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Globalization, coupled with a relaxation of labor laws has resulted in the smooth movement of the workforce from one country to another. Consequently, the labor force in the majority of multinational corporations comprises individuals from diverse cultural and ethnic backgrounds, races, sexual orientations, levels of expertise, age, and gender. According to Carol and June (2015), globalization brought to an end the epoch of people working in a blinkered environment.
Today, for organisations to be competitive, they require being innovative. The study of migration literature asserts that there is a correlation between innovation and diversity. The research argues that employees from diverse age brackets, cultural backgrounds, and ethnicities introduce novel ideas into organisations leading to their success. Human resource managers should ensure that they exploit the skills of different employees to guarantee innovation.
Carol and June (2015, p. 34) define diversity as “the differences among employees concerning race, gender, personality, age group, cognitive style, tenure, organisational functions, and education”. It entails how individuals view themselves as well as their colleagues. The way employees perceive themselves, and their workmates influence their relationships. An organisation with a diverse workforce should ensure that it has efficient communication strategies.
It would be difficult for the workforce to adopt or embrace innovation without adequate communication. Currently, a majority of the innovation studies do not analyze the skills complementarities, age differences, cultural features, and ethnic backgrounds of the workforce. Instead, they treat employees as a regular group of workers. They fail to consider the unique features of individual employees. It would be difficult to identify the impact of employee diversity on the inventiveness of business without taking into account the unique features of particular groups of workers.
Research Background
Most employees’ features like education, age, cultural background, and occupation impact their knowledge acquisition. Age disparities among workers in the same occupational group influence employees’ productivity and viewpoints. Employees from diverse age brackets possess extensive knowledge and experience that can assist businesses to innovate. Innovation refers to the introduction of novel ideas and ways of doing things into an organisation, resulting in dramatic and significant transformations. Moreover, the enhancement of existing operations or products can be regarded as an innovation.
Previously, researchers attributed the change to infrastructural development. Today, they appreciate the contribution of employee experience to organisational innovation. Indeed, the current studies regard workers as the primary source of innovation. Many studies argue that there is a correlation between employee’s age, level of experience, and innovation. The Baby Boomers exploit their vast experience to introduce novel ideas into the organisations.
Conversely, millennials are open to trying new ideas, which contributes to innovation. Coca Cola Company appreciates the significance of diversity to its growth. Thus, the company has invested in employees from diverse age groups. In Birmingham, Alabama, the company’s workforce comprises individuals from different generations. A blend of employees from various age groups boosts the company’s innovation.
Research Problem/Rationale
Coca Cola Company is a renowned multinational corporation that specializes in the production of a variety of beverages. It is among the biggest companies not only in the United States but also across the globe. The company has a diverse workforce, and despite the numerous challenges attributed to employee diversity, it has managed to remain innovative. Many human resource managers are unable to exploit the benefits attributed to diversity due to biases and cultural prejudices. Carol and June (2015, p. 42) allege, “Diversity requirements are contingent upon a range of organisational idiosyncrasies”.
Therefore, companies require adopting diversity management techniques that suit their needs. Many people relate the high level of innovation in Coca Cola Company to its financial capabilities. They fail to appreciate the contribution of the company’s workforce to innovation. The company has a workforce comprising of individuals from diverse age groups. The employees share experiences and are willing to try novel ideas.
The rationale for this paper is to evaluate the contribution of age diversity to innovation not only in Coca Cola Company but also across the organisations. The majority of the present studies analyze diversity regarding cultural differences. They fail to appreciate that diversity is about disparities among individual employees. The investigator will conduct qualitative research at Coca Cola Company to investigate the role of employee diversity in innovation. The research will shed light on the need for human resource managers to consider the needs of individual generational groups of employees to realize innovation.
