Challenges Facing Implications Of Management In New Zealand

Executive Summary

Describe about the Challenges Facing about Implications of Management.

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New Zealand is a country which saw immense growth in the 1950’s but lost its momentum in the last half of the decade and where the neighboring Australia has emerged as a leading developed country, New Zealand has been facing a lack of proper large scale industries, a lack in revenues generated from high profit companies and also a lack of proper human resources. The need as registered by the aforementioned article is the complete renewal of the Human resource management and basically increasing the potentially of Managers. Another points discusses are the option for the country to retain its knowledgeable and educated fleet of workers, both laborers and the managerial level workers, who are finding better opportunities abroad. In this essay we have inspected the claims made by the article and have proposed our solutions and our opinions on the same.

One of the main problems faced by New Zealand human resource managers are the problems with the scarcity of people with adequate productivity and skills. The main issues faced by the management, especially company leaders are facing tremendous problem in procuring and retaining good quality managers and harbor managerial skills that are required to empower the nation’s fleet of service and manufacturing unit.  Identify the strengths and weaknesses of the article based on the Thesis Statement (Hutchison, 2014)

In my opinion the article’s viewpoint is somewhat true which indicated that the main set of management  skills required for the present generation of company heads to create a successful and international level businesses are three individual skills which are the main areas of function of a company. In the report the author clearly states that the management skill of handling tough, challenging and uncertainty is one of the most major skills. The same is absolutely true. After the global financial crisis, the New Zealand’s financial state was at a slow pace, growth rates were low, but many companies held themselves strong, even when there was a lack of enough support from the economy. This has been strongly associated with the management skills which include being able to foresee the problems of the economy, create just solutions to the problems of slow economy, negotiate and keep great relationship with stakeholders, and finally to manage the people of the organization as well as the resources of the company. Through the various innovative ideas perceived by managers every day, the companies are handled carefully towards a bright future or failure.

Identification of a relevant Thesis Statement or Question from the article

The sampling of the managers of leading companies suggested that among the successful clan of business men, the ones who has seen the most success had taken steps which would be considered out of the ordinary, steps that can be considered unorthodox, and having the ability to take calculated or a slight bit extra risk to increase the company’s potentiality to grow and keep itself stable in an unstable time (Boxall, 2014).

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After careful review of the article, the points described, and carefully judging all the data presented in the article we agree with the article. The article states that the need of the hour is to create a new business process or model for the young generation of management. The right managerial skills can take a simple company to become a world class company. The study suggests that despite New Zealand’s high number of companies and industries, only a few have had success outside or seen success that was above average. The lack of proper resources, especially the human resources have been lacking in quality. The New Zealand shows that there are a huge amount of immigrations each year to foreign countries among which Australia is the main place for immigration. The reason is that New Zealanders believe they have better prospects for job at a foreign company. Many leading managerial people switch to the multinational company branches in New Zealand, leaving the country’s own service and productivity sector lacking in quality staff.

It is to be agreed that the main problem associated with the trend of shifting to other countries in need of a better job has created a gap between the productivity and wage, making New Zealander’s wages dramatically lower than Australia’s. The leading companies, very little in number are finding it hard to retain management and top level executives due to the declining challenging prospects for the top level management. We agree that a lack in proper challenging positions for top level management creates an option for these people to seek challenging roles elsewhere, like in a developed country like USA or UK.

In order to further state why we found the statements made in the result section of the article true is that it is important matter for any country to have a proper and eligible education and skill base; people who can develop the existing situation into something far better. But in case of New Zealand, there has been a serious lack of skills and development in the otherwise booming category of business like tourism, banking, aviation etc. Other than the dairy industry, where New Zealand has ruled since a long time, there is hardly a field where any company has made significant impact. The instilling fact is that the management skills are pivotal for the improvement of the country’s economy. The increasing lack of managerial skills within the leading companies is a serious concern. The skill set like working with uncertain situations, taking risks, keeping good relationship with the stakeholders, working with the employees and keeping the different sectors of the company working together for a unified goal are only few of the reasons why there has been a serious lack of proper companies and industries in New Zealand. There is however a differentiation of roles of the managers in the case of profitable and non- profit organizations. Seeking enough financial support is essential for profitable organizations. For non-profit organizations, it is important that the management is able to create a very integrated network of arrangement, supporting itself to create a cost effective solution. There is also a lack of emphasis on the political skills required by the management to keep the organization goals in place. The problem facing is the ability of companies in New Zealand to retain its staff, bath managerial levels and low levels. The increase in opportunities worldwide and easy ways to immigrate makes people think about shifting to other countries to pursue their professional goals. The human resource management and the leaders need it develop many challenging career opportunities with the organization to make the team members involved in creating ways to create new solutions, improve their skills, and have better working and learning opportunities. The HR specialists have emphasized on the need of creating better bound between managers and the workers, which are absolutely essential toy, keep the working environment fund and simple and give the workers a friendly atmosphere to work in. Also the other skills are creating better managers for tomorrow. The existing managers need to have the right testing and tools to challenge the fore coming leaders to learn new skills and create better professional skill set for them. This might require them to employ training and coaching them personally but it should be done through management development terms. The need is also for training existing management to give proper and better solutions to scenarios which might challenge their skills (Wright, 2005).


Finally, it can be said that New Zealand has the potential to become again a leading country and increase its potential as a developed country and this can be achieved with the increase in the possibilities in the Service and manufacturing sector. It is important that New Zealand works to create better maengagement skills. It is therefore important for the Human resource officials to redesign the business models so that the ideal people with the correct set of skills can enhance their skill set and secure the future of that country. It is also important that New Zealand creates new opportunities for the top ranked managers to challenge themselves and gives opportunities to explore international level of work at their home country, which shall slowly reduce the amount of immigration and loess of talent to other counts like Australia. The article however provides valuable insights into how Australia has been able to increase its potential by enhancing and implementing necessary steps to retain top class management and assign great human resource management plans to increase its potential. Likewise steps should be taken by New Zealand’s government to increase its capabilities as a nation that is rich in resources and has enough human resources but requires specific targeting ND improvement in the business models.


Boxall, P., 2014. The critical challenges facing New Zealand’s chief executives: implications for management skills. Asia Pacific Journal of Human Resource, Volume 52, p. 23–41.

Hutchison, A., 2014. The critical challenges facing New Zealand’s chief executives: implications for management skills. Asia Pacific Journal of Human Resources, Volume 52, p. 23–41.

Wright, P. L., 2005. The Implications of a Skills Approach to Leadership. Journal of Management Development, 4(3), pp. 55-69.