Workforce Diversity

1. Workforce Diversity HRM Implications

2. Values Exercise • List your personal values. • Check each one that applies to you in the context of your job (line one). • Check each one that applies to your organization (line two).

3. Organizational Culture A set of collective, communicated beliefs and values that influence behavior throughout the organization

4. OC Considerations • Decision-making • Communication • Ambiguity • Risk • Achievement • Individualism vs. collectivism • Accountability • Diversity

5. “If organizations want to remain competitive in the marketplace, diversity has to be a part of the strategic goal.” Susan Meisinger President Society for Human Resource Management

6. By 2008, women & minorities are expected to comprise up to 70% of new entrants into the workforce Approximately 40% of all American consumers are non-White. Spending among African Americans, Asian Americans & Hispanic Americans is estimated to exceed $650 billion annually.

7. Diversity Any perceived difference among people: age, race, religion, functional specialty, profession, personality, sexual orientation, geographic origin, lifestyle, tenure, position

8. Diversity Management Ensuring factors are in place to provide for & encourage the continued development of a diverse workforce by merging actual & perceived differences among workers to achieve maximum productivity; the ability to use the talents of people from various backgrounds, experiences & perspectives

9. Why manage diversity? To establish & maintain a competitive advantage in an increasingly heterogeneous society

10. Achieving diversity goes beyond political correctness It is fostering a culture that values individuals & their wide array of needs & contributions

11. A challenge for managers Is to recognize that people with common, but different characteristics from the mainstream, often think, act, learn & communicate differently

12. Every person, culture & business situation is unique There are no simple rules for managing diversity other than development of patience, open-mindedness, acceptance & cultural awareness

13. Goal: Cultural Competency A set of congruent attitudes & policies that come together in a system to enable effective strategic goal attainment in the cross-cultural business environment

14. 2010 Workforce Projections • 36.3% increase in Hispanic workers • 14% of U.S. population in 2006 • 20.7% in African-American workers • 12% of U.S. population in 2006 • Decrease in men’s share of the labor force • Increase in 16-24 y/o • Decrease in 25-54 y/o • 50% increase in workers 55 or older* *2012

15. Improves corporate culture Improves employee morale Higher retention Easier recruitment Less complaints/litigation Increases creativity Less interpersonal conflicts Enables moves into emerging markets Improves client relations Increases productivity Improves the bottom line Maximizes brand identity Reduces training costs *Fortune Magazine Benefits of Diversity

16. Diversity Management Challenges • Balancing individual needs with group fairness • Dealing with resistance to change • Ensuring group cohesiveness & open communication • Avoiding employee resentment & backlash • Retaining valued performers • Maximizing opportunities for all

17. Women • 48% of the workforce • 73% female-male earnings ratio • 55% account for at least ½ household income • Male-dominated corporate culture • Social norms-flexibility • Single, sequencing mothers

18. Workers of Color • Stereotypes • Discrimination • Dual socialization or biculturalism • Role overload • Misunderstandings • Business practice differences

19. Older Workers • Graying of America • Worker shortage • Health care field • Recruiting • Job restructuring • Different careers • Flexibility • Productivity

20. People with Disabilities • 19% U.S. population • 56.6% are employed • Preconceived notions • Worker relationships • Inconsistent management • Reasonable accommodations

21. Immigrants • Cultural differences • Work ethics • Adaptation • Skill specialization • Legal status • Immigration Reform & Control Act of 1986 • H-1B visa • Temporary workers • L-1 classification

22. Homosexuals • Legal protection • “Don’t ask, don’t tell” • Key issues • Hiring • Intolerance • Fear & prejudice

23. HRM Suggestions • Inclusive, diverse hiring practices • Ongoing focus groups • Ongoing diversity training programs with focus on human behavior • Ongoing support groups • Mentoring programs • Apprenticeships • Flexibility • Management responsibility & accountability

24. Potential Problems • “White male bashing” • Promotion of stereotypes

25. Strategic Diversity Management: Lessons from IBM • 1993: CEO Lou Gerstner • Engage employees as partners • 8 employee task forces • Integrate diversity with management practices • Support at the highest levels • Link diversity goals to business goals • Expand customer, distributor base

26. Embracing Diversity: AFLAC • Recruitment • Online • Referrals • Retention • 10% voluntary turnover • Relationships • Mentorship • Professional training • Open door policies • Rewards • Creativity in promoting diversity • Reinforcement • Volunteer diversity council • Employee Appreciation Week