Workplace Diversity in Silicon Valley

Introduction & Background

Since the US is the nation of immigrants, it has been a major supporter of the concept of diversity management as an efficient organisational retort to the confronts within the public and private sectors.

Many past empirical studies have found that diversified workforce is normally more advantageous to a business as it helps to maximize its revenues.

However, critics are of the view that the diversity is nonconsequential to a business or it will destabilise the business by creating chaos, destabilising the cohesion and thus, ending in the decline of productivity.

However, there have been empirical evidences that diversity is more closely associated with the enhanced sales revenues , have added more customers , created larger market share and created higher revenues.

Further, it has been proven that gender diversity has also resulted in the enhanced sales revenue and more customers to the business. (Herring 2009,p.208).

According to Hubbard (2004), diversity pays and it helps to cater the customer’s demands, it helps to comprehend the heartbeat of the marketplace and enhances the quality of goods and services.

According to Cox (2001), diversity enhances the workplace atmosphere by widening employee viewpoints, fortifying teamwork of employees and facilitating higher resources for finding solutions to the issues.. (Herring 2009, p.209).

According to Florida and Gates (2002), companies in the Silicon Valley having comprehending the competitive benefits of the diversity, companies started to focus more on heterogeneous employees to enhance their bottom line and earnings.

According to Xin (1999), some critics see diversity as process and lament that diversity involves a major potential costs. Skerry (2002) is of the view that ethnicity and racial diversity is associated with the conflict among co-employees.

Tsui et al. (1992) are of the view that diversity reduces group solidarity and due to this, there will be more employee turnover and absenteeism. According to Rothman et al (2003), greater diversity may result in lower quality as the engagement of unqualified employees to carry out the job. (Herring 2009, p.210).

Globalisation has facilitated many multinational companies to expand their business in almost all parts of the globe. For multinational companies, diversity plays a dominant role as they have to employ diversified workforce depending upon the culture and customs of the country in which they operate.

For instance, IBM entered into the minority market strategically by encouraging diversity in its employee fleet. The outcome is that it attained a virtuous progress and growth. (Thomas 2004, p.1).

Apple Computer core aim is to promote diversity. It has encouraged its employees to establish groups among themselves based on their cultures and customs like Apple Black Network, Apple Hispanic Association, Jewish Cultural Group, Lambada, a lesbian and gay group, Apple Professional Women’s Organisation and Asians in Action.

The main benefit to be derived from such groups of Apple is that such groups act as a ventilation or promotion media and for example, Apple Black Network may organise a national seminar on how to sell and market more Apple computers to African Americans and to redress their demand to offer more promotions in jobs for Apple’s black employees. (Rodriguez 1991).

Purpose

The purpose of this report is to explore the diversity in Silicon Valley.

Company review

Dell is a multinational company functioning in 34 nations around the world with about 111,000 employees as of 2013 and 68,300 employees are located outside the USA and having sales of $ 56.94 billion as of February 2013.

Dell is structured its business activity in Japan, Asia-Pacific, USA and Europe, Middle East and Africa. Even though, Dell corporate’s head office is at Texas, it major functions are from Silicon Valley. (Dell.com 2012).

Dell computer is the global leader in the personal computer and is continuing to gain further market share and regularly reports profits in an industry where other partners are struggling with declined sales and incurring heavy losses.

Dell unique sales strategy is that it sells almost 90% of the PCs to the customers directly surpassing the reseller or distribution channel. Dell enjoys unique advantages due to its direct marketing thereby winning customer relationship as compared to indirect sales replica. (Kraemer & Dedrick 2010, p.1).

Dell is of the view that its devotion to diversity and to offer the best customer experience assists it to be the leader in the market place. Dell is extending its services to its customers with disabilities thereby offering Dell products who have auditory injury with the help of listening and light devises.

For those with physical impairment, it supplies its products with the fine-tuning hardware and with fine motor-skills hardware. (Dell.com 2012). For people affected by disabilities, it also supplies plug-and pay computers. (Dell.com 2012).

Dell management strongly believe that to have diverse workforce who will generate innovative and diverse ideas that make the Dell as the best company of choice for its customers around the world.

For building vibrant association with its Hispanic customers, Dell has developed a number of new communication channels. In 2008, Dell was named as the one of the top 10 nations for the best Supplier Diversity by DiversityInc.

Further, it is also ranked as the second top organisation for the multicultural business opportunities in the year 2008. Dell has been named to the Billion Dollar Roundtable in the year 2008 as it had allocated more than $1 billion with women-owned suppliers and minority.

Dell has been acknowledged by many multicultural groups and publications for its diversity initiatives and received major awards from Hispanic-centred organisations. (Dell.com 2012).

Dell strongly deems that so as to remain a global successful company, its business should able to leverage the differences and likeness of all of its team members.

To accomplish that, its CEO Michael Dell who chairs the Dell Global Diversity Council which drives and monitors diversity efforts throughout its organisation. (Dell.com 2012).

According to Michael Dell , Chairman and CEO of the Dell Inc , employing a diversified work force of 110,000 employees is not an easy task and is focussing more on the diverse global team and always Dell want to have its commitment to diversity and inclusion and that would continue to be a competitive advantage in Dell’s future business strategy.

According to Lisa Mink, ED for Human Resources and Chief Diversity Officer, Dell is giving more attention to inclusion and diversity which is an integral part of its global business strategy.

Thus, Dell is aiming to establish a convinient workplace for all of its team members which will facilitate Dell to reap the whole potential of each individual, can push motivation and promote an atmosphere for its global team to offer its best services so as to cater the demands of its customers. (Dell.com 2012).

Literature Review

Diversity can be said to be one of the uniqueness of the Silicon Valley.

According to Pete Engradio, in Silicon Valley colour-blind immigrants have attained their great dreams and more than 100,000 technical experts from Europe, India, Israelis and Chinese make the Silicon Valley as the world renowned centre of Information technology.

It is estimated that about 33% of the technicians employed in Silicon Valley are immigrants. The Silicon Valley success can be attributed to a regular establishment of diverse companies that interact and support with one another.

The Major players of Silicon Valley is comprised of a cluster of knowledge workers around the globe , venture capitalists, research institutes and universities , advance service infrastructure , lead-users , customers and embracers of new technologies. (Buckley & Ghauri 2002, p.231).

According to Scott Page, the Difference connotes that growth and novelty which may reckon less on lone thinkers with massive Intelligent Quotients instead of diverse people joining together and taking advantage on their individuality.

Page demonstrates how groups that exhibit a variety of outlooks surpass groups of similar-minded specialists. Diversity capitulates better results, and Page shows it by employing his own vanguard research.

Shifting apart from the politics that blur typical discussion about diversity, he clarifies why difference edges out similarity, whether one is discussing about citizens in egalitarianism or scientists in the lab. He looks at practical means to apply diversity’s logic to variety of issues. (Page 2008,p.23).

Success of firms runs by immigrants

Diversity in a business means variance in nationality, chief language, belonging to different religious practice, age and social status which may either bring more advantages or destabilise a business. Managing the diversity efficiently is the main criteria to leverage the benefits and to maximise their diversity in the workplace.

According to Kroll et al. (1998), skilled immigrants who worked in the Silicon Valley contributed to California’s economic growth. Silicon Valley is the best model that a region can become economically strong due to its technological innovation and it become as a leading export region in California due to diversity. (Cornelius 2002:57).

It is to be noted that every one in six owners of small business being immigrants even though immigrants constitute just 13% of the aggregate of the U.S population. (Koba 2012).

Further, according to FPI report, about 4.7 million U.S based employees are being engaged by the immigrant owned business in the U.S and these companies have reported about $776 billion as revenues. (Koba 2012).

According to recent report, about 141,000 business and professional service sector, 120,000 retail and construction and 100,000 social services and educational sector, hospitality and leisure sector are owned by the immigrant business owners in USA. (Koba 2012).

According to Saxenian (2002), Asian skilled immigrants have made enormous economic contribution in Silicon Valley both by way of trade facilitators and investment with their nation of origin and by way of entrepreneurs.

About one-third of Silicon Valley workforce is comprised of immigrant engineers and they later become either investors or entrepreneurs.

Further, 66% of the foreign born engineers were from Asia. Both Indian and Chinese immigrants have accounted for 74% of the aggregate of the Asian-born engineering workforce. (Saxenian 2002 , p.29).

In about 25% of Silicon Valley’s technology business, Indian and Chinese engineers are working as senior executives. (Saxenian 2002 , p.29). Further, IT companies run by immigrants accounted for in excess of $26.8 billion in revenue and offered 58,282 jobs in Silicon Valley.

Silicon’s valley’s most triumphant business owners foot upon heavily on ethnic resources while assimilating into the main stream economy. (Saxenian 2002 , p.29).

Thus , Asian immigrants in Silicon Valley can be compared with the creative class as defined by Richard Florida as such class is a major stimulator for economic growth in post industrial cities especially in the regions like Silicon Valley in the USA.

Florida enumerates the creative class as involving 40 million employees which comprises of thirty percent of the aggregate of the USA’s workforce.

Thus, Florida is of the view that the creative class would be contributing velocity of development in the US economy as it is anticipated to grow more than by over 10 million jobs in the next decade. (Florida 2002, p.10).