Research Aim and Objectives
The purpose of this study is to assess the contribution of age diversity to innovation in Coca Cola Company in Birmingham, Alabama. The contemporary workplace requires a labor force that can bring different worldviews, experiences, and strengths. Organisations can realize this goal by hiring employees from diverse age groups. Besides bringing different strengths and skills, such a diverse workforce ensures that a corporation does not incur huge costs due to employee turnover. Every employee has unique qualities, thus the need to have a working atmosphere that caters to the needs of all workers. Human resource managers must be aware of all the skills necessary for managing a diverse workforce. The following objectives have been identified:
- To determine the factors that drive the recruitment of workers from various age brackets in multinational companies
- To analyze the determinants of innovation in multinational corporations
- To identify the impacts of age diversity on innovation in beverage companies
- To make relevant recommendations on the best ways to use age diversity to promote innovation
Research Questions
The research questions that guide this study include;
- What are the determinants of recruiting employees from the appropriate age groups by Coca Cola Company, USA?
- What are the factors that contribute to innovation at Coca Cola Company?
- What are the impacts of age diversity of innovation at Coca Cola Company?
- What are the most efficient ways of exploiting age diversity to enhance innovation at Coca Cola Company?
Significance of the Research
This research will contribute to human resource management theories because it helps to empirically test the impacts of age diversity on innovation not only in beverage companies but across the organisations. In the case of Coca Cola, the research will help the company appreciate the benefits of recruiting employees from diverse age groups.
Literature Review
Defining Diversity and Innovation
According to Boehm et al. (2014, p. 698), “The interplay between diversity and innovation in the organisational setting is a complex and at times challenging one”. Diversity and innovation are multidimensional terms, and their definitions differ according to policymakers, academic disciplines, and business leaders. The conflicting and bewildering state of these definitions makes it difficult for people to appreciate the correlation between diversity and innovation. However, to realize the objectives of this study, it is imperative to have a precise framework that depicts the academic definition of the terms and align them with business practices.
Age Diversity
According to Guillaume et al. (2013), diversity is defined from a legal point of view based on six demographic elements, which are age, ethnicity, gender, religion, sexual orientation, and disability. The majority of the businesses adopt this definition in their policies. Age diversity refers to “differences in age distribution among employees and is used to describe the composition of the organisation as a whole or composition of workgroups within a company” (Guillaume et al., 2013, p. 130). Social categorization and social identity theories help to elucidate diversity. The frameworks explicate how individuals identify themselves and others based on significant demographic features like age, gender, and ethnicity. Today, literature classifies employees are Baby Boomers or millennials based on their age.
Innovation
According to Parrotta et al. (2014, p. 321), “innovation is a multidimensional term that displays subjective and objective traits”. The subjective attributes encompass the processes of ingenuity and imaginative thinking, the sharing of creativity with other workers, and the assimilation of the ingenious ideas by workers. Conversely, the objective features of innovation relate to “the structures within which such ideas are thought about, transmitted to, and taken up by others, and the output and outcome regarding definable benefits” (Parrotta et al., 2014, p. 325). This report will treat innovation as the creation and introduction of novel ideas that facilitate the production of quality products and services.
The link between Diversity and Innovation
Previous studies and commentary from economists indicate that there are positive correlations between diversity and innovation in a business milieu. Kunze et al. (2013) hold that age diversity in an organisation results in an enhanced degree of innovation, ingenuity, and problem-solving. Diversity, together with the appreciation of strengths and weaknesses of individual employees promote inventiveness and improve problem-solving abilities. Research conducted in Germany found that organisations with multigenerational workforces recorded high levels of innovation and research and development (Ng and Feldman, 2013).
According to Ng and Feldman (2013), age diversity enhances flexibility within a business due to the presence of different mindsets. In return, it becomes easy for a company to innovate and embrace new ideas and processes. Diversity accords business a broad range of viewpoints, and a wider continuum of expertise. Consequently, it enables the company to come up with novel ways of addressing current problems and decision-making. Evolutionary economics and innovation studies hold that enterprises with diversity in experience, knowledge, and skills amid their workers profit from complementarities, which can promote growth in other fields.
