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Understanding Diversity in the Workplace

Gain insights into the dimensions, evolution, business case, and costs of diversity. Explore primary and secondary dimensions of diversity, types of diversity, and workforce demographics. Understand the benefits and costs of diversity in organizations.

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Understanding Diversity in the Workplace

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  1. Session #1: Defining DiversityObjectives and Agenda • Class members will gain an understanding of : • The dimensions of diversity, • The evolution of diversity, • The business case for diversity, • The costs and benefits of diversity, and • The distinction between diversity and affirmative action. • Form Groups • Exercises • Video: Shadow of Hate • Next Week’s Assignment: Bring examples of newspaper articles reflecting intolerance to share with class.

  2. Primary and Secondary Dimensions of Diversity(Loden & Rosener, 1991) • Primary: (ie., demographic group) • immutable and inborn • shapes self-image and world view • measures of core identity • highly salient to self and others • Secondary: (ie., locale, profession, religion?) • Acquired, discarded or modified throughout life • Most are less salient than primary dimensions • Situations may increase salience (ie, Christmas) • Influences self-esteem and self-definition • Generally less influence on core identity than primary dimensions • Primary and secondary dimensions inter-related and interact in complex ways.

  3. OBSERVABLE gender race ethnicity (sometimes) age (sometimes) physical ability/disability appearance NOT OBSERVABLE religious beliefs sexual orientation socioeconomic class mental ability family status geographic location military experience language education work background Dimensions of Diversity

  4. Types of Diversity(Jackson & Ruderman, 1995) • Demographic or Power Groups • Gender, race, ethnicity, age, disability, religion, class, sexual orientation. • Psychological Diversity(cf. McGrath, Berdahl & Arrow, 1995) • Values and beliefs. • Knowledge, skills and abilities. • Personality, cognitive and behavioral styles. • Organizational Diversity • Occupation and profession. • Department and level. • Tenure in organization. • Central construct of diversity = IDENTITY AND POWER

  5. WHY DOES DIVERSITY MATTER??

  6. Workforce Demographics(Department of Labor, 1995) • 1950: White men comprised 65% of the labor force. • 2005: Women and people of color will comprise 62% of the labor force. • Two-thirds of our population and over 57% of the working population is female and minorities.

  7. Workforce Demographics (cont’d) • Women and people of color comprise 80% of the net increase in the labor force by 2005 (U.S. Bureau of Labor Statistics, 1995). • Immigration will account for nearly two-thirds of the expected population growth in the next half-century (National Academy of Sciences, 1997). • This will add $10 billion a year to the nation’s economic output.

  8. Census 2000People of color represent over 1/3 of U.S. population and have doubled over the past 20 years

  9. Projected Census: 2050People of color will comprise half of U.S. population; Latino & Asian-American populations will triple.

  10. City of Milwaukee 2000People of color constitute 54.6% of population in the City of Milwaukee

  11. Mandate for Diversity (Copeland, 1988; Cox & Blake, 1991; WOW Facts 2002) • Demographics • Workforce 2000 (people of color are 1/3 of population) • People with disabilities are nearly 12% of workforce • Gay men and lesbians: 4-17% of workforce (Gonsiorek & Weinrich, 1991) • 42% of employees will be 45 or older by 2015 • Islam will be the second largest religion in U.S. by 2010 • Competition for Talent • Shrinking labor pool. • Companies with best reputations will get the best talent. • Productivity • Increased creativity. • Better problem solving. • Less turnover and absenteeism.(cont’d)

  12. Mandate For Diversity (cont’d) • Marketplace Demands • U.S. Minority marketplace equals the GNP of Canada. • People of color will spend $1.4 trillion per year by 2007 and will account for 13% of nation’s buying power. (Georgia Business and Economic Conditions Report). • Older Americans spend more than 800 billion annually. • Globalization of Marketplace • Sensitivity of local cultural differences extends internationally. • System Flexibility • Meet needs of majority members as well (daycare, flextime). • Flexible organizations more adaptable to environmental changes.

