Examining Organizational Behavior For Management Skills And Brain Drain In New Zealand

Thesis Statement

Describe about the Organizational Behavior for Examines the Management Skills.

The present article examines the management skills of the executives working in the large organizations of New Zealand, in order to understand and evaluate the problem of brain drain, in the country. The author of the article claims that the New Zealand economy has been presently encountering a huge loss of productivity that is challenging the economic stability of the nation. However, according to the author, the reason of the same is lack of management skills, possessed by the executives working in the organization, who are unable to utilize the resources in an effective way, and attract or retain the workforce (Bech et al. 2014). From the research that was being conducted, it was being observed that most of the executives claimed that changing market condition, changing consumer demands, and an inability to offer innovative service to the consumers, were deemed to be highly responsible for the sudden downfall of the New Zealand economy (Smallboe et al. 2012).

The thesis statement of the essay intends to claim that the fall in the growth of economic productivity in new Zeeland is caused considerably due to inefficient management of resources, and lack of awareness about the market situation. It is considerably true in the sense that the management system is not as strong or efficient as it should be. Undoubtedly, it is true that there is a lack of adequate human skill in the market, yet it should be noted that the executives have to come up with innovative ideas (Gkikas et al. 2014).  The article rightly states that it is not merely an unfavorable economic climate, but much of the problem has emerged out of the executives’ incapacity of improving consumer experience by changing the business model. The problem with New Zealand businesses is that the executives are failing to respond effectively to the consumer demands, and reducing their costs, and as a result unable to create value in the products produced. The total innovation rate, as reports suggest is even less than 50% (Szabo et al. 2012).

However, as far as the weakness of the thesis statement is concerned, it should be remembered that though the article speaks of the importance of innovation to be introduced by the executives of the organization, it fails to highlight the reason underlying the problem. The article does not clearly address the two most significant barriers impeding the growth of innovation in the nation. The New Zealand economy is not very strong, and as such without sufficient government assistance, the executives of the organizations are unable to develop or even introduce any sort of innovation (Edgett 2014). It is undeniable that a culture of innovation undoubtedly needs to permeate every organization of New Zealand, but it should be remembered that without sufficient financial assistance from the government it is difficult. It has been observed that there are few workforce skills that are absolutely absent among the New Zealand workers, and as a result of the lack of specialized skills, it is difficult to develop a few industries. Students or employees need to be trained in professional skills that are required for the job roles of Telecommunications Engineer and Telecommunications Network Engineer. It has been observed that most of the residents of New Zealand suffer from shortage of professional skills like these, and hence a systematic and organized approach is required (Piri et al. 2015). 

Strength and Weakness of the Thesis Statement

From the article, it has been observed that New Zealand is suffering from economic downturn, owing to two important factors, the one being brain drain, and the latter being lack of favorable business condition in the country. The brain drain rate is indeed very high in New Zealand, which is as much as 10 times bigger than any of the neighboring nations. The government is required to come forward in order to implement steps such as personal tax cuts. Besides, it should be remembered that the executives of the organizations in order to attract and retain skilled workforce, must offer higher salary and attractive benefits to the employees so that they are willing to work in their home country, instead of migrating to a foreign nation. In case the nation wants to compete with the other foreign countries, it must ensure that the executives and the managers of the various New Zealand organizations are capable of offering suitable training to the existent employees, in order to meet the demands of innovative business models (Trampusch 2014).

Apart from offering sufficient training to the employees, the executives are also required to conduct sufficient market research, in order to understand the prospect of various industries within New Zealand.  The firm based surveys and market research can be very helpful here in understanding the effective strategies that other foreign organizations are adopting to stay in competition (Stevens and Norman 2016). It is to be noted that New Zealand has a huge prospect of introducing innovation in the industries such as healthcare service industry, IT industry, and others, and hence the executives should take up an active step for introducing unique business ideas in these sectors. Underperformance of the organization cannot merely result from lack of financial resources, and hence training the employees and improving management practices can largely help in resolving the problem (Kell et al. 2012).

The thesis statement of the essay, that states that lack of efficient management of financial as well as human resources has led to the downturn of the economy of New Zealand is partially true, and hence can be agreed with, only to a considerable extent. The entrepreneurs as well as the executives of different organizations must have the drive to innovate, train the employees in an effective way, and must be able to eliminate their risk-averse nature. Collaborating with foreign entrepreneurs, entering in a joint venture and asking a foreign country to collaborate can largely help in this regard. However, it is undeniable that the successful accomplishment of each of these factors is only possible when the government assumes an active role in the offering assistance to the organizations. Here, in this regard, it is important to mention, that not only financial assistance, but the government must also liberalize its trade policies, if it is willing to help the New Zealand organizations restore economic stability. Hence, one cannot completely agree with the thesis statement that the business executives have to increase their efficiency and effectiveness to help the economy restore its mobility. The role of the government in offering funding facilities, or opening up research centers, thereby helping in the complex process of business innovation, cannot be denied (Afoso and Jallis 2013).

Personal Viewpoint

The article talks of the importance of business innovation that is required to help the economy sustain itself in future. However, it should be remembered that both the government of the country, as well as the managerial executives of each organization have to take up an active step in achieving the end. It has been noted that most of the executives are risk-averse, and are unwilling to invest in uncertain areas. However, the managers as well as the employees need to be groomed, and they must participate in the knowledge sharing process, so as to bring about revolutionary change. Further, the executives of the organizations must be able to offer career development opportunities, and revise the reward and remuneration scheme in order to retain and attract skilled workforce (Chesbrough 2013).

According to a recent research conducted by New Zealand Institute of Economic Research, it has been reported that the executives of the different organizations of the nation have become less optimistic about investing about their outlook of business, as a result of which they are showing less inclination to   invest in new fields, and to hire new staffs. The report also noted that the managers lacked sufficient skill and professional expertise in developing innovative ideas, formulating fresh strategies, and communicating the benefits of the same for implementing the same. The innovation rate in the country is less than 50 % and hence the managers must arrange a variety of corporate training programs, both national and international, for the purpose of setting up a highly innovative and creative business environment in New Zealand (Boons et al. 2013).

The role of the HR executives in resolving this issue is highly important. It should be noted that the employees need to be trained and the business managers and executives have to inspired to boost creativity and innovation in the business. Revising the salary schemes and offering additional benefits that are offered by other countries is also needed. Above all, in certain spheres, there is a huge amount of skill shortage, such areas have to be identified, so that the students and the employees can be properly equipped with these skills.

Conclusion:

To conclude, it can be said that the government as well as the executives of the organizations of the country must participate in the process of restoring economic stability to the business sphere of the country. However, it cannot be achieved without adopting a systematic and highly organized approach. It can be achieved not only by seeking financial assistance and moral support from the government, but also by inspiring the employees, thereby motivating them to re-shape their ideas to match the ideas and expectations of a changing consumer market.

Reference List:  

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