Age diversity enables organisations to adopt broader routines. Moreover, companies can conduct extensive research to come up with novel ways of handling problems. The upper echelon theories argue that demographic features, experience, and education impact how employees interpret and handle problems.
Conceptual Framework
An organisation cannot realize innovation without four critical elements, which are collaboration, idea generation, implementation, and value creation.
Collaboration
It would be difficult for an organisation to innovate without the participation of all workers. Today, organisations grapple with compound problems. Thus, they require the involvement of individuals with diverse mindsets. Collaboration entails not only working as a team but also brainstorming. A business with a multigenerational workforce can promote collaboration by encouraging employees to think together and share their experiences.
Idea Generation
The present level of competition in the global business world calls for organisations to be innovative. The generation of novel ideas allows a business to stand out from rivals. Age diversity enables companies to establish robust ways of evaluating problems and opportunities. Employees share their knowledge and experiences, allowing them to come up with novel ideas that would be helpful to business.
Implementation
New ideas cannot benefit an organisation if not put to use. Organisations with a diverse workforce can quickly implement new ideas. Age diversity enables organisations to have a workforce comprising individuals with varying capabilities, knowledge, and experience. Therefore, it becomes easy for a business to implement new ideas because it does not require hiring experts. Responsibilities are shared according to the capabilities of the employees.
Value Creation
An organisation is said to have realized innovation if the new ideas add value to its products or services. The primary objective of innovation is to add value to an enterprise. Innovation enables organisations to improve existing products or services incrementally or introduce new goods and services. Organisations can add value to new ideas by developing co-brands or experimental brands. It gives them the liberty to test novel ideas without affecting established brands. Diversity allows businesses to come up with robust solutions and concepts, which facilitate value creation.
Methodology
Research Philosophy
Research philosophy refers to the belief in which information regarding a particular phenomenon should be collected, evaluated, and utilized. Petty, Thomson, and Stew (2012, p. 271) argue, “The term epistemology (what is known to be true), as opposed to doxology (what is believed to be true), encompasses the various philosophies of research approach”. The two major philosophies of the research approach are interpretivism and positivism. The positivism approach holds that reality is “stable and can be observed and described from an objective viewpoint without interfering with the phenomena being studied” (Petty et al., 2012, p. 273).
It argues that the researcher should be able to isolate the subject or phenomenon being studied and make repeatable observations. The interpretive approach holds that scientists can understand reality through subjective intervention and interpretation. The approach advocates the examination of research subjects in their natural environment. This study will use the positivism approach. It will enable the researcher to use a structured and controlled method to conduct research. The researcher will not have difficulties identifying the research topic, formulating research questions, and adopting an appropriate methodology.
Research Approach
The two primary research approaches are deductive and inductive techniques. The two methods differ according to their objectives. The inductive approach aims at coming up with novel theories to explain a particular phenomenon. On the other hand, the deductive approach seeks to assess the veracity of particular theories. The method is suitable for studying specific and general aspects. It helps researchers to narrow down general theories and come up with precise conjectures that are easy to evaluate.
This study aims at closing the gap that exists in prior studies related to diversity management. The study seeks to narrow down existing theories about the significance of diversity to organisations and test the impact of age diversity on innovation. Hence, the deductive approach is suitable for this study as it will enable the researcher to state and follow the research objectives. The plan will allow the researcher to concentrate on precise details, thus being able to address the research questions.
Research Design
The researcher requires using a study design that will help to answer all the research questions adequately. Lewis (2015) argues that researchers should select a research design based on available resources and time. For this research, the pollster will use a qualitative research design to gather data from the Coca Cola Company. The primary reason for selecting a qualitative design is that it will allow the investigator to acquire in-depth information about how the company manages diversity. Moreover, the research design will help the researcher to have a precise idea of what to anticipate from the study.
