1. Chapter 16: Culture and Diversity in Business
Introduction to Business
Unit 5: Human Resources

2. Diversity in the Workplace
Section 16.2
Diversity in the Workplace

3. Cultural Diversity
Companies tend to thrive when they have diversity, a variety of employees with different backgrounds and identities.
Age
Gender
Ethnicity
Individual needs
Education
Marital status
Income
Religious beliefs
Diversity in the workplace means differences in skills, work habits, and approaches to tasks.

4. Working with Diversity
A major problem in diverse workplaces is stereotyping
Identifying someone by a single trait or as a member of a certain group rather than as an individual
Denies other aspects of a person’s identity
Makes assumptions based on prejudice, not evidence
May lead to unfair treatment of employees, tension in the workplace, and/or decreased productivity
Your success on the job will depend on how well you work with and for people who are different from you.

5. Consider This . . .
Find a partner and create a Venn diagram showing at least five ways you are similar and five ways you are different.
Then, discuss whether you have engaged in or experienced stereotyping.
Be ready to share out.
Student 1
Student 2

6. Impact of Diversity on Business
The US population is becoming more ethnically diverse.
As population grows, percentages of people with African, Asian, and Hispanic/Latino heritage also grow.
Fastest growing groups in the country are people of Hispanic and Asian origin.
Population is also living longer  more workers aged 65 and over are working past retirement age.
The growth of women in the labor force is expected to rise at a slightly faster rate than for men.

7. Effects of Population Trends
NACP Alert!
Changes in the Workplace
Changes in the Marketplace
As population becomes more divers, so does the workplace.
More emphasis on being open-minded and being a team player.
Greater potential for
Disagreements (-)
New ideas/solutions (+)
More insight into new consumer groups
Marketplace = consumers of goods and services
Companies now target several market segments
Opportunity for niche marketers
Baby boom generation:
76 million babies born between 1946 and 1964
Now reaching retirement age and developing specific needs
Greater spending power than other age groups

8. Managing Diversity
Human resource managers oversee diversity; try to make the company inclusive by hiring people of different characteristics, backgrounds, and ethnicities.
Increased diversity  more realistic worldview  competitive advantage
Employee diversity is an asset in dealing with clients and customers from different cultures.
Common corporate culture helps bind diverse viewpoints together toward common goals.

9. Laws Against Discrimination
Discrimination: unfair treatment of a person or group, usually because of prejudiced attitudes about race, ethnicity, age, religion, or gender.
Age Discrimination Employment Act:
prohibits discrimination against workers because of their age (ageism)
Ex. In the past, workers over the age of 40 were often fired or denied jobs in favor of younger workers (work for lower salary, less likely to have families, more tractable)
Equal Employment Opportunity Act: strengthens laws that protect workers from discrimination based on race, ethnicity, religion, or gender.
Americans with Disabilities Act (1990):
Prohibits discrimination against qualified people who have disabilities
Employers must make reasonable accommodation for a qualified person with a disability

10. Diversity Programs
Most codes of ethics have rules against discrimination.
Personnel problems may still exist if some employees still have trouble working with people who are different from them.
Companies may offer diversity training programs to promote tolerance among workers by breaking down stereotypes.
Managers must
Avoid stereotyping
Create a work environment where prejudice is not tolerated
Promote a culture that values, welcomes, and respects diversity

11. Benefits of Diversity Broader range of ideas and points of view
Better understanding of and ability to serve diverse markets
Improved morale among employees and greater commitment to company goals
Valuing diversity leads to
Increased productivity and efficiency
Lower turnover rates
Less absenteeism
Fewer legal costs from employee complaints
Reduced conflicts among workers (diversity training)
Consider This
In many companies, diversity training is in place to break down stereotypes. What do you think the impact of diversity training in companies will have on society as a whole?