NZ Management: How Does NZ Management Measure-Up?
June 4th, 2010
A new international study which looked at NZ management skills, focusing on manufacturing, has found management practices in NZ are ‘middling to average.’ This is a real concern as effective management practices are closely related to higher productivity and output in NZ manufacturing firms. The study benchmarked NZ management practices against 16 other countries, including Aust, Britain, Canada and the US, and was led by the London School of Economics and McKinsey & Co.
The results show a strong relationship between NZ management practices and various firm performance indicators, particularly the profit per employee, firm sales and number of employees. The study found NZ managers in manufacturing firms perform well on operational and performance management, but are relatively weak on people management, particularly when it comes to attracting and retaining talent and managing poor performers.
The Economic Development Ministry was involved in the study, and acting Deputy Secretary Michael Bird says it demonstrates a strong link between effective management practices and various firm performance indicators. The message for NZ firms is clear: improving management practices impacts positively on the firm’s bottom line. Get the report ‘Management Matters in New Zealand: How does Manufacturing Measure Up?’ at
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