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GOVERNANCE AND MANAGEMENT Annual Report 2015 | 1 2015 ANNUAL REPORT Southern Institute of Technology

2015 Annual Report

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Page 1: 2015 Annual Report

GOVERNANCE AND MANAGEMENT

Annual Report 2015 | 1

2015ANNUALREPORT

Southern Institute of Technology

Page 2: 2015 Annual Report

Private Bag 90114

133 Tay Street Invercargill

Phone (03) 211 2699

Fax (03) 214 4977

Freepost 62685

Free Phone 0800 4 0 FEES (0800 4 0 3337)

Website www.sit.ac.nz

INDEX 03 Mission and Goals

04 2015 Highlights

06 Governance and Management

06 Chairperson’s Report

07 Chief Executive’s Report

09 Statement of Responsibility

10 SIT Council and Management Team

13 Student Achievement

20 Student Support

23 Māori and Pasifika Focus

28 International Students and Partners

32 Community, Industry, Business

38 Staff Highlights

48 Statement of Service Performance

53 Independent Auditor’s Report

56 Statement of Accounting Policies

63 Financial Statements

89 Glossary of Acronyms

Page 3: 2015 Annual Report

Goals and Continuing Objectives

Provide for and encourage student participation and achievement in a range of quality learning opportunities and services

ª Enhance academic achievement and satisfaction of stakeholders

ª Offer a range of programmes, stair-casing opportunities, and flexible delivery modes which provide occupational and life skills

ª Improve the representation and achievement of under-represented and disadvantaged groups

ª Provide a range of student and staff support services

Foster our social and professional obligations to both stakeholders and staff

ª Foster and enhance relationships with all external stakeholders

ª Enhance and promote an understanding of Te Tiriti o Waitangi and its application to the Institution

ª Create and maintain policies which are consistent with the Human Rights Act

ª Provide a physically desirable and safe learning and working environment

Operate a viable educationally directed business entity

ª Manage the organisation effectively and efficiently

ª Demonstrate commitment to the employment and development of quality staff

ª Enhance revenue income from other than Government funded activities

02 30

Southern Institute of Technology provides quality vocational education which equips people with the knowledge and skills to be effective industry participants.

E whakarato ana Te Whare Wänanga o Murihiku i ngä ratonga huarahi kia whakarawe i te tangata kit e mohiotan-ga me ka pükenga kia mahi tika ai a ia kei roto nei I tōna ahumahi

The Mission Statement, in turn, defines the Institute’s Statement of Purpose, which acknowledges its primary commitment to its student base. By providing well-trained and competent graduates, the Institute also supports the industries and professions that provide ongoing and future employment.

Southern Institute of Technology will provide students with quality education and training services.

Ka whangaitia e Te Whare Wänanga o Murihiku ngä tauira ki ngä mätauranga me ngä akoranga tino teitei

SIT fulfils this purpose when it provides learning opportunities for its students that are industry focussed, challenging, personally enriching, valued by participants, and which equip them to apply high level skills in a variety of business, industry and professional settings.

Mission Statement Statement of Purpose

01

Annual Report 2015 | 3

Page 4: 2015 Annual Report

2015Highlights

13,090 students

EFTS

5Campuses

ª Invercargill ª Christchurch ª Queenstown ª Gore ª Auckland

Programmes

183+

96 % 92%OVERALL STUDENT

Student Satisfaction Survey 2015

OF SIT GRADUATES

Reported they were IN EMPLOYMENT

OR STUDYING

Graduate Outcome Survey 2014

78%course completion

69%qualification completion

68%retention

33%progression to higher level study from levels 1-4

Provisional Results - February 2016

$99,222,000 total net assets

SATISFACTION

$32,026,000 government funding

$8,932,000 international student fees

$801,000domestic student fees

$7,456,000 other income

$46,807,000total expenses

$2,444,000 surplus$49,251,000

total income

4 | Annual Report 2015

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STUDENT AGE*

Under 25 years

25+ years

37% 63%39% 61%Male Female

STUDENT GENDER*

STUDENT ETHNICITY*

16% 3% 6% 79% 4%Maori Pacific

IslanderAsian European Others

*Government Funded EFTS

Annual Report 2015 | 5

Note: Total exceeds 100% as some students identify with more than one ethnicity

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GOVERNANCE AND MANAGEMENT

6 | Annual Report 2015

I’m delighted to report on another stellar year for the Southern Institute of Technology (SIT) with great progress having been made on many fronts.

Our student numbers continue to be maximised and the excellent financial performance of SIT continues to ensure the sustainability of the very successful Zero Fees initiative.

Our Educational Performance Indicators (EPIs) also outline a strong result for 2015.

The existence of a strong independent tertiary provider is important to Southland. SIT has a responsibility to provide appropriately trained graduates to the Southland community and its associated industries. We continue to produce jobseekers with leading-edge qualifications, skills and experience to enhance local industry, and those further afield. This continues to support and enhance the region’s economy.

The number of international students attending SIT continues to increase, and this is providing lasting benefits to the Southland community, economically and culturally.

SIT has received accreditation and approval for both our Master of Applied Management and Master of Information Technology programmes. These programmes begin in 2016. This is another exciting step forward for SIT.

I’m thrilled to acknowledge the achievement of Penny Simmonds, who was made a Companion of New Zealand order of Merit in the 2015 New Years’ honours. The award was for services to education, sport and the community. This award acknowledges the enormous role Penny has played in the growth and on-going success of SIT and her contribution to the Southland region.

Sarah Brown

Chairperson of Council

Particular mention was made of Penny’s implementation of the enormously successful Zero Fees scheme, and the way it reversed Southland’s population decline and boosted the regional economy. Penny also instituted the marketing scheme which led to an increase in the numbers of International students at SIT from 29 in 2000 to well over 1,200 in 2015.

The students, Chief Executive, management team, staff and the members of the SIT Council have all combined to make 2015 another very successful year for SIT.

Chairperson’s Report

Governance and Management

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GOVERNANCE AND MANAGEMENT

Annual Report 2015 | 7

Chief Executive’s Report

Introductory Statement In 2015 the Southland community spent time assessing the current state of Southland and the direction for going forward.

The Southland Regional Development Strategy was endorsed and launched by the joint Southland Mayoral Forum in October 2015.

It was a privilege to be part of that process on behalf of SIT and get to a point where there was general agreement that while the economy of Southland is vitally important, people are what we need to focus on most for the future. Southland is punching well above its weight in economic terms producing 15% of New Zealand’s tradable exports with only 2.3% of New Zealand’s population. With skill shortages predicted over the next 10 to 15 years, retention of the current population, increased migration and increased international students are key to meeting the needs of local industry and retaining a high quality social and economic life.

In 2015, SIT continued double figure growth of international students, up 26% on 2014 numbers. This is aligned with the direction of the Southland Regional Development Strategy and is signalled to be an important part of the implementation process of the strategy over ensuing years.

It is this close alignment with the Southland community and Southland industries which has become such a feature of SIT. We were pleased to gain approval of our Māori Strategy and Pasifika Strategy after appropriate consultation with relevant community and Iwi groups.

Highlights in Summary ª Presentation of the inaugural Tohu Manukura Māori

Leadership Award to Chloe Hetaraka ª Approval and implementation of Māori and Pasifika

Learning Strategies for greater accessibility and better achievement outcomes

ª 26% growth in international students in 2015 ª Approval and accreditation of first two Masters in

Southland, Master of Applied Management and Master of Information Technology.

ª Three offshore accreditations with Hubei University of Education Partnership

ª Setting up of regional strategy transition group “Welcome to Southland” to link growth in international students with regional strategy

ª Largest intake of Postgraduate Diploma in Business Enterprise students

ª SIT student performance on par with sector averages for Educational Performance Indicators

ª SIT Productions provided training to Film Fiji ª SIT2LRN received over 4,000 online enrolments

nationwide after launching its online enrolment capability

ª Hosting 300 Americans on Travel and Learn programmes between January to May

ª Partnership with Southland Chamber of Commerce and business community to integrate graduates in to employment

ª Over $100,000 in scholarships and prizes donated by the community for SIT’s end of the year Award Ceremony

ª Agents’ familiarisation visits from India, Philippines, Sri Lanka

ª Two new Heads of Faculty for New Media, Arts and Business; and Trades and Technology

ª Successful application for a Murihiku Trades Academy with 40 places allocated

ª New partnership opportunities with Te Wananga O Awanuiarangi

ª Key statistics from our Graduate Destination survey• 95.7% of 2014 graduates were either employed,

self-employed or undertaking further studies within 6 months of graduating

• 96.4% of graduates were working in New Zealand with 38.3% working in Southland

• The median salary for 2014 graduates was $41,600 up on $37,400 for 2013

• 95% of graduates in 2014 were satisfied overall with the quality of programme they studied at SIT

ª Results from SIT graduate Employment Survey showed that • 77% were positive about the interpersonal attributes

of SIT graduates in relation to working with colleagues, clients and customers

• 73% showed capacity for co-operation and teamwork

• 68% showed ability to apply knowledge in the workplace

ª Alumni project launched ª Recognition of CFO and Deputy CE (Corporate) Bharat

Guha by Chartered Accountants of Australia and New Zealand for 25 years of membership as a Chartered Accountant

ª Youth Guarantee student quota met and additional allocation sought and met

ª New Campus Manager appointed in Queenstown ª Completion of Joint Research SIT/Hubei University of

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GOVERNANCE AND MANAGEMENT

8 | Annual Report 2015

Education (HUE) on Hotel Management Industry ª New sports facility extended and renovated, gym and

testing centre for staff, students and the sport and exercise science programme

ª Postgraduate Diploma in Business Enterprise 97% completion rate

ª Scholarship agreement for students with one of the world’s top ten luxury lodges – Blanket Bay

ª International Relationships signed with International College of Business and Technology Sri Lanka

ª Student Achievements • Stephen Garton, Bachelor of Contemporary Music and

Bachelor of Audio Production student was the winner of Three Minute Thesis Competition and 2015 recipient of the Fletcher Challenge Trust Award

• Dan Stryczek won the NZ APRA award for the Best Children’s Music Song of 2015.

• Environmental Management student, Olivia Taylor-Peebles, won the Kauri Seed Scholarship to attend the New Zealand Ecological Society Conference in Christchurch

• Beauty Therapy student, Tania Hayes, named New Zealand’s top make up student for 2015 by Wendy Hill Cosmetics Ltd

Financial The 2015 surplus of over $2.4m was well ahead of the $888,000 budgeted surplus. Several factors contributed to this improved result including greater than budgeted international student numbers, increased funding allocation for YG and SAC places throughout the year where targets were reached as well as increased delivery through SIT2LRN, SIT’s distance delivery unit.

Sound academic results, strong employment outcomes along with consistently high satisfaction ratings completed the picture for another successful year across the board for SIT in 2015.

I wish to acknowledge the contribution of all staff to meeting these positive outcomes across a full range of performance indicators. Staff commitment to our students and stakeholders is core to achieving these successes again in 2015, and I extend my thanks to staff for another year of superb effort.

SIT continues to thrive under the leadership of Chair Sarah Brown and Deputy Chair Peter Heenan. On behalf of all staff I record our thanks to Sarah and Peter and the SIT Council for the direction they set for the institute, the wisdom they bring to their governance roles and the commitment they have for ensuring SIT remains viable and relevant for the many stakeholders we serve.

Penny Simmonds Chief Executive

8 | Annual Report 2015

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GOVERNANCE AND MANAGEMENT

Annual Report 2015 | 9

Statement of Responsibility

The Council and management are responsible for the preparation of the Southern Institute of Technology and group’s financial statements and statement of service performance, and for the judgements made in them.

The Council and management of the Southern Institute of Technology have the responsibility for establishing and maintaining a system of internal control designed to provide reasonable assurance as to the integrity and reliability of financial reporting.

In the Council and management’s opinion, these financial statements and statement of service performance fairly reflect the financial position and operations of the Southern Institute of Technology and group for the year ended 31 December 2015.

Sarah Brown CHAIRPERSON OF COUNCIL

Penny Simmonds CHIEF EXECUTIVE

Annual Report 2015 | 9

GOVERNANCE AND MANAGEMENT

Annual Report 2015 | 9

18th April 2016

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GOVERNANCE AND MANAGEMENT

10 | Annual Report 2015

SIT Council and Management TeamSIT prides itself on its strong governance and management structure which underpins the Institute and is focussed on the provision of high quality, fiscally responsible, educational programmes that meet industry, community and learner needs.

Committees of CouncilFinance and Audit CommitteeThis committee monitors financial performance and forecast outcomes and makes appropriate enquiries into internal control systems and mechanisms. It has direct involvement in key strategic decisions that affect the financial position of SIT and has a delegated responsibility to oversee the external and internal audit process.

10 | Annual Report 2015

Academic BoardThe Academic Board is responsible to the SIT Council through the Chief Executive for the academic policies, direction and development of the Institute, and advises and responds to Council and the Chief Executive on all academic matters; develops, maintains and reviews academic policies; ratifies those programmes to be included on the TEC database; approves and monitors programmes against established standards; establishes and approves the terms of reference for any subcommittees or task forces; maintains oversight of Teaching and Learning Boards of Studies, Advisory Committees and Faculty Research Committees.

Ethics CommitteeThis committee is charged with establishing and maintaining a code of ethical conduct for research undertaken at SIT and approving or resolving of ethical issues arising from SIT staff research activity.

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GOVERNANCE AND MANAGEMENT

Annual Report 2015 | 11

Sarah Brown (Chair)

Community Appointment

Appointed as Chair by Tertiary Education Minister Steven Joyce in August 2011, Sarah has served as a community representative on the Council since 2006. Currently Project Manager for the Southland Regional Development Strategy, Sarah has also worked in human resources at New Zealand Aluminium Smelters. Sarah is a member of the Institute of Directors, and director of Electricity Invercargill Ltd, Powernet and Southern Lakes English College.

Peter Jackson Community Appointment

Peter is a Director of H2O Design Ltd, an accredited member of the Institute of Directors, Chair of the Plumbers, Gasfitters and Drainlayers Board and Deputy Chair of Site Safe New Zealand. Peter is trustee of the Apprentice Training Trust, New Zealand’s representative on the World Plumbing Council, and Business Mentor for Business Mentors of New Zealand.

Peter Heenan (Deputy Chair)

Ministerial Appointment

Peter Heenan has a strong background in business and community. Peter is the Executive Director of Finance for the HW Richardson Group, a trustee of the Southland Hospice Charitable Trust and former chairperson of both the Southland Boys’ High School and Netball Southland Boards. He was appointed as Deputy Chair by the Minister in 2011.

Dean Addie Community Appointment

Dean is the CEO of EIS Automation and Electrical, a Southland based organisation. Dean is a member of the Institute of Directors and a Fellow of the New Zealand Institute of Management. Dean holds other board and trustee roles including: National Board Member of New Zealand Institute of Management; Deputy Chair of Southland Foundation for Youth Development; Chair of Dog Island Motu Piu Trust and a board member of Southland Chamber of Commerce.

Jeff Grant Ministerial Appointment

Jeff farms deer, beef and sheep at Balfour and brings extensive agribusiness and national governance experience to the council. A former Member of Parliament, Jeff is chairman of the board of directors for OSPRI New Zealand, NAIT Ltd, TB Free Ltd, Milford Sound Development Authority, Southland Shared Services and Mt Linton Station Ltd. He is also a director of SBS Bank, Finance Now Ltd, AgResearch and Cooper Valley Holdings. Jeff has held directorships in agribusiness including former chair of the NZ Meat Board, Meat and Wool New Zealand and the Primary Industry Council.

Michael Skerrett Ministerial Appointment

Michael was recognised by SIT with the institute’s first Honorary Fellowship in 2013, and was awarded the Queen’s Service Medal (QSM) in the 2014 New Year Honours List for his leadership and contribution to Maori and the Southland community. Michael is Kaupapa Taiao Manager of Te Ao Marama Inc., Chairman of Waihopai Runaka, Waihopai Runaka representative to Te Runanga o Ngai Tahu, Chair of Murihku Holdings, Waihopai Runaka Holdings and Chair of Kaitiaki Ropu o Murihiku.

Tim Ward Ministerial Appointment

Tim Ward brings a range of business and community experience to the table. He is Managing Partner of BDO Invercargill, former chair of BDO’s national organisation and is a Fellow Chartered Accountant. A former elected member and Deputy Chair on the Southern District Health Board, Tim chaired the Audit and Risk Committee for the Board. Tim is also the Diocesan appointment to Verdon College’s Board of Trustees.

Murray Donald Community Appointment

Murray has a wide range of experience in agribusiness enterprises and farms sheep and beef in the Waianiwa district. Murray is a Fellow of the Institute of Directors, Chair of the Alliance Group Trustee Ltd and trustee of Agri-Women’s Development Trust. Formerly a director of the Alliance Group Ltd, Murray was also director of Farmers’ Mutual Group and an Advisory Group member of Geni-Ruralzone.

Council Members

Annual Report 2015 | 11

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GOVERNANCE AND MANAGEMENT

12 | Annual Report 2015

Management Team

Penny SimmondsChief Executive

Mike GrumballHead of Faculty

Trades and Technology until November 2015

Douglas RodgersHead of Faculty

Trades and Technologyfrom November 2015

Maree HowdenDeputy Chief Executive -

Academic

Head of Faculty Health, Humanities and

Computing

Teri McClellandHead of Faculty

SIT2LRN

Bharat GuhaDeputy Chief Executive -

Corporate

Chief Financial Officer

Amanda KnowlesAcademic Operations,

Student Support and BusinessDevelopment Manager

Lucille HatleyHead of Faculty (Acting)

Patsy EadeHuman Resources/

Infrastructure Manager

12 | Annual Report 2015

Phillip MorrisonHead of Faculty

New Media, Arts and Business

from October 2015

New Media, Arts and Business

until May 2015

Page 13: 2015 Annual Report

Academic AchievementEducational Performance IndicatorsReporting requirements for 2015 were changed by the Tertiary Education Commission as compared with those for 2014. Therefore not all comparisons can be directly made; however all endeavours have been undertaken to ensure the reporting below is as meaningful and clear as possible.

Educational Performance Indicators remained stable for SIT throughout 2015. While there were slight declines in some areas, these are predominately a result of changes in reporting requirements from overall combined delivery to a separation of delivery by level. It was particularly pleasing to note the increase in Pasifika learners’ course completions at all levels in SAC level 3 and above, as well as the improvements in the course and qualification completions for Youth Guarantee students, where our students were rated second in the sector for course completions at 84%.

In 2015 SIT continued its substantial investment in student support. This investment has paid off with increases in student retention from 1% to over 6% across all priority learner categories and increases in student progression from 0.2% to 13% across all priority learner categories at SAC reporting levels of 3 and above. These increases in student retention and progression were also reflected in the SAC level 1 and 2 learners.

2015 was the sixth year of SIT delivery under the Youth Guarantee Scheme, and was the largest delivery year, with over 100 students enrolling in the scheme. Throughout the educational delivery of the Youth Guarantee programmes SIT continued significant academic and pastoral support for these priority learners with this investment also yielding large benefits in increases in Educational Performance Indicators across the board. Course and qualification completions increased between 1% and 9% for all Youth Guarantee Scheme learners. As noted above course completions overall were second in the sector at 84%, and retention was up over 4% for level 3 learners. The increase in student progression of 5% to 10% for Youth Guarantee Scheme students is very pleasing given the TES emphasis on progression of students from lower levels of study to higher levels of study.

