A report released by global professional services company, Accenture – on the perception of equality held by leaders and employees – found that a significant gap exists between the way leaders and employees view progress towards equality in their respective organisations. The findings are based on a global survey of more than 30,000 professionals in 28 countries including Indonesia. It includes a survey of more than 1,700 senior executives; and a model that combines employee survey results with published labour force data. The organisations that were assessed in Indonesia found that 88 percent of women and 86 percent of men in Indonesia’s workforce today care more about workplace culture and believe it is critical in helping them thrive in the workplace. A majority of leaders (86 percent) believe an inclusive workplace culture is vital to the success of their businesses.

1. Managing Demographic
and Cultural Diversity
www.humanikaconsulting.com

2. Seta A. Wicaksana
0811 19 53 43
wicaksana@humanikaconsulting.com
• Business Psychologist
• Pendiri dan Direktur Humanika Consulting dan hipotest.com
• Dosen Tetap dan Peneliti di Fakultas Psikologi UP
• Anggota Komite Dewan Komisaris Nominasi dan Remunerasi PT ASKRINDO
• Pembina Yayasan Humanika Edukasi Indonesia
• Wakil Ketua Asosiasi Psikologi Forensik Indonesia wilayah DKI
• Penulis Buku: Sobat Way (2016), Industri dan Organisasi: Pendekatan Integratif
dalam menghadapi Perubahan (2020), Human Faktor Engineering: Integratif
Desain Manusia dan Lingkungan Kerja (2021), Psikologi Industri dan Organisasi
(2021), Psikologi Umum (2021), Manajemen Pengembangan Talenta (2021),
PIODiagnostik: Pengukuran Psikologi di Lingkungan Kerja (2021), Transformasi
Digital: Perspektif Organisasi, Talenta dan Budaya Organisasi (2021), Psikologi
Pelayanan (2021) dan Psikologi Konsumen (2021).
• Dosen Tidak Tetap di: Program Pasca Sarjana Ekonomi di Univ. Pancasila, STP
TRISAKTI, Fakultas Psikologi Universitas Mercu Buana, STIKOM IMA
• Certified of Assessor Talent Management
• Certified of Human Resources as a Business Partner
• Certified of Risk Professional
• Certified of HR Audit
• Ilmu Ekonomi dan Manajemen (MSDM) S3 Universitas Pancasila
• Fakultas Psikologi S1 dan S2 Universitas Indonesia
• Sekolah ikatan dinas Akademi Sandi Negara

3. Case Study: IBM
• Virginia “Ginni” Rometty became Chair of
the Board and CEO of IBM in 2012. She
began her career with IBM in 1981 in
Detroit, Michigan. Since then she held a
series of leadership positions including
Senior Vice President and Group Executive,
IBM Sales, Marketing, and Strategy where
she was responsible for business results in
the 170 global markets in which IBM
operates and pioneered IBM's rapid
expansion in the emerging economies of
the world. As part of this, she established
IBM's Growth Markets organization, which
is expected to contribute as much as 30%
of IBM revenues by 2015.
• Source: Photo courtesy of IBM.

4. Case Discussion Questions
• IBM has been championed for its early implementation of
equality among its workforce. At the time, many of these policies
seemed radical. To IBM’s credit, the movement toward equality
worked out exceptionally well for them. Have you experienced
policy changes that might seem radical? Have these policies
worked out? What policies do you feel are still lacking in the
workforce?
• If you or your spouse is currently employed, how difficult would it
be to take time off for having a child?
• Some individuals feel that so much focus is put on making the
workplace better for underrepresented groups that the majority
of the workforce becomes neglected. Do you feel this was the
case at IBM? Why or why not? How can a company ensure that
no employee is neglected, regardless of demographic group?
• What types of competitive advantages could IBM have gained
from having such a diverse workforce?

5. What is
Diversity?
• Diversity is the
way in which
people are
similar or
different from
each other.

6. Workforce
Diversity
Diversity exists in a
group or organization
when its members
differ from one another
along one or more
important dimensions.

