The planned shake-up comes as the party digests a post-mortem into Napthine government's election defeat that found unresolved industrial disputes, a complete lack of communications strategy and a tendency to stifle debate all contributed to the loss.

Headed by Liberal stalwart David Kemp, the review gave a brutal assessment of the former government's first and only term, warning the party must overcome numerous structural problems if it is to be competitive at the next state election in 2018.

It found that wage disputes with paramedics and other unions shifted votes away from the Liberals in marginal seats, particular among women. Debate was also often shut down, both in the party room and among interests groups more broadly, with ministers and their staff "persistently" failing to return calls.

And the former government lacked a clear narrative - about itself or the failings of its opponents - adding to perceptions of inertia early in its term.

"At no time during the four years was there a co-ordinated media strategy across the government. The previous Labor government's communications unit was dismantled and not replaced; communications staff of ministers and the communications budgets of backbenchers were reduced; government advertising was cut back," Dr Kemp told the Liberal state council on Saturday.

"Our critics complained that this was a 'do-nothing' government and, effectively unanswered, this became an entrenched perception in the public mind."

Based on 415 submissions, Dr Kemp's interim report comes at a critical juncture for the Liberals, with Mr Kroger and the new administrative committee now assigned with making the Victorian division more competitive ahead of the next federal election, where seats such as Deakin, Corangamite, and LaTrobe are at risk of falling to Labor.

Arguing the party "can not go on the way we are", Mr Kroger flagged a sweeping shake-up, with a much greater focus on campaigning, fundraising, and the decentralisation of power from head office to local branches.

The Melbourne businessman also announced that the Coalition agreement, which discourages three cornered contests between Liberals and Nationals in seats with sitting Coalition MPs, would be reviewed - a move that could prove sensitive for opposition leader Matthew Guy as he attempts to maintain parliamentary unity.

"I am a Coalitionist, make no mistake about that, but we need to look at the whole concept of three cornered contests, where we run, where the Nationals run, funding, and the behaviour and interaction between the two parties," Mr Kroger said.

Mr Kroger's push to overhaul many of the Liberal Party's campaign structures was broadly welcomed by rank and file members, although not everyone has embraced his return to the presidency, a post he held between 1987 and 1992.

Prime Minister Tony Abbott also attended Saturday's conference, using his speech to reaffirm his commitment to build the East West Link despite the new state Labor government vowing it would not go ahead. It came a week after Mr Abbott rattled MPs by suggesting he was moving away from the project.

In other state council developments:

• The party launched an investigation to determine whether Labor engaged in "electoral fraud" by using firefighters, paramedics and other unionists in "fake uniforms" to help its campaign.
• Delegates passed motions calling on the Federal government to reform the Australian Human Rights Commission, abolish the ABC and SBS, and repeal section 18C of the Racial Discrimination Act.
• It was announced that Crosby Textor would return as the Liberals' official polling firm.

Dr Kemp's review will be finalised in June. His review team is made up of party figures and MPs, including mining magnate Hugh Morgan, Channel Ten boss and advertising guru Russel Howcroft, former state MPs Amanda Millar, Donna Bauer and Andrea Coote, Institute of Public Affairs executive director John Roskam, and former party director Julian Sheezel.