Participation

2014Actuals

2015 Target

2015Actuals

Under 25

Level 3 and above 32.8% 5.0% 32.6%

Level 4 and above 25.1% 29.0% 25.7%

Maori

Level 3 and above 11.9% 5.0% 13.1%

Level 4 and above 9.3% 9.0% 10.7%

Pasifika

Level 3 and above 2.4% 1.0% 2.8%

Level 4 and above 1.5% 2.0% 1.8%

Course Completion rse Completion Rates

2014Actuals

2015 Target

2015Actuals

All Students

All levels 79.2% n/a 77.7%

Level 3 and above 78.9% 80.0% 77.5%

Level 4 and above 78.9% 80.0% 77.6%

Under 25

All levels 80.5% n/a 78.9%

Level 3 and above 80.4% 83.0% 79.5%

Level 4 and above 81.4% 83.0% 80.7%

Maori

All levels 74.2% n/a 72.6%

Level 3 and above 73.1% 72.0% 71.3%

Level 4 and above 74.0% 75.0% 71.0%

Pasifika

All levels 65.0% n/a 68.9%

Level 3 and above 64.1% 72.0% 65.9%

Level 4 and above 59.4% 75.0% 66.5%

Educational participation and achievement outcomes (% of total EFTS) - provisional results

SAC Level 3 and Above Students

Student Achievement

13 | Annual Report 2015

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STUDENT ACHIEVEMENT

14 | Annual Report 2015

Qualification Completion

2014Actuals

2015 Target

2015Actuals

All Students

All levels 73.2% n/a 68.7%

Level 3 and above 73.2% 74.0% 68.2%

Level 4 and above 74.2% 74.0% 69.4%

Under 25

All levels 78.6% n/a 68.2%

Level 3 and above 79.7% 78.0% 68.6%

Level 4 and above 83.5% 78.0% 71.5%

Maori

All levels 66.4% n/a 59.1%

Level 3 and above 65.6% 66.0% 55.9%

Level 4 and above 67.3% 66.0% 55.6%

Pasifika

All levels 58.9% n/a 54.1%

Level 3 and above 59.5% 66.0% 49.7%

Level 4 and above 57.6% 66.0% 54.0%

Student Retention

2014Actuals

2015 Target

2015Actuals

All Students

All levels 65.5% n/a 67.5%

Level 3 and above 66.2% 58.0% 67.4%

Under 25

All levels 68.7% n/a 72.6%

Level 3 and above 71.6% n/a 73.3%

Maori

All levels 57.0% n/a 63.0%

Level 3 and above 56.0% 58.0% 62.4%

Pasifika

All levels 51.4% n/a 55.1%

Level 3 and above 50.9% 58.0% 55.6%

Student Progression

2014Actuals

2015 Target

2015Actuals

All Students

Levels 1 to 3, to a higher level

34.8% 42.0% 35.0%

Maori

Levels 1 to 3, to a higher level

36.0% 44.0% 37.9%

Pasifika

Levels 1 to 3, to a higher level

26.3% 42.0% 39.1%

Other Commitments

2014Actuals

2015 Target

2015Actuals

The number of International student EFTs

All levels 664 650 836

SAC Levels 1 and 2 Students

2014Actuals

2015 Target

2015Actuals

Participation

Maori 2.7% 3.0% 2.7%

Pasifika 0.4% 0.3% 0.4%

Course Completion

All students 81.6% 80.0% 79.2%

Qualification Completion

All students 72.8% 75.0% 72.1%

Student Retention

All students 59.5% 65.0% 68.1%

Student Progression

All students 40.4% 46.0% 40.8%

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STUDENT ACHIEVEMENT

Annual Report 2015 | 15

Youth Guarantee Students

Course Completion

2014Actuals

2015 Planned Commitment

2015Actuals

All students

Level 1 n/a 55% n/a

Level 2 73.6% 70% 84%

Level 3 82.8% 80% 83%

Qualification Completion

2014Actuals

2015 Planned Commitment

2015Actuals

All students

Levels 1 & 2 46.7% 56% 48%

Level 3 72.5% 66% 76%

Student Retention

2014Actuals

2015 Planned Commitment

2015Actuals

All students

Level 1 n/a 50% n/a

Level 2 56.7% 70% 50%

Level 3 82.5% 70% 87%

Student Progression

2014Actuals

2015 Planned Commitment

2015Actuals

All students

Level 1 n/a 40% n/a

Level 2 31.3% 55% 41%

Level 3 14.3% 35% 19%

STUDENT ACHIEVEMENT

Annual Report 2015 | 15

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STUDENT ACHIEVEMENT

16 | Annual Report 2015

Graduate Outcome Benchmarking Report

96% of Graduates Employed or StudyingThe Graduate Outcome Survey was distributed in July 2015, approximately 8 months after students completed their 2014 qualifications. The survey explored the graduates’ satisfaction with their experiences at SIT, their success in finding employment following graduation and the degree to which the skills and knowledge they had gained prepared them for their chosen careers.

The response rate was satisfactory at 41 per cent, ensuring a valid sample of over 1,000 graduates with excellent results and feedback provided.

Results showed that 96% of graduates were working or undertaking further study, with the majority enrolled at SIT for further study. Seventy-five per cent of graduates were employed and the median gross annual salary was $41,600 compared to $37,440 in the previous year.

Nearly all the graduates were satisfied with the quality of their programme with 95% expressing overall satisfaction, up 1% from the previous year. A large majority (92%) confirmed that they would recommend their programme to others and considered the programme represented good value for money.

As in 2014 SIT participated in a graduate outcome benchmarking exercise with four other ITPs.

The report was prepared from data collected by questionnaires administered by the Organisational Researcher on behalf of the participating institutions. The report also compared the selected responses received from the participating institutions against those reported in the Australian Graduate Survey (AGS) 2015 of domestic Australian university graduates. The overall response rate was 31% with SIT’s response at 41%.

SIT performed very well in the comparative exercise and was ranked the top institute by a small margin in the following categories:

ª Graduates’ overall satisfaction with the programme – 95% (average 94%)

ª Would recommend the programme to others - 92% (average 91%)

ª Programme represented value for money- 92% (average 90%)

ª Graduates studying or enrolled to study- 31% (average 30%)

Compared to 2014 SIT had fewer graduates in employment at 75% (average 78%).

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STUDENT ACHIEVEMENT

Annual Report 2015 | 17

Matt Costello who received highly commended for his entry in the 2015 Hokonui Fashion Awards menswear section, was in his first year of the Bachelor of Fashion (Design and Technology) programme when he decided to take part in the awards.

Matt spent many sleepless nights trying to come up with the garment he wanted to showcase in the awards and had to learn new techniques and use of new equipment as part of his preparation.

“Seeing something I created just walking down the runway was a huge achievement for me. I did not expect to get anywhere as there were a lot of good creations,” says Matt.

Receiving third for his garment in a high profile fashion competition was a significant achievement and he says it proved he was part of the right tertiary study programme and on the right path.

He will be in his second year of study in 2016 and has been offered an internship with Equinox Apparel.

“I’m currently working on the release of my clothing label and will be working on this throughout the years to come with the help of SIT and Equinox Apparel,” Matt says.

Altogether thirteen SIT Bachelor of Fashion (Design and Technology) students entered the Hokonui Awards across categories such as Recycled, Nightlife, Collections, Evening Wear, Street Wear, Steam Punk and Menswear and seven students received the following category awards:

ª Streetwear Award-Beverly Smit (Highly Commended) ª Recycled Award-Kasandra Rattrie (Runner Up) ª Menswear Award-Matt Costello (Highly Commended) ª Steampunk Award-Leone Mason (Runner Up) ª Open Section Merit Awards-Beverly Smith, Matt Costello ª Open Section Presented Best Paperwork-Ashleigh Clare

SIT Beauty Therapy Student Wins 2015 New Zealand Make-Up Competition

Success in Hokonui Fashion Awards Leads to Industry Internship

Tania Hayes with model and fellow Diploma of Beauty Therapy student Devon Millan

Hard work has paid off for Beauty Therapy student Tania Hayes who has been named New Zealand’s top makeup student for 2015.

The New Zealand-wide makeup competition, organised and run by Wendy Hill Cosmetics Ltd in association with tertiary training institutions, acknowledged excellence in makeup studies amongst students undertaking study in recognised beauty therapy, beauty services and/or makeup courses.

The competition has been running since 2005, and this is the second time a SIT student has taken top honours.

Wendy Hill Cosmetics Managing Director, Tiffany Pule said Tania showed an excellent understanding of photographic makeup and that was very evident from the photographs.

“Not only was her technique to a very high standard, but the makeup shades chosen were perfect for the model’s skin tone and resulted in a beautiful sparkling bride.”

Tutor Joanne Terry said she encouraged Tania to enter and was thrilled she had won. “I’m really proud” she said. “All her hard work has paid off.’’

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STUDENT ACHIEVEMENT

18 | Annual Report 2015

SIT Trades Apprentices Represent New Zealand at World Skills Competition

Skill Base for Industry Training Achieved through SIT2LRN Programme

Plumber Adam De Pass says his experience as part of the Tool Black Team is one he will never forget.

Adam and joiner Michael Good and mechanic Nick Bastiaansen (all SIT trades apprentices) formed the Southland contingent of the New Zealand team to compete internationally at the World Skills in Sao Paulo Brazil in early August.

He says he felt honoured when it was New Zealand’s turn to walk through the stage in the arena while everyone cheered and the flag waved underneath on the big screen.

“It was then that we stopped and performed the haka and made the cathedral-like arena go quiet,” says Adam.

He says that was something that not many people get to experience in their life.

Adam was the recipient of the “Best of Nations” an award given to a competitor from each country with the highest amount of points obtained through the competition. He achieved 521 out of a possible 600.

“Being awarded the “Best of Nations” award and having the honour to hold up the New Zealand flag on the world stage with a massive crowd full of people made me feel so privileged and proud to be a Kiwi.”

Michael, who had never been overseas prior to the Brazil trip, represented the joinery trade both for his team and for New Zealand.

“I felt like I was part of something big, representing our country overseas against the rest of the world,” he says.

“It was a great experience and a once in a lifetime opportunity.”

SIT National Certificate in Adult Education and Training (Level 5) graduate Doug Hall understands the importance of solid industry training. Doug began his working career as an apprentice mechanic at VTR Motors on Dee Street and during his seven years there he gained an A grade certificate in automotive engineering.

He moved on to New Zealand’s Aluminium Smelter (NZAS) where he intended working for a couple of years, however 26 years later, having changed roles a number of times, he is currently a Crew Leader at the Composite Contractor Group on site.

Doug’s employer wanted a contractor trained in mobile crane operation and Doug was selected to train him. “The skills I learnt from studying for the Level 5 Adult Education Certificate gave me an up-to-date skill base to do this well,” he says. “This studying and qualification really paid off as the contractor concerned, Nik Taylor, was selected as the Skills Crane Trainee of the Year at the 2015 Crane Association of New Zealand conference.”

Doug was initially interested in studying the Level 6 Diploma in Occupational Health and Safety, however he decided to undertake a Level 5 qualification first so that he could become comfortable with the SIT online learning system. “I had completed the Level 4 Certificate in Adult Education some years before and decided to upgrade that to a Level 5,” he says.

Doug says he received good support from SIT and the facilitators were able to answer all his queries quickly. “I would also say that having the NZAS training specialist providing support in the background was very beneficial. “It’s important that employers support their employees if they are doing any further skills training, as it benefits everyone including the business.”

Doug has just completed three unit standards for the Diploma in Occupational Health and Safety and has applied to complete another two in 2016.

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STUDENT ACHIEVEMENT

Annual Report 2015 | 19

SIT Students Prominent in Community Links

ª Bluff Hill Environmental Trust Support: Bachelor of Environmental Management students assisting with possum control and building vermin traps at the Bluff Marae

ª Environment Southland: Bachelor of Environmental Management students continuing to remove wilding pines from Mid Dome and Queenstown,

ª Forest and Bird Te Rere Reserve: Bachelor of Environmental Management students engaging in riparian planting

ª Sport Southland: internships with Bachelor of Sport and Exercise students

ª Southland Sharks: Bachelor of Sport and Exercise students providing Game Analysis

ª Southland Stags: Bachelor of Sport and Exercise students assisting with Sports Conditioning

ª Cycling Southland: Bachelor of Sport and Exercise students assisting with the Tour of Southland

ª Chrysalis Fashion Showcase: public production by students in the Bachelor of Fashion (Design and Technology), Bachelor of Contemporary Music, Bachelor of Audio Production

ª Wyndham charity fundraising event: Bachelor of Hotel Management students providing event management for this fundraiser

ª New Zealand Aluminium Smelters families’ annual hospitality function: Bachelor of Hotel Management students providing event management for this function

ª New SIT Gymnasium: Sport and Exercise students expanding links with industry and the general public

ª Land Search and Rescue: development of software to assist to track rescue personnel while in the field by Bachelor of Information Technology students

ª MS Society: development of booking system to track bookings for accommodation by Bachelor of Information Technology students

ª University of Otago: joint training experiences with SIT Bachelor of Nursing students and Otago University trainee interns at the SIT simulation suite and at Southland Hospital

ª Community health checks at various venues including supermarkets and the Invercargill Prison: Bachelor of Nursing Students

ª Ruru School Ball: contribution by Diploma in Beauty Therapy students

ª Calvary Rest home for Melbourne Cup & Christmas visits: Diploma in Beauty Therapy students

ª Fundraising for Gore Women’s Refuge, Lakes District Air Rescue Trust, Hospice Southland, SPCA and ILT Stadium Southland: Certificate in Construction students

Student Satisfaction Survey: 92% satisfiedThe purpose of the Student Satisfaction Survey is to collect information on the overall experience of students, which assists SIT to improve the programmes and services it provides.

As in the 2014 Student Satisfaction Survey an online option via Blackboard was undertaken by the majority of students and SIT continued with the use of percentage ratings to align with the methodology used by other institutes of technology and polytechnics to allow for benchmarking exercises.

Overall, 92% of the students were satisfied with the programmes they were enrolled in, compared to 93% in 2014. In addition, SIT has continued its satisfaction rating of more than 90% in the following key areas:

ª Student support services such as Health Nurse, Counsellor, Learning Assistance Tutors, Peer Support Scheme, Disability Liaison Officer, Tauira Tautoko (Maori Student Support Centre), Student Activities Officer and Library Staff

ª Library, equipment and resources ª Course content, assessments and feedback on academic

and administrative staff. Plans for 2016 include working with Otago Polytechnic and other ITPs to produce a student satisfaction benchmarking report to provide a comparison between institutions.

Annual Report 2015 | 19

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Student Support

Disability Liaison Service In 2015, 567 students declared disability on enrolment, and of these 151 (27%) accessed the Disability Liaison Service (DLS).

Student Achievements

ª 85% of students who declared disability were retained in their courses

ª 73% of students who declared disability successfully completed their courses

ª 21 students who accessed the Disability Liaison Service were Certificate graduates

ª 24 students who accessed the Disability Liaison Service were Diploma or Bachelor graduates

Student Feedback

ª 33 students who received support (22%) responded to the Disability Liaison Service Survey

ª Survey respondents identified teaching staff (38%) and word of mouth (32%) as the most common source of information about the DLS

ª 93% of survey respondents reported the DLS enabled them to continue in their course

ª 84% of survey respondents reported the service enabled them to better meet their educational goals

Student support

ª 24 students screened positive for Irlen Syndrome and were provided with appropriate remedial options.

ª 30 students received alternative formats in relation to their course work

ª 16 students accessed parking permits for on-campus car parks

ª 29 items of equipment were issued for student support and learning

ª 1842 staff support hours were delivered to support 42 students

ª 67 staff attended training sessions offered by the DLS

Life Changing Event Reminded Steve Morris of his Passion for the Environment

Steve Morris was recuperating from bi-lateral carpal tunnel surgery, when he was involved in a team trying to help a whale that had beached itself at Omaui. Although the whale was re-floated, sadly it beached itself again and had to be euthanized. However the experience had changed Steve’s mind-set towards an environmentally-related career path he had long since forgotten.

“I had lost sight of my passion in life,” he said.

He had worked in a number of mainly labour-type roles and dreaded the idea of going back to manual work. Bad experiences with study in the past, due to his dyslexia, had led Steve away from further education, but he plucked up the courage, applied and was accepted into the Bachelor of Environmental Management degree at SIT.

The Disability Liaison Officer was outstanding when it came to the assistance he required to successfully complete his study. She organised a reader/writer for Steve and he found it a lot easier just having to concentrate on what he wanted to say, rather than what he needed to write.

“It made a huge difference,” he said.

“All the tutors, as long as you’re not wasting their time, are 200 per cent behind everybody.”

Steve said he felt honoured to have been gifted with a wealth of information and found the environmental management field trips most enjoyable. He also enjoyed working on a research project in an area he is particularly passionate about – pest control, and has developed “The Number-8-Wire Pest Project’ in the hope of encouraging more New Zealanders to get on board with ideas to deal with New Zealand’s pest problem.

Steve said completing the SIT degree was the best three years of his life, educationally, personally and socially.

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STUDENT SUPPORT

Annual Report 2015 | 21

Employment Support and Speed Networking Events Assist StudentsThe following statistics were recorded for the 2015 year:

ª 109 vacancies listed on Situations Vacant ª 30 vacancies filled by SIT students (16 Domestic, 14

International) ª 152 Students received CV/employment advice (44

Domestic, 108 International) ª Employment workshops for international students

conducted six times throughout the year with each intake including approximately 60 students

SIT worked in conjunction with the Chamber of Commerce Southland to offer two speed networking events with employers and graduating students in March and in September. The March event was held with 10 employers and 10 students with each student talking to each employer. This format was changed for the September event to capture more students which was successful. Twenty-three students from the School of Business and the School of Information Technology met with 8 local employers looking for employees within the areas of Marketing, Management, Accounting and Information Technology. Very positive feedback for the event was received from both students and employers.

Students enjoying Orientation Week

Youth Guarantee Scheme2015 was the sixth year of Youth Guarantee Scheme delivery at SIT. It was the largest year to date with 108 students enrolling into the Scheme in Invercargill, Christchurch and Queenstown. For the first time the scheme was offered in Queenstown, which has proven to be a great success with five students enrolling and passing their courses successfully. Eighty-five students from various high schools also participated in the Hokonui Tertiary High School programme, which operates under the Youth Guarantee umbrella.

The Youth Guarantee Scheme was offered to trades approved courses where a high need of support for young students is required. The Youth Guarantee coordinators have regular one on one meetings with each student where goals are set to ensure they are succeeding academically and personally to their highest ability. The Youth Guarantee coordinators also work alongside tutors and other SIT support staff to ensure young people are being assisted in the best way possible. Lunches are held throughout the year and guest speakers are invited to talk to the students about personal development and achieving to their highest potential.

Achievements: ª One Youth Guarantee student received the Top Student

Award and one student received the Most Improved Student Award at the SIT Annual Award Ceremony

ª Six Youth Guarantee students received Invercargill Licensing Trust Trade Scholarships

ª One Youth Guarantee student won the novice section of the Southland Hairdressing Awards and was placed 3rd at the New Zealand National Hairdressing Competition.

ª From the total of 108 Youth Guarantee Scheme students, 104 (96%) were retained in study and 83 (76%) successfully achieved their qualifications. This represented a significant increase on the 2014 figures.

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STUDENT SUPPORT

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Other Student Services In addition to those detailed in this section, SIT provides the following services for students which were included in the student satisfaction survey and all received satisfactory ratings for 2015:

ª Learning Assistance Unit ª Health Nurse and Counsellors ª Student Activities Officers ª Library ª Peer Support

Equal Employment Opportunities (EEO)SIT has provided individual reports on the following:

ª Maori students: refer pages 23-27 ª Students with Disabilities: refer page 20 ª Youth Guarantee students: refer page 21 ª International students: refer pages 28-31 ª Staff Training and Development: refer pages 38-47

Social Sports Encourage Intercultural UnderstandingStudents participated in a wide variety of sports throughout the year:

Dodge Ball, Badminton, Basketball, Indoor Bowls, Indoor Cricket, Netball, Table Tennis, Touch Rugby, Volleyball, Yoga, SIT/Appleby Cricket

Highlights for social sports 2015

ª Cultural interaction and understanding encouraged between students, with domestic students helping international students with their English, helping them to understand new sports and rules and assisting them to feel part of a team

ª Committed students running and organising their teams on game nights

ª Social Volleyball being developed into an SIT Premier Team made up of various nationalities that made the final of the Southland Competition

ª Running “King of the Hall” Table Tennis events which has seen students participating and creating an energetic atmosphere not only at the event but prior and afterwards around campus

ª Dodge Ball grew from one minor team to two strong teams attending with international students taking part in a sport that they had not experienced previously

ª The relationship with Appleby Cricket Club which resulted in a SIT/Appleby cricket team playing in the Southland Country/Town competition

ª Students enjoying interaction with staff showing support, and an interest in them. Without this interaction at various venues social sport in 2015 would not have been as successful

ª Receiving reports from students of the benefits that participating in social sport had given them while studying

ª Students representing SIT in a proud, professional manner amongst other community sports groups

STUDENT SUPPORT

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Māori and Pasifika Focus

SIT Māori Tertiary Education Strategy Confirms CommitmentRecruitment of Maori students, their retention and success is important to SIT to give meaning to our commitment to the Treaty of Waitangi said Chief Executive Penny Simmonds.

