An $830,000 system aimed at improving performance within the Central Otago District Council has generated mixed reviews, the council heard yesterday.
The "systems thinking" approach was adopted in principle by the council two years ago and a report on its effectiveness was considered at yesterday'smeeting.
The council decided to keep it as an intervention tool rather than adopting it universally throughout the organisation.
It was based on the principles of the Toyota Production System and focused solely on customers' needs.
Former chief executive John Cooney lobbied for the method to be introduced and was an advocate of systems thinking.
In his review of the system, Mr Cooney's successor, Phil Melhopt, said as a vehicle for change, it had been positive for many in the organisation, but for others, there had been disadvantages and negatives associated with the process.
Although some departments had adopted it, the approach had not been completely rolled out within the council.
"I'm saying we should keep it alive in the organisation but there is a bunch of other things we need to be focusing on as well."
Overall, systems thinking had led to improvements in responsiveness and efficiency that should result in long-term ongoing savings, he said.
The original investment of $830,000 would be paid back within two years, through savings on professional fees.
As a result of the approach, the administration of the council's roading programme had been brought back "in-house", saving between $400,000 and $500,000 a year.
One of the disadvantages was the system's short-term focus - it did little to influence or address long-term strategy.
Given the diverse nature of the council's business, developing a totally integrated system was difficult, Mr Melhopt said.
As well, the system's thinking model said performance was largely governed by the system and little by the people.
In his view, in the relatively small organisation of the district council, individuals, management, council and the culture had the most influence on performance.
Significant further investment and training would be required for the organisation to continue the "roll-in"of the system.
Mr Melhopt said to his knowledge, no other councils in the country had adopted the approach, although some had looked at aspects of it.
