Papakura Museum

Outline Business Plan

July 2019

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This document has been prepared by The Urban Advisory and Gemelli Consulting, in

collaboration with the Papakura District Historical Society, the Papakura Museum, Auckland

Council and the Papakura Local Board.

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Contents Papakura Museum ........................................................................................................................................ 1

Outline Business Plan .................................................................................................................................... 1

July 2019 ....................................................................................................................................................... 1

1. Introduction .............................................................................................................................................. 3

1.1 The Context of the Document ............................................................................................................ 3

2. Background ............................................................................................................................................... 4

2.1 An overview of the Papakura Historical Society and the Papakura Museum .................................... 4

2.2. An Overview of the Museum’s Services and Visitor Profile ............................................................... 4

2.3 The History of the Papakura area ....................................................................................................... 5

2.4 The changing need, and future focus for the Museum ...................................................................... 6

3. Strategic Context ....................................................................................................................................... 7

4. Vision, Mission & Objectives ..................................................................................................................... 8

5. Operating Model ..................................................................................................................................... 10

5.1 Funding, Governance, Management and Operations ...................................................................... 10

5.2 Partnerships ...................................................................................................................................... 11

5.2.1 Areas of Collaboration to Focus on ................................................................................................ 12

5.3 People Resourcing ............................................................................................................................. 13

5.4 Risks and Mitigation .......................................................................................................................... 14

6. Organisational Values ............................................................................................................................. 15

6.1 Ō Mātou Tikanga – The Principles we Live By ................................................................................... 15

7. Museum Services .................................................................................................................................... 15

7.1 Core services to be delivered ............................................................................................................ 15

8. Key Performance Measures and Targets & Priorities for (FY19-20) ....................................................... 18

8.1 Priority Areas to be Focused On ....................................................................................................... 18

8.2 Objectives and Measures .................................................................................................................. 21

10. Budget / Financial ................................................................................................................................. 22

10.1 Benchmarking Analysis ................................................................................................................... 22

10.2 Five-Year Revenue & Expenditure Projections ............................................................................... 23

10.3 Forecast Funding and Costs 2020-2024 .......................................................................................... 23

11. Progress Reporting ................................................................................................................................ 25

11.1 Quarterly Reporting ........................................................................................................................ 25

11.2 Annual reporting ............................................................................................................................. 25

12. Implementation .................................................................................................................................... 26

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1. Introduction

This document outlines the future ambitions for the Papakura Museum (the Museum), its core services,

aspirations and a clear strategic direction for achieving both of these. It provides the background

relevant to its operations, the strategic context (including a summary of the key policy and strategic

planning documentation provided by the Museum and Auckland Council) within which it functions. A

refined vision, mission and objectives of the Museum, as agreed by staff and key stakeholders is

included. This is followed by an overview of the operational model, the organisation’s values, its key

services, performance measures and targets. The Business Plan concludes with priorities for FY 2019/20,

annual budget and financial projections as well as outlining a commitment and proposed structure for

reporting.

This Business Plan identifies the key strategic priorities to guide the next five years as the museum

transitions to having a broader range of revenue streams supporting its activities so that it can achieve a

sustainable breakeven position and be a more resilient organisation as it moves into the future. It also

outlines a pathway for broadening the museum’s reach and ensuring that it remains relevant as the

Papakura area continues to change, and what museums mean to people morphs. It highlights the gaps,

and where additional capability and capacity is required to deliver on the strategic objectives.

1.1 The Context of the Document

A strategic review of the Papakura Museum was undertaken in 2018; it recommended that a business

plan should be developed that clarifies financially viable service expectations which can be included in

the updated Funding Agreement. It also recommended it sets out a long-term strategic direction for a

thriving future of the Museum, with annual objectives and measures, and a long-term financial and

resourcing plan for any more ambitious plans.

A high-level financial analysis completed in May 2019 demonstrated that the Papakura Museum has

been meeting the broad objectives set by its primary funder, but all parties would benefit from these

objectives being more clearly defined in the future. It also highlighted that the museum is performing

very well relative to comparisons with other similarly sized museums, but that investment in diversifying

revenue streams would help the museum’s financial resilience and prepare it to meet the needs of the

growing and changing local community that it serves.

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2. Background This section provides an overview of the history of the organisation.

2.1 An overview of the Papakura Historical Society and the Papakura

Museum

The Papakura Museum is a local history museum, which was established by Papakura & Districts

Historical Society (PDHS) in 1972. The Museum has a growing collection of photographs, documents and

artefacts that tell the story of Papakura and the surrounding districts.

The Museum is owned by the PDHS and run by a small group of part-time employed staff and

volunteers, mainly from the PDHS, with the support of the PDHS board. The board has 8 active board

members, who meet monthly and the Museum manager attends part of these meetings. The main

funder of the Museum is Auckland Council through an Annual Funding Agreement between the PDHS

and Auckland Council.