“It is important to the students who identify as Maori to enable their future career success, and to our community and the industries and organisations within it to meet skill and employment needs.”

SIT and the Maori community have enjoyed a strong relationship for many years, and have now worked together to develop a formal SIT Maori Tertiary Education Strategy.

Chief Executive Penny Simmonds said that the percentage of Maori in the NZ population was increasing. Decades of education in NZ had not served Maori well and the need to address this was a matter of national importance and was clearly signalled in the Government’s Tertiary Education Strategy as a priority.

“It is also our duty as a tertiary education institute in New Zealand to help preserve Te Reo and Tikanga Maori as a part of the heritage of our country that belongs to everyone.”

The main purpose of the SIT Maori Tertiary Education Strategy is to improve educational outcomes for Maori at SIT by ensuring that our Maori students are well prepared for further study, employment or self-employment upon their graduation.

It offers the opportunity to build on the success of existing strategies, while integrating new ideas and practices which will provide a direction for SIT in the future.

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MAORI AND PASIFIKA FOCUS

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Programme Selection and PerformanceIn 2015, 32% of Māori students were enrolled in level 1-3 programmes and 68% in level 4+ and above. Students were well represented in subject areas, with the largest group studying towards Te Reo (22%) and the next largest group enrolled in business (21%). These groups were followed by trades, engineering and technology (12%) and health programmes (10%). Studying arts was the next most popular choice (8%), followed by tikanga (7%), sport and recreation (6%), occupational health and safety (4%) and equal numbers in education, primary industries and information technology (3%). Only 2% of students chose environmental management.

Provisional 2015 data shows a small decrease in Maori students completing courses at level 3 and above, from 74% in 2014 to 73% in 2015. There was also a decrease in qualifications completion with 59% completing in 2015 compared to 66% in 2014. SIT is committed to working with the Māori community and students to further improve educational performance, and has developed a Māori Tertiary Education Strategy to strengthen consultation with iwi and to support Māori students in achieving their study goals.

Māori Students’ Participation at SITAn important goal of the Tertiary Education Strategy 2014-2019 is to increase the number of Māori students enjoying success at higher levels. Sixteen per cent of SIT’s students identified as Māori in 2015, a figure higher than Māori representation in the Southland 2013 census population figures (12.44%). The Māori population in Southland has grown from 10,422 between 2006 and 2013 – at a slightly slower rate than the overall Southland population which has grown from 90,873 to 93,342. SIT’s longstanding, collaborative relationships with the Māori community and its strategic established relationship with Te Wānanga o Aotearoa have been influential factors in assisting with attracting Māori into tertiary education and supporting students to achieve.

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MAORI AND PASIFIKA FOCUS

Annual Report 2015 | 25

Chloe Hetaraka Wins Inaugural SIT Tohu Manukura Māori Leadership Award

Revisiting education as an adult was a daunting prospect for SIT hairdressing student and leadership award recipient Chloe Heteraka, but she took a leap of faith and followed her intuition and enrolled in the Certificate in Elementary Hair Design at SIT after attending an open evening on campus.

While studying both the Certificate and Elementary Hair Design and the Certificate in Visual Hair Design, Chloe gained first place in the Southland Association of Registered Hairdressing competitions in July for the Year 2 Novice section. She was then able to complete at the Supreme National hairdressing competition held in Auckland. Chloe says the icing on the cake was receiving the recognition at SIT Awards Night with the SIT Tohu Manukura Māori Leadership Award.

“To be in the running for such an honourable award, I was completely ecstatic, not to mention winning it!”

“My gratitude in accepting was very spiritual and humbling to me, my children and my loved ones.”

Following the award ceremony, Chloe wore the Korowai respectfully, honourably and with pride.

Still on top of the world and very thankful for the opportunity, she has recently been offered an apprenticeship at Dimensions

Hair Studio as a third year apprentice in order to complete her hairdressing certificate.

The SIT Tohu Manukura Māori Leadership Award is a new award initiated by SIT long-serving tutor Barry Leonard. The award recognises Māori students’ academic achievement, practical skills, participation and engagement in learning, and the ability to support and lead others. Māori awardees must display the following attributes: Whanaungatanga; Ako; Tangata Whenuatanga; Manaakitanga.

The SIT Tohu Manukura Māori Leadership Award is presented to Chloe Hetaraka by SIT Council member Michael Skerrett QSM, Kaumātua for Murihiku.

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MAORI AND PASIFIKA FOCUS

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Tauira Tautoko Supports Māori Students

Partnership with Te Wānanga o Aotearoa (TWoA)

SIT’s Tauira Tautoko is a support centre for Māori students located at Te Pakiaka on the Forth Street area of the SIT campus. Tauira Tautoko is managed by the Ngā Kete Mātauranga Pounamu Charitable Trust to ensure strong pastoral and pan-iwi support for Māori students.

Tauira Tautoko supports Māori learners through the provision of facilities, resources, staffing, support and cultural services in a safe, encouraging environment targeted to improve Māori achievement. The following services are provided:

ª Supportive areas for study ª Computer suite access ª Study groups and access to academic support ª Cultural advice and activities – kaumatua support, weekly

waiata sessions, access to elders, kapa haka, waka toi, Matariki celebrations, Te Reo Māori Week

ª Access and connection to local iwi/marae and cultural events

ª Student support facilities – cooking support, shared lunches, cultural food exchanges

ª Regular community guest speakers ª Access to JP ª Phone home service ª Information on health and social services available in the

community

SIT’s longstanding strategic partnership with TWoA was established to ensure that the delivery of Māori programmes at SIT is relevant and culturally appropriate, and to enable staircasing opportunities for Māori students to progress to higher levels of training. TWoA delivers the following programmes at SIT campuses:

ª Certificate in Te Ara Reo Māori ª Certificate in Advanced Te Ara Reo Māori ª Certificate in Kāwai Raupapa ª Certificate in Te Arataki Manu Kōrero ª Certificate in Money Management ª Certificate in Small Business Management ª Certificate in Te Pūtaketanga o Te Reo ª Diploma in Te Arataki Manu Kōrero ª Diploma in Te Aupikitanga Ki Te Reo Kairangi ª Diploma in Te Ara Reo Māori

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MAORI AND PASIFIKA FOCUS

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New Partnership to Develop Opportunities between SIT and Te Whare Wānanga o Awanuiārangi

Pacific Island Advisory Cultural Trust and SIT Develop New Strategy

SIT Chief Executive Penny Simmonds and Acting Chief Executive for Te Whare Wānanga o Awanuiārangi Professor Doherty have signed a Memorandum of Understanding to explore ways of working together to create new opportunities for students and staff of both institutions in areas such as programme alignment, pathways development, collaboration over teaching/learning tools and other development opportunities.

“Development of this relationship between the two institutions has been timely, as we each investigate opportunities and relationships to elevate our strategies and solidify foundations toward improving our respective presence in the tertiary sector over the next 30 years,” Professor Doherty said. “SIT was identified to have worked on extensive community building projects alongside their council and local businesses. Over the past 10 years they have created an improved economy by working together with their community to build capacity and pathway the population from education into the working environment.”

The Pacific Island Advisory Cultural Trust has worked with SIT to develop a Pasifika Tertiary Education Strategy to improve participation and educational outcomes for Pasifika at SIT.

SIT recognised the need to confirm a vision for all staff to work towards positive outcomes for our Pasifika students said Chief Executive Penny Simmonds.

“This strategy offers the opportunity for SIT and the Pasifika community to build and enhance their relationship while integrating new activities, ideas and practices which will provide a direction for SIT in the future.”

SIT and the Pasifika community have enjoyed a long standing relationship and this strategy provides an opportunity to confirm their partnership in a formal manner.

The Strategy has been informed by the Ministry of Education’s Pasifika Education Plan 2013-2017 (PEP) which aims to see “Five out of five Pasifika learners participating, engaging and achieving in education, secure in their identities, languages and cultures and contributing fully to Aotearoa New Zealand’s social, cultural and economic wellbeing.”

Pacific Island Advisory and Cultural Trust Chairman George Ngaei, ONZM said the Trust applauds this initiative, acknowledging and embracing diverse cultures whilst addressing educational needs.

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International Student Numbers Continue to Increase

Educational Relationships with International Partners

In September 2011, the Government released its “Leadership Statement for International Education”. This document proposed a set of “stretch goals” and identified areas where the tertiary education sector could make significant contributions to these goals. Specifically, the Leadership Statement stated: “International education is a sector which has great potential to grow export earnings and to contribute more widely to our trade, innovation and research goals, together with expanding tourism and improving international connections.”

SIT has been one of the leading ITPs to show strong growth in its international student population over the past five years, and is projecting further growth in the future on the basis of this strong foundation. SIT’s year-on-year growth in its international student population has been strongly supported by our local industries and communities who see the need for skilled workers, population growth, enhanced tourism opportunities, and exposing both students and local businesses to the global market. In Southland SIT works collaboratively with Venture Southland and the local secondary schools as part of the Education Southland Consortium. This consortium has been commended by Education New Zealand as a successful model for regional New Zealand.

In 2015, SIT hosted 1,231 international students, over 1,000 New Zealand permanent residents and 42 staff members from various countries, including: China, India, Sri Lanka, Nepal, Japan, the Philippines, Malaysia, Indonesia, the United States of America, the United Kingdom, Germany, Austria, Brazil, Vietnam, Korea, South Africa and Zimbabwe.

SIT has achieved the following percentage growth in the number of international students enrolled at SIT from 2011 – 2015:

ª 2011 - 2012: 10% ª 2012 - 2013: 10% ª 2013 - 2014: 20% ª 2014 - 2015: 26% (from 664 EFTS to 835 EFTS)

SIT continues to build its relationships with European partners through semester abroad studies. This has been popular with 23 students from Germany coming to SIT in 2015. These students mix into mainstream programmes and have a high quality academic standard which adds value to the classes and also helps domestic students gain a global perspective and communicate with people of other cultures. The majority of these students study in programmes such as the Bachelor of Commerce and the Bachelor of Environmental Management.

SIT’s relationship with the Hubei University of Education (HUE) in Wuhan, China has continued to grow from strength to strength. 2015 saw the first cohort of students graduate from SIT with a Bachelor of Hotel Management, and a further 12 diploma students arrived in Invercargill in preparation for commencement of their degree studies in 2016. In addition to an increasing number of students undertaking SIT programmes in English language and Hotel and Tourism Management, HUE and SIT have collaborated on another joint proposal to extend their relationship into the area of information technology. This new proposal has been approved by the Hubei Provincial Government and is currently under review by the Chinese Ministry of Education.

SIT’s partnerships with international education institutions include:

ª People’s Government of Puning, Guangdong, China & Puning Vocational Institute of Technology (China)

ª Chinese Service Centre for Scholarly Exchange (China) ª Columbian National Training Service (SENA) (Columbia) ª Flensburg University of Applied Sciences (Germany) ª Ho Chi Minh City University (Vietnam) ª Hochschule Fuer Wirtschaft (HfWU) (Germany) ª LP3i Polytechnic Indonesia (Indonesia) ª Hong Kong Polytechnic University (Hong Kong) ª Hubei University of Education (China) ª University of Applied Sciences Upper Austria (Austria) ª Vietnam National University of Agriculture (Vietnam) ª Pearson VUE Authorised Centre ª Rissho University (Japan) ª PPKS/ICATS (Malaysia)

International Students and Partners

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INTERNATIONAL STUDENTS AND PARTNERS

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SIT Deputy Chief Executive Joins NZ Asian Leaders’ Advisory Board

Memorandum of Understanding between SIT and Sri Lankan College Pleases Invercargill MPSIT Deputy Chief Executive Corporate Bharat Guha has been

elected onto the NZ Asian Leaders’ Advisory Board. New Zealand Asian Leaders was founded by leading New Zealand public law specialist Mai Chen who is a partner at Chen Palmer Law as well as Adjunct Professor at Auckland University and a board member of Bank of New Zealand.

Alongside Mai Chen, Mr Guha joins top New Zealand Asian business leaders such as Frank Cui Head of BNZ Migrant Banking, Thomas Song Managing Director of Oregon Group Limited and Director of New Zealand King Salmon Co Limited, and Dr Xiaoying Fu who is currently Investment Delivery Manager within Auckland Tourism, Events and Economic Development.

Mr Guha said he is excited about the opportunities his election will bring for SIT and the Southland export sector. He considered it was an opportunity to engage with high level Asian managers in New Zealand and make networks with Asian business leaders overseas that are vital to the growth of SIT and the Southland economy.

Invercargill MP Sarah Dowie was delighted with the announcement that SIT and the International College of Business and Technology (ICBT) in Colombo, Sri Lanka, had signed a Memorandum of Understanding to further educational links between the two organisations.

“SIT’s contribution to the Invercargill and wider Southland economy is significant. I understand in 2015 there are 47 Sri Lankan students studying at SIT and the 2014 economic impact from international students on Invercargill city was $43.4 million in GDP. This Memorandum of Understanding with the International College of Business and Technology will only benefit our economy, employment and diversity. I am really looking forward to supporting this Sri Lankan partnership and further relationships with other institutions around the world”.

The signing of the Memorandum by ICBT Chief Executive Officer, Dr Mohan Pathirana and SIT Deputy Chief Executive, Corporate Mr Bharat Guha followed the development of a partnership that offers mutual benefits for SIT and ICBT which is designed to grow and deliver quality education to their students.

The memorandum involves staircasing opportunities for ICBT Higher National Diploma (HND) graduates to pathway into SIT bachelor degrees in commerce, applied management and hotel management. Students will study for two years to obtain the HND at ICBT in Sri Lanka and then have the opportunity to apply for a further year of study to complete their chosen bachelor degree at SIT’s Invercargill campus.

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INTERNATIONAL STUDENTS AND PARTNERS

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International Mountaineering Twins Experience Intercultural Living in SouthlandHaving conquered the seven highest mountain peaks of the world, Indian twins Nungshi and Tashi Malik continued their adventures in 2015 in Southland.

The twins were awarded a New Zealand India Sports Scholarship (NZISS) and chose to study the Graduate Diploma in Sport and Exercise at SIT. Both Nungshi and Tashi were delighted to receive the opportunity to study in New Zealand, the home of their long time hero, Sir Edmund Hillary.

They found the Graduate Diploma in Sport and Exercise a very practical programme, with a generous amount of one-on-one assistance when required. The pair found the tutors were sensitive to the needs of international students and helped provide a high quality support system to help students adjust to the new environment and successfully complete their studies.

“The students here are from all corners of the globe, studying and socialising together,” Tashi said.

“We had access to more advanced technology than we could hope for.”

They say they were also involved in a range of extra-curricular and outdoor activities and had plenty of opportunities to interact with local and national communities, to experience inter-cultural employment and living. Pursuing sports and exercise physiology has given the twins frequent exposure to local environmental communities, government officials, social and corporate organisations.

Invercargill is New Zealand’s best kept secret say the pair who found the community to be both friendly and welcoming.

Future plans include completing the masters of sports science and starting work on a book detailing their journey so far.

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INTERNATIONAL STUDENTS AND PARTNERS

Annual Report 2015 | 31

Russian Student Has Eyes Opened in Environmental Management Programme

Graduate Diploma in Environmental Management student Aleksei Baboshko pictured at Kepler Track above the treeline in proximity of the Luxmore Hut.

Mai Chen with student Sophie Xiao

Influential New Zealander Delivers Message for SIT International Students

SIT was pleased to host an evening with Mai Chen one of New Zealand’s most influential public law specialists. Mai spoke to members of the community and international students outlining her immigration experience as a young child from Taiwan to New Zealand and how she has paved her way to becoming one of New Zealand’s most highly respected lawyers.

Mai is a partner in Chen Palmer Law which has won numerous law and employment law awards. Mai is the inaugural Chair of New Zealand Global Women. She founded New Zealand Asian Leaders, connecting top Asian NZ CEOs and emerging leaders with New Zealand companies doing business in Asia to enhance their success to help NZ Inc.

Mai has won a number of significant awards such as the Business and Entrepreneur Women of Influence Award in 2013. Mai has a First Class Law Honours degree from Otago University, a Master’s degree from Harvard Law School, is a Fellow of the New Zealand Institute of Management, and an Honorary Associate of Auckland University of Technology.

Her message to international students was clear; in order to become successful in New Zealand you must practise your English and become a fluent communicator – without this you would not be able to succeed. Mai advised the students to study hard and make the most of the opportunities afforded to them by SIT. Mai praised SIT Chief Executive Penny Simmonds and International Head of Department Bharat Guha for the way they care for international students saying “You are very lucky, here at SIT they look after you and you are special.”

Russian-born Graduate Diploma in Environmental Management student Aleksei Baboshko said studying at SIT has opened his eyes to the many opportunities life has to offer.

Aleksei studied environmental protection for six years in Russia and received his Master’s degree in 2003 before working as a research assistant for eight years in the Laboratory of Geoecology in one of the regional institutions of Russian Academy of Science. He then worked as an environmental consultant/engineer focusing on Environmental Impact Assessment (EIA) and compliance for heavy industries including mining and oil production.

Aleksei said deciding to study at SIT was a fairly easy choice, with a course available in Renewable Energy and Energy Auditing at a reasonable price and timeframe, plus the additional benefit of living in one of the earth’s most beautiful and safe places. He said studying at SIT has changed the way he thinks.

“Firstly, it turned the way I was thinking of the environment from a mechanistic approach to a wider systems views.

“I’ve learned to abstract from the details and view with a wider angle thus having a more holistic understanding of the natural processes,” he said.

“Secondly, SIT offered great opportunities for networking, making contacts within the industry, get first-hand experience in the real world.”

He said the graduate diploma programme at SIT had a well-designed research paper that helped to obtain academic skills and navigated students through an academic research process in a stress-free fashion.

Aleksei enjoyed living in Invercargill and said if you were active and curious the city did not disappoint.

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Industry Advisory Committees and ChairpersonsSIT values the strategic advice, feedback and support from industry advisory members, on qualifications offered by teaching sections within faculties. Advisory committee meetings provide a forum for strategic discussions between advisory committee members, SIT teaching staff and management to assist the institute to provide education and training that is current, relevant and of an appropriate industry standard. Advisory committee members assist in assessing labour market requirements, identifying and advising on the establishment and maintenance of appropriate programmes, and providing assistance and advice on work experience and internships for students participating in programmes relevant to their area of expertise.