Method of Data Collection
There are numerous methods of collecting qualitative data, which include focus groups, observation, individual interviews, and action research among others. This study will rely on interviews as the only method of data collection. The investigator will use open-ended questions to ensure that they gather adequate information. The researcher will conduct face-to-face interviews with the selected participants. It will enable the pollster to make clarifications in areas that they do not understand.
The investigator will avail the interview questions to the participants in advance to facilitate thorough preparation. The researcher has selected interviews because they facilitate a comprehensive examination of the research issues. The pollster can ask as many questions as possible to ensure that they understand the research subject. They can also read and understand the nonverbal cues of the participants.
Gaining Access to Data
It will be hard for the researcher to gather information without gaining entry to the Coca Cola Company. Hence, there is a need to look for an appropriate strategy to get access to data. In this case, the researcher will use a reciprocity tactic to gain access to information. The investigator will share the findings of the investigation with the Coca Cola Company. The company will allow the researcher to conduct their research as it will also benefit from the results.
Study Population and Sample
The population for this study will comprise Coca Cola Company’s employees and human resource managers. Particularly, the sample population will consist of 30 employees from diverse generations and five human resource managers who work in Birmingham, Alabama. The researcher will select both the employees and human resource managers to allow them to gather adequate information about their perception of diversity.
Employees will provide information about how they relate to their colleagues from different generational groups. The managers will give information about the strategies that they use to manage diversity. The investigator will use a probability sampling design. The researcher will use a stratified random sampling technique to select the participants. The sampling method will ensure that the participants have equal chances of being selected. The sample size will be determined based on time availability and financial resources.
Research Context
The study will be conducted in Coca Cola Company in Birmingham, Alabama. The company is one of the multinational corporations with a diverse workforce. For decades, Coca Cola Company has managed to maintain its growth by recruiting a diverse workforce. Therefore, researching the company will enable the researcher to gain in-depth knowledge about the contribution of age diversity in the organizational performance. The research will focus on age as the primary aspect of diversity.
Data Analysis
The researcher will analyze data using thematic content analysis techniques. It entails familiarising with the gathered information, labeling or coding the data, identifying the apparent themes, evaluating the themes to ensure that they correspond to the data, and defining and renaming them.
Provisional Work Schedule.
References
Boehm, S., Kunze, F. and Bruch, H. (2014) Spotlight on age-diversity climate: the impact of age-inclusive HR practices on firm-level outcomes. Personnel Psychology. 67(3), pp. 667-704.
Carol, H. and June, A. (2015) Understanding and managing diversity: readings, cases, and exercises, Boston: Pearson.
Guillaume, Y., Dawson, J., Woods, S., Sacramento, C. and West, M. (2013) Getting diversity at work to work: what we know and what we still don’t know. Journal of Occupational and Organizational Psychology. 86(2), pp. 123-141.
Kunze, F., Boehm, S., and Bruch, H. (2013) Organizational performance consequences of age diversity: inspecting the role of diversity-friendly HR policies and top managers’ negative age stereotypes. Journal of Management Studies. 50(3), pp. 413-442.
Lewis, S. (2015) Qualitative inquiry and research design: choosing among five approaches. Health Promotion Practice. 16(4), pp. 123-152.
Ng, T. and Feldman, D. (2013) A meta-analysis of the relationships of age and tenure with innovation-related behavior. Journal of Occupational and Organizational Psychology. 86(4), pp. 585-616.
Parrotta, P., Pozzoli, D. and Pytlikova, M. (2014) The nexus between labor diversity and firm’s innovation. Journal of Population Economics. 27(2), pp. 303-364.
Petty, N., Thomson, O. and Stew, G. (2012) Ready for a paradigm shift? part 1: introducing the philosophy of qualitative research. Manual Therapy. 17(4), pp. 267-274.
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