New global initiative for business

Hon Gerry Brownlee
Minister for Economic Development

New global initiative for business

Encouraging New Zealand managers to adopt a “global mindset” and help them realise the international growth potential of their businesses is the aim of a new $1.3 million programme being funded by the government, Minister for Economic Development Gerry Brownlee said today.

Mr Brownlee said research showed New Zealand businesses lagged behind other countries in adopting the management mindset needed to succeed in international markets.

“Management and leadership capability affects the productivity of businesses operating internationally. If we are to improve productivity, and therefore economic growth, we need to improve the capability of New Zealand managers and executives doing business overseas.”

New Zealand Trade and Enterprise (NZTE) has appointed a consortium made up of The University of Auckland Business School, business growth centre The ICEHOUSE, and United States-based Thunderbird School of Global Management (currently rated first in the world for executive education by the Wall Street Journal) to design and deliver a highly-targeted initial 12-month pilot programme to help managers improve their global management and leadership skills.

The programme, believed to be the first of its kind in the world, will be aimed at chief and senior executives, owners and directors of New Zealand firms doing business internationally. Its aim is to accelerate the learning process for internationalising firms and improve their prospects for success in overseas markets.

Research released earlier this year by the Ministry of Economic Development showed that the management practices of New Zealand manufacturers were “middling to average” by global standards.
“The Management Matters report showed our manufacturing firms are good at operational and performance management, but find it hard to attract and retain talented staff and are not good at addressing poor performance. There is a lot we can learn from being exposed to overseas best practice,” Mr Brownlee said.

The 12-month experiential programme is expected to commence in the middle of next year, after which it will be reviewed to ensure it is the right fit and will achieve the desired outcomes. It is then intended to become self-funding.

Mr Brownlee said the new $1.3 million NZTE-funded programme would complement the $1 million Prime Minister’s Business Scholarships, which will help 15-25 business people a year study at internationally recognised business schools

It will also contribute to achieving the objectives of the government’s Economic Growth Agenda, which includes increasing the number of innovative New Zealand firms participating in the global economy.

ends