Y E A R2002
Y E A R2002
T
T
AL REPOR
AL REPOR
ANNU
ANNU
New Zealand
New Zealand
The University of Auckland
The University of Auckland
THE UNIVERSITY OF 
A
UCKLAND    
ANNU
AL REPOR
T 2002

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ANNUAL REPORT 2002
Pages
START
2
CHANCELLOR’S
INTRODUCTION
3
VICE-CHANCELLOR’S REVIEW
6
KEY FACTS AND FIGURES
8
OFFICERS OF THE UNIVERSITY
AND BUSINESS DETAILS
10
COUNCIL MEMBERS
The success of our University is
the success of its members, its
12
TEACHING AND
RESEARCH REPORTS
academic and general staff and
students, and on their
24
STATEMENT OF SERVICE
PERFORMANCE
achievements rests the quality
and reputation of the University.
42
STATEMENT OF RESOURCES
45
FINANCIAL STATEMENTS
66
REPORT OF THE AUDIT
OFFICE
THE UNIVERSITY OF AUCKLAND

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CHANCELLOR’S INTRODUCTION
VICE-CHANCELLOR’S REVIEW
Council is the governing body of the
success in gaining four Centres of Research Excellence, of
It is normal at this time of year, and in this
of the fund – cutting tuition funding for postgraduate
the seven awarded nationally, was powerful testimony to the
programmes to the same rate as sub-degree certificate
University. At the heart of its governance
document, to reflect on the events of the
breadth and depth of international quality scholarly talent at
programmes in each field – is a bizarre decision that
role are the University’s Charter and its
the University. Student numbers again grew substantially,
year just passed, and while I shall do so with
establishes perverse incentives and in many ways
mission.These describe the fundamental
reflecting both an understanding on the part of our students
some satisfaction, it is instructive, from time
undermines the objectives of the PBRF.
of the lifelong value of a quality education, and their
The public policy framework for higher education emerging
purpose of the University, its values and its
awareness that The University of Auckland offers an
to time, also to look further back.
from the ‘reform’ process of recent years is not readily
most important goals. Around a central
unparalleled range of well-taught degree programmes.
When one does so, the growth in the University, its
reconcilable with this University’s mission:
Graduate numbers again exceeded 6,000. Our graduates are
focus on excellence revolve the University’s
increasing success in generating its own revenue, and the
the real success of the University, and their future
The University of Auckland is a research-led, international
extent of the Government’s retreat from being a majority
distinctive emphasis on research, its
contribution to the many societies and communities in which
university, recognised for excellence in teaching, learning, research,
funder to a less significant role are all quite striking. From
they live is our real achievement.
creative work and administration, for the significance of its
international focus, its broad teaching
1992 to 2002 the University’s revenue grew from 
contributions to the advancement of knowledge and its
Finally, may I thank my colleagues on Council, the Vice-
$198 million to $461 million. Over the same period,
programme and its commitment to serve
commitment to serve its local, national and international
Chancellor and his staff for their part in another notable year
Government bulk funding fell from 66 per cent of revenue to
communities.
New Zealand.These themes are what most
for The University of Auckland.
only 37 per cent, student fees grew from 10 per cent to 
25 per cent and external research funding grew from 8 per
It is clear that the resourcing levels the University needs to
concern the Council as it monitors the
cent to 21 per cent. Despite our exceptional success amongst
achieve its mission will not be available from public sources
University’s performance and plans for its
New Zealand universities in gaining public research funding,
in the foreseeable future, and that the mechanisms and
the low level of public funding for research in this country
incentives through which the limited public funding available
future.
means that we would rank only 140th amongst US
is distributed inadequately recognise excellence in a
One of the first, and most significant, steps the University
universities for public research funding. Our success,
research university. What is not clear is whether Government
must take as we move into the new post-reform era is to
through our subsidiary Auckland UniServices Ltd in
is prepared to allow university autonomy and academic
review the University Charter. This will engender, I am sure,
John Graham
generating private research funding, however, means that we
freedom, which universities have long cherished as necessary
active debate within the University and among its
CHANCELLOR
would rank in a much higher 29th place amongst US
conditions for successful scholarship, to subsist at any
stakeholders. The Charter review will be a valuable
universities for commercial research income.
reasonable level. Legislative moves taken during 2001 and
2 3
opportunity to again underline the values, principles and
2002, and further changes foreshadowed for the immediate
Research sponsors and students now well outweigh
goals of the University, and to demonstrate the broad
future, raise serious concerns in this regard. Inadequate
Government bulk funding in the University’s revenue mix.
coalition of support underpinning them.
public funding can – to an extent – be compensated for by
Since 1995, revenue generated by the University from fees
generating resources from other sources, as we have most
2002 has been a challenging year for the University, and a
and research grew by $137 million (181 per cent), while
successfully done over the last decade. Legislative and
year of contrast. That contrast, as the Vice-Chancellor’s
Government bulk funding grew by only $26 million 
regulatory abatement of the university’s autonomy and its
review outlines, is between, on the one hand, the University’s
(18 per cent). During this period domestic inflation totalled
scholars’ academic freedom, however, cannot be offset in the
success in pursuit of its goals and in further building its
16 per cent, and student numbers grew by 25 per cent.
same way. They represent a fundamental undermining of the
extensive network of local and international collaborations
Government support for student tuition has shrunk
very idea of a university and a potentially severe barrier to
and, on the other hand, an increasingly difficult relationship
substantially in real and relative terms. While one might
this University’s pursuit of its mission.
with Government over the maintenance of academic freedom
reasonably expect this to be accompanied by a more ‘hands
and university autonomy. The Council is firmly of the view
In stark contrast to my serious concern for the future is the
off’ position on the part of Government and a greater respect
that decisions about the teaching and research activities of
satisfaction that the University community can take in the
for university autonomy and academic freedom, the opposite
the University are best made within the University, through
significant progress and impressive successes recorded by
is so. The conclusion inescapably reached from reviewing
its collegial processes, and will be vigilant against moves to
members of the University in 2002.
legislative moves of recent years is of a central desire more
transfer such decisions to external regulatory agencies and
closely to regulate universities and to take a more invasive
During the year we made three significant additions to our
political forums.
role in operational and academic decisions. Just in the last
extensive array of teaching and research collaborations. We
A study carried out last year estimated the value of the
year we have seen domestic student fees regulated,
signed agreements with the Auckland College of Education,
University’s contribution to the Auckland economy to be in
international student fees taxed and the Minister and the new
to offer co-operative academic programmes for initial teacher
excess of $3 billion annually. This calculation measured the
Tertiary Education Commission claim the power to overrule
education qualifications and postgraduate programmes, with
direct economic activity of the University and its population
almost any academic decision of the Senate and Council of
AgResearch, the country’s largest Crown Research Institute,
of staff and students, and is thus only the tip of the iceberg.
the University. Funding decisions taken in parallel with this
to collaborate in life sciences research and education, and
Far greater, to both Auckland and New Zealand, are the
legislative programme have quite lacked any real
with Landcare Research Ltd, which will build a new ‘super-
economic and social benefits of a well-educated society and
commitment to better facilitate and incentivise quality
green’ building on the Tamaki Campus as a base for their
of the discovery and application of new knowledge. These
teaching and research. A third fees freeze deal has, once
own activities, and for greater collaboration with the
benefits will not be fully realised, however, if public
again, failed to compensate for domestic inflation, let alone
University in biological and ecological research. Already the
resourcing of universities stays at its current level, which is
reflect the much greater cost pressures the University is
agreement with ACE has led to our two Councils each
very low by international standards. Economic performance
facing, for example, in recruiting and retaining top quality
resolving to investigate much closer relations between our
in the top half of the OECD is a worthwhile goal, but
staff. The Centres of Research Excellence and Performance-
institutions and possibly full integration. Such an integration
continued bottom-half support for the engines of growth will
Based Research Funding are welcome moves, but the level of
has the potential to create a powerful and broadly based
ensure that it is not achieved.
resourcing dedicated to them falls well short of bridging the
faculty carrying out teaching, research and consultancy in the
gap in investment in university research between New
field of education. Other relationships were formed with
Highlights of the year for the University were the continued
Zealand and other nations. The incremental funding
organisations as diverse as the Auckland Philharmonia, the
growth and success of its teaching and research programmes.
allocated for the PBRF is only sufficient to maintain the fund
Malaysian Ministry of Education and Fonterra. The
Research income won reached another new high, and our
in real terms over four years, while the source of the balance
development of the Fale project has re-energised the
CHANCELLOR’S INTRODUCTION
VICE-CHANCELLOR’S REVIEW

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
VICE-CHANCELLOR’S REVIEW (CONTINUED)
University’s engagement with Auckland’s Pacific Island
and Development. These centres represent extensive inter-
issues, transport and parking, and future intake levels in
Finally, I encourage readers to study closely the Faculty and
communities and our co-operation with Auckland City
disciplinary research within the University, and partnerships
Medical and Health Sciences, Science and Engineering –
other reports that follow. The breadth and depth of scholarly
Council on the Tamaki Campus project continues to
with several other universities and research organisations.
were established to review key parts of the University. These
achievement, by members of the University community
strengthen.
The University is a partner in a fifth Centre of Research
processes, outside the constraints of the University’s normal
individually, in teams and collectively, that they record is
Excellence, the Allan Wilson Centre for Molecular Ecology
structures, have enabled us to take a fresh look at some
impressive. It is a fitting reminder that the success of our
The University has been active in positioning itself
and Evolution. CoRE contracts signed by the University with
fundamental issues, and have led to the development of some
University is the success of its members, its academic and
internationally as a major research-intensive institution
the Royal Society of New Zealand have an aggregate value of
powerful and far-reaching recommendations for the
general staff and students, and that on their achievements
through its international relations initiatives. It has deepened
$25 million, with a further $13.1 million allocated but not
consideration of Senate and Council.
rests the quality and reputation of the University. It is a
its engagement with strategic partner universities including
formally contracted until 2003. The University gained 22 of
privilege to work in such distinguished company.
members of Universitas 21 and the Association of Pacific
The University’s capital works programme, aimed at bringing
87 Marsden Fund awards made in 2002, the highest number
Rim Universities through a range of projects. These include
the University’s physical facilities and equipment closer to a
won by any institution for the second year running. Five of
Universitas Global, a joint venture in e-learning with
reasonable standard in international terms, gained
ten holders of James Cook Fellowships during 2002 were
Thomson Learning, professional portability initiatives,
momentum during the year. Three major projects are at an
from The University of Auckland.
academic benchmarking and student mobility programmes. It
advanced stage of construction and will open before or during
has consolidated its regional strategy for Asia by a series of
The rapid growth in student numbers experienced in recent
semester one 2003 – extensions and improvements to the
alumni events in Hong Kong, Kuala Lumpur and Singapore.
years continued, with EFTS increasing by 1,641 
School of Engineering buildings, an extension to the Science
It is currently developing its strategies for Latin America and
(6.7 per cent) to 25,979. The University also met its key
Building, principally for Computer Science, and the Student
the Middle East. 
financial target for the year, recording an operating surplus of
Commons and Information Commons buildings. The
$11.6 million, $1.0 million ahead of budget, and $1.6 million
Information Commons is to be named for Kate Edger, the first
Research funding won during the year totalled 
up on 2001. This result is due to the University’s reliable
woman in the then British Empire to gain a BA degree. We
$156.9 million - $90.5 million through the Research Office
financial management and reporting system and careful
were successful in gaining commitments from the
and $66.4 million through Auckland UniServices Ltd. Our
management of budgets across the University.
Government of $25 million under its Partnerships for
John Hood
success in winning four of the seven Centres of Research
Excellence programme to match private sector gifts to the
Excellence (CoREs) was a significant contribution to the new
During the year we carried out the annual review of the
VICE-CHANCELLOR
Business School, and $2.5 million from the Strategic Change
high reached this year. The University’s CoREs are the
Capital Plan and Financial Projections, and Mission, Goals
Fund towards the Fale Pasifika project. A special budget
Centre for Molecular Biodiscovery, the New Zealand Institute
and Strategies, adopted in 1999, was also due for review. Its
allocation of $10 million was made available to fund major
of Mathematics and its Applications, Nga Pae o te
successor, Strategic Plan 2002-2004, was approved by Senate
4 5
research items of equipment that are beyond the capacity of
Maramatanga (Horizons of Insight): The National Institute of
and Council early in the year. Two commissions – on the
faculty base capital expenditure allocations. Updated
Research Excellence for Maori Development and
curriculum and student life – and four taskforces – on the
benchmarking analyses showed that the higher investment
Advancement, and the National Research Centre for Growth
position of the academic head of department, postgraduate
levels in equipment and library committed in recent years
are closing the gap between this University and leading
research universities in Australia. The Library is now one of
the finest research resources in New Zealand, and one of the
best university libraries in Australasia. Major new capital
projects under way or close to final approval are the School
of Population Health, the new Business School and the Fale
Pasifika.

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
KEY FACTS & FIGURES
2002
2001
2000
2002
2001
2000
2002
2001
2000
2002
2001
2000
ACTUAL ACTUAL ACTUAL
ACTUAL ACTUAL ACTUAL
ACTUAL ACTUAL ACTUAL
ACTUAL ACTUAL ACTUAL
Staff 
Undergraduate Student Enrolment
Student Enrolments by Qualification 
International Students
Full-time equivalent staff (FTE)     
Faculty
Doctor of Philosophy
1,119
1,027
967
Country of Citizenship
Academic
1,692
1,561
1,556
APPFA
1,348
1,289
976
Other Doctoral Degree
72
59
34
China
1,765
836
244
General
1,841
1,732
1,811
Arts
5,960
5,726
5,665
Master Degree
2,402
2,189
2,159
USA
213
165
122
Total
3,533
3,293
3,367
Business and Economics
4,161
3,634
3,189
Conjoint Honours
176
165
179
Malaysia
190
166
147
Engineering
1,805
1,647
1,473
Conjoint Degree
2,825
2,685
2,453
Korea
184
147
141
Students
Law
584
594
585
Bachelor Honours
472
417
390
Germany
124
93
71
EFTS
25,979
24,338
22,932
Medical and Health Sciences
1,411
1,219
1,026
Bachelor Degree
20,150
18,797
17,361
Hong Kong
119
115
117
Science
5,229
5,054
4,667
Diploma
3,867
3,613
3,449
India
101
35
12
Male
14,854
13,919
13,529
Theology
220
248
254
Certificate
1,711
1,472
1,465
Indonesia
90
87
80
Female
16,648
15,546
14,563
University Conjoint Programmes
3,001
2,850
2,632
Other Programme
334
466
443
Fiji
84
73
60
Total
31,502 29,465 28,092
University Programmes
1,627
1,429
1,519
Total
33,128 30,890 28,900
Japan
77
97
91
Total
25,346 23,690 21,986
Norway
74
71
42
Full-time
20,429
19,305
18,803
NOTE: University Programmes include Wellesley Programmes (retitled to
Taiwan
62
59
64
Tertiary Foundation Certificate in 2002) and Certificate of Proficiency.
Part-time
11,073
10,160
9,289
Qualifications Awarded (by Faculty)      
Sweden
60
59
73
Students enrolled in conjoint degrees are listed under University Conjoint
Total
31,502 29,465 28,092
Programmes.
APPFA
339
329
356
United Kingdom
49
31
29
Continuing Education and NEWSTART are excluded from the enrolment
Arts
1,816
1,863
1,935
Samoa
35
35
26
tables.
Student Ethnicity
Business and Economics
1,636
1,557
1,542
Singapore
34
33
30
European students
13,191
13,977
14,077
Engineering
431
383
403
Tonga
32
30
33
Postgraduate Student Enrolment
Law
265
249
246
Canada
32
28
19
6 7
Maori students
1,650
1,804
1,872
Pacific Islands students
1,780
1,839
1,783
Faculty
Medical and Health Sciences
489
535
472
Vietnam
29
16
7
Asian students
9,619
9,089
8,509
APPFA
261
226
203
Science
1,332
1,369
1,353
France
27
22
11
Other students
1,360
1,197
1,025
Arts
1,529
1,541
1,631
Theology
53
56
62
Thailand
26
35
29
No response 
3,902
1,559
826
Business and Economics
2,122
1,948
1,779
University Programmes
115
104
128
Other
266
223
152
Total
31,502 29,465 28,092
Engineering
537
420
486
Total
6,476
6,445
6,497
Total
3,673
2,456
1,600
Law
139
77
78
Age of Students
Medical and Health Sciences
1,288
1,138
897
Research Revenue
18 or Less
4,981
4,677
4,326
Science
1,522
1,468
1,444
19-20
7,919
7,116
6,541
Theology
62
68
82
Externally sponsored research,
21-23
7,183
6,443
6,147
University Programmes
322
314
314
including Auckland UniServices 
24-29
4,353
4,105
4,132
Total
7,782
7,200
6,914
Ltd
30-39
3,981
4,086
4,011
$000
97,365 86,962 72,812
NOTE: University Programmes include Institution of Legal Studies enrolments.
40+
3,085
3,038
2,935
PhD degrees are counted towards their faculties (i.e. PhD in Sociology).
Overseas-trained doctors (from Malaysia, total 120) were added to Medical
Total
31,502 29,465 28,092
and Health Sciences in 2002.
Revenue sources - %
Government grants
39.0
40.6 
42.6
All Programmes1
Tuition fees
25.2
23.1 
22.8
Research 21.1
20.9
19.4
Faculty
Other
14.7
15.4
15.2
APPFA
1,663
1,570
1,232
Arts
8,329
8,064
8,025
Business and Economics
7,155
6,412
5,731
Engineering
2,431
2,133
2,010
Law
1,409
1,340
1,304
Medical and Health Sciences
2,728
2,380
1,941
Science
7,177
6,928
6,483
Theology
289
323
343
University Programmes
1,949
1,743
1,833
Total
33,128 30,890 28,900
1Conjoint enrolments are reported with their respective faculty. For example,
a student enrolled in BA/BSc will be distributed to both Science and Arts at
a ratio of 50/50. Previous years’ figures have been updated to reflect this.
Figures for the current year are provisional. Prior years’ figures have been updated to reflect actual data or to be consistent with current year reporting convention.
Figures for the current year are provisional. Prior years’ figures have been updated to reflect actual data or to be consistent with current year reporting convention.
KEY FACTS & FIGURES

