Zealand's Industry Research Articles

Regulation, deregulation, and internationalisation in South African and New Zealand banking

The banking industries of New Zealand and South Africa were among the most tightly regulated in the western world in the early 1980s. Restrictions on foreign banks were particularly acute, especially in South Africa. From a position of considerable isolation, first New Zealand then South Africa implemented programmes of financial liberalisation. We show that the outcome of liberalisation was different in these two countries. South African banks were able to establish a strong presence in external markets, but the New Zealand banking system was mopped up by its Australian neighbour. These divergent outcomes reflect the origins, geographical position, and unequal capabilities of the New Zealand and South African banking industries.

Enhancing Industry Association Theory: A Comparative Business History Contribution

abstractOur comparative business historical examination of industry associations aims to enrich the under‐theorized study of this distinctive type of meta‐organization. We compare two New Zealand industry associations operating in the same supply chain but with differing degrees of associative capacity and types of external architecture. Our analysis of these associations builds on two strands of theory that rarely communicate with each other: New Institutional Economics (NIE) and Organizational–Institutional Theory (OIT). We demonstrate how NIE describes the structural potentialities for associational strength, while OIT addresses the relational context within associations. In turn, NIE's examination of external influences reinforces OIT suggestions that associations which are rich in social capital can become developmental in orientation. Our historical analysis supplies fresh theoretical insights into industry associations, thereby addressing conceptual issues of interest to management scholars who study bridging‐type organizations. On this basis, we argue that business history and organization studies complement each other.

Field Airborne Sound Insulation of Party Walls: A Means of Prediction Based on Statistical Analysis

This review presents airborne noise test results collected over the last eight years during the Auckland apartment boom and aims to improve the industry's information base when considering the difference between walls of known laboratory performance and the measured field performance for the same nominal wall construction. Statistical analysis of the field results collected for various drywall constructions is presented in STC, R′w and DnT, w criteria with subsequent guidance when establishing and negotiating suitable on-site project criterion for multi-level construction contracts. Probabilities of achievement of various ratings are provided based on four projects using three wall types. Given the desire within the New Zealand industry to offer an upgrade on the existing site rating of FSTC 50, the authors suggest an R′w rating in the low 50 dB range is appropriate and achievable.

An analysis of sprain and strain injury data for the New Zealand meat processing industry from national and industry injury surveillance databases

Data on musculoskeletal disorders (MSD) in meat processing and the tasks in which they occur is limited in the literature. This paper provides a summary of such data from the New Zealand industry. Despite the high incidence of MSD in meat processing in New Zealand, little research has been undertaken to identify and assess high-risk tasks and develop interventions to address them. This paper reports on the initial stages of a 2-year government funded project to address these issues. Findings are presented from the analysis of data from two injury surveillance databases. Accident Compensation Corporation national data claims assisted in defining the industry and indicated factors for further assessment, including consideration of claimants' gender, ethnicity and geographical region. National Injury Database industry data claims helped to identify specific tasks in which MSD are more likely to occur by departments and for the two main animal species processed. These factors have helped shape the assessment of high-risk tasks currently undertaken in the meat processing industry.

Regional Consequences of New Zealand Industry Assistance Policies

The divergent growth rates of New Zealand regions are a matter of concern to economists, geographers and policy makers. People have been concerned about the 'drift to the north' since at least the 1920s. Geographers have paid particular attention to the role of manufacturing industry in explaining the growing hegemony of Auckland (Taylor and Hosking, 1979), and in generating regional inequalities through differential wage payments (Hoare, 1986). They have also analysed the regional development policies put in place at various times in response to concerns about these divergent growth rates (Le Heron, 1979; Scott, 1980). This literature largely overlooks a significant cause of regional growth and decline. The omitted cause is industry protection policies such as import licensing, tariffs, and export subsidies. Scott (1980) hinted at the role that these policies play in creating regional imbalances but provided no supporting analysis. Some regional implications of the 1980s process of protection reform were noted by Patterson (1989) but it was St Hill (1987) and Treasury (1987) who provided the most comprehensive analysis. These studies found that Auckland, Lower Hutt, Wellington, and Christchurch were favoured by having a high concentration of protected, import-substitute manufacturing. Provincial regions were less favoured because their industries tended to be export oriented ones which received lower levels of assistance. The aim of this paper is to describe further the regional costs and benefits of industry protection policies. These costs will be measured in monetary and employment terms under a variety of assumptions. The results suggest a paradox. Regions suffering the heaviest burden under industry protection policies were generally 'priority regions' for enhanced development. The penultimate section of the paper gives some reasons for this paradox. First, however, I outline ways in which assistance to industries and regions can be quantified. Then regional rates of assistance during the 1980s are measured. The earliest available data (1981/82) are used to make inferences about the pattern of costs and benefits before the current liberalisation. The initial impact of the liberalisation is assessed using data from the late 1980s.

