24 JULY

NEW ZEALAND GAZETTE

quantitative dimensions. Likewise, there should be
indicators that are of a financial nature and some of a
non-financial nature.

● All performance indicators should have associated
performance targets that relate to the year for which the
profile applies (2004) plus, where possible, the following
two outyears (2005 and 2006). In order to enable those
targets to be readily understood, the past year’s actual
performance (2002) and the current year’s expected
performance (2003) must also be stated.

● The performance indicators for the objectives might
include indicators for:

○ EFTS – at the minimum disaggregated learner
numbers by undergraduate/post graduate/ and those
areas by domestic and international learners;

○ the quality of the TEI’s education;

○ outcomes for learners;

○ outcomes for staff;

○ national and international relationships and alliances;

○ internal processes that provide critical support for the
TEI’s capability, especially where implementation of
a new system or standard needs to be monitored;

○ the costs of producing specific services, particularly
where these are central to the achievement of the
business plan;

○ internal organisation and management priorities and
the outcomes sought;

○ the achievement of particular initiatives as part of the
strategic plan; and

○ other non-financial indicators of core TEI direction
and capability.

Financial performance indicators

● The financial performance indicators included should
project for three out-years and should cover:

○ operating surplus (both in total and as a percentage of
total income);

○ return on income;

○ return on assets;

○ net operating cash flows;

○ liquid assets (as a percentage of cash out);

○ working capital; and

○ debt ratio.

● Supporting documentation (provided on a commercial-in-confidence basis) for financial performance must
include:

○ three-year forecasts of financial performance, cash
flows and financial position; and

○ capital development plans.

Part C – Consultation

The profile must include a report describing the
consultations with the institution’s staff and learners, and
those with the communities the institution serves that it
undertook before it submitted the profile.

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● The performance indicators will enable a sound
assessment of overall performance of the TEI.

● The performance targets are readily understood.

● The performance targets give the 2002 year’s actual
performance and the 2003 year’s expected performance
and where possible forecast performance for 2004 and
2005, and 2006.

The profile includes a report describing the consultations
with the institution’s staff and learners, and those with the
communities the institution serves that it undertook before it
submitted the profile.

Appendix 2
Interim Profile Content and Criteria for the 15 Private Training Establishments

Content

Part A – Strategic direction and highlights of key changes
in activities

● The PTE must briefly outline its strategic direction for
the next three years (2004-2006).

● The PTE must provide a brief outline of the key
challenges it is likely to face over the next three years
(2004-2006) and the strategies it will adopt to respond to
those challenges.

Assessment criteria

● The strategic direction is consistent with the PTE’s
charter, the Tertiary Education Strategy (TES) and the
Statement of Tertiary Education Priorities (STEP).

● The PTE’s strategies appear reasonable in terms of
responding to its key challenges.