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
OFFICERS OF THE UNIVERSITY
AND BUSINESS DETAILS
(AS OF 31 DECEMBER 2002)
Postgraduate Dean
Professor Peter S. Jackson
PhD Camb., ME, CEng, FIPENZ, FRAeS
Chancellor
John Graham
MA
Assistant to the Vice-Chancellor, and Registrar
Warwick Nicoll
BCom
Pro-Chancellor
Lyn Stevens QC
BCL Oxf., BA(Hons) LLB
Director of Administration
Jonathan Blakeman
MPP Well., BCom, DipLGA, FNZIM, CA
Vice-Chancellor
John Hood
MPhil Oxf., BE PhD
University Librarian
Janet Copsey
DipNZLS Well., BA DipBus, FNZLIA
Deputy Vice-Chancellors
Academic
Professor Raewyn Dalziel
Chief Executive, Auckland UniServices Ltd
John Kernohan
BA PhD Well.
MSc, PhD Boston
Research
Professor Thomas Barnes
Directors
MSc PhD UMIST, FRSNZ 
Advancement
Annabel Lush
Pro Vice-Chancellors
LLB DipBus
Equal Opportunity
Distinguished Professor Dame Anne Salmond
DBE, CBE, MA, PhD Penn., FRSNZ
External Relations and Development 
Bridget Wickham
BCom MA DipTchg, CFA USA
International
Associate Professor Chris Tremewan
MA PhD Cant., MPA Harv.
Finance
Paul Mullooly
MBA, CA, CICM, AFNZIM
Maori
Adjunct Professor Michael Brown (Acting)
8 9
LLB Honorary LLD
Human Resources
Doug Northey
PhD Well.
Tamaki
Professor Ralph Cooney
BSc PhD DSc Qld., FRSNZ, FRACI, FNZIC
Information Technology Systems and Services
Stephen Whiteside
BCom Cant., CA, MNZCS
Deans
Architecture, Property,
International
Andrew Holloway
Planning and Fine Arts
Associate Professor Michael Pritchard
BA(Hons) DipEd W.Aust.
BSc Wales, DipTP, MNZPI
Planning
Robert Felix
Arts
Professor Douglas Sutton
BSc MIT, MBA Chicago
MA PhD Otago
Property Services
Maurice Matthewson
Business and Economics
Professor Barry Spicer
BE NZ
BCom Qld., PhD Wash.
Schools
Colin Prentice
Engineering
Professor Peter Brothers
MA
BSc BE, PhD Colorado State, MASME, MASHRAE
Student Administration
Wayne Clarke
FIPENZ
MEd, PhD Pret., BA SA, HDipEd Witw.
Law
Professor Julie Maxton
LLB Lond., LLM Cant., PhD
Bankers
Bank of New Zealand
Medical and Health Sciences
Professor Peter Smith
MBBS BSc MD Qld., FRACP, FRCPA
Auditors
Deloitte Touche Tohmatsu – on behalf of the Office of the Auditor-General
Science
Professor Dick Bellamy
Valuers
DTZ New Zealand Ltd
BSc NZ, MSc PhD, FRSNZ
Theology
Professor David E. Richmond (Honorary Acting)
Address Details
MBChB, BD, MPHEd, MD FRACP FRCP Lond. DipABIMed
The University of Auckland
Private Bag 92019
Auckland
New Zealand
Telephone 64-9-373 
7999
Facsimile 64-9-373 
7400
www.auckland.ac.nz
OFFICERS OF THE UNIVERSITY AND BUSINESS DETAILS

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
COUNCIL MEMBERS
1.
John Hood
9.
Richard Faull
Vice-Chancellor
BMedSc MBChB Otago, PhD DSc, FRSNZ
MPhil Oxf., BE PhD
Elected by Academic Staff
Ex officio
10.
Lyn Stevens QC
2.
Raewyn Dalziel
Pro-Chancellor
Deputy Vice-Chancellor  (Academic)
BCL Oxf., BA(Hons) LLB
BA PhD Well.
Court of Convocation
Ex officio
11.
Roger France
3.
Hugh Fletcher
BCom, CA
MBA Stanford, BSc MCom
Appointed by Council
Appointed by the Minister of Education
12.
Warren Moran
4.
Jenny Gibbs
MA NZ, PhD, FRSNZ
MA
Professor Elected by Senate
Appointed by Council
13.
John Graham
5.
Stephanie Thompson
Chancellor
BA
MA
Elected by Students
Appointed by the Minister of Education
6.
Ken Larsen
14.
John Morris
PhL Rome, MA PhD Camb.
MA
Elected by Lecturers
Court of Convocation
7.
Jill Holt
15.
Kim Hope
MA PhD
MEd
Court of Convocation
Elected by General Staff
10 11
8.
Brian Van  Dam
16.
Gregory Taylor
MSc
MA
Elected by Students
Appointed by the Minister of Education
17.
Peter Menzies
ME 
1
Appointed by Council
2
18.
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3
4
Appointed by the Minister of Education
5
7
8
6
9
11
10
12
13
16
17
14
15
COUNCIL MEMBERS

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
TEACHING AND RESEARCH REPORTS
Architecture, Property,
The design studios were
Arts
Postgraduate students were awarded 15 Top Achiever
Doctoral Scholarships from the national Bright Futures
Planning and Fine Arts
The Faculty of Arts is distinguished in its teaching and
Scheme in 2002. The three-year-old scheme has awarded 39
refurbished, providing the
research in the fields of humanities, languages, social
Staff and students from the schools and departments across
scholarships to the Faculty of Arts, representing 37 per cent
sciences, education, music and performing arts.
the Faculty again excelled, winning awards and competitions
of those awarded to The University of Auckland.
School with some of the
both nationally and internationally. The profile of the Faculty
The Faculty is attracting increasing numbers of international
There were many significant and valuable results achieved
continues to develop with related professionals and industry
best facilities among
students. The English Language Academy for international
from externally funded projects this year. Among them, the
bodies.
and permanent resident students, who need support with
Assessment Tools for Teaching and Learning (AsTTle)
architecture schools in
their learning in English, has continued to enhance its
research programme led by Professor John Hattie developed
offerings. Malaga, an initiative for Pacific Islands students,
and delivered a highly innovative CD Rom assessment
Architecture
Australasia.
ran successfully again in early 2002.
engine to highlight curriculum learning problems and gains
Students in the School of Architecture had another successful
The year 2002 was the first year of teaching the BPerfArts
for teachers, which will be sent to every school in New
year in competitions. These included winning the student
with new majors in Maori Performing Arts, Pacific
Zealand in 2003. Research led by Dr Kuni Jenkins resulted
project section of the 2002 Cavalier Bremworth Design
There was an increased focus on catering for career interests
Performing Arts, and Popular Music. Additional subjects
in a booklet and a compact disc being distributed nationwide
Competition and the 2002 NZIA/Dulux Student Travel Award.
of students, with workshops being run for final year BProp
offered in the BA include English Language Acquisition and
by the New Zealand Women’s Refuge Foundation Research
Among other successes, University of Auckland students also
students and successful career evenings held with
Linguistics, and Sound Recording in the Master of Creative
Committee to help break the cycle of domestic violence. The
won two of the top three prizes at the 2002 Association of
presentations from major property groups.
and Performing Arts (MCPA). Approval has been given to
Principals’ Induction Programme team, led by Professor
Collegiate Schools of Architecture (ACSA)/DuPont Benedictus
begin New Zealand’s first Doctorate in Musical Arts (DMA)
Viviane Robinson, delivered a new course to 190 newly
International Student Design Competition for the design of a
from 2003. 
appointed principals, and will deliver it to another 200 in
Planning
‘Future Library’. Students published a book of final-year
The Centre for Continuing Education (CCE) ensured that
2003. The Rockefeller Foundation granted the Marsden-
student work, fully funded by sponsorship from architecture
The Department of Planning began 2002 with an improved
over 200 equivalent full-time students from the community
funded project team in Maori Studies funding to attend a
professionals and the building industry.
number of EFTS, although postgraduate numbers were fewer
accessed a diverse array of courses.
workshop/conference in Italy in January 2003.
Staff were also recognised in 2002 for their capabilities, with
than desired. More permanent staffing appointments will be a
Fast Forward>>Arts also ran successfully, providing learning
The Faculty of Arts continued to enhance its outstanding
several appointments to advise on redevelopment projects, in
priority for 2003 to strengthen existing teaching and research
support to 24 Pacific Islands and Maori students from
record of publications throughout 2002, and produced many
New Zealand and overseas, while Professor Brenda Vale and
capabilities.
throughout the Faculty.
significant original works: books, monographs, journal
12 13
articles, performances and recitals.
Dr Robert Vale were invited to offer a series of seminars in
Highlights for the Department of Planning included
During 2002, the Faculty of Arts explored opportunities for
Australia by the Australian Greenhouse Office. Dr Diane
discussions with the Royal Town Planning Institute (RTPI)
collaboration with the Faculty of Medical and Health
Staff and students were distinguished in a number of other
Brand was awarded the WORLDFEST Houston Platinum
education convenor on accreditation of the BPlan degree,
Sciences and Auckland University of Technology. Work on
creative areas, including the award of best film at the New
Award.
ongoing collaboration with Landcare Research Ltd and the
the development of the Institute of Education (a venture
Zealand Media Peace Awards, and three School of Music
Professor Errol Haarhoff was appointed School Head in
establishment of the Centre for Urban Ecosystem
between the Auckland College of Education and the School
students won and were placed in the Young Musician of the
February for a four-year term, and four Associate Heads were
Sustainability (CUES), development of a research strategy for
of Education) is also under way. International collaborations
Year Competition 2002 (the winner, Victoria Simonsen
also appointed. The School welcomed its first Adjunct Professor,
a new Environmental Impact Assessment (EIA) unit,
include a distance education initiative between the
(cello), also won a Royal Overseas League Travelling
Rewi Thompson, who will assist the School with updating its
agreement to establish an international research unit in
University and the Malaysian Ministry of Education. A
Scholarship and the Patricia Pratt Scholarship in Musical
Maori policy in addition to his teaching commitments.
ekistics (the science of human settlements), and a strong
partnership between the School of Music and the Auckland
Performance). The School’s students were well placed in
presence by staff at significant international conferences. The
Philharmonia led to the formation of AP~SOM (Auckland
many other national and international competitions. The
The design studios were refurbished, providing the School
award of a Deutsche Akademischer Austauschdienst grant
Philharmonia-School of Music).
Department of Philosophy has been ranked by an
with some of the best facilities among architecture schools in
from the German Government enabled a 12-student group to
international survey as among the top four in Australasia for
Revenue from external research grants and contracts in 2002
Australasia.
undertake a planning study tour of Germany, which focused
graduate studies. Professor Jamie Belich’s Paradise Reforged:
totalled $21.7 million, compared with $12 million in 2001,
Two Study Abroad Programmes were run during the year, to
on eco-settlements and sustainable city issues.
A History of the New Zealanders from 1880s to the Year 2000
an increase of 81 per cent.  Key contributions came from
central Europe and Croatia, and work from a 2001
(Penguin Press) was a co-winner of the Ernest Scott Prize. 
funding of $8.5 million for Nga Pae o te Maramatanga
programme visit to Serbia was exhibited in Wellington. The
(Horizons of Insight),  the National Institiute of Research
Fine Arts
Architecture Archive continued to expand with further
Excellence for Maori Development and Advancement, and an
cataloguing of the 80,000 drawings in its collection.
Staff and students at the Elam School of Fine Arts again
increase in Auckland UniServices Ltd research and
Events for 2002 included an exhibition of Japanese
achieved highly. Yvonne Todd, a BFA graduate, won the
development funding from $9.5 million to $17.2 million,
The Faculty of Arts
architecture, a four-day programme on sound insulation in
inaugural Walters Prize; Judy Millar, Lecturer in Painting,
including substantial new research and development
buildings, and the Tenth Australasian Urban and Planning
won the Wallace Award; Lisa Crowley, Lecturer in Studio
contracts from the Ministry of Education and the expansion
continued to enhance its
History Conference, as well as participation in World
Theory, won the Waikato Art Award; and Sara Hughes was
of the English Language Academy. There were also five new
Architecture Day. There were numerous visits by scholars
awarded the Frances Hodgkins Fellowship for Otago
awards from the Marsden Fund and new grants from the
outstanding record of
from around the world.
University for 2003 after graduating MFA in May. Michael
Foundation for Research, Science and Technology (FoRST)
Parekowhai, Sculpture, represented New Zealand at the
and the Health Research Council.
publications throughout
Sydney Biennale while Nuala Gregory received a
There were 54 grants to staff, totalling $420,000, from the
Property
Distinguished Teaching Award.
2002, and produced many
University Staff Research Fund, as well as numerous grants
The Department of Property undertook an extensive
The School hosted the International Print Conference in May,
from the New Staff Research Fund, the Graduate Research
significant original works:
programme of fundraising throughout the property profession.
which attracted speakers from Australia and Britain, with a
Fund and the Research Collaboration Fund. The research
A successful graduation dinner and the establishment of
keynote address by Australian printmaker Kim Westcott. There
centre for Mediaeval and Early Modern Studies, funded by a
books, monographs, journal
three new scholarships by property groups did much to
were three overseas artists in residence at Elam in 2002 –
Vice-Chancellor’s University Development Fund (VCUDF)
enhance the profile of the Department. Application was made
Susanne Paesler, a German painter from Berlin, Rose Nolan,
grant in 2001, began its work in 2002, and the establishment
articles, performances and
towards the end of the year for accreditation of the BProp
from Melbourne, and Marco Fusinato, also from Melbourne 
of the Centre for Critical Inquiry, funded by a 2002 VCUDF
degree with the Royal Institution of Chartered Surveyors.
– who exhibited their work during their visit.
grant, is currently under way.
recitals.
TEACHING AND RESEARCH REPORTS

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
TEACHING AND RESEARCH REPORTS  (CONTINUED)
Reviews of Women’s Studies, the Languages, Philosophy and
and Professor Michael Corballis in securing further Marsden
Science
Growth in student numbers
Music were completed in 2002, and all will lead to
funding, and the publication of Michael Corballis’ latest book
enhancements to curricula and research from 2003. 
In 2002 the Faculty of Science continued to strengthen its
From Hand to Mouth: The Origins of Language. The
and success in attracting
reputation for teaching and research of international
American Psychological Association’s Division 25 annual
The expansion of courses available on the Internet in 2002
standard. The Faculty hosted the establishment of two newly-
Best Doctoral Thesis Award was won by Jason Landon, and
has greatly enhanced student access and learning support;
major external research
formed Centres of Research Excellence (CoREs) and is a
Lotteries and Health Research Council grants were awarded
and the upgrade of websites has improved the Faculty profile.
partner in two others. Growth in student numbers and
to John Fenaughty. The year 2002 saw the opening of the
Operation of Artsmarks (student information database) will
funding continued apace.
success in attracting major external research funding
Psychology Clinic on the Tamaki Campus and the successful
cease and Arts will have CECIL as its main platform in 2003. 
continued apace. These developments were complemented by
introduction of the Tuakana mentoring programme for Maori
The Faculty has undertaken a significant programme of
a major capital works programme that is providing state-of-
and Pacific Islands students.
events designed to profile the diversity of the departments
the-art facilities to underpin the Faculty’s future growth and
Sport and Exercise Science continued and enhanced its
and their links within the University and the wider
development. A hugely successful open day, called
continue their comparative studies between epithermal Au-
tradition of supporting collaborative research projects. A
community. These included events highlighting facilities (for
‘Incredible Science’, attracted some 5,000 schoolchildren
Ag deposits from the Hauraki Goldfields and active
large programme studying the role of exercise in smoking
example, Arts Foundation New Zealand Laureate’s Awards)
and parents to the Faculty and helped sow the seeds of future
geothermal systems in the Taupo Volcanic Zone and
cessation was undertaken with the National Heart
and the talents of its staff (Galileo – the Opera), visiting
generations of science students.
Northland. 
Foundation. Through collaboration with neurologists and
scholars (Faculty of Arts Lecture Series), and celebrations of
The School of Biological Sciences became host to the Centre
service and commitment to the University (for example, the
Distinguished Alumni Professor Vaughan Jones was made a
practitioners in the Auckland region, staff and postgraduate
of Research Excellence in Molecular Biodiscovery (Director,
dedication of a lane to Professor Charles Nalden).
Distinguished Companion of the New Zealand Order of Merit
students continued to investigate new strategies for
Professor Ted Baker), and a partner in both Nga Pae o te
Community outreach projects included Professor Kyu-Hyung
in the Queen’s Birthday Honours. Five members of the
evaluating and improving brain and motor dysfunction in
Maramatanga (Horizons of Insight), the National Institute of
Lee, visiting lecturer to the School of Asian Studies from
Mathematics Department were key participants in the
patients with Parkinson’s disease, focal dystonia and those
Research Excellence for Maori Development and
Korea, who also exhibited his pottery at the Aotea Centre,
successful proposal for a Centre of Research Excellence.
recovering from stroke. This was undertaken with funding
Advancement (Co-director, Associate Professor Michael
and SCAPA jazz students who performed with visiting
Professors Marston Conder and Vaughan Jones have become
from the Neurological Foundation of New Zealand. 
Walker) and the Allan Wilson Centre for Molecular Ecology
lecturer Andy Jaffe from the United States, in concert and on
the co-directors of this new centre – the New Zealand
Considerable success in raising the pass rate for Maori and
and Evolution.
national television. 
Institute of Mathematics and its Applications. Drs Rod Gover
Pacific Islands students was achieved as a result of the
Level 7 and part of Level 6 of the Chemistry Building were
and Shayne Waldron each received Marsden Fund grants.
development of the Tuakana mentoring programme. In
During 2002, 33 academic posts were filled or processed,
refurbished to provide much improved teaching and research
The Department won the inaugural University of Auckland
addition, increased enrolments in the summer mathematics
including ten professorships. Professor Anthony Spalinger
14 15
facilities with new staff offices, instrument laboratories,
Students’ Association WAVE Student Friendly Award for the
courses for talented Maori and Pacific Islands students,
(Classics and Ancient History) and Professor Viviane
synthetic laboratories and a new food-processing laboratory
best and most effective Staff Student Consultative Committee.
access for technical staff to postgraduate training, and better
Robinson (Education) were promoted to professorships. Maori
for the Food Science programme, which is one of the most
and Pacific Islands academic staff were actively recruited to
The newly launched research vessel, R/V Hawere, has
support of at-risk students in several departments were all
advanced of its type in the country. Planning for the second
areas such as Malaga, the School of Creative and Performing
proven a great success in supporting Marine Science
made possible through the Initiative Fund implemented by
stage of the refurbishment, which will include Level 5 and
Arts, the Centre for Pacific Studies, Nga Pae o te
research and teaching, and in attracting external contract
the Faculty. The Wellesley Programme has gained the
the remainder of Level 6, has been completed. Awards to
Maramatanga, and the School of Education.
work. Newly appointed staff member Dr Richard Taylor has
Committee on University Academic Programme’s approval
staff included a James Cook Fellowship to Professor Peter
received an Emerging Research Excellence grant and a
and has been renamed The University of Auckland Tertiary
The Faculty made progress towards consolidating
Schwerdtfeger. The new degree in Medicinal Chemistry
Marsden Fast Start award. During the year, much effort has
Foundation Certificate Programme. In the programme’s first
departmental accommodation, which included the relocation
commenced.
been expended on planning for the redevelopment of the
year, over 70 students gained the Certificate and thus
of a number of departments and accommodation upgrades.
The Department of Computer Science had considerable
Leigh facility.
qualified for entry to the University.
The Faculty has been closely engaged in the development of
success in the Foundation for Research, Science and
plans for the Pacific Fale, which will be available for
Newly-appointed Professor Michael Kalloniatis in the
Summer 2001-2002 saw the first intake of the Faculty of
Technology (FoRST) New Enterprise Research Fund (NERF)
University and community events from 2003. The upgrade of
Optometry and Vision Science Department was awarded the
Science Summer Scholarships. One hundred students were
round, gaining more than $2 million in research contracts for
the School of Music – instruments, lecture theatre seating
Leitl Professorship and obtained significant support for his
awarded $4,000 each in order to undertake a research project
a range of software-related projects. Two new professors were
and lighting, and the composition studio – began in late 2002
research from several agencies including the Health
during the summer break, with a view to encouraging them to
also appointed: James Goodman, previously at the University
and will be completed in 2003.
Research Council, Retina Australia, and the New Zealand
stay on for postgraduate study. The standard of the projects in
of Wisconsin, Madison, was appointed to a Chair in Applied
Optometric Vision Research Foundation. A summer research
this inaugural year was excellent.
The Faculty also procured major new equipment necessary to
Computer Science, and John Grundy was appointed to the
scholarship established by a grant from the ophthalmologists
Major building developments included opening of the new
its research capability: a grand piano and three-dimensional
Chair in Software Engineering, a joint appointment with
at Auckland Eye was awarded for the first time.
Faculty of Science Student Centre which provides excellent
reality data capture equipment, both totalling around
Electrical and Electronic Engineering.
$500,000.
New research grants for the Physics Department include a
new student services facilities. The extension to building
Geography and Environmental Science were incorporated
Marsden grant for the Microlensing Observations in
303, which will house elements of Mathematics, Statistics
Endowment and advancement funding programmes have
into a new School of Geography and Environmental Science.
Astrophysics (MOA) project (Associate Professor Phil Yock);
and Computer Science, was near completion in late 2002,
been developed (for example, the School of Music
A team from the School was awarded a five-year FoRST
a NERF grant for Optical Communications Research
and construction has started on the wine science research
Endowment, a $5 million programme) along with a variety of
research grant on climate change – its third such FoRST
(Professor John Harvey) and Pixel X-ray Detectors (Dr David
bay at the Tamaki Campus.
other scholarships and gifts that profile and support the
research contract. Other staff members have also secured
Krofcheck); and a Vice-Chancellor’s Development Fund grant
Faculty of Arts.
new research awards and contracts from the Health Research
for Quantum Information Atom Trapping (Dr Maarten
Council, Auckland Regional Council, the Department of
Hoogerland). Professor Howard Carmichael took up the Dan
Conservation, the Ministry of Agriculture and other bodies.
Walls Chair in Theoretical Physics and Dr Hoogerland took
Staff members are also organising two major conferences to
up a Senior Lectureship in Optoelectronics and Atom
be hosted in 2003.
Trapping. Associate Professor Ron Keam was one of two
A Marsden grant was awarded to a multidisciplinary team in
researchers jointly awarded a RSNZ Silver Medal for their
the Department of Geology, led by Dr Kathy Campbell, to
work to protect New Zealand geysers.
track and fingerprint bio-signatures (DNA, lipid biomarker
Highlights for the Department of Psychology were the
and textural). Drs Jeff Mauk and Stuart Simmons had their
granting of an Emerging Research Excellence Award to Dr
FoRST contract extended until 2004, to allow them to
Karen Waldie, the success of Drs Russell Gray, Gavin Hunt,

