2-1 michael a. hitt c. chet miller adrienne colella organizational diversity chapter 2...
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2-1
Michael A. Hitt
C. Chet Miller
Adrienne Colella
Chapter 2 OrganizationalOrganizational
DiversityDiversity
Slides by Ralph R. Braithwaite
2-2
Diversity in the LAFDDiversity in the LAFD• What are your thoughts about the opening
scenario?
• Are there jobs that should be left to onegender or the other? Why or why not?
• Have you seen discrimination based on race?
• Were the consequences as a result of the Los Angeles Fire Department’s actions too lenient, too severe, or just right?
• Do you think the “steps to remedy the situation” are enough? Why or why not?
Exploring Behavior in Action
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Knowledge ObjectivesKnowledge Objectives1. Define organizational diversity and distinguish between
affirmative action and diversity management.2. Distinguish multicultural, plural, and monolithic
organizations.3. Describe the demographic characteristics of the U.S.
population and explain their implications for the composition of the workplace.
4. Discuss general changes in the United States that are increasing the importance of managing diversity effectively.
5. Understand why successfully managing diversity is extremely important for high-involvement work organizations.
6. Discuss the various roadblocks to effectively managing a diverse workforce.
7. Describe how organizations can successfully manage diversity.
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Diversity DefinedDiversity Defined
A characteristic of a group of people where differences exist on one or more relevant dimensions such as gender.
Diversity is a group characteristic, not an individual characteristic.
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Common DimensionsCommon Dimensions• Gender• Race• Ethnicity• Age• Religion• Social Class• Sexual Orientation• Personality• Functional Experience• Geographical Background
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QuoteQuote“The effects of diversity can result from any attribute that people use to tell themselves that another person is different.”
K. Y. Williams and C. A. O’Reilly
Thoughts?
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Strategic Importance of Strategic Importance of Organizational DiversityOrganizational Diversity
• Improves • Corporate culture• Recruitment• Relationships with clients and customers
• Builds competitive advantage• Understand and serve diverse customer base• Heterogeneous teams deal better with complex
problems and challenging tasks• More commitment to organization’s mission
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Affirmative Action vs.Affirmative Action vs.Diversity ManagementDiversity Management
Adapted from Exhibit 2-1: Differences between Affirmative Action Programs and Diversity Management Programs
Ongoing, permanent changesTemporary, until representation of disadvantaged groups
Time Frame
Attempts to uncover the root causes of diversity problems
Does not address the cause of problems
Cause of Problems
Allows all associates to reach their full potential
Recruitment, mobility, and retention
Focus
Assumes that managers and the organizations will change
Assumes individuals will assimilate and adapt
Assimilation
Create an inclusive, empowered work environment
Prevent and remedy discrimination
Purpose
Diversity ManagementAffirmative Action
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Organizational DiversityOrganizational Diversity
MulticulturalMulticulturalOrganizationOrganization
PluralPluralOrganizationOrganization
MonolithicMonolithicOrganizationOrganization
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Forces of ChangeForces of Change• Changing workforce demographics –
percentage by race, age and sex – Exhibit 2-2
• Increase in the service economy
• Global economy
• Requirements for teamwork
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High-Involvement OrganizationsHigh-Involvement Organizations• Commitment to the
organization• Job involvement• Satisfaction
IndividualOutcomes
• Decision making• Creativity• Complex tasks
• Productivity• Return on equity• Market performance
GroupOutcomes
OrganizationalOutcomes
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Societal and Moral OutcomesSocietal and Moral Outcomes
$10.5M & $8M$192.5M
$176M
$132.5M
$250M$47M
$508M
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Laws Preventing DiscriminationLaws Preventing Discrimination
Adapted from Exhibit 2-3: Federal Laws Preventing Employment Discrimination
Title VII of the1964 Civil
Rights Act,
Civil RightsAct of 1991
Equal Pay Act of 1963
Age Discrimination in Employment
Act of 1967
Title I of the Americans with Disabilities Act
of 1990
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The Case of FranceThe Case of France• Religious discrimination
• Discrimination issues in hiring
• Promotional issues
• Thoughts on the policy of not collecting data on race and ethnicity or no affirmative action laws?
• Thoughts on what these companies are doing?
ExperiencingStrategic OB
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Prejudice and DiscriminationPrejudice and Discrimination
Prejudice Discrimination
Modern Racism
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StereotypesStereotypesA generalized set of
beliefs about the characteristics of a group of individuals
What thoughts come to mind when you perceive the
individuals in these photographs?
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Common StereotypesCommon Stereotypes
Adapted from Exhibit 2-4: Common Stereotypes
White MenWhite MenWomenWomen People withPeople withDisabilitiesDisabilities
Jewish PeopleJewish PeopleBlack PeopleBlack People Japanese MenJapanese Men
Arab PeopleArab PeopleAthletesAthletes AccountantsAccountants
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Stereotyping – Difficult to StopStereotyping – Difficult to Stop• Tough to dispel
• Guide what information we lookfor, process and remember
• Seems to be an enduring humanquality – everyone has somestereotypes
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Women, Work and StereotypesWomen, Work and Stereotypes
ExperiencingStrategic OB
• While things have improved, are there still gender issues in the workplace?