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New Media, Arts and BusinessAdvisory Committee

Chairperson Company

Hospitality Scott Richardson Otago/Southland Executive Member of the NZ Chef Association and Catering & Hospitality Teacher at Southland Boys’ High School

Design & Visual Arts

Brent Knight McCulloch Architects

Digital Media K J Jennings Film Otago/Southland

Fashion Phil Morrison SIT

Music, Audio Production & Dramatic Arts

Trevor Daley Trevor Daley Music Works

Business Dave Rohan Business Consultant

Business Consultative Group

Craig Smith French Burt Partners

Health, Humanities and Computing

Advisory Committee

Chairperson Company

Environmental Management

Richard Bowman Environment Southland

Information Technology

Ian Edwards Code Blue

Kawa Whakaruruhau Roopu

Tania Rewi Southern District Health Board

Massage & Natural Therapy

Margaret Walker Naturopath

Mental Health Marg Poulgrain Te Kotuku

Nanny Rose Cardoso Best Start

Nursing Natasha Cunningham

Rowena Jackson Retirement Village

Social Services Dawn Lloyd Family Works

Sport & Recreation Vanessa Hughey Sport Southland

Community, Industry, Business

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SIT2LRNAdvisory Committee

Chairperson Company

Creative Media Teri McClelland SIT

Trades & Applied Sciences

Stephen West Environment Southland

Health & Humanities

Matt Sillars Sport Southland

Business Teri McClelland SIT

Trades and TechnologyAdvisory Committee

Chairperson Company

Architectural Technology

Craig Hayward Designbase Ltd

Automotive Douglas Rodgers SIT

Beauty Therapy Fiona Forrest SIT

Business Administration

Terry Egerton SIT

Construction Glenys McKenzie Southern Group Training Trust

Electrical Douglas Rodgers SIT

Engineering Noel Clayton Competenz

Hairdressing Richelle Holland Les Sheikh

Industry Centre including NZDE

Michael Weusten Acumen Applied Ltd

Joinery Douglas Rodgers SIT

Plumbing Douglas Rodgers SIT

Travel and Tourism Fiona Forrest SIT

Transport and Logistics

Douglas Rodgers SIT

Veterinary Nursing Brian Mason Retired Veterinarian

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COMMUNITY, INDUSTRY, BUSINESS

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Chief Executive Penny Simmonds considers being a finalist in the Fairfax Media and Westpac 2015 Women of Influence Awards Board and Management category a recognition of SIT’s contribution to the community and to its students.

SIT Council Chair Sarah Brown said that Ms Simmonds’ outstanding vision, leadership, innovation and energy during her stewardship as CE have been the driving force behind SIT’s exceptional growth, development and success over the past eighteen years. During this time SIT has grown from a small regional polytechnic to a significant institute of technology delivering programmes up to postgraduate level and recognised nationally and internationally.

The Fairfax Media and Westpac criteria for the Women of Influence programme highlights the important contribution women make in creating a bold and diverse future for New Zealand and the impact they make well beyond their formal roles and titles at local, regional and national levels.

Other finalists in the category were:

Helen Anderson, Chair-Fulbright NZ

Christine Coppell, NZ Development Manager-Shell

Jo Coughlan, Director-Silvereye Communications Ltd

Karen Fifield, CE-Wellington Zoo

Pip Greenwood, Partner-Russell McVeagh

Lynda Hagen, Executive Director-NZ Law Foundation

Barbara Kendall, Member from NZ-International Olympic Committee

Sue Suckling, Independent Director and Chair-HSR Governance

Karyn Thompson, Chief Human Resource Officer (Army) and Chair NZDF Development Steering Group

SIT Chief Executive Penny Simmonds Finalist in Women of Influence Awards

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“Employer of the Year Award” for SIT Leads to Attendance at Gallipoli Commemorations

NZDF Reservist /SIT Nursing School Academic and Relationship Manager Sally Dobbs and SIT Deputy Chief Executive Academic Maree Howden at ANZAC Cove Gallipoli

SIT Supports Community Charities through Town vs Country FundraiserFor the second year running SIT provided a house for tender which was built by Certificate in Construction students to support a major charity event. This fundraiser benefitted the Gore Women’s Refuge, Lakes District Air Rescue Trust, Hospice Southland, SPCA and ILT Stadium Southland.

The event attracted the region’s best entertainers, sporting stars and personalities from local radio stations and businesses who battled it out on stage in a raft of exciting challenges designed to answer the question “Who is top dog, Town or Country?”.

SIT staff were pleased to be able to support the event with the 3 bedroom, 2 bathroom family home at cost complete with kitchen and bathrooms, a deck, plumbing, carpets, drapes, heat pump, spouting and drain pipes and transport to buyers section. The house was valued at $130,000 and sold prior for $188,000. Profits from the sale were divided evenly between the charities.

This is the second year SIT have utilised one of their homes to help the community. Last year they helped with the redevelopment of one of the ten worst sections in Invercargill with another Certificate in Construction house, revitalising the neighbourhood.

SIT was awarded “Employer of the Year” by the Territorial Forces Employer Support Council in May this year. The award was presented at a special ceremony at Parliament and recognised SIT as an employer who contributes to the New Zealand Defence Force by supporting staff serving as reservists. The ceremony was attended by SIT Chief Executive Penny Simmonds and Nursing Academic and Relationship Leader Sally Dobbs who is a Major in the Royal New Zealand Nursing Corps.

As part of the award two representatives from SIT, Sally and Deputy Chief Executive Academic Maree Howden were flown to Chunuk Bair on a New Zealand Air Force Boeing 757, for the 100 year NZ commemorative service in August.

Highlights for both Maree and Sally included touring the Gallipoli historical sites, visits to cemeteries at Embarkation Point, Quinn’s Post, Hill 60, and the landing site at Anzac Cove for the allied invasion of Gallipoli Peninsula, and meeting army historians and dignitaries including Corporal Willy Apiata VC (Retired).

“This experience has been so instructive for making sure that history is captured and lessons learned…….such as the importance of democracy, of creating an educated society that can question, of having the deepest respect for what our forefathers experienced, the appalling discomfort they endured, the meaning of hardship and the importance of camaraderie in the face of hardship, and never forgetting what our soldiers, with the best of intentions, did for our country.” Deputy CE Academic Maree Howden

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Shortage of Southland Skilled Truck Drivers Leads to New Collaboration with Transport Operators

Industry Partnership with Blue River Dairy to Enhance Opportunities for International StudentsThe relationship between SIT and the Blue River Dairy company was enhanced when both parties signed a memorandum of agreement to further cooperate in areas of mutual benefit in 2015. The sale of the Blue River Dairy processing plant to Chinese company Blueriver Nutrition HK last year provided the opening for new developments in the Invercargill factory, expanded business opportunities in Southland and also opportunities for SIT.

Chief Executive Penny Simmonds said that alongside planned cooperation between the two parties in areas such as food nutrition and production research, there were also plans for graduate employment, internships and cultural experiences for international students.

Blue River Dairy is a successful Southland company with a range of unique products which extend from the original sheep milk feta cheese products to a number of new award winning cheeses, ice cream and milk powder. The company has expanded from producing about 1000 tonnes of sheep milk powder annually to 5000 tonnes and the new Chinese owners have plans for substantial investments to generate new product development and business in the Invercargill factory.

The SIT Transport and Logistics Training Hub will offer specialised training and qualifications for students to develop professional skills for driving trucks in a real world setting. This facility is intended to become the focal point for a range of programmes and events aimed at promoting careers in the road transport industry.

The Hub was established after SIT was approached by local companies to develop a road transport programme because transport operators recognised the need to develop a long-term supply of skilled labour to address the shortage of truck drivers and the ageing workforce issue in Southland.

An industry wide meeting attended by representatives of HW Richardson Group, McNeill Distribution, Road Transport Logistics, Fonterra, Scully’s Transport, as well as NZ Trucking Association, the Road Transport Association and the Motor Industry Training Organisation (MITO), was hugely supportive of the Transport & Logistics Training Hub concept.

As well as getting started on their truck licences in the training programme, students will do a large chunk of work experience to help them gain skills and connections in the transport industry.

The success of this programme and the training model used to deliver it has been proved over many years in other parts of New Zealand and SIT will deliver this course within a distinctly Southern context.

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The successful relationship between SIT and the Appleby Cricket Club illustrates the wider two-way benefits gained through linking international students to clubs, activities and events in the community.

In mid-2015 SIT was approached by the Appleby Cricket Club in Invercargill about forming a joint team to play in the Southland Combined Country Competition, because while the institute had a number of enthusiastic cricket players, they did not have a team to play in.

Forming a cricket team is a big undertaking and requires a lot of organisation, equipment, knowledge and facilities and the Appleby Cricket Club was pleased to provide this in a joint project with the SIT team.

Appleby Club organiser Scott Donaldson said the wonderful thing about the relationship between SIT and Appleby Cricket Club was that international students who were new to New Zealand were able to make a connection to a local institution and people.

“Appleby has benefited a lot in that we have a whole new breed of players, many of whom want to make their home in Invercargill.

“We’ve also benefited a lot from their enthusiasm and new ideas,” he said.

Scott said the Appleby Club management team believed the SIT/Appleby relationship was a great example of what needed to happen between Invercargill people and the students in the coming years.

“Invercargill people and institutions need to find ways of opening their doors to the international students, because the fact is, we need them if Invercargill is to have a future.”

Year One SIT Bachelor of Contemporary Music students took their music to the community when they entertained approximately 2,500 primary school students, pre-schoolers and the public during 11 fun-filled concerts within just four days.

The concerts, now in their 13th year, were held at Centre Stage theatre and were very successful with children joining in the performances and singing and dancing in the aisles said SIT Bachelor of Contemporary Music Academic Leader and concert organiser Sally Bodkin-Allen.

“Highlights of the concerts this year were the performances of “The Cup Song” from Pitch Perfect, which was sung in English and Te Reo Maori, and “All About That Bass”, “Everything is Awesome” from The Lego Movie and of course “Let It Go” from Frozen was a highlight with all the girls.”

Bachelor of Contemporary Music first year student Andrea Jones was lead and backing vocalist for a variety of songs and said that all audiences found the concerts engaging and the performances very energetic. Sally said the best thing about the concerts was all the opportunities for the children to perform through dancing and singing along with the students.

“It’s a great experience for the children, to see live music performance, and also for the SIT students, who love the enthusiasm of the children,” said Sally.

Sports Relationships Forge Wider Community Benefits

Contemporary Music Students Hit the Right Notes in the Community

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The Academic Support Unit (ASU) co-ordinates professional development activities for tutorial and allied staff at SIT.

Training opportunities for 2015:

ª The annual staff training programme was delivered over a two week period at the beginning of the academic year and included a wide range of topics including teaching and learning, information technology related and communication. This year saw the inclusion for the first time of a Pasifika Cultural Competency workshop. The feedback received for the sessions was highly favourable and an increase in attendance at many of the non-mandatory sessions was noted.

ª An additional staff training programme was held in July for those staff who were not able to attend the February sessions.

ª New tutor workshops were held throughout the year in block courses. The workshops provide an introduction for new tutors to foundation classroom skills and academic quality requirements.

ª This year we were privileged to bring four Ako Aotearoa best practice workshops to Invercargill for SIT staff. The topics varied and covered a range from evaluation to working with at risk students. These were well attended and received very positive feedback from attendees.

Staff Training and Development

Staff Highlights

ª Managers and Team Leaders training day, an annual event, was held in August. This training provides middle managers with the opportunity to network with other managers and to obtain information and strategies to support them in their roles. This year our focus was on Self-Assessment.

ª We had a number of staff undertaking the National Certificate in Adult Literacy and Numeracy Education qualification, which is delivered through the ASU. All staff who have completed the qualification have commented on the value they have found in the improvement of their own teaching strategies with students benefitting from this.

ª Observation of teaching is an important professional development activity undertaken with all full time tutorial staff by the ASU unit staff. The objective is to improve teaching practices, student engagement and student performance. This exercise fosters professional growth and provides benefits such as sharing teaching techniques and philosophies.

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First recipient of the SIT Excellence in Tertiary Teaching Award hairdressing tutor Donna Bowman is well respected amongst her colleagues, students and members of the industry.

Donna said she was honoured and humbled to have gained the award, which was open to all permanent teaching staff and SIT2LRN facilitators who have taught/facilitated at SIT for a minimum of two years. The award criteria may include some or all of the following:

ª Philosophy of teaching ª Innovative use of technology ª Alignment with Industry ª Professional development in teaching ª Facilitating learning ª Programme development/re-development ª Innovation in teaching ª Assessment and moderation ª Reflective practice in teaching ª Research outputs (degree teaching staff only) ª Literacy and numeracy embedding and expertise (for

those teaching in NZQA Levels 1-3)Donna’s whole working life has been conducted within the hairdressing field, beginning her teaching career part-time in 1978 when SIT was known as Southland Community College. Donna then became a full time tutor and in 1995 Programme Manager, however changes in 2013 bought her back to full time tutoring.

What inspires Donna is a genuine love of passing on knowledge and skills to the next generation of budding hairdressers. She feels it is a privilege to be a part of her students’ journey and especially loves when they have found the perfect salon to continue their apprenticeship. Donna also enjoys supporting new tutors, sharing ideas and continually trying new things to improve her own delivery and assessment practices.

“I have learnt a lot from many of my peers here at SIT over the years and value the ideas I gain from TDSU via short presentations or through my teaching observations,” says Donna. “I have also gained lots of ideas from my hairdressing and beauty therapy colleagues around New Zealand when we meet for the ITP Hairdressing and Beauty Therapy forum meeting and the educators’ conference each year.”

Donna Bowman Receives SIT’s Inaugural Excellence in Teaching Award

Karen Sutherland Wins SIT’s Inaugural Excellence in Allied Service Award Administration Manager Karen Sutherland who won the 2015 Excellence in Allied Service Award has been working at SIT for approximately 10 years in a variety of positions and is well respected amongst her peers. Karen’s role encompasses responsibility for the student management system, enrolment, administration and reception. With a customer service-based background Karen says she is happiest when interacting with people.

Karen was nominated for the award which was open to all permanent allied staff employed at SIT for a minimum of two years. The award recognises:

ª Customer service ª Team involvement/participation ª Innovation ª Efficiency ª Effectiveness ª Making a difference ª Above and beyond – work ethic ª Professionalism

Karen has always enjoyed working at SIT and said it has grown significantly since she started.

“The international component wasn’t nearly as large as it is now.”

Although a lot has changed over the years, Karen said the management side of the business has always stayed the same. Karen also made special mention of her team, who she said are fantastic.

“It’s so lovely to have my efforts recognised, but truly none of this could be accomplished without the wonderful staff I have the privilege of working with every day.”

“I would like to thank staff, management and council for this amazing award.”

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Head of Faculty Presents E-learning Strategies to World Education Leaders

Head of Faculty for SIT2LRN Teri McClelland presented SIT’s innovative delivery models for vocational programmes at the World Technical Vocational Education and Training (TVET) conference in Sarawak Malaysia in August.

Teri highlighted the innovation SIT has developed to move with technology and continue to build a broad portfolio of programmes available for students through eLearning. SIT introduced SIT2LRN distance learning in 2003 and this has evolved to now deliver approximately forty programmes online worldwide as well as STAR taster programmes to students in partnership with high schools across New Zealand.

The conference attracted education leaders from tertiary institutions and organisations around the glove. Malaysian dignitaries such as the Yang di-Pertua Negri (Governor) of Sarawak, the Honourable Sarawak State Secretary, and the Right Honourable Chief Minister of Sarawak also attended the event. The conference concluded with a panel session considering the future of TVET with Teri being one of the panellists.

SIT Programme Manager for Visual Arts, Film and Animation Kathryn McCully won the overall grand prize at the 2015 ILT Art Awards in August. Kathryn said she was thrilled to win the award and said it felt like an acknowledgement of all the hard work and risk-taking associated with working on a new project.

Kathryn’s animation ‘a southland museum’ focuses on the democratization of the public museum experience proposing the potential of multiple museums that tell the stories of communities from a variety of perspectives.

She utilised collections of photographs taken over the past three years around Invercargill and Southland as the stage on or backdrop against which various actions are performed. The static photographs are composited and animated to create new relationships.

“a southland museum” prioritises the process and place of art making in the construction of meaning. Art is created in a place, a time and in a community to which it is inherently connected. This is in contrast to the contemporary experience of art in a museum environment where there is a tendency to privilege the artwork as an object separate from everyday life.

“a southland museum” was influenced by Kevin McDonald’s feature Life in a Day which crowd-sourced video content to create a snapshot of a day in the life of people all over the world. Life in a Day comprises an arranged series of video clips selected from 80,000 clips submitted to the YouTube video sharing website, showing respective occurrences from around the world on a single day, July 24, 2010.

Kathryn McCully Winner of 2015 ILT Art Award

Kathryn McCully 2015 ILT Art Award winner Photograph – Aleisha Toomey

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Challenging Role as Editor for Tune Me In National Publication

One of music staff member Sally Bodkin-Allen’s research activities for 2015 has been the editing of the Tune Me In magazine. This is the national publication of MENZA (Music Education New Zealand Aotearoa) which provides a selection of articles, reviews, teaching ideas and news stories to music educators throughout New Zealand. The role of editor is a busy and challenging one…“I am always looking to have a balance of articles across all sectors of education,” said Sally. “The articles need to be of interest to early childhood educators, right through to tertiary level music lecturers.”

MENZA also offers the opportunity for SIT staff to publish in the magazine, and to promote the programmes and activities of students on the contemporary music programme. “There have been many articles written by SIT music staff, and in 2015 our contemporary music students’ performances at the Kids’ Concerts and also at the Invercargill City Council Library were featured in the magazine.” Contributors to the magazine come from as far afield as Australia, and it is distributed nationally to libraries and all MENZA members.

Staff Develop New Masters Programmes with Industry Support

Throughout 2015 staff developed and received approval and accreditation from the New Zealand Qualifications Authority to deliver 16 programmes, all of which were backed by significant regional and national industry support.

Receiving approval and accreditation for two Master’s programmes was a considerable achievement for SIT as a regional institute of technology, and the first time a Southland education provider has been awarded Level 9 programmes by NZQA. The Advisory Committees involved in the application were very supportive throughout the duration of the application process and delighted at the successful outcome.

ª Master of Applied Management ª Postgraduate Diploma in Applied Management ª Postgraduate Certificate in Applied Management ª Master of Information Technology ª Bachelor of Screen Arts ª Graduate Diploma in Screen Arts (3D Animation) ª Graduate Diploma in Screen Arts (Film Making) ª New Zealand Diploma in Agribusiness Management Level 5 ª Consent to Assess in Subfield Agriculture to Level 6 ª New Zealand Diploma in Business Level 6 ª New Zealand Diploma in Business Level 5 ª New Zealand Certificate in Cookery Level 4 ª New Zealand Certificate in Cookery Level 3 ª New Zealand Certificate in Food and Beverage Service Level 3 ª Certificate in Commercial Road Transport ª National Certificate in Goods Service (Heavy Vehicle Driver)

with strands in Heavy Rigid Vehicle, and Heavy Combination Vehicle

Sally Bodkin-Allen Editor of Tune Me In

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ITP Sector Collaboration Practices: Joint Research Project between SIT and New Zealand Institutes of Technology and PolytechnicsCollaborative ways of working are regarded as beneficial for the tertiary sector, and the government expects Institutes of Technology and Polytechnics (ITPs) to work with each other and with other key stakeholders. This year saw the completion of a major research project examining how some of New Zealand’s regional ITPs collaborate to enhance teaching and learning, share knowledge and increase efficiency. The ITP Sector Collaboration Practices Project was a joint research project by NZITP and Southern Institute of Technology.

The key purpose of the project was to evaluate what made for successful collaborations that brought mutual benefits to partners, with a particular focus on relationships between ITPs. It explored the ways in which ITPs collaborate with each-other, as well as with other stakeholders, to enhance the quality of teaching and learning, share knowledge and stimulate creativity, and increase efficiency in the use of resources. Research Institute staff members Dr Sally Bodkin-Allen and Dr Jo Whittle worked with Learning Support Officer Dr Jerry Hoffman to carry out the research project. The final report has been featured on the website of the Ako Aotearoa National Centre for Tertiary Teaching Excellence.

‘Collaboration with external stakeholders is an integral part of the way that ITPs do business,’ says Sally, who led the research project. ‘People working in these institutes have a great deal of collective experience about what makes for successful collaboration, and our objective with this project was to collect and share those experiences.’ The report combines data from questionnaires and interviews involving a wide variety of staff in academic, support and management roles at nine ITPs around New Zealand. It offers lessons for what makes collaborations successful, how to manage collaborative processes, and how to avoid some of the common challenges.

SIT Research Symposium On 30 November 2015 teaching staff at SIT presented their research at the annual Staff Research Symposium. In an interesting and varied agenda, staff shared their research with their colleagues. The day was spilt into three sessions, with staff presenting from across three faculties: Health, Humanities and Computing, New Media Arts and Business and SIT2LRN. ‘This is an important annual event at SIT offering a great opportunity for staff to share their research with their colleagues,’ said Research Manager Dr Sally Bodkin-Allen. ‘There was a fascinating range of projects presented and plenty of opportunities for discussion.’