According to Smith & Edmonston (1997), foreign born engineers and scientists are establishing new business and creating new jobs and wealth for the US economy and for California’s economy as equivalent to the native counter parts. (Putnam 2007,p.137).

The following Graph shows that the immigrants have setup about 43% of companies in software and computer related activities in the USA from 1995 to 2005. This is strong evidence that diversity plays great role in the development of US economy mainly due to concentration IT companies in Silicon Valley.

Breakdown of Engineering and Technology Companies Founded by Immigrants from 1995 to 2005 by Industry

(Wadhwa et al 2007,p.19).

The following Table shows that Indians immigrants predominant in engineering and technology sector in USA.

Birthplace of Engineering and Technology Immigrant Founders

(Wadhwa et al 2007,p.12).

Benefits of diversity

The Society for Human Resources Management and Fortune Magazine survey divulged that more than 70% of the human resources managers who were interviewed that diversity has increased their businesses recruitment initiatives and enhanced the aggregate corporate culture.

To be more triumphant, businesses are now employing employees who belong to the same cultural setting as the customer which they are initiating to reach. For instance, almost all the consultants in the McKinsey & Co in 1970s were Native Americans.

However, at the start of this century, Rajat Gupta was the chief partner of McKinsey who is from India and now, only 40% of the consultants are Americans and now, 60% of the McKinsey’s consultants are from 40 different nations.

For example, Accenture has more than 186,000 employees in 52 nations including 8000 Chinese employees and 35000 Indian employees. Under globalisation era, companies that do not embrace diversity would find hard time vying in a multicultural global atmosphere. (Daft et al. 2010,p.477).

According to Ted Childs, diversity director of IBM, diversity acts as a link between the marketplace and the workplace.

IBM and Verizon companies from Silicon Valley have been rated as the leaders in the corporate diversity as they have give more precedence to diversity and assumed many initiatives toward establishing a corporate culture that respects equality and mirrors contemporary multicultural base. (Daft et al. 2010,p.478).

According to Kwak (2003), racial diversity increased performance in businesses that treated diversity as a mean for learning and innovation. According to theory of cognitive resources, diversity offers varied skills, insights and perspectives which make the business more productive.

Diversity offers innovation, helps to resolve intricate issues and to make better decisions. According to theory of social capital, diversity offers large external associations, large network, and wide range of information, broad resources and unlimited opportunities. (Biga 2010,p.6).

Co-employees with varied cultural setting can bring unique understanding and knowledge to the various work teams of a business.

Breaking the communication barrier is another chief advantage of diversity in any business. For example, employing bi-lingual employees can benefit the organisation to address the customer’s grievances in their own language.

For instance, in Southwest USA, much number of companies chooses to employ bi-lingual customer service representatives to sort out issues of the Spanish customers in their own language. (Ingram 2012).

Diversity brings more ideas to the business as diversified workforce brings a large knowledge pool. It brings innovation to the business as diversified workforce will think in different ways. Diversity will enhance tolerance of the workforce.

Challenges of diversity

In this era of globalisation, every multinational business is witnessing confronts in enhancing its business strategy. For the success of any business in the present highly competitive business atmosphere, there is a need to align business strategy with cultural diversity.

As per Gardenswartz et al. (2003), managing the global diversity is the best business strategy to enhance the goals of the organisation by balancing the employees’ capability as regards to their diverse local culture in the various nations around the globe. (Syed & Ozbilgin 2010,p.14).

For any diversity program to attain a success, a business should overcome cultural, perceptual and language constraints. If there is ineffective communication, it may impact morale and team work of the workforce.

In a diverse work atmosphere, many assorted ethnicities, age groups, religious practices and sexes have to be managed. (Chowdhury & Dasani 2013). Any poor communication among the diversified workforce may bring misunderstanding.

To advocate better communication, the workforce should be motivated to learn more about their co-employees and communication styles. This can be overcome by organising routine office retreats, frequent diversity seminars and diversity meetings. (Chowdhury & Dasani 2013).

It is common in any business, there will be employees who decline to acknowledge the truth that the cultural and social setting of their workplace is transforming fastly.

These negative demeanours can destabilise the morale and can slow down the positive changes and can even reduce the productivity. Chowdhury & Dasani 2013). Thus, employees’ resistance can be managed through regular workshops, and should make efforts to understand each other. (Chowdhury & Dasani 2013).

Diversity in Silicon Valley/IT industry

According to Saxenian (1999), Indian and Chinese tech savvies owning an increased share of Silicon Valley companies established between 1980s and 1990s and they own about 24% IT companies in Silicon Valley.

Diversity in IT industry in the US can be summarised as follows: In 25% of the IT companies established in the USA between 1995 and 2005, there have been at least one immigrant key –founder.

The following is the state-wise detail of the percentage of immigrant owned IT companies viz. California (Silicon Valley ) 39% , Georgia 30%, New Jersey 38%, Massachusetts 29% , Ohio 14% , Washington 11% , Texas 18% and North Carolina 14%.

From this, we can understand Silicon Valley is in the top as immigrant prefers to start their start-ups from there. It is to be noted that US economy is more benefited due to diversity in IT industry as immigrant established IT companies earned more than $ 52 billion in revenues and offered employment to more than 450,000 individuals in 2005. Indian immigrants have established more engineering and technology companies in the USA as compared to the other nations.

Further, there is a widespread diversity found in the Silicon Valley IT companies as 52% of the start-up companies in the Silicon Valley had one or more immigrant as the chief founder. 18.7% of the start-ups in the Research Triangle Park had at least one immigrant as a major founder.

About 25% if the start-ups are established by the Indians followed by UK and Germany each with 15% in Silicon Valley.

Thus, it has become crystal clear that immigrants have made laudable contribution to the growht of intellectual property in the USA and the development of new businesses in the USA and their contribution to the US and California economy soared to heights in the recent past.

What is ‘unique’ about IT/Silicon Valley?

‘Silicon Valley is the USAs leading hub of immigrant’s favorite place mainly due to its magnetism to immigrant engineers and scientist than any other technology park in the USA. “ As of 2000, 53% of the Silicon Valley technology workforce was immigrants.

If we compare the other technology parks in the USA like Austin and Boston, immigrant technology comprised only just 25% of the immigrant workforce.

This demonstrates that Silicon Valley is the preferred destination for immigrants to setup their IT venture and thus, Silicon Valley encourages diversity than any other region in the USA.. (Wadhwa et al 2007,p.31).

How diverse in Silicon Valley?

In a research project CNNMoney approached twenty technical companies located in Silicon Valley and asked about their sex and racial makeup of their workforce.

Fortune 500 companies like Ingram Micro, DELL and Intel were among the companies that were interviewed. The other seventeen companies were not cooperative to divulge their data on their diversity. (CNNMoney 2011).

CNNMoney data demonstrates that diversity in Silicon Valley remains a grave issue. Some Silicon Valley companies offer their comment that they employ less number of immigrants as there are inadequate diverse technical people who are graduating with technical qualifications. (CNNMoney 2011).

What role does diversity play?

Exponential growth of Asian start-ups in Silicon Valley has assisted the USA to uphold its comparative benefit as a country.

For instance, research study finds that for each and every one percent increase in the immigrants in Silicon Valley from Asian-Pacific, there is a corresponding increase in exports from Silicon Valley of 0.5%.Jerry Yang, is one of the Yahoo! Founder who is being regarded as the most successful Asian American entrepreneurs.

There are many other successful Asian successful entrepreneurs in Silicon Valley viz. K.B.Chandrashekar of Exodus Communications, Suhas Patil of Cirrus Logic Corporation, David Lam of Lam Research Corporation, Vinod Kholsa (Sun Microsystems), Frank Lin (Trident Microsystems) , and Winston Chen (Solectron Corporation.(Chen & Yoo 2010,p.113).

In the last two decades, Asian immigrant entrepreneurs have offered wealth production, enterprise and innovation to Silicon Valley and the USA. The start-up companies developed by the Asian immigrants later acquired by the large companies and thus generated a sizeable quantum of wealth.

For instance, Ascend Communication has acquired the Cascade, a start-up company formed by Desh Deshpande, a company that is specialised in carrier-packet switches for $3.7 million. Sun Microsystems acquired Cobalt Networks established by Vivek Mehra, who is immigrant from Silicon Valley for $2 billion.

Cisco Systems acquired the Redback and Broad-com founded by Rajvir Singh for a sum of $ 11.8 billion. (Chen & Yoo 2010:113). These acquisitions demonstrate that Silicon Valley start-ups owned by immigrants have created enormous wealth for the US economy.

Many of the above mentioned Asian immigrants have spend their wealth and time in developing and investing into the new commercial enterprises and this has resulted in the exponential growth of new Asian American entrepreneurs in USA.

Vinod Kholsa, founder of the Sun Microsystems later also started Kholsa Ventures, which was a venture capital firm which gave more spotlight on “business promotion.” Kholsa ventures offer a wide range of service for new start-up companies. Further, it helps with team building, product development and investment capital.

This is best illustration how diversity plays a vital role in wealth creation for the USA and California’s economy. (Chen & Yoo 2010,p.114).

