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BUS137 Chapter 8

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  • 1. McGraw-Hill/Irwin Copyright © 2009 by The McGraw-Hill Companies, Inc. All rights reserved.
  • 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. 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. 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. What is diversity?
    • Gender
    • Age
    • Religious affiliation
    • Disability status
    • Military experience
    • Sexual orientation
    • Educational level
  • 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. 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. 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. Components of a Sexual Harassment Policy
    • Develop a comprehensive organization-wide policy
    • Communicate it to all current and new employees.
    • 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. Components of a Sexual Harassment Policy
    • Establish formal complaint procedure without fear of retaliation.
    • Act immediately when employees complain of sexual harassment.
    • When an investigation supports employee charges, discipline the offender at once.
    • Follow up on all cases to ensure a satisfactory resolution of the problem.
  • 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. 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. 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. 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. 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. 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. 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. 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. Five Components of Cultivating a Diverse Workforce
    • Secure top management’s leadership and commitment
    • Assess organization’s progress toward goals
    • Attract employees
    • Train employees in diversity
    • Retain employees
  • 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. 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. 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. 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. 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