Uplifting Māori businesses

Māori businesses pitching for government engineering and construction contracts can face huge challenges. The process can be complex and the commercial risks are high. In some cases, there are inherent trust issues with the Crown and a system in which there has been a legacy of negative experiences and mistrust.

The government’s progressive procurement policy, in place since 2020, now requires all mandated agencies to ensure that at least eight percent of the total number of annual procurement contracts are awarded to Māori businesses. This is one lever being used to address the wealth inequities for Māori and promote supplier diversity across government agencies.

Founder and Chief Executive of infrastructure advisory business Height Project Management, Warner Cowin CMEngNZ CPEng IntPE, of Ngāti Porou descent, was well placed to help remove some of the barriers.

Warner finished his mechanical engineering degree at the University of Auckland in 1995 and his Associate Diploma in Engineering Aerospace Systems at RMIT University in Melbourne, Australia, in 1996. He was destined for a career in aviation and joined the Royal New Zealand Air Force for six and a half years, which included operational deployment in East Timor. But there were other motivators at play for Warner.

“I’m Ngāti Porou on my father’s side and Pākehā on my mother’s side,” says Warner. “I’m proudly both Māori and Pākehā.”

He says this allowed him to see the way diverse perspectives and cultural values can become crucial in shaping a better future and tackling society’s biggest issues.

After working in the United Kingdom, Japan and France, Warner and his wife, Liz Cowin, returned to Aotearoa. Warner joined Downer as the National Business Development Manager and National Water Operations Manager. In 2013, Warner and Liz founded Height Project Management, to bid and deliver infrastructure projects that drive growth and improve how people work.

“We used to say, ‘Give us your shittiest project and we’ll manage it’, and that’s how we got started,” says Warner. As the business evolved and started to work on more infrastructure projects, the Height team saw the potential within construction and asset maintenance to address the challenges faced by Māori, Pasifika and marginalised groups through employment and direct business opportunities.

“Statistically, Māori men are going to live 10 years less than their Pākehā colleagues. Fifty-one percent of the prison population are Māori. Children are living in homes that are substandard,” says Warner.

“If you go back to the essence of the progressive procurement policy, if we can help build a strong locally based Māori economy within these communities, then prosperity and purpose are part of the solution to these problems.”

In 2021, Height and Te Puni Kōkiri (TPK) worked together to develop a Capability Uplift Programme, aimed at supporting Māori businesses, to not only win contracts but to be profitable and give their clients insight into who they are as uniquely Māori businesses. Since inception to July 2022, 70 Māori businesses have been onboarded into the programme, with $28.7 million worth of contracts being won by participating businesses. From the $1.39 million programme investment made, this is a return of $20.70 for every dollar.

Warner says the programme has allowed Māori businesses to invest in their people, build core technical and management skills, and implement wider programmes in te reo Māori and tikanga.

TPK provides the funding, identifies businesses through its regional office network and prequalifies candidates through a discovery pathway before referring businesses to Height.

Will Greenhalgh, Supplier Portfolio Manager at TPK, describes the programme as a game-changer. He says there isn’t anything else like it in Aotearoa where small- to medium-sized Māori businesses can learn how to engage with government practices at no cost to them other than their time.

“We work with a number of providers, with Height being one of them. If the Māori business is needing support on government tendering and business development opportunities, we will refer them to Height,” says Will.

Warner says: “We’ve been able to demystify and contextualise the government procurement process in a Te Ao Māori context. For us it’s all about tino rangatiratanga – empowerment and self-determination. Fundamentally this is about controlling your own destiny.”

He adds, “For Māori, there is a strong sense of social obligation. When your aunt tells you to employ your cousin who might have had a few hiccups along the way, there is an obligation and expectation there. What we see with our Māori businesses delivering work for government is that absolute integral social obligation and commitment to community.”

Given the complexity of bidding and the various levels of competency across the businesses, most of Height’s team works with programme participants.

“We cover market research, bid writing, pitch building, pricing, contract review, HSEQ [heath, safety, environment and quality] compliance, negotiation, customer systems and business development. I’m grateful to all of my team, especially Claire McCarthy, Social and Sustainable Outcomes Manager, for making this programme a reality,” says Warner.

“It was never a competitive advantage to be Māori,” he adds. “People were just trying to survive, but this programme has been transformational in creating fiscally capable people and strong local leaders. The way you employ people in Māori communities means you have wider pastoral obligations to these people. It’s been phenomenal to see the changes.”

This people-first approach has had ripple effects on team members, businesses and communities. Not only are the business leaders bringing in other Māori businesses as their subcontractors, but they are also employing rangatahi Māori as trainees and apprentices, fostering mana whenua and advancing the careers of their Māori staff at all levels. This, in turn, provides people with the tools and support to grow their skillsets, confidence and capability. “It results in increased mana, increased economic security, and sustainable businesses and communities,” says Warner.

“Programme participants are sharing their successes and becoming a point of reference for others interested in the programme” says Kellee Koia, Project Lead for the Progressive Procurement team at TPK.

Judges of the ENVI Awards also commented on these ripple effects, noting the “legacy of great businesses that will be operating far into the future” as a result of this programme.

And Warner agrees.

“We hope this programme will be part of the solution to eventually lead to a more equitable New Zealand.”

In September, Height co-founder and CE Warner Cowin won the ACE Awards 2023 President's Award. Judges said he's "... a thought leader, influencing the way government buyers operationalise broader outcomes and engage with Māori, and working with Māori and Pasifika businesses, preparing them to successfully bid and deliver government contracts".

Sharing the success in the Far North

As a programme participant, Yakas Construction secured a multi-million dollar contract for a Kāinga Ora housing development. Through this, Managing Director of Yakas Construction, Marty Yakas (Ngāti Rēhia), brought on board other Māori subcontractors, with the vision of making a difference to his community.

“After establishing my business in 2018 and building it up, I was looking at tendering for a multi-million dollar Kāinga Ora contract to build six social houses for my people in Kaikohe,” says Marty. “But at first, I wanted to walk away. It was really daunting with the amount of paperwork and documents required. But the Height team provided a lot of reassurance and helped me gather the required information. They helped and advised me on how to negotiate and I ended up winning the contract.”

An employer of many Kerikeri locals, Marty sees how the work he does affects the community.

“I employed 75 different contractors on that job, and each of them has a family, and they’re all part of a community. It’s been great to share my success with them.”

Marty also values the confidence he has gained from the programme.

“Since the Kāinga Ora project, I’ve tendered for other projects and I feel happy to negotiate now. My team now see me as strong, and that makes them stronger and together we grow stronger.”

This article was first published in the December 2023 issue of EG magazine.