Flight Crew Fatigue Management in a More Flexible Regulatory Environment: An Overview of the New Zealand Aviation Industry

Since 1995, air transport operators in New Zealand have been able to meet the flight and duty time (FDT) regulations by operating according to prescriptive FDT limits or by seeking approval to operate under a potentially more flexible company‐specific FDT scheme. There has been no formal assessment of the impact of this increased flexibility on fatigue management processes. The aim of the present study was to determine the strategies and processes that commercial aircraft operators in New Zealand have in place for managing fatigue and whether these differed according to the type of FDT system under which organizations were operating. All air transport operators in New Zealand were sent questionnaires that were to be completed by an individual in a management role, a line pilot, and an individual in a rostering role. Questions were asked about the FDT system under which the organization operated, the strategies and processes in place for managing fatigue, and the consequences of the organization's approach to managing fatigue. One hundred and fifty‐three responses were received from 88 organizations (55% of all air operators) and were representative of the structure of the New Zealand industry. Air operators were most likely to report that they monitored flight and duty times and pilot workload to manage fatigue (used by 90–99% and 70–90%, respectively), while educating rostering staff and reviewing the processes for managing fatigue were the least utilized strategies (used by 36–50% and 39–60%, respectively). Within the same organization, managers were more likely than line pilots to report the use of specific fatigue management strategies. There were no differences found between organizations operating under prescriptive regulations and those using a company‐specific scheme on ratings of how well fatigue was managed, the number of fatigue management strategies employed, or the frequency of use of selected strategies. Across the industry as a whole, the provision of more flexible regulatory options has not greatly changed fatigue management practices, although some operators have implemented innovative strategies. The findings suggest a need to raise the level of knowledge within the industry regarding the causes and consequences of fatigue and of processes for its management. This is further supported by the discrepancies between the responses of line pilots and managers, which raise doubts about the effectiveness of some strategies nominally being employed. The regulator and other relevant industry groups should consider how to move the industry toward a mature safety culture and solid knowledge base because these are fundamental to more flexible fatigue management regimes, as is adequate regulatory knowledge, support, and oversight.

Establishment of Critical Hygiene Indices for Meat Cooling Processes Evaluated by a Temperature Function Integration Method

A temperature function integration technique that involves the calculation of the potential growth of Escherichia coli to obtain a process hygiene index (PHI) is the New Zealand industry standard method for assessing the potential for growth of enteric bacteria during meat cooling processes. The existing criteria to determine the acceptability of a cooling process with PHI values take no account of the differences between meat products and thus limit processing flexibility. A methodology was developed to set criteria for processing acceptability, based on the frequency distribution of the indicator organism E. coli number on meat carcasses immediately after slaughter (in log2 CFU per square centimeter) and a requirement that the E. coli numbers at the end of the cooling process be less than or equal to some maximum acceptable level. This methodology was used, along with accepted guidelines for maximum acceptable levels of E. coli in the meat and measured initial E. coli numbers for the whole New Zealand meat industry, to develop a set of PHI criteria that would be satisfied by a good-practice meat processing operation. A Monte Carlo modeling approach was used to illustrate the implications of these criteria if they had been applied to cooling processes for beef and lamb previously evaluated by the authors. If the proposed criteria were adopted, the maximum allowable PHI for beef cooling could be higher than that for lamb cooling because of the lower initial E. coli numbers found on beef than on lamb carcasses.

Industry Training Organisations in Changing Times: New Research Possibilities

The tertiary education reforms have placed considerable pressure on Industry Training Organisations (ITOs), which are now required to assume "new roles as strategic leaders in skills and training needs for the industries under their coverage” (Statement of Tertiary Education Priorities (STEP) 2003-04. p. 21). This paper argues that the STEP requirement can lead 10 productive relationships between ITOs and established research organisations. It considers the new context within which ITOs now operate and offers an illustrative case study of the sort of research that can result from collaborative relationships. Specifically if reports on research commissioned by the New Zealand Industry Training Organisation (NZ/TO), which covers dairy manufacturing, meat processing, and leather processing, as part of its strategic planning. The research reported includes: an analysis of the industries covered by the NZ/TO and their economic significance: the impact of an ageing workforce and other demographic on the labour market and ifs implications for NZ/TO industries: the impact of technological change on the labour market: and some of the consequences of the continuing integration of the global economy.