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
TEACHING AND RESEARCH REPORTS  (CONTINUED)
Engineering
In 2002 for the first time a
Medical and Health Sciences
Young was awarded one of the first three Sir Charles Hercus
Health Research Fellowships, from the Health Research
Mechatronics and BioEngineering undergraduate
The Faculty of Medical and Health Sciences continued to
Council, for her ground-breaking research into the causes of
course entitled ‘Creating
programmes took their first cohorts into their second year.
obtain extensive funding in 2002 for research.
Alzheimer’s and Huntington’s diseases.
Both programmes have been popular with demand exceeding
wealth through technology’
The Faculty was awarded $12.3 million by the New Economy
The Faculty is also involved in three of the Centres of
available spaces. The first cohort in Software Engineering
Research Fund (NERF), with funds being awarded to
Research Excellence named by the Government in 2002: the
completed their third year and next year will begin their
was offered as a final-year
Professor Peter Gluckman (Liggins Institute), Professor Bill
National Research Centre for Growth and Development, led
industry-linked project, which is a key part of the degree.
Wilson (Cancer research) and Dr Debbie Young
by Professor Peter Gluckman; the Centre for Molecular
An emerging theme in the engineering profession is that of
elective, taught jointly by the
(Neurosciences research). A successful Health Research
Biodiscovery, which includes Professors Peter Hunter, Bill
‘the business engineer’ – the professional engineer who plays
Council (HRC) grant round saw Faculty applicants awarded
Denny and John Fraser from the Faculty; and Nga Pae o te
a key role in business activities. The Institution of
Faculties of Business and
ten project grants in each sphere of research, with large
Maramatanga (Horizons of Insight), the National Institute of
Professional Engineers New Zealand (IPENZ) has a task
awards to Associate Professor Simon Malpas (Physiology),
Research Excellence for Maori Development and
Economics and Engineering,
group to define and develop the idea. Therefore, the
Associate Professor Marie Dziadek (Liggins Institute), Dr
Advancement, which involves Professor Colin Mantell.
economic impact of the profession is a strong emerging theme
Janet Fanslow (Injury Prevention Research Centre), Dr Kathy
Dr Anthony Rodgers was principal author of the World
to students from both
within the Faculty. In 2002 for the first time a course entitled
Mountjoy (Molecular Medicine/Physiology), Dr Lindsay
Health Organisation’s (WHO) major annual report World
‘Creating wealth through technology’ was offered as a final-
Plank (Surgery), and Associate Professor Lai-Ming Ching
faculties.The course was
Health Report 2002: Reducing risks to health, promoting
year elective, taught jointly by the Faculties of Business and
(Auckland Cancer Society Research Centre). Programme
healthy life. The new director of Clinical Nursing Research,
Economics and Engineering, to students from both faculties.
grants were awarded to Professor Jane Harding and Associate
very well received and will
Dr Bridie Kent, will head the Centre for Evidence Based
The course was very well received and will be developed. 
Professor Alistair Gunn from the Liggins Institute.
Nursing Aotearoa (CEBNA), a joint initiative between The
In 2001 students from the Faculty competed for the first time
There were four successful Faculty of Medical and Health
be developed.
University of Auckland and Auckland District Health Board.
in the NBR Business competition, and the two teams were
Sciences Marsden grant applications: to Associate Professor
placed second and third in the Education section. In 2002
Louise Nicholson (Anatomy), Associate Professor Marie
four teams from Engineering entered, gaining the top four
Dziadek (Liggins Institute), Professor Kathryn Crosier
A successful Health
places. These are very strong results, demonstrating the
(Molecular Medicine) and Dr Bronwen Connor
Industry New Zealand and the Forest Industries Council have
relevance of an engineering education to business issues.
(Pharmacology). A FoRST grant was awarded to Professor
jointly funded a major initiative, the National Centre of
Research Council (HRC)
16 17
Harry Rea (Medicine) as part of the Fisher and Paykel
For the sixth year in a row, students from Mechanical
Excellence in Wood Processing Training and Education. The
consortium. Additional research funding has been gained
Engineering were placed in the top three in the Warman
Faculty of Engineering, in partnership with the Waiariki
grant round saw Faculty
across the Faculty from a range of charitable trusts including
competition, a design competition competed for by the top 20
Institute of Technology in Rotorua, will produce the human
the Wellcome Trust, Auckland Medical Research Foundation,
engineering schools in Australasia. This continued success is
capacity needed to process the burgeoning forest harvest.
applicants awarded ten
the Neurological Foundation, the Maurice and Phyllis Paykel
testament to the quality of design teaching in the School.
Over the last few years the Faculty has recruited a number of
Trust, Cancer Society, Lotteries Health, Child Health
project grants in each
Several Faculty of Engineering staff were recognised for their
young staff of high potential. Over 2002, many of these had
Research Foundation, Heart Foundation and the Arthritis
achievements in 2002. Professors Andy Philpott (Engineering
pleasing accomplishments in their research and teaching
Foundation.    
sphere of research.
Science), George Ferguson (Chemical and Materials) and Wei
which give much confidence for the future of the Faculty. 
Staff were again successful in obtaining internal funding,
Gao (Chemical and Materials) were promoted to
receiving a total of $790,000 from competitive funds held
professorships. Associate Professor Pat Browne (Geothermal
and distributed by The University of Auckland Research
Institute) was made a Fellow of the Royal Society of New
Many awards recognised staff achievements in 2002. The
Committee.
Zealand, and Associate Professor Mohammed Farid was
inaugural Peter Gluckman Medal and Distinguished Faculty
elected a Fellow of the Institute of Chemical Engineers
The Faculty awarded 45 summer studentships in 2002.
International Lecturer Award went to Professor Richard Faull
(London). Pat Browne and Wei Gao were both awarded
These are aimed at introducing undergraduates to research at
for his significant contribution to neurological research into
Marsden Fund grants. 
an early stage in their studies and encouraging more students
neurodegenerative diseases. Professor Jane Harding of the
to pursue research careers. Funding from various sources
Liggins Institute was named an Officer of the New Zealand
Professor Bruce Melville was awarded the 2002 American
amounted to over $180,000.
Order of Merit for services to paediatrics in the Queen’s
Society of Civil Engineers Hydraulic Structures Medal and
Professor Gao was awarded the prestigious RJ Scott Medal by
There is an increasing trend towards the commercialisation of
Birthday Honours.
the Royal Society of New Zealand.
research and the transfer of invention to industry, so a large
Other awards received in 2002 include the Arthur C. Guyton
amount of contract research ($28.8 million in 2002) is now
Award for Excellence in Integrative Physiology from the
Major accommodation improvements for the Faculty in 2002
undertaken within the Faculty under contract via Auckland
American Physiological Society to Associate Profesor Simon
included construction of a mezzanine floor over half of the
UniServices Ltd.
Malpas (Physiology), the Royal Pharmaceutical Society of
test hall. The Engineering Atrium and Lecture Theatre
project has greatly expanded undergraduate computing
Research achievements during 2002 included a new 
Great Britain’s Practice Research Award Medal to Associate
laboratories and vastly improved cafeteria and general
gene therapy approach to Parkinson’s disease, developed 
Professor Janie Sheridan (Pharmacy), and the Ian Houston
assembly areas, and, together with a new 250-seat lecture
by Faculty scientist Professor Matthew During and 
General Staff Award to Christine Tait (Anatomy with
theatre, will provide much needed space for students to work
co-researchers in Auckland and Weill Cornell Medical
Radiology).
and interact. The Tamaki Engineering and Science Research
College, New York, which gained approval for clinical trials
Six new professors were appointed: Professor Innes Asher
Centre is a set of highly flexible two-storey bays that can be
in the United States. Faculty researchers, led by Associate
(Chair in Paediatrics), Professor Bill Wilson (Auckland
fitted out to house research programmes, providing both
Professor Robert Scragg, are taking part in the first national
Cancer Society Research Centre), Professor Alan Merry
equipment and office space for researchers and students.
New Zealand survey of children’s nutrition. A team led by
(Anaesthesiology), Professor Michael Findlay (new
Initial occupants are to be inter-faculty programmes in
Professor Diana Lennon began important clinical trials to test
Foundation Chair in Oncology), Professor David Simmons
composites and food and bio-processing. 
the effectiveness of a vaccine to fight meningococcal disease
(Professor of Medicine, Waikato Clinical School) and
in New Zealand in collaboration with the Ministry of Health
Professor Cynthia Farquhar (Postgraduate Professor in
and the California-based Chiron Corporation. Dr Debbie
Obstetrics and Gynaecology).

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
TEACHING AND RESEARCH REPORTS  (CONTINUED)
The School of Pharmacy offered a Postgraduate Certificate
greatly with the development of grant applications for larger-
Business and Economics
The School is actively
and Postgraduate Diploma in Pharmacy Practice for the first
scale, team-based programme research and educational
time in 2002, and approval was also granted for a Doctor of
The year 2002 has seen many changes in the Business
development. The number of grant applications generated is
pursuing its Agenda for 
Pharmacy programme from 2003. The first group of Masters
School as it works to develop a world-class, international
now rising at a pleasing rate and some grant writers have
of Nursing students graduated and the first Bachelor of
business school. The School is actively pursuing its Agenda
had notable successes. These include (amongst others)
Action based on a 
Nursing class completed the course, with a 100 per cent pass
for Action based on a forward-looking vision of an
almost $450,000 to fund a programme under the Enterprise
rate in the final year. The visit of Emeritus Professor Anwar
enterprising, research-led business school that makes a
Culture Skills Activities Fund to provide biotechnology
forward-looking vision of an
Hussein (University of Kentucky) allowed two successful
significant contribution to New Zealand’s competitiveness
entrepreneurship education to high schools, a FoRST grant
short courses to be held for the pharmaceutical industry. The
and to the capacity of its people, enterprises and
of $2.5 million to investigate socially and culturally
enterprising, research-led
inaugural Maori Health Week, held in July, saw second-year
organisations to create wealth. The objectives are to
sustainable biotechnology in New Zealand, and participation
students concentrating on Maori health concerns.
strengthen underlying disciplinary teaching and research in
in an  $800,000 Health Research Council-funded national
business school that makes 
business and economics and to build multi-disciplinary
research team project to evaluate current health reforms. All
The School of Population Health was established within the
programmes of teaching and research in entrepreneurship,
of these grants involve collaboration between the Business
a significant contribution 
Faculty, aimed at improving the health and well-being of
innovation and technology management; digital enterprise;
School, other faculties and/or researchers at other
communities within New Zealand. Plans are under way for a
Maori and Pacific Islands business development; global
to New Zealand’s
universities. 
purpose-built teaching and research facility, to be occupied
business development; economic and regulatory policy;
in early 2004, as part of the Tamaki Campus redevelopment.
A range of staff and student accomplishments were
health management and health informatics; leadership and
competitiveness and to the
recognised. Professor Rod Brodie was recognised as ‘Best
The new Peter Rothwell Academic Centre, opened at the
governance.
Researcher’ at the 2002 Australia and New Zealand
Waikato Clinical School, includes a new library, teaching
In late 2001, based on a proposal from the University,
capacity of its people,
Marketing Conference, following Professor Peter Danaher
rooms, offices and common room space. It also contains a
Cabinet made an in-principle commitment of $25 million to
who was recognised in 2001. University Distinguished
Clinical Skills Centre, which is run cooperatively with the
match private sector contributions to the development of a
enterprises and organisations
Teaching awards were won by Dr Christine Woods, Dr Doug
Waikato District Health Board and used regularly by students
world-class Business School at Auckland. Cabinet confirmed
Carrie and Peter Smith for innovation in the BBIM
from the Faculty. The Hearing and Tinnitus Clinic was
to create wealth.
its commitment in October 2002 based on an assessment of
curriculum. 
established in Newmarket, Auckland for teaching and
a substantial business case provided to Government. 
Two of the three New Zealand Rhodes Scholarships awarded
research into aural rehabilitation and tinnitus management.
Considerable work has been done on building the
in 2002 were won by Juliet Tompkins and Alexander Fala.
18 19
The most significant event for the Faculty was the visit by
organisation needed to raise the necessary development
School and The ICEHOUSE have developed a series of
Both are students of the Business School, the first in
Her Majesty Queen Elizabeth II on February 26 to officially
funds. These funds are needed to leverage the Business
programmes for owner managers which have resulted in
economics and the latter in finance. Student teams
open the Liggins Institute. She was welcomed by the Prime
School’s investment in talented people, to strengthen and
many of them expanding their businesses based on the
performed outstandingly well in international case
Minister, the Rt Hon Helen Clark, and University
enhance existing programmes and to build new ones, and to
learning and personal development provided. An expanded
competitions including the Global Business Challenge at the
representatives, and attended four presentations by Liggins
construct a new, world-class teaching and learning facility.
range of programmes for owner managers is under
University of Washington, the Boston Consulting Group
Institute researchers.
The short-term goal is to raise $25 million to claim the
development. 
Australasian Case Competition, and the North American
Another important visitor was internationally renowned
Government’s matching grant; the longer term goal is to raise
Inside the University the School was involved in designing
Case Research Competition.
scientist Dr Rino Rappuoli, Vice President of Vaccine
a further $25 million to assist the development of the
and delivering a new course ‘Creating wealth through
Research at the Chiron Corporation in Italy, and head of the
School. The financial and other related support that the
technology’ which was run in conjunction with the Faculty of
team that successfully sequenced the meningococcal genome.
Business School is receiving from the business community is
Engineering and with the assistance of its ICEHOUSE
He presented a special seminar at the Faculty on ‘The future
very encouraging. 
partners. In 2003 the Business School will work with the
of meningococcal B vaccines and the meningococcal
Work is continuing on the design of the new building with
University’s Postgraduate Students’ Association to introduce
genome’.
construction planned to start in the third quarter of 2003
a business planning competition to help to lift the spirit of
and occupancy expected for the first semester of 2006.  
enterprise within the University. 
Professor John Bligh, Director of the Institute of Clinical
Education at the new Peninsula Medical School in Britain,
Significant progress has been made in attracting world-class
Other academic programme developments during 2002
talked to and worked with Faculty members on teaching and
professors to the School with the appointment of new chairs
include the launch of an e-Commerce major and the
learning in the health care professions. Professor David
in both entrepreneurship and marketing and international
completion of the second year of the roll-out of the Bachelor
Barker FRS, Director of the Medical Research Council
entrepreneurship. The director of the highly successful
of Business and Information Management (BBIM) at the
(MRC) Environmental Epidemiology Unit at Southampton
University of Cambridge Entrepreneurship Centre visited the
North Shore Campus in Takapuna, at the University’s
General Hospital, England, visited the Faculty and delivered
Business School in the second half of the year. The School is
Tamaki Campus and in The University of Auckland
the 2002 Sir Douglas Robb Lectures in August.
forging close working relationships with Cambridge and
Programme at Manukau. The year also saw the Auckland
other leading entrepreneurship centres. 
MBA programme accredited by the Association of MBAs
Dr Peter Pockley, correspondent for Nature magazine, and
An important highlight this year has been the School’s
(AMBA) and the appointment of a new director. Enrolment
Professor Bob Seamark, a reproductive technologist who
involvement with The ICEHOUSE, which the School
in the highly successful and extensive Short Courses
directs the Flinders Medical Research Institute in Australia,
developed in conjunction with eight other corporate partners
programme now exceeds 2,500 participants a year.
visited the Faculty as part of the Liggins Institute’s Science,
Medicine and Society Programme. 
to provide business incubation/acceleration, networking,
2002 saw the establishment of the Centre of Digital
educational programmes, and research into entrepreneurship
Enterprise (CODE) and a Business Case Writing Centre
The Department of Ophthalmology hosted the Vision 2020:
and SME issues in New Zealand. The incubator/accelerator
which will focus on the compilation and development of
International Association for the Prevention of Blindness
now has ten resident ventures employing 30 people and is at
teaching and research cases in the New Zealand context.
(IAPB) and World Health Organisation (WHO) Pacific
75 per cent of capacity. Seed funding and venture capital
The School is now working with The ICEHOUSE to develop
Region Meeting.
raised for resident firms have reached $3.3 million. A new
a series of ICT business cases under a grant to The
venture development course is being prepared for
ICEHOUSE from Industry New Zealand. 
ICEHOUSE residents and The ICEHOUSE recently hosted
A new research manager was appointed by the Business
the third New Zealand incubator summit. The Business
School and Auckland UniServices Ltd. He has assisted