Close network among Asian immigrants offer Asians with required capital for the business that may have been otherwise very limited or denied to Asian entrepreneurs due to discrimination in the USA. (Chen & Yoo 2010,p.114).

Firms Diversity

Some socially responsible companies support diversity programs with their suppliers. For instance, JCPenney, the retail giant has introduced partnership program which is intended to develop relationships with the minority especially women –owned business.

The Coca-Cola Company tries to foster an inclusive environment thereby offering diversity training for all managers and employees and encourages regular conversation among suppliers, colleagues, shareholders and customers.

By formulating an inclusive workplace, the Coca-Cola Company tries to leverage its worldwide employees who are rich in talent, ideas and with diverse culture. It is to be remembered that for a global company like Dell, Microsoft, Apple Inc, companies operating from Silicon Valley, diversity is a crucial factor. (Boone & Kurtz 2009, p.51).

Phillip Morris Companies Inc is a minority owned company and is the globe’s largest consumer packaged products company that supports diversity in each and every walk of their business.

Its supplier diversity program has created many chances of thousands of minority women-owned and minority –owned companies each year. (Lewis 1999, p.87).

Workforce Diversity

Workforce diversity connotes organisations that are turning to be more diverse or heterogeneous due the mix of people in relation to age, gender, race, sexual orientation and ethnicity.

A heterogeneous workforce includes Hispanics, women, Asians, Africans, Indians, the physically challenged, Colourreds, lesbians, gay and senior citizens. For today’s business, managing this heterogeneous has become a global issue as they are operating in various nations.

For example, the administers of business in Australia and Canada has to fine tune with large influxes of Asian employees. In South Africa, more and more Africans are now assuming significant managerial and technical jobs.

Likewise, women who are confined to low-paid jobs earlier now started to occupy key managerial positions. Due to opening of markets in Europe due to the concept of European Union, there has been enhanced workforce diversity in nations such as Portugal, Germany, France and Italy. (Robins 2009,p.12).

It is to be noted the each and every US company which employs more than 100 persons to diverge their diversity data to the US government through a form namely EEO-1 that separates each and every employees by their sex and race.

This information is collected by an independent federal agency namely the Equal Employment Opportunity Commission (EEOC) and employs the same for supervising their diverse practice.

The following table exhibits an atmosphere in which entrepreneurship is authenticated through ownership and investment in which minority ethnic groups and immigrants assume ownership relatively fast whether in staking claim or in economic terms on behalf of their culture or ethnic community.

Diversity contributed to the success of companies in Silicon Valley

The above chart corroborates the research hypothesis that diversity contributed to the success of companies in Silicon Valley.

Cultural Diversity

According to Peteraf (1993), it is widely acknowledged both in international and domestic markets that employees can be a significant source of competitive advantage for companies.

As per Boxall & Purcell (2000), it is essential that companies persue Human Resource Management (HRM) practices and policies that utilise the specific employees’ strength to the fullest.

According to Pfeffer (1998), through apt select and recruitment processes , through efficient compensation systems , through elaborative development and training activities ,by providing job satisfaction and to offer employment security which all impact positively on the aggregate business and performance of a company.

According to Bjorkman & Xiucheng (2002), due to the intricacies of the managing the people from varied cultural and socio-economic setting, it is recommended that the manner in which global employees are administered will also have a poignant effect on a company’s economic results. (Abdullah, Boyle, and Joham. 2011,p.198).

The main reason for the success of the diverse culture in Silicon Valley is that it facilitates the individuals with heterogeneous skills who may not know each other previously freely to mix and facilitates to trust and collaborate in a style that people in other cultures normally may not prefer to do it.

Cultural diversity at Silicon Valley is a process of creative reassembly as the individuals prefer to join temporary jobs and then re-circulate and recombine for other project after some time. (Hawang 2012).

We can illustrate Silicon Valley as rainforest model since its many elements join together to usher a new and an unexpected fauna and flora. (Hawang 2012).

Chinese and Indian Professional Associations in Silicon Valley help to combine elements of cultural immigrant culture with distinctly high-technology practices.

Immigrant owned companies establish ethnic identities within the province and help the professional networking and information exchange that help to attain success in the Silicon Valley economy which is highly mobile in nature.

Many of the Indian and Chinese Association in Silicon Valley have become significant platform for mentoring and cross –generational investment. The older generation of these immigrants now acts as financiers and mentoring the younger generations of their culture. (Saxenian 2002,p.19).

Research Design & Methods

As we have already seen, Dell is a multinational company functioning in 34 nations around the world with about 111,000 employees as of 2013 and 68,300 employees are located outside the USA.

In the year 2006, Dell Inc received the Secretary of Labor’s Opportunity Award which is the US government highest award acknowledging work place diversity voluntarily among federal contractors.

According Chao, US Secretary of Labor, Dell is a corporation that nurtures as its fundamental value a commitment to equal employment opportunity in its entire organisation structure.

Dell was honoured with the Department of Labor’s Exemplary Voluntary Efforts (EVE) Award which tributes federal contractors who have proved innovative and exemplary initiatives to enhance the employment chances of employees which includes women ,minorities ,veterans and individuals with disabilities (Dell Inc 2006).

Dell Inc supports and engages in various diversity recruiting initiatives. About 80% beneficiaries of the Dell’s TechKnow program are students from minority background whereas about 45% of the beneficiaries are girls.

Through its community inclusion program, Dell has established a number of associations with the major multicultural organisations which include Congressional Hispanic Caucus Institute, Congressional Black Caucus Foundation, National Urban League, Congressional Hispanic Caucus, League of United Latin American Citizens and United Negro College Fund. (Dell Inc 2006).

Results

According to Kroll et al. (1998), skilled immigrants who worked in the Silicon Valley contributed to California’s economic growth. Silicon Valley is the best model that a region can become economically strong due to its technological innovation and it become as a leading export region in California due to diversity.

Further, according to FPI report, about 4.7 million U.S based employees are being engaged by the immigrant owned business in the U.S and these companies have reported about $776 billion as revenues. (Koba 2012).

According to Saxenian (2002), Asian skilled immigrants have made enormous economic contribution in Silicon Valley both by way of trade facilitators and investment with their nation of origin and by way of entrepreneurs.

Under globalisation era, companies that do not embrace diversity would find hard time vying in a multicultural global atmosphere.

IBM and Verizon companies from Silicon Valley have been rated as the leaders in the corporate diversity as they have give more precedence to diversity and assumed many initiatives toward establishing a corporate culture that respects equality and mirrors contemporary multicultural base.

According to Saxenian (1999), Indian and Chinese tech savvies owning an increased share of Silicon Valley companies established between 1980s and 1990s and they own about 24% IT companies in Silicon Valley.

It is to be noted that US economy is more benefited due to diversity in IT industry as immigrant established IT companies earned more than $ 52 billion in revenues and offered employment to more than 450,000 individuals in 2005. Indian immigrants have established more engineering and technology companies in the USA as compared to the other nations.

Further, there is a widespread diversity found in the Silicon Valley IT companies as 52% of the start-up companies in the Silicon Valley had one or more immigrant as the chief founder. 18.7% of the start-ups in the Research Triangle Park had at least one immigrant as a major founder.

About 25% if the start-ups are established by the Indians followed by UK and Germany each with 15% in Silicon Valley.

“Thus, it has become crystal clear that immigrants have become an important driving force in the establishment of intellectual property and new businesses in the US and their contribution to the US and California economy increased in the recent past.”

For instance, research study finds that for each and every one percent increase in the immigrants in Silicon Valley from Asian-Pacific, there is a corresponding increase in exports from Silicon Valley of 0.5%.

“Dell is of the view that its devotion to diversity and to offer the best customer experience assists it to be the leader in the market place. Dell is also devoted to offer an atmosphere that value and develops individual abilities, honour its people and extends collective strengths toward the complete contentment of its stakeholders, customers and clients.”

Dell management strongly believe that to have diverse workforce who will generate innovative and diverse ideas that make the Dell as the best company of choice for its customers around the world.

Dell strongly deems that so as to remain a global successful company, its business should able to leverage the differences and likeness of all of its team members.

According to Michael Dell , Chairman and CEO of the Dell Inc , employing a diversified work force of 110,000 employees is not an easy task and is focussing more on the diverse global team and always Dell want to have its commitment to diversity and inclusion and that would continue to be a competitive advantage in Dell’s future business strategy.

Conclusion

Silicon Valley is no doubt is the abode of start-ups , helps to integrate young IT engineers all over the world , offering of public platforms and physical facilities which is open to those who wish to share and exchange their traits and culture.

Further, there is no entry barrier for IT experts for open up their start-ups in the Silicon Valley.

Further, Silicon Valley offers diversity both in the sizes and types of the enterprises which include both informal and formal structures, with a range of expressive styles and forms and a variety of ethnic and cultural communities offering and partaking.

Thus, Silicon Valley becomes a very good breeding ground for Asian immigrants to place their start-ups as it has been well demonstrated that these immigrants are deriving maximum advantage due to the existence of diverse culture in the Silicon Valley.

List of References

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Chowdhury, S. & Dasani, L. 2013, Diversity Management – A Need of the Hour. Web.

