Survive & Thrive Series Part 2 – Planning for NDIS 2.0 success will be dependent on your approach to change

29 April 2025

Leaders don’t always have time but 9 minutes here could shape the way you lead through change.

The second half of 2025 will see a possible change in government, a long-awaited response to the NDIS Review and the publication of several Australian National Audit Office audits.

Providers need to evaluate whether they have strong enough foundations to allow them to navigate:

• shifting participant needs
• regulatory changes
• the expansion of liability, criminal charges and civil penalties for individuals and
• the increasing demand for personalised, high-quality supports

Understanding your natural tendency to change will directly affect how your organisation needs to approach NDIS 2.0. 

In today’s fast evolving world change isn’t just inevitable, it’s constant. Clinging to “the way we’ve always done things” is no longer enough to thrive. As needs, expectations, and regulations shift, doing more of the same will only yield the same, or worse results. Now is the time to take a closer look at how you operate and ask, “could this be done differently?”

Innovation doesn’t have to mean a complete overhaul, it starts with small, intentional steps toward more efficient, person-centred practices”.

It is working smarter, not harder because success in this space isn’t a given.  Some are doing well while others are closing their doors.

What the formal benchmarking studies found

Don’t just take my word for it that service providers are going to be forced to change, the data speaks for itself:

Below are extracts from the latest survey results from the NDS State of the Disability Sector Report – Financial Year 2023-24

Data sources: NDS State of the Disability Sector Report 2023-24 and Ability Roundtable FY24 Insights Paper – What’s happening to the Group and Centre Based Supports Market? 

What our data dive is suggesting

We have been conducting our own independent analysis.

Our findings go deeper than self-reported data by organisations. We have dived into employee reviews on Glassdoor, Indeed, Seek and Google service reviews. We have included the number of CEO’s an organisation has had and the year the organisation was founded. We have looked at for profit providers compared to registered charities. We also wanted to look at registered verses non-registered, but so far 98% of our data is coming from registered providers.

You can be a part of our FREE and anonymous data collection and help inform the narrative being presented to government.

Click on this link to participate https://www.surveymonkey.com/r/NDISMarketstewardshipbenchmark

Organisation Strategy, Improvement and Sustainability

We have looked at 80 service providers (which covers approximately 6% of the scheme’s spending), plus an additional 60 organisations that have entered liquidation this quarter. The smallest organisation in our sample had revenue of approx. $500,000 last FY.

What do we currently know? Not much…… there is currently very little delineation between the organisations making large profits verses the ones losing significant money.

Our review of NDIS providers over the past 3 financial years paints a sobering picture that may challenge some firmly rooted beliefs.

• 22 providers turned a consistent profit—$133 million collectively, or 67% of their revenue.
• 14 providers recorded consistent losses—$63 million in total, or 25% of their revenue.
• 24 providers in our dataset made over $50 million (revenue) each last FY. As a collective, this group made $47 million in profit. But the profit was limited to only 11 providers, while 13 made a loss.

So, it appears some NDIS service providers have cracked the financial mystery and are making significant money. Others seem to be haemorrhaging it faster than the industry will be able to absorb.

But here’s the real lightning bolt: when we analysed operational data and workforce feedback, the same issues surfaced, regardless of whether a provider was in the black or in the red.

• Frontline workers feel disconnected from leadership and unclear about the organisation’s direction.
• Many providers have shifted focus from purpose to paperwork—from people to profit.
• Bullying and burnout are on the rise, with resource limitations and/or poor planning negatively impacting on staff and participants.

The lesson is clear: profit doesn’t equal preparedness or productivity. Providers making money may simply be weathering the storm a little longer—but the cracks are already there.

For those operating at a loss are already feeling the impact, but the root issues aren’t unique to them—they’re sector-wide.

“Change comes like a storm—sudden, loud, and beyond your control. You don’t build your fortifications in the middle of the storm; you build them before. What you’ve prepared is what will hold strong and carry you through.”

Large oak trees don’t fall without reason. It’s a symptom of a foundation already under strain. What we’re seeing in the NDIS sector are more than just cracks; they’re signs that the very base of service delivery is shifting.

The storm is coming.

Our analysis isn’t just reviewing financial models, its revealing cultures, leadership, and values that interact with the most vulnerable people in our communities.

It’s time to stop hoping things will hold and start reinforcing the structures that matter most: trust, clarity, purpose, and sustainable systems.

Because in the NDIS resilience isn’t a budget line. It’s built in your people.

So, if your 2025/26 Strategic Plan is focused solely on policy updates or resource reshuffling, you are likely to fall.

This moment calls for more than operational tweaks, it calls for a bold shift in mindset. True progress begins when we embrace the discomfort of change and lean into its transformative power. Yes, change disrupts routines and stirs resistance even among the most experienced leaders. But by understanding the psychology behind it, you unlock the clarity, courage, and adaptability needed to lead with purpose in an evolving NDIS landscape.

“The future won’t be shaped by those who play it safe, but by those willing to think differently and challenge the status quo”.

Effective leaders recognise that adapting to change is part of an arduous (and let’s be honest, often thankless) journey, not a single step. You can’t ensure long term success with tick and flick measures while getting on with the ‘real’ work. It demands self-awareness to confront biases, empathy to engage teams and participants meaningfully, and emotional resilience to sit with discomfort.

Success lies in rethinking long held assumptions about service delivery, embracing innovation, and fostering a culture that values growth over illusionary stability. By aligning strategies with a proactive, participant focused vision, leaders can position their organisations to not only survive but thrive in the dynamic and ever evolving NDIS environment.

