Southern Institute: MGT209 - Kiwi Know How HRM Plan Case Study

This case analysis examines the human resource challenges faced by Kiwi Know How Limited, a New Zealand-based tourism training company. The analysis identifies key issues such as employee turnover, recruitment difficulties, and workload imbalances, particularly at the Tauranga branch. It assesses the company's current HR availability, identifies HR requirements, and conducts a gap analysis to determine the difference between potential staff demands and current supply. Recommendations include external recruitment strategies, internal promotions and redeployments, managing redundancies, outsourcing functions, and implementing effective training and development programs. The report emphasizes the importance of addressing employee motivation, improving internal recruitment processes, and leveraging technology for business growth. Ultimately, the proposed HRM plan aims to mitigate existing challenges and create new opportunities for Kiwi Know How Limited to thrive in the competitive tourism training market. Desklib offers similar case studies and resources for students.

Running head: A Case Analysis on: Kiwi Know How Limited
A Case Analysis on: Kiwi Know How Limited
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Introduction
According to a journal by Fick and Brent Richie (2015), the travel and tourism
industry is considered to be among one of the biggest industries with total contribution to
global economy being over $7.7 trillion, recorded in 2018. Tourism industry is an attractive
business sector, operated all around the world. It involves the touring practices; availability of
accommodation and entertainment to the tourists or foreign officials. The demand of the
respective industry is increasing in a day-to-day manner, as tourism is a favourable interest of
any adventurous individual (Poon, 2013). Accordingly, New Zealand-based tourism training
industry, Kiwi Know How Limited is one of the established sectors in the country, who train
candidates to the world of tourism, through face-to-face training sessions. They operate
business in different parts of the country, including Auckland, Wellington and Tauranga.
However, there has been recorded events where the importance of mitigating issues
to employee turnover, employee recruitment and other factors has been noticed at KKH
Limited. The following paper is subjected to mitigate and analyse the issues that may have
significant impact on the smooth continuation of the former company’s business. Also, the
paper provides appropriate recommendation for maintenance of business in a correct way.
Discussion
Predicted environmental trends
Environmental trends are expressed as the factors (internal and external) that
influences the operation of a company (McIntosh, Goeldner & Ritchie, 2014). There are
certain notable factors that has the potential of creating a significant impact on the
organization’s human resource. They are-

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 Political- The increasing number of ethnically diverse tourists and population of
Auckland are the positive sides to the tourism industry. Also, renovation in the city of
Christchurch would enhance the security state for the travellers. However, the
domestic tourism to Queenstown is being affected due to the timid state of dairy
industry in Southern Island.
 Economic- The predicted economic state of New Zealand is expected to increase by
1-2%, which is bright side. Tourism sector produce accounts, as recorded to 18%
(approx.) in export. Calculated individual count, involved in the tourism field (in New
Zealand) is recorded to be 1 out 10.
 Social- The branches of the company at Auckland and Tauranga are operated by the
same Director (Graham Smith), and same Business development individual (Gemma
Ford). Overall job role structures are not prioritized, since the beginning and, also the
higher officials are inheriting too much pressure. Few exceptional employees
(trainers) have also been observed to feel unsatisfied due to the lack of appreciation
and negligence from the company officials. The comparative low employee wages are
also an issue. However, the number of skilled candidates are increasing and more
demand from tourists are also recorded.
 Technological- The processes of internal recruitment are also backdated. The usage
of social networking for enhanced modification has not been prioritized. The lack of
implementation of capable IT knowledge in the Know How industry is a drawback to
the futuristically demanding environment. Also, the need of a specialist personnel to
Information Communications Technology is a considerable opportunity.

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Assessment of HR availability
Currently, the company has 2 directors and 41 staffs (FTE) around different areas of
New Zealand. The current turnover count is recorded to be low at the centres of Auckland (2
in 3 years) and Wellington (None left), however, had high turnover in the Tauranga (2 in a
year; none working for more than 18 months) is a dreadful issue. Staffs at Tauranga were
stated to be unpleased with the ‘unattached’ and distrust-worthy feeling from other company
associates. Also, the partial presence of the director (Graham Smith), made them feel
detached.
To the other centres of Auckland and Wellington, the replacement plan for the
employees retiring and applying for maternity leave (due to pregnancy) has not also been
scrutinized to maintain appropriate balance through required addition and replacements of
staffs in the future. Also, the team structure is informal, which regulates abstract activity
routine.
HR requirements
The weak spots of Kiwi Know How Limited have significant importance that needs to
be recovered. Recruitment of new staffs to certain new and replaceable job roles are
necessary for futuristic advancements. Classification of the roles and changes are necessitated
as follows-
 New Director and business development (considerably less important) officials are
required for the Tauranga centre.
 Loyal and eligible employees are to be interviewed, according to their prior
experience, performance and ethical background in the tourism industry.