Staff are able to draw on the results of their research in their teaching and to ensure that they keep abreast of new ideas in their fields. The symposium provides an opportunity for staff to learn about a wide range of research findings and to share work in progress with an engaged and supportive audience. The agenda this year included the presentation of results from experimental research in the areas of sports and exercise, a discussion of autoethnographical research methodology being used by staff teaching through innovative nursing education based on simulation, and analyses of issues as diverse as corporate governance, conservation management of dolphins, hydro-electricity and cybercrime. The audience was able to view original screen productions, to learn about heavy metal music in Southland and the findings of a study of student withdrawals from online foundation studies.

At the end of the day audience members voted for the ‘People’s Choice Award’ for their favourite presentation of the day. ‘Once again the voting was very close, reflecting the quality of research and the effort people had put into their presentations,’ Sally said. ‘The award went to Andrea Knowler from the School of Nursing with her presentation “Mask-Ed, Pup-Ed, and simulators down under – an autoethnographic study”.’ Andrea and a group of nursing tutors implemented masks this year to create a more realistic learning environment for their students. Andrea said SIT had been very supportive of introduction Mask Ed into the course framework and the Research Symposium was a great opportunity to showcase the initiative to her peers.

Staff Research 2015

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Staff Research Outputs 2015Published papers and articles

Belton, P. (2015). Arthur Dove’s blackbird. Landfall, 229, 78.

Bodkin-Allen, S. (2015, April). The APO Summer School, Tune Me In, 10 (1), 21.

Bodkin-Allen, S. (2015 July). From the Invercargill March to William Tell: ideas for using instrumental music in early childhood. Tune Me In, 10 (2), 22-23.

Finno, C.J., Stevens, C., Young, A., Affolter, V., Joshi, N.A., Ramsay, S. & Bannasch, D. (2015). SERPINB11 frameshift variant associated with novel hoof specific phenotype in Connemara ponies. PLOS Genetics, 11(4), 1-17 doi:10.1371/journal.pgen.1005122.

Fisher, J. & van Niekerk, E. (2015). GIS food shed mapping: a planning tool for Invercargill. In H. Longman (Ed.) Special edition 2015: an exposition of staff-student research projects 2012 – 2014, Southern Institute of Technology Journal of Applied Research, 5-9. Retrieved from https://www.sit.ac.nz/SITJAR#3101190-special-edition-2015-an-exposition-of-staff- student-research-projects-2012--2014

Heath, D. (2015). Heavy metal from the Antarctic ends of the earth: Investigating the metal music identity from Invercargill, Southland, New Zealand. In T. Karjalainen & K. Kärki (Eds.) Proceedings of the Modern Heavy Metal: Markets, Practices and Cultures International Academic Research Conference 2015. Retrieved from http://iipc.utu.fi/MHM/Heath.pdf

Laverty, L. & McKenzie, D. (2015). Perceptions and patterns of physical activity amongst Southland women during pregnancy. In H. Longman (Ed.) Special edition 2015: an exposition of staff-student research projects 2012 – 2014, Southern Institute of Technology Journal of Applied Research, 10-14. Retrieved from https://www.sit.ac.nz/SITJAR#3101190-special-edition-2015-an-exposition-of-staff- student-research-projects-2012--2014

McCully, K. (2015). Under the spell. Landfall, 230, 189-191.

McMillan, M. (2015, May/June). Nurses: Champions for change. Head2Head – Magazine of the NZNO Mental Health Nurses Section, 28, 4.

McMillan, M. (2015, May/June). Clinical college of NZNO mental health nursing logo. Head2Head – Magazine of the NZNO Mental Health Nurses Section, 28, 6.

McMillan, M. (2015, May/June). Nurses: NZNO mental health nurses section AGM & education forum. Head2Head – Magazine of the NZNO Mental Health Nurses Section, 28, 7-8.

Mumford, J. (2015). Teaching and learning perspectives on numbers systems within a first year tertiary IT course. In M. Verhaart, A. Sarkar, R. Tomlinson & E. Erturk (Eds). 6th Annual Conference of Computing and Information Technology Research and Education New Zealand (CITRENZ2015) and the 28th Annual Conference of the

National Advisory Committee on Computing Qualifications, 74-79. Queenstown, New Zealand. Retrieved from http://www.citrenz.ac.nz/2015-proceedings/

Paul, Y. & Pienaar, H. (2015). Strategies to encourage Maori to “aukati kai paipa” (quit smoking). In H. Longman (Ed.) Special edition 2015: an exposition of staff-student research projects 2012 – 2014, Southern Institute of Technology Journal of Applied Research, 19-25. Retrieved from https://www.sit.ac.nz/SITJAR#3101190-special-edition-2015-an-exposition-of-staff- student-research-projects-2012--2014

Rhodes, J. (2015). Using PeerWise in nursing education-a replicated quantitative descriptive research study. Kai Tiaki Nursing Research, 6, 10-15.

Rhodes, J. (2015, March). Advancing clinical emergency care – offering postgraduate educational opportunities in the south. Emergency Nurse New Zealand, 6-7.

Rhodes, J., & Reid-Searl, K. (2015). Masked tutor brings patient to ‘life’. Kai Tiaki Nursing New Zealand, 21, 14-15.

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Roberts, D. & Wolfe, H.B. (2015). Cybercrime concerns and readiness for New Zealand businesses 2014-2015. In M. Verhaart, A. Sarkar, R. Tomlinson & E. Erturk (Eds). 6th Annual Conference of Computing and Information Technology Research and Education New Zealand (CITRENZ2015) and the 28th Annual Conference of the National Advisory Committee on Computing Qualifications, 88-93. Queenstown, New Zealand. Retrieved from http://www.citrenz.ac.nz/2015-proceedings/

Schares, A. & Bodkin-Allen, S. (2015). Singing together: Guidelines for setting up a community choir. In H. Longman (Ed.) Special edition 2015: an exposition of staff-student research projects 2012 – 2014, Southern Institute of Technology Journal of Applied Research, 15-18. Retrieved from https://www.sit.ac.nz/SITJAR#3101190-special-edition-2015-an-exposition-of-staff- student-research-projects-2012--2014

Smith, J. (2015, First Quarter). Massage therapy research update. Massage New Zealand Magazine (April 2015).

Smith, J. (2015, Second Quarter). Massage therapy research update. Massage New Zealand Magazine (June 2015).

Smith, J. (2015, Third Quarter). Massage therapy research update. Massage New Zealand Magazine (September 2015).

Smith, J. & Smith, D. (2015, Fourth Quarter). Massage therapy research update. Massage New Zealand Magazine (December 2015).

Woodward, L. & Tan, L. M. (2015). Small business owners’ attitudes toward GST compliance: a preliminary study. Australian Tax Forum, 30 (3), 517-549.

Edited publications

Bodkin-Allen, S. (Ed.). (2015, April). Tune Me In, 10 (1).

Bodkin-Allen, S. (Ed.). (2015, July). Tune Me In, 10 (2).

Bodkin-Allen, S. (Ed.). (2015, November). Tune Me In, 10 (3).

Hoffman, J. (Ed). (2015). National Tertiary Learning and Teaching Conference 2014 proceedings (special edition, Southern Institute of Technology Journal of Applied Research). Retrieved from https://www.sit.ac.nz/SITJAR#3101148-2014-national-tertiary-teaching-and- learning-conference-special-edition

Longman, H. (Ed.) (2015). Special edition 2015: an exposition of staff-student research projects 2012 – 2014, Southern Institute of Technology Journal of Applied Research. Retrieved from https://www.sit.ac.nz/SITJAR#3101190-special-edition-2015-an-exposition-of-staff- student-research-projects-2012--2014

McMillan, M. (Ed.). (2015, May/June). Head2Head – Magazine of the NZNO Mental Health Nurses Section, 28.

Books and reports

Daniels, P., Ramsay, W. R. H., & Daniels, C. (2015). New research into the potteries of West Cumberland following the discovery of a Whitehaven creamware ship bowl inscribed success to the Mary and Betty/Captain Joseph Benn. Oxford, United Kingdom: Resurgat Publishing.

Heath, D. (2015). Acoustical consultation (Beattie McDowell Architects Ltd): Salvation Army Hall Redevelopment Project. Invercargill, New Zealand.

Heath, D. (2015). Acoustical consultation (A. Panet Resource Consent Application): theoretical assessment of sound prediction measurements for proposed event venue. Invercargill, New Zealand.

Ramsay, W. R. H., Daniels, P., & Ramsay, E. G. (2015). Are ‘Limehouse’ porcelains in fact all Limehouse? Evidence from archaeology, science, and historical documents. Oxford, United Kingdom: Resurgat Publishing.

Whittle, J., & Bodkin-Allen, S. (2015). Southern Institute of Technology: research report 2014. Southern Institute of Technology. Invercargill, New Zealand.

Whittle, J., Bodkin-Allen, S., & Hoffman, J. (2015). ITP sector collaboration practices project. Invercargill, New Zealand: Southern Institute of Technology Research Institute. Retrieved from https://www.sit.ac.nz/Reports-Publications

Exhibitions

McCully, K. (2015). a southland museum. Invercargill, New Zealand: ILT Art Awards, 1 August - 4 September.

McCully, K. (2015). a southland museum. Invercargill, New Zealand: Windsor North School Art Sale and Exhibition, 7 - 8 Nov 2015.

Miles, K. (2015). Island. Dunedin, New Zealand: Alternative Space Gallery, Webb Farry Lawyers, 2 February - 28 April.

Myers, R. (2015). The subject is in her house. Dunedin, New Zealand: Dunedin Public Art Gallery, 6 November - 13 December.

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Performance

Sagmyr, J. [Technical director]. (2015). Selah Singer Songwriter Concert. Invercargill, New Zealand.

Skerrett, P. [Musical director]. (2015). ILT Christmas Variety Show. Invercargill, New Zealand.

Creative outputs

Belton, P. (2015). Poetry by Peter Belton. Retrieved from http://www.poetlaureate.org.nz/2015/05/peter-belton.html

Bodkin-Allen, S. (2015). Meadow’s lullaby for cornet and piano [Musical composition]. Retrieved from http://sounz.org.nz/

Bodkin-Allen, S. (2015). The bickering sisters, duet for 2 cornets and piano [Musical composition]. Retrieved from http://sounz.org.nz/

Bodkin-Allen, S. (2015). Hooray for the man who has everything for tenor saxophone and piano [Musical composition]. Retrieved from http://sounz.org.nz/

Mann, R. & McCully, K. (2015). Gilt complex. [Short film]. Rialto Channel 48 Hours Film Competition Entry.

Mann, R. (2015). Slight. [Short film]. Tropfest New Zealand Film Entry.

Conference presentations

Anderson, D. (2015). Mental health nurses’ views on the physical health of people with mental illnesses. Presentation at Te Ao Maramatanga College of Mental Health Nurses Conference, Te Papa Museum, Wellington, New Zealand.

Bodkin-Allen, S. (2015). Classical music for early childhood. Workshop presented at the MENZA Hook into Sound Professional Development Day, Invercargill.

Bodkin-Allen, S. & Carson, T. (2015). Sing with your hands with hook, line and singalong songs. Workshop presented at “Making Music Matter”, the TRCC MENZA Conference, Auckland, New Zealand.

Bodkin-Allen, S. (2015). Bringing classical music into the early childhood centre. Workshop presented at “Making Music Matter”, the TRCC MENZA Conference, Auckland, New Zealand.

Bodkin-Allen, S. (2015). Mixing it up: student engagement in the School of Music at SIT. Presentation at “Surfing the Zeitgeist”- Australia New Zealand Research in Music Education (ANZARME) Conference, Melbourne, Australia.

Botafogo, F. (2015). Double-entry bookkeeping: the introductory lecture. Presentation at the Whitireia / Weltec Research Symposium, Te Kura Matatini o Whitireia, Porirua, New Zealand.

Dobbs, S. (2015). Caring for the nursing student or caring for the public: a Heideggerian phenomenological study into the clinical nurse educators’ dilemma of failing nursing students in clinical practice. Presentation at the International Council of Nurses Conference, Seoul, Korea.

Heath, D. (2015). Heavy metal from the Antarctic ends of the earth: investigating the metal music identity from Invercargill, Southland, New Zealand. Presentation at Modern Heavy Metal: Markets, Practices and Cultures International Academic Research Conference, in Helsinki, Finland.

McClelland, T. (2015). Delivering TVET qualifications in an online environment. Presentation at the World TVET Conference, Sarawak, Malaysia.

McClelland, T. (2015). Quantum leap: transformation and globalisation of Technical Vocational Education and Training (TVET) – living skills in the 21st century. Invited Panellist, World TVET Conference, Sarawak, Malaysia.

McCully, K. (2015, May). The value of not knowing. Presentation at the Museums Aotearoa Conference, Dunedin, New Zealand.

Madden, K., Rhodes, J., McMillan, M., Knowler, A., & Strathearn, M. (2015). Mask-Ed, Pup-Ed, and simulators down under: an autoethnographic study. Presentation to New Zealand Perioperative Conference – Reflection and Action. Palmerston North, New Zealand.

Mumford, J. (2015). Teaching and learning perspectives on numbers systems within a first year tertiary IT course. Presentation at the 6th Annual Conference of Computing and Information Technology Research and Education New Zealand (CITRENZ2015) and the 28th Annual Conference of the National Advisory Committee on Computing Qualifications, Queenstown, New Zealand.

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STAFF HIGHLIGHTS

46 | Annual Report 2015

Myers, R. (2015). Being made, performing disciplining bodies. Presentation at the Art & Performance Research Group, Auckland University of Technology, Auckland, New Zealand.

Palliser, A. (2015). Comparing building adaptive capacity for natural resource management in two New Zealand marine protected areas. Presentation at the MARE Conference: People and the Sea VIII: Geopolitics of the Oceans, Amsterdam, Netherlands.

Prinsloo, L. (2015). What influenced changes to enrolled nursing in New Zealand. Presentation at “Love the Skin You’re In”, NZNO Enrolled Nurse Conference, Wellington, New Zealand.

Prinsloo, L. (2015). ENSIPP (Enrolled Nurse Supported Into Practice Programme) document discussion panel. Invited Panelist, “Love the Skin You’re In”, NZNO Enrolled Nurse Conference, Wellington, New Zealand.

Rhodes, J. (2015). Learning is not a spectator sport: using board games and television shows to ignite learners’ senses. Poster presentation at the Australian Nurse Educators Conference – Being, Knowing, Caring. Auckland, New Zealand.

Rhodes, J., Madden, K., Knowler, A., McMillan, M., & Strathearn, M. (2015). Mask-Ed, Pup-Ed, and simulators down under: an autoethnographic study. Presentation at the Australasian Nurse Educators Conference– Being, Knowing, Caring. Auckland, New Zealand.

Rhodes, J., McMillan, M., Knowler, A., Madden, K., & Strathearn, M. (2015). Mask-Ed, Pup-Ed, and simulators down under: an autoethnographic study. Presentation at the New Zealand Nurses Organisation (NZNO) Conference – Shaping our Healthcare. September, Wellington, New Zealand.

Roberts, D. & Wolfe, H.B. (2015). Cybercrime concerns and readiness for New Zealand businesses 2014-2015. Presentation at the 6th Annual Conference of Computing and Information Technology Research and Education New Zealand (CITRENZ 2015) and the 28th Annual Conference of the National Advisory Committee on Computing Qualifications, Queenstown, New Zealand.

Ramsay, W. R. H., and Ramsay, E. G. (2015). The evolution and technical development of the English porcelain tradition from the 16th century to Lund’s Bristol c. 1750 and early Worcester c. 1752 - the golden chain. Invited speaker, Royal Society, Kensington Town Hall, London, United Kingdom.

Sagmyr, J. (2015). Songwriting technical skills. Presentation at the Selah Singer Songwriter Conference, Invercargill, New Zealand.

Sagmyr, J. (2015). Instant coffee: songwriting on the go. Workshop presented at “Making Music Matter”, the TRCC MENZA Conference, Auckland, New Zealand.

Skaria, R. (2015). Experiences of overseas nurse educators. Presentation at Australian Nurse Educators Conference – Being, Knowing, Caring. Auckland, New Zealand.

Smith, J.M. (2015). An overview of recent research. Presentation at Massage New Zealand Conference, Tauranga, New Zealand.

Smith, J.M. (2015). Resources for helping massage therapists engage with current research. Presentation at Massage New Zealand Conference, Tauranga, New Zealand.

Smith, J.M. (2015). Snapshots of 2014 New Zealand research studies. Presentation at Massage New Zealand Conference, Tauranga, New Zealand.

Smith, D.M. & Smith, J.M. (2015). A conceptual model: stepping towards legitimation for massage therapists. Presentation at Massage New Zealand Conference, Tauranga, New Zealand.

Smith, D.M. & Smith, J.M. (2015). Degree-based education for massage therapists: a survey of educators, therapists and students. Presentation at Massage New Zealand Conference, Tauranga, New Zealand.

Smith, D.M. & Smith, J.M. (2015). So you want to be a health professional? Presentation at Massage New Zealand Conference, Tauranga, New Zealand.

Woodward, L. (2015). Small business owners’ attitudes toward GST compliance: a preliminary study. Presentation to Australasian Tax Teachers Association Conference, Adelaide, Australia.

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STAFF HIGHLIGHTS

Annual Report 2015 | 47

Reviews

McMillan, M. (2015, May/June). Violence is not part of our job – article review. Head2Head – Magazine of the NZNO Mental Health Nurses Section, 28, 9.

Mitchell, K. (2014). An empty tent flapping in the wind. Landfall Review online: New Zealand books in review. Retrieved from http://www.landfallreview.com/2014/08/an-empty-tent-flapping-in-wind.html

Public talks

Bodkin-Allen, S. (2015). Everyone can sing! Pecha Kucha Presentation Southland Arts Festival. 1 May 2015, Little Theatre, Gore and 2 May 2015, Repertory House. Invercargill, New Zealand.

Carstensen, C. (2015). Allergies: The experience of raising a child with severe allergies. Presentation to Southern DHB Research Forum: Nursing and Midwifery. Invercargill, New Zealand.

Knowler, A. (2015). Introducing Pup Ed™ to the Children’s Ward. Presentation to Children’s Ward Study day. Invercargill, New Zealand.

McCully, K. (2015). Performing the DIY Museum. Pecha Kucha Presentation Southland Arts Festival. 1 May 2015, Little Theatre, Gore and 2 May 2015, Repertory House. Invercargill, New Zealand.

McCully, K. (2015). Soft city: The animation of cultural scenes. Presentation at Pecha Kucha Innov8. Invercargill, New Zealand.

McCully, K. (2015). A Southland museum. Public talk at ILT Art Awards. Southern Institute of Technology, Invercargill, New Zealand.

Musika, F.A.A (2015). Club marketing strategies. Presentation at Invercargill Rotary Marketing Workshop. Invercargill Working Men’s Club, Invercargill, New Zealand.

Musika, F.A.A. (2015). Self-Branding. Presentation at SouthAlive Youth Training Development Programme. Invercargill, New Zealand.

Rhodes, J. (2015). Breaking down educational silos – nursing students and doctors learning and teaching together. Presentation to the Southland Staff Development Workshop – fostering passionate teaching & encouraging research. Southland Hospital, Invercargill, New Zealand.

Strathearn, M. (2015). Men’s wellness, a proactive approach. Presentation to Male Mental Health Consumers. Invercargill, New Zealand.

Postgraduate Theses

Anderson, D. (2015). Mental health nurses’ views on the physical health of people with mental illness. (Master’s thesis).

Dobbs, S. (2015). When two worlds collide: a Heideggerian interpretive phenomenological study into the experience of assessing “failing” nursing students within clinical practice. (Doctoral thesis). Massey University, Palmerston North, New Zealand.

Mann, R. (2015). Southern youth: Evoking southern teenage identify through character design for animation. (Master’s thesis). Massey University, Palmerston North, New Zealand.

Palliser, A. (2015). Building adaptive capacity for natural resource management in Akaroa coastal environment, New Zealand. (Doctoral thesis). University of Otago, Dunedin, New Zealand.

