NZRacing latest splash out

[shaneMcAlister 1,425]

You can request the consultants expenditure under the Official Information Act 1982. 

[Midget 4,489]

1 hour ago, shaneMcAlister said:

You can request the consultants expenditure under the Official Information Act 1982. 

By Friday at 3  

[shaneMcAlister 1,425]

Remember it's a government agency so allow a year or two

[Midget 4,489]

12 minutes ago, shaneMcAlister said:

Remember it's a government agency so allow a year or two

The good sources on the inside tell me they're burying consultants fees deeper than mobsters bury dead bodies, and the claims are that the fees are huge.

Anyone else hearing this ?.

[Ohokaman 5,829]

3 hours ago, Wok Belly said:

But John knows everything about the customer base now or at least he should do since he's spent well over $1m with Eleven, a company he and Glenda put forward to do customer research. 

Hopefully somebody asks him what they now know v what the business didn't know before!!! 

Do you know anybody that has been "researched" WB...?? I don't....

[Trump 2,741]

Straight from "Eleven-Movethedial" webpage:< WE ARE A SPECIALIST STRATEGIC CONSULTANCY.
We have one focus: to help ambitious businesses accelerate revenue growth, 
by attracting new customers, customers buying more and existing customers staying loyal.> I wonder how they measured up?

[Midget 4,489]

Maybe that's another good question for John Allen Friday, where are you hiding the Eleven fees John and what exactly is this crowd doing that your existing 1092 staff couldn't do adequately ??

[Racing84 254]

I used to work at EY, and while on a salary of around $75,000 per year, was being charged out at $650 per hour.  Partners were $1,000+ per hour.  It doesn't matter how good you are, no one is that good.

That organisation, and others like it, altered the strategic direction particularly for their "advisory services" business, to target the public sector (including organisations like NZRB) because it was viewed as easy money compared with trying to get work from privately-owned organisations (with greater scrutiny over spending).  They will be adding very little value with the partners getting rich at the expense of the overall industry.

All I can say is that I wouldn't be surprised by the amount of consultants fees, but I would still most likely be disgusted.

[Ohokaman 5,829]

6 minutes ago, Racing84 said:

I used to work at EY, and while on a salary of around $75,000 per year, was being charged out at $650 per hour.  Partners were $1,000+ per hour.  It doesn't matter how good you are, no one is that good.

That organisation, and others like it, altered the strategic direction particularly for their "advisory services" business, to target the public sector (including organisations like NZRB) because it was viewed as easy money compared with trying to get work from privately-owned organisations (with greater scrutiny over spending).  They will be adding very little value with the partners getting rich at the expense of the overall industry.

All I can say is that I wouldn't be surprised by the amount of consultants fees, but I would still most likely be disgusted.

When you are spending someone else's money....who cares eh...?? 

[Racing84 254]

4 hours ago, Midget said:

If my sources are correct the place is crawling with consultants and alternate agencies giving second opinions......the key question is where are they hiding the consultants fees ? Is it in the four million of unidentified turnover related expenses, or are they hiding fees in the gaming account ?

Does anyone know what the cost of outside consultants has been year on year or if they've even divulged it ? I'm told they've tried to hide the cost in various different places so it's not transparent.

In the large bucket known as "Operating Expenses".  The increases from 2015 to 2016 are noted in their summary below, noting that they have a comment in their 'Statement from the Board' that they are focusing on unwinding cost.

EXPENSES

Turnover related expenses were $1.8 million or 2.8% higher than the 2015 year. Increased turnover, particularly on sport and overseas racing led to higher national sporting organisation commissions ($1.9 million) and overseas racing rights ($1.1 million). This was offset by a reduction in commingling expenses ($1.3 million) due to commingling restrictions put in place while the Tabcorp agreements are re-negotiated.

Operating expenses increased $11.0 million or 8.6% on the prior year. This was driven by higher communications and technology costs in relation to the Optimus programme ($7.0 million or 73.4%) and staff expenses ($3.0 million or 4.8%). The increase in communications and technology costs is linked to the new IT managed service agreement with Spark relating to the Optimus programme that is in line with Budget.