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
TEACHING AND RESEARCH REPORTS  (CONTINUED)
Law
Scholarships awarded to John Ip and to Richard Ekins, a
Auckland Consortium for
University of Auckland at
Rotary Scholarship awarded to Rachel Carnachan for study at
The redesigned postgraduate programme was a principal
Theological Education
Manukau Programme
Harvard, a Commonwealth Scholarship to Oxford for Gareth
success of 2002 for the Faculty of Law. By widening the
Kayes, and the Frank Knox Scholarship to Barnaby Stewart
Negotiations between the University and the four theological
In 2002 four degrees were available for study in The
choice of subjects, providing a range of intensively taught
for study at Harvard.
colleges teaching theology on its behalf reached a satisfactory
University of Auckland at Manukau Programme, delivered on
courses and bringing internationally renowned teachers to
On the initiative of Professor Jim Evans, the Faculty helped
conclusion and a revised memorandum of agreement setting
the campus of the Manukau Institute of Technology. These
help teach the programme, more students have been drawn
set up the Blind Lawyers’ Network, a support network for
up a new School of Theology was signed on November 22.
were the Bachelor of Arts, Bachelor of Business and
into postgraduate study. The result is an 83.6 per cent
blind and sight-impaired lawyers, both students and
Dr Elaine Wainwright has been appointed Professor of Theology
Information Management, Bachelor of Education (Teaching)
increase in equivalent full-time student (EFTS) postgraduate
practitioners, which meets monthly.
and Head of School.  When she takes up her appointment in
and Bachelor of Visual Arts. Enrolments at Manukau rose
enrolments in 2002. LLM enrolments approached 10 per cent
Research output was again strong in 2002 and seven books
early January 2003, the School will be established, and the
from 396 EFTS in 2001 to 430 EFTS.
of total Law EFTS, compared with 6.4 per cent in 2001.
authored or edited by members of the Faculty have been
teaching of theology on behalf of the University by the
The first students from the new Bachelor of Visual Arts
International enrolments in the LLM have also more than
published or have gone to press: Professor Michael Taggart,
Auckland Consortium for Theological Education (ACTE) will
graduated at the autumn graduation ceremony.
doubled from 2001. More LLM papers are being offered in
Private Property and Abuse of Rights in Victorian England:
come to an end after 12 years. At that point also, the position of
2003, and 11 distinguished, international teachers have been
The BEd (Teaching) degree offered third-year courses for the
The Story of Edward Pickles and the Bradford Water Supply
Dean of ACTE (and Honorary Dean of Theology, University of
invited to join the programme.
first time. This degree focuses on teaching in diverse urban
(OUP, UK); Associate Professor Paul Rishworth and Grant
Auckland) will be disestablished, and Professor Emeritus David
schools and has a significant Maori and Pacific Islands
Other developments at postgraduate level include the
Huscroft, eds, Litigating Rights, Perspectives from Domestic
Richmond, the incumbent, will retire.
enrolment. Dedicated staff are located at Manukau Institute
introduction of specialisms in the LLM, enabling students to
and International Law (Hart Publishing, UK); Georgos
Peter Dormon, previously the University’s internal auditor,
of Technology to teach in the degree, which provides a major
have their LLM awarded with one of three designations
Mousourakis, The Historical and Institutional Context of
has been appointed Registrar of the School. He replaces
in Education, courses in English, Mathematics and Science,
(Commercial Law, Public Law, or Environmental Law), and
Roman Law (Ashgate, UK); Professor Jane Kelsey, ed,
Claire Morrison who served in that role for nearly eight years.
and Teaching Studies and Professional Practice taught in
reciprocal entry arrangements with the Law Faculty of the
International Economic Regulation (Ashgate, UK); Professor
University of Melbourne, thereby broadening the range of
The 2002 academic year saw the graduation of two PhD,
partnership with The University of Auckland Schools
Jane Kelsey, At the Crossroads (Bridget Williams, NZ); Paul
courses available to students at both places.
seven Master of Theology, 33 Bachelor of Theology and seven
Consortium.
Myburgh, New Zealand Transport Law (Kluwer, Holland); and
Graduate Diploma (Theology) students. 
Second-year courses were offered in the BBIM for students
Professor Charles Rickett and Professor Ross Grantham,
Dr Tim Bulkeley was awarded the Distinguished Teaching
majoring in Accounting and Information Management.
Company Law & Securities: Commentary and Materials
Award in Theology for 2001 at a ceremony held in August
The University’s Woolf Fisher Research Centre, which
(Brookers, NZ).
By widening the choice of
20 21
2002.
focuses on developing education and schooling success
The New Zealand Centre for Environmental Law, based at
As in past years, members of the academic staff have assisted
within South Auckland communities, is located at the
subjects, providing a range of
the Faculty, ran the 2002 Social Ecology Seminar Series and,
Sia’atoutai Theological College in Tonga with the grading of
Manukau Institute of Technology.
with the Department of Planning, staged a very well attended
student dissertations on a variety of subjects. Ten were
The University has discussed with Manukau Institute of
intensively taught courses
seminar entitled ‘The permitted baseline assessment: much
graded this year. Both the Principal, the Rev Dr ‘Ahio, and
Technology and the Manukau City Council the further
ado about something’. Its publications included the 2002
Deputy Principal, Dr Sandy Yule, of Sia’atoutai visited New
provision of tertiary education programmes in Manukau City.
and bringing internationally
issue of the NZ Journal of Environmental Law, and two
Zealand to discuss the ongoing relationship between
monographs. The Centre also played host to a range of
Sia’atoutai and Auckland once the new School has been
renowned teachers to help
overseas academic visitors.
established.
Prominent visitors to the Faculty in 2002 included David
The BEd (Teaching) degree
teach the programme, more
In addition to the representatives from Sia’atoutai College,
Dyzenhaus, of the Law and Philosophy Departments,
another distinguished visitor was Professor Daniel Smith-
University of Toronto, who was the Legal Research
… focuses on teaching in
students have been drawn
Christopher from Loyola Marymount University, Los Angeles.
Foundation Fellow for 2002; Sir Peter North, former Vice-
Chancellor of Oxford; and Harry Arthurs, a former President
Members of the academic staff contributed to research in
diverse urban schools and
into postgraduate study.
and Vice-Chancellor of York University, Ontario.
theology with the publication of three authored books, one
edited book, ten book chapters, four papers in journals and
has a significant Maori and
The Faculty and Davis Law Library received external
28 other publications.
financial support from mainly professional sources. Among
Pacific Islands enrolment.
After a slight decrease in demand for undergraduate places
these were renewed support from Chapman Tripp for the
in the Law School during the late 1990s, 2002 saw the
Chapman Tripp Research Scholars scheme and the upgrading
average grade required for entry to Part II of the LLB degree
of the computer facilities in the Bell Gully Computer
climb again. Fewer than 50 per cent of applicants gained a
Laboratory.
place, and the 2003 entry point has been set above the B+
level. Of those entering the Faculty in 2002, approximately
15 per cent were already graduates and 63 per cent were
enrolled in conjoint degree programmes.
The Faculty offers its undergraduates the largest range of
elective papers (39 in 2002) of the five New Zealand law
schools. Choice is widened by variations in the programme
annually. New in 2002 was a course in Advocacy and in
2003 a course in South Pacific Legal Studies will be revived
after some years’ absence.
The Faculty’s graduates continued in 2002 to obtain places
in internationally competitive postgraduate programmes at
leading law schools, and to win scholarship funding to
support their study. Amongst these are Fulbright

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
TEACHING AND RESEARCH REPORTS  (CONTINUED)
The University of Auckland
University of Auckland
Auckland UniServices Ltd
Auckland UniServices Ltd formed an unincorporated joint
Tamaki Campus
Developments
venture, Lactopharma, with Fonterra, to discover and develop
Despite a difficult international environment in 2002,
human health bioactives in milk. Other companies launched
During 2002 the Tamaki Campus master plan was finalised
University of Auckland Developments (UAD) completed its
Auckland UniServices Ltd’s revenues grew by 27.8 per cent
involving UniServices Ltd include EndocriNZ Ltd, FastStarts
and approved by the University Council. The master plan is
first year of operation in 2001. UAD was created to ‘broaden
over 2001 to $55.9 million. This amounted to about 12 per
Ltd and Cecil Ltd.
the basis for the University component of an Auckland City-
the University’s interaction with the research, business and
cent of University income and over half of all external research
The year 2002 again saw increased activity with almost every
led district plan change, and it seeks to make the vision of an
industrial worlds’ thereby enabling the University to achieve
revenues. This figure is four to five times the proportion of
faculty involved in Auckland UniServices Ltd projects.
interdisciplinary, postgraduate and research-intensive campus
its goal of becoming a key source of the innovation and
commercial activity of the acknowledged research leaders in
Faculties contributing the most income were Medical and
a physical reality. A joint University of Auckland and
discovery needed to create economic wealth for New
the United States. In 2002, Auckland UniServices Ltd
Health Sciences (51.5 per cent), Arts (28.3 per cent), Science
Auckland City Planning Group is facilitating the
Zealand.
contributed $15.1 million directly to the University. This
(7.7 per cent) and Engineering (6.8 per cent).
implementation of the master plan. The University is also part
funding was applied through salary reimbursement 
Key projects in 2002 involved further extension of The
of the Tamaki Edge Planning Group established by Auckland
($1.7 million), scholarships ($0.7 million), surpluses from
ICEHOUSE concepts, various projects associated with the
City to co-ordinate the development of the district surrounding
projects ($1.3 million), equipment donation ($1.6 million) and
economic development of Auckland including participation in
the campus, described as the largest urban redevelopment in
occupancy costs ($5.3 million). The company also provided
Competitive Auckland and the Auckland Regional Economic
New Zealand.
support to the International Research Institute for Indigenous
Development Strategy, support for the foundation of various
and Maori Education, the Clinical Trials Research Unit, the
Major building projects under way at the campus include the
centres and institutes, and the organisation of the Leadership
Liggins Institute, the Auckland Cancer Society Research
School of Population Health, the Engineering and Science
Forum for February 2003, which focuses on leadership across
Centre, the University’s Bioengineering Institute and the
Research Centre including the Research Centre for Advanced
all sectors of New Zealand economy and society.
Alcohol and Public Health Research Unit. In addition to
Composite Materials, and the Landcare Research Ltd ‘Super
researchers employed by the University, Auckland UniServices
Green Building’. The construction of the latter incorporates
Ltd employed directly a further 507 research staff. 
the set of sustainability principles imbedded within the master
plan, while the arrival of the School of Population Health in
Auckland UniServices Ltd again recorded growth in the
2003 will be the most significant single development for the
commercialisation of intellectual property, filing 36 new
campus so far.
patents, up from 30 the previous year. During the year, 36
new technologies were licensed to 24 partners, of which 12
Three University-External Partner Clusters based on research,
22 23
were New Zealand companies. Significant deals included a
teaching, clinical and community relations were negotiated in
licensing contract with Melbourne-based biotechnology
2002: the Environmental Cluster including Landcare Research
company, Metabolic Pharmaceuticals Ltd. Auckland
Ltd, MAF Biosecurity and University personnel will include
UniServices Ltd negotiated to undertake clinical trials on a
about 100 scientific staff; the Education in the Community
new vaccine to end New Zealand’s group B meningococcal
Cluster, based on Ministry of Education Group Special
disease epidemic, part of a $187 million Government
Education, is expected to bring 60 external professionals to
programme.
the campus; and the Centre for Advanced Composite Materials
will involve Forest Research Ltd and private sector partners. 
Auckland UniServices Ltd further developed commercial
educational services, including the First-time Principals
EFTS taught at the campus increased by nine per cent in
Programme and the Assessment Tools for Teaching and
2002, with the major growth being in computer-based
Learning programme. With the National Heart Foundation,
programmes in Bachelor of Business and Information
Auckland UniServices Ltd funded the STOMP clinical trial,
Management (BBIM) and in Computer Science. EFTS are
using mobile phone text-messaging services to help young
expected to increase by 23 per cent in 2003 when several new
smokers quit. In October, Auckland UniServices Ltd announced
postgraduate programmes (Wine Science, Clinical Psychology,
the opening of the Light Metals Research Centre.
Speech Language Therapy, Applied Behaviour Analysis) will
start. 
A Tamaki Campus Communications Plan 2002-2005 has been
Despite a difficult
developed for potential co-locators, students and staff. A series
of print and radio advertisements ran during the year, a
international environment in
prospectus was produced and circulated, and a new website is
under development. The development of excellent relations
2002, Auckland UniServices
with the local community was seen as a priority in 2002 and a
Campus Community Forum has been established that includes
Ltd’s revenues … amounted
12 representatives each from the community and campus
academics.
to about 12 per cent of
A number of important new research projects progressed at
Tamaki in 2002, including a collaborative project with CERN,
University income and over
the European Laboratory for Particle Physics near Geneva.
The existing research programmes include Image Technology
half of all external research
and Robotics, Exercise Science, Biodiversity and Biosecurity,
revenues.
Biostatistics and Health Psychology as well as several others. 
The installation of the Charlotte Fisher sculpture ‘Fathom’ was
another highlight of the year.

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF SERVICE PERFORMANCE
In December 2001,The University of Auckland published its statement of objectives for 2002, 2003 and 2004. In the
year 2002, the University worked towards meeting these objectives in order to support its mission statement to be ‘a
Performance Indicators
research-led, international university, recognised for excellence in teaching, learning, research, creative work, and
2002
2002
2001
2000
administration, for the significance of its contributions to the advancement of knowledge and its commitment to serve
TARGET
ACTUAL
ACTUAL
ACTUAL
its local, national and international communities’.The achievements and highlights of the year follow.
Qualifications
Degrees offered
78
77
75
72
Teaching and Learning
•
After several years of steady growth, the use of the
Diplomas and certificates offered
60
61
59
57
CECIL Learning Management System increased in
excess of 100 per cent from 2001.
Goal
Equivalent Full Time Students (EFTS)
To ensure that The University of Auckland is a university of
•
A Curriculum Commission reported on the University’s
Ministry of Education subsidised
22,488
22,639
22,080
21,373
high international standing recognised for the quality of its
curriculum and made recommendations to enhance the
Private and other funding
2,500
3,340
2,258
1,559
undergraduate and postgraduate education.
University’s ability to meet its academic mission.
Total EFTS
24,988
25,979
24,338
22,932
•
A Student Life Commission reported on ways to improve
Undergraduate 20,338
20,979
19,659
18,628
the student environment and experience and the
Objectives
Postgraduate  
4,350
4,541
4,238
4,076
University’s links with prospective students and
Non-degree programmes
300
459
441
228
•  Promote strong disciplinary studies and encourage
graduates.
Total EFTS
24,988
25,979
24,338
22,932
innovative interdisciplinary programmes.
•
Assure improvement in the quality of departments
•
A Taskforce reported on the establishment of a
Departmental and School Reviews completed
8
5
9
9
and programmes through a regular programme of
Postgraduate School and the enhancement of
reviews.
postgraduate activities.
•
Retain a core commitment to research-based teaching
Conjoint degrees
and enhancing scholarship.
•
Maori and Pacific student pass rates were substantially
Number of enrolments in conjoint degrees
2,950
3,001
2,850
2,632
•
Evaluate effectiveness of teaching and assessment
increased in many of the Tuakana mentoring/tutoring
24 25
practices.
programmes funded by a Special Supplementary Grant
Postgraduate percentage of total EFTS 
17.4
17.5
17.4
17.8
•
Improve the University’s overall pass rates for
(SSG). Additional programmes were also run for Maori
undergraduate students.
and Pacific Islands postgraduate students.
•
Maintain the ratio of postgraduate to undergraduate
students, as measured in EFTS.
•
University of Auckland Scholarships and Chancellor’s
Awards for Top Maori and Pacific Scholars were awarded
to 74 school leavers.
Achievements and Highlights 
•
The Teaching Improvement Grants Fund was
•
Six new qualifications were introduced, including two
substantially increased, with 18 projects receiving
degrees, two diplomas and two certificates, and 14 new
funding.
subjects and interdisciplinary programmes.
•
Fourteen members of the academic staff received
•
The Institute of Education, a joint initiative to build a
Distinguished Teaching Awards.
centre of excellence in educational research and
teacher education, was launched by The University of
•
An agreement was negotiated with the Catholic Institute
Auckland and the Auckland College of Education.
of Theology, Carey Baptist College, St John’s Theological
College and Trinity Methodist College to form a School of
•
The University entered into a Partnership for
Theology within the University and the first Professor of
Excellence with the Government to develop the
Theology was appointed.
Business School.
•
A Certificate of University Teaching and Learning was
•
Two University of Auckland students, Juliet Tompkins
designed for introduction in 2003.
and Alexander Fala, were awarded Rhodes
Scholarships.
•
The University collaborated in the television pilot series
The Knowledge Breakfast.
•
The Schools of Biological Sciences and Music and the
Departments of Chemical and Materials Engineering,
Philosophy, and Economics were reviewed. There were
13 reviews of academic programmes that produced
their first cohort of graduates. The Faculty of Arts
reviewed the teaching of languages.
STATEMENT OF SERVICE PERFORMANCE

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF SERVICE PERFORMANCE (CONTINUED)
Research and Creative Work
•
Associate Professor Pat Browne of the Geothermal Institute
Performance Indicators
was elected as a Fellow of the Royal Society of New
Zealand. Election as a Fellow is an honour conferred only
2002
2002
2002
2001
2000
Goal
after a very rigorous selection process which demands a
TARGET
ACTUAL
ACTUAL
ACTUAL
To foster and disseminate high quality research and creative
high level of excellence in research achievement.
work which will maintain and enhance the position of The
Postgraduate EFTS
University of Auckland as an internationally recognised,
•
Professor Xiao Dong Chen (Food and Process
Taught postgraduate EFTS
2,820
2,907
2,595
2,471
research-led university. 
Engineering) was awarded the prestigious Cooper Medal
Research-based postgraduate EFTS
1,530
1,634
1,643
1,605
of the Royal Society.
Total postgraduate EFTS
4,350
4,541
4,238
4,076
•
Associate Professor Simon Malpas (Physiology) was
Objectives
Research postgraduate to total postgraduate percentage 
35.2
36.0
38.8
39.4
awarded the Arthur Guyton Award for Excellence in
•
Be internationally recognised as leaders in the
Integrative Physiology from the American Physiological
University’s areas of strength in research and creative
Society in 2002. This award was made for his analysis of
Research grants awarded from external sources $million1
work.
the mechanisms by which the brain controls blood
University only (from external sources)
36.2
90.5
44.1
51.3
•
Increase income from external sources.
pressure.
•
Provide innovative high quality education at
Auckland UniServices Ltd 
52.5
66.4
59.5
41.8
postgraduate level.
•
Dr Deborah Young, Senior Research Fellow at the
Total
88.7
156.9
103.6
93.1
•
Increase the numbers of students undertaking
Department of Molecular Medicine and Pathology, was
research programmes.
one of three recipients of the Sir Charles Hercus Health
Research Fellowship, awarded by the Health Research
Publications and creative works2
Council of New Zealand. She received the award for
groundbreaking research using genetically modified
Books and refereed chapters in books
565
571
578
581
Achievements and Highlights
vectors to unlock the causes of Alzheimer’s and
Refereed papers and other works and reports
4,190
4,286
4,727
4,167
•
During 2002, The University of Auckland was awarded
Huntington’s disease.
Creative work
250
48
74
213
26 27
funding for four Centres of Research Excellence
(CoREs), under the new CoRE fund scheme administered
•
Revenue earned by the University from externally-
Reviews and comments
520
421
479
460
by the Royal Society of New Zealand. In the first round
sponsored research projects reached $41.4 million.
of the scheme, the University was successful in its
Research revenue from Auckland UniServices Ltd 
proposals for: the Centre for Molecular Biodiscovery
was $55.9 million, giving total research revenue of 
1
(Director: Distinguished Professor Ted Baker), the New
$97.4 million. 
Includes CoRE funding.
Zealand Centre for Mathematics and its Applications
2Non refereed publications are no longer included.
(Directors: Professors Marston Conder and Vaughan
•
The value of new research grants and contracts won was
Jones), and Nga Pae o te Maramatanga (Horizons of
$156.9 million, $90.5 million from the Research Office
Insight), the National Institute of Research Excellence
and $66.4 million from Auckland UniServices Ltd.
for Maori Development and Advancement (Directors:
Professor Linda Smith and Associate Professor Michael
•
Auckland UniServices Ltd entered into a joint venture
Walker). A second round was held late in 2002 and the
with Fonterra to form Lactorpharma, which was awarded
University was successful in obtaining funding for the
$2 million per year for seven years from the Foundation
National Research Centre for Growth and Development
for Research Science and Technology. The joint venture
(Director: Distinguished Professor Peter Gluckman).
was one of four Research Consortia funded in the first
round of the new Consortium initiative of the Foundation
•
The University of Auckland gained 22 from a total of 87
for Research, Science and Technology. Lactopharma is
Marsden Fund Awards made in 2002, the highest
engaged in new fundamental research on bone growth,
number allocated to any institution in the country for the
the treatment of inflammatory diseases and cancer, and
second year running. The total funding allocated to The
the discovery of bioactive compounds leading to new
University of Auckland was $8.7 million, some 23.7 per
treatments and neutraceuticals.
cent of the total awarded.
•
Professor Peter Schwerdtfeger FRSNZ, of the Department
of Chemistry, was made a James Cook Research Fellow
by the Royal Society of New Zealand. The fellowship was
awarded for his research on the search for electroweak
effects in molecules. During 2002, five of the 10 James
Cook Fellows were from The University of Auckland.