Prinsloo, L. (2015). What influenced changes to enrolled nursing in New Zealand? (Master’s thesis). Eastern Institute of Technology, Napier, New Zealand.

Smith, D. (2015). Perceptions of degree based education for massage therapists. (Doctoral thesis). University of Otago, Dunedin, New Zealand.

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STATEMENT OF SERVICE PERFORMANCE

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Statement of Service Performance

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STATEMENT OF SERVICE PERFORMANCE

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Goal1Provide for and encourage student participation and achievement in a range of quality learning opportunities and services

Key Point of Focus

ª Enhance academic achievement and satisfaction of stakeholders

ª Offer a range of programmes, staircasing opportunities and flexible delivery modes which provide vocational and life skills

ª Improve the representation and achievement of under-represented and disadvantaged groups

ª Provide a range of student and staff support services

Output Output measure 2014Actual

2015Target

2015Actual

1.1 Improve course completion rates for all students

Percentage increase in course completion rates for all students

79% 77% 78%*

1.1 Improve qualification completion rates for all students

Percentage increase in qualification completion rates for all students

73% 71% 69%*

1.1 Maintain student satisfaction levels

Achievement of student satisfaction levels of an average of 84% (best rating) in annual survey of programmes of 0.25 EFTS

93% ≥84% 92%

1.1 Percentage of graduates gaining employment or progressing to further study

Percentage of graduates measured by annual Graduate Destination Survey

99% ≥ 84% 96%

1.1 Annual Programme Evaluation Reviews carried out on all programmes greater than 0.25 EFTS

Number of programmes greater than 0.25 EFTS analysed via Annual Programme Evaluation Reviews

100% 96% 100%

1.2 Respond to the need for more qualifications in Science, Technology, Engineering and Mathematics (STEM)

Number of new/revised programmes in STEM

3 2 2

1.4 Maintain or increase hourly availability on 2014 level of student learning support services

Student support availability maintained or increased, including Library, Learning Assistance unit, Support Services

=2013 ≥2014 =2014

1.4 Increase teaching capability by providing adult education training, professional development budget, mandatory compliance training and annual training week for staff

Certificate and Diploma in Adult Education and Training available to all teaching staff, budget allows for professional development, mandatory training occurs, annual training week occurs

100% 100% 100%

Note: All performance indicators relate directly to SIT’s Investment Plan 2015-2016

* Provisional until April SDR has been processed

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STATEMENT OF SERVICE PERFORMANCE

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Goal2Foster our social and professional obligations to both stakeholders and staff

Key Point of Focus

ª Foster and enhance relationships with all external stakeholders

ª Create and maintain policies which are consistent with the Human Rights Act

ª Enhance and promote an understanding of Te Tiriti o Waitangi and its application to the institution

ª Provide a physically desirable learning and working environment

Output Output measure 2014Actual

2015Target

2015Actual

2.1 Enhance relationships with all external stakeholders

Minimum of 2 meetings per year for Advisory Committees, minimum of one annual Advisory Committee function

= 2 p.a.

Annual function cancelled due to passing of Kaumatua

≥2 p.a. =2 p.a.

Annual Advisory Committee function held

2.2 Promote an understanding of Te Tiriti Waitangi to staff

Provide bi-cultural training on an annual basis for all staff

100% 100% 100%

2.2 Maintain or increase engagement with Maori

Strategic relationship with Te Wananga O Aotearoa maintained, evidenced by the number of programmes and the number of EFTS

=2013 ≥ 2014 =2014

2.2 Maintain or increase support for Maori students

Provision of Maori Support Centre service levels maintained or increased

=2013 ≥ 2014 =2013

2.3 Ensure that staff are aware of the policies and issues related to the Human Rights Act

Annual mandatory training provided for all staff on Human Rights Act and EEO issues

100% 100% 100%

2.3 Ensure that staff are aware of conditions of service, sexual harassment and disability awareness issues

Annual mandatory training provided and communication maintained through EEO staff noticeboard, in-house newsletter and staff development plans

100% 100% 100%

2.3 Maintain employee database and record on-going job application statistics

On-going job application statistics recorded

100% 100% 100%

Note: All performance indicators relate directly to SIT’s Investment Plan 2015-2016

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Goal3Operate a viable educationally directed business entity

Key Point of Focus

ª Manage the organisation effectively and efficiently

ª Demonstrate commitment to the employment and development of quality staff

ª Enhance revenue income from other activities.

Output Output measure 2014Actual

2015Target

2015Actual

3.1 Enhance business performance through the following output measures

Achieve target within 3%+/- of Government EFTS allocated in the Investment Plan process

3,582

(101%)

97 – 103% 103.66%

Achieve a surplus of 1.5% of net assets

0.79% ≥1.5% 2.46%

Achieve reserves of a minimum of 15% of annual operating expenditure or 50% of annual capital expenditure, whichever is greater

$7.2m

= 15%

of opex

$7.1m $7.0 million = 15% of opex

Maintain an operating surplus of 3% of revenue

1.57% ≥ 3% 4.97%

Maintain a revenue to working capital ratio of 100% or more

309.18% ≥ 100% 256.52%

Achieve at least 5% net cash flow from operations

11.71% ≥ 5% 15.78%

3.2 Employ and develop quality staff

New staff attract 80TTH abatement for training

100% 100% 100%

TDSU hours maintained or increased in mentoring and training of staff ( Note TDSU renamed ASU in 2015)

=2013 ≥ 2014 =2014

3.2 Faculty research reports and plans developed for each academic year and submitted to the Research Committee of the Academic Board for approval

Each faculty which delivers degrees, submits reports and plans

100% 100% 100%

Note: All performance indicators relate directly to SIT’s Investment Plan 2015-2016

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Purpose of Measurement

Calculation Measurement

Performance Target - To report on the following financial ratios as at 31 December 2015 with the aim of meeting or exceeding the previous year’s ratios.

2015 2014

Quick Ratio Ratio of:

Current Monetary Assets

Current Monetary Liabilities

2.92 3.13

Equity/Liability Ratio Ratio of:

Total Equity Total Liability

10.60 13.88

Net Income Margin Net Income Total Revenue

4.97% 1.57%

Total Asset Turnover Total Revenue Total Assets

45.33% 46.99%

Return on Investment Net Income x Total Revenue Total Revenue x Total Assets

2.25% 0.74%

Financial Performance Indicators

Institute Performance StatisticsIndicators

52 | Annual Report 2015

Indicator Target Actual

Institution EFTS Total

(Government Funded Mainstream programmes)

3,412 3,536

Use of Teaching Resources

(EFTS: Tutor Ratio)

18.57 24.44

Note: Managers are excluded from the data to measure “use of teaching resources”

2015 2014

Number of EFTS (mainstream funding) - Actual 3,536.41 3,481.92

Number of EFTS (mainstream funding) – Target 3,411.56 3,676.98

Percentage Actual to Target 103.66% 94.70%

Number of EFTS (all courses) - Actual 4,908.03 4,544.71

Number of EFTS (all courses) – Target 4,555.68 4,713.26

Percentage Actual to Target 107.73% 96.42%

^Teaching Staff FTE – Actual 156.41 162.03

^Actual EFTS per FTE Tutor ratio 24.44 22.01

^Budget EFTS per FTE Tutor ratio 18.57 18.79

Excludes all Subcontracted EFTS and all facilitator FTE’s *Excludes all income and gains/losses in revaluation

STATEMENT OF SERVICE PERFORMANCE

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STATEMENT OF ACCOUNTING POLICIES

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Reporting Entity The Southern Institute of Technology (the Institute) is a TEI domiciled in New Zealand and is governed by the Crown Entities Act 2004 and the Education Act 1989.

The Institute and group consists of Southern Institute of Technology and its in substance subsidary, Southern Education Charitable Trust. The 49% equity share of its associate Southern Lakes English College Limited is equity accounted. MotorTrain Limited is a shell company in which SIT holds a 25% interest with no transactions being incurred during the year.

The primary objective of the Institute and group is to provide tertiary education services for the benefit of the community rather than making a financial return. Accordingly, the Institute has designated itself and the group as public benefit entities for the purposes of financial reporting.

The financial statements of the Institute and group are for the year ended 31 December 2015. The financial statements were authorised for issue by the Council on 18th April 2016.

Basis of PreparationThe financial statements have been prepared on a going concern basis, and the accounting policies have been applied consistently throughout the period.

Statement of Compliance The financial statements of the Institute and group have been prepared in accordance with the requirements of the Crown Entities Act 2004 and the Education Act 1989, which include the requirement to comply with New Zealand generally accepted accounting practice (NZ GAAP).

The financial statements have been prepared in accordance with Tier 1 PBE accounting standards. These financial statements comply with PBE accounting standards. These financial statements are the first financial statements presented in accordance with the new PBE accounting standards. There is no material adjustments arising on transition to the new PBE accounting standards.

Presentation Currency and Rounding The financial statements are presented in New Zealand dollars and all values are rounded to the nearest thousand dollars ($000).

Significant Accounting PoliciesThe financial statements include a statement of financial performance, a statement of comprehensive revenue & expense, a statement of changes in equity, a statement of financial position, a statement of cash flows, a statement of contingencies and a statement of commitments.

The accounting policies set out below have been applied consistently to all periods presented in these financial statements.

RevenueRevenue is measured at fair value. The specific accounting policies for significant revenue items are explained below

SAC Funding SAC funding is the Institute’s main source of operational funding from the Tertiary Education Commission (TEC). The Institute considers SAC funding to be non-exchange and recognises SAC funding as revenue when the course withdrawal date has passed, based on the number of eligible students enrolled in the course at that date and the value of the course.

Student Tuition Fees Domestic student tuition fees are subsidised by government funding and are considered non-exchange. Revenue is recognised when the course withdrawal date has passed, which is when a student is no longer entitled to a refund for withdrawing from the course. International student tuition fees are accounted for as exchange transactions and recognised as revenue on a course percentage of completion basis. The percentage of completion is measured by reference to the days of the course completed as a proportion of the total course days.

Other Grants Received Other grants are recognised as revenue when they become receivable unless there is an obligation in substance to return the funds if conditions of the grant are not met. If there is such an obligation, the grants are initially recorded as grants received in advance when received and recognised as revenue when the conditions of the grant are satisfied.

Statement of Accounting Policies

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InterestInterest revenue is recognised using the effective interest method.

Scholarships Scholarships awarded by the Institute that reduce the amount of tuition fees payable by the student are accounted for as an expense and not offset against student tuition fees revenue.

Borrowing Costs Borrowing costs are recognised as an expense in the financial year in which they are incurred.

Advertising CostsAdvertising costs are expensed when the related service has been rendered.

Revenue TaxTertiary education institutes are classed as public bodies by the Inland Revenue Department and are therefore exempt from revenue tax.

LeasesFinance LeaseA finance lease is a lease that transfers to the lessee substantially all the risks and Rewards incidental to ownership of an asset, whether or not title is eventually transferred.

At the commencement of the lease term, the Institute recognises finance leases as assets and liabilities in the statement of financial position at the lower of the fair value of the leased item and the present value of the minimum lease payments.

The amount recognised as an asset is depreciated over its useful life. If there is no certainty as to whether the Institute will obtain ownership at the end of the lease term, the asset is fully depreciated over the shorter of the lease term and its useful life.

Operating LeaseAn operating lease is a lease that does not transfer substantially all the risk and rewards incidental to ownership of an asset. Lease payments under an operating lease are recognised as an expense on a straight line basis over the lease term.

Lease incentives received are recognised in the statement of financial performance over the lease term as an integral part of the total lease expense.

Financial Assets The Institute classifies its financial assets into the following two categories: financial assets at fair value through profit or loss and loans and receivables. The classification depends on the purpose for which the investments were acquired. Management determines the classification of its investments at initial recognition and re-evaluates this designation at every reporting date.

Financial assets are initially measured at fair value plus transaction costs unless they are carried at fair value through profit and loss in which case the transaction costs are recognised in the statement of financial performance. In this category SIT has its equity investments and other investments.

Purchases and sales of investments are recognized on trade-date, the date on which the Institute commits to purchase or sell the asset. Financial assets are derecognised when the rights to receive cash flows from the financial asset have expired or have been transferred and the Institute has transferred substantially all risks and rewards of ownership.

The two categories of financial assets are:

1) Financial assets at fair value through profit or loss

After initial recognition they are measured at their fair values. Gains or losses on re-measurement are recognised in the statement of financial performance. In this category SIT has its equity and other investments.

2) Loans and receivables

These are non-derivative financial assets with fixed or determinable payments that are not quoted in an active market.

The Institute has in place an investment plan, which it follows closely.

Impairment of Financial AssetsAt each balance sheet date the Institute assesses whether there is any objective evidence that a financial asset or group of financial assets is impaired. Any impairment losses are recognised in the statement of financial performance.

Trade and Other ReceivablesTrade and other receivables are initially measured at fair value and subsequently measured at amortised cost using the effective interest method, less any provision for impairment.

A provision for impairment of receivables is established when there is objective evidence that the Institute will not be able to collect all amounts due according to the original terms of the receivables. The amount of the provision is the difference between the asset’s carrying amount and the present value of estimated future cash flows, discounted using the effective interest method.

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Cash and Cash EquivalentsCash and cash equivalents includes cash on hand, deposits held at call with banks, other short term highly liquid investments with original maturities of three months or less and bank overdrafts.

Inventories Inventories held for sale on a commercial basis are valued at the lower of cost and net realisable value. Consumable stocks are valued at the lower of cost and current replacement cost. Cost is measured using the FIFO method.

Inventories acquired through non-exchange transactions are measured at fair value at the date of acquisition.

The write down from cost to current replacement cost or net realisable value is recognised in the statement of financial performance if applicable. However there have been no write-downs in inventories during the year.

Property, Plant and EquipmentProperty, plant and equipment consists of -

Operational assets - These include land, buildings, plant and equipment, computers, furniture, library books and motor vehicles.

Restricted Assets - Crown owned land and buildings that are used by the Institute are included as part of the property, plant and equipment. These were first recognised on 31 December 1995 at deemed cost obtained by using the optimised depreciated replacement cost methodology. Although legal title has not been transferred, Southern Institute of Technology has assumed all the normal risks and rewards of ownership.

Land and buildings were re-valued as at 31 December 2013 by Rural Value, a QV business unit, Registered Valuers.

Land and buildings are re-valued with sufficient regularity to ensure that their carrying amount does not differ materially from fair value and at least every three years.

The net revaluation results are credited or debited to other comprehensive revenue and is accumulated to an asset revaluation reserve in equity. Where this would result in a debit balance in the asset revaluation reserve, this balance is not recognised in other comprehensive revenue but is recognised in the surplus or deficit. Any subsequent increase on revaluation that offsets a previous decrease in value recognised in the surplus or deficit will be recognised first in the surplus or deficit up to the amount previously expensed, and then recognised in other comprehensive revenue.

Library collections are assessed annually by the Institute’s head librarian, in accordance with draft guidelines released by the New Zealand Library Association and the National Library of New Zealand in May 2002. Impairment losses for the year are shown in Note 10.

Land is measured at fair value, and buildings and infrastructure are measured at fair value less accumulated depreciation and impairment losses. All other asset classes are measured at cost, less accumulated depreciation and impairment losses.

Additions The cost of an item of property, plant and equipment is recognised as an asset if, and only if, it is probable that future economic benefits or service potential associated with the item will flow to the Institute and the cost of the items can be measured reliably.

In most instances, an item of property, plant and equipment is recognised at its cost. Where an asset is acquired at no cost, or for a nominal cost, it is recognised at fair value when control over the asset is obtained.

DisposalsGains and losses on disposals are determined by comparing the proceeds with the carrying amount of the asset. Gains and losses on disposals are included in the statement of financial performance. When revalued assets are sold, the amounts included in property revaluation reserves in respect of those assets are transferred to general funds.

Subsequent Costs

Costs incurred subsequent to initial acquisition are capitalised only when it is probable that future economic benefits or service potential associated with the item will flow to the Institute and the cost of the item can be measured reliably.

Capital Work in ProgressCapital work in progress is valued on the basis of expenditure incurred and gross progress claim certificates up to balance date. Work in progress is not depreciated.

DepreciationProperty, plant and equipment is depreciated on a straight line basis on all property, plant and equipment other than land at rates that will write off the cost or value of the assets over their estimated lives.

The depreciation rates used in the preparation of these statements are as follows:

Buildings 5 - 100 years 1 – 20%

Motor Vehicles 3-5 years 20-33%

Furniture and Fittings 10 years 10%

Computers 3 years 33%

General Equipment 3 - 5 years 10-33%

Leases & Leasehold Improvements

3 - 5 years Term of Lease 20 – 33%

The above rates have been applied consistently.

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The residual value and useful life of an asset is reviewed, and adjusted if applicable, at each financial year end. The Library collection is depreciated on a straight line basis over seven years and assessed annually for signs of impairment.

Intangible Assets Software Acquisition Acquired computer software licenses are capitalised on the basis of the costs incurred to acquire and bring to use the specific software.

Costs associated with maintaining computer software are recognised as an expense when incurred.

Costs associated with the development and maintenance of the Institute’s website are recognised as an expense when incurred.

Naming RightsNaming Rights to Stadium Southland acquired in the 2014 financial year are being amortised over the contractual term of six years.

Course Development Costs Course development costs relate to development of educational programmes and courses and are capitalised when it is probable that future economic benefits arising from use of the intangible asset will flow to the group. Following the initial recognition of the course development expenditure, the asset is carried at cost less accumulated amortisation and impairment losses.

Television Commercial Development and Online Content TVC’s and Online Content are capitalised when it is probable that future economic benefits arising from use of the intangible asset will flow to the group. Following the initial recognition of the TVC’s and Online Content expenditure, the asset is carried at cost less accumulated amortisation and impairment losses.

Amortisation Computer software licenses are amortised on a straight line basis over their estimated useful lives of 3 to 5 years (20%-33% straight line).

The naming rights to Stadium Southland are amortised on a straight line basis over the contractual term of six years (16.66%). Course Development Costs are amortised on a straight line basis, from the commencement of the course, over their estimated useful lives of 3 to 5 years (20%-33%). TVCs and Online Content are amortised on a straight line basis over their estimated useful lives of 3 years (33%).

The amortisation period and amortisation method for each class of intangible asset having a finite life is reviewed at each financial year end. If the expected useful life or expected pattern of consumption is different from the previous assessment, changes are made accordingly.

The carrying value of each class of intangible asset is reviewed for indicators of impairment annually. Intangible assets are tested for impairment where an indicator of impairment exists.

Impairment of Property, Plant, and Equipment and Intangible AssetsIntangible assets subsequently measured at cost that have an indefinite useful life, or are not yet available for use, are not subject to amortisation and are tested annually for impairment.

Property, plant, and equipment and intangible assets subsequently measured at cost that have a finite useful life are reviewed for impairment at each balance date and whenever events or changes in circumstances indicate that the carrying amount may not be recoverable.

An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs to sell and value in use.

If an asset’s carrying amount exceeds its recoverable amount, the asset is considered to be impaired and the carrying amount is written down to the recoverable amount. The impairment loss is recognised in the surplus or deficit.

Gains or losses arising from derecognition of an intangible asset are measured as the difference between the net disposal proceeds and the carrying amount of the asset and are recognised in the surplus or deficit when the asset is derecognised.

Impairment of Non-Financial Assets Non-Financial Assets with a finite useful life are reviewed for impairment whenever events or changes in circumstances indicate that the carrying amount may not be recoverable. An impairment loss is recognised for the amount by which the asset’s carrying amount exceeds its recoverable amount. The recoverable amount is the higher of an asset’s fair value less costs to sell and value in use.

Value in use is depreciated replacement cost for an asset where the future economic benefits or service potential of the asset are not primarily dependent on the asset’s ability to generate net cash inflows and where the Institute would, if deprived of the asset, replace its remaining future economic benefits or service potential.

If an asset’s carrying amount exceeds its recoverable amount, the asset is impaired and the carrying amount is written down to the recoverable amount. The total impairment loss is recognised in the statement of financial performance.

