Creating Confident Consumers

The Role of the Ministry of Consumer Affairs in a Dynamic Modern Economy

May 2003

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Introduction

In 2002, the Ministry of Consumer Affairs celebrated its sixteenth birthday. During its sixteen years, the Ministry has grown and changed - acquiring some functions and devolving others. Change has also occurred around it. The Ministry has seen its parent Ministry, the Ministry of Economic Development, change and evolve and that, in turn, has affected Consumer Affairs and how it operates. As well, technology, globalisation, and changing consumer characteristics are altering the nature and mix of the consumer issues to which the Ministry needs to respond.

This raft of changes makes it timely to examine and review the Ministry and its policy and operational environment, with the aim of clarifying its role in a dynamic modern economy, and so enable it to respond to consumer needs now and into the future. A representative Review Team was assembled - drawing its members from inside and outside the Ministry - to carry out this task. This Report is the result of the Review Team's deliberations.

The Report examines the current role and scope of consumer policy and identifies the key strategic issues that may influence or have an impact on the outcomes the Ministry wants to achieve over the next 5 to 10 years. The Report also considers the implications of these issues for the things the Ministry does now and needs to keep doing, including the organisational capabilities the Ministry will need in order to achieve its outcomes in the future. The Review Team considers it important that all of these issues be examined and articulated. This is so there is a clear and shared understanding of the Ministry's origins and the ideas that have underpinned its evolution over the past sixteen years - and also a shared vision of where it is going in the future.

The Review Team confirms that the Ministry remains on the right track. The Team has also highlighted developments the Ministry might wish to undertake to strengthen its current work and prepare to meet the challenges of the future. Some examples are that the Ministry should: be able to speak authoritatively on consumer issues by developing and increasing its understanding of consumer experience, consumer behaviour, trader experience, and trader behaviour; put in place processes to audit the effectiveness of its interventions; and apply consistently a set of "guidelines for involvement" when setting priorities about which issues to take up. These developments are the subject of the Review Team's recommendations.

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