Staff expenses increased by $3.0 million (4.8%). This was mainly driven by one-off costs incurred to enable longer term costs savings that include the buy-out of senior staff bonus incentives and restructuring costs ($1.9 million). Restructuring costs of $1.9 million include Phonebet ($0.9 million) and other restructuring across the business to drive longer term savings and improve business performance. The increase also reflects additional capability in our Betting team to drive revenue growth and includes salary increments and the impact of agency conversions to branches in respect of our retail network. [So even allowing for the one-off staff costs associated with "buy-out" of senior staff bonus scheme, their staff costs still increased by an extra $1.1m, when they're supposedly focused on reducing cost]

 

https://nzracingboard.co.nz/sites/default/files/documents/NZRB Annual Report 2016_0.pdf

 

[N1MUE 1,877]

Note 8d of the 2016 Annual Report shows consultancy expenses of $2.5m for FY16 compared to $1.7m the previous year.

[shaneMcAlister 1,425]

$50K a week on consultants. Without that midweek racing could be $15k a week as opposed to $10k. Then things would seem a bit better. 

[hedley 1,900]

 rorting left right an' center.

Leverage being gotten by using the fulcrum of each issue to gain leverage purchase so as to have to charge out at a maxi-dollar rate..that then creates a substantiation for the next lever and so on and so forth.

out of all those extra staffings that've been created and filled out in the last 6 or so years [more actually..but especially the last six years] . . .about 40 of them should be made redundant as they have a small workload each and stretch out the working to cover a week's work for something that should be undertaken as completed in just one day or even half a day!

their 'empire' needs decimating drastically and nominally as each hired position overlaps a collegue's domain..there is 'double ups' and overlaps all through their labyrinth 'of office' and positions.

ENough is ENough!

[Ohokaman 5,829]

58 minutes ago, shaneMcAlister said:

$50K a week on consultants. Without that midweek racing could be $15k a week as opposed to $10k. Then things would seem a bit better. 

The fact that they even need Consultants, when they have highly paid staff who should be doing the job, is obscene. All this does is highlight how woeful the quality of existing staff expertise actually is.

"Research" isn't difficult to construct if you have half a brain. All these Consultants will do is charge like wounded bulls while constructing lovely graphs telling them nothing new.....as they say "There are three types of lies - lies, damned lies and statistics"

[toolittletoolate 80]

8Objectives of Board

The objectives of the Board are—

(a)to promote the racing industry; and

(b)

to facilitate and promote racing betting and sports betting; and

(c)

to maximise its profits for the long-term benefit of New Zealand racing.

[Midget 4,489]

10 minutes ago, toolittletoolate said:

8Objectives of Board

The objectives of the Board are—

(a)to promote the racing industry; and

(b)

to facilitate and promote racing betting and sports betting; and

(c)

to maximise its profits for the long-term benefit of New Zealand racing.

Did you conveniently forget the clause from the Functions Of The Board about the welfare of those who drive their living from the industry ??

 

9Functions of Board

(1)

The functions of the Board are—

(a)

to develop policies that are conducive to the overall economic development of the racing industry, and the economic well-being of people who, and organisations which, derive their livelihoods from racing:

[von Smallhaussen 3,226]

let's see who deserves those big six figure salaries ?

Doctors and nurses in our hospitals ?

Those that put out fires and other emergency staff ?

Those that look after our elders ?

Those that educate our children ?

Those that defend our country ?

 

OR those that work for NZRB and their consultants ?

perhaps Mr. Floyd knew about that lot 

 

[toolittletoolate 80]

4 minutes ago, Midget said:

Did you conveniently forget the clause about the welfare of those who drive their living from the industry ??

No Midget i just cut and paste out of the Act, so feel free to include. My point was going to be how does ALL of this wastage actually meet their objectives and that they have (or had long ago) lost sight of perhaps the main reason why they exist. 

[Midget 4,489]

It's a little organization, 800 staff FFS, less than 7% of what the Auckland Council has, it has a glorified turnover based on deliberately distorted figures designed to impress ignorant people, the revenue of the organization is less than hundreds of small companies, yet they are so bloated, so overweight,  consumed by their own self importance, and using a retail footprint equivalent to the combined Defence forces of this country.

This is a tumor, it's a malignant cancer eating away at a great industry and dragging us to our knees.

It was intended ( as a part of The Racing Act ) to be a simple clearing house for industry funds, with some responsibilities to provide media etc..but now it's just a fat useless parasitic bloated monstrosity feeding off the carcass of the industry, sucking us dry, as we fade into oblivion, all without a decent racing person in sight ( don't tell me that Greg McCarthy is a racing person FFS )

John Allen tries hard to impress but he's all talk, lots of noise, not much substance, he claims to have costs under control but look at the examples here of their ongoing extravagance, they appear more out of control than ever.