• Are the issues faced by the women in the text unique and unusual?
• What are your thoughts about the survey conducted by Elle and MSNBC.com?
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Social IdentitySocial IdentityA person’s knowledge that he or she belongs to certain social groups, where belonging to those groups has emotional significance. Key Points:
• Person’s social identity becomes more salient and noticeable when in the minority on an important dimension
• Having a social identity different than the majority may make people feel they have to behave in ways that are unnatural for them in certain contexts
• Minority group members often fear losing their social identity
• People often evaluate others based on their membership in social groups
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Sample Self-Identity StructuresSample Self-Identity Structures
Adapted from Exhibit 2-5: Sample Self-Identity Structures
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Sources of PowerSources of Power
ExpertKnowledge
FormalPosition
ControlRewards andResources
BeingIrreplaceable
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Ascribed StatusAscribed StatusStatus and power that is assigned by cultural norms and depends on group membership• High-status individuals speak more and use
stronger influence tactics than members of low-status groups
• People belonging to groups with different amounts of power and status may avoid interacting with one another and may form cliques with members of their own groups
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Communication ProblemsCommunication Problems• Different languages
• Different levels of fluency in the dominant language
• Excluding those who don’t speak the language
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Communication Disagreement Communication Disagreement Among CulturesAmong Cultures
• Willingness to openly disagree
• Importance of maintaining “face” or dignity
• The way “agreement” is defined
• Time devoted to establishing personal relationships
• Willingness to speak assertively
• Mode of communication - written or verbal
• Personal space and nonverbal communication
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Structural IntegrationStructural Integration
The degree to which minorities and women are represented in all occupations within an organization. Two levels exist – poorly integrated and well integrated.
The next two slides show examples of each – both organizations have approximately 35% of the employees being female and/or minority.
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Poor Structural IntegrationPoor Structural Integration
Middle Management
0% 0% 2% 0%
0% 1% 10% 2%
0% 5% 15% 5%
25% 25% 40% 26%
60% 65% 80% 75%
0.5%
3.25%
6.25%
29%
70%
FinanceM
arketing
HR
Sales
Average A
ll
Functions
Top Management
Supervisor
Staff
Line Worker
Percentage of people who are female and/or racial and ethnic minority group members
Adapted from Exhibit 2-6: Examples of Poorly Integrated and Well-Integrated Organizations
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Good Structural IntegrationGood Structural IntegrationPercentage of people who are female and/or racial and ethnic minority group members
35% 35% 35% 35% 35%
35% 35% 35% 35% 35%
35% 35% 35% 35% 35%
35% 35% 35% 35% 35%
35% 35% 35% 35% 35%
Top Management
Supervisor
Staff
Middle Management
Line Worker
FinanceM
arketing
HR
Sales
Average A
ll
Functions
Adapted from Exhibit 2.6: Examples of Poorly Integrated and Well-Integrated Organizations
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RoadblocksRoadblocks• Poor integration creates power and status
differentials – become associated with gender and race
• Poor integration fosters negative stereotypes
• Women and minorities who are successful may be perceived to have token status
• Women and minorities perception – impossible to move up
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Commitment of LeadersCommitment of Leaders• Communicate through multiple channels
• Personally lead all diversity efforts
• Sponsor employee councils
• Ensure cross-cultural communication
• Be accountable for advancing diversity initiatives
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ManagerialAdvice
Promoting a Positive Promoting a Positive Diversity EnvironmentDiversity Environment
Principles
• Pause to short circuit the emotion and reflect
• Connect with others in ways that affirm the importance of relationships
• Question interpretations and explore blind spots
• Obtain genuine support that doesn’t necessarily validate initial points of view but rather helps in gaining a broader perspective
• Shift the mindset
Thoughts?
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Integration With the Integration With the Strategic PlanStrategic Plan
• Increased market share and new customer bases• External awards for diversity efforts• Associates’ attrition rate• Associates’ work satisfaction• Associates’ and managers’ satisfaction with
workplace climate
Common measures of diversity effectiveness include:
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Associate InvolvementAssociate Involvement• Discussion groups from
a cross-section of staff
• Employee satisfaction surveys
• Cultural diversity audits
• Informal employee feedback hotlines
• Develop and support affinity groups – groups that share common interests
• Provide training
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Diversity Initiatives at Denny’sDiversity Initiatives at Denny’s• Recruiting
• Retention
• Development
• External partnerships
• Communication
• Training
• Staffing and infrastructure
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The Strategic LensThe Strategic Lens
1. How does organizational diversity contribute to an organization’s competitive advantage?
2. What actions are required to create diversity in an organization, particularly in one that has homogeneous membership at present?
3. How does diversity in an organization affect its strategy?