  13. Benefits Attract and retain the best talent. Enhanced marketing efforts. Higher creativity and innovation. Better problem solving. More organizational flexibility. Costs Decreased group cohesiveness.(Cohesive-ness related to group morale and communication, but unrelated to performance.) Increased communication problems. Increased conflict and anxiety. May take longer to make a decision. Benefits and Costs of Diversity(Cox, 1993)

  14. Historical Assumptions About Diversity(Loden & Rosener, 1991) • “Otherness” is a deficiency. • Diversity poses a threat to the organization’s functioning. • Expressed discomfort with the dominant groups’ values is over-sensitivity. • Members of diverse groups want to become and should be more like the dominant group: ASSIMILATE! • Equal treatment means the same treatment.

  15. Evolution of Diversity(Morrison, 1992) • The Golden Rule Approach • Do unto others… treat each person with civility. • Everyone should be treated the same - be color blind. • Prejudice and organizational barriers do not exist. • Equity will occur when individuals do the right thing. • Assimilation • Melting Pot Model: Individuals should fit in with majority. • Emphasis on homogeneity. • Equity occurs when people of color assimilate and give up cultural values and differences. (cont’d)

  16. Evolution of Diversity(cont’d) • Righting the Wrongs (Affirmative Action) • Workforce is a pipeline: fill pipeline with people of color. • Use numerical goals. • Expect people of color to assimilate. • Concerned with recruitment more than retention and advancement. • Equity occurs with adequate number of minorities. • Multicultural Approach (Managing Diversity) • Mulligan Stew rather than puree; “garden” analogy. • Increase appreciation of all types of differences - beyond race and gender. • Recognition of differences without value judgments. • Organizations’ culture and norms must change. • Equity occurs when differences are valued by individuals and organizations.

  17. The Problem with Affirmative Action(Roosevelt Thomas, 1990) • Assumption: “If we can fill the pipeline with qualified minorities and women, we can solve our upward mobility problem.” • Fact: Turnover rate among women and people of color in management is over twice that of white male counterparts. (Robinson & Dechant, 1997) • Glass ceiling persists (WOW Facts, 2002) • Women are 47% of workforce and hold 40% of managerial positions, but hold only 5% of executive positions. (Catalyst, 2002) • Men & women of color hold between 4-7% of executive positions • African American women hold 2.2% of executive positions. • Women comprise 6.2% of highest ranks in Fortune 500 companies and are 4.1% of top earners (2000 Catalyst census). • Women at VP level earn 42% of male peers (Korn-Ferry) • Women start their own business at twice the rate of men.

  18. Problem with Affirmative Action (cont’d) • Does not address organizational culture. • Women and people of color expected to assimilate. • Burden of cultural change on newcomer. • Face chilly climate, become alienated, leave. • Lack of mentoring and role models. • Exclusion from networks. • AA Backlash: questioned competency. • Charges of reversed-discrimination. • “Win/lose” and “We/them” perspective.

  19. Affirmative Action Legally driven. Quantitative. Assimilation model. Opens doors. Focus on subset of population. Target group benefits. Resistance based on fears of reverse-discrimination. Managing Diversity Ethically and strategically driven. Qualitative & behavioral. Diversity model. Opens attitudes and systems Focus on entire population. All groups benefit. Resistance based on fear of change. Comparison of Affirmative Action and Managing Diversity Perspectives(Thomas, 1990)

  20. Managing diversity means changing THE CULTURE, not the people! • Do you FIT with the values, norms beliefs? • Do you feel like an outsider looking in? • Are you valued or wanted? • Are you punished for being you? • (more on this next week!)

  21. FRAMEWORK FOR ANALYSIS:A MULTI-LEVEL APPROACH TO CHANGE(Ragins, 1995) • CULTURAL • Values, Assumptions & Beliefs • STRUCTURAL • Formal reporting relationships among positions & departments. • BEHAVIORAL • Behaviors, Attitudes & Perceptions

  22. Propositions: • #1: Effective change efforts requires changes in all three levels (cultural, structural and behavioral) • Change in one domain is insufficient • #2: Levels are interdependent and synergistic in influence • #3: Scope of diversity efforts must be inclusive towards all groups.

  23. SHADOW OF HATE VIDEO • 1. How has intolerance been expressed in American history? • 2. What are some underlying causes of intolerance? • 3. How has intolerance been expressed in Milwaukee? At UWM? • 4. What are the causes of these actions? • 5. What can be