2. 8-2
Learning Objectives
L01: Learn how diversity is critical organizational
and managerial issue.
L02: Distinguish between affirmative action and
managing diversity.
L03: Diversity can give organizations a competitive
edge.
L04: Identify challenges associated with managing a
diverse workforce.
3. 8-3
Learning Objectives
L05: Define monolithic, pluralistic, and multicultural
organizations.
L06: Discuss how managers and their organizations
can cultivate diversity.
L07: Summarize skills and knowledge managers
need to manage globally.
L08: Identify ways in which cultural differences
across countries influence management.
4. 8-4
Managing Diversity
Individuals with different backgrounds, beliefs,
capabilities, and cultures.
Understand and value employee differences to
build a more effective and profitable
organization.
Valuing the connections that arise and develop
between diverse employees.
5. 8-5
What is diversity?
Gender
Age
Religious affiliation
Disability status
Military experience
Sexual orientation
Educational level
6. 8-6
Gender Issues
Pay disparities still exist between men and
women
“Glass ceiling” barrier is a reality for many
women
Sexual harassment in the workplace has
increased
7. 8-7
Glass Ceiling
Invisible barrier that makes it difficult for women and
minorities to rise above a certain level in the
organization
Currently 12 women are chief executives of Fortune
500 companies (2%)
8. 8-8
Sexual Harassment
Conduct of a sexual nature that has negative
consequences for employment
Categories
Quid pro quo
submission to or rejection of sexual conduct is used as a
basis for employment decision.
Hostile environment
unwelcome sexual conduct “has the purpose or effect of
unreasonably interfering with job performance or creating an
intimidating, hostile, or offensive working environment.”
9. 8-9
Components of a Sexual Harassment Policy
1. Develop a comprehensive organization-wide
policy
2. Communicate it to all current and new
employees.
3. Conduct training sessions with supervisors to
explain Title VII requirements
role in providing an environment free of sexual
harassment
proper investigative procedures when charges
occur.
10. 8-10
Components of a Sexual Harassment Policy
3. Establish formal complaint procedure without fear
of retaliation.
4. Act immediately when employees complain of
sexual harassment.
5. When an investigation supports employee
charges, discipline the offender at once.
6. Follow up on all cases to ensure a satisfactory
resolution of the problem.
11. 8-11
Minorities and Immigrants
Black, Asian, and Hispanic workers hold more
than one of every four U.S. jobs
Asian and Hispanic workforces are fastest-
growing segment, followed by African American
workforce
Three in ten college enrollees are people of
color.
Foreign-born workers make up more than 15% of
the U.S. civilian labor force.
About 50% are Hispanic, and 22% are Asian.
12. 8-12
What’s going on with minorities?
White males no longer dominate urban
workforce
Managing diversity is more than
eliminating discrimination
Disparities remain in employment and
earnings
Unemployment rates are higher for Hispanics
and African Americans
Median earnings for white workers is higher
than those for Hispanics and African
Americans
13. 8-13
Mentally and Physically Disabled People
Largest unemployed minority population
segment in the U.S.
New assistive technologies make it easier for
companies to comply with ADA and for people
with disabilities to be productive.
People with disabilities are an unexplored but
fruitful labor force.
14. 8-14
Tomorrow’s workers
Women, Asian Americans, African Americans,
and Hispanic workers growing faster than white
male workers
Lower birth rates in U.S. will lead to smaller labor
force leading to outsourcing to firms in
developing nations
Median age of America’s workforce is increasing
70% of workers between the ages of 45 and 74
intend to work in retirement
15. 8-15
Managing Diversity vs. Affirmative Action
Managing Diversity
Goes beyond legislated mandates
Embraces proactive business philosophy that
sees differences as positive
Affirmative Action
Special efforts to recruit and hire qualified
members of groups that have been
discriminated against in the past
16. 8-16
Diversity as a competitive advantage
Ability to attract and retain motivated employees
Better perspective on a differentiated market
Ability to leverage creativity and innovation in
problem solving
Enhancement of organizational flexibility
17. 8-17
The challenges of managing a diverse
workforce
Seeing the world from another’s perspective
Diversity can create a lack of cohesiveness
Communication problems
People prefer to associate with others who are
like themselves
We learn to interpret the world in a certain way
based on our backgrounds and experiences
18. 8-18
Multicultural Organization Types
Monolithic Organization
one with low degree of structural integration
employs few women, minorities, or other groups that differ from
the majority
highly homogeneous employee population
Pluralistic Organization
relatively diverse employee population
involves employees from different gender, racial or cultural
backgrounds
Multicultural Organization
values cultural diversity
seeks to utilize and encourage it
19. 8-19
Five Components of
Cultivating a Diverse Workforce
1. Secure top management’s leadership and
commitment
2. Assess organization’s progress toward goals
3. Attract employees
4. Train employees in diversity
5. Retain employees
20. 8-20
Retain talented employees
Support groups
Provide support for those excluded from the
majority’s informal groups
Mentoring
higher-level employees help ensure that high-
potential people are introduced to top
management and socialized into norms and
values of the organization.
21. 8-21
Successful Global Managers have…
Sensitivity to cultural
differences
Business knowledge
Courage to take a
stand
Ability to bring out the
best in people
Integrity
Insightfulness
Commitment to
success
Risk taking
Use of feedback
Cultural
adventurousness
Desire for opportunities
to learn
Openness to criticism
Desire for feedback
Flexibility
22. 8-22
Successful global assignments
Structure assignments clearly
Create clear job objectives
Develop performance measurements
Use effective, validated selection and screening
criteria
Prepare expatriates and families for assignments
23. 8-23
Successful Global Assignments (cont’d)
Establish ongoing communication with
expatriates
Anticipate repatriation to facilitate reentry when
they come back home
Consider developing a mentor program that will
help monitor and intervene in case of trouble
24. 8-24
Cultural Differences
Power distance
extent to which a society accepts the fact that power in
organizations is distributed unequally
Individualism/collectivism
extent to which people act on their own or as a part of a
group
Uncertainty avoidance
extent to which people in a society feel threatened by
uncertain and ambiguous situations
Masculinity/Femininity
extent to which a society values quantity of life over quality
of life