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Daft R. L., Kendrick M. & Vershinina N. 2010, Management. Cengage Learning, New York.

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Hawang, V. 2012, To Replicate Silicon Valley’s Success, focus on Culture. Web.

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Lewis, B. E. 1999 , ‘Diversity Opportunity’, Black Enterprise, Vol. 29, no 5, pp. 87.

Page, Scott E. 2008, The Difference: How the Power of Diversity Creates Better Groups, Firms, Schools and Societies, Princeton University Press, Princeton.

Putnam, Robert D. 2007, ‘E pluribus Unum: Diversity and community in the twenty‐first century the 2006 Johan Skytte Prize Lecture’ Scandinavian political studies , Vol 30 no 2, pp. 137-174.

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Saxenian, Anna Lee 2002, ‘Brain Circulation. How high-skill immigration makes everyone better off’. Brookings Review, Vol. 20.no 1, pp.28-3.

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Ethnocentrism and Diversity in the Workplace

Introduction

Given a foreign context in a certain situation, anyone can be called a stranger. One is considered a stranger when he or she has minimal knowledge of the new norms, values, and the environment that surrounds him or her. And vice versa, a local is the one who has minimal knowledge of the stranger’s habits, interests, beliefs, and traditions. In general, communication with a stranger goes down to the anticipation and the prediction of the answers.

When it comes to the interaction with the local person, it is quite different as everyone is confident in the anticipations and predictions. On the contrary, when communicating with strangers, the individuals involved in the communication are more cautious of the possible answers as well of the uncertainty of their predictions (Gudykunst & Kim, 1995, p. 430).

Minority Group Characteristics

Because migration, intermarriage, war, and other factors our planet is populated by various ethnicity groups. Minority groups are usually different from the dominant society groups that possess power. Usually, there are many stereotypes that surround minority groups, which allows the dominant population to justify the poor treatment of the minorities. Lastly, a significant characteristic of the minority population in connected with its development of collective identities for insulating themselves from the world that does not accept them (Ballantine & Roberts, 2014, p. 258).

Racial VS Ethnic Groups

There are many races that make up the world, although these races are divided into various ethnicities. Despite the fact that many may confuse racial and ethnic groups as the same term, an ethnic group can be a group of people that share common national, cultural, or religious background. Race is not characterized by the choice to belong to a particular religion, a race is something every person is born with.

Ethnocentrism

Ethnocentrism is usually described as a psychological disposition of an individual towards another individual. Such a disposition can have positive and negative consequences. On one hand, ethnocentrism can help maintain one’s cultural identity and lead to the misunderstanding and unwillingness to communicate, on the other. Ethnocentrism is also tightly linked to the identity formation of an individual.

Kim, Kim and Choe (2006) studied the link of the identity to ethnocentrism as it relates to the various cultural issues (p. 60). For example, the research showed that Koreans had a prevalence toward ethnocentrism than Japanese or native English speakers. Moreover, the Korean population had the highest scores in the measurement of identity (Dong, Day & Collaco, n.d., p. 30).

The Dillingham Flaw

In our modern society, similar mistakes in thinking affect the people’s perception of the strangers to the society. A stranger to the society is any person with which the dominant population does not identify. The term Dillingham Flaw refers to the erroneous way of comparing people from one time period with people that live in the present moment. As a result, one group is being judged negatively in such a comparison. In order to avoid the Dillingham Flaw, people should avoid the modern perception of the world to explain the past as in the past the people’s perception of the world was quite different (Parillo, 2008, p. 14).

Promoting Diversity in the Workplace

Ethnocentrism and racial misconceptions also relate to the workplace. However, to avoid various misconceptions related to the minority groups, it is important to promote diversity in the workplace. By promoting diversity, an organization will be able to get various perspectives on the working process and understand the various backgrounds of the customers. In order for the company to attract and then retain the desired diverse employees, an organization should participate in various programs. To do so, there are several strategies that can be applied.

First, a diversity program should correspond to the strategic plan of an organization. The key to a successful diversity program, the strategy should be developed by using the same methods for aligning the general strategy of an organization. Having a diversity strategy that is well-defined will only be helpful for attaining business goals at the same time with creating a much more inclusive culture in the workplace.

A company should also encourage it employees to take part in professional activities that support and promote diversity. Such an involvement will provide a variety of networking opportunities as well as foster collaborations that can enhance the access to a large selection of diverse candidates (Johnsen, White & Boyd, 2013, p. 1).

A bright example of promoting diversity in the workplace is the Target corporation. Its corporate website provides various information on how the company promotes diversity, makes connections with various community members, and supports equality. Target has collaborated with organizations like UNCF, Family Equality Control, and others to support the diverse populations that exist within the community.

The company takes participation in a variety of programs connected with volunteering to show the commitment to diversity and inclusion. Moreover, Target participates in career fairs and conferences to find diverse team members alongside with establishing in-store kiosks that encourage guests to become the team members of the company (Diversity & Inclusion, 2016, para. 2).

References

Ballantine, J., & Roberts, K. (2014). Our Social World: Introduction to Sociology. Thousand Oaks, CA: Sage Publications.

(2016). Web.

Dong, Q., Day, D., & Collaco, C. (n.d.). Overcoming Ethnocentrism through Developing Intercultural Communication Sensitivity and Multiculturalism. Human Communication, 11(1), 27-38.

Gudykunst, W, & Kim, Y. (1995). Communicating With Strangers: An Approach to Intercultural Communication. In J. Stewart (Ed.), Bridges Not Walls (pp. 429-442). New York, NY: McGraw-Hill.

Johnsen, J., White, G., & Boyd, P. (2013). 5 Strategies for Promoting Diversity in the Workplace. Web.

Kim, S., Kim, H., & Choe, Y. (2006). An exploratory study on cultural differences between Koreans, Japanese, and Native speakers of English. Human Communication, 9, 57-70.

Parillo, V. (2008). Diversity in America. Thousand Oaks, CA: Sage Publications.

Workplace Diversity and Its Benefits for Business

Across the globe, and with the invention and persistent technological advancements, diversity in the workplace has become inevitable. It has become part and parcel of global expansion. In every organisation, there is a high likelihood that employees may be originating from different parts of the country or even the world and diverse walks of life. These employees may also be of different creeds, races, ethnicity, sex and disability. It is, therefore, on the prepositions mentioned above, that it can be argued that workplace diversity is no longer a luxury, but a necessity (Cole, 2002).

In the present worldwide economy, different individuals from different corners of the globe are finding themselves working in the same office environment with a shared objective, be it in the short-term or the long-term. However, since every organisational culture owes its authentic business practices, morals and beliefs, it is of great significance for every employee to comprehensively learn how best to work with others in seeing through the accomplishment of the shared mission of the organisation (Dessler, 2004). It is also notable that effective communication ought to be embraced within the modern workplace environment to have all backgrounds and cultures accommodated. It is through the unending interaction with one another that the employees get to learn the required effective communication skills. Besides becoming more tolerant of one another, the aspect of sharing cultural traditions, alternative problem-solving approaches and ideas among employees also play a central role in making these employees forgo their stereotypical notions (Santana, 2003).

There are numerous ways through which business entities reap benefits for embracing workforce that is varied in any of the earlier mentioned tenets. Firstly, workplace diversity plays the role of strengthening the organisation. This is so realised since this diversity brings onboard individuals with different skills, experiences and expertise (Cole, 2002). Undeniably, every person handles situations and circumstances confronting him or her differently. This aspect, therefore, remains to be a vital asset to any organisation, irrespective of the line of operation the organisation is engaged in.

Moreover, having employees from different backgrounds offers the organisation several different viewpoints. Workplace diversity, in addition to inclusion, leads to increased productivity of the organisation. This is so since different talents are brought to a mutual stage to work hand in hand towards realising a shared goal. Markedly, diverse sets of skills among the employees flare up their loyalty and as a result, promote their productivity in the organisation as well as their retention (Kersten, 2000).

Also, workplace diversity stimulates mutual respect among the taskforce. Regardless of whether this task force is working in various distinct teams or sets made up of co-workers with distinct styles of work or the colleagues are representatives of different generations and cultures, the ultimate result is a synergetic factory environment. More often than not, achieving an idyllic atmosphere may be quite challenging. Nevertheless, the workforce greatly appreciates the many talents and strengths offered by diversity (Dessler, 2004). Also, the employees involuntarily accord concerning the performance of their colleagues. In the work environment, conflicts are inevitable. Nonetheless, those employees who have conceptualised acknowledging their colleagues’ differences almost always find some similarities and more especially when a shared goal is in place. The respect mentioned above among employees is in the offing of either lessening the probabilities of conflicts arising or facilitating the process of resolving any existent conflicts (Kersten, 2000).

In conclusion, therefore, it is through the above-discussed areas that diversity in the workplace can be said to be energetically involved in preserving the quality of relationships among employees with not only their co-workers but also with their supervisors.

References

Cole, Y. (2002). Why Diversity Matters: Market-driven Approach Produces Results. DiversityInc. 45-52

Dessler, G. (2004). Management Principles and Practices for Tomorrow’s Leaders. Upper Saddle: River: Prentice Hall.

