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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved.
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Chapter 4 Diversity at Work
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Managing Diversity Establishing a heterogeneous workforce Major Reason for Diversity in the workforce The shift from a manufacturing economy to a service economy Globalization of markets New business strategies that require teamwork Mergers and alliances that require different corporate cultures to work together Changing labor market
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Evolving Changes in Organizations and Markets The Service Economy Service employees need to understand their customers, to anticipate and monitor their needs and expectations. Similarities in culture, dress, and language between service workers and customers create more efficient interactions and satisfaction. The Globalization of Markets Customers have more options available; more power to insist that their needs and preferences be satisfied
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Evolving Changes in Organizations and Markets New Business Strategies Require More Teamwork Companies now rely on a team structure Promotes flexibility, reduces operating costs, speeds responses to technological change, requires fewer job classifications, encourages better response to new worker values, and attracts and retains top talent Brings together employees with different knowledge and perspectives
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Evolving Changes in Organizations and Markets Mergers and Strategic Int’l Alliances The ‘marriage’ of two foreign businesses with unique corporate cultures and customs make the acceptance of diversity a must in the global market Changing Labor Market The influx of more women, more immigrants, more people of color, and more older workers in the workforce in the next 25 years makes acceptance of diversity a must in the future
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. The Changing Labor Market: Different Not Deficient Steps to attaining the advantages of diversity All employees must value different races, ethnic groups, cultures, languages, religions, sexual orientations, levels of physical ability and family structures Skeptical managers, supervisors, and policymakers need to understand that different does not mean deficient
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. The Link Between Discrimination & Job Performance Discrimination: the underlying culprit of labor turnover Tendency to feel “burned out” Reduced willingness to take initiative on the job Greater likelihood of planning to change jobs Meeting the needs of the minority employee Inclusion Encouragement Opportunity
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Leading by Example Xerox – “If you don’t value diversity, you can’t manage it.” Supports diversity through recognition and encouragement of a network of local and regional caucus groups Examining the backgrounds of all top executives and identifying the key positions they held at lower levels; then, setting goals for getting minorities and women into these jobs Transforming total employment from male-dominated to a fully diverse workforce
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Leading by Example Pacific Bell Developed a new recruitment strategy to attract minorities Established an internship program for third-year college students Existing minority employees received 6-day off-site training programs conducted by external consultants designed to develop their skills and provide a safe place for participants to talk about sensitive issues such as covert racism and prejudice
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Leading by Example IBM – A Family Friendly Policy Advance women through networking groups and leadership training initiatives Hosts an internal conference--Women in Technology Leave for childbirth gives mothers and fathers three years of job-guaranteed time off with benefits Offer near-site child care centers
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Leading by Example Levi Strauss & Company – one of the most ethnically and culturally diverse companies in the U.S;58% of its U.S. employees belong to a minority group Sponsors Valuing Diversity education programs Encourages minorities and women to apply for job openings in its job ads Supports in-house networking groups of African Americans, Hispanics, Asian-Pacific Islanders, women, lesbians, and gay men
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Maximizing the Potential of a Racially & Ethically Diverse Workforce Diversity linked to business strategy Focus on bringing in the best talent Establish mentoring programs among employees of same and different races Hold managers accountable for meeting diversity goals Develop career plans for employees as part of performance reviews Promote minorities to decision-making positions Diversify the company’s board of directors
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Women in the Workforce “ Women’s issues” as business issues Women no less committed employees;3/4 of professional women quit large companies because of lack of career progress; only 7% left to stay at home with their children Companies not offering child care and flexibility in work scheduling suffer Accommodating women in the workforce is not “the right thing to do,” but the smart thing to do
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Women in the Workforce Providing women with opportunities not previously available Alternate career paths Extended leave Flexible scheduling Flextime Job sharing Teleworking
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Five Generations of Workers Swing generation – born roughly between 1910 and 1929 Most but not all are retired Silent generation – born between 1930 and 1945 Influenced by the swing generation Many hold positions of power Baby-boom generation – born between 1946 and 1964 Believe in rights to privacy, due process, and freedom of speech in the workplace Believe the best should be rewarded without regard to age, gender, race, position, or seniority Few leave jobs voluntarily
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Five Generations of Workers Generation X – born between 1965 and 1977 About 1/3 of the workforce Tend to be independent, cynical, and do not expect the security of long-term employment; also tend to be practical, focused, and future oriented Generation Y – born between 1977 and 1997 Includes offspring of the baby-boomers and an influx of immigrants th Grew up around more sophisticated technologies Good at multitasking; downfalls include short attention spans, the constant need for stimulation or entertainment, and the blurring of the lines between work and leisure time while on the job
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Integrating Older Workers Into the Workforce Six priorities to maximize the use of older workers Age and experience profiles Job performance requirements Performance management Workforce interest surveys Training and counseling Structure of jobs
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Sexual Orientation & Nondiscrimination Policies Inclusive new policies and benefits for gay and lesbian employees Over 75 percent of Fortune 1000 firms have elected to add the words “sexual orientation” to their nondiscrimination policies 1 in 8 of all firms – 1 in 4 with more than 5000 workers – offer domestic partner benefits
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Copyright © 2003 by The McGraw-Hill Companies, Inc. All rights reserved. Managing Internal Organizational Environments of the Future Suggested actions for effective future management Develop an age, gender, and race/ethnic profile of the present workforce Carefully assess job performance requirements Check for possible unfairness in performance management Use interest surveys to determine what current workers want Provide opportunities for employee training and career counseling Explore with workers alternatives to traditional work patterns
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