Analysis on Organizational Challenges in NZ

Running head: ANALYSIS ON ORGANIZATIONAL CHALLENGES IN NZ
ANALYSIS ON ORGANIZATIONAL CHALLENGES IN NZ
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1ANALYSIS ON ORGANIZATIONAL CHALLENGES IN NZ
Introduction
The essay is based on the analysis of the different challenges that are faced by the
organizations in New Zealand in the recent years. The country is facing many issues since the
year 2014. These issues include the economic issues, issues related war and terrorism and
many more. The most prevalent economic issues in the country are related to poverty and the
gap that exists between the poor and the rich people of the society. There are many other
issues that are faced by the people of New Zealand which includes the problems arising due
recession, the spending of the government (Zorn, Grant & Henderson, 2013). The shortage of
housing facilities for the citizens of the country and the increasing debts are other important
issues in New Zealand at the moment. Global warming, absence of values and empathy in the
citizens of the country have proved to be the major problems in the country.
Discussion
New Zealand is facing high rates of unemployment in the current situation, which is
one of the major problems that are faced by the organizations and the people of New Zealand
as well. The main problem is that there are many number of jobs available in the country,
however the organizations are unable to afford the employees with their present resources.
The poverty levels in the country have also increased in the recent years. The job market in
New Zealand is mainly dominated by the small sized and medium sized organizations.
Around 60% of the total employment opportunities that are available in New Zealand are
provided by the small and medium sized organizations (Albrecht et al., 2015). The supply of
funds in New Zealand had shown an increase till the year 2008, however this supply has
declined after 2008 and has become stable in the recent times. The supply of money in the
country impacts the capability of the organizations to pay the salaries and wages to the
employees. The debt of New Zealand is increasing steadily over the years after 2006. This

2ANALYSIS ON ORGANIZATIONAL CHALLENGES IN NZ
has affected the ability of the people to meet their basic needs including food and housing.
The debt has increased by 38% in the years between 2009 and 2011 (Alfes et al., 2013). The
credit rating has also decreased in the recent years and this has compelled the country apply
for loans at interest rates that are much higher than the normal times. New Zealand is heavily
dependent on the other countries for its needs of oil and the crisis in this import facility poses
a threat towards meeting the basic needs of the people.
The managers of the organizations in New Zealand face many problems related to the
lack of funding and the inability to meet the needs of the employees in the organization.
Another big challenge faced by the organizations in New Zealand is the diversity factor. The
main challenge towards inclusion and diversity in the organizations in New Zealand is the
problem of bias. About 48% of the organizations in New Zealand identify bias as their main
concern towards diversity (Gelens et al., 2014). The primary concern of the management of
the organizations is the unconscious bias towards the employees. This hampers the process of
inclusion and diversity in the organization. Organizations in the public sector are more
affected by the bias problem. The gap in the payment of the employees based on their gender
is another problem that arises due to the problem of bias. The other issues that impact the
diversity in the organization are the wellness and wellbeing of the employees. The issue
related to the diversity in the private sector organizations is the flexibility. The increasing age
of the workforce of the organizations affects the operations of the company (Zorn, Grant &
Henderson, 2013).
The issue of aging workforce in the organizations in New Zealand have increased in
the recent years. The workers with the age above 65 years are increasing rapidly. 23.3% of
the total population of New Zealand is under the aging category. The regional variations
between the employees is also high and the people in some regions are found to ageing faster
as compared to the other regions. The population of New Zealand has been found to be