7. Diversity
Management
Versus Equal
Employment
Opportunity
6
Equal employment opportunity
means treating people fairly and
equitably and taking actions that do
not discriminate against people in
protected classes on the basis of
some illegal criterion.
Diversity management places a much
heavier emphasis on recognizing and
appreciating differences among
people at work and attempting to
provide accommodations for those
differences to the extent that is
feasible and possible.

8. Identical Treatment
Versus Equitable
Treatment
• An employer who provides Christian holidays
off should also be sensitive to the need to provide
important religious holidays off for various
employees of different beliefs and faiths.
• On average, men have greater muscle mass than do
women and therefore lift heavier weight.
• Since women bear children, they may need longer
periods of time off after childbirth.

9. Benefits of
Diversity
• Higher creativity in decision making
• Better understanding and service of customers
• More satisfied workforce
• Higher stock prices
• Lower litigation expense
• Higher company performance
8

10. Challenges of
Diversity
The similarity-attraction
phenomenon is the tendency
to be more attracted to
individuals who are similar to
us.

11. Challenges of Diversity
10

12. Challenges of Diversity
• A faultline is
an attribute
along which
a group is
split into
subgroups.
Asian Female
Asian Female
Asian Female
Caucasian Male
Caucasian Male
Caucasian Male
Asian Male Caucasian Female
Asian Female Caucasian Male
Asian Female Caucasian Male

13. Challenges of Diversity
Stereotypes are
generalizations about a
particular group of people.
12

14. Specific
Diversity
Issues
13

15. OB Toolbox:
I think I am
being asked
illegal
interview
questions.
What can I
do?

16. Managing Cultural Diversity

17. OB Toolbox: Dealing With
Being Different
1-
16

18. Discussion
• What does it mean for a company to manage diversity
effectively? How would you know if a company is doing a
good job managing diversity?
• What are the benefits of effective diversity management?
• How can organizations deal with the “similarity-attraction”
phenomenon? Left unchecked, what are the problems this
tendency can cause?
• What is the earnings gap? Who does it affect? What are
the reasons behind the earnings gap?
• Do you think that laws and regulations are successful in
eliminating discrimination in the workplace? Why or why
not?

19. Cultural
Diversity
Culture refers to values,
beliefs, and customs that
exist in a society.

20. Individualism-Collectivism
INDIVIDUALISM
CULTURES IN WHICH PEOPLE DEFINE
THEMSELVES AS INDIVIDUALS AND
FORM LOOSER TIES WITH THEIR
GROUPS.
COLLECTIVISM
CULTURES WHERE PEOPLE HAVE
STRONGER BONDS TO THEIR GROUPS
AND GROUP MEMBERSHIP FORMS
THEIR SELF IDENTITY.
• USA
• Australia
• UK
• Canada
• Hungary
• Guatemala
• Ecuador
• Indonesia
• Pakistan
• China

21. Power Distance
Low Power Distance
A society that views an
unequal distribution of
power as relatively
unacceptable.
High Power Distance
A society that views an
unequal distribution of
power as relatively
acceptable.
• Austria
• Denmark
• Israel
• Ireland
• New Zealand
• Malaysia
• Slovakia
• Philippines
• Russia
• Mexico

22. Uncertainty Avoidance
Low Uncertainty Avoidance
Cultures where individuals are
comfortable in unpredictable
situations and have a high
tolerance for ambiguity.
High Uncertainty Avoidance
Cultures where individuals
prefer predictable situations
and have a low tolerance for
ambiguity.
• Denmark
• Jamaica
• Singapore
• China
• Sweden
• Belgium
• El Salvador
• Greece
• Guatemala
• Portugal

23. Aggressive-Nurturing
(Masculinity-Femininity)
Masculinity
Cultures where individuals
value achievement,
competitiveness, as well as
acquisition of money and
other material objects.
Femininity
Cultures where individuals
value maintaining good
relationships, quality of life,
and caring for the weak.
• Slovakia
• Japan
• Hungary
• Austria
• Venezuela
• Norway
• Netherlands
• Sweden
• Costa Rica
• Chile

