Australia’s Government Agencies Should Plan For MoG Change Now

As technology leaders in the Australian federal government, you’re no strangers to the complexities and challenges of machinery-of-government (MoG) changes. These changes, akin to mergers and acquisitions in the private sector, involve restructuring agencies, merging departments, and redistributing functions to align with evolving mission priorities. But sentiment within the Australian public service (APS) towards MoG changes tends to be cautious, with concerns about their potential to hinder service delivery and organizational stability. And with the upcoming 2025 federal election, these changes are likely to intensify, prompting significant upheaval across federal agencies. 

Regardless of political views, public sector leaders must be prepared and remain true to the core values of the APS. As Australia’s 14th Prime Minister, John Curtin, who steered the nation through World War II said, “To lead is to serve, to put the needs of others before your own.” 

Understanding MoG Changes 

MoG changes, even in jurisdictions like Australia where they are common, are often sudden, rarely smooth, and can reduce morale or worse, lead to burnout. But if actively managed by public service leaders, they can enhance organizational effectiveness and efficiency by tailoring structures to serve current mission needs. 

In my latest report, Master The Public Sector’s Machinery-Of-Government Change, my colleague Bobby Cameron and I identified three major mission shifts that Australian federal agencies will face in the coming months and will inevitably need to respond to post-election: 

1. 1. 1. Establishing a new mission: This involves creating new agencies or reorienting existing ones to address emerging priorities. For example, Opposition Leader Peter Dutton’s appointment of Jacinta Nampijinpa Price as the Shadow Minister for Government Efficiency highlights the Coalition’s focus on eliminating government waste and improving efficiency. 
      2. Reinforcing an existing mission: This includes merging or rebranding agencies to strengthen their mission. The Albanese Labor Government has made significant changes in the last 12 months, such as investing in affordable housing and making renting fairer, which reinforces their commitment to addressing the housing crisis. 
      3. Modifying the mission objective: This occurs when the scope of an agency’s work changes, often leading to the splitting or abolishing of departments. The Labor Government has also focused on tackling climate change by legislating to reduce emissions, thus modifying the mission of various environmental agencies. 

Common Challenges In MoG Changes 

Regardless of the type of mission shift that is driving the MoG change, IT departments in impacted agencies face common challenges: 

• • • Duplicate systems and infrastructure: Each agency has its own set of applications and technology, leading to increased costs and complexity when integrating systems. Addressing this duplication is crucial for achieving operational efficiency. 

• • • Legislative and policy barriers. Government policies for data protection, security, and privacy can inhibit successful integration. Ensuring that supporting legislation is in place or exceptions are obtained through proper channels is essential for smooth transitions. 

• • • Distinct IT organizations. Different agencies have unique operating processes and decision-making structures. Transitioning to a unified IT organization requires careful planning and coordination. 

• • • Diverse criteria for success. While IT management focuses on operational stability, agency management looks for mission effectiveness. Aligning these criteria is vital for achieving overall success. 

Strategies For Successful MoG Changes 

To navigate these challenges, we recommend technology leaders in the Australian federal government, and their stakeholders, adopt the following strategies: 

• • • Early planning and due diligence: Begin planning as soon as a MoG change becomes probable. This proactive approach allows for better resource allocation and minimizes disruptions. Once the election campaign begins and you enter caretaker mode consider scenario planning based on policy pronouncements from major parties. This is not a time to sit idle. 

• • • Stakeholder engagement: Involve all relevant stakeholders early in the process to ensure buy-in and smooth implementation. This includes not only internal teams but also external partners and the public. 

• • • Align IT with mission goals: Understand the IT investments required by the new mission and revise the IT strategy accordingly. Develop a clear investment plan to build the necessary capabilities and technologies or decommission outdated systems. 

• • • Establish robust governance: Define the decision-making structure and fill key organizational positions early. Form an integration project team to manage the transition and ensure knowledge transfer or preservation. 

• • • Stage integration deliverables: Plan critical milestones in phases to manage implementation risk. Prioritize early savings and synergies while balancing long-term goals. Iterate if necessary to reduce the risk of unintended consequences from rapid reforms. 

• • • Clear communication: Maintain transparent and consistent communication throughout the process. This helps manage expectations and reduces uncertainty among staff. 

• • • Measure success based on intentions: Evaluate the success of MoG changes based on improved customer and employee experiences, reduced risk exposure, cost efficiency, and mission success. 

As the election approaches, the ability to manage these changes effectively will be crucial for maintaining the stability and efficiency of the Australian public service. By staying true to core values and adopting proactive strategies, both business and technology leaders can navigate any potential upheaval and continue to meet the needs of all Australians. Stay proactive, plan early, and focus on delivering value through well-managed change. Forrester remains committed to being at your side and by your side. 

Feel free to reach out if you have any questions or need further insights on managing changes in your agency. Forrester has a proud team of analysts that make up our public sector and government community of practice. 

Let’s work together to help you continue to achieve mission success.