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t h e n ew no rma l
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effective dialogue
with stakeholders
Dialogue with shareholders,
owners and other stakeholders
was issue number two for the
Private sector, with over 25%
of Chief Executives rating it
as among their top three to
five challenges.
In the Private sector much of the
dialogue with shareholders appears to
be around the availability of capital, and
the performance and growth challenges
noted earlier in this report. One Chief
Executive illustrated this issue well,
saying that “soft trading conditions
make it challenging to deliver year-on-
year growth and meet the expectations
of the shareholder. This is complicated
through operating with fewer employees
given the downsizing that was needed
during the global financial crisis”.
Some recent well publicised cases have
also highlighted directors’ obligations,
including what must be disclosed and
when it should be disclosed.
ef fect i ve d i alogue wi th stakeholders
0% 15% 20% 25% 30% 35%
item ]
20%
30%
40%
50%
nked item ]
item ]
item ]
10%
15%
20%
st highly ranked items ]
nked item ]
10% 15% 20% 25% 30%
ked item ]
nked item ]
nked item ]
10%
15%
20%
25%
st highly
nked item ]
ked item ]
nked item ]
st highly
nked item ]
0%
5%
10%
15%
20%
25%
PRIVATE SECTOR
PUBLIC SECTOR
NOT-FOR-PROFIT SECTOR
[ 5
th most highly ranked item ]
[
Outside the 10 most highly ranked items ]
[
Outside the 10 most highly ranked items ]
8)
Cultural Barriers
0%
5%
10%
15%
20%
25%
PRIVATE SECTOR
PUBLIC SECTOR
NOT-FOR-PROFIT SECTOR
[ 6
th most highly ranked item ]
[
Outside the 10 most highly ranked items ]
[ 5
th most highly ranked item ]
9)
war for
talent
10)
govt led change
0%
5%
10%
15%
20%
25%
PRIVATE SECTOR
PUBLIC SECTOR
NOT-FOR-PROFIT SECTOR
[
Outside the 10 most highly
ranked items ]
[ 3
rd most highly ranked item ]
[
Outside the 10 most highly ranked items ]
0%
5%
10%
15%
20%
25%
PRIVATE SECTOR
PUBLIC SECTOR
NOT-FOR-PROFIT SECTOR
[ 10
th most highly ranked item ]
[ 9
th most highly ranked item ]
[ 4
th most highly ranked item ]
11)
social
responsibility
12)
dialogue with
shareholders
0%
5% 10% 15% 20% 25% 30%
PRIVATE SECTOR
PUBLIC SECTOR
NOT-FOR-PROFIT SECTOR
[ 2
nd most highly ranked item ]
[ 6
th most highly ranked item ]
[ 10
th most highly ranked item ]
There are a myriad of reporting
requirements, the most important
legislation being the Companies Act,
the Financial eporting Act, the Securities
Markets Act and the NZX / NZAX
Listing Rules.
In the Public sector there are also
an abundance of requirements and
challenges around dialogue within and
across departments and agencies.
In the Not-For-Profit sector, it was the
non-government organisations (NGOs)
that provide social services for the
government that rated this issue as
one of their top challenges. For those
organisations, the dialogue is, again,
around funding, with the government
wanting funding models that do
not even cover basic costs for those
NGOs. Many also believe that funding
strategies are determined by government
departments without consultation with
or notice to providers.
key findings //
12:
effective dialogue with stakeholders