In 2010, the Museum relocated to its current premises on Level 3, 209 Great South Road, Papakura,

Auckland. This modern building complex is located in the centre of Papakura town, and is sub-leased

from Auckland Council. It was refurbished as a community space to house the Museum, the local library

(Sir Edmund Hillary Library) and an Educational Resource Centre. The Museum and library are accessible

either through a corridor on street level off Papakura’s main shopping street, or via elevators from its

free undercover car park. Architectural details in the building reference Papakura geographical sites with

Māori symbolism. The premises are state-of-the-art; situated between the Museum and library is a café.

2.2. An Overview of the Museum’s Services and Visitor Profile

A permanent display of local artefacts, texts and images tells the story of settlement, colonisation,

industry, war, farming and progress. In addition, the Museum shows 3-4 temporary exhibitions per year.

In 2015 the Museum expanded and added a military gallery to tell the story of the district’s strong

military connections. Programmes include adult education programmes, talks, heritage tours around

Papakura, school holiday and general children’s programmes and school visits. A research room is

available for the public to research family history (a genealogist is available to help at certain times) or

to research the local history of Papakura and the neighbouring districts. Teachers and Educators can

access education programmes and get help to create a custom programme. Handling collections are

available to borrow for use in schools or retirement villages.

With around 15,000 visits annually, the Museum provides its services locally in an area rich in history yet

relatively far away from the cultural offerings of the centre of Auckland. Services that contribute to

identity, place making and learning benefit a local population that is young and growing, with education

and income levels significantly lower than the Auckland average and high levels of deprivation. The

Papakura Local Board shows a high level of support and commitment towards the Museum and

considers it essential for growing the Papakura community.

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The number of visits to the Museum annually is growing and currently sits at around 15,000, a low level

compared to larger museums in the Council network but not unusual for a small museum with five or

less staff1. The Papakura Museum’s staff-to-visitor ratio was compared to the average ratio for a sample

of other small museums across the country. Figure 1 shows that, on average, the employees at the

Papakura Museum attend to approximately 1,000 more visitors per full-time equivalent (FTE) employee

than the other small museums around the country.

Figure 1: Museum Visits

Visits have increased in recent years. On a monthly basis visits fluctuate between 600 and 1,700 people.

For perspective, the Papakura Art Gallery gets just under 5,000 visits per year2 and the local library

situated opposite the Museum gets about 700-1,000 visits per day (250,000-365,000 per annum).3

The age spread of visitors is fairly balanced and compared to the Papakura population the 65+ age group

is more strongly represented. In terms of ethnicity, over half of the visits were by visitors of NZ

European ethnicity and over a quarter Maori. Compared to the population, the proportion of visits by

Maori is similar, of NZ Europeans less and of other ethnicities greater than the population share.

2.3 The History of the Papakura area

Papakura is a suburb in the south of Auckland on an inlet of the Manukau harbour, about 34 km from

the CBD. It is a link between Auckland and the Waikato and has a varied geography with harbour

foreshore, plains and hills reaching towards the Hunua Ranges and the rural area south of Auckland. The

Papakura Local Board area extends from Alfriston in the north to Drury in the south and includes

Takanini, Hingaia, Red Hill, Pahurehure and the Papakura town centre. Great South Road runs through

Papakura town centre and is its main street. Papakura is a stop on the Auckland rail network and State

Highway 1 runs through it.

1 12,458 was the average number of visits for museums with 5 or less staff reported in the Museums Aotearoa 2014 Sector Survey Report (page 38, table 47) 2 Provided by Auckland Council 3 Conversation with Library Manager

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An early frontier settlement, Papakura emerged as a strategically important town centre around Great

South Road, which was developed into the main transport link to the Waikato during the New Zealand

wars of the 1860s. In 1939 the Papakura Military Camp was established for mobilisation and training for

war overseas. This triggered an expansion and development of the area. It is still an important army

base today.

The population of the Papakura local board area is 45,600 and, with a growth rate significantly above

the Auckland average, it is projected to increase to 70,200 by 2033. The population is slightly younger

than the whole of Auckland with just under a quarter of residents being 14 years or younger and just

under a third below 20 years. At 28% the Māori population ranks third among the 21 Auckland local

boards. The ethnic composition of Papakura is forecast to significantly change with population growth

with a relative drop of the European proportion and an increase of the Māori, Pacific and Asian

populations. The number of children per family unit as well as household sizes are similar to the rest of

Auckland, however, family composition varies vastly with a higher percentage of one-parent families

with children. The education levels of the Papakura population are significantly lower than the Auckland

average as are personal income levels. Employment rates are slightly below the Auckland average. A

large number of census area units have a high level of deprivation, with deprivation levels of 9 or 10.