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF SERVICE PERFORMANCE (CONTINUED)
The University Community
•
Fourteen staff received Distinguished Teaching Awards
Performance Indicators
for 2001 at a ceremony held in August. They were
Professor Richard Faull (Anatomy with Radiology),
2002
2002
2002
2001
2000
Goal
Associate-Professors Bakhadur Khoussainov (Computer
TARGET
ACTUAL
ACTUAL
ACTUAL
To attract and retain staff of the highest quality and students
Science) and Chris Tindle (Physics), Drs Christine
who have the potential to succeed in a top-ranking university.
Arkinstall (Spanish), Simon Bickerton (Mechanical
Students (actual number)
Engineering), Tim Bulkeley (Theology), Doug Carrie
Domestic students
27,395
27,829
27,009
26,492
(Marketing), Tracey McIntosh (Sociology), Christine
International students
2,840
3,673
2,456
1,600
Woods (Management and Employment Relations), and
Total students enrolled
30,235
31,502
29,465
28,092
Objectives
Graeme Aitken (Education), Neil Campbell (Law), Nuala
Gregory (Elam), Mandy Harper (Biological Sciences) and
Students – academic standard of Bursary students entering 
•
Recruit and retain staff of high quality.
Peter Smith (Management and Employment Relations).
directly from secondary school:
•
Encourage and assist staff to reach their potential in
A bursary (%) 
52
50
51
55
teaching, research and administration.
•
Four University of Auckland staff were awarded
B bursary (%)
32
33
32
31
•
Attract a diverse and academically able student body.
Universitas 21 Fellowships to further their professional
Student/staff ratio (EFTS per FTE academic staff)
15.1
15.4
15.6
14.7
development at other Universitas 21 institutions. They
were Associate Professor Tony Norris (Management
Staff (FTE)
Science and Information Systems), Don Kerr (General
Achievements and Highlights
Academic staff
1,650
1,692
1,561
1,556
Manager Operations, School of Business and Economics),
General staff
1,900
1,841
1,732
1,811
•
Adjunct Professor Michael J A Brown was appointed as
Christine Berry (Graduate Centre, Student
Total staff
3,550
3,533
3,293
3,367
Special Advisor to the Vice-Chancellor and Acting Pro
Administration), and Dr Lee Wallace (Women’s Studies).
Vice-Chancellor (Maori) to lead the University’s
commitment to the Treaty of Waitangi.
•
The inaugural Vice-Chancellor’s Award for distinguished
contribution to the University was received by Janet
•
Professor John Morrow joined the University as
Copsey, University Librarian, at the spring graduation.
28 29
Professor of Political Studies and has been appointed as
Dean of the Faculty of Arts with effect from April 2003. 
•
Applicants from The University of Auckland were
awarded 32 out of 85 Top Achiever Doctoral
•
Professors Wei Gao (Chemical and Materials
Scholarships granted nationwide, the highest number of
Engineering), Andrew Philpott (Engineering Science),
any University.
Viviane Robinson (Education), Anthony Spalinger
(Classics and Ancient History), and William Wilson
•
The inaugural Orientation Welcome for students new to
(Auckland Cancer Society Research Centre) were
the University in semester two was held in July.
promoted to professorships. Promotion to professor
recognises professorial and academic eminence at an
•
The University continued to attract a demographically
international level.
diverse student body.  A head count of students showed that
41.8 per cent were European, 30.5 per cent Asian, 5.2 per
•
Professors appointed to established chairs during the year
cent Maori, 5.7 per cent Pacific Islands, 4.3 per cent came
were Innes Asher (Paediatrics), Howard Carmichael (Dan
from other ethnic groups and 12.4 per cent did not state their
Walls Chair in Physics), Nicole Coviello (Marketing and
ethnicity.  Of these students 28 per cent were under 20, 38
International Entrepreneurship), Cynthia Farquhar
per cent between 20 and 24, and 33 per cent were 25 or
(Obstetrics and Gynaecology), Michael Findlay (Oncology),
older.
Rosalind Hursthouse (Philosophy), Michael Kalloniatis
(Leitl Chair in Optometry), Bruce Melville (Civil
•
The University had a significant increase in the number
Engineering), Alan Merry (Anaesthesiology), John Morrow
of students who reported as being from secondary schools
(Political Studies), Margaret Mutu (Maori Studies), Zoran
in 2002 compared to 2001. In 2002 there were 3,780
Salcic (Computer Systems Engineering), David Simmons
students admitted directly from secondary school,
(Medicine, Waikato Clinical School), James Sneyd (Applied
compared to 3,280 students in 2001. The number of
Mathematics), and Jack Vowles (Political Studies). 
students admitted under the Bursary entrance
qualification increased from 3,310 in 2001 to 3,500 in
2002.

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF SERVICE PERFORMANCE (CONTINUED)
•
Targeted tutorials and dedicated study space are
Performance Indicators
Equal Opportunity 
available for Maori and Pacific Islands students in all
2002
2002
2002
2001
2000
faculties. 
TARGET
ACTUAL
ACTUAL
ACTUAL
Goal
•
Foundation programmes are available for students
To fulfil the University’s equal opportunity responsibilities
Equal Employment Opportunities
entering the Faculties of Medical and Health Sciences
and to continue to give high priority to the principles and
and Engineering.
% Female academic staff (FTE)
38
37
37
36
practices of equity in respect of both equal education and
% Female general staff (FTE)
60
59
59
58
equal employment as set out in the Equal Opportunities
•
Equity Advisors held a range of targeted events on
Plan. 
campus to attract Maori and Pacific Islands students,
% Pacific Islands academic staff (FTE)
2.4
2.0
1.6
1.6
focusing on opportunities that exist for a tertiary
% Pacific Islands general staff (FTE)
5.1
4.9
4.1
4.1
education in Science, Technology, Engineering,
Objectives
Architecture, and Medicine. Other events encourage
Comprehensive reporting of EEO plans and reports within 
yes
yes
yes
yes
women students to enrol in Engineering and areas in
•
To recruit diverse staff, foster their abilities, and
the University 
Science where they are under-represented. 
ensure employment procedures that are effective in
achieving equity goals.
Equal Educational Opportunities
•
Equity Advisors promote target group student
•
To recruit and retain a diverse student body,
recruitment at career expos, through schools’ careers
Number of Pacific Islands EFTS1
1,570
1,467
1,541
1,422
providing research and curricular activities relevant
evenings and school visits within the Auckland area and
to their needs.
Pacific Islands EFTS (% of total University)
6.3
5.0
6.4
6.3
the North Island.
Number of students identifying with a disability
685
791
653
697
•
368 students received support from Disability Services
during the year. 
Comprehensive EEdO plans and reports within the University 
yes
yes
yes
yes
Achievements and Highlights
•
The proportion of male and female staff has remained the
30 31
same but the percentage of women professors has
1Note that this excludes community education and NEW START programmes.
increased. Numbers of Maori staff have increased slightly
but this has been masked by percentile increases in
other groups. Pacific Islands staff have increased both
numerically and by proportion of the total staff.
•
The highly successful Women and Leadership
Programme expanded to three strands catering for
different levels of female staff. The programme has
included mentoring, workshops, seminars, panel
discussions, and guest speakers. 
•
A Pacific Equity Audit was undertaken and
recommendations are being implemented.
•
A new Work, Life and Family Policy was launched,
appropriate training has begun and related resources are
being produced. 
•
The EEO database has been updated, the response rate
has increased and high quality statistical data is now
available for reporting.
•
The pilot MATES (Mentoring and Tutoring Education
Scheme) project was implemented by the University, in
partnership with the Pacific Foundation for Health,
Education and Parent Support. The project involves 40
University students working as mentors one-on-one with
students at three Auckland secondary schools, and is to
be expanded to four schools and 58 mentors in 2003.
•
The Chancellor’s Awards for Top Scholars (CATS)
scholarships were presented to 40 students across New
Zealand to assist them with University study.

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF SERVICE PERFORMANCE (CONTINUED)
•
The Maori and Indigenous Graduate Studies Centre
Performance Indicators
Treaty of Waitangi
(MAI) programme has continued to grow. There are in
2002
2002
2002
2001
2000
excess of 80 Maori students bridging into PhD
Goal
TARGET
ACTUAL
ACTUAL
ACTUAL
programmes and 64 Maori enrolled in PhD programmes.
To acknowledge and embrace the responsibilities and
Cohorts have now been established in Wellington,
obligations of The University of Auckland under the Treaty of
Students
Waikato and Palmerston North. International cohorts are
Waitangi.
also running in Alaska, Canada, Washington State and
Number of Maori EFTS
1,370
1,243
1,391
1,382
Hawaii.
% Maori students (EFTS)1
5.5
4.9
5.8
6.1
•
A review of the Hineteiwaiwa Kohanga Reo organisation
Staff 
Objectives
and management has been completed. The Kohanga Reo
% Maori academic staff (FTE)
5.0
3.5
3.7
3.5
•
Recognise that all members of the University
is an integral part of the University offering high quality
% Maori general staff (FTE)
6.5
5.2
5.2
5.2
community are encompassed by the Treaty with
childcare services to Maori staff and student children
mutual rights and obligations.
and other staff children.  
Comprehensive reporting of Treaty Plans and reports within 
•
Increase the number of academic and general Maori
the University 
yes
yes
yes
yes
staff.
•
Strategies from previous years continue to be reviewed in
•
Continue and enhance initiatives to retain and
seeking to recruit and provide ongoing support for Maori
support Maori students.
students, particularly postgraduates.  Recruitment
1Note that this excludes community education and NEW START programmes.
•
Recruit and provide for the learning needs of Maori
strategies include the Mentoring and Tutoring Education
students.
Scheme (MATES) and Tuakana programme in Science,
both of which have been successful. Specific
advancement has been made in the Faculty of
Engineering with the creation of three new positions.
Achievements and Highlights
•
Reporting across the University on Treaty compliance has
32 33
continued with faculties providing information to support
development and advancement. Liaison personnel in
faculties have been identified as part of this process and
have been briefed on reporting responsibilities and
processes.  
•
With the change in research funding, greater consultation
with, among others, Maori, is required and many Maori
academics at The University of Auckland have been
involved in the development of these research strategies.
•
The key appointment of Maori staff in a number of faculties
is being undertaken. Growth strategies planned for Maori
are based on Maori student uptake of courses of study
within faculties. Part of the planning has been to support
Maori staff in upskilling in a number of areas, which has
resulted in five graduating with PhDs in 2002. The
inaugural National Maori Academic Excellence Awards
2002 saw five Maori PhD graduates from The University of
Auckland being recognised out of the 17 awardees.    
•
Maori students participating in undergraduate and
postgraduate courses of study continue to be represented
through University committees such as the Runanga by
Nga Tauira Maori (Maori Students Association) and Te
Roopu Kapa Haka o Waipapa representatives.  There are
still disproportionate numbers of Maori students not
completing qualifications. Reasons for this vary from
funding issues to resource support and continue to be
addressed across the University.  

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF SERVICE PERFORMANCE (CONTINUED)
•
Owen Glenn, a successful NZ businessman, supported the
Performance Indicators
National Relationships
University’s campaign for a Chair in Marine Science with
2002
2002
2002
2001
2000
$500,000, as well as the use of his superyacht, Ubiquitous,
Goal
TARGET
ACTUAL
ACTUAL
ACTUAL
for client hospitality during the Louis Vuitton races.
To build close relationships with the educational, cultural
•
Discussions are continuing with donors to fund five
and business communities of Auckland and beyond; and
Community Education (Ministry of Education funded)
professorships.
develop constructive relationships with local and central
Number of Community Education courses
390
421
357
314
government, consistent with the maintenance of institutional
•
Major meetings were held in nine New Zealand cities
with groups of principals concerning entry and selection
Total EFTS funded by the Ministry of Education1
320
245
278
110
autonomy and academic freedom.
to the University through the new National Certificate of
Total enrolments in courses
14,400
8,690
9,185
9,009
Educational Achievement (NCEA) qualifications.
•
Close relationships with Auckland secondary school
Objectives
1
principals were fostered. Greater involvement with
Includes NEW START programme.
•
Contribute to the intellectual and cultural life of the
schools south of the Bombay Hills was initiated by
nation and act as a critic and conscience of society.
inviting selected careers teachers to the University’s
•
Work with the community and cultural organisations
Teacher Update Day, and by arranging transport for
and institutions.
school students from Hamilton, Whangarei and Tauranga
•
Strengthen the relationships between the University,
to attend Courses and Careers Day in August.
the professions, the media, business and industry,
•
The ‘Incredible Science’ day, an open day for primary
and encourage their involvement in University
school students, was held in the Faculty of Science on
activities.
July 1. About 5,000 children came with their families, a
•
Develop links with other tertiary educational
considerable increase on the previous year’s 3,000. The
institutions and research institutions.
Science Faculty Student Centre celebrated its official
opening on the same day. The Centre aims to assist
students with enrolments, course advice and planning,
34 35
Achievements and Highlights
and other information. 
•
A study by the New Zealand Institute of Economic Research
•
Auckland University Press had another successful year
(NZIER) has found that The University of Auckland
producing 19 new books, one new edition, four reprints and
contributes $3.1 billion a year in economic value to the
running a poetry festival, Seeing Voices, in August. Two
Auckland region. In addition, the University brings social
books were shortlisted in the Montana Book Awards; and
and cultural benefits that, although not measured in
Husk by Chris Price won the New Zealand Society of
monetary terms, add to the region’s vibrancy and diversity. 
Authors (NZSA) Jessie Mackay Best First Book Award for
Poetry, while Proportional Representation on Trial by Jack
•
A Memorandum of Understanding was signed with
Vowles et al won the Wallace Award for best book on
AgResearch, the country’s largest Crown Research Institute,
electoral matters.
to collaborate in life sciences research and education.
•
Whale Rider won the People’s Choice award at the
•
The University also formed a partnership with Landcare
Toronto Film Festival – the only award to be presented at
Research Ltd, under which they will build a new ‘Super
the festival. Associate-Professor Witi Ihimaera (English)
Green’ building on the Tamaki Campus as a base for
wrote the book on which the film was based and was also
their own activities. 
a co-producer. Director Niki Caro is a graduate of Elam. 
•
The University of Auckland worked with the Auckland
•
The School of Music and the Auckland Philharmonia
College of Education to form the Institute of Education,
entered a partnership called AP~SOM in October, which
which aims to be a centre of excellence in educational
combines their musical expertise and talent and is
research and teacher education. 
designed to strengthen joint and individual musical
endeavours in Auckland and throughout New Zealand. 
•
In its first year of operation, the Advancement Office worked
to set standards and procedures in place to effectively seek
•
A conference, organised by The University of Auckland
and then administer donated funds. This includes the
and the Screen Directors’ Guild of New Zealand, held
stewardship of all donors and potential supporters. 
over Labour Weekend, featured the work of 16 film-
makers from all over the country.
•
Developments were made to enhance alumni
relationships with the establishment of AlumniNet, an
•
In honour of their achievements and their contributions
online reunion service that allows alumni to track down
to their professions, community, and nation,
long lost friends anywhere in the world. It is the first
Distinguished Alumni Awards were given to Judge Mick
such website for any New Zealand university.
Brown LLD (1992), Vincent Cheng MPhil (1979),
Emeritus Professor Sidney (Ben) Gascoigne AO MSc
•
The new Business School campaign was launched and an
(1937), Dr Ruth Harley MA (1975) PhD (1980), Rosslyn
Advisory Board of business leaders established.
Noonan MA (1969), and Arthur Young LLB (1958).
•
The University of Auckland Charitable Trust was
•
In 2002 honorary doctorates were conferred on the late
registered. The Trustees are chaired by Mr Ricketts.
Allen M. Curnow (DLitt) and Sir Graeme Davies (DEng).

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF SERVICE PERFORMANCE (CONTINUED)
Internationalisation
•
The New Zealand Asia Institute hosted a series of
Performance Indicators
seminars and conferences that drew in local Asian
communities, government, media and the business sector.
002
2002
2002
2001
2000
‘The Asian communities in Auckland’ focused on
TARGET
ACTUAL
ACTUAL
ACTUAL
Goal
employment and education challenges as well as political
To maintain and develop international relationships and
participation, and a lecture series covered the many
International Students
activities which position The University of Auckland as a
aspects of the New Zealand-China relationship after 30
Full fee paying (not Ministry subsidised)
2,250
3,222
1,932
1,181
top-ranking international university.
years of diplomatic relations, culminating in addresses by
the New Zealand Prime Minister and the Minister of
Study abroad students (incoming)
140
228
192
173
Foreign Affairs.
Exchange students (incoming)
50
87
51
45
Objectives
•
The Office of the Pro Vice-Chancellor (International) and
Research postgraduate and other
400
136
281
201
•
Recruit international researchers, scholars and
International Office established The University of
Total students
2,840
3,673
2,456
1,600
students of high ability.
Auckland International e-newsletter, a web-based
•
Develop the relationship with Universitas 21 and the
comprehensive quarterly publication of internationalisa-
Total international EFTS 
2,150
3,066
2,039
1,328
Association of Pacific Rim Universities.
tion and international relations activities of the
Exchange agreements with other universities
80
72
64
48
•
Stabilise the number of exchange agreements with
University at www.auckland.ac.nz/international.
other universities to eliminate those which have only
•
The International and Immigrant Students Online Survey
marginal contribution to the University.
of nearly 1,000 eligible students at the University has
•
Increase the number of international students to ten
informed a series of recommendations to improve the
per cent of the University.
services to international and immigrant students.
•
Diversify the support and resource base of the
University by building active links with government
•
The University signed eight agreements with universities
agencies, international organisations and businesses,
in Australia, Denmark, Japan, Norway, Singapore,
overseas foundations and alumni, and by marketing
Sweden, Korea and Britain that will facilitate academic
36 37
educational services internationally.
cooperation and collaboration and student exchanges.
•
The number of fee-paying Study Abroad students
increased 19 per cent from 192 to 228 students,
Achievements and Highlights
predominantly from USA programmes.
•
International students from 100 countries worldwide
enrolled at the University in 2002, representing the
•
The University increased the number of students
largest international student enrolment in New Zealand.
studying overseas at partner universities to 66. The
The total international student EFTS, including full-fee
number of exchange students from overseas universities
paying students, exchange students and study abroad
who came to study at the University was 87.
students, equalled 3,066. The number of international
•
The International Office expanded its recruitment
students was 3,673. International students represented
activities to India, Russia and Mexico as part of
12 per cent of the total EFTS. 
initiatives to diversify the source countries for
•
The University awarded five international doctoral
international students.
scholarships and 33 international doctoral fees
•
The University hosted 64 visits from international
scholarships. In total, 96 international students were
delegations, leading academics and diplomats from
enrolled as candidates for a PhD. Another 282 students
countries such as France, Belgium, China, Korea, Iran,
were pursuing masters degrees and 127 were studying for
Japan, Scotland, Sweden, India, Israel, Malaysia, South
postgraduate diplomas. 
Africa and Samoa.
•
The University of Auckland through its membership in
Universitas 21 has become a partner in the establishment
of Universitas Global. Universitas Global will initially
offer technology and business courses that are targeted at
the estimated $200 billion worldwide demand for higher
education.