I challenge you to honestly reflect on the following questions and see if they spark the clarity and innovation needed to shape your most effective path forward.

Self-reflection activity

Question 1:

Is your current vision aligned with the sector expectations of what is a quality service provider?

If you answered yes, which I’m sure many of you did, does your strategic plan echo familiar statements like:

“Lead the industry in best practice”

“Develop and deliver co-designed solutions”

“Respond innovatively to participant demand”

“Be embedded and respected in our local communities”

“Staff are empowered and skilled to deliver our mission”

“Effective labour utilisation”

“A strong balance sheet and financial discipline to secure our future in the NDIS”

“Maintain our strong brand and recognition of being a quality service provider”

If so, you may want to rethink. This was the summarised strategic plan of a major disability service provider in 2015, an organisation that has since gone into liquidation. It also echoes the sentiments from providers published in the bleak NDS State of the Sector survey. We’re not suggesting the vision and objectives are the problem, but when they’re disconnected from everyday practice, or become generic placeholders, they lose their power, meaning and value.

A strategic plan isn’t meant to be a bunch of ‘vision statements’ that market your organisation. It’s meant to engage and unify the people responsible for achieving the vision. It’s the map that ensures everyone is moving in the same direction, especially when the storm hits.

So, ask yourself honestly “is my strategic vision something my staff can feel, my clients can see, and my community can trust?” Because in a sector facing increasing pressure, it’s not the most polished statements that win. Now more than ever, the question isn’t “what is your vision?”, it is “is your vision strong enough to be evident in daily practice?”

Question 2:

Imagine, the government introduces a new funding model to begin in 3 months. The foundation of funding is that 10% of your service users must form a committee and determine a reasonable rate based on the perceived quality of your delivery of participant outcomes. How confident are you that your current strategy could weather such a storm, and what would you prioritise to adapt quickly?

Question 3:

You overhear a frontline leader say, “Things never change here, even when we raise concerns.” How would you respond? Do you feel defensive? and what does this reveal about your organisation’s readiness for change?

Question 4:

You’re presented with data showing a growing gap between the services you offer and the preferences of younger NDIS participants. Would you feel confident in your organisation’s ability to understand the value of this data and its alignment with your organisational model? Could you pivot your services quickly if you decided that this was your target market?

Question 5:

You’re faced with a decision that could drastically change how your organisation operates. It requires significant investment and comes with risks, but it aligns with long term client needs. Are you ready to champion this decision, even if it means stepping out of your comfort zone? Why or why not?

Reflections

As a leader in the NDIS, your private responses to these questions hold immense value—they provide insight into your beliefs, priorities, and readiness for change. Your emotional and intellectual reactions are not just answers; they are mirrors reflecting the underlying assumptions and potential blind spots shaping your leadership style.

Take time to sit with your responses and consider:

• Where did you feel confident? These areas likely represent your strengths or the places where your organisation is already well prepared for the future. Use them as foundational pillars to build and anchor your strategic planning.
• Where did you feel uneasy or uncertain? These moments of discomfort often point to growth opportunities. They can reveal gaps in your organisational readiness, systems, or culture that need addressing to ensure long term success.

Once you’ve reflected on your responses, use them to:

1. Set Clear Priorities
   Identify key areas where both you and your organisation needs to evolve. Let your responses guide you in determining whether these priorities involve operational agility, cultural transformation, or participant centric innovation.
2. Engage Your Leadership Team
   Share your reflections with your leadership team and encourage them to answer the same questions. Their perspectives can uncover diverse viewpoints and collectively shape a comprehensive, cohesive approach to change.
3. Commit to Strategic Action
   Translate your reflections into a starting point for your transformation team (join us in our next post for more details on what this looks like). You need to be looking beyond operational targets, addressing your organisation’s emotional and psychological readiness for change. Sustainable transformation happens when strategy and mindset evolve together.
4. Monitor and Adapt
   Acknowledge that strategic planning is not a one-off activity. Regularly revisit these questions with yourself and your team to gauge progress and adapt your approach as new challenges and opportunities arise.

The key takeaways….

Leading, especially during change can be a profoundly isolating experience. The weight of decision-making, the responsibility to steer an organisation, and the need to project confidence—especially in uncertain times—can create a sense of separation from those around you.

Leadership vulnerability is often a clear indicator of a psychologically sound human services organisation. But leaders can often face situations where they cannot fully share their doubts or vulnerabilities with everyone, fearing it may undermine morale or confidence. This is why having a skilled confidant is essential. A confidant provides a safe space to explore ideas, express concerns, and gain honest, objective feedback without judgment. If your margins or the limited labour market don’t support you to have this in-house, you can engage our executive business advice and support for the next 12 months, with packages to suit every stage or organisational aspiration.

NOW is the time for you to be getting your FY 2025-26 in order.

The new NDIS paradigm isn’t about maintaining the status quo; it’s about embracing transformation to secure longevity. You need to frame your organisational planning in a way that is both authentic and forward thinking. In doing so, you’ll be better positioned to lead with confidence and drive meaningful outcomes, remaining relevant, viable and competitive in a changing landscape.

Get in touch and stay out of the liquidation list

If you would like confidential assistance in looking at this differently and not being the next provider in the liquidation list, book in a time to have a no obligation chat via my bookings calendar or email me at angela@supportingpotential.com.au.

Get involved…

We’ll be sharing practical tips, real life examples, and expert insights every week.

Follow along, join the conversation, and share these posts with your network. Let’s build a stronger, more adaptable NDIS community together.

Your partner in achieving compliance, growth and sustainability 

Angela Harvey

Managing Director of Supporting Potential

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