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 The addition of IT specialists will strengthen the backbone of the company, by
expanding the business in portable devices and over internet media. The modification
in the ICT will provide better outcome to the company.
 Improvements are required in the fields of recruitment. The use of social media and
other e-formats are subjected to produce better relationship among employees and
also, create new methods of internal recruitment.
 Proper monitoring is an essential element of understanding the behaviour of different
officials in a maintainable way, while it is important to understand the confidentiality
of employee’s privacy (Noe et al., 2017). Proper implementation of the supervision
method is to be evaluated in the company.
Gap analysis
The difference between potential staff demands to the present staff supply designates
the ‘gap’, which addresses the workforce state of an organization (Delaney & Huselid, 2016).
The analysis indicates a career development routine, headcount adjustment and restructuring
of business, or all of the three (Nickson, 2013).
For the headcount adjustment, all of the newly wanted employees will be selected
through appropriate excerpt of qualification and eligibility satisfaction criteria. Also, the
recruitment process will undertake internet and technology usage for extra support. New
employees (12 in number) are also needed, according to the requirements in Tauranga and
other planned setups in Christchurch and Queenstown. The career development program’s
implementation will comprise of encouragement to the employees and valuing them equally,
to mitigate the issues to employee motivation. Restructuring is felt valued under the criterion
of adding new director and business development managers in the Tauranga and other
required setups. Moreover, the gap strategies connects the tactics of human resources to

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business strategies and, further maximizes supplies and minimizes the risk factors (Brown
and Swartz, 2018).
Recommendation
The analysis of the factors affecting the company’s environment and business
procedures are examined. Here, notable recommendations are stated that has the potentiality
to mitigate the targeted issues, and are as follows:
External Recruitment- The number of skilled candidates are increasing rapidly in
the New Zealand’s market. Thus, Kiwi Know How Limited has to grasp the necessary skilled
candidates, according to their requirement. Moreover, for the new staffs in Queenstown and
Christchurch, the employees can be informed/tested via internet and social media usage.
Internal movements (Promotions, redeployments)- The increments and promotions
are essential to every staff of a company, as it strengthens their trust and morality to their
respective organization and also, enhances their understanding of them, being respected
(Ichniowski, Shaw & Prennushi, 2015). Kiwi Know How, accordingly needs to promote
capable and loyal candidates, as the wages are observed to be lower than other tourism
training institute (www.seek.co.nz).
Outplacing/redundancies- For the factors of outplacing and redundancies,
considered employees would be examined and questioned for their predicted activity. Factors
are mainly fault-based (Storey, 2017), however business efficiency, economic conditions and
technological development influence the activity. Thus, these factors needs to be measured to
mitigate such termination related risks. This would also mitigate the high employee turnover
problem.
Outsourcing of functions- Mr Graham and other managers are appointed to
undertake extra efforts, as they monitor multiple centres. The introduction of new managers

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and supervising the performance of employees would lessen the workload of the managers, as
observed primarily.
Training and development requirements- The new employees would be
appropriately trained, through educational processing to sharpen their concepts, skills and
attitude, for enhancement of their knowledge and performance. The personality of the higher
official would be developed too. Moreover, training is a short-term process, whereas
development is a continuous one (Wright, 2018).
Other requirements- There is an importance of introducing the training program
over internet media. Appropriate IT people are to be selected for constant outgrowth and
advancement, spread all around the world.
Conclusion
Kiwi Know How Ltd is an industry with a higher potential of gaining significant
advantage in the tour-loving environment of New Zealand. The following study has
demonstrated the factors that have significant impact on the business of the company. The
impacts are thoroughly analysed and recommendations are also shared. Overall, the company
has been observed to be facing challenges in balancing the workload, uplifting employee
motivation and decreasing employee turnover rate. Thus, the recommendations have the
potentiality to overcome the drawbacks and create new opportunities for the respectable
organization. Yet, human behaviour is unpredictable, thus measurable steps may help to
understand their status and morale development in any industry.

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References
Brown, S. W., & Swartz, T. A. (2018). A gap analysis of professional service
quality. Journal of marketing, 53(2), 92-98.
Delaney, J. T., & Huselid, M. A. (2016). The impact of human resource management
practices on perceptions of organizational performance. Academy of Management
journal, 39(4), 949-969.
Fick, G. R., & Brent Ritchie, J. R. (2015). Measuring service quality in the travel and tourism
industry. Journal of travel research, 30(2), 2-9.
Ichniowski, C., Shaw, K., & Prennushi, G. (2015). The effects of human resource
management practices on productivity (No. w5333). National bureau of economic
research.
McIntosh, R. W., Goeldner, C. R., & Ritchie, J. B. (2014). Tourism: principles, practices,
philosophies (No. Ed. 7). John Wiley and Sons.
Nickson, D. (2013). Human resource management for hospitality, tourism and events.
Routledge.
Noe, R. A., Hollenbeck, J. R., Gerhart, B., & Wright, P. M. (2017). Human resource
management: Gaining a competitive advantage. New York, NY: McGraw-Hill
Education.
Poon, A. (2013). Tourism, technology and competitive strategies. CAB international.
Storey, J. (2017). Human resource management: A critical text. Cengage Learning EMEA.
Wright, P. (2018). Fundamentals of human resource management. Management, 5, 27.