2.4 The changing need, and future focus for the Museum

Given the above demographic projections, a different strategic approach may be required to meet their

specific needs and to reduce the dampening effect on the visitor growth rates. The accelerated

projected population growth of Papakura presents a mix of opportunities and challenges, with the

museum’s visitor base likely to expand in the future. A shift in the demographic profile of the area

requires a strategic shift in its marketing and visitor targeting strategies.

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3. Strategic Context This section describes Papakura Museum and the context in which it operates. The below diagram

summarises the key strategic documents that make up the strategic context for the museum and inform

its strategic focus.

Figure 2: Strategic Context

Appendix 2 provides further detail on the Toi Whītiki goals and objectives, that have been considered in

the development of the strategic objectives and priorities for the museum.

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4. Vision, Mission & Objectives

Figure 3: Mission, Vision & Objectives

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Figure 4: FY19-20 Objectives and Strategies

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5. Operating Model The Museum is an independent organisation that is funded by Auckland Council, The Papakura Local

Board and external grant funding. The key document that underpins the Museum’s main funding is the

annually renewed Auckland Council Funding Agreement – Papakura Museum that is entered into

between Auckland Council, represented by its Arts and Culture Advisor, and the PDHS, represented by

the Museum Manager. There is good alignment of purpose between main stakeholders, a trusted

relationship with the owner PDHS and strong support from the Local Board.

The current operating problem is challenging, this is evidenced by the following key factors:

• The museum has not broken even in the last three years and continuously required a further

operating top-up from the Local Board.

• Providing its current service offering in the future without any changes in its funding situation

will likely lead to further operating deficits.

• The majority of the museum’s costs are fixed, resulting in minimal opportunities to improve

financial results by reducing service offerings.

• A funding portfolio that is heavily reliant on a single source of funding poses a risk during

economic downturns or changes in local government policy (i.e. funding cuts in the arts space).

5.1 Funding, Governance, Management and Operations The Papakura and Districts Historical Society is the founder and owner of the Museum. The Museum is

managed by the Museum Manager, who is currently supported by two part-time staff and a range of

volunteers. The PDHS Trustees also support the Museum’s operations and participate in outreach

initiatives. Relationships with other organisations also exist; these are discussed at Section 5.2 below.

This is represented by the figure below.

Figure 5: Governance Structure

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5.2 Partnerships

The Museum has a number of relationships with other organisations; these are represented in Figure 6

below.

Figure 6: Collaborators

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While some partnerships exist, there is an opportunity for further development in this area. Currently,

there is limited capacity of the current staff members to pursue new strategic partnerships and funding

opportunities, that would produce a more diverse audience to the museum exhibitions and a wider

range of ancillary activities at the museum, for example educational seminars, training workshops or

informative social events run by local clubs and community groups. There is also the potential to pursue

corporate sponsorship with businesses in the area.

Additional staff capacity would be required to enable this strategic objective to be delivered. Building

relationships and securing funding to support new initiatives is time consuming and requires a different

set of skills from the museum curation and administration skills of the existing staff. Training provided

for the existing museum staff, or additional funding to employ external support for this area, would be

beneficial.

5.2.1 Areas of Collaboration to Focus on

While collaboration between the library and the Museum is strong in specific areas such as school

holiday activities, a more in-depth understanding of each other’s organisation could be beneficial. The

two organisations should identify opportunities for more collaboration, in areas such as collection

records, oral histories, cross-referencing visitors who do research and addressing the low street visibility

of both organisations. For perspective, the local library opposite gets about 700-1,000 visits per day and

while this is obviously driven by a different service offering, there could be potential for the Museum to

take more advantage of that foot traffic. One specific example could be the alignment of hours open, if

additional funding could be secured to support the extra staff time.

A core objective of diversifying the revenue streams, and attracting more funding, would be so that the

Museum can be open on Saturdays and Sundays to encourage family togetherness and community

initiatives. The below table demonstrates the contrast between the Museum’s current open hours and

the Library’s current open hours.

Museum’s current open hours Library’s current open hours

• 10am - 4.30pm Monday

• 10am - 4.30pm Tuesday

• 10am - 6pm Wednesday

• 10am - 4.30pm Thursday

• 10am - 4.30pm Friday

• 10am - 3pm Saturday

• 9am - 6:00pm Monday

• 9am - 5:00pm Tuesday

• 9am - 7:00pm Wednesday

• 9am - 5pm Thursday

• 9am - 7pm Friday

• 9am - 4pm Saturday

Other areas that will be focused on include iwi. For example, closer relationships with the Marae, which

has a very active group of korowai weavers, for example, could be explored. The detail of potential

partnerships should be agreed as part of the priority setting exercise, for the 2019/20 financial year.

