Team Diversity Management

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DIVERSITY MANAGEMENT

VGU - BIS 2010 - Intercultural Management

Lecturer: Prof. Dr. Barbara Winckler-Ruß

Students: Ho Minh Chuc ± Tran Phuong Mai



Agenda

1. Definition

1. What is Diversity?

2. Workforce diversity

3. What is diversity management?2. Diversity Dimension

3. Why Diversity Management is important to organization?

1. The rationale for diversity management2. Advantages and disadvantages of diversity

3. Suggested effective way for diversity management



Objectives

1. To understand the basic characteristics of DiversityManagement

2. To understand the benefits of Diversity Management

3. To promote effective approach for Diversity Management



Can you see diverse characteristics?



What is diversity?

Diversity represents Individual differences resulting from age,gender, race, ethnicity, religion, sexual orientation, and socioeconomic background.

Source: George, Jennifer and Jones, Gareth: Understanding and Managing Organizational Behavior, 6th ed., New Jersey, 2011



What is diversity? (cont)

Diversity describes human qualities such as race, gender, and

ethnicity that are different from our own and that are outside the

groups to which we belong.

Source: Gibson, James, et al.: Organizations: Behavior, Structure, Processes, New York, 2011



What¶s about Workforce diversity?

³Workforce diversity is the mix of people in organizations

in terms of gender, race, ethnicity, disability, sexual

orientation, and age, and demographic characteristics

such as education and socio-economic status´

Source: Langton, Nancy and Robbins, Stephen: Fundamentals of organizational behaviour, 3rd ed, Canada, 2006



Workforce diversity (cont)

³Workforce diversity is a method of employment that gives everybody

opportunity regardless of race, religion, sex and other variables´

Source: Robinson, Lamar : Diversity Science Research Series. Volume I, Fultus Corporation - US, 2007



What is diversity management?

³Diversity management is the task of recognizing, analyzing, and

bridging differences between groups and individuals in order to

maximize the value and creativity of each person as well as the

synergistic benefits to the organization.´

Source: Gillis, Tamara: The IABC Handbook of Organizational Communication: A Guide to Internal

Communication, Public Relations, Marketing and Leadership, US, 2006



What is Inclusion?

³Inclusiveness or Inclusion is the degree to

which an organization¶s culture respects and

values diversity. It is the focus of an

organization¶s culture on welcoming and

supporting all types and groups of people.´

Source: Schermerhorn, John, et al.: Organizational Behaviour, 11 ed., US, 2010



Layers of diversity

S ource: Hellriegel, Don & S locum, John and Woodman, Richard : Organizational Behaviour, 13 ed., U S , 2011



Layer of diversity - Primary

Age Race

Gender Physical

Ethnicity



Layer of diversity - Secondary

Education High school / B.S / Master

Work exp. Fresh / Junior / Senior

Income Low / Average / High



Marital Status Single / Married

Religion Christian / Buddhism / Muslim

Geography North / South / Asia / Europe

Layer of diversity ± Secondary (cont)



ParentalStatus

Divorce / Happy

BehaviorStyle

Open mind / Straight forward / Selfish

Layer of diversity ± Secondary (cont)



Key Dimensions Of Diversity

Physical Challenges

Religion

Family Status

ValuesAge Sexual Orientation

Socio-Economic

Status

Appearance

Gender

Education

Level

Marital Status

Professional

Background

Workstyle

RaceMerging

Culture

Work/Life

Balance



The rationale behind Diversity

management1. Globalization

2. Competitive Pressures.

3. Changing Workforce Demographics

4. Recognition and Desire for Diverse Viewpoints.

5. Legislation and Lawsuits



Rationale: Globalization

- International Business requiresInternational Management

- Outsourcing



Rationale: Competitive pressure

- Business going global

- New suppliers,

- New customers,

- New competitors, etc.



Rationale: Changing Workforce Demographics

- Age: workers get older

- Gender: more educated women

- Ethnicity: increasing Asian, Hispanic,

Blacks

- Education: higher



³By 2050, the U.S. population is expected to

increase by 50% and minority groups will make up

nearly half of the population«. The population of

older Americans is expected to more than double.One-quarter of all Americans will be of Hispanic

origin«. More women and people with disabilities

will be on the job.´

U.S. Department of Labor, Futurework: Trends and Challenges for Work in

the 21st Century. Washington, D.D. (Labor Day 1999).