Why would Allen and Glenda Hughes be off on another junket to Australia talk to Messara ? Do you think they flew business ? Stayed over for a feed and some good wine ? Don't they have video conferencing facilities like the rest of us ?

This is just an industry out of control being orchestrated by non racing people using someone else's money and resources in a reckless manner for no obvious productive purpose, it's blatant profligacy and it has to be brought to a stop.

[gubellini 3,995]

My advice to fellow industry participants is to get involved in the political process this election year. I don't care who you vote for but if National are returned and Nathan Guy continues to be the Minister of Racing nothing will change. The NZRB will continue to have appointments based on political allegiances rather than merit and a knowledge of racing and gaming.

[Ohokaman 5,829]

There is hope ( of sorts..) Gub....Union guy has teamed up with big teeth so who knows....??

We might get Damian O'Connor back as Racing Minister, or Winston if they need him....

[barryb 2,064]

17 minutes ago, gubellini said:

My advice to fellow industry participants is to get involved in the political process this election year. I don't care who you vote for but if National are returned and Nathan Guy continues to be the Minister of Racing nothing will change. The NZRB will continue to have appointments based on political allegiances rather than merit and a knowledge of racing and gaming.

Kris Faafoi looks a much better option, NOT.

Like it or not they will be returned, maybe with the help of Winston, but its certainly a better alternative than cheering for unionist Little. Labour have made a smart move in promoting Jacinda, but she needs this election to pass and then she can grab Leadership and then we will see a change in Govt 2020.

[toolittletoolate 80]

1 hour ago, Midget said:

It's a little organization, 800 staff FFS, less than 7% of what the Auckland Council has, it has a glorified turnover based on deliberately distorted figures designed to impress ignorant people, the revenue of the organization is less than hundreds of small companies, yet they are so bloated, so overweight,  consumed by their own self importance, and using a retail footprint equivalent to the combined Defence forces of this country.

This is a tumor, it's a malignant cancer eating away at a great industry and dragging us to our knees.

It was intended ( as a part of The Racing Act ) to be a simple clearing house for industry funds, with some responsibilities to provide media etc..but now it's just a fat useless parasitic bloated monstrosity feeding off the carcass of the industry, sucking us dry, as we fade into oblivion, all without a decent racing person in sight ( don't tell me that Greg McCarthy is a racing person FFS )

John Allen tries hard to impress but he's all talk, lots of noise, not much substance, he claims to have costs under control but look at the examples here of their ongoing extravagance, they appear more out of control than ever.

Why would Allen and Glenda Hughes be off on another junket to Australia talk to Messara ? Do you think they flew business ? Stayed over for a feed and some good wine ? Don't they have video conferencing facilities like the rest of us ?

This is just an industry out of control being orchestrated by non racing people using someone else's money and resources in a reckless manner for no obvious productive purpose, it's blatant profligacy and it has to be brought to a stop.

If our code representative is not representing us then "the movement" needs to start getting political and have him removed and replaced with someone we want who will represent us. Even if this position is in a minority that rep should be:

1. Making representations that reflect the mandate provided from the industry

2. Objecting to all decisions that are not in the industry's best interests

3. Demanding accountability and fiscal responsibility

Even if you are outvoted, record your objection. Provide feedback to the industry and give an insight to what is actually happening. No different to your local MP. 

If someone is sitting on that board and doing nothing then get rid of them. 

I certainly hope the movement builds as this is one real hope we have - especially given that it is election year and we have an opportunity if it grows to take some advantage.

[Eclipsed 245]

The sting seems to have gone out of this thread given that they're for vip sports punters - am assuming they're not for vip racing punters as all of those I know, are on restricted terms.

So the hypothesis given is that these sports punters may provide more loyalty if they get a ticket to a Lions test match.

Have hosted a couple of hundred of these events in years gone by - best venue was the Gabba in XXXX's long room looking straight down the bowler's line - the Windies skittling the Aussies as we ate prawns and fillet steak.

Would be interested in who's doing the hosting and the ratio of NZRB vs the invited guests.The CEO and Board members sure as hell aint close to these group of people so would guess that it'd be left to a custom service type of role to host?

For mine spending money this way does not buy loyalty - in premium events like this guests say yes they'll attend because they want to watch the game and pretend to be nice and pleasant. They then fall into two camps and either piss off right after the full time whistle or hang around until the catering staff tell you to bugger off.( That's you and Gazza, Morty)

$45k would have been better spent elsewhere imo........

 

[Guest 2Admin2]

I thought the VIP punters got enough incentives with their rebates subsidised by everyone else paying through excessive takeout rates.