For re-valued assets the impairment loss is recognised in other comprehensive revenue to the extent the impairment loss does not exceed the amount in the revaluation reserve in equity.

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Employee BenefitsShort Term Benefits Employee benefits that the Institute expects to be settled within 12 months of balance date are measured at nominal values based on accrued entitlements at current rates of pay.

These include salaries and wages accrued up to balance date, annual leave earned to, but not yet taken at balance date, retiring and long service leave entitlements expected to be settled within 12 months, and sick leave.

The Institute recognises a liability for sick leave to the extent that compensated absences in the coming year are expected to be greater than the sick leave entitlements earned in the coming year. The amount is calculated based on the unused sick leave entitlement that can be carried forward at balance date, to the extent the Institute anticipates it will be used by staff to cover those future absences.

Long Term Benefits Entitlements that are payable beyond 12 months, such as long service leave and retiring leave, have been calculated on an actuarial basis. These calculations are based on:-

- Likely future entitlements accruing to staff, based on years of service, years to entitlement, the likelihood that staff will reach the point of entitlement and contractual entitlements information; and

- The present value of the estimated future cash flows. A discount rate of 5.75% and an inflation factor of 2.75% were used. The discount rate is based on the weighted average of interest rates for Government stock with terms to maturity similar to those of the relevant liabilities. The inflation factor is based on the expected long term increase in remuneration for employees.

Goods and Services Tax (GST) All items in the financial statements are stated exclusive of GST, except for receivables and payables, which are stated on a GST inclusive basis. The revenue in advance is treated as GST exclusive. Where GST is not recoverable as input tax then it is recognised as part of the related asset or expense.

The net amount of GST recoverable from, or payable to, the Inland Revenue Department is included as part of receivables or payables in the statement of financial position.

The net GST paid to, or received from the Inland Revenue Department, including the GST relating to investing and financing activities, is classified as an operating cash flow in the statement of cash flows.

Commitments and contingencies are disclosed exclusive of GST.

Equity Equity of the Institute is the measured difference between total assets and total liabilities. Equity is disaggregated and classified into a number of reserves. The components of equity are:

ª Retained earnings. ª Other funds and reserves. ª Trust funds. ª Property revaluation reserve.

Budget Figures The budget figures have been prepared in accordance with generally accepted accounting practice and are consistent with the accounting policies adopted by the Council for the preparation of the financial statements. The budget figures shown are those approved by Council in August 2014.

Cost Allocation The Institute has derived the cost of service for each significant activity of SIT using the cost allocation system outline below.

Direct costs are those costs directly attributable to a significant activity. Indirect costs are those costs, which cannot be identified in an economically feasible manner, with a specific activity.

Direct costs are charged directly to significant activities. Indirect costs are charged to significant activities using appropriate cost drivers such as actual usage, Equivalent Full Time Students (EFTS), Staff numbers and floor area.

Critical Accounting Estimates and Assumptions

In preparing these financial statements the Institute has made estimates and assumptions concerning the future. These estimates and assumptions may differ from the subsequent actual results. Estimates and assumptions are continually evaluated and are based on historical experience and other factors, including expectations or future events that are believed to be reasonable under the circumstances. The estimates and assumptions that have a significant risk of causing a material adjustment to the carrying amounts of assets and liabilities within the next financial year are discussed below:-

Property RevaluationsLand is valued at fair value using market based evidence based on its highest and best use with reference to comparable land values. Where there is a designation held against the land, adjustments have been made to reflect that designation.

Buildings are valued on either a fair market or depreciated replacement cost basis. Where the fair value of an asset can be determined by reference to the price in an active market for the same asset or a similar asset, the fair value of the asset

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is determined using this information. Where fair value of the asset is not able to be reliably determined using market based evidence, depreciated replacement cost is considered to be the most appropriate basis for determination of the fair value.

Depreciated replacement cost is determined using a number of significant assumptions which include;

ª The replacement cost is derived from recent construction contracts of similar assets and Property Institute of New Zealand cost information.

ª Estimating the remaining useful life of the asset. ª Straight line depreciation has been applied in determining

the depreciated replacement cost value of the asset.

Property, Plant and Equipment Useful Lives and Residual Values At each balance date the Institute reviews the useful lives and residual values of its property, plant and equipment. Assessing the appropriateness of useful life and residual value estimates of property, plant and equipment requires the Institute to consider a number of factors such as the physical condition of the asset, expected period of use of the asset by the Institute and expected disposal proceeds from the future sale of the asset.

An incorrect estimate of the useful life or residual value will impact on the depreciable amount of an asset, therefore impacting on the depreciation expense recognised in the statement of financial performance, and carrying amount of the asset in the statement of financial position. The Institute minimises the risk of this estimation uncertainty by:-

ª physical inspection of assets; ª asset replacement programmes; ª review of second hand market prices for similar assets;

and ª analysis of prior asset sales.

The Institute has not made significant changes to past assumptions concerning useful lives and residual values. The carrying amounts of property, plant and equipment are disclosed in note 10.

Critical Judgements in Applying the Institute’s Accounting PoliciesManagement has exercised the following critical judgements in applying accounting policies for the year ended 31 December 2015:

The Council and Management must exercise their judgement when recognising grant revenue to determine if conditions of the grant contract have been satisfied. This judgement will be based on the facts and circumstances that are evident for each grant contract.

Most Crown funding received is operational in nature and is provided by the Crown under the authority of an expense appropriation and is recognised as revenue. Where funding is received from the Crown under the authority of a capital appropriation, the Institute accounts for the funding as a capital contribution directly in equity. Information about capital contributions recognised in equity is disclosed in note

14.

Property in the legal name of the Crown that is occupied by the Institute is recognised as an asset in the statement of financial position. The Institute considers it has assumed all the normal risks and rewards of ownership of this property despite legal ownership not being transferred and accordingly it would be misleading to exclude these assets from the financial statements.

Standards issued and not yet effective and not early adoptedDisclosure initiative

PBE IPSAS 1 Presentation of Financial Statements has recently been updated to address percieved impediments to preparers exercising the judgements in preparing financial statements.

These amendments apply to the Institute and group in preparing the 31 December 2016 financial statements. The Institute and group will be considering these amendments and relooking at how its financial statements are presented in preparing the 31 December 2016 financial statements.

Other amendments

While there are other amendments issued and not yet effective, the Institute and group does not consider these to be relevant and therefore no information has been dsiclosed about these amendments.

Changes in Accounting PoliciesThe Minister of Commerce has approved a new Accounting Standards Framework (incorporating a Tier Strategy) developed by the External Reporting Board (XRB). Under this Accounting Standards Framework, the Institute is classified as a Tier 1 reporting entity and it has applied full public sector Public Benefit Entity Accounting Standards (PAS). These standards are mainly based on current International Public Sector Accounting Standards. The effective date for the new standards for public sector entities is for reporting periods beginning on or after 1 July 2014. The Institute has transitioned to the new standards in preparing its 31 December 2015 financial statements.

Basis of ConsolidationThe group financial statements are prepared by adding together like items of assets, liabilities, equity, revenue, expenses, and cash flows on a line-by-line basis. All significant intragroup balances, transactions, revenue, and expenses are eliminated in full on consolidation.

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SubsidiariesThe Institute consolidates in the group financial statements all entities where the Institute has the capacity to control the financing and operating policies of an entity so as to obtain benefits from the activities of the entity. This power exists where the Institute controls the majority voting power on the governing body or where such policies have been irreversibly predetermined by the Institute or where the determination of such policies is unable to materially impact the level of potential ownership benefits that arise from the activities of the subsidiary.

Subsidiaries are fully consolidated from the date on which control is transferred to the group. They are de-consolidated from the date that control ceases.

The Institute will recognise goodwill where there is an excess of the consideration transferred over the net identifiable assets acquired and liabilities assumed. This difference reflects the goodwill to be recognised by the Institute. If the consideration transferred is lower than the net fair value of the Institute’s interest in the identifiable assets acquired and liabilities assumed, the difference will be recognised immediately in the surplus or deficit.

Investments in subsidiaries are carried at cost in the Institute’s parent entity financial statements.

AssociateThe Institute’s associate investment is accounted for in the group financial statements using the equity method. An associate is an entity over which the Institute has significant influence and that is neither a subsidiary nor an interest in a joint venture. The investment in an associate is initially recognised at cost and the carrying amount is increased or decreased to recognise the group’s share of the change in net assets of the associate after the date of acquisition. The group’s share of the associate’s surplus or deficit of the associate is recognised in the group surplus or deficit. Distributions received from an associate reduce the carrying amount of the investment in the group financial statements.

If the share of deficits of an associate equals or exceeds an interest in the associate, the group discontinues recognising its share of further deficits. After the group’s interest is reduced to zero, additional deficits are provided for, and a liability is recognised, only to the extent that the group has incurred legal or constructive obligations or made payments on behalf of the associate. If the associate subsequently reports surpluses, the group will resume recognising its share of those surpluses only after its share of the surpluses equals the share of deficits not recognised.

Where the group transacts with an associate, surpluses or deficits are eliminated to the extent of the group’s interest in the relevant associate.

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Statement of Financial PerformanceFor the year ended 31 December 2015

Statement of Comprehensive Revenue & ExpenseFor the year ended 31 December 2015

Financial Statements

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

Notes $’000 $’000 $’000 $’000 $’000

Revenue

Government Grants 1 32,026 30,809 32,891 32,026 32,891

Student Tuition / Course Fees 2 9,733 8,473 6,959 9,733 6,959

Revenue - Other 3 7,456 8,923 8,898 7,407 8,851

Total Revenue 49,215 48,205 48,748 49,166 48,701

Expenditure

Personnel Costs 4 21,224 21,112 20,882 21,224 20,882

Depreciation and amortisation 10 11 5,324 5,381 4,943 5,324 4,943

Restructuring Costs 75 100 62 75 62

Other operating expenses 5 20,194 20,724 22,131 20,194 22,131

(Gains) / Losses on disposal of assets (10) - 14 (10) 14

Total Expenditure 46,807 47,317 48,032 46,807 48,032

Share of Associates’s surplus/(deficit) 26 36 - 50 36 50

Net surplus 2,444 888 766 2,395 719

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

Notes $’000 $’000 $’000 $’000 $’000

Net surplus 2,444 888 766 2,395 719

Gains on property revaluations - - - - -

Total comprehensive revenue 2,444 888 766 2,395 719

Explanations of major variances against budget are provided in note 24.

The accompanying notes form part of these financial statements.

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Statement of Changes in EquityFor the year ended 31 December 2015

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

Notes $’000 $’000 $’000 $’000 $’000

Balance at 1 January 96,778 96,536 96,012 96,852 96,133

Total comprehensive revenue 2,444 888 766 2,395 719

Net Transfer to restricted reserves

- - - - -

Capital Contributions - - - - -

Balance at 31 December 99,222 97,424 96,778 99,247 96,852

The accompanying notes form part of these financial statements.

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Statement of Financial PositionFor the year ended 31 December 2015

Southern Institute of Technology GroupActual Budget Actual Actual Actual

2015 2015 2014 2015 2014Notes $’000 $’000 $’000 $’000 $’000

AssetsCurrent AssetsCash and cash equivalents 6 6,587 12,082 11,094 6,605 11,100Trade and other receivables 7 1,585 1,800 2,569 1,592 2,576Inventories 8 1,561 1,000 1,324 1,561 1,324Other Financial Assets 9 18,609 7,555 7,555 18,609 7,616Total Current Assets 28,342 22,437 22,542 28,367 22,616

Non-Current AssetsOther Financial Assets 9 4 3 4 4 4Investment in Associate 26 417 350 356 417 356Assets held for Sale 10 - - 150 - 150Property, plant and equipment 10 78,718 81,041 79,504 78,718 79,504Intangible Assets 11 1,098 500 1,196 1,098 1,196Total Non-Current Assets 80,237 81,894 81,210 80,237 81,210Total Assets 108,579 104,331 103,752 108,604 103,826

LiabilitiesCurrent LiabilitiesTrade and other payables 12 7,535 5,000 4,855 7,535 4,855Employee Benefit Liabilities 13 1,621 1,700 1,920 1,621 1,920Total Current Liabilities 9,156 6,700 6,775 9,156 6,775

Non-Current LiabilitiesEmployee Entitlements 13 201 207 199 201 199Total Non-Current Liabilities 201 207 199 201 199Total Liabilities 9,357 6,907 6,974 9,357 6,974Net Assets 99,222 97,424 96,778 99,247 96,852

EquityRetained Earnings 14 83,415 81,617 80,971 83,440 81,045Property Revaluation Reserve 14 15,807 15,807 15,807 15,807 15,807 Total Equity 99,222 97,424 96,778 99,247 96,852

The accompanying notes form part of these financial statements.

Sarah BrownChairperson of council

Penny SimmondsChief executive

18th April 2016

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Statement of Cash FlowsFor the year ended 31 December 2015

Southern Institute of Technology Group

Note Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Cash flows from operating activities

Receipts from government grants 34,106 31,102 33,013 34,106 33,013

Interest Received 881 1,100 882 883 886

Receipts from Revenue other 17,261 16,003 15,240 17,261 15,190

Payments to suppliers (20,528) (21,054) (23,583) (20,578) (23,583)

Payments to employees (21,224) (20,882) (20,882) (21,224) (20,882)

Goods and Services Tax (net) 359 - 16 359 16

Net cash from operating activities 10,855 6,269 4,686 10,807 4,640

Cash flows from investing activities

Proceeds from sale of property, plant

and equipment 28 - 39 28 39

Net Proceeds/(Acquistions) financial assets (11,079) - 10,298 (11,019) 10,338

Investment in Associate 26 (25) - (306) (25) (306)

Purchase of Fixed Assets (4,283) (4,882) (7,246) (4,283) (7,246)

Cash flows from investing activities (15,359) (4,882) 2,785 (15,299) 2,825

Cash flows from financing activities

Proceeds from borrowings - - - - -

Equity Contributions (3) - 1 (3) 1

Net cash from financing activities (3) - 1 (3) 1

Net (decrease) / increase in cash and cash

equivalents (4,507) 1,387 7,472 (4,495) 7,466

Cash and cash equivalents at the beginning

of the year 11,094 10,695 3,622 11,100 3,634

Cash and cash equivalents at the end

of the year 6 6,587 12,082 11,094 6,605 11,100

The accompanying notes form part of these financial statements.

The GST (net) component of operating activities reflects the net GST paid to and received from the Inland Revenue Department. The GST (net) component has been presented on a net basis, as the gross amounts do not provide meaningful information for financial statement purposes and to be consistent with the presentation basis of the other primary financial statements.

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Reconciliation of the Net Surplus on Operations with the Net Cash Flows from Operation ActivitiesFor the year ended 31 December 2015

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Surplus / (deficit) 2,444 888 766 2,395 719

Add / (less) non-cash items:

Share of associate surplus/(deficit) (36) - (50) (36) (50)

Depreciation and amortisation 5,324 5,381 4,943 5,324 4,943

Movement in Employee Entitlements 2 - 24 2 24

Add / (less) items classified as investing

or financing activities:

Loss on disposal of Investment - - 26 - 26

(Gains) / losses on disposal of property,

plant and equipment (10) - (12) (10) (12)

Add / (less) movements in working capital

items:

(Inc) / Dec Accounts receivable 881 264 881 264

(Inc) / Dec Prepayments 128 - (660) 129 (660)

(Inc) / Dec Inventories (236) 484 (236) 484

Inc / (Dec) Accounts payable 648 - 18 648 19

Inc / (Dec) Revenue in Advance 2,164 122 2,164 122

Inc / (Dec) Accrued Expenses (454) - (1,239) (454) (1,239)

Net cash inflow / (outflow) from operating

activities 10,855 6,269 4,686 10,807 4,640

The accompanying notes form part of these financial statements.

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Statement of CommitmentsFor the year ended 31 December 2015

Southern Institute of Technology

Group

Actual Actual Actual Actual

2015 2014 2015 2014

$’000 $’000 $’000 $’000

Capital commitments

Land & Buildings 112 1,428 112 1,428

Equipment - - - -

Hospitality Redevelopment - - - -

112 1,428 112 1,428

Operating Lease commitments

Non cancellable operating lease as lessee:

Property

Not later than one year 290 276 290 276

Later than one year and not later than five years 502 625 502 625

Later than five years 192 - 192 -

984 901 984 901

Equipment

Not later than one year - - - -

Later than one year and not later than five years - - - -

Later than five years - - - -

- - - -

Services

Not later than one year 947 882 947 882

Later than one year and not later than five years 623 1,397 6233 1,397

Later than five years - - - -

1,570 2,279 1,570 2,279

Franchise Course Fees

Not later than one year - 80 - 80

Later than one year and not later than five years - - - -

Later than five years - - - -

- 80 - 80

TOTAL COMMITMENTS 2,666 4,688 2,666 4,688

Equipment leases can be renewed at the Institute’s option, with rents set by reference to current market rates for items of equivalent age and condition. The Institute does not have the option to purchase the asset at the end of the lease term.

There are no restrictions placed on the Institute by any of the leasing arrangements.

The accompanying notes form part of these financial statements.

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Statement of ContingenciesFor the year ended 31 December 2015

Contingent Liabilities

There are no contingent liabilities as at 31 December 2015 (Last Year $Nil).

The accompanying notes form part of these financial statements.

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Notes to the Financial StatementsFor the year ended 31 December 2015

1 Government Grants

This includes monies received from Government by way of an Operational Bulk Grant, which is based on equivalent full-time student (EFTS) levels and the funding category levels of these EFTS, and specific purpose – related grants. An analysis of Government grant funding is as follows:

2 Student tuition and course fees

The amount shown is for courses undertaken outside the zero fee scheme (e.g. ITO courses, community courses, international students and non trade courses at the Christchurch Campus). Direct course costs that are directly attributable to students for each course are also shown here.

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Operational bulk grant 29,149 28,103 30,172 29,149 30,172

Non-EFTS funding 1,941 1,688 1,770 1,941 1,770

Childcare Centre grant 797 800 810 797 810

Quality Reinvestment Programme - - - - -

Disability grant 100 100 100 100 100

Maori & Pasifika Grant 39 39 39 39 39

Other - 79 - - -

32,026 30,809 32,891 32,026 32,891

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Student tuition and course fees 9,733 8,473 6,959 9,733 6,959

3 Revenue - Other

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Accommodation 936 729 708 936 708

Consulting Revenue 18 - 32 18 32

Course Material 4,391 5,671 5,802 4,391 5,802

Childcare Fees 294 250 299 294 299

Sundry Revenue 936 1,173 1,175 886 1,125

Interest Revenue 881 1,100 882 882 885

7,456 8,923 8,898 7,407 8,851

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4 Personnel Costs

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Salaries and Wages 20,480 20,009 19,606 20,480 19,606

Employer Contributions to defined contribution plans 414 370 412 414 412

Increase / (decrease) in employee entitlements (297) - 180 (297) 180

Other 627 733 684 627 684

Total Personnel Costs 21,224 21,112 20,882 21,224 20,882

5 Other operating expenses

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Audit fees for the financial statement audit - annual fee 93 100 90 100 90

Leasing of equipment and services 368 681 515 368 515

Advertising and publicity 1,803 1,499 2,355 1,803 2,355

Consultancy 759 1,072 779 759 779

Repairs and Maintenance 330 612 265 330 265

Inventories Consumed 32 - 114 32 114

Bad Debts 48 - 81 48 81

Donations and Koha 2 1 1 2 1

Other Operating Expenses 16,759 16,759 17,931 16,752 17,931

Total - other operating expenses 20,194 20,724 22,131 20,194 22,131

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6 Cash and cash equivalents

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

BNZ Cheque Account 2,032 1,637 1,500 2,050 1,506

Cash in Hand 7 6 6 7 6

BNZ Call Account 454 442 442 454 442

ANZ Call Account 392 334 334 392 334

ASB Call Account 14 14 14 14 14

Westpac Call Account 17 16 16 17 16

Rabobank Call Account 1,671 1,762 1,762 1,671 1,762

ASB - 1,500 1,500 - 1,500

Bank of New Zealand - 2,520 2,520 - 2,520

Southland Building Society - 2,351 1,500 - 1,500

ANZ Bank 2,000 - - 2,000 -

Rabo Bank - 1,500 1,500 - 1,500

6,587 12,082 11,094 6,605 11,100

The carrying value of short-term deposits with maturity dates of three months or less approximates their fair value.