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5.3 People Resourcing

The museum is professionally run by staff with ambition, who want to deliver high quality and are on

the look-out for ambitious opportunities including international touring exhibitions and want to make a

difference in the community. There are two permanent part-time staff; the Manager, Financial

Administration, and Curator. These staff are supported by volunteers. Volunteers play a major role in

the museum’s operations, with their contribution estimated at almost half of the museum's operational

budget, calculated at market rates.

The future state that we aim to achieve over time, should the funding be available, would include a

complete staffing contingent, as follows:

• Full time Curator / Collection Management (30 hours : 5 days)

• Full time Manager / Financial Administrator (30 hours : 5 days )

• Full time Receptionist / Host (30 hours : 5 days)

• Part time Education Co-ordinator (18 hours: 3 days)

• Part time Researcher / Family History assistant (18 hours: 3 days)

The roles and experience required to operate the Museum can be divided into the following categories:

Role Hours per week Annual salary

Curatorial / Collection care / Exhibition Design & Installation

25.5

Management / Financial Administration / Exhibition design and Installation

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Receptionist / Host / Social Media 23 $29,000 (if external funding secured)

Sub Total $91,000

Education vacant

Research / Family history vacant

Volunteers Add costs of these services

Total number of hours per week 72.5

Staff (FTE) to visitor ratio 1.8 : 14,434 1 : 8019

Table 1: Museum Roles Source: Papakura Museum Management

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5.4 Risks and Mitigation

Risk 1: Financial viability

There is a significant risk that the museum will not

achieve financial sustainability into the future. This is

discussed further in Section 12 below.

Papakura Museum’s financial sustainability is under

threat due to the current over-reliance on a single

source of funding. In its current form, the Papakura

Museum receives the majority of its funding from a

local governing body (Auckland Council). The Papakura

Museum would benefit from undertaking a process

that would diversify its revenue streams and ensure it

receives revenue from a variety of sources.

Mitigation

Financial analysis undertaken in 2019 showed that

other small museums around New Zealand have a

more balanced funding approach, obtaining their

funding from multiple revenue sources. There is an

opportunity to diversify the museum’s revenue

portfolio by reallocating the existing resources or

obtain additional funding to identify and secure other

funding streams.

It is recommended that either a commitment is made

to invest in staff development and upskilling in the

area of grant applications, or these skills are purchased

externally.

Reliance on volunteers

Volunteers play a major role in the museum’s operations,

with their contribution estimated at almost half of the

museum's operational budget in market rates. There is a

significant dependence on volunteers and, whilst not

inappropriate, it does present a risk if some of this pool is

unable or unwilling to continue or if this pool is not

replenished with natural attrition.

Mitigation

Ensure a pipeline of new volunteers is developed, by

attracting a broader range of persons, to volunteer at

the museum, specifically young people, and new New

Zealanders

Risk 2: Maintaining relevance into the future

Currently the visitor pool is not expanding, and is not

proportionally representative of the demographics in

the area. While the Museum considers feedback from

current visitors, there is little engagement with those

who do not already visit the museum, about what they

might like to see, that would attract them to the

facility.

Mitigation – Diversifying the audience

Undertake a consultation with representatives of the local

community to better understand the needs and expectations

from the population. Consultation with the community

might be worth considering in the future as part of updating

the business plan. For example, “What would people like to

see at the Museum?” is a question that could be asked

during the Local Board Plan consultation period.

Leverage off the Council functions to support the Trust to get

the feedback they need and encourage collaboration with

others.

There is an opportunity to better utilise technology and

online social media forums, to reach a wider audience, and

build relationships.

Risk 3: Attracting good staff

Maintaining a high quality curator has been recognised as an

essential component of the Museum being able to provide

high quality exhibitions and professional collection care.

Salaries are modest and there is also a lack of certainty over

the duration of people’s employment, due to the financial

instability and annual budget cycles.

Mitigation

Achieve commitment from the Local Board to fund the

base operations for a period of up to five years, with a

gradual reduction in support throughout this time,

until alternative revenue streams are secured.

Table 2: Risks and Mitigation

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6. Organisational Values

6.1 Ō Mātou Tikanga – The Principles we Live By

The guiding principles of the museum are:

• Ka mau tonu nga taonga tapu o nga matua tupuna

(Hold fast to the treasures of our ancestors)

• Me titiro whaka muri tonu I to ekenga whaka mua

(Continue to look at the past and draw on knowledge as you journey forward into the future)

The organizational values are:

• Connected – locally, biculturally, nationally, globally

• Engaging – welcoming, dynamic, fun

• Trusted – guardianship, integrity, authenticity

• Sustainable – accountable, responsible, safe and secure

7. Museum Services

7.1 Core services to be delivered

The Museum is currently open 6 days per week (Monday to Friday 10am - 4.30pm, Wed 10am - 6pm,

Saturday 10am-3pm), a total of 39 hours. Entry is free.