Kersten, A. (2000). Diversity Management Dialogue, Dialectics and Diversion. Journal of Organisational Change Management, 13: 235-248

Santana, J. (2003). Learn to Harness the Full Potential of a Diverse Workforce. Web.

Diversity in the Workplace: Advantages and Disadvantages

Case Questions

Is workplace diversity an advantage or a disadvantage?

The process of globalization influences every aspect of human life, and the workplace is not an exception. Nowadays, people work in a global and international team for the achievement of a common goal. Every organization aims to involve people from different countries in the working process to improve creativity and seek changes because changes are a driving force of innovations and success. Diversity in the workplace can be seen as an advantage for the following reasons:

  1. Diversity issues are beneficial for combatting such problems as inequality and discrimination;
  2. Differences increase efficiency and productivity;
  3. Reduction of the lawsuits;
  4. Improve creativity, marketing opportunities, business image, and flexibility.

Disadvantage:

  1. Reorganization of the working process (extended working hours, reduction of the staff);
  2. Problems of discrimination, differences in culture, and religion may arise (Green, Lopez, Wysocki, and Kepner 1).

The modern world is transforming, uniting people in one international community. Managers should implement appropriate techniques and approaches to eliminate the disadvantages of workplace diversity because it offers more benefits than losses.

As society started to change in the workplace if you are the manager, will you encourage/discourage LGT in the workplace?

The workplace is the reflection of the processes and changes in the world. A multicultural and diverse team is the result of globalization. The modern world is facing changes that foster transformation in every segment of human activity. If I were a manager, I would highlight that the private life of the employees is not the topic for the discussion in the workplace. Every person has the right to make choices. Tolerance and respect should become the fundamental values that are promoted in every organization. The person should be valued for professional skills and knowledge, however, not for the cultural, religious, or sexual aspects.

Given the facts of the case, what could be an ideal leadership style in managing diversity in the workplace?

Working in a diverse team requires certain knowledge and skills to build a team that will only benefit from multiculturalism. First and foremost, managers should realize the meaning of discrimination and inequality and understand the possible implications of it (Green, Lopez, Wysocki, and Kepner 2). Moreover, managers need to get better involved in personal prejudices related to culture or religion. The thing to remember is that every individual is a unique personality. Differences can be found not between the groups but even among the members of one cultural community.

The managers should be guided by tolerance, flexibility, and respect. These components are vital for taking into consideration. There is no secret of success that can be implemented into the working process of every company (Green, Lopez, Wysocki, and Kepner 2). The approaches and methods used by managers should correspond to the needs and objectives of the company. Training and meeting can be used as a tool for changing the behavior of the employees.

It is significantly important to involve every member of a team in the working process. Changes should be encouraged, as it is a driving force for success. Managers should contribute to the establishment of the dialogue between the employees and promote meetings and gatherings (Green, Lopez, Wysocki, and Kepner 2). A modern and progressive world demands managers to combine several leadership styles to improve and increase efficiency and productivity. The combination of democratic and coaching leadership styles is a perfect option for a multicultural and diverse team. However, as it was stated above, every organization and team has own peculiarities, and thus, there is no single recipe for success.

Works Cited

Green, Kelli, Mayra Lopez, Allen Wysocki, and Karl Kepner. “Diversity in the Workplace: Benefits, Challenges, and the Required Managerial Tools.” University of Florida (2008): 1-3. Web.

Diversity in the Workplace: A Melting Pot of Conflict

Introduction

Diversity, generally defined in lexicons and dictionaries, is a variety of something such as an opinion, color, or style. Basically, it is referred to simply as a difference. However, in a more complex setup such as the workplace, diversity can include a variety of differences that covers race, gender, age, personality, education, position, et cetera.

In a company with a wide assortment of employees, diversity can largely affect interactions. This situation poses a tough challenge to the human resource professionals who will have to be able to handle and effectively implement fair policies that will address this issue.

The rapid change in technology, the demand for skills and education, an aging workforce, and greater ethnic diversification in the labor market is continuously changing the employment/work landscape. And more so, in this age of globalization, organizations come face to face with the fact that diversity will definitely increase significantly in the coming years. The success of a company in terms of operations then depends on how it will be able to recognize the need for immediate action and its willingness to spend resources on managing diversity.

Given this reality, this paper aims to investigate the various organizational behaviors born in the context of diversity in the workplace and the various techniques that managers can employ to manage conflicts arising from such situations.

Discussion

Identifying Differences

Whether it is just an organization or a large-scale company, the success and competitiveness of a highly varied workforce are hugely dependent on its ability to embrace diversity and realize its benefits. In truth, organizations actively assess their handling of workplace diversity issues has more chances of developing an effective management system that can surpass conflict. Given this, one of the most important phases is being able to identify the differences that exist within the workplace.

“In an effort to organize thinking about different types of diversity, several researchers (Cummings, Zhou, & Oldham, 1993; Jackson, 1992; Jackson, May, & Whitney, 1995; Maznevski, 1994; Tsui, Egan, & O’Reilly, 1992) have suggested ways of categorizing different types of diversity. One common distinction is between diversity on observable or readily detectable attributes such as race or ethnic background, age, or gender, and diversity with respect to less visible or underlying attributes such as education, technical abilities, functional background, tenure in the organization, or socioeconomic background, personality characteristics, or values,” (Cummings et al., 1993; Jackson et al., 1995; Tsui et al., 1992). (Milliken & Martins, 1996)

There is a tendency to believe in diversity in terms of differences in observable or readily detectable variables such as race, ethnic background, and gender alone. However, this kind of ID can also carry underneath the differences in perspectives, assumptions, and causal beliefs. Therefore, identifying existent diversities within the organization or company can be on a multi-level format. As a probable base for identification, these classifications are good, but on the level of thorough analysis, a multi-layered measuring stick should be considered to truly narrow down the significant areas that create divide and conflict.

It poses a major challenge then to organizational management within an organization or a business structure. Its human resource needs a careful and thorough process wherein all these nuances be identified to be able to better facilitate particular issues that come along with it. Moreover, hard as it may be, new processes must be open for testing, review, and criticism among the parties concerned prior to implementation.

Managing Conflict

In a workplace where diversity thrives, it is no surprise that conflict will co-exist alongside. It may also be worth noting that these conflicts may not necessarily be confined to work matters alone. The fact is, each individual’s personality is a great contribution as to how it relates itself to the task or job description. In which case, it is not a race neither religion alone that can spur conflict. Values and personal beliefs, which are not bound by race nor religion, or culture, can also spur professional struggle.

“Conflict, as defined by Hellriegel, Slocum, and Woodman, is “the process in which one party perceives that its interests are being opposed or negatively affected by another party” (p. 362). Sometimes conflict that be a positive force within an organization, while at other times, it is a negative force. An example of conflict as a positive force is that the creation and resolution of conflict may lead the company to constructive problem-solving. It may also lead people to search for ways of changing how they do things. The conflict resolution process can ultimately be a stimulus for positive change within an organization” (Hellriegel, Slocum, and Woodman, 1988, p. 364). (Hellriegel, Slocum and Woodman, 1988)

When conflicts arise within an organization, the management makes organizational decisions that may post short-term or long-term consequences within their organizational structure. Sometimes, the decision-making may entail trade-offs between conflicting objectives or consequences. As a result, solutions are provided to address a particular issue, yet, these can also create traps of their own.

Social traps may harm or affect the dynamics of groups of varying sizes and varying social or psychological distance regarding a particular decision-maker. For instance, in organizations, key people who make decisions based on varying degrees, like social ties with others affected by the consequences of their decisions or in the absence of personal ties, the ability to identify psychologically with the experiences of those affected. (Barry & Bateman, 1996)

While conflict transpires between individuals, it would be best to see it processed and resolved in a collaborative manner. Meaning decisions will not come from just one entity or individual. Neither will the management take it on its own despite the claims to objectivity.

A possible way to address workplace conflict management is a step-by-step approach no matter what style the manager is employing. This process-oriented technique proposes a systemic approach to workplace issues. In so many ways, this teaches the leader to follow a systematic approach to resolving a conflict.

Trouble Shooting

The existence of conflict in a highly diverse work environment can work in two ways. The most common perception is that it will manifest negatively, in particular in the attitude of the employees. Tension, stress, anxiety are just but a few of the possible negative effects. If not addressed, these feelings/behavior may have a deep and lasting impact.

“Workplace managers must be sensitive to the consequences of conflict. These consequences range from negative outcomes (such as loss of skilled employees, sabotage, low quality of work, stress, and even violence) to positive outcomes (such as creative alternatives, increased motivation and commitment, high quality of work, and personal satisfaction),” (Hellriegel, Slocum, and Woodman, 1988, p. 365). Conflicts may also affect the turnover of people and may derail the company or the organization from its goals and expected output.

On the opposite extreme, conflict arising from diversity can or may also yield positive results. When problems arise, management is forced to employ diversity management, which, if done properly and efficiently, can develop systems and processes that will be beneficial to the affected parties. It can also teach people lessons in finding better ways to communicate/relate to people who are not from similar backgrounds. On the developmental side, it can enable leaders as well as followers to help each other find new ways to change how they do things.