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF SERVICE PERFORMANCE (CONTINUED)
Committee introduced many new IT policies, particularly
Performance Indicators
Organisation, Management,
Infrastructure and Resources
in the security area.  A University IT Strategy has been
002
2002
2002
2001
2000
commenced, with completion due mid-2003.
TARGET
ACTUAL
ACTUAL
ACTUAL
•
The efficiency of the network infrastructure was improved.
Goal
•
Significant enhancements were made to the capacity and
Operating costs per EFTS (Teaching & Research)
11,378
11,411
10,682
10,291
availability of computer servers hosting the University’s
($/EFTS)
To ensure that the academic aims and activities of the University
major applications.
are enabled and supported by the highest quality management
Implementation of scheduled PeopleSoft system
yes
yes
yes
yes
•
The University Portal became operative to enhance
and administrative processes, practices and policies.
access to information.
nDeva
nDeva
nDeva
nDeva
To optimise the use of the University’s infrastructure and resources
Enterprise
Enterprise
On-line
On-line
•
Staff members were provided with on-line access to
by flexible, innovative approaches which serve the best interests
data base
data base
admissions
admissions
personal pay and leave information through hrConnect.
of the University, the staff, the students and the community. 
Library resources
•
An interim Information Commons was established, and
Total printed volumes (000’s)
1,810
1,834
1,743
1,731
IT support for the new Kate Edger Information Commons
Objectives
Serial titles (electronic)
8,500
45,915
43,270
29,342
building planned.
e-books
4,000
10,231
5,839
-
•
Ensure that the University’s organisational structures
•
The University Library’s collection was substantially
and management processes provide high quality
enhanced by spending $5.8 million on purchasing
policy recommendations and promote sound and
electronic resources, both e-books and e-journals.  The
timely decision-making.
University Library also acquired the unique and
•
Refine the budget and planning process instituted in
extensive Western Pacific Archive from the British
2001 to ensure the University’s planning and
Government.
commitments are aligned with its goals and with the
•
The external relations database, managed by the
priorities set by the Council.
Advancement Office, was integrated into the PeopleSoft
•
Maintain and develop quality collections, libraries,
System. The University Alumni have now reached
archives, technology and information services to
95,000, and much work is done to keep up to date with
38 39
support the teaching, learning, research and creative
contact details. 
work of the University.
•
The PeopleSoft Advancement module was put in place
•
Implement efficient and effective enterprise
with training given to enable Development staff to
information systems.
effectively manage their prospects and track all activity. 
•
Manage the IT resources of the University to gain 
•
The updating of the master plan for the Tamaki Campus
the maximum synergy and effectiveness between
was completed during 2002 and good progress was made
systems while ensuring the integrity of the data 
on preparation of a master plan for development of the
and systems.
Elam sector of the City Campus.
•
Develop campuses which are environmentally
friendly and safe, and buildings which are equipped
•
Major capital projects completed during 2002 included:
and maintained to the best modern pedagogical
-
Library Building Alterations
standards.
-
Thomas Building Refit - Stage 4
-
HSB/Arts 1 Covered Ways
-
Chemistry Building Refit - Levels 7 and part 6
-
Science Student Centre
Achievements and Highlights
-
Chemistry Building Foyer Upgrade
-
Architecture Studios HVAC and Lighting
•
The PeopleSoft Student Administration System, nDeva,
-
FMHS Buildings Steam Supply
was fully utilised during 2002, providing more
-
International House Bathrooms
comprehensive information and enrolment flexibility.
-
132 Hurstmere Road Fitout
•
The PeopleSoft Financials migration to the web-enabled
-
Tamaki Fences and Gates
version 8.4 continued and is on schedule for
-
Tamaki Siteworks 2001/2002
implementation in the first quarter of 2003.
•
Substantial progress was made during the year on
•
Further refinements were made to the planning and
construction of the following major building projects:
budgeting processes, with greater emphasis on monthly
-
Student Amenities Complex
financial forecasting, resulting in a higher degree of
-
Science Building 303 Extension
overall financial management.
-
Engineering Atrium and Lecture Theatre
-
Engineering and Science Research Centre at Tamaki
•
ITSS, the University’s enterprise IT group, was
•
Major maintenance projects completed during 2002
restructured to improve efficiency and effectiveness.
included:
•
A full review of the Information Technology business
-
O’Rorke Hall Renovations
continuity plans was undertaken, and improved back-up
-
Pool Seminar Rooms Renovation
systems were introduced.
-
Upgrading of Schindler Lifts
•
The Information Technology Strategy and Policy

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF SERVICE PERFORMANCE (CONTINUED)
Financial Performance
Performance Indicators
2002
2002
2001
2000
Goal
TARGET
ACTUAL
ACTUAL
ACTUAL
To ensure the University’s financial resources are prudently
and efficiently managed within normal performance limits for
Financial measures ($millions) 
tertiary academic institutions.
Operating surplus  
10.6 
11.6 
10.0 
9.1      
Net cash flows from operating activities  
53.7 
69.3 
57.8 
55.5      
Net equity  
654 
709 
644 
627      
Objectives
Liquidity measures 
•
Improve the University’s net revenues, optimising and
Cash inflow as a per cent of cash outflow (from operations)
114.0 
117.5 
116.1 
117.1      
diversifying existing revenue streams, developing
potential revenue, and ensuring the effectiveness of
Debt:equity (Total liabilities as a % of total equity)  
18.0 
19.8 
17.7 
15.9      
all expenditures.
•
Meet or exceed the key financial indicators as agreed
Investment
with the Ministry of Education.
Fixed assets per EFTS ($ per EFTS)  
28,850 
28,955 
26,715 
26,793  
Achievements and Highlights
•
Overall Operating Revenues increased by $44 million.
Increases were recorded in all categories of revenue, with
the main increases derived from Tuition Fees at $20
million (predominantly resulting from increases in
40 41
International Student Fee income), Research income up
by $10.4 million, and Service income up by $4.4 million.
•
Operating Surplus of $11.6 million was $1.0 million
ahead of budget and up on 2001 by $1.6 million.
•
Operating Cash Flow of $69.3 million was ahead of 2001
by $11.4 million.
•
Performance against Ministry of Education key financial
indicators;
Band Achieved
MoE Target
Actual
Band
Achieved
Operating Surplus as % of Revenue
3%-4%
2.5%
Return on Assets
1.75%-2.25%
1.4%

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
Library Resources
Statement of Resources
Buildings
2002
2001
2000
1999
ACTUAL
ACTUAL
ACTUAL
ACTUAL
2002
2001
2000
1999
Collections:
ACTUAL
ACTUAL
ACTUAL
ACTUAL
Books
1,275,251
1,193,402
1,196,664
1,166,195
Serials (volumes)
558,877
549,448
534,732
524,804
Gross area of University buildings (m2)
376,721
374,555
372,722
370,689
Total printed volumes
1,834,128
1,742,850
1,731,396
1,690,999
Serials (print titles)
28,400
27,804
23,939
21,059
There are a total of 149 (in 2001 there were 152) buildings across all campuses, which are included in the Statement of Financial
Position. In addition, the University leases space in 21 buildings (17 in 2001).
Other Items:
Land
Electronic serials
45,915
43,270
29,342
4,111
The University is responsible for a total land area of 176.8ha (176.9 in 2001). This includes 19.9ha (22.8ha in 2001) on the City
Electronic books
10,231
5,839
-
-
Campus, 32.2ha (32.2ha 2001) at the Tamaki Campus and 122.0ha (122.0ha 2001) at the Leigh Marine Research Laboratory and
Microfilms
345,918
343,328
341,061
333,478
various bush reserves.
Sound recordings
10,717
8,950
8,544
8,357
Visual recordings
6,273
5,290
4,684
4,387
Within the total land area is 107.1ha (107.1 2001) of land owned by the Crown and valued at $45 million.
Cartographic materials
49,542
53,636
55,246
54,900
Graphic materials
44,014
43,915
43,872
43,617
Slides and multimedia
40,138
40,106
40,063
40,046
Computer files
5,021
4,150
3,612
3,061
Archives and manuscripts (metres)
2,439
1,677
1,675
1,671
42 43
Services:
Loans:
Books and periodicals
681,831
681,809
723,941
763,094
Desk copies
237,151
288,743
311,238
331,665
Total
918,982
970,552
1,035,179
1,094,759
Reservations
91,462
84,616
69,577
76,017
Interloans:
Items borrowed from other libraries
18,139
18,130
24,116
26,385
Items lent to other libraries
19,366
14,651
14,620
15,713
LEARN visits1
2,623,068
1,309,498
-
-
The University has 16 (18 in 2001) separate libraries on three campuses and an off-campus storage facility. During semesters, the
General Library is open for an average of 99 (99 in 2001) hours per week. The larger divisional libraries are open for 80-85 hours
per week during the year. There are 2,859 (2,889 in 2001) reading spaces available in the system, of which 1,360 (1,213 in 2001)
are in the General Library, and 1,499 (1,676 in 2001) in the divisional libraries. There are also 315 computer workstations. 
The General Library has a total shelving capacity of 25,915 metres (21,733 metres in 2001), with a further 38,214 metres in the
divisional libraries and off-site storage.
1LEARN visits - previous counts have been for ‘hits’ rather ‘visits’. Redesign of LEARN in 2002 has meant that this figure is no longer meaningful and the
number of ‘visits’ has been reported instead.

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
FINANCIAL STATEMENTS 2002
46
STATEMENT OF
RESPONSIBILITY
47
STATEMENT OF
ACCOUNTING POLICES
51
STATEMENT OF FINANCIAL
PERFORMANCE
51
STATEMENT OF MOVEMENTS
IN EQUITY
52
STATEMENT OF FINANCIAL
POSITION
44 45
53
STATEMENT OF CASH FLOWS
54
NOTES TO THE  FINANCIAL
STATEMENTS
65
COST OF SERVICE SUMMARY
66
REPORT OF THE AUDIT
OFFICE
THE UNIVERSITY OF AUCKLAND
FINANCIAL STATEMENTS

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF RESPONSIBILITY BY COUNCIL AND MANAGEMENT
STATEMENT OF ACCOUNTING POLICIES
for the year ended 31 December 2002
for the year ended 31 December 2002
1
The Council and Management of The University of Auckland accept responsibility for the preparation of the Financial
Reporting Entity
Statements and the judgements used in them.
The University of Auckland was established by The University of Auckland Act 1961. The University had previously operated
2
The Council and Management of The University of Auckland accept responsibility for establishing and maintaining a
as Auckland University College (part of the University of New Zealand). 
system of internal control which has been designed to provide reasonable assurance as to the integrity and reliability of
These financial statements report on the activities of The University of Auckland and its subsidiaries.
financial reporting.
The financial statements have been prepared in accordance with the requirements of Section 41 of the Public Finance Act 1989
3
In the opinion of the Council and Management of The University of Auckland, the Financial Statements for the year ended
and Section 203 of the Education Act 1989, which includes the requirement to comply with generally accepted accounting
31 December 2002 fairly reflect the financial position and operations of The University of Auckland.
practice in New Zealand.
4
The Council of The University of Auckland has reviewed these Financial Statements and by resolution approved these
Financial Statements for issue at its meeting of 17 March 2003.
Measurement Base
The financial statements have been prepared on an historical cost basis, with the exception of certain items for which specific
accounting policies are identified.
Accounting Policies
Chancellor
The following accounting policies, which materially affect the measurement of financial performance and financial position, have
John Graham
been applied:
BASIS OF CONSOLIDATION
The financial statements of subsidiary companies are consolidated in the financial statements of the University using the
46 47
purchase method. Inter entity transactions and inter entity balances have been eliminated on consolidation.
Vice-Chancellor
REVENUE
Dr John Hood
Government grants are recognised as revenue upon entitlement. Unrestricted donations are recognised as revenue upon
entitlement. Assets donated are recognised at fair value. Where the University receives a donation with obligations, a liability is
recognised. Once the obligation is discharged, the donation is recognised as revenue.
Sponsored research is recognised as revenue upon entitlement. Research contract revenue is reduced by the obligation to
Director of Administration
complete research where billing entitlement is in advance of performing the research agreed in the contract.
Jonathan Blakeman
FINANCIAL INSTRUMENTS
The University is party to financial instrument arrangements as part of its everyday operations. These financial instruments
include bank accounts, short term deposits, accounts receivable, accounts payable, long term investments, and externally
managed funds, all of which are recognised in the Statement of Financial Position. Revenue and expenses in relation to these
instruments are recognised in the Statement of Financial Performance.
The University enters into foreign currency forward exchange contracts to hedge trading transactions, including anticipated
transactions, denominated in foreign currencies. Gains and losses on contracts which hedge specific short-term foreign currency
denominated transactions are recognised as a component of the related transaction in the period in which the transaction is
completed.
INVESTMENTS
Investments are valued at the lower of cost and market value except for company shares bequeathed, donated or gifted to the
University. These are valued at market value on the date they were transferred to the University.
RECEIVABLES
Accounts receivable are stated at their estimated realisable value after providing for amounts not considered recoverable.
INVENTORIES
Inventories are valued at the lower of cost and net realisable value. The weighted average method is used to determine cost.
STATEMENT OF RESPONSIBILITY BY COUNCIL AND MANAGEMENT
STATEMENT OF ACCOUNTING POLICES

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF RESPONSIBILITY BY COUNCIL AND MANAGEMENT
STATEMENT OF ACCOUNTING POLICIES
for the year ended 31 December 2002
for the year ended 31 December 2002
1
The Council and Management of The University of Auckland accept responsibility for the preparation of the Financial
Reporting Entity
Statements and the judgements used in them.
The University of Auckland was established by The University of Auckland Act 1961. The University had previously operated
2
The Council and Management of The University of Auckland accept responsibility for establishing and maintaining a
as Auckland University College (part of the University of New Zealand). 
system of internal control which has been designed to provide reasonable assurance as to the integrity and reliability of
These financial statements report on the activities of The University of Auckland and its subsidiaries.
financial reporting.
The financial statements have been prepared in accordance with the requirements of Section 41 of the Public Finance Act 1989
3
In the opinion of the Council and Management of The University of Auckland, the Financial Statements for the year ended
and Section 203 of the Education Act 1989, which includes the requirement to comply with generally accepted accounting
31 December 2002 fairly reflect the financial position and operations of The University of Auckland.
practice in New Zealand.
4
The Council of The University of Auckland has reviewed these Financial Statements and by resolution approved these
Financial Statements for issue at its meeting of 17 March 2003.
Measurement Base
The financial statements have been prepared on an historical cost basis, with the exception of certain items for which specific
accounting policies are identified.
Accounting Policies
Chancellor
The following accounting policies, which materially affect the measurement of financial performance and financial position, have
John Graham
been applied:
BASIS OF CONSOLIDATION
The financial statements of subsidiary companies are consolidated in the financial statements of the University using the
46 47
purchase method. Inter entity transactions and inter entity balances have been eliminated on consolidation.
Vice-Chancellor
REVENUE
Dr John Hood
Government grants are recognised as revenue upon entitlement. Unrestricted donations are recognised as revenue upon
entitlement. Assets donated are recognised at fair value. Where the University receives a donation with obligations, a liability is
recognised. Once the obligation is discharged, the donation is recognised as revenue.
Sponsored research is recognised as revenue upon entitlement. Research contract revenue is reduced by the obligation to
Director of Administration
complete research where billing entitlement is in advance of performing the research agreed in the contract.
Jonathan Blakeman
FINANCIAL INSTRUMENTS
The University is party to financial instrument arrangements as part of its everyday operations. These financial instruments
include bank accounts, short term deposits, accounts receivable, accounts payable, long term investments, and externally
managed funds, all of which are recognised in the Statement of Financial Position. Revenue and expenses in relation to these
instruments are recognised in the Statement of Financial Performance.
The University enters into foreign currency forward exchange contracts to hedge trading transactions, including anticipated
transactions, denominated in foreign currencies. Gains and losses on contracts which hedge specific short-term foreign currency
denominated transactions are recognised as a component of the related transaction in the period in which the transaction is
completed.
INVESTMENTS
Investments are valued at the lower of cost and market value except for company shares bequeathed, donated or gifted to the
University. These are valued at market value on the date they were transferred to the University.
RECEIVABLES
Accounts receivable are stated at their estimated realisable value after providing for amounts not considered recoverable.
INVENTORIES
Inventories are valued at the lower of cost and net realisable value. The weighted average method is used to determine cost.
STATEMENT OF RESPONSIBILITY BY COUNCIL AND MANAGEMENT
STATEMENT OF ACCOUNTING POLICES