Evaluation in industry of a draft code of practice for manual handling

This paper reports findings from a study which evaluated the draft New Zealand Code of Practice for Manual Handling. The evaluation assessed the ease of use, applicability and validity of the Code and in particular the associated manual handling hazard assessment tools, within New Zealand industry. The Code was studied in a sample of eight companies from four sectors of industry. Subjective feedback and objective findings indicated that the Code was useful, applicable and informative. The manual handling hazard assessment tools incorporated in the Code could be adequately applied by most users, with risk assessment outcomes largely consistent with the findings of researchers using more specific ergonomics methodologies. However, some changes were recommended to the risk assessment tools to improve usability and validity. The evaluation concluded that both the Code and the tools within it would benefit from simplification, improved typography and layout, and industry-specific information on manual handling hazards.

On Unstable Beta Risk and Its Modelling Techniques for New Zealand Industry Portfolios

This paper adds to the literature a study on the time-varying beta risk of the New Zealand industry portfolios. The previous analyses of three major modelling techniques are extended to include the stochastic volatility model and the Schwert and Seguin approach based on the stochastic volatility model. Evidence generated clearly indicates that the betas of all the NZ industry portfolios are also unstable. It is found that, in the case of in-sample forecasting, the stochastic volatility model is the optimal technique, while the GARCH model is most favoured for out-of-sample forecasting, unlike prior work on other countries which suggests that the Kalman filter approach is preferred.

Longrun Trends in New Zealand Industry Assistance

New Zealand has had a complex process of adjusting commercial policy since the economic reforms began in 1984. This paper reports on the results of a research project to estimate the trends in industry assistance over this period and the variance of assistance within 2-digit industry groupings.

Information Technology Use and Employment Change in New Zealand Industries

The last quarter of the 20th century was marked by rapid uptake of new information and communication technologies (ICT) with far-reaching effects in workplace organization. These changes have consequent effects on demand patterns in the labour market, with less educated workers facing declining opportunities. In this paper Census of Population data from 1991, 1996 and 2001 are used to investigate changes in employment demand by education level for full-time workers in 58 industries covering the entire New Zealand economy. To explore the role of technical change, data on industry use of computers from the 1996 Input-Output tables are related to the changes in employment levels for workers at different levels of education. The findings suggest that declining employment opportunities for workers who only have school level qualifications or less are strongly concentrated amongst the industries with higher ICT uptake.

Jungle Law in the Orchard: Comparing Globalization in the New Zealand and Chilean Apple Industries

Restructuring in the global apple market is leading to a pronounced tightening in the competitive spaces occupied by Southern Hemisphere producers. For New Zealand and Chile, the world’s two most successful apple-exporting countries, significant challenges are presented by projected industry trends, such as declining profitability in the global industry, increased world production, and the continued static demand in key markets. In particular, falling prices in Europe and North America for many key varieties and concomitant lower returns to growers are threatening serious and pervasive impacts. This article explores some of these challenges in the context of the significantly different positions occupied by New Zealand and Chile within the global fresh fruit and vegetable complex. An analysis of the two countries’ industries, particularly comparing issues of regulation and innovative varietal development, shows that global food complexes have highly variable spatial expressions, given their process-based nature and underlying dynamics of contestation. Focusing on the increased competition between the New Zealand and Chilean apple industries, the discussion sheds light on wider emerging competitive dynamics within the global fruit industry. The example of the recent Pacific Rose crisis, which involved Chilean “theft” of an exclusive New Zealand apple variety, is used to illustrate the emergence of “jungle law” in the Southern Hemisphere apple industries.

Getting ready for the digital economy: Net Readiness in New Zealand industries

Abstract This paper focuses on measures of readiness for success in the digital economy. Scorecards for measuring preparedness for the Internet‐based economy are discussed. The New Zealand context and environment for E‐Commerce is introduced. Key results from a novel study of Net Readiness in eight New Zealand industries are presented. Further Net Readiness research is proposed to provide international comparisons and explore industry‐specific factors, size and links to corporate performance. Copyright © 2002 John Wiley & Sons, Ltd.

Advanced Ceramic Research at Industrial Research Limited

The Industrial Research Limited (IRL) ceramics research programme has activities in electroceramics, advanced refractories and engineering ceramics aimed both at the initiation and development of new manufacturing enterprises and the uptake by New Zealand industry of advanced ceramic technologies. The research team has considerable expertise and experience in sialon ceramics and composites that has underpinned the development of a new advanced refractory manufacturing capability in New Zealand. The team’s capability in engineering ceramics is based on considerable research into new forming techniques and encompasses new ceramic-metal composites. Increasingly the team is prototyping high value added, high performance ceramic bodies with industry partners. A rapidly growing capability in electroceramics has targeted the communications and electronics industry. Current research includes the prototyping of a new design broadband piezoelectric transducer, suitable for application in high definition sonar.

