What NZ Businesses Can Learn from the Public Sector’s Digital Setbacks

Reflections on purpose, sequencing, and alignment from initiatives like Te Au Reka

Digital transformation in Aotearoa isn’t just for the private sector, it’s essential in the public sphere too. Yet, when ambitious programmes like Te Au Reka, the courts transformation initiative, struggle due to lack of alignment, unclear sequencing, or unchecked complexity, it presents a valuable opportunity not only for reflection but for action. For business leaders, the question isn’t merely about what went wrong—it’s about how to ensure these same challenges don’t derail their own initiatives.

The truth is, while government projects are often scrutinised for their pace and execution, the core challenges they face are mirrored, often quietly, in the private sector. The good news? These challenges offer instructive lessons for any transformation effort.

1. Clarity of Purpose is a Constant Effort

Te Au Reka began as a bold effort to modernise court systems, but lack of focus turned it into a story of scope creep and rising complexity. Here’s the takeaway for business leaders: clarity on purpose is not a box to tick during project kickoff; it’s a commitment to revisit and reinforce throughout the lifecycle of your initiative.

Ask yourself (often): Why are we doing this? What tangible outcomes will define success in the next 12 months? If your boardroom, project team, and end users can’t all answer these questions succinctly, then it’s time to dig deeper. The absence of purpose doesn’t announce itself; complexity thrives in that gap.

2. Sequencing is Your Strategic Foundation

Digital programmes falter when they try to deliver on everything at once. Te Au Reka sought sweeping transformation without first proving value on a smaller, achievable scale, leaving frustration and uneven results in its wake.

For your business, sequencing needs to be more than just scheduling, it’s about strategically prioritising what happens first to build momentum and credibility. Successful transformation starts at the foundation. Stabilise your core operations, prove your model in measurable, manageable stages, and only then scale with confidence. If your roadmap feels more hopeful than calculated, take a step back.

3. Alignment Demands Continual Stewardship

Misalignment isn’t a lack of initial agreement. It’s the drift that happens when assumptions go unchecked and priorities quietly diverge. Government programmes like Te Au Reka highlight what can unravel when alignment isn’t actively maintained.

For businesses, the lesson is clear: alignment requires discipline. It’s not enough for stakeholders to nod in agreement at kickoff. You need continuous engagement, regular check-ins, structured escalation paths, and a culture where raising issues early is rewarded. Alignment isn’t just about consensus; it’s about preventing friction before it manifests.

The Private Sector’s Advantage

Unlike government entities, private businesses have one key strength they can leverage: speed. You can move faster, pivot more quickly, and test solutions without the same bureaucratic constraints. But speed only works when it’s intentional, not reactive.

Programmes like Te Au Reka serve as a mirror, not just for the public sector, but for all organisations navigating transformation. What matters isn’t just technology investment, it’s leadership, clarity of vision, strategic execution, and unrelenting alignment.

Transformation isn’t just about keeping pace with change; it’s about driving it intelligently and intentionally. With the right approach, your business can not only avoid the pitfalls of public sector lessons but turn them into a foundation for your own success.