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF FINANCIAL POSITION
STATEMENT OF CASH FLOWS
as at 31 December 2002
for the year ended 31 December 2002
CONSOLIDATED
UNIVERSITY
CONSOLIDATED
UNIVERSITY
2002
2002
2001
2002
2001
2002
2002
2001
2002
2001
Actual
Budget
Actual
Actual
Actual
Actual
Budget
Actual
Actual
Actual
Note
$000
$000
$000
$000
$000
Note
$000
$000
$000
$000
$000
Cash Flows from Operating Activities
Current Assets
Cash was provided from:
Cash and bank
7
4,426
4,226
4,220
4,044
2,718
Government grants
183,072
181,281
165,240
183,072
165,240
Short term investments - unrestricted
7
44,483
11,794
57,709
21,000
35,700
Tuition fees
122,797
108,481
97,932
122,797
97,932
Short term investments - restricted
7
288
(256)
1,995
288
1,995
Dividends received
49
-
38
199
203
Receivables and prepayments
8
22,095
20,507
18,809
14,237
13,736
Interest received
6,968
3,429
7,861
5,707
6,472
Inventories
9
9,029
4,987
6,810
2,500
2,714
Other operating receipts
152,527
137,105
145,918
97,435
98,773
465,413
430,296
416,989
409,210
368,620
Total Current Assets
80,321
41,258
89,543
42,069
56,863
Cash was applied to:
Current Liabilities
Goods and Services Tax
1,401
836
84
1,239
(132)
Finance lease liabilities
11
811
-
-
811
-
Payments to employees
222,257
214,113
198,148
198,650
184,402
Interest paid
162
182
-
162
-
Payables
12
111,419
88,841
85,429
75,138
55,357
Other operating payments
172,332
161,470
160,933
141,562
128,150
Employee entitlements
13
8,664
9,969
8,865
7,890
8,379
396,152
376,601
359,165
341,613
312,420
Provisions
14
2,327
4,319
5,176
2,327
5,176
Net Cash Flows from Operating Activities
6
69,261
53,695
57,824
67,597
56,200
Total Current Liabilities
123,221
103,129
99,470
86,166
68,912
Cash Flows from Investing Activities
Working Capital
(42,900)
(61,871)
(9,927)
(44,097)
(12,049)
Cash was provided from:
Fixed assets
4,043
-
66
4,043
66
52 53
Non Current Assets
Capital contributions
7,474
-
2,434
7,474
2,434
Long term investments - unrestricted
7
1,573
1,440
1,440
2,573
2,440
Investments
-
8
22,239
-
22,239
Long term investments - restricted
7
15,061
15,786
15,788
14,855
15,136
11,517
8
24,739
11,517
24,739
Loans
328
(7,845)
275
340
(35)
Cash was applied to:
Fixed assets and work in progress
95,639
109,972
65,435
93,654
65,966
Fixed assets
10
752,231
720,909
650,179
750,032
649,363
Investments
(674)
4
30,796
117
30,479
Total Non Current Assets
769,193
730,290
667,682
767,800
666,904
94,965
109,976
96,231
93,771
96,445
Non Current Liabilities
Net Cash Flows from Investing Activities
(83,448)
(109,968)
(71,492)
(82,254)
(71,706)
Employee entitlements
13
14,878
14,218
14,148
14,878
14,148
Cash Flows from Financing Activities
Finance lease liabilities
11
2,284
-
-
2,284
-
Cash was provided from:
Term Loan
-
8,113
-
-
-
Total Non Current Liabilities
17,162
14,218
14,148
17,162
14,148
-
8,113
-
-
-
Net Assets
709,131
654,201
643,607
706,541
640,707
Cash was applied to:
Repayment of finance lease liabilities
645
-
-
645
-
Represented by:
645
-
-
645
-
General equity
627,207
620,734
607,892
624,617
604,992
Net Cash Flows from Financing Activities
(645)
8,113
-
(645)
-
Revaluation reserves
18
67,217
17,158
17,158
67,217
17,158
Net Increase/(Decrease) in Cash Held
(14,832)
(48,160)
(13,668)
(15,302)
(15,506)
Trust and special funds
19
14,707
16,309
18,557
14,707
18,557
Opening cash balance
63,924
63,924
77,188
40,413
55,678
Total Equity
709,131
654,201
643,607
706,541
640,707
Effects of exchange rate changes on cash
105
-
404
221
241
Closing Cash Balance
49,197
15,764
63,924
25,332
40,413
The Statement of Accounting Policies on pages 47 to 50 and the Notes to the Financial Statements on pages 54 to 64 form part of
This is shown in the Statement of Financial Position as follows:
and should be read in conjunction with these statements.
Cash and bank
4,426
4,226
4,220
4,044
2,718
Short term investments - unrestricted
44,483
11,794
57,709
21,000
35,700
Short term investments - restricted
288
(256)
1,995
288
1,995
49,197
15,764
63,924
25,332
40,413
The Statement of Accounting Policies on pages 47 to 50 and the Notes to the Financial Statements on pages 54 to 64 form part of
and should be read in conjunction with these statements.
STATEMENT OF FINANCIAL POSITION
STATEMENT OF CASH FLOWS

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF ACCOUNTING POLICIES (CONTINUED)
STATEMENT OF FINANCIAL PERFORMANCE
for the year ended 31 December 2002
for the year ended 31 December 2002
CONSOLIDATED
UNIVERSITY
Changes in Accounting Policy
2002
2002
2001
2002
2001
As at 1 January 2002, the University changed its accounting policy with respect to asset purchases. Asset purchases excluding
Actual
Budget
Actual
Actual
Actual
Note
$000
$000
$000
$000
$000
computer equipment and costing less than $5,000 have been expensed at the time of acquisition since 1 January 2002. In 2001
asset purchases less than $2,000 were expensed at the time of acquisition.
Operating revenue
Government grants
3
179,747
181,281
168,960
179,747
168,960
This change has been made to reflect a more appropriate level given the scale of the University’s operations. This change does
Tuition fees
116,050
105,852
96,059
116,050
96,059
not have a material effect in the current period.
Research contracts
97,365
87,396
86,962
41,418
40,623
Financial Reporting Standards, FRS-36 Accounting for Acquisitions Resulting in Combinations of Entities or Operations and
Service income
52,443
49,151
48,044
54,585
49,639
FRS-37 Consolidating Investments in Subsidiaries, came into effect for the year ended 31 December 2002, replacing SSAP-8
Donations
4,031
2,130
3,549
4,031
3,549
Accounting for Business Combinations. These standards have been applied for the first time in the current period.
Interest
6,754
3,231
7,549
5,493
6,159
The accounting treatment of subsidiaries under the new standards is substantially the same as was required under SSAP-8, so
Other income
4,031
3,586
4,923
4,093
5,534
there are no material differences in either the reported financial performance or financial position.
Total operating revenue
460,421
432,627
416,046
405,417
370,523
There have been no other changes in accounting policies since the date of the last audited financial statements.  The policies
Operating expenses
have been applied on bases consistent with the previous year.
People costs
2
248,794
237,635
229,104
224,775
209,928
Operating costs
2
155,870
141,558
140,186
125,169
113,490
Depreciation
2
44,900
42,840
36,744
44,306
36,502
Total operating expenses
449,564
422,033
406,034
394,250
359,920
Current operating surplus for the year before adjustments
10,857
10,594
10,012
11,167
10,603
50 51
Movements in Provisions
4
781
-
3
781
3
Current operating surplus for the year after adjustments
11,638
10,594
10,015
11,948
10,606
Non Operating Revenue*
126
-
2,434
126
2,434
Non Current Adjustments**
(4,617)
-
-
(4,617)
-
Net Surplus transferred to University Equity
7,147
10,594
12,449
7,457
13,040
* Non Operating Revenue is income received specifically as capital contributions toward the acquisition of assets and endowments
and is not available as a contribution towards operating costs.
**Non Current Adjustments are due to the write down of expenses capitalised in prior years.
STATEMENT OF MOVEMENTS IN EQUITY
for the year ended 31 December 2002
CONSOLIDATED
UNIVERSITY
2002
2002
2001
2002
2001
Actual
Budget
Actual
Actual
Actual
Note
$000
$000
$000
$000
$000
Equity at start of the year
643,607
643,607
626,678
640,707
623,187
Transferred from Statement of Financial Performance
7,147
10,594
12,449
7,457
13,040
Increase in revaluation reserve
18
51,029
-
4,480
51,029
4,480
Contribution from the Crown***
7,348
-
-
7,348
-
Total recognised revenue and expenses
65,524
10,594
16,929
65,834
17,520
Equity at end of the year
709,131
654,201
643,607
706,541
640,707
***Contribution from the Crown represents a capital injection of $2.5 million from the Tertiary Education Strategic Change Fund
and Centre of Research Excellence capital funds payment of $4.8 million.
The Statement of Accounting Policies on pages 47 to 50 and the Notes to the Financial Statements on pages 54 to 64 form part of
and should be read in conjunction with these statements.
STATEMENT OF FINANCIAL PERFORMANCE
STATEMENT OF MOVEMENTS IN EQUITY

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF ACCOUNTING POLICIES (CONTINUED)
STATEMENT OF FINANCIAL PERFORMANCE
for the year ended 31 December 2002
for the year ended 31 December 2002
CONSOLIDATED
UNIVERSITY
Changes in Accounting Policy
2002
2002
2001
2002
2001
As at 1 January 2002, the University changed its accounting policy with respect to asset purchases. Asset purchases excluding
Actual
Budget
Actual
Actual
Actual
Note
$000
$000
$000
$000
$000
computer equipment and costing less than $5,000 have been expensed at the time of acquisition since 1 January 2002. In 2001
asset purchases less than $2,000 were expensed at the time of acquisition.
Operating revenue
Government grants
3
179,747
181,281
168,960
179,747
168,960
This change has been made to reflect a more appropriate level given the scale of the University’s operations. This change does
Tuition fees
116,050
105,852
96,059
116,050
96,059
not have a material effect in the current period.
Research contracts
97,365
87,396
86,962
41,418
40,623
Financial Reporting Standards, FRS-36 Accounting for Acquisitions Resulting in Combinations of Entities or Operations and
Service income
52,443
49,151
48,044
54,585
49,639
FRS-37 Consolidating Investments in Subsidiaries, came into effect for the year ended 31 December 2002, replacing SSAP-8
Donations
4,031
2,130
3,549
4,031
3,549
Accounting for Business Combinations. These standards have been applied for the first time in the current period.
Interest
6,754
3,231
7,549
5,493
6,159
The accounting treatment of subsidiaries under the new standards is substantially the same as was required under SSAP-8, so
Other income
4,031
3,586
4,923
4,093
5,534
there are no material differences in either the reported financial performance or financial position.
Total operating revenue
460,421
432,627
416,046
405,417
370,523
There have been no other changes in accounting policies since the date of the last audited financial statements.  The policies
Operating expenses
have been applied on bases consistent with the previous year.
People costs
2
248,794
237,635
229,104
224,775
209,928
Operating costs
2
155,870
141,558
140,186
125,169
113,490
Depreciation
2
44,900
42,840
36,744
44,306
36,502
Total operating expenses
449,564
422,033
406,034
394,250
359,920
Current operating surplus for the year before adjustments
10,857
10,594
10,012
11,167
10,603
50 51
Movements in Provisions
4
781
-
3
781
3
Current operating surplus for the year after adjustments
11,638
10,594
10,015
11,948
10,606
Non Operating Revenue*
126
-
2,434
126
2,434
Non Current Adjustments**
(4,617)
-
-
(4,617)
-
Net Surplus transferred to University Equity
7,147
10,594
12,449
7,457
13,040
* Non Operating Revenue is income received specifically as capital contributions toward the acquisition of assets and endowments
and is not available as a contribution towards operating costs.
**Non Current Adjustments are due to the write down of expenses capitalised in prior years.
STATEMENT OF MOVEMENTS IN EQUITY
for the year ended 31 December 2002
CONSOLIDATED
UNIVERSITY
2002
2002
2001
2002
2001
Actual
Budget
Actual
Actual
Actual
Note
$000
$000
$000
$000
$000
Equity at start of the year
643,607
643,607
626,678
640,707
623,187
Transferred from Statement of Financial Performance
7,147
10,594
12,449
7,457
13,040
Increase in revaluation reserve
18
51,029
-
4,480
51,029
4,480
Contribution from the Crown***
7,348
-
-
7,348
-
Total recognised revenue and expenses
65,524
10,594
16,929
65,834
17,520
Equity at end of the year
709,131
654,201
643,607
706,541
640,707
***Contribution from the Crown represents a capital injection of $2.5 million from the Tertiary Education Strategic Change Fund
and Centre of Research Excellence capital funds payment of $4.8 million.
The Statement of Accounting Policies on pages 47 to 50 and the Notes to the Financial Statements on pages 54 to 64 form part of
and should be read in conjunction with these statements.
STATEMENT OF FINANCIAL PERFORMANCE
STATEMENT OF MOVEMENTS IN EQUITY

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
STATEMENT OF FINANCIAL POSITION
STATEMENT OF CASH FLOWS
as at 31 December 2002
for the year ended 31 December 2002
CONSOLIDATED
UNIVERSITY
CONSOLIDATED
UNIVERSITY
2002
2002
2001
2002
2001
2002
2002
2001
2002
2001
Actual
Budget
Actual
Actual
Actual
Actual
Budget
Actual
Actual
Actual
Note
$000
$000
$000
$000
$000
Note
$000
$000
$000
$000
$000
Cash Flows from Operating Activities
Current Assets
Cash was provided from:
Cash and bank
7
4,426
4,226
4,220
4,044
2,718
Government grants
183,072
181,281
165,240
183,072
165,240
Short term investments - unrestricted
7
44,483
11,794
57,709
21,000
35,700
Tuition fees
122,797
108,481
97,932
122,797
97,932
Short term investments - restricted
7
288
(256)
1,995
288
1,995
Dividends received
49
-
38
199
203
Receivables and prepayments
8
22,095
20,507
18,809
14,237
13,736
Interest received
6,968
3,429
7,861
5,707
6,472
Inventories
9
9,029
4,987
6,810
2,500
2,714
Other operating receipts
152,527
137,105
145,918
97,435
98,773
465,413
430,296
416,989
409,210
368,620
Total Current Assets
80,321
41,258
89,543
42,069
56,863
Cash was applied to:
Current Liabilities
Goods and Services Tax
1,401
836
84
1,239
(132)
Finance lease liabilities
11
811
-
-
811
-
Payments to employees
222,257
214,113
198,148
198,650
184,402
Interest paid
162
182
-
162
-
Payables
12
111,419
88,841
85,429
75,138
55,357
Other operating payments
172,332
161,470
160,933
141,562
128,150
Employee entitlements
13
8,664
9,969
8,865
7,890
8,379
396,152
376,601
359,165
341,613
312,420
Provisions
14
2,327
4,319
5,176
2,327
5,176
Net Cash Flows from Operating Activities
6
69,261
53,695
57,824
67,597
56,200
Total Current Liabilities
123,221
103,129
99,470
86,166
68,912
Cash Flows from Investing Activities
Working Capital
(42,900)
(61,871)
(9,927)
(44,097)
(12,049)
Cash was provided from:
Fixed assets
4,043
-
66
4,043
66
52 53
Non Current Assets
Capital contributions
7,474
-
2,434
7,474
2,434
Long term investments - unrestricted
7
1,573
1,440
1,440
2,573
2,440
Investments
-
8
22,239
-
22,239
Long term investments - restricted
7
15,061
15,786
15,788
14,855
15,136
11,517
8
24,739
11,517
24,739
Loans
328
(7,845)
275
340
(35)
Cash was applied to:
Fixed assets and work in progress
95,639
109,972
65,435
93,654
65,966
Fixed assets
10
752,231
720,909
650,179
750,032
649,363
Investments
(674)
4
30,796
117
30,479
Total Non Current Assets
769,193
730,290
667,682
767,800
666,904
94,965
109,976
96,231
93,771
96,445
Non Current Liabilities
Net Cash Flows from Investing Activities
(83,448)
(109,968)
(71,492)
(82,254)
(71,706)
Employee entitlements
13
14,878
14,218
14,148
14,878
14,148
Cash Flows from Financing Activities
Finance lease liabilities
11
2,284
-
-
2,284
-
Cash was provided from:
Term Loan
-
8,113
-
-
-
Total Non Current Liabilities
17,162
14,218
14,148
17,162
14,148
-
8,113
-
-
-
Net Assets
709,131
654,201
643,607
706,541
640,707
Cash was applied to:
Repayment of finance lease liabilities
645
-
-
645
-
Represented by:
645
-
-
645
-
General equity
627,207
620,734
607,892
624,617
604,992
Net Cash Flows from Financing Activities
(645)
8,113
-
(645)
-
Revaluation reserves
18
67,217
17,158
17,158
67,217
17,158
Net Increase/(Decrease) in Cash Held
(14,832)
(48,160)
(13,668)
(15,302)
(15,506)
Trust and special funds
19
14,707
16,309
18,557
14,707
18,557
Opening cash balance
63,924
63,924
77,188
40,413
55,678
Total Equity
709,131
654,201
643,607
706,541
640,707
Effects of exchange rate changes on cash
105
-
404
221
241
Closing Cash Balance
49,197
15,764
63,924
25,332
40,413
The Statement of Accounting Policies on pages 47 to 50 and the Notes to the Financial Statements on pages 54 to 64 form part of
This is shown in the Statement of Financial Position as follows:
and should be read in conjunction with these statements.
Cash and bank
4,426
4,226
4,220
4,044
2,718
Short term investments - unrestricted
44,483
11,794
57,709
21,000
35,700
Short term investments - restricted
288
(256)
1,995
288
1,995
49,197
15,764
63,924
25,332
40,413
The Statement of Accounting Policies on pages 47 to 50 and the Notes to the Financial Statements on pages 54 to 64 form part of
and should be read in conjunction with these statements.
STATEMENT OF FINANCIAL POSITION
STATEMENT OF CASH FLOWS

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
NOTES TO THE  FINANCIAL  STATEMENTS
for the year ended 31 December 2002
1 Comparatives
3 Government Grants
The 2001 financial statement figures have been restated to conform with the presentation of financial statements adopted in
UNIVERSITY/CONSOLIDATED
2002
2002
2001
this report.
Actual
Budget
Actual
$000
$000
$000
While the underlying transactions have not been altered the comparatives have been restated to enable valid comparisons to be
made with the current year.
EFTS Grant
172,278
176,776
164,583
Clinical Training Agency
1,935
2,018
1,898
Student stipends
1,771
1,944
1,762
2 Operating Expenses
Students with disabilities
3,763
543
717
CONSOLIDATED
UNIVERSITY
Total Government Grants
179,747
181,281
168,960
2002
2002
2001
2002
2001
Actual
Budget
Actual
Actual
Actual
$000
$000
$000
$000
$000
4 Movements in Provisions
People Costs
(Increase)/Decrease Restructuring Provision
519
-
-
Academic salaries
129,418
125,638
119,498
120,668
112,135
(Increase)/Decrease employee entitlement provisions
262
-
3
General salaries
89,621
87,773
82,748
74,619
71,092
Other salary related expenses
29,755
24,224
26,858
29,488
26,701
Total Movements in Provisions
781
-
3
248,794
237,635
229,104
224,775
209,928
Operating Costs
5 Cost of Service Statements
Amortisation of intangible assets
-
6
19
-
-
54 55
Fees paid to auditors
- external audit
164
139
110
143
95
The University reports its cost of services on the basis of significant activities. The University has analysed the wide variety of
- other services
276
-
70
273
32
activities performed throughout the organisation into the following significant activities:
Bad debts written off
190
50
216
126
93
- Teaching and Research
Change in provision for doubtful debts
1,336
-
(6)
660
103
- Research Programmes
Council members and Directors fees
9
-
7
9
7
- Academic Services
Interest expense
11
182
-
11
-
- Institutional Services
Interest on finance lease
151
-
-
151
-
The Cost of Service Summary on page 65 reconciles costs and income from significant activities to total revenue and total expenses
Loss on disposal of fixed assets
1,488
-
1,580
1,488
1,580
as disclosed in the Statement of Financial Performance.
Net foreign currency loss/(gain)
(105)
-
(404)
(221)
(241)
Prizes and scholarships
9,810
9,481
7,760
9,654
7,629
Operating lease cost
- properties
6,336
6,224
5,598
6,336
5,598
- equipment
10,321
11,343
9,120
10,290
8,628
Other operating expenses
125,883
114,133
116,116
96,249
89,966
155,870
141,558
140,186
125,169
113,490
Depreciation
Buildings
19,600
17,354
16,969
19,600
16,969
Library collection
8,220
8,368
7,989
8,220
7,989
Equipment
16,519
17,118
11,786
15,925
11,544
Leased equipment
561
-
-
561
-
44,900
42,840
36,744
44,306
36,502
Total Operating Expenses
449,564
422,033
406,034
394,250
359,920
NOTES TO THE FINANCIAL STATEMENTS

