Strategies for Promoting Diversity in Organizations

This section looks at several approaches to diversity and strategies that managers can consider as they plan for promoting cultural diversity in their organizations. First, the six strategies for modern management offered by the Hudson Institute report focusing on the twenty-first-century workforce are explored. Then the requirements of the Equal Employment Opportunity Commission, which is legally empowered to regulate organizations to ensure that management practices enhance diversity, are discussed, along with affirmative action. Next, promoting diversity through various levels of commitment is covered. Finally, promoting diversity through pluralism is discussed.

Promoting Diversity through Hudson Institute Strategies

According to the Hudson Institute, six major issues demand the full attention of U.S. business leaders of the twenty-first century and require them to take the following actions:34

  1. Stimulate balanced world growth—The United States must pay less attention to its share of world trade and more attention to the growth of the economies of other nations of the world, including the nations in Europe, Latin America, and Asia, with which the United States competes.

  2. Accelerate productivity increases in service industries—Prosperity will depend much more on how quickly output per worker increases in health care, education, retailing, government, and other services than on gains in manufacturing.

  3. Maintain the dynamism of an aging workforce—As the age of the average American worker climbs toward 40, the nation must make sure that its workforce does not lose its adaptability and willingness to learn.

  4. Reconcile the conflicting needs of women, work, and families—Despite a huge influx of women into the workforce in the last two decades, many organizational policies covering pay, fringe benefits, time away from work, pensions, welfare, and other issues do not yet reflect this new reality.

  5. Fully integrate African American and Hispanic workers into the economy—The decline in the number of “traditional” white male workers among the younger workers, the rapid pace of industrial change, and the increasing skill requirements of the emerging economy make the full utilization of minority workers a particularly urgent necessity for the future.

  6. Improve the education and skills of all workers—Human capital (knowledge, skills, organization, and leadership) is the key to economic growth and competitiveness.

As these key strategies for modern management suggest, many of the most significant managerial challenges that lie ahead result from dramatic demographic shifts and other complex societal issues. Organizations—and, ultimately, their leaders and managers—will need to clarify their own social values as they confront these dynamics. Social values, discussed further in Chapter 7, are the relative worth society places on different ways of existence and functioning.

The six strategies outlined in the report strongly imply that organizations need to become more inclusive—that is, to welcome a broader mix of employees and to develop an organizational culture that maximizes the value and potential of each worker. As with any major initiative, commitment to developing an inclusive organization begins at the top of the organizational hierarchy. However, on a day-to-day operational basis, each manager’s level of commitment is a critical determinant of how well or how poorly the organization’s strategies and approaches will be implemented.

Promoting Diversity through Equal Employment and Affirmative Action

The Equal Employment Opportunity Commission (EEOC) is the federal agency that enforces the laws regulating recruiting and other management practices. Chapter 10 contains a more extended discussion of the EEOC. Affirmative action programs are designed to eliminate barriers and increase opportunities for underutilized or disadvantaged individuals. These programs are positive steps toward promoting diversity and have created career opportunities for both women and minority groups.

Unquestionably, complying with EEOC legislation can help to promote diversity in organizations and, as a result, help organizations gain the many diversity-related advantages discussed earlier. On the other hand, not following the legislation can be expensive. As an example, consider the 15-year span of government data in Figure 3.2 of monetary settlements to employees who sued organizations for noncompliance with EEOC legislation. Legal settlements to employees reached highs of $148.7 million in 2003 and $168.6 in 2004 but have since shown a decline. Overall, managers should view the EEOC as a source of guidance on how to build organizational diversity and reap its related advantages rather than as a source of punishment when EEOC legislation is not followed.

Figure 3.2 Total monetary settlements paid by companies for noncompliance with EEOC legislation: 1995–2009

Still, organizations can do much more. For example, some employees are hostile toward affirmative action programs because they feel these programs have been misused to create reverse discrimination—that is, they discriminate against members of the majority group in order to help groups that are underrepresented in the organization. When management implements appropriate legal approaches but stops short of developing a truly multicultural organization, intergroup conflicts are highly likely.

