronic)
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