1. Experience and Change – consumer perspectives on respite services and the NDIS National Respite and Community Care Conference 2014 Friday, 24th October 2014 Cain Beckett, Director PwC

2. Why am I here? I lead PwC’s disability assignments for Government’s and service providers nationally. Chair of the NSW Disability Council advising the Minister for Aging and Disability Services Started the Attitude Foundation with Graeme Innes AM just recently 10+ years as a board-member of Cerebral Palsy Alliance I am a customer! 2

3. A consumer view of the NDIS 1.What does the NDIS mean for your customers? 2.Perspectives on change and further ahead on the journey. 3.Questions 3

4. PwC4 What does the NDIS mean for your customers?

5. PwC NDIS: customer-led care under a national insurance model representing 1% of Australia’s GDP. 5 5

6. PwC … from “underfunded, unfair and fragmented systems” 6 9 systems $22b p.a. 430,000 people 140,000 staff 5 years 6

7. PwC7 Someone somewhere in Government no longer decides how many times a person with a disability can have a shower each week!

8. Consumer perspectives on the NDIS NDIS changes the way our market operates… 1.Not just specialist services and supports…we’re going mainstream! 2.Providers will not be automatically involved in the planning process 3.I may have expectations which conflict with the organisations views 4.I’ve got purchasing power and I can measure value 5.You now need to worry about me rather than Government 6.The people I interact with are your sales people…good people skills are gold, respect for me as a person. 7.I choose what my life looks like and I only buy what I need. 8.I don’t care about your costs, or whether you make a profit 8

9. Its about the person so NDIS doesn’t call it respite 9

10. PwC10 Perspectives on NDIS change

11. In an attractive market, there will be new entrants Approximate breakdown of likely NDIS spending in 2017-18 Source: Table 16.20 2011 Productivity Commission report $1b cv Est. annual spend on aids, appliances and home modification …roughly the same as the market for tea and coffee. 11

12. The NDIS policy approach is the cheapest option Existing GDP linked ST2 NDIS Source: PwC 2011, Disability Expectations : http://www.pwc.com.au/industry/government/assets/disability-in-australia.pdf 12 3. For governments the “do nothing option” is somewhere between $9bn - $30bn more costly.

13. The potential benefits of the NDIS are worth more than $45 billion per annum to Australia. Welfare benefit : $7.8billion For people with a disability and their carers. This is a conservative estimate likely to be understated. (e.g. early intervention). Employment benefit: $32 billion 1 If employment ratios were to be at least as good as the average OECD benchmark, employment of people with disabilities would rise by 100 000 by 2050 and by 220,000 on other Commission estimates. Fiscal benefits: $2.7 billion 2 From changes to DSP participation which would materialise slowly. Other benefits : including to reduced cost of government services, tax efficiencies, any efficiency gains in the service sector … which only partially captures the potential benefit to the 4.5 million people with disabilities who hope that the NDIS is part of Australia’s continuing journey toward a society which fully includes us as citizens. Note 1: a 1 % increase in GDP in constant price terms Note 2: (constant price) annuity over the next 90 years. 13

14. Outside the trial sites the wave hasn’t hit yet, but is only 12-18 months away.. 14

15. For the leaders, the NDIS also brings significant opportunity Lots of possibilities but its only just heating up…  Organisations limited only by their capability to delight customers.  No longer have to ask permission to do something innovative.  Doesn’t have to be “non-profit” which is too often also “non- investment”. NB: Doesn’t mean its not mission-based. Trends PwC is seeing now: 1.New focus on shared services and technology enablement 2.Large for profit organisations taking a new look at the market 3.NGO + Private partnerships 4.The need for a service menu, not driven by government. 5.Mergers and new business operating models 15

16. Contact © 2013 PricewaterhouseCoopers. All rights reserved. PwC refers to the Australian member firm, and may sometimes refer to the PwC network. Each member firm is a separate legal entity. Please see www.pwc.com/structure for further details. Liability limited by a scheme approved under Professional Standards Legislation This content is for general information purposes only, and should not be used as a substitute for consultation with professional advisors. Cain Beckett, Director cain.beckett@au.pwc.com phone: +61 (2) 8266 1854

17. PwC17 Questions?