Promoting Diversity through Organizational Commitment

Figure 3.3 shows the range of organizational commitment to multiculturalism. At the top of the continuum are organizations that have committed resources, planning, and time to the ongoing shaping and sustaining of a multicultural organization. At the bottom of the continuum are organizations that make no effort whatsoever to achieve diversity in their workforces. Most organizations fall somewhere between the extremes depicted in the figure.

Ignoring Differences

Some organizations make no effort to promote diversity and do not even bother to comply with affirmative action and EEOC standards. These organizations send a clear message to their employees that the dynamics of difference are unimportant. By ignoring EEOC policies, they send their managers the even more detrimental message that it is permissible to maintain exclusionary practices.

Complying with External Policies

Some organizations base their diversity strategies solely on compliance with affirmative action and EEOC policies. They make no attempt to provide education and training for employees, nor do they use the organization’s reward system to reinforce managerial commitment to diversity. Managers in some companies in this category breach company affirmative action and EEOC policies with impunity. When top management does not discipline them, the likelihood of costly legal action against the organization increases.

Enforcing External Policies

Some organizations go so far as to enforce affirmative action and EEOC policies but provide no organizational support for diversity education or training. Managerial commitment to a diverse workforce is either weak or inconsistent.

Responding Inadequately

Other organizations fully comply with affirmative action and EEOC policies but define these policies quite narrowly. Organizational systems and structures are inadequate to support real organizational change. In addition, education and training in diversity are sporadic, and managerial rewards for implementing diversity programs are inconsistent or nonexistent. Although these organizations may design some useful programs, the programs are unlikely to result in any long-term organizational change, and thus the organizational climate never becomes truly receptive to diverse groups.

  • Broad-based diversity efforts based on:

    • Effective implementation of affirmative action and EEOC policies

    • Organization-wide assessment and management’s top-down commitment to diversity

    • Managerial commitment tied to organizational rewards

    • Ongoing processes of organization assessment and programs for the purpose of creating an organizational climate that is inclusive and supportive of diverse groups

  • Diversity efforts based on:

    • Effective implementation of affirmative action and EEOC policies

    • Ongoing education and training programs

    • Managerial commitment tied to organizational rewards

    • Minimal attention directed toward cultivating an inclusive and supportive organizational climate

  • Diversity efforts based on:

    • Narrowly defined affirmative action and EEOC policies combined with one-shot education and/or training programs

    • Inconsistent managerial commitment; rewards not tied to effective implementation of diversity programs and goal achievement

    • No attention directed toward organizational climate

  • Diversity efforts based on:

    • Compliance with and enforcement of affirmative action and EEOC policies

    • No organizational supports with respect to education, training

    • Inconsistent or poor managerial commitment

  • Diversity efforts based on:

    • Compliance with affirmative action and EEOC policies

    • Inconsistent enforcement and implementation (those who breach policies may not be sanctioned unless noncompliance results in legal action)

    • Support of policies is not rewarded; organization relies on individual managers' interest or commitment

  • No diversity efforts:

    • Noncompliance with affirmative action and EEOC

Figure 3.3 Organizational diversity continuum

Implementing Adequate Programs

Some organizations effectively implement affirmative action and EEOC policies, provide ongoing education and training programs pertaining to diversity, and tie managerial rewards to success in meeting diversity goals and addressing diversity issues. However, such companies may still make only a minimal attempt to cultivate the kind of inclusive and supportive organizational climate in which employees will feel comfortable.

Taking Effective Action

The most effective diversity efforts are based on managerial implementation of affirmative action and EEOC policies that are developed in conjunction with an organization-wide assessment of the company’s systems and structures. Such an assessment is necessary to determine how these systems and structures support or hinder diversity goals.

Generally, for such a comprehensive assessment to take place, top management must “buy” the idea that diversity is important to the company. Actually, support from the top is critical to all successful diversity efforts and underlies tying organizational rewards to managers’ commitment to diversity. Ongoing assessment and continuing programs are also necessary to create an organizational climate that is inclusive and supportive of diverse groups.