The core services provided by the museum include:

Maintaining current opening hours;

• Providing quality exhibitions that attract visitors;

• Increasing visitation by local visitors but also by those from other areas of Auckland (drawn by

the exhibitions) and regional tourists;

• Providing quality educational experiences and outreach programmes (for school children);

• Appropriate storing and cataloguing of the collection/archive materials, overseen by a

professional (usually the curator).

These services are provided by the delivery of key initiatives within each of the key areas of focus;

visitors and community, collections, care and research, digital and publicity, educational programmes,

public programming and exhibitions and display, as demonstrated by Figure 7.

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Figure 7: Core and Additional Services

The ‘core museum operations’ includes expenditure associated with the general operation of museum

facilities, collection care, and research. These costs need to be incurred in order to continue opening

museum doors to the general public.

Figure 8: Core Operations

7.2 Additional Services Expenditure under the ‘additional service areas’ section includes costs associated with any additional

activities undertaken by the museum staff, for example showing temporary and touring exhibitions,

providing educational programmes to students, hosting curator talks, functions, etc. While these

activities affect the overall museum visitor numbers, it is assumed that they can be scaled up or down in

response to the changes in museum objectives. The financial analysis noted that as these activities are

primarily designed and implemented by both fixed cost staff and volunteers, the marginal cost to the

museum is near-zero whilst the marginal benefits (increased visitation) are impactful. However, the

opportunity cost of staff/volunteer time was noted.

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Figure 9: Additional Service Areas

7.3 Key strengths of the Museum’s services

The Museum achieves a lot and provides quality services, with its key strengths including:

Space & location: The Museum is located in an easily accessible central location and in a state-of-the-art

space that gives credibility and allows access to collections from lenders/donors. It offers a well

presented, clean, tidy visitor experience.

Programme, exhibitions & displays: It preserves, researches and tells the history and heritage of the

local area, offers quality exhibitions (including touring regional or overseas exhibitions) and gives a local

dimension to national themes (e.g. WWI).

Community & visitors: It has a good schools and school holiday programme and offers hands-on services

such as help with family genealogy. Its small size allows flexibility to implement visitor suggestions and

personal contact; e.g. in its research room. The Museum adds richness to the community and a sense of

place in a very diverse and growing area of Auckland.

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8. Key Performance Measures and Targets &

Priorities for (FY19-20) A review and analysis of the Papakura Museum’s Funding Agreements showed that the museum’s

strategic objectives and deliverables are broad and extensive in their nature. The below objectives and

deliverables aim to specify to a greater degree of detail in order to establish clear expectations and to

provide ongoing assurance to its main funder (Auckland Council) that the museum is fulfilling its funding

obligations.

8.1 Priority Areas to be Focused On

A key focus of the Museum over the next five years will be to diversify the museum’s revenue portfolio

by reallocating the existing resources or obtaining additional funding to identify and secure other

funding streams. This will require:

• Developing a plan to secure additional funding,

• Making the museum better known to scholarly researchers,

• Aligning the museum’s work to national funding priorities, and

• an investment into staff development and upskilling, or the purchase of these skill sets

externally.

It is important to note that the population of Papakura is forecast to grow at a significantly higher rate

than Auckland’s average growth rate. This will likely lead to an increase in the number of visitors to a

museum over time. It is therefore to be expected that funding for the Papakura Museum should

increase at a rate greater than either inflation or an average applied to other museums in Auckland.

Further, the ethnic composition of the area is predicted to change, with a greater prevalence of Maori,

Asian, and Pacific people. Historically, visitation rates for the Asian and Pacific populations are lower

than their representation in the area. A different strategic approach may be required to meet their

specific needs and to reduce the dampening effect on the visitor growth rates.

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In line with the objectives outlined earlier in the Business Plan, the FY 19/20 priorities are as follows:

Figure 10: FY 19/20 Priorities

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Figure 11: FY 19/20 Priorities Continued

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8.2 Objectives and Measures

The following measurables for each of the key objectives have been identified:

1. Museum Visitors

1.1 Achieve visitor numbers (5% increase over previous year) *Review counting methodology 15,750

1.2 Achieve some visitor donation revenue (20% pay $2 gold coin donation) $6,300

1.3 Achieve paid admissions to exhibitions (10% of overall visitors @ $2 each) $3,150

1.4 Achieve % of visitors rating their Museum experience as satisfied or very satisfied ≥ 95%

1.5 Ensure all staff have completed relevant customer service training 95%

1.6 Maintain a healthy, safe and secure facility by achieving IQP reports complying with the

current Building Act and obtain Building Warrant of Fitness Monthly

1.7 Add more programmes for schools groups, youth, and older audiences 3

2. Our Programmes

2.1 Develop, deliver and evaluate 10 special exhibitions 10

2.2 Achieve paid admissions to some exhibitions 3

2.3 Achieve 500 media hits (print, broadcast and on-line media) 600

2.4 Seek exchange exhibitions from other musuems 3

2.5 Achieve (100?) individuals receiving a Museum education programme delivered either by our

staff or their own teacher

100?