A study of design management in the telecommunications industry

This paper presents an account of a study undertaken jointly by the University of Canterbury and Tait Electronics Limited, a leading New Zealand manufacturer of high-technology radio communications equipment. The project was part of a wider research programme exploring design management and the uptake of computer aided engineering tools in New Zealand industry, funded by the New Zealand Foundation for Research Science and Technology. The study reported in this paper investigated techniques by which the product development cycle may be reduced, and in particular, the practical implementation of concurrent engineering principles in the company's product development environment. The research methodology involved the application of design phase diagrams and the recording of instances of communication between intracompany groups and departments, and organizations external to the company. The study highlighted strengths and weaknesses in the company's design management. Particular weaknesses were the level of communications between engineering and marketing functions, and recurrences of task clarification and conceptual design activity late in the overall product development process because of incomplete definition of customer design requirements at the design proposal stage. It was concluded that, with automated data gathering, design phase diagrams could provide a valuable design management tool to evaluate ongoing project progress, and to identify weaknesses in communication or design team effectiveness.

Experiences with HACCP as a tool to assure the export of food

HACCP requirements are fast becoming an integral part of international trade in food commodities and New Zealand has responded to this trend by repositioning its approach to HACCP in the food export sector. New Zealand industries remain the primary stakeholders in the stewardship of HACCP while structural changes within the regulatory environment have ensured that overall responsibilities remain with “core government” while introducing flexibility in some aspects of delivery of HACCP programmes. Trends emerging internationally have changed scientific, operational and political dynamics, particularly highlighting the value of validating HACCP plans according to food-safety objectives. Negotiation of equivalence between trading partners, of HACCP programmes that are genuinely science- and risk-based, continues to be New Zealand's primary market access approach.

Collaboration and organisational learning: a study of a New Zealand collaborative research program

Collaboration with a research partner is one strategy that small and medium sized enterprises (SMEs) can pursue to counter their size-imposed research and development (R&D) resource and capacity constraints and to enhance their learning. The Technology for Business Growth (TBG) program supports collaborative R&D projects between New Zealand industry and research institutions. This research attempted to gauge the effects of participation in a collaborative project on broader aspects of organisational learning, on the industry managers' subsequent attitudes towards R&D, as well as managers' perceptions of success and failure factors for collaboration. The majority of managers stated that their attitude to R&D had not changed (it was already positive prior to the project). However, their organisations' attitude towards the management of R&D projects had often changed, with many companies adopting the practices of project evaluation and planning enforced by the TBG application process, thus providing considerable evidence that organisational learning had taken place. Objective measures of subsequent R&D activity, such as increased spending on, and number of, R&D projects and increased employment of technical staff provide further evidence that the companies' learning experiences with collaborative projects may have encouraged them to invest more readily in R&D.

Collaborative research programmes: building trust from difference

Many technology policies support collaborative research, particularly involving small and medium sized enterprises (SMEs), in the hope such projects will result in economically productive relationships. However, collaborative projects bring with them their own inherent management problems because of the dual nature of project control. When the collaboration partner is a research institute or university, the mixing of the different organizational cultures can also result in conflicting attitudes towards the management of the project. These factors combine to provide a barrier to the establishment of trust between the project partners. This study addresses the importance of collaborative policy instruments in establishing different levels of trust, by looking at one such intermediary scheme, the Technology for Business Growth (TBG) programme which supports collaborative R&D projects between New Zealand industry and research institutions. Contractual and competence trusts were facilitated by the TBG application procedures. Cultural differences were found to have some positive impacts on the development of competence trust. However, in general, goodwill trust evolves only if repeat collaborative relationships occur. It is proposed, therefore, that a hierarchy of policy mechanisms could provide the platform for research partners to progressively develop a goodwill trust based relationship that will endure beyond the support of the intermediary programme.

A New Zealand Industry perspective on the Fifth International Conference and Workshop on Lobster Biology and Management

This short article provides an overview of the Conference from the perspective of an observer from the New Zealand fishing industry. Fishers were well represented at this Conference. Of special interest to them were the vast contrasts in lobster fisheries management throughout the world, the apparent resilience of lobster populations and the similarities in management issues throughout the world. The Conference emphasized the need for scientists and fishers to work together, and for industry to have an informed and interactive role in managing and choosing research directions for lobster resources.