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
for the year ended 31 December 2002
6 Reconciliation of Operating Surplus and Net Cash Flows from Operating Activities
7 Financial Instruments
Consolidated
Weighted
Mature
Mature
2002
2002
2001
CONSOLIDATED
UNIVERSITY
Average
within
in over
Book
Fair
Book
2002
2002
2001
2002
2001
Interest
one year
one year
Value
Value
Value
Actual
Budget
Actual
Actual
Actual
Rate %
$000
$000
$000
$000
$000
$000
$000
$000
$000
$000
Cash and bank
2.45
4,426
-
4,426
4,426
4,220
Operating surplus for the year after adjustments
11,638
10,594
10,015
11,948
10,606
Bank deposits and bills
5.66
44,483
-
44,483
44,483
57,709
Add/(less) non cash items
Share portfolio**
-
-
177
177
177
550
Depreciation
44,900
42,840
36,744
44,306
36,502
Other investments
-
-
1,602
1,602
1,602
1,542
Amortisation of research and development costs
-
6
19
-
-
Restricted Funds-Externally Managed Equities Portfolio
-
-
5,492
5,492
5,501
5,256
Donated assets
(1,787)
(85)
(1,975)
(1,787)
(1,975)
Restricted Funds-Externally Managed Bonds and Cash Portfolio
6.01
288
9,363
9,651
9,992
11,875
Foreign exchange fluctuation
(105)
-
(404)
(221)
(241)
Total Financial Instruments - Consolidated
49,197
16,634
65,831
66,181
81,152
43,008
42,761
34,384
42,298
34,286
Add/(less) movements in working capital
University
Weighted
Mature
Mature
2002
2002
2001
Average
within
in over
Book
Fair
Book
(Increase)/Decrease in receivables
(3,286)
(1,698)
1,577
(501)
2,520
Interest
one year
one year
Value
Value
Value
Rate %
$000
$000
$000
$000
$000
(Increase)/Decrease in inventory
(2,219)
1,823
(631)
214
36
Increase/(Decrease) in payables
18,103
(959)
9,647
11,909
6,077
Cash and bank
2.05
4,044
-
4,044
4,044
2,718
Increase/(Decrease) in employee entitlements
(201)
1,104
1,571
(489)
1,414
Bank deposits and bills
8.52
21,000
-
21,000
21,000
35,700
12,397
270
12,164
11,133
10,047
Shares in subsidiaries
-
-
1,000
1,000
1,000
1,000
Less items classed as investing activity
Other investments
-
-
1,573
1,573
1,573
1,440
56 57
(Gain)/Loss on sale of fixed assets
1,488
-
1,580
1,488
1,580
Restricted Funds-Externally Managed Equities Portfolio
-
-
5,492
5,492
5,501
5,256
Restricted Funds-Externally Managed Bonds and Cash Portfolio
6.01
288
9,363
9,651
9,992
11,875
1,488
-
1,580
1,488
1,580
Operating expenditure relating to movements
Total Financial Instruments - University
25,332
17,428
42,760
43,110
57,989
in long term provisions
730
70
(319)
730
(319)
730
70
(319)
730
(319)
Disclosed in the Statement of Financial Position as:
CONSOLIDATED
UNIVERSITY
2002
2001
2002
2001
Net Cash Flows from Operating Activities
69,261
53,695
57,824
67,597
56,200
Actual
Actual
Actual
Actual
$000
$000
$000
$000
Cash and bank
4,426
4,220
4,044
2,718
Short term investments - unrestricted
44,483
57,709
21,000
35,700
Short term investments - restricted
288
1,995
288
1,995
Long term investments - unrestricted
1,573
1,440
2,573
2,440
Long term investments - restricted
15,061
15,788
14,855
15,136
Total Financial Instruments
65,831
81,152
42,760
57,989
Restricted investments are held for purposes specified by trust and special funds. They are not available for general University use.
** Included in the share portfolio of Auckland UniServices Ltd is a 10 per cent holding in Life FX. Auckland UniServices Ltd
licenced intellectual property to Life FX relating to anatomical modelling. Life FX Networks Inc used to be listed on the US Nasdaq
exchange. Life FX is now a private company, and with no liquid market for the shares, the year end value of the investment was
written down to nil.

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
for the year ended 31 December 2002
7 Financial Instruments (continued)
8 Receivables & Prepayments
Fair values of Financial Assets and Liabilities
CONSOLIDATED
UNIVERSITY
The following assumptions have been used to estimate the fair value of each class of financial instrument.
2002
2001
2002
2001
Actual
Actual
Actual
Actual
$000
$000
$000
$000
Bank deposits and Bank bills
The carrying amounts of these balances are equivalent to their fair value because of their short maturity.
Trade receivables
19,420
14,776
10,774
9,604
Less provision for doubtful debts
(2,982)
(1,646)
(2,184)
(1,546)
Bank bonds, Commercial paper, NZ Government securities, SOE stock and Local Authority stock
Net Receivables
16,438
13,130
8,590
8,058
The fair value of these investments is based on current market interest rates for investments of similar terms or maturities.
Accrued interest
255
468
255
468
Prepayments
5,402
5,211
5,392
5,210
Share portfolio
Shares are held at cost.
Total Receivables and Prepayments
22,095
18,809
14,237
13,736
Independently Managed Trust Fund Investments
The fair value of these investments is based on current market interest rates and share prices as advised by the independent
9 Inventories
investment managers.
CONSOLIDATED
UNIVERSITY
Interest Rate Risk
2002
2001
2002
2001
Actual
Actual
Actual
Actual
Interest rate risk is the risk that the value of a financial instrument will fluctuate due to changes in market interest rates. The value
$000
$000
$000
$000
of the above securities is affected by changes in interest rates.
Raw materials
23
351
23
351
Credit Risk
58 59
Research contracts in progress
8,420
5,934
1,891
1,838
Credit risk is the risk that one party to a financial instrument will fail to discharge an obligation and cause the other party to incur
Other work in progress
4
2
4
2
a financial loss.
Finished goods
582
523
582
523
The University places investments with institutions which have a high credit rating. It also reduces its exposure to risk by limiting
Total Inventories
9,029
6,810
2,500
2,714
the amount that can be invested in any one institution. The University believes that these policies reduce the risk of any loss which
could arise from its investment activities.
There is no concentration of credit risk in Receivables.
Currency Risk
Currency risk is the risk that the value of a financial instrument will fluctuate due to changes in foreign exchange rates. The
University has no significant exposure to currency risk.
Foreign currency balances are held to meet future payments contracted in these currencies.
The University uses forward foreign exchange contracts to manage exposure to foreign exchange risk from offshore transactions.
CONSOLIDATED
UNIVERSITY
2002
2001
2002
2001
Actual
Actual
Actual
Actual
$000
$000
$000
$000
Forward foreign exchange contracts
1,671
-
1,331
-
Shares in Subsidiaries 
Name
Interest
Principal activities
Balance date
Auckland UniServices Ltd
100%
Commercial research
31 December
Uni-Accommodation Ltd
100%
Student accommodation
31 December

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
for the year ended 31 December 2002
10 Property, Plant and Equipment
11 Finance Lease Liabilities
CONSOLIDATED/UNIVERSITY
CONSOLIDATED
UNIVERSITY
2002
2001
2002
2001
2002
2001
Actual
Actual
Actual
Actual
Actual
Actual
$000
$000
$000
$000
$000
$000
Due within 1 year
811
-
Freehold land
- at cost/valuation
86,896
81,828
86,703
81,828
Due within 1 to 2 years
886
-
Net Book Value
86,896
81,828
86,703
81,828
Due within 2 to 5 years
1,398
-
Buildings
- at cost/valuation
435,694
425,028
435,327
424,512
Due in over 5 years
-
-
- accumulated depreciation
(17,343)
(47,380)
(17,256)
(47,353)
3,095
-
Net Book Value
418,351
377,648
418,071
377,159
Disclosed in Statement of Financial Position as:
Leasehold improvements
- at cost/valuation
14,411
7,395
13,463
6,936
Current Liabilities
811
-
- accumulated depreciation
(5,746)
(3,973)
(5,586)
(3,557)
Non Current Liabilities
2,284
-
Net Book Value
8,665
3,422
7,877
3,379
Total Finance Lease Liabilities
3,095
-
Library collection
- at cost
139,288
133,436
139,288
133,436
- accumulated depreciation
(42,211)
(35,374)
(42,211)
(35,374)
Net Book Value
97,077
98,062
97,077
98,062
12 Payables
Works of art
- at cost/valuation
8,850
4,148
8,850
4,148
CONSOLIDATED
UNIVERSITY
Net Book Value
8,850
4,148
8,850
4,148
2002
2001
2002
2001
60 61
Actual
Actual
Actual
Actual
Plant and equipment
- at cost
157,807
133,029
155,785
132,032
$000
$000
$000
$000
- accumulated depreciation
(92,033)
(81,265)
(90,949)
(80,552)
Trade payables
56,078
42,212
50,006
35,801
Net Book Value
65,774
51,764
64,836
51,480
Revenue received in advance
10,356
8,546
10,356
8,546
Leased plant and equipment
- at cost
3,740
-
3,740
-
Research contract obligations
44,428
33,991
14,323
10,402
- accumulated depreciation
(561)
-
(561)
-
Other payables
557
680
453
608
Net Book Value
3,179
-
3,179
-
Total Payables
111,419
85,429
75,138
55,357
Other fixed assets
- at cost
3,312
8,765
3,312
8,765
Net Book Value
3,312
8,765
3,312
8,765
13 Employee Entitlements
Capital work in progress
- at cost
60,127
24,542
60,127
24,542
CONSOLIDATED
UNIVERSITY
Net Book Value
60,127
24,542
60,127
24,542
2002
2001
2002
2001
Total Property, Plant and Equipment
- at cost/valuation
910,125
818,171
906,595
816,199
Actual
Actual
Actual
Actual
$000
$000
$000
$000
- accumulated depreciation
(157,894)
(167,992)
(156,563)
(166,836)
Net Book Value
752,231
650,179
750,032
649,363
Current Liabilities
Accumulated annual leave
7,043
6,369
6,269
5,883
Retirement allowance
1,393
2,269
1,393
2,269
All land and buildings occupied by the three campuses were revalued as at 1 January 2002.
Long service leave
228
227
228
227
Land and building revaluations were carried out by DTZ New Zealand Ltd, Registered Valuers.
Total Employee Entitlements - current
8,664
8,865
7,890
8,379
Works of art have been revalued by Peter Webb Galleries Ltd as at 31 December 2002.
Acquisitions since the date of revaluation are recorded at cost.
Non Current Liabilities
Retirement allowance
13,920
13,388
13,920
13,388
Crown land with a value of $44,998,558 is included in Property, Plant and Equipment.
Long service leave
958
760
958
760
Total Employee Entitlements - non current
14,878
14,148
14,878
14,148

---

THE UNIVERSITY OF AUCKLAND
Annual Report 2002
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
for the year ended 31 December 2002
14 Provisions
16 Operating Commitments
CONSOLIDATED/UNIVERSITY
CONSOLIDATED/UNIVERSITY
2002
2001
Restructuring
Vice-Chancellor’s
Flexible Learning
Emerging
Total
Actual
Actual
Provision
University
Initiatives
Research Areas
$000
$000
Development Fund
Fund
Support Fund
$000
$000
$000
$000
$000
Commitments in Respect of Operating Leases
Balance 1 January 2002
2,508
1,428
305
935
5,176
Due within 1 year
16,548
11,475
Increase/(Decrease) to provision
(519)
1,973
(68)
-
1,386
Due within 1 to 2 years
12,046
9,624
Amounts incurred against provision
(1,974)
(1,738)
(158)
(365)
(4,235)
Due within 2 to 5 years
13,401
14,277
Due in over 5 years
5,087
3,699
Balance 31 December 2002
15
1,663
79
570
2,327
Total Operating Lease Commitments
47,082
39,075
Restructuring provision
Lease Commitments by type
These amounts represent committed costs in respect of voluntary severance, redundancy, and other costs associated with
Properties
30,090
27,707
restructuring plans. These plans have been incorporated into budgets by Council and promulgated within the University
Equipment
16,992
11,368
community. These costs are expected to be incurred in the next financial year.
Total Operating Lease Commitments by Type
47,082
39,075
Vice-Chancellor’s University Development Fund
The fund is to enable the Vice-Chancellor to meet agreed strategic development opportunities that arise during the course of the
year and which require immediate funding. These costs are all available to be incurred in the next financial year.
17 Capital Commitments
CONSOLIDATED/UNIVERSITY
62 63
Flexible Learning Initiatives Fund
2002
2001
The fund is to promote the University taking a leadership position in the creation and use of flexible learning strategies. These
Actual
Actual
$000
$000
costs are expected to be incurred in the next financial year.
Property Services projects
38,220
17,302
Emerging Research Areas Support Fund
Other capital expenditure
2,680
3,937
The fund is to provide seed funding for research activities in new areas, in existing and new research centres established according
Total Capital Commitments
40,900
21,239
to University of Auckland policy.
These costs are all available to be incurred in the next financial year.
18 Revaluation Reserves
CONSOLIDATED/UNIVERSITY
15 Contingent liabilities
2002
2001
Actual
Actual
CONSOLIDATED
UNIVERSITY
$000
$000
2002
2001
2002
2001
Actual
Actual
Actual
Actual
Land and buildings
$000
$000
$000
$000
Opening balance
17,158
12,523
Personal grievance claims
-
50
-
50
Transferred to retained surplus on sale of revalued assets
(970)
155
Total Contingent Liabilities
-
50
-
50
Net revaluation of land and buildings
46,513
4,480
Closing Balance Land and Buildings
62,701
17,158
No contingent liabilities have been identified as at 31 December 2002.
Works of Art
Opening balance
-
-
Net revaluation of works of art
4,516
-
Closing Balance Works of Art
4,516
-
Total Closing Balance 
67,217
17,158

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
NOTES TO THE FINANCIAL STATEMENTS (CONTINUED)
COST OF SERVICE SUMMARY
for the year ended 31 December 2002
for the year ended 31 December 2002
CONSOLIDATED
UNIVERSITY
19 Trust and Special Funds
2002
2002
2001
2002
2001
CONSOLIDATED/UNIVERSITY
Actual
Budget
Actual
Actual
Actual
$000
$000
$000
$000
$000
Special
Endowment
Scholarships
Total
Funds
Funds
Cost of Significant Activities
$000
$000
$000
$000
Teaching and research
242,535
240,414
227,767
242,535
227,815
Balance 1 January 2002
2,245
9,772
6,540
18,557
Research programmes
102,828
93,129
88,251
50,906
44,708
Income
4,836
2,149
719
7,704
Academic Services
91,944
87,035
81,697
88,552
79,078
Less expenditure
(5,074)
(6,260)
(220)
(11,554)
Institutional Services
86,781
69,228
70,545
86,781
70,545
Net surplus
(238)
(4,111)
499
(3,850)
Total cost of significant activities
524,088
489,806
468,260
468,774
422,146
Balance 31 December 2002
2,007
5,661
7,039
14,707
Less internal transactions
(74,524)
(67,773)
(62,226)
(74,524)
(62,226)
Total External Costs
449,564
422,033
406,034
394,250
359,920
The University restricted funds disclosed in Note 7 represent the investment of Endowment Funds of $5.661 million and Scholarships
of $7.039 million, plus $2.443 million of Endowment and Scholarship Funds related to 2003 which are included in payables.
Revenue From Significant Activities
Teaching and research
322,952
311,079
300,904
323,791
304,726
Research programmes
111,714
105,015
91,535
58,939
44,109
20 Related Parties
Academic Services
28,839
25,948
27,336
25,621
24,613
The University enters into transactions with government departments and Crown agencies. These are not considered to be related
Institutional Services
71,440
58,358
58,497
71,590
59,301
party transactions.
Total revenue from significant activities
534,945
500,400
478,272
479,941
432,749
64 65
Auckland UniServices Limited
Less internal transactions
(74,524)
(67,773)
(62,226)
(74,524)
(62,226)
The University pays some of the salaries of Auckland UniServices Ltd administrative staff and other administration costs which it
recharges to the company. The University also charges Auckland UniServices Ltd for costs incurred by Departments and student
Total External Revenue
460,421
432,627
416,046
405,417
370,523
scholarship costs against the company’s projects.
Operating Surplus From Significant Activities
10,857
10,594
10,012
11,167
10,603
The value of transactions charged by the University to Auckland UniServices Ltd during 2002 was $9.2 million (2001: $7.7 million).
Auckland UniServices Ltd pays some salary costs and sundry expenses on behalf of the University and recharges these to the University.
Internal transactions include occupancy charges, internal allocations of research funding, internal tuition fees and services
The value of transactions charged by Auckland UniServices Ltd to the University during 2002 was $1.9 million (2001: $1.4 million).
provided within the University.
Balances outstanding at 31 December 2002 are :
1. Sundry Debtors $557,969 (2001: $63,656).
2. Current Account $612,876 (2001: $355,152) repayable within the next twelve months.
3. Sundry Creditors $250,115 (2001: $151,401).
Sundry debtors relate to amounts owing to University Departments for scholarship charges and sundry expenses paid on behalf of
Auckland UniServices Ltd.
Sundry creditors relate to amounts owed by University Departments for salaries, travel expenses and other charges paid on their
behalf by Auckland UniServices Ltd.
Uni-Accommodation Limited
Uni-Accommodation Ltd is a wholly owned subsidiary of The University of Auckland, which leases student accommodation from
investors in the Railway Campus and rents rooms to students. The University provides value added services including meal plans,
telephone and laundry services to the students on its own account. The University provides management and accounting services
to Uni-Accommodation Ltd free of charge, and receives and pays money on behalf of Uni-Accommodation Ltd.
The balance owed by the University to Uni-Accommodation Ltd at 31 December 2002 is $12,346 (2001: $310,577).
COST OF SERVICE SUMMARY

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THE UNIVERSITY OF AUCKLAND
Annual Report 2002
REPORT OF THE AUDITOR-GENERAL
To the readers of the Financial Statements of The University of Auckland and Group
For the year ended 31 December 2002
We have audited the financial statements on pages 24 to 43 and 47 to 65. The financial statements provide information about the
past financial and service performance and financial position of The University of Auckland and group as at 31 December 2002.
This information is stated in accordance with the accounting policies set out on pages 47 to 50.
Responsibilities of the Council
The Public Finance Act 1989 requires the Council to prepare financial statements in accordance with generally accepted
accounting practice in New Zealand and fairly reflect the financial position of The University of Auckland and group as at 31
December 2002, the results of operations and cash flows and the service performance achievements for the year ended on that
date.
Auditor’s Responsibilities
Section 15 of the Public Audit Act 2001 and section 43(1) of the Public Finance Act 1989 require the Auditor-General to audit
the financial statements presented by the Council. It is the responsibility of the Auditor-General to express an independent
opinion on the financial statements and report that opinion to you.
The Auditor-General has appointed Ian Russell, of Deloitte Touche Tohmatsu, to undertake the audit.
Basis of Opinion
An audit includes examining, on a test basis, evidence relevant to the amounts and disclosures in the financial statements. It also
includes assessing:
•
the significant estimates and judgements made by the Council in the preparation of the financial statements; and
66
•
whether the accounting policies are appropriate to The University of Auckland and group’s circumstances, consistently
applied and adequately disclosed.
We conducted our audit in accordance with the Auditing Standards published by the Auditor-General, which incorporate the
Auditing Standards issued by the Institute of Chartered Accountants of New Zealand. We planned and performed our audit so as
to obtain all the information and explanations which we considered necessary in order to provide us with sufficient evidence to
give reasonable assurance that the financial statements are free from material misstatements, whether caused by fraud or error.
In forming our opinion, we also evaluated the overall adequacy of the presentation of information in the financial statements.
Other than in our capacity as auditor acting on behalf of the Auditor-General, we have no relationship with or interests in The
University of Auckland or any of its subsidiaries.
Unqualified Opinion
We have obtained all the information and explanations we have required.
In our opinion the financial statements of The University of Auckland and group on pages 24 to 43 and 47 to 65:
•
comply with generally accepted accounting practice in New Zealand; and
•
fairly reflect:
-
The University of Auckland and group’s financial position as at 31 December 2002;
-
the results of operations and cash flows for the year ended on that date; and
-
the service performance achievements in relation to the performance targets and other measures adopted for the year
ended on that date.
Our audit was completed on 17 March 2003 and our unqualified opinion is expressed as at that date.
Ian Russell
Deloitte Touche Tohmatsu
On behalf of the Auditor-General
Auckland, New Zealand
REPORT OF THE AUDITOR-GENERAL

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