2.6 Answer 100% of external written/phone/email enquiries within 5 working days (total number to

be reported)

100%

2.7 Programmes that meet economic and environmental sustainability outcomes 30%

2.8 Showcase a number of temporary and touring exhibitions 5

3. Our Collections

3.1 Catalogue all newly offered objects processed 100%

3.2 Make collections more accessible by adding records and images to number of Collections Online

(progress all records and objects to be available online) items loaded each year

4. Our Research

4.1 Undertake professional visitor survey research to drive continuous improvement Achieve

4.1B Proactively promote our Museum Research Room

5. Our People and Working Environment

5.1 Provide visitor training to all staff 100%

5.2 Over 75% of all waste is recycled/reused 75%

5.3 Ensure the Museum’s occupants remain in a safe environment where there are Zero Notifiable

Events

Zero

Notifiable

Events Table 3: Measurables for Key Objectives

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10. Budget / Financial

10.1 Benchmarking Analysis

A benchmarking comparison exercise revealed that the services the museum is currently providing

exceed the average level of services offered by the other small museums around the country. It was also

found that it achieved this with a more efficient use of resources.

To determine whether the museum is providing value for money for its main funder in its current state,

a benchmarking exercise was performed to compare the Papakura Museum’s operations to the industry

averages. The analysis showed that the museum is using its resources efficiently and effectively:

• Its operating expenditure (both in dollar value and its distribution across the cost categories) is in line with

the other small museums around the country while attracting more visitors than the majority of the other

small museums in the sample.

• Papakura Museum employees attend to approximately 1,000 more visitors per one FTE than the other

small museums (approximately 15% more on average).

• It showcases a similar number of temporary and touring exhibitions as the other small museums around

the country.

Furthermore, it provides a range of other services at a minimal (and largely fixed) cost: educational

programmes, outreach programmes, online quizzes, curator talks, workshops, networking and

partnership events, etc.

An analysis of the Papakura Museum’s current and forecast financial position showed that, with its

current funding arrangements, there is a significant risk that the museum will not achieve financial

sustainability into the future. This is due to the following key factors:

• The museum has not broken even in the last three years and continuously required a further subsidy from

the local board.

• Providing its current service offering in the future without any changes in its funding situation will lead to

further operating deficits.

• A funding portfolio that is heavily reliant on a single source of funding poses a risk during economic

downturns or changes in local government policy (i.e. funding cuts in the arts space).

This analysis was also tasked with estimating the financial cost of volunteers. Translating their

contribution into market rates showed that the market value of their contribution is over $50,000

(approximately half of the museum’s operating budget). Because this represents over a third of the

operating revenue of the museum, ensuring the continuity of the volunteer base is of the utmost

importance.

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10.2 Five-Year Revenue & Expenditure Projections

A high-level gap analysis identified the difference between available funding and projected costs over

the next five years. The amount required to top up the Museum, to assist in achieving operational

sustainability after five years is summarized in the below table. Table 4: Revenue Streams

10.3 Forecast Funding and Costs 2020-2024

Forecast Total Expenditure is anticipated to increase slowly over the next five years.

Papakura Museum Financial

Analysis

Units Actual

3-year

average

Forecast

2020

Forecast

2021

Forecast

2022

Forecast

2023

Forecast

2024

Expenditure Personnel expenses $ 107,416 108,266 110,488 112,755 114,621 116,973

Staff training $ 199 203 207 211 216 220

General expenses $ 13,749 14,024 14,305 14,591 14,882 15,180

Conservation expenses $ 1,258 1,283 1,309 1,335 1,362 1,389

Insurance $ 2,397 2,445 2,494 2,544 2,595 2,647

Other expenses $ 2,608 2,660 2,713 2,767 2,823 2,879

Exhibition expenses $ 19,626 20,018 20,418 20,827 21,243 21,668

Partnerships $ 2,178 2,221 2,266 2,311 2,357 2,405

Digital and publicity $ 7,579 7,730 7,885 8,043 8,203 8,367

Total Expenditure $ 157,009 158,851 162,084 165,383 168,303 171,728

Volunteer labour market cost $ 50,277 51,283 52,308 53,355 54,422 55,510

Total Expenditure with

volunteer labour

$ 207,286 210,134 214,393 218,738 222,724 227,238

Table 4: Five-year forecast of funding gap position

For the purpose of this analysis, these forecasts are for baseline operations only and do not consider any

additional aspirational programmes.

