Organizational Culture and Workforce Diversity Chapter 8-3: Organizational Culture and Workforce Diversity

GOALS Recognize factors that contribute to an effective organizational culture. Describe the benefits of diversity to an organization, individuals, and society.

DEVELOPING AN EFFECTIVE CULTURE Technology has reduced the need for low-skilled employees and demanded that current workers have much greater skills. An organizational culture is the environment in which people work, made up of the atmosphere, behaviors, beliefs, and relationships. An organizational culture shows people how they will be treated and how they are expected to treat others.

WORK ENVIRONMENT The work environment is the physical conditions and the psychological atmosphere in which employees work. Physical conditions include: work area, offices, break rooms, storage areas, and all other spaces where employees spend time while at work Physical work environment includes: tools and equipment, lighting, temperature, and air quality Employees do not want to work in a place where they feel they are mistreated or where their ideas are not valued. Offering a positive psychological environment means that managers are trained in effective communications and interpersonal skills.

WORK-LIFE RELATIONSHIPS A positive organizational culture is one that respects the demands on employees from outside of the job. This includes personal time, family leave, flextime, job sharing, and flex place. Personal time- a few hours each month that can be scheduled for non-job activities. Family leave- policies allow employees to leave of absence for the birth or adoption of a child, to take care of a sick family member, or for other personal emergencies. Flextime- allows employees some choice in how their work days and work hours are arranged.

Cont. Job sharing- offers one job to two people. Flexplace- means that some employees can complete part or all of their work away from the business site.

EMPLOYER-EMPLOYEE RELATIONS Unprofitable businesses have to reduce the number or employees they hire. Managers and employees do not always have the same immediate goals. Managers who involve employees in decision-making find that better decisions are made. Employees understand that when they cooperate with management, managers have a better understanding of their needs and expectations.

LABOR UNIONS A labor union is an organized group of employees who negotiate with employers about issues, such as wages and working conditions. Unions and management resolve issues through collective bargaining, which is formal negotiation between members of both groups.

WORKFORCE DIVERSITY Diversity is not always reflected in various job categories or in management positions. People with diverse backgrounds and characteristics are promoted into leadership and management positions, it will encourage others like them to work hard to achieve that same success.

BENEFITS OF DIVERSITY Diversity- the comprehensive inclusion of people with differences in personal characteristics and attributes. Companies that build a diverse workforce see several benefits. Organizational Benefits Prospective employees and managers are drawn from the broadest possible employment. Individual Benefits Each employee will have the opportunity to develop their full ability. Societal Benefits Prejudice and discrimination will be reduced as a societal problem. Glass ceiling- an artificial limit placed on monitory groups moving into positions of authority and decision-making.

DEVELOPING A DIVERSE ORGANIZATION The following steps have been used successfully in a number of businesses and other organizations to develop diversity: Develop a written commitment to diversity. Prepare a mission statement that clearly communicates the company’s values. Have the full support of top executives. The top mangers in the business must make diversity a priority in their written and oral communications and in their actions. Review evidence of diversity in the company. Gather data on the diversity characteristics of all employees, managers, and companies.

Cont. 4. Update policies and procedures. Make sure that recruiting, hiring, performance evaluation, and promotion practices encourage diversity. 5. Provide continuing diversity education. All managers and employees should participate in programs to increase their understanding of inclusion and diversity. 6. Recognize and celebrate diversity. Make diversity a part of the organization’s culture.

8-3 Assessment True or False. There are greater numbers of both younger and older employees in the workforce today than in the past. Some employees can complete part or all of their work away from the business site under A. flextime B. flexplace C. job sharing D. personal time 3. The term most closely related to diversity is a. affirmative action b. discrimination c. minority d. inclusion