US¶s Changing Workforce Demographics



Rationale: Recognition and Desire

for Diverse Viewpoints³To have a great idea, have a lot of them.´ -

Thomas Edison



Rationale: Legislation and Lawsuits

- Equal Employment

Opportunity (EEO)

-A

ffirmative A

ction ( AA

)



Does diversity management give your

organization a competitive edge?

If so, how much is it connected to

your mission effectiveness?



Advantages of Diversity management

Create a competitive advantage in:

1. Cost

2. Resource Acquisition

3. Marketing

4. Creativity

5. Problem solving and Decision making

6. System Flexibility

S ource:Gilbert, Jacqueline & S tead, Bette and Ivancevich, John: Diversity Management - A New Organizational Paradigm, Germany, 1999



Advantages: Cost

- Reducing Turnover and Absenteeism.

- Increasing Productivity (Sales & Profits)



Advantages: Resource Acquisition

- Good employer brand

- Attracting the best personnel as

the labor shrinks and changes.



Advantages: Marketing

-Bringing insight and cultural

sensitivity to the marketing effort;

-Increasing market share.



Advantages: Creativity

IncreasingC

reativity and Innovation.



Advantages: Problem solving and

decision making-Bringing a wider range of

perspectives;

-More thorough critical

analysis.



Advantages: System Flexibility

- Reacting to environmentalchanges faster and at less cost



Barriers to Diversity

management1. Pre judice and Stereotyping

2. Discrimination



Disadvantages of Diversity

management- Ambiguity, Complexity and Confusion

- Ineffective communication

- Difficult to reach a single agreement (i.e. consensus)

- Difficult to reach a specific action

leading to Conflict

Source: Langton, Nancy and Robbins, Stephen: Fundamentals of organizational behaviour, 3rd ed, Canada, 2006



Disadvantages: Diversity±Consensus dilemma

³The tendency for diversity in groups to create ProcessDifficulties even as it offers improved potential for problem solving´

Source: Schermerhorn, John, et al.: Organizational Behaviour, 11 ed., US, 2010



Is diversity management an

organizational process?

Is diversity management a legal

responsibility or a strategicallyvoluntary initiative ?



³Diverse organizations will out-think, out-innovate and outperform a

homogeneous organization every single time´ ± A.G. Lafley (P&GCEO)

Successful Case studies

http://www.google.com/diversity

http://pg.com/diversity

³ At Google, we don¶t just accept difference ± we thrive on it. We celebrate it.

And we support it, for the benefit of our employees, our users, our culture and

students interested in the technology industry.́ ± Google



Effective Diversity Management

EnsuringRepresentation

Focuses on inclusion/

exclusion decisions

Managing Workforce

Diversity

Focuses on accessing

talent

Diversity

Any collective mixture of

differences and similarities

Diversity

Any collective mixture of

similarities, differences, and

related tensions

Strategic Diversity

Management

Focuses on optimizing all critical

mixtures that impact the business

Understanding

Differences

Focuses on appr opriaterelationships

Dr. R. Roosevelt Thomas, Jr., D.B.A



Common Diversity ManagementComponents

S ource: Mathis, Robert and Jackson, John: Human Resource Management, 12 ed., U S , 2007



Diversity program: Diversity Training

- Awareness Training (self-aware, legal, cultural)- Sensitive Training (gay, lesbian)

- Special Training (languages, women, disabilities)

- Mentoring & coaching



Diversity program: Work-life balance

- Workforce Flexibility- Family-friendly workplace

- Job-sharing scheme

- Virtual team



Diversity program: Metrics as ROI of DiversityManagement

- Define the unit of measure for

diversity (Criteria; Scorecard, KPIs)

- Establish the accountability

- Assess the growth and improvement



Diversity Management Process

S ource: Boston Consulting Group & European Association for People Management: Hard-Wiring Diversity into Your Business, 2011



Jennifer M. George, Gareth R. Jones: Understanding andManaging Organizational Behavior, 6th edn, Prentice Hall,New Jersey, 2011

James L. Gibson, John M. Ivancevich, James H. Donnelly, Jr.,Robert Konopaske: Organizations: Behavior, Structure,Processes, McGraw-Hill, New York, 2011

Don Hellriegel, John W. Slocum, Richard W. Woodman:Organizational Behaviour, 13 edn, Cengage Learning, 2011

Tamara L. Gillis - The I ABC Handbook of OrganizationalCommunication: A Guide to Internal Communication, PublicRelations, Marketing and Leadership, Jossey-Bass, US, 2006

John R. Schermerhorn, James G. Hunt, RichardN.Osborn, Mary UhlBien: Organizational Behaviour, JohnWiley & Sons Inc., US, 2010

Bibliography



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