The major aspects underpinning this forecast are:

• Auckland Council revenue for FY20 being equal to the three-year average (FY17-FY19), inflated

at 2% (and 2% thereafter). This assumes an average rate of both base funding and ~$5k of

additional funding provided per annum for special causes, on a case-by-case basis. This $5k is

provided through the Local Board contestable fund and needs to be applied for each year. This

aspect of Auckland Council is not guaranteed and thus brings with it a degree of risk to the

forecast.

• Papakura Local Board Locally Driven Initiatives Top-Up Funding, for FY20 being equal to the

three-year average (FY17-FY19), inflated at 2% (and 2% thereafter).

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• Grant funding for FY20 being equal to the three-year average (FY17-FY19), inflated at 2% and

increasing by approximately 5.5% per annum. This is a more aggressive rate of increase and

reflects determined focus on pursuing grant revenue.

• Operating budgets equal to those provided by Papakura Museum management. These have not

been reviewed or audited. A more detailed financial analysis could quantify these costs and

provide the platform for trade-offs to be made.

It is understood that historically, operating losses have been funded by the local board. This approach

places undue pressure on the local board’s annual budget and is not sustainable. As the Papakura

Museum is meeting all of its objectives and operating efficiently, revenue projections should be set to

ensure breakeven operation.

Further, in order to diversify revenue streams to a level more consistent with other similar sized

museums, a five-year plan towards greater grant revenue (or other funding sources) should be pursued.

The table below proposes a five-year transition plan to:

• Initially increase local board funding to breakeven levels and

• Seek progressively more grant funding (to a place whereby top-ups are not required).

Table 5: Forecast Revenues

There is also logic in seeking additional Auckland Council ABS funding to ensure per-capita funding

remains constant as the local area grows and population demographics change. It will be critical to

ensure that funding is tied to the Council long-term planning process. Each long-term plan is for three

years and this will provide the museum with certainty and a 66% reduction in funding applications.

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11. Progress Reporting The Museum has previously completed a table of actual activities in relation to the key performance

indicators (KPIs) set in Schedule 1 of the Funding Agreement annually and reviews this with Council. The

Museum also prepares an Annual Report summarising its achievements as well as future aspirations.

The Purpose from the Funding Agreement, and subsequent KPIs / measures, align with the reporting

requirements of Council, so that there can be an assessment of whether the activities meet the services

expectations.

11.1 Quarterly Reporting

Quarterly reporting to Council is required to be entered into an online reporting platform called

SharePoint, in the format provided at Appendix 4.

11.2 Annual reporting

A summary of the programme measured against Toi Whitiki Objectives (Schedule 1 document attached)

• A financial report

• Details of future aspirations and strategic planning

• Highlights and challenges of the year

Annual numbers are also provided to Council; these headings correlate with the monthly online

reporting system and include:

• Visitors (should reconsider how these are counted)

• Performances

• Programmes

• Attendees at performances

• Participants in programmes

• Offsite Programmes

• Offsite Programme Participants

• Programmes that meet Māori Outcomes

• Volunteer Hours

A full Annual Report is also provided by the Museum, to the Board and the Council. Further work is

needed to establish a baseline monitoring and reporting framework that is acceptable to the Museum,

the Council and any potential third party funders.

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12. Implementation

For this Business Plan to be effective, significant commitment needs to be made by both the Museum

Staff, the Local Board and the Council to operating in a manner consistent with that of the Business Plan.

The three critical next steps include:

1. Agreeing on the annual objectives and measures (for inclusion in the Funding Agreement)

2. Confirming the monitoring & reporting requirements (for the PDHS, Local Board, & Council)

3. Bringing the staff along for the journey, specifically in building capability and capacity to develop

a plan to diversify the funding streams, and to assist with the funding application process.

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APPENDIX 1: Papakura Museum Funding Agreement FY19/20

[Replace with the new Scope, prepared for the FY19-20 Funding Agreement]

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APPENDIX 2: Toi Whītiki goals and Objectives

Toi Whītiki goals Objectives You may consider the following

1. All Aucklanders

can access and

participate in arts

and culture

Increase opportunities for

Aucklanders to experience and

participate in arts and culture

Wide-appeal, family-friendly opportunities

Programmes for school groups, youth, older audiences

Expanding the use and reach of digital media

Initiatives to remove barriers, e.g. subsidised tickets, sign

language, multiple languages, audio accessibility, etc.

Better communicate what’s on

offer

Remove barriers to access and

participation

2. Auckland values

and invests in arts

and culture

Grow and deliver strategic

investment in arts and culture

to enable a thriving and

resilient sector

Building volunteer-led activity

Growing memberships; Members/ Friends/Patron schemes

Fundraising and sponsorship initiatives

Programmes that meet economic and environmental

sustainability outcomes

Evaluate and promote the

economic, social, cultural and

environmental value of

investment in Auckland’s arts

and culture

3. A network of

vibrant arts and

culture organisations

and facilities

Promote your local area as a

cultural destination.

