Diversity in Business Organizations Term Paper

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Updated: Dec 18th, 2023

Introduction

If an organization adopts diversity management, the performance and output are bound to increase. Conversely, if an organization doesn’t pay much heed to managing people from diverse cultures and ethnicities, the results can be drastic and appalling. When it comes to relationships, they are mutual (equal response from both sides).

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So if employees don’t get proper response and acknowledgement it is quite possible that they too will be indifferent towards their organizations. This particular situation is more relevant in organizations where employees are from different cultures and ethnicities. So if an organization wants to prosper, it should give due importance to the diversity management policies.

Literature review

Having diversity in an organization is very beneficial. In today’s business environment, where companies are going global, diversity recruitment becomes all the more crucial. Managers have to tackle their diverse subordinates in a very delicate and professional manner. Companies have to do buying and selling throughout the world.

It is human tendency to favor people of the same ethnicity and culture. In such a scenario, if organizations have employees from various ethnicities and cultures, it will be easy for them to do their business. Suppose if a British Company has business interests in India and has Indian sales personnel, it will be easy to convince the Indian buyers.

Moreover, the Indian sales personnel will have an idea of the mentality of Indians and will have the tactics to convince them. This particular aspect will become all the more important in the ensuing years when companies, due to saturation at home markets, will expand their businesses to other countries.

People from different countries have different perspectives regarding the ethics of work. For instance, the Germans believe that truth is the key to success, according to the Chinese truth is not absolute, and the British don’t want unnecessary trouble (Shakhray, 2009). This aspect should also be considered while making policies pertaining to diversity management.

By creating a harmonious work atmosphere, where diversity is irrelevant, managers can augment their company’s reputation in the placement market. This will help the company in catching the attention of qualified and efficient workers. In the long run such diverse employees may prove to be beneficial for the company.

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If the managers are efficient and if they follow the company’s diversity management policy, they can generate such a work atmosphere where all the employees would consider themselves to be important and appreciated. Rewarding the better performers, irrespective of their diversity, will further infuse motivation among the employees and as a result, they will work more enthusiastically and will involve themselves more.

Diverse workforce is an asset to any organization. In absence of workers from around the world, organizations may find it tough to penetrate foreign markets. One of the peculiar aspects of diversity management is that it should be “particular rather than universal” (Dass & Parker, 1999, p. 68). Dass and Parker are logical in their opinion because the behavior and environments of people differ from place to place.

So an organization can not have the same diversity management policies for all of its offices around the globe. Such policies ought to be changed with regard to different countries. The important factor that should be considered while formulating diversity management policy related to human resources in a country is that the emotions of the local employees of that particular country should also be taken into consideration. This kind of policy will raise the morale of other employees and they will work more enthusiastically.

If all the employees of an organization are treated without any bias, there ought to be better results or performance. It is human psychology to expect one’s right of equality. In a diverse atmosphere, organizations can not afford to have holidays on all the festivals of the world. But it can have a policy that allows employees of different religions and ethnicities to take holidays on the days of their respective religions or other festivities. This will have an emotional impact on the employees and will motivate them.

The salary and other perks, incentives etc., should be at par. The incentives should be based on performance and not on the ethnicity or cultural background. In countries where English is not the national language, organizations should arrange special tutorials for the natives of English speaking countries.

This will infuse confidence and motivation among the employees. Promotions and career development should also be based on the performance and not on the nationality of employees. This will inculcate a feeling of equality among the employees and they will perform better.

According to a study sponsored by the U. S. Department of Commerce and Vice President Al Gore, the factors responsible for a successful implementation of diversity management policies are, “Leadership and management commitment, employee involvement, strategic planning, sustained investment, diversity indicators, accountability, measurement, and evaluation, and linkage to organizational goals and objectives” (Walker & Benton, n.d., p. 6).

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Summary

The management should understand the fact that the organization runs or makes profits due to their employees. So it’s very crucial to keep them happy. By simply taking care of the sentiments, emotions and interests of their employees, organizations can reap huge profits. Moreover, it becomes the moral responsibility of the organizations to take care of their employees.

Conclusions

In concluding, it is understood that diversity management policies are a must for any organization, especially for the multinational ones. The future holds much more for the diversity management. Organizations will have to formulate more flexible diversity management policies in order to recruit and retain their employees. As the global business is developing, so are the organizations and new businesses are being set up incessantly. The competence of candidates is also increasing and so is their expectation. It is human nature to expect the best and as such, candidates will prefer those companies that offer better human resources.

References

Dass, P., & Parker, B. (1999). Strategies for managing human resources diversity: From resistance to learning. The Academy of Management Executive, 13(2), 68-88.

Shakhray, I. (2009). Managing diversity in the workplace. Germany: Grin Verlag.

Walker, O., & Benton, D. (n.d.). . Web.

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IvyPanda. (2023, December 18). Diversity in Business Organizations. https://ivypanda.com/essays/diversity-in-business-organizations/

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"Diversity in Business Organizations." IvyPanda, 18 Dec. 2023, ivypanda.com/essays/diversity-in-business-organizations/.

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IvyPanda. (2023) 'Diversity in Business Organizations'. 18 December.

References

IvyPanda. 2023. "Diversity in Business Organizations." December 18, 2023. https://ivypanda.com/essays/diversity-in-business-organizations/.

1. IvyPanda. "Diversity in Business Organizations." December 18, 2023. https://ivypanda.com/essays/diversity-in-business-organizations/.


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IvyPanda. "Diversity in Business Organizations." December 18, 2023. https://ivypanda.com/essays/diversity-in-business-organizations/.

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