Refer to note 9 for weighted average effective interest rate for cash and cash equivalents.

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7 Trade and other receivables

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Trade Debtors 692 1,260 1,705 699 1,712

Prepayments 893 540 864 893 864

1,585 1,800 2,569 1,592 2,576

Current 532 - 539 -

Past due 1-30 days 97 1,220 97 1,220

Past due 31-60 days 7 224 7 224

Past due 61-90 days 20 261 20 261

Past due >91 days 36 - 36 -

Total due 692 1,705 699 1,705

The carrying value of debtors and other receivables approximates their fair value.

As of 31 December 2015 and 31 December 2014 all overdue receivables have been assessed for impairment and appropriately written off. There is no provision for impairment on the remaining debtors.

8 Inventories

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Inventory held for the use in the provision of goods and services

440 300 415 440 415

Publications held for sale 160 200 191 160 191

Information Technology Inventory - 50 2 - 2

Full Size Works 961 450 716 961 716

Total 1,561 1,000 1,324 1,561 1,324

The carrying amount of inventories is measured at the lower of cost or net realisable value/current replacement cost.

No inventories are pledged as securities for liabilities.

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9 Other Financial Assets

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Current Portion

Loans and receivables

Short-term deposits with maturities greater than 3 but less than 12 months

ANZ Banking Group (New Zealand) Limited 1,055 1,055 1,055 1,055 1,055

ASB 3,500 - - 3,500 -

Bank of New Zealand 4,020 1,000 1,000 4,020 1,061

Kiwibank 3,500 2,000 2,000 3,500 2,000

Rabobank 2,000 2,000 2,000 2,000 2,000

Southland Building Society 1,534 - - 1,534 -

Westpac 3,000 1,500 1,500 3,000 1,500

Total 18,609 7,555 7,555 18,609 7,616

Non-current portion

Fair value through profit and loss - available for sale

Foodstuffs (South Island) Limited 4 3 4 4 4

Polytechnics International New Zealand Limited - - - - -

Varsity Travel Unit Trust - - - - -

Total 4 3 4 4 4

There were no impairment provisions for other financial assets.

Maturity analysis and effective interest rates

The maturity dates for all other financial assets are as follows:

Call accounts maturing in three months or less 2,548 2,568 2,548 2,568

Average Maturity Days: - - - -

Weighted Average effective interest rate: 1.79% 3.17% 2.28% 3.17%

Short-term deposits with maturities of 1 - 12 months 20,609 14,575 20,609 7,616

Average Maturity Days: 148 104 148 104

Weighted Average effective interest rate: 3.66% 4.31% 3.66% 4.31%

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Page 76: 2015 Annual Report

FINANCIAL STATEMENTS

76 | Annual Report 2015

10 P

rope

rty,

Pla

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ntinu

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Page 77: 2015 Annual Report

FINANCIAL STATEMENTS

Annual Report 2015 | 77

11 Intangible Assets

Southern Institute of Technology

Group

Cost $’000 $’000

Balance at 1 January 2014 1,741 1,741

Additions 693 693

Transfers 281 281

Disposals - -

Balance at 31 December 2014 2,715 2,715

Balance at 1 January 2015 2,715 2,715

Additions 376 376

Transfers - -

Disposals - -

Balance at 31 December 2015 3,091 3,091

Accumulated Amortisation $’000 $’000

Balance at 1 January 2014 972 972

Amortisation Expense 354 354

Transfers 193 193

Disposals - -

Balance at 31 December 2014 1,519 1,519

Balance at 1 January 2015 1,519 1,519

Amortisation Expense 474 474

Transfers - -

Disposals - -

Balance at 31 December 2015 1,993 1,993

Carrying Amounts $’000 $’000

At 1 January 2014 769 769

At 31/12/2014 and 1/1/2015 1,196 1,196

At 31 December 2015 1,098 1,098

There are no restrictions over the title of the Institute’s intangible assets nor are any intangible assets pledged as security for liabilities.

Work in progress has been updated to be disclosed on a class-of-assets basis as required by PBE IPSAS 17.89. This information was previously permitted to be presented in aggregate.

Work in Progress

Southern Institute Group

of Technology

$’000 $’000

Buildings 125 125

Computers 13 13

Furniture and Equipments 14 14

Intangible 502 502

Vehicles 4 4

658 658

10 Property, Plant, and Equipment

Page 78: 2015 Annual Report

FINANCIAL STATEMENTS

78 | Annual Report 2015

12 Trade and other payables

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Trade Payables 486 2,500 297 486 297

Halls of Residence Bonds 35 15 26 35 26

Revenue in advance

- Student fees in advance 1,455 1,980 3,082 1,455 3,082

- Debtors in advance 3,848 3,848

- Elderhostel fees in advance - 5 7 0 7

- Other fees in advance 292 500 352 292 352

Accrued expenses 1,079 - 942 1,079 942

Contract Retentions 112 - 100 112 100

GST payable 228 - 49 228 49

7,535 5,000 4,855 7,535 4,855

Creditors and other payables are non interest bearing and normally settled on 20 day terms and the above amounts approximate their fair value. The debtors in advance includes GST while the other payables does not include GST.

Southern Institute of Technology Group

Actual Actual Actual Actual

2015 2014 2015 2014

$’000 $’000 $’000 $’000

Total Payables under exchange 5,102 1,941 5,102 1,941

Total Payables under non exchange 2,433 2,914 2,433 2,914

7,535 4,855 7,535 4,855

13 Employee Entitlements

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

$’000 $’000 $’000 $’000 $’000

Payroll Accrued 356 600 684 356 684

Annual Leave 1,210 1,100 1,177 1,210 1,177

Sick Leave 55 - 59 55 59

Long Service Leave 201 207 199 201 199

1,822 1,907 2,119 1,822 2,119

Represented by:

Current Portion 1,621 1,700 1,920 1,621 1,920

Non-Current Portion 201 207 199 201 199

Total Employee Entitlements 1,822 1,907 2,119 1,822 2,119

The present value of the long service obligation depends on a number of factors that are determined on an actuarial basis using a number of assumptions. Two key assumptions in calculating this liability include the discount rate and the salary inflation factor. A movement of +/- 1% on either of these factors produces a non material impact on the present value of long service obligations.

Page 79: 2015 Annual Report

FINANCIAL STATEMENTS

Annual Report 2015 | 79

14 Equity

Southern Institute of Technology Group

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

Retained Earnings $’000 $’000 $’000 $’000 $’000

As at 1 January 80,971 80,729 80,205 81,045 80,326

Net surplus 2,444 888 766 2,395 719

Capital Contribution - - - - -

Transfers to restricted reserves - - - - -

Transfers from restricted reserves - - - - -

As at 31 December 83,415 81,617 80,971 83,440 81,045

Property Revaluation Reserve

As at 1 January 15,807 15,807 15,807 15,807 15,807

Property revaluation gains - - - - -

As at 31 December 15,807 15,807 15,807 15,807 15,807

Total Equity 99,222 97,424 96,778 99,247 96,852

Actual Budget Actual Actual Actual

2015 2015 2014 2015 2014

Restricted reserves consist of: $’000 $’000 $’000 $’000 $’000

Whare Awhina Fund 1 1 1 1 1

Programme Funds 31 30 30 31 30

Clearwater Estate Trust 88 87 87 88 87

Warren Forbes Award 4 4 4 4 4

Patricia O’Connor Award 4 4 4 4 4

Fletcher Challenge Award 7 7 7 7 7

135 133 133 135 133

Restricted Reserves are held in trust for student activities and awards and are included in the balance of retained earnings.

Page 80: 2015 Annual Report

FINANCIAL STATEMENTS

80 | Annual Report 2015

15 Councillors’ Fees

Southern Institute of Technology and Group

Actual Budget Actual

2015 2015 2014

Addie, D 10,000 10,000

Brown, S 28,000 28,000

Donald, M 5,830 -

Grant, J 10,000 10,000

Heenan, P 18,000 18,000

Jackson, P 10,000 10,000

Skerrett, M 10,000 10,000

Ward, T 10,000 10,000

Total Councillors’ Fees 101,830 100,000 96,000

16 Related party transactions and key management personnel

The Institute is a wholly owned entity of the Crown. The Government influences the roles of the Institute as well as being its major source of revenue.

During the year the Institute purchased the following items from firms in which Council members are associated with. The following transactions were carried out and balances were outstanding with related parties:

Actual

2015

$

Actual

2014

$

Waihopai Runaka - M Skerrett (Chair)

Services provided by the Institute - -

Goods provided to the Institute 224 674

Accounts Payable to the Institute - -

Accounts Receivable from the Institute - -

Facilities hire - Marae

Venture Southland - P Simmonds (Board Member) Services provided by the Institute 4,775 4,725Services provided to the Institute 10,000 11,161Accounts Payable to the Institute - -Accounts Receivable from the Institute - -Survey conducted on behalf of Venture Southland

Hockey Southland - P Simmonds (Chair)Services provided by the Institute 78 1,302Services provided to the Institute - -Accounts Payable to the Institute - -Accounts Receivable from the Institute - -Sponsorship

The Institute has overpaid the Councillors a total fee of $11,890 during the financial year, as a result of misinterpretation of Tertiary Education Commission’s fee framework. The Institute has since sought refund from the Councillors. The total overpayment has been included in Note 7 Trade and Other Receivables

Page 81: 2015 Annual Report

FINANCIAL STATEMENTS

Annual Report 2015 | 81

Actual

2015

$

Actual

2014

$Southern Education Charitable Trust - P Simmonds (Trustee)Services provided by the Institute 50,000 50,173Services provided to the Institute - -Accounts Payable to the Institute - -Accounts Receivable from the Institute - -Activity and Employment Services

Southern Lakes English College Limited - B Guha (Director) Services provided by the Institute - -Services provided to the Institute 603,652 248,056Accounts Payable to the Institute - -Accounts Receivable from the Institute 53,073 43,153 Provision of English Language Courses

Southern Education Consultants NZ Ltd - B Guha (Shareholder)Services provided by the Institute - -Services provided to the Institute 27,158 7,359Accounts Payable to the Institute - -Accounts Receivable from the Institute - -Academic Facilitation

Ferhardi Limited - B Guha (Director)Services provided by the Institute - -Services provided to the Institute - 6,179Accounts Payable to the Institute - -Accounts Receivable from the Institute - -Academic Facilitation

No provision has been required, nor any expense recognised, for impairment of receivables from related parties

Page 82: 2015 Annual Report

FINANCIAL STATEMENTS

82 | Annual Report 2015

16 Related party transactions and key management personnel (Continued)

Key management personnel compensation Actual

2015

$’000

Actual

2014

$’000

Council Members

Full-time equivalent members 8 7

Remuneration 102 96

Executive Management Team, including Chief Executive

Full-time equivalent members 8 9

Remuneration 1,157 1,327

Total Full-time equivalent members 16 16

Total key management personnel compensation 1,259 1,423

Key management personnel include the Chief Executive, Heads of Faculties (Eight staff 2015: seven staff 2014) and two members of the senior management team. Council members are considered part of the key management personnel and their fees have been included above and also in note 15. The above compensation includes the actual payments (27 fortnightly payments) made during the year.

There are close family members of key management personnel employed by the Southern Institute of Technology. The terms and conditions of those arrangements are no more favourable than would have been adopted if there were no relationship with key management personnel. These amounted to:

Actual

2015

$’000

Actual

2014

$’000

Remuneration paid close family members of key management personnel 144 176

Related party transectionsThe transaction between the Institute and Southern Eductation Charitable Trust is on below:

Actual

2015

$

Actual

2014

$Southern Education Charitable TrustServices provided by the Institute 50,000 50,173Services provided to the Institute - -Accounts Payable to the Institute - -Accounts Receivable from the Institute - -Activity and Employment Services

The transaction between the Institute and Southern Lakes English College Limited is on below:

Actual

2015

$

Actual

2014

$

Southern Lakes English College Limited Services provided by the Institute - -Services provided to the Institute 603,652 248,056Accounts Payable to the Institute - -Accounts Receivable from the Institute 53,073 43,153 Equity Injection/Purchase 25,000 306,276Provision of English Language Courses

Page 83: 2015 Annual Report

FINANCIAL STATEMENTS

Annual Report 2015 | 83

17 Categories of financial assets and liabilities

Southern Institute of Technology

Group

Actual Actual Actual Actual

2015 2014 2015 2014

$’000 $’000 $’000 $'000

Loans and receivables

Cash and cash equivalents 6,587 11,094 6,605 11,100

Debtors and other receivables 692 1,705 699 1,705

Investments - Term deposits 18,609 7,555 18,609 7,616

Total loans and receivables 25,888 20,354 25,913 20,421

Actual Actual Actual Actual

2015 2014 2015 2014

$’000 $’000 $’000 $'000

Financial assets at fair value through profit and loss

Investments - Equity investments - - - -

Available for Sale financial assets

Investments 4 4 4 4

Total available for sale financial assets 4 4 4 4

Financial liabilities measured at amortised cost

Creditors and other payables 2,391 1,388 2,391 1,388

Borrowings - secured loans - - - -

Total financial liabilities measured at amortised cost 2,391 1,388 2,391 1,388

Page 84: 2015 Annual Report

FINANCIAL STATEMENTS

84 | Annual Report 2015

19 Credit Risk

The Institute has minimal credit risk in its holdings of students, trade debtors and other financial instruments. These instruments include cash, bank deposits, and accounts receivable.

The Institute places its investments with registered banks and financial institutions. The Institute spreads its exposure to risk by limiting the amount that can be invested in any one institution. The Institute believes that these policies reduce the risk of any loss which could arise from its investment activities. Fixed interest deposits mature monthly when cash requirements are reviewed.

Accounts receivable are stated at their estimated realisable value after providing for amounts not considered recoverable. There is no significant concentration of credit risk for accounts receivable.

20 Market Risk

The Institute is not exposed to interest rate risk on its financial assets. Deposits are placed on pre-determined interest rates, and this reduces any potential market risks. The Institute has no exposure to currency risk.

21 Liquidity Risk

The Institute maintains a target level of investments which mature within the next 12 months. The maturity profiles of the Institute’s interest bearing investments are disclosed in notes 6 and 9 respectively.

22 Capital Management

The Institute’s capital is its equity, which comprises retained earnings and reserves. Equity is represented by its assets.

The Institute manages its revenues, expenses, assets, liabilities and general financial dealings prudently. The objective of managing the Ministry’s equity is to ensure the Institute effectively achieves its goals and objectives for which it has been established, whilst remaining a going concern.

23 Subsequent Events

There have been no material subsequent events.

24 Performance against Budget

Southern Institute of Technology experienced an increase in Income of 2% as compared to budget. This was mainly due to the increase in International EFTS over the budgeted quantity and also due to additional funding being recieved from TEC subsequent to the budget having been finalised. The surplus achieved of $2.4 million was over and above the budgeted surplus of $0.9 million.

18 Ageing of financial liabilities

Less than 6 Months Between 6 months and

1 year

Between 1 and 5 years

Southern Institute of Technology and Group 2014 $’000 $’000 $’000

Creditors and other payables 1,388 - -

Borrowings - - -

Southern Institute of Technology and Group 2015

Creditors and other payables 2,391 - -

Borrowings - - -

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FINANCIAL STATEMENTS

Annual Report 2015 | 85

25 Childcare Centre

Actual Budget Actual

2015 2015 2014

The surplus on the Childcare Centre account was arrived at as follows: $’000 $’000 $’000

Revenue received

Ministry Grants 797 800 810

Childcare Fees 294 250 299

Other Revenue

1,091 1,050 1,109

Less Expenditure

Payroll and Related Expenses 892 838 846

Consumables 39 72 36

Communication 5 4 4

Depreciation 3 1 3

939 915 889

Net Surplus 152 135 220

Statistics for Funded Hours 2015 2014

Hours Hours

Under two year olds 21,416 20,458

Over two year olds 69,407 73,306

The Childcare Centre is an integral part of Southern Institute of Technology’s provision of student services.

Furniture and Equipment are purchased by Southern Institute of Technology and the use of these assets is reflected in the depreciation charge.

Repairs and maintainance costs on the buildings used are recharged through occupancy charges in the way as all other Cost Centres.

No capital charge has been applied by Southern Institute of Technology on the Childcare Centre.

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FINANCIAL STATEMENTS

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26 Investment in associate

Actual

2015

$’000

Actual

2014

$’000

The Institute acquired a 49% shareholding in Southern LakesEnglish College Limited on 1st January 2014.

Movement in the carrying amount of the investment in associate:

Balance at 1 January 356 -

New Investments during the year 25 306

Disposal of Investments during the year - -

Share of total comprehensive Revenue 36 50

Dividend - -

Balance at 31 December 417 356

Summarised financial information of associate presented on a gross basis

Assets 1,319 1,114

Liabilities 1,048 814

Revenue 1,775 1,409

Surplus/(deficit) 73 102

Group’s interest 49% 49%

Share of associate’s contingent liabilities incurred jointly with other investors - -

Contingent liabilities that arise because of several liability - -

Southern Lakes English College Limited is an unlisted company. Accordingly, there are no published price quotationsto determine the fair value of this investment.

27 Salary Advance to Key Management Personnel

A salary advance totalling $35,351 was made to a member of key management personnel during the year. No interest was payable. The salary advance was fully repaid on 11th November 2015.

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FINANCIAL STATEMENTS

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Statement of ResourcesFor the year ended 31 December 2015

Staff

The Institute employs the following full-time equivalent staff:

Tutorial Non-Teaching and Allied Managerial Total

2015 2014 2015 2014 2015 2014 2015 2014

New Media, Arts and Business 42.37 43.27 7.92 7.13 0.69 1.00 50.98 51.40

Health, Humanities and Computing 42.83 43.02 5.09 4.57 1.00 1.00 48.92 48.59

Trades and Technology 37.14 40.25 17.76 14.27 1.01 1.00 55.91 55.52

Gore Campus 4.22 4.55 1.99 1.73 6.21 6.28

Queenstown Campus 7.32 3.76 1.79 1.49 9.11 5.25

Christchurch Campus 20.23 25.39 13.70 13.03 33.93 38.42

SIT2LRN 2.20 1.48 23.26 22.22 1.00 1.34 26.46 25.04

Finance, Admin, Directorate, Human Resources, Facilities, Educational Services, Library, Marketing, International

0.10 0.31 93.21 79.68 4.00 4.00 97.31 83.99

Caretakers, Childcare, Grounds, Cafeteria, Health and Counselling

14.00 25.09 14.00 25.09

156.41 162.03 178.72 169.21 7.70 8.34 342.83 339.58

Library

The Institute’s Library has a collection of 23,352 books and 119 regular periodical subscriptions. Issues for 2015 totalled 27,584.

The depreciated replacement cost of library stock is $603,000. The library had a permanent staff of 4.80 FTE during 2015.

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Glossary of Acronyms

EER External Evaluation and Review

EEO Equal Education/Employment Opportunities

EFTS Equivalent Full Time Student

FTE Full Time Equivalent

ITP Institutes of Technology and Polytechnics

KPI Key Performance Indicators

MOE Ministry of Education

NQF National Qualification Framework

NZQF New Zealand Qualifications Framework

NZQA New Zealand Qualifications Authority

PBE Public Benefit Entity

QMS Quality Management Systems

SAC Student Achievement Component

SAEER Self-Assessment, and External Evaluation and Review

SDR Single Data Return

SIT Southern Institute of Technology

TEC Tertiary Education Commission

TEO Tertiary Education Organisation

TES Tertiary Education Strategy

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STATEMENT OF ACCOUNTING POLICIES

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Contact DetailsSouthern Institute of TechnologyPrivate Bag 90114133 Tay StreetInvercargill 9840Southland

Freephone 0800 4 0 FEES (0800 4 0 3337)Phone (03) 211 2699Fax (03) 214 4977Email [email protected]

www.sit.ac.nz