The critical challenges facing New Zealand

The critical challenges facing New Zealand’s chief executives

Name

Subject

Professor

Date

The critical challenges facing New Zealand’s chief executives: implications for management skills

Hutchison, A. & Boxall, P., 2014. “The critical challenges facing New Zealand’s chief executives: implications for management skills,” Asia Pacific Journal of Human Resources, vol. 52, no. 1, pp.23-41.The article is quite informative on the aspect of the different management aspects that surround the management unit in New Zealand, especially on the problems faced by the chief executives. The article recognizes that chief executives are a significant pillar in any organization and they help in dealing with the opportunities and threats presented to the organization. However, they face various challenges as they try to make the best out of the opportunities and at the same time handle the threats effectively. According to Hutchison & Boxall (2014, p. 24), there has been a change in the markets’ nature as well as rapid technological advancements, an aspects that has necessitated a change of measures in an effort to be successful and remain productive. This piece of work will give a critical analysis of the article with regard to the various challenges faced by New Zealand’s chief executives. Other research by other scholars on the same will also be evaluated.

From the article, one can clearly depict the thesis statement. The authors intend to evaluate the most critical problems associated with the present environment as well as the consequences for the management skills of New Zealand. In addition, the article seeks to identify the manner in which the human resource experts can be involved in supporting the management skills. To a large extent, I agree with the thesis statement of the above article. It is quite diverse and in addition to identifying the challenges, it seeks to come up with solutions or the strategies that should be implemented to deal with the same. The thesis statement is a good indicator of the strengths and weaknesses of the article. With regard to strength, the thesis statement is quite comprehensive. In addition to identifying the challenges and the implications involved, it also identifies some solutions on the same. On the other hand, the thesis statement fails to emphasize on the manner in which the above will be accomplished or rather how the research will be carried out to gather the facts.

To get the information needed, a survey involving 265 New Zealand chief executives was conducted (Hutchison & Boxall, 2014, p. 24). This is a representative sample, accounting for 27 per cent of the largest organizations in the country. The results are therefore expected to be quite representative of the overall situation in New Zealand. Nonetheless, it would be more advisable to get the views of more than one individual from an organization, to have a wide range of opinions and draw some informed conclusions. The data collected could also be subjective and may not specifically indicate the skill deficits as presented by the chief executives.

Based on the information given in the article as well as other research that has been carried out on the same, I believe that based on the complexity of the business environment in the nation, it is advisable to involve all stakeholders in order to come up with the way forward with regard to dealing with the challenges involved. Their nation should invest in ensuring that it offers a good environment that fosters personal, career and organizational development. This way, it will be in a position to retain the skilled individuals who can bring about development in the organizations and the nation as a whole. In light of the challenges faced by chief executives in New Zealand, Purcel and Hutchinson (2007, p. 12) highlight some management implications and changes that ought to be effected. The trends experienced will eventually lead to a different economic environment in the nation. For this reason, the manner in which government and businesses operate will have to adjust. The nation’s economic growth is influenced by the way businesses can adjust to the new world and maximize on the opportunities it presents. For this reason, it will necessitate businesses to adjust their processes, get into new areas of production and venture into new markets. On the other hand, the government of New Zealand ought to help out with positive measures such as maintaining quality institutions and making positive changes to policy settings.

Some of the personal key points identified on the topic of discussion include the following. There are challenges in the business world but that is not the end of it and there is hope if some measures are adopted. Some of the key management skills required in solving the challenges experienced by the chief executives include proper management of people and scarce resources, appropriate management of uncertainty and renewal as well as management of business partners and stakeholders. There is a dire need to bridge external and internal boundaries, an aspect that can be achieved by empowering the managers and fully involving the human resource experts in the development process. Hutchison and Boxall (2014, p.23) argue that according to the chief executives in New Zealand, the environment is rapidly changing and it faces the problem of inadequate funding. For this reason, there is need for sufficient capabilities by the management to allow for proper management of uncertainty and organizational renewal. Political and interpersonal skills are also necessary in dealing with stakeholders’ relationships. Strategies aimed at appropriate management of people and scarce resources is also a key point in dealing with the challenges (Mulgan, 2008, p. 17). Adequate support for the above, especially from the human resources specialists is also a necessity if success is to be achieved.

Mumford (2010, p. 112) asserts that there are many economic and social trends that are in one way or the other changing the business world. Some of them include, natural resources pressures, globalization, increasing expectations of the state, international integration, technology change and demographic changes. The trends present both opportunities and challenges for the business sector in New Zealand. For this reason, there is need to adapt them in a successful manner, in an effort to reduce the income gap with other nations and accomplish good living standards. Failure to do so is likely to widen the gap and thus add on to the challenges. Hutchison and Boxall (2014, p.24) indicates that some of the opportunities that New Zealand has for growth include its striking tourism sector, world class industries, and great manufacturing and services industries. However, the nation faces some threats such as inadequate skill base as the citizens continue to move out of the country in search of better job opportunities.

The specific challenges as stipulated from the survey carried out include market risks, access to finance, dialogue with shareholders, changes in the economic climate, cultural barriers, enhancing productivity to international levels, societal changes, fostering innovation, demonstrating corporate social responsibility as well as attraction and retention of workers among others (Hutchison & Boxall, 2014, p. 32).

Although the article has provided some solutions to the challenges experienced in New Zealand, such as tackling the developmental needs in an effective manner, they are not exhaustive and below are some others. Norman (2006, p. 28) suggests that the challenges faced by New Zealand could be solved by making it more connected to the world economy. This can be made possible by minimizing the barriers at the border to trade and investment, and holding bilateral, plurilateral and multilateral forums to maintain momentum on enhancing market access. Also, the local policy settings should enhance strong global links and make the nation an attractive environment to not only work, but also invest and do business. According to O’Flynn and Wanna (2008, p. 201), the government can also help in dealing with the challenges. For instance, it can maintain a stable economic environment that allows for economic adjustment, offering a business environment that promotes productivity growth and guaranteeing value for money and sustainability of public services. This is despite productivity being a consequence of business decisions.

In summary, it is apparent that there are various management challenges that are experienced in New Zealand, particularly by the chief executives. Management capability is a major issue in the nation and it has negatively affected its productivity. To deal with this issue, the above mentioned challenges and developmental needs should be addressed in an effective manner. This way, organizations in the country will be in a better position to operate in the rapid-changing environment. Every party should also play its part in making the environment better for all, more especially the human resource specialist.

References

Hutchison, A. & Boxall, P., 2014. “The critical challenges facing New Zealand’s chief executives: implications for management skills,” Asia Pacific Journal of Human Resources, vol. 52, no. 1, pp.23-41.Mumford, P. J. 2010. Enhancing performance-based regulation: The lesson from New Zealand’s building control system. Wellington: Victoria University of Wellington.

Mulgan, R., 2008. “Public sector reform in New Zealand: issues of public accountability,” Public Administration Quarterly, pp.1-32.Norman, R., 2006. “New governance, new dilemmas: bulkpost-reform issues in New Zealand’s public sector,” Policy Quarterly, vol.2, no.3, pp.24-31.O’Flynn, J. & Wanna, J., 2008. Collaborative Governance: A new era of public policy in Australia? (p. 201). Canberra: ANU Press.

Purcell J & Hutchinson, S., 2007. “Front-line managers as agents in the HRM-performance causal chain: Theory, analysis and evidence,” Human Resource Management Journal vol.17 no.1, pp. 3–20.