24. OB Toolbox: Prepare Yourself for a Global
Career
Learn a language
Immerse yourself in different cultures
Develop an openness to different experiences
Develop a strong social support network
Develop a sense of humor

25. Source: Ken Wolter / Shutterstock.com
Case Study: Goodwill Industries

26. Case Discussion
Questions
• What are Goodwill’s competitive
advantages?
• Goodwill has found success in the social
services. What problems might result
from hiring and training the diverse
populations that Goodwill is involved
with?
• Have you ever experienced problems with
discrimination in a work or school setting?
• Why do you think that Goodwill believes
it necessary to continually innovate?

27. Build Cultural
Intelligence
Cultural intelligence is the
capability to understand how a
person’s cultural background
influences behavior.

28. Avoid
Ethnocentrism
• Ethnocentrism is
the belief that
one’s own culture
is superior to
other cultures.

29. Listen to Locals
• Convergys, a Cincinnati-based
call center company was
building a cafeteria for its
employees in India. During
the planning phase, a VP from
India pointed out that Indian
food is served hot and
building a cafeteria to serve
only sandwiches would create
dissatisfied employees in
India.

30. Diversity and
Social
Change
⚫ Diversity in organizations both facilitates and is
facilitated by social change in the environment.
⚫ Another way that organizations affect social change is
through the images they use to promote themselves and
their products.
⚫ Organizations that use diverse groups as
representatives convey a message of their sensitivity
toward diversity.

31. Culture
Changes
• It is important to recognize
that culture changes.
Showing sensitivity to the
Indian caste system may be
outdated advice for anyone
doing business in India
today.

32. Do Not Always
Assume Culture
Is the Problem
• When marketing people
from the United States
interact with engineers in
other countries,
misunderstanding can
occur due to the difference
in viewpoint between
marketing and engineering
employees rather than
different cultural
backgrounds.

33. Diversity and
Competitiveness
• There are 6 issues on
how diversity can be the
source of a competitive
advantage:
• Cost
• Resource acquisition
• Marketing
• Creativity
• Problem solving
• Systems flexibility
Copyright © 2012 by Cengage Learning. All rights reserved.
8- 32

34. The Bottom
Line on
Diversity
⚫ Studies indicate:
 Diversity leads to
positive outcomes
such as better firm
performance.
 The key is that when
a firm reaches true
diversity, subgroup
conflict dynamics
disappear as
everyone begins to
view themselves as
members of the
same organization.

35. Individual
Strategies for
Dealing with
Diversity
⚫ Understanding: one must
be clear on the nature
and meaning of diversity.
⚫ Empathy: in an
organization, one should
try to understand the
perspectives of others.
⚫ Tolerance: in an
organization, one should
be willing to tolerate
cultural differences.
⚫ Communication: it can
only work if it is two-way.

36. Toward the
Multicultural
Organization
⚫ Basic Characteristics
 Pluralism
 Full structural integration
 Full integration of the
informal network
 Absence of prejudice and
discrimination
 No gap in organizational
identification
 Low levels of intergroup
conflict

37. Organizational
Learning
• Organizational learning
is the process by which
an organization “learns”
from past mistakes and
adapts to its
environment.
• Organizational memory
is the collective,
institutional record of
past events.

38. Discussion
• What is culture? Do countries have
uniform national cultures?
• How would you describe your own home
country’s values on the four dimensions of
culture?
• Reflect on a time when you went to a
different country or interacted with
someone from a different culture. How did
the cultural differences influence your
interaction?
• How does culture influence the proper
leadership style and reward system that
would be suitable for organizations?
• Imagine that you will be sent to live in a
foreign country different from your own in
a month. What are the types of
preparations you would benefit from
doing?

39. Learning and Giving
for Better Indonesia
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