In cases like this, it is crucial for the trouble-shooters to not fall prey to a forcing style referred to as the “assertive and uncooperative behaviors and reflects a win-lose approach to interpersonal conflict.” This style is mainly defined as one which relies on coercive power and dominance to resolve the conflict. Typically apparent in this style is that the person who is trying to solve or propose a solution to the dilemma believes in the truth that one side must win and that one side must lose (Hellriegel, Slocum, and Woodman, 1988).

Meanwhile, groups, wherein diversity management is seen as the integration of minority-group members within a prevailing culture, majority-culture actors may see diversity initiatives mainly benefit a psychologically distant or abstract set of organization members.

In so many ways, these impressions and perceptions create the impetus to more tension. The affected individuals are tempted to react, possibly in the form of resistance, on the basis of social distance between self and others. It is thereby crucial to know that the key decision-maker who fails to see the outcome and severe consequences of his actions as affecting others with whom he or she identifies is less likely to internalize the costs of the action.

Conclusion

As nations progress toward a more global practice, it is certain that a major mix will be seen. Already, there are perceivable as well as changes applied within the business and work environments in many localities all over the world to give way to cosmopolitanism. As peoples of differing nationalities move from their place of origin to totally new environments, products, as well as cultures, traditions, and practices, are brought along. The same things happen when multinational corporations move or establish new branches from one country to another.

Diversity at work will be a moving force toward the development of new systems and processes, especially in organizational management. In this paper, we have identified the probable kinds of diversity that will be present in an organization as well as analyzed the possible positive and negative effects of each in the context of conflict management. Indeed, there are both significant pros and cons to a highly diversified workplace. The fact remains, human capital is a strategic asset and that each individual puts in a contribution towards a particular group goal.

A heterogeneous mix then implies that diversity may be able to post a great opportunity for a company or organization once its nuances and hurdles are surpassed. The variety becomes a great asset that can bring in a greater range of perspectives, skills and even generate more high-quality solutions compared to a less diverse group. “Also, if an organization overcomes resistance to change in the area of accepting diversity, it should be well-positioned to handle other types of change enabling improved flexibility” (Iles & Hayers, 1997)

However, placed in this setup, wherein opinions mix and ideas collide– the greater the amount of diversity in a group or an organizational sub-unit – makes the team pretty much less integrated. Moreover, higher the level of dissatisfaction and turnover are undeniable adverse consequences. It will also be a big cautionary marker for human resources to always keep probing and discovering new ways and processes to handle conflict arising from such a mix.

“A group’s performance and attribution processes are likely to be important in determining how people feel about their membership in a diverse group. If the group does well, and members attribute their success to their diversity, they may begin to feel proud of their accomplishments as a group, which could foster higher levels of satisfaction and social integration within the group. Thus, receiving positive feedback about a group’s performance may help to counteract some of the initial negative effects diversity can have on members’ affective reactions to the group” (Milliken & Martins, 1996)

Team leaders then should be more aware of the performance implications of clashes between diverse units within the organization because this same resource that can provide a competitive advantage and progressive edge to the company may also be a performance disadvantage to others. (Richard, 2000) Diversity thus appears to be a double-edged sword, increasing the opportunity for creativity as well as the likelihood that group members will be dissatisfied and fail to identify with the group.

Therefore, in so many aspects, the meaning of diversity now is above and beyond the traditional view that once focused primarily on gender and race and reflects the broader perspective of workplace diversity today. It now encompasses personality, work style, all the apparent identifiers like gender, race, or ethnicity up to the sub-influences like religion and education. Embracing differences and leveraging differences are significant to the one mission for the benefit of the organization.

The myriad of issues, conflicts arising from a highly diversified workforce beset the human resource group of an organization. It is both bloodwork and a blessing. To find one significant solution to handle diversity conflict would be almost near to impossible. The fact remains; there is no “best way” to manage diversity. Each and every group/company will most likely have its own identification, selection, and means to create diversity initiatives as well as implement them.

Success is anchored on the business needs and workforce issues as well as situational factors, such as the organizational culture and workplace environment. Finally, the zeal, strength, of commitment of the organization combined with human resource leadership will determine whether the organization successfully manages workplace diversity toward competitive gain.

References

Milliken, Frances and Martins, Luis (1996), Searching for Common Threads: Understanding the Multiple Effects of Diversity in Organizational Groups, The Academy of Management Review.

Hellriegel, Don, John W. Slocum, Jr. and Richard W. Woodman (1988) Organizational Behavior, 8th Edition.

Barry, Bruce and Bateman, Thomas (1996) A Social Trap Analysis of the Management of Diversity, Academy of Management Review, Vol. 21, No.3.

Iles, P., & Hayers, P. K. (1997) Managing diversity in transnational project teams: A tentative model and case study. Journal of Managerial Psychology, 12(2): 95-117.

Richard, Orlando (2000) Racial Diversity, Business Strategy and Firm Performance: A Resource-Based View, The Academy of Management Journal, Vol.43 No. 2.

Diversity in the Workplace: Benefits and Advantages

Diversity is an essential aspect of the contemporary business world. It has been acknowledged that it is instrumental in achieving organizational goals (Nelson and Campbell Quick 53). One of the benefits of the diversity in the workplace is the achievement of enhanced organizational flexibility. Companies with diverse workforce are more adaptable to the rapidly changing business environment, which is also highly diverse. Another advantage of diversity is its influence on the organization’s reputation, which results in the ability to attract new talents. Thus, companies with diverse workforce are regarded as better working environments, and high-profile professionals eagerly accept job offers (Nelson and Campbell Quick 53). Finally, diversity promotes innovation as well as creativity (Kaminska and Toustou 265). People of different backgrounds have different perspectives on issues, which enables them to come up with effective and creative solutions.

Organizations employ different approaches to attract senior managers and specialists. The choice of the approach depends on a variety of factors. For instance, one of these factors is the availability of resources. This is an effective approach as many people focus on the financial aspect of employment. Thus, companies choose to attract talents with the help of high salaries (Agarwal et al. 331). This approach is associated with some weaknesses as the funds invested can exceed the gains as the employee may fail to become a part of the team and work to the fullest. Another approach involves the focus on the organizational reputation. If a company has a reputation as the leader in the industry, it is likely to use this information to recruit people. Employees are often ready to work for less money as long as they work in a company with a certain reputation (Nelson and Campbell Quick 633). This is quite an effective method as it may lead to lower costs when recruiting people, but it can be rather difficult to maintain the reputation gained.

The third strategy to be mentioned is closely linked to the reputation-oriented method. The focus on benefits can help organizations attract high potential employees. Such organizations as Google are regarded as dream jobs as employees there have various perks including flexible hours, resting rooms, time for their own projects, and so on. This method can be quite costly for a company. Finally, another approach is the availability of promotion opportunities. Many people are ready to work for less money for a certain period if they know that there is an opportunity to get a promotion (Bozionelos and Baruch 78). This is an effective approach as it leads to lower costs and significant gains as a loyal high-profile professional is likely to remain in the organization. However, this strategy can be inappropriate for small organizations where promotion options are limited (Wapshott and Mallett 71).

Various factors have an influence on organizational approach to selection and recruitment. The upcoming growth and expansion can affect organizations’ recruitment and selection. In such cases, companies need a considerable number of employees with different skills and experience. The costs will depend on the positions that have to be filled in. Another factor is the supply of manpower. Thus, if certain professionals are scarce companies may need to use such methods as the focus on salaries, promotion opportunities and so on. The costs associated will be significantly higher than those related to recruiting other professionals who can be easily found in the labor market. Finally, legal environment is another potent factor that affects the organization’s selection and recruitment (Wilton 62). Companies have to comply with numerous laws and regulations concerning rights and responsibilities of the employer and employee. These regulations often shape such aspects as working hours, salary, diversity quotes and so on.

One of the most widespread recruitment methods is the use of job advertisements (Wilton 136). The ads are placed in resources that attract the most attention. Modern companies may use various websites (some of them are free) where they can place their job ads. Another strategy is the use of recruitment agencies. It is often costlier than the previous one, but if a company has to hire many employees and it has only a few HR specialists, it can be the only option. These two approaches are quite similar as the organization addresses the applicant. Unlike these two methods, personal recommendations do not require additional costs. Some companies encourage their employees to recommend someone they know inside as well as outside the organization. This method is cost effective as the new employee is likely to know some information concerning the company and will have realistic expectations. More so, this person will have an employee who will be able to help them integrate and become an effective team member. The major similarity between the three approaches is that the company addresses the applicant in this or another way.

The selection process usually involves a number of phases associated with particular methods. One of these is preliminary screening (Wilton 422). A recruiter analyzes an applicant’s CVs and chooses the most appropriate candidate to fit the position. This method is preferable for choosing people in accordance with their credentials. It can be difficult or nearly impossible to identify true skills and psychological features of the applicant. At the same time, it is the least time-consuming. The recruiter can analyze dozens of CVs whereas it is possible to have only a few interviews during a working day. Furthermore, the other approach involves a telephone (as well as Skype) interview. The recruiter can obtain more information, but interviewing will take more time than a simple analysis of a one- or two-page CV. However, it is more effective than the previous strategy as it helps the recruiter elicit more information. Face-to-face interviews can be the most informative. At that, this is also the most time-consuming approach as schedules of the recruiter (a department’s representative if necessary) and the applicant should be taken into account. When it comes to telephone or Skype interviews, schedules can be aligned more easily than those associated with face-to-face interviews.

