4-1 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall Managing Diversity Chapter 4

4-2 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall Chapter 4 Overview  What is Diversity?  Challenges in Managing Diversity  Diversity in Organizations  Improving Management of Diversity  Some Warnings

4-3 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall  Diversity— characteristics that make people different from one another, including  Characteristics a person has little or no control over, and  Characteristics that can be adopted What Is Diversity?   Stereotyping   Why Manage Diversity?

4-4 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall  Affirmative Action  Government program  Designed to increase minority hiring Affirmative Action vs. Managing Diversity   Managing Diversity — recognizes   Diversity as a potential asset   Firms with white men as the majority are fast becoming a thing of the past   The integration of women and minorities affect performance

4-5 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall  Very rapid growth in number of minorities since 1990  Growth expected to continue at fast pace  Two basic reasons:  Immigration  Baby boom generation Demographic Trends   White Americans expected to be minority in 20 years   All ready are in 19 of top 25 metropolitan areas

4-6 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall Demographic Trends

4-7 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall  Diversity can have positive, negative, or neutral effect on firm performance   Depends on how diversity is managed   Increased creativity and innovation   Better group problem-solving   Improved marketing   Greater system flexibility   Better information Diversity as an Asset

4-8 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall Challenges in Managing Diversity  Diversity vs. Inclusiveness   Individual vs. Group Fairness   Universal Mgmt   Cultural Relativity

4-9 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall  Resistance to change Challenges in Managing Diversity   Group cohesiveness and interpersonal conflict   Segmented communication networks   Resentment   Retention   Glass Ceiling   Competition for opportunities

4-10 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall  African Americans  Asian Americans  People with disabilities  The foreign born  Homosexuals  Latinos (Hispanic Americans)  Older workers  Religious Minorities  Women Diversity in Organizations

4-11 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall Factors affecting women’s earnings and mobility: Diversity in Organizations   Biological constraints and social roles   Male-dominated corporate culture   Exclusionary networks   Sexual harassment

4-12 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall Improving Diversity Management  Must have top management support   Diversity Training Programs   Support groups   Accommodation of family needs   Day care and Alternate work patterns   Senior Mentorship Programs   Apprenticeships   Communication Standards   Diversity Audits   Management responsibility and accountability

4-13 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall  Avoiding the appearance of “white male bashing” Some Warnings…   Avoiding the promotion of stereotypes   Cultural determinism—assumption that o o You can infer someone’s motivations, interests, values, and behavior o o Based on group membership   Inclusiveness training

4-14 Copyright ©2010 Pearson Education, Inc. publishing as Prentice Hall  When diversity successfully managed, it can lead to a competitive advantage  But many challenges in managing diverse employees  Must be careful not to engender resentment or promote stereotypes  Treat everyone as an individual Summary and Conclusions