1. Managing Employee Diversity
Chapter 11
Managing Employee Diversity

2. Learning Objectives After reading this chapter, you should be able to:
Explain the meaning and benefits of employee diversity.
Develop an awareness of the unique perspectives, problems, and issues of diverse employee groups.
Understand demographic trends in the labor force and their managerial implications.
Describe the challenges firms may face in the management of diversity.
Describe various approaches that managers may use to enjoy the benefits of employee diversity and meet the challenges associated with diversity.

3. If effectively managed, diversity can provide:
A powerful competitive edge
The ability to foster creativity
Improve problem solving
Provide greater flexibility
Make the firm more attractive to a broad labor market

4. Diversity It describes a wide spectrum differences between people.
Groups of individuals share characteristics that distinguish them from other groups.
The differences between groups are smaller than the differences within groups.
Classifying people into group types often leads to false stereotypes because it incorrectly assumes that group averages apply to all individuals in the group.

5. Advantages of Employee Diversity
Improved International Competition
Better
Market Access
Better Team Performance
Multiplicity of Points of View 3

6. The Challenges of Diversity
Pressures Toward Homogenization
Lower Cohesiveness
Confusing Diversity With Affirmative Action
Interpersonal Conflict and Tension 3

7. The U.S. workforce is a mosaic of diverse cultures and groups
African Americans
Older Workers
Asian Americans
Women
Disabled Americans
Homosexuals
Hispanic Americans
Foreign-Born Americans

8. Diversity Today African Americans 11.3 percent of U.S. population
11.8 percent of workforce
Asian Americans
3.6 percent of population
Wide variety of races ethnic groups and nationalities including Japanese, Chinese, Korean, Indian and Pakistani.
Disabled Americans
50 million Americans suffer from some form of disability
Between ages % are employed
Accommodating disabled employees is less expensive than people think

9. Diversity Today (Cont)
Foreign-born Americans
About 10 percent of U.S. population
About 820,000 immigrants enter the U.S. legally every year
At least 11 million undocumented immigrants
Hispanic Americans
About 28 million people (10 percent of U.S. population)
Actual number is around 40 million people
People with roots in Mexico, Puerto Rico, and Cuba
Homosexuals
Estimated to be between 1 to 10 percent of the population
No federal laws to protect homosexuals

10. Diversity Today (Cont)
Older Workers
The average age of the U.S. workforce is expected to reach 42 by 2010.
Negative stereotypes: inflexible, resisting to learning new skills, and coasting until retirement
Religious Diversity
Primarily Christian faith
A growing non-Christian minority
Women
Half of the labor force is female
Glass ceiling and sexual harassment issues at work

11. Building on Diversity Top management commitment
Linking diversity initiatives to business strategies and objectives
Management responsibility and accountability
Diversity audits
Developmental activities
Encouraging diversity networks
Accommodating family needs

12. Top Management Commitment
Question to improve diversity:
How can we develop all employees so that they are ready for opportunities that arise in the company?
How can we be sure that minorities and women gain access to better jobs, as they become available?
How can we make sure that we give minorities and women opportunities without discriminating against white men?
How can we show all employees that we value their contributions?
How can we change attitudes of both employees and customers?
Will the same approach work for new employees and those with many years of service?

13. Linking Diversity to Strategies and Objectives
It should be key components of corporate mission statements
Inclusion in corporate handbooks
Examples:
Diversity briefing for senior management
Networking groups
Linking diversity performance to other corporate objectives
Benchmarking with other companies

14. Management Responsibility and Accountability
“Diversity is not likely to become part of management and employee priorities without real accountability for specific objectives.”
360-degree feedback – multirater feedback from peers, suppliers, other levels of management, and internal and external customers
Employee surveys
Performance appraisals
Self-evaluation

15. Diversity Audits Can help reveal possible sources of bias
Indicators or factors used in the audit can also be used to measure whether corrective actions have the desired effects

16. Issues to Consider in Diversity Training
Diversity is about each person coming to terms with attitudes, beliefs, and expectations
It is big enough to include everyone
No is the target to blame
Human beings are ethnocentric
The human species resists change
Human beings find comfort and trust in likeness
It is difficult for people to share power

17. Developmental Activities
Diversity Training
Senior Mentoring
Diversity Learning Labs
Apprenticeships 3

18. Encouraging diversity networks
Offers a nurturing environment to people
Company leaders may encourage employees to become part of international teams

19. Accommodating Family Needs
Day-care assistance
Flexible work schedules and arrangements
Compressed work weeks
Job sharing
Telecommuting
Care assistance for elderly dependents

20. Accommodating Family Needs (Continued)
Paid time off to care for family members who are ill
Paid parental leave
Keeping relocations to a minimum
Giving a high priority to finding a position for spouse within the firm
Job search assistance to relocated spouses