Works Cited

Agarwal, Renu, Chris Bajada, Paul James Brown and Roy Green. “Global Comparison of Management Practices.” Handbook of Research on Managing Managers. Ed. Adrian Wilkinson, Keith Townsend and Gabriele Suder. Northampton: Edward Elgar Publishing, 2015. 327-351. Print.

Bozionelos, N., and Y. Baruch. “Managing Managerial Careers.” Handbook of Research on Managing Managers. Ed. Adrian Wilkinson, Keith Townsend and Gabriele Suder. Northampton: Edward Elgar Publishing, 2015. 62-87. Print.

Kaminska, Renata, and Beatrice Toustou. “Managing Diversity for Creativity and Innovation in a Complex World.” Handbook of Research on Managing Managers. Ed. Adrian Wilkinson, Keith Townsend and Gabriele Suder. Northampton: Edward Elgar Publishing, 2015. 264-283. Print.

Nelson, Debra L., and James Campbell Quick. Organizational Behavior: Science, the Real World, and You. Mason: Cengage Learning, 2013. Print.

Wapshott, Robert, and Oliver Mallett. Managing Human Resources in Small and Medium-Sized Enterprises: Entrepreneurship and the Employment Relationship. New York: Routledge, 2015. Print.

Wilton, Nick. An Introduction to Human Resources Management. Thousand Oaks: SAGE, 2016. Print.

Recognizing the Impact of Diversity on the Workplace: A Training Plan

Definition of Cultural Diversity

  • Diversity – “the inclusion of different types of people (such as people of different races or cultures) in a group or organization” (Diversity, n.d., para. 2).
  • Cultural Diversity – co-existence of different behavior, traditions, beliefs, and values in the settings of a community (UNESCO, n.d.).

Cultural diversity in the workplace has become a central question for HR specialists in recent years due to the increase of globalization in the world.

Before introducing the training series that would help employees to recognize the impact of diversity in the workplace, it is crucial to define diversity. The two definitions given on this slide can both be used to address the matter; however, it would be more beneficial to use the definition of cultural diversity by UNESCO (n.d.). It should also be stated that recent research also includes the presence of different sexual orientations in a group of people into the definition (Martin, 2014).

Definition of Cultural Diversity

Effects of Cultural Diversity in the Workplace

  • Adverse effects according to Martin (2014):

    • A difference in opinions may lead to an increased count of interpersonal conflict;
    • Contrasting views on matters can hinder the development of unity.
  • Benefits according to Martin (2014):

    • Different ways of thinking help to analyze a matter from a variety of perspectives;
    • Acquaintance with various traditions helps to overcome cultural shock if the business expands in other countries;
    • Culturally diverse workers can become experts in a foreign country and consult concerned employees.

The effects of diversity in the workplace given on this slide help to realize the importance of the matter. The training series offered in the presentation will assist in overcoming the negative side of the cultural differences and increase all the positive effects.

Effects of Cultural Diversity in the Workplace

Expected Outcomes

  • Increased appreciation of the different perspectives induced by cultural diversity.
  • Further development of the sense of corporate unity.
  • Decreased number of conflicts in the workplace.
  • Facilitation of expanding the business in foreign countries.

The expected outcomes listed on this slide are closely connected to the effects of diversity in the workplace discussed previously. It is also worth mentioning that according to Lambert (2016), appreciation of cultural differences can become a driving force for innovation and creativity. Therefore, one of the outcomes that may be expected is a gradual shift in the corporate trend from perceived security to innovation. The matter was not included in the slide because it is not an objective of the training series.

Expected Outcomes

Strategy

  • Diversity perspective can be more explicit through the behavior of leaders and learning rather than through formal policies (Lambert, 2016)
  • The proposed plan aims at modeling behavior of the employees through:
    • Lectures;
    • Movie discussions;
    • Inter-personal activities.
  • The plan is developed for 4 weeks, 3-4 hours a week.

Recent studies show that integration and learning is a more effective tool for achieving the inclusion of minorities in the workplace (Lambert, 2016). Therefore, rather than creating formal policies, the present project aims at modeling the behavior of the employees through educational activities. The workers will be offered 1.5-hour classes two times a week, during which they will acquire knowledge about the effects of cultural diversity and develop skills to overcome the subconscious bias. While it would be more beneficial to have longer sessions, the plan takes into consideration the busy schedule of the employees. The training sessions will take place after the regular working hours.

Strategy

Issues Covered

  • The training series covers cultural issues studied by Hofstede (2009):
    • Power distance;
    • Individualism;
    • Masculinity;
    • Uncertainty avoidance;
    • Long-term orientation.
  • Additionally, activities will help to overcome bias due to:
    • Sexual orientation;
    • Religion;
    • Political views.
  • The effects of cultural diversity at the workplace will also be in focus.

By the end of the intervention, employees will acknowledge both broad and narrow differences in culture. The training series will provide an in-depth analysis of moral norms and values rooted in the history of minority groups that will support inclusion in the community. The minority group members will be offered to make a presentation of what they think is important to know about their culture and the insights will be compared to the information provided by the trainer and discussed.

Issues Covered

Action Plan

  • Session 1. Introduction to the course. Getting to know each other:
    • A short lecture on the definition of diversity and training objectives;
    • Introduction games.
  • Session 2. Effects of diversity in the workplace:
    • Lecture on the topic;
    • Discussion of the movie Life of Pi.
  • Session 3. Religious differences:
    • Lecture on the history of Christianity, Islam, and Hindu;
    • Discussion of parallel motives in different beliefs.
  • Session 4. Sexual orientation:
    • Lecture and discussion questions;
  • Session 5. Politics:
    • A brief history of the forms of government;
    • Discussion of the pros and cons of the different political structures.
  • Session 6. Hofstede’s cultural dimensions (part 1):
    • A lecture and discussions of power distance, individualism, and masculinity.
  • Session 7. Hofstede’s cultural dimensions (part 2):
    • A debate about uncertainty avoidance and long-term orientation;
    • The drawbacks of applying the Hofstede’s model.
  • Session 8. Concluding statements. Reflections on the training series.

It is worth mentioning that the movie directed by Lee (2012) Life of Pi was chosen for two reasons. First, it provides a vivid example of how cultural diversity can help a man to survive in unusual circumstances. The main character of the movie can be associated with an enterprise and comparison can help to draw conclusions on the matter. Second, the film is an excellent example of religious tolerance, as Pi Patel practiced three religions at the same without internal contradictions. The movie helps to realize that while there may be certain cultural differences, all people share a common goal.

During the last meeting, all the trainees will be asked to provide feedback about the seminars to the group orally. They will be encouraged to tell everyone about what they have learned and how the insights will influence their future behavior. Moreover, every employee will be free to evaluate if the intervention was a success and give advice on how it should be changed.

Action Plan

Action Plan

Conclusion

  • The central goal of the program is to encourage the inclusion of minorities into community development.
  • The strategy includes providing education rather than forcing formal policies.
  • The issues covered range from apparent cultural differences to subtle controversies induced by diversity.
  • The time needed for the intervention is about a month.
  • The expected results include enhanced communication among minority groups and a decrease in inter-personal conflicts.

The project can be easily implemented, as it does not require considerable financial investments or help from outside parties. The timeframe was designed to fit the schedule of the majority of organizations, as it takes into consideration the standard timetable of employees. If an organization does not have a designated trainer for the proposed intervention, the budget would include only the spending on hiring a specialist in the matter.

Conclusion

References

. (n.d.). Web.

Colletta, J. (2018). . Web.

Diversity. (n.d.). In Merriam-Webster’s online dictionary (11th ed.). Web.

Hofstede, G. (2009). Geert Hofstede cultural dimensions. Web.

Lambert, J. (2016). Cultural diversity as a mechanism for innovation: Workplace diversity and the absorptive capacity framework. Journal of Organizational Culture, Communications and Conflict, 20(1), 68-77.

Lee, A. (Producer), & Netter, G. (Director). (2012). Life of Pi [Motion Picture]. USA: 20th Century Fox.

. (n.d.). Web.

Martin, G. (2014). The effects of cultural diversity in the workplace. Journal of Diversity Management (JDM), 9(2), 89-92. Web.

. (n.d.) Web.

UNESCO. (n.d.). Cultural diversity. Web.

Accomplishing Workplace Diversity

It is important to note the fact that diversity in the workplace can be defined as an organization’s tendency to hire and promote a diverse set of individuals who are multicultural in regards to background, education, language, sexuality, age, ethnicity, race, or gender. It is not highly challenging to assess whether a workplace is diverse or not because one needs to categorize the present people in accordance with the measurement metrics listed previously. If the workplace is primarily and predominantly occupied by individuals of one specific group, then there might be a lack of diversity. The key advantage of workplace diversity is a better representation, improved decision making, and an expanded talent pool, whereas the disadvantages can be performance, social integration, and other negative outcomes (Guillaume et al., 2017). In other words, diversity can be a certain form of a double-edged sword.