Promoting Diversity through Pluralism

Pluralism refers to an environment in which differences are acknowledged, accepted, and seen as significant contributors to the entirety. A diverse workforce is most effective when managers are capable of guiding the organization toward achieving pluralism. Approaches or strategies to achieve effective workforce diversity have been classified into five major categories by Jean Kim of Stanford University:35

  1. “Golden Rule” approach

  2. Assimilation approach

  3. “Righting-the-wrongs” approach

  4. Culture-specific approach

  5. Multicultural approach

Each approach is described briefly in the following sections.

Compliance with EEOC policies is one way to promote diversity.

Auremar/Fotolia

“Golden Rule” Approach

The “Golden Rule” approach to diversity relies on the biblical dictate “Do unto others as you would have them do unto you.”37 The major strength of this approach is that it emphasizes individual morality. Its major flaw is that individuals apply the Golden Rule from their own particular frames of reference without knowing the cultural expectations, traditions, and preferences of the other person.

One African American male manager recalled a situation in which he was having difficulty scheduling a work-related event. In exasperation, he suggested scheduling the event for a Saturday. He was then reminded by a coworker that many of the company’s Jewish employees go to religious services on Saturday. He was initially surprised but then somewhat embarrassed that he had simply assumed that “all people” attend “church” on Sunday.

Assimilation Approach

The assimilation approach advocates shaping organization members so that they fit in with the existing culture of the organization. This approach pressures employees who do not belong to the dominant culture to conform—at the expense of their own cultures and worldviews. The end result is a homogeneous culture that suppresses the creativity and diversity of views that could benefit the organization.

One African American woman in middle management said, “I always felt uncomfortable in very formal meetings. I tend to be very animated when I talk, which is not the norm for the company. Until I became more comfortable with myself and my style, I felt inhibited. I was tempted to try to change my style to fit in.”

“Righting-the-Wrongs” Approach

“Righting-the-wrongs” is an approach that addresses past injustices experienced by a particular group. When a group’s history places its members at a disadvantage for achieving career success and mobility, policies are developed to create a more equitable set of conditions. For example, the original migration of African Americans to the United States was forced on them as slaves. Righting-the-wrongs approaches are designed to compensate for the damages African Americans have suffered because of historical inequalities.

This approach most closely parallels the affirmative action policies to be discussed in Chapter 10. It goes beyond affirmative action, however, in that it emphasizes drawing upon the unique talents of each group in the service of organizational productivity.

Culture-Specific Approach

The culture-specific approach teaches employees the norms and practices of another culture to prepare them to interact with people from that culture effectively. This approach is often used to help employees prepare for international assignments. The problem with this approach is that it usually fails to give employees a genuine appreciation for the culture they are about to encounter.

Stewart Black and Hal Gregerson, in their study of managers on assignment in foreign countries, found that some managers identify much more with the parent firm than with the local operation.38 For instance, one male manager, after spending two years opening retail outlets throughout Europe, viewed Europeans as “lazy and slow to respond to directives.” Obviously, his training and preparation had failed to help him adjust to the European host countries and to appreciate their peoples and cultures.

Multicultural Approach

The multicultural approach gives employees the opportunity to develop an appreciation both for differences of a culture and for variations in personal characteristics. This approach focuses on how interpersonal skills and attitudinal changes relate to organizational performance. One of its strengths is that it assumes the organization itself—as well as the individuals working within it—will be required to change in order to accommodate the diversity of the organization’s workforce.

The multicultural approach to pluralism assumes that an entire organization must change in order to accept the diversity of its workforce.

Michael Ainsworth/Dallas Morning News/Corbis

The multicultural approach is probably the most effective approach to pluralism because it advocates change on the part of management, employees, and organization systems and structures. It has the added advantage of stressing that equity demands making some efforts to “right the wrongs” so that underrepresented groups are fairly included throughout the organization.

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