KU Annual Report KU Annual Report 2018 | Page 4

ANNUAL REPORT 2018 YEAR IN REVIEW Chair and CEO’s Report “KU centres continue to be independently assessed as amongst the highest quality in the country.” KU 20 18 As we reflect on the second year of our three-year Strategic Plan ‘Creating, Thinking and Doing for Today and Tomorrow’, it is clear how embedded KU’s values and strategic objectives have become within the organisation. KU’s Board and Executive team continue to take a unified, values-based approach to leadership and management of the organisation, and our staff continue to demonstrate a strong commitment to the organisation’s purpose, and an ongoing focus on outcomes for children and sustainability for the future. This approach becomes particularly important in times of challenge, and when the organisation is faced with significant changes within the sector, as we were in 2018. The past 12 months have featured major shifts in funding, public policy, and regulation, some of which have impacted negatively on KU and the childcare market more broadly. The pending implementation of the Commonwealth Government’s new Child Care Package and Child Care Subsidy initially created uncertainty within the market, followed by a period of volatility as families began to reassess their childcare in light of the new arrangements. As some families chose to reduce days or not to enrol at all, KU saw a downturn in the viability of some long day care centres. Like many other providers, KU’s long day care services also experienced increased competition resulting from an oversupply of childcare centres in some markets. Achieving a better balance between demand and supply is critical to ensuring both the best outcomes for families and 2