It should also be noted that the positive impacts of culture in the workplace in regards to the subject at hand revolve around a higher degree of equality and multiculturalism. The negative ones might be focused on more challenges of ensuring teamwork and cooperation. As a leader, one should encourage diversity in the workplace because the shift in paradigm needs to be initiated from the top to the bottom, which means it is the leader’s responsibility to ensure the change takes place. In order to accomplish the goal of diversity and inclusivity, the national CLAS standards can be utilized through strict and strong adherence to the key points. One needs to be highly aware of vast cultural and linguistic differences among patients, which can be more easily overcome through a presentation of a diverse set of workers in the workplace.

Reference

Guillaume, Y. R. F., Dawson, J. F., Otaye-Ebede, L., Woods, S. A., & West, M. A. (2017). Journal of Organizational Behavior, 38(2), 276–303. Web.

Aspects of Diversity in the Workplace

Introduction

Tennessee and New York’s legislation state. LGBTQ+ persons and inclusiveness. The importance of social and cultural intelligence. Gender identity. HIV criminalization laws. Non-discrimination in employment.

The Challenges of Employing a Diverse Workforce

Deceleration of making significant decisions. Decreased objectivity in hiring new employees. The possibility of escalating team conflicts.

The Benefits of Using a Diverse Workforce

Improves existing relationships within the team. Creates a positive organization’s reputation. Provides a better understanding of customers.

Benefits and Challenges of LGBTQ inclusions

Discrimination can sometimes be hidden. The ability to appreciate differences. Raising awareness and stimulating changes. Zero tolerance principle towards discrimination. Establishing friendly relations within the team. Workplaces should become more inclusive.

Global Business and Employee Management Strategies

Attract qualified personnel to work remotely. Creation of ways of individual employees’ development. Social responsibility is a critical factor.

The Role of Diversity, Equity, and Inclusion in Organizations

Fairness and equity are impossible without inclusiveness. The introduction of inclusiveness carries certain risks. Potential performance deterioration (can be avoided).

The Value of Diversity Management for the Future

Creativity and innovation as positive effects. Diversity is an essential indicator of equity rights. It signals the degree of society’s development.

Cultural and Social Intelligence in Comparison

There are similarities between cultural and social intelligence. Social intelligence implies interpersonal skills. Cultural intelligence focuses on other cultures. Diversity by itself is ineffective. Increased SQ benefits organizations. Raising employees’ CQ is necessary.

The Importance of Managing a Diverse Workforce

Exploring the peculiarities and ongoing changes. Adapting to changes in the business climate. Implementing management programs for diverse personnel.

The Intersection of Diversity Aspects (Tennessee and New York)

The importance of a non-discrimination policy. Lack of laws protecting LGBT people. Negative indicators regarding gender identity policy. Employee discrimination is prohibited in New York. Overcoming intergenerational conflicts among employees. Inequality and prejudice persist in practice.

Five Components of the Corporate Equality Index

Providing mentoring programs to new employees. Top management participating in training programs. Remembering the essence of inclusiveness.

How Does DEI Affect the Organization in Tennessee and New York

Non-discriminatory environment for HIVpositive people. Provide workers and their families with privacy. Mandatory HIV testing is unacceptable. Overcoming the existing gender stereotypes. Tennessee lags far behind on gender issues. Dissemination of the DIE policy is needed. New York employee non-discrimination. Equality is maintained at a high level. Implementing initiatives is energy-consuming. State achievement of high performance. Building on the New York state experience. Tennessee’s gender issue needs attention.

Conclusion

Inclusiveness and diversity mean embracing differences. Cultural intelligence should not be underestimated. Ensuring LGBTQ+ rights is a top priority.

References

Adenaike, D. (2019). The power of inclusive marketing in brand communications. O’Dwyer. Web.

Afsar, B., Al-Ghazali, B. M., Cheema, S., & Javed, F. (2021). . European Journal of Innovation Management, 24(4),1082-1109. Web.

Alexandra, V., Ehrhart, K., & Randel, A. (2021). . Personality and Individual Differences, 168, 1-6. Web.

Asare, J. G. (2020). What do you do when your diversity efforts lead to greater conflict? Forbes. Web.

Felstead, A., & Henseke, G. (2017). Assessing the growth of remote working and its consequences for effort, well-being and work-life balance. New Technology, Work and Employment, 32, 1-18. Web.

Mojica, A. (2019). Christian ministers say gay marriage not protected in Tennessee Constitution. FOX17. Web.

Workplace Diversity: The Global Social Event

Modern society focuses on providing equal opportunities for all people, as well as being socially inclusive. This process involves the promotion of workforce diversity, which is aimed at integrating representatives of various ethnic, age, and gender groups into the process of operating and managing organizations. From the perspective of the four general education lenses, including history, humanities, natural sciences, and social sciences, one can identify the specific impact of a given event on modern society. In particular, workplace diversity identifies historical changes that drive the introduction of systematic promotion of social inclusion. Additionally, the event is associated with the transformation of the culture of modern society towards the values ​​of personal characteristics and skills. Workplace diversity is also positively associated with promoting environmental protection initiatives. Finally, there is a transformation in the structure of society as more diverse groups gain greater economic opportunities. Thus, the focus on workplace diversity as a global social event influences the emergence of significant changes in modern society.

Lens Connection

History

Considering an event through the lens of history allows one to analyze how the situation in the present has changed in comparison with the past, as well as to trace this process. With regard to workplace diversity, from a historical perspective, there have been minor actual positive changes, although the development of relevant initiatives has been observed. Flory et al. (2018) identify that “the proportion of Black men in management barely increased from 3 percent in 1985 to 3.3 percent in 2014” (p. 74). At the same time, the number of white women remained unchanged, staying at less than 30 percent (Flory et al., 2018, p. 74). At the same time, both in the policies of companies and in whole countries, initiatives are being actively implemented to promote diversity in the workplace and in managerial positions. Beji et al. (2021) provide the example of a quota law passed in 2011 in France, which obliges large companies to have at least 40 percent of women directors by 2017 (p. 136). Thus, in the historical lens, there is a shift towards the systematic promotion of diversity in the workplace.

Humanities

The humanities lens primarily examines the changes that an event has brought to the culture of a society. Kim et al. (2021) explore how workforce diversity can enhance an organization’s resilience in the face of constant leadership turnover. They conclude that the factor of diversity, among other positive effects, makes the company more socially inclusive, which leads to better long-term exchange relationships (Kim et al., 2021). This find identifies cultural changes occurring in society, where the interaction between people and their characteristics becomes a value and a tool. At the same time, Beji et al. (2021) emphasize that diversity boards, especially gender and age, are positively associated with corporate social responsibility policies. Thus, promoting diversity in the workplace over the long term increases the focus of companies on the social mission, which also identifies cultural change. In general, diversity in the workplace is associated with the perception of people and their interactions within society as a greater value.

Natural Science

Consideration of an event through the lens of natural sciences allows one to identify its impact on the natural and physical world. Beji et al. (2021) give an example of how improved social responsibility policies as a result of diversity stimulate the implementation of programs to protect the environment. They note that the French government passed a law that aims “to increase biodiversity by establishing the Green and Blue Framework and regional ecological coherence schemes” (Beji et al., 2021, p. 144). Thus, increasing diversity in the workplace, in particular in managerial positions, enables initiatives to promote increased social responsibility and care for the environment. Kim et al. (2021) also note that workforce diversity can be a factor in increasing the stability of the company regardless of structural changes. Thus, from a natural science perspective, an increase in workplace diversity can potentially lead to a transformation of the structures of organizations in the future towards those that are more based on indicators of diversity. This factor indicates possible changes in the structure of markets and entire organizational patterns.

Social Sciences

The lens of social science allows you to determine the impact of an event on ongoing social changes and the transformation of the structure of society. Flory et al. (2018) emphasize that the diversity message attracts a large number of applicants from under-represented groups, in particular Hispanic and Black community members. In this case, the focus on workforce diversity allows different groups in society to expand their employment and economic opportunities, which identifies long-term changes in the structure of society. Beji et al. (2021) note that a variety of different types, including gender, age, and educational level, have different impacts on the performance of a company’s social responsibility policy. Thus, not only different ethnic, but also other social groups acquire great opportunities to change their economic status. In particular, the focus on workplace diversity allows more people who previously had limited employment opportunities to expand them significantly. In this situation, the structure of society and the relationship between classes can potentially be transformed due to economic factors.

References

Beji, R., Yousfi, N., Loukil, N., & Omri, A. (2021). Board diversity and corporate social responsibility: Empirical evidence from France. Journal of Business Ethics, 173, 133-155. Web.

Flory, J., Leibbrandt, A., Rott, C., & Stoddard, O. (2018). Increasing workplace diversity: Evidence from a recruiting experiment at a Fortune 500 company. The Journal of Human Resources, 56(1), 73-92.

Kim, Y., Jeong, S. S., Yiu, D. W., & Moon, J. (2021). Frequent CEO turnover and firm performance: The resilience effect of workforce diversity. Journal of Business Ethics, 173, 185-203. Web.