Supporting local events through community partnerships

Collaborating with other arts partners and Community Places

(community facilities, halls) in your local board area Provide a regional spread of

vibrant diverse and affordable

creative spaces

4. Arts and culture is

intrinsic to

Auckland’s place-

making

Tell our stories by encouraging

unique and distinctive local

stories, exploring identity and

local themes

Activities that explore the significant stories and themes for

your local board area

5. Auckland

celebrates a unique

cultural identity

Celebrate Māori and their

culture as a point of difference

Programmes that embrace Māori traditions and

understandings

Increased opportunities for Māori to participate in arts and Support and celebrate creative

excellence

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Promote Auckland as a

creative city with a unique

cultural identity

culture activity as audience and practitioners

Engaging a range of cultural expressions that reflect the

diversity of cultures across Auckland

Programmes that deliver on the UNESCO Creative Cities

Network (UCCN) Auckland City of Music strategy*

Support Matariki Festival

6. Auckland has a

robust and

flourishing creative

economy

Champion the creative sector

to grow Auckland’s economy

Membership/Friends/patron/sponsorship activities

Activities that support the growth and development of new

audiences and/or practitioners

Providing training and professional development

opportunities within your organisation

Delivering learning opportunities for a variety of

demographic groups and skill levels

Partnering with community groups to increase participation,

programme visibility and to leverage funding

Activities that contribute to your organisation’s long-term

sustainability

Foster education,

collaboration and professional

development for the creative

sector.

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Appendix 3: A proposed Monitoring and Reporting Framework

Strategic Objective KPI Measurable Demonstration of

Progress

E.g. Making our

collections accessible

Strategy 1: Making

accessible and caring

for a distinctive and

growing collection of

artefacts and taonga

E.g. Success Measure:

By utilisation of our

collection and taonga

in exhibitions and

educational

programmes,

publications and

research, confirm our

distinct character and

visitation levels

E.g. Annual Key Initiatives:

*Developing, cataloguing, and

preserving our Taonga

(accessions, collaborating with

local iwi) *Enabling access to

our artefacts (digesting

collection, visits to digested

collection) *Increasing public

access to our collection

*Focusing our resources on

preserving, cataloguing and

enabling our collection to be

easily accessible and exhibition

ready

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Appendix 4: Monthly Reporting Format

Month * Month you are entering stats for

Partner name * Organisation you are entering stats for

Number of programmes

*

A programme is a planned arts and culture activity. It might comprise of several repeated,

sequential or similar sessions (for example, an exhibition, theatre season, tuition term,

residency, competition), or may be a stand-alone activity (such as an ANZAC Day performance,

or a gallery opening). Generally, only activities that have a public component should be

counted as programmes.

Number of programme

sessions. (This field is

optional)

Use this field only if your programmes have more than one self-contained-iteration. e.g. a

series of four pottery workshops would be one programme and made up of four sessions.

Another example would be the numbers of performances of a single play in a theatre season.

Number of programmes

that meet Māori

outcomes *

A programme that meets Māori outcomes will be based on at least one of the following:

tikanga (practises), mātauranga (knowledge), te reo (language), kaupapa (ideas). It is not

necessarily about how many Māori contributors or participants are involved.

Total attendees /

participants *

This is anyone who attended or participated in the arts programmes your organisation

delivered. e.g. audience members, students, workshop or seminar attendees, gallery or

museum visitors, exhibiting or resident artists, volunteers or performers. It doesn’t include

everyone who has set foot on your premise. It excludes attendees at non-arts events, passers-

by, bathroom users, café or bar patrons, and paid staff.

Programme types * Classes

Education programmes

Exhibitions

Holiday programmes

Openings

Other arts activities

Outreach programmes

Performances

Recording Sessions

Rehearsals

Residencies

Screenings

Seminars / artist talks

Tours

Tutoring/Mentoring

Workshops

Select as many as required. If there is a programme type that your organization regularly

delivers that is not featured here, let us know

Highlights for the month The highlights field is where you can let the local board know about your achievements. This is

a good place to celebrate how your organisation has: - delivered to youth, diversity or

accessibility outcomes - met Māori outcomes or engaged mana whenua - delivered to specific

local board outcomes - delivered to Toi Whītiki objectives - attracted a particularly big or new

audience - had a high level of community engagement (e.g. volunteers, youth or family) –

worked in collaboration with another organisation - or contributed to Council initiatives such

as UNESCO City of Music or Matariki Festival.

Me titiro whaka muri tonu to ekenga whaka mua

Continue to look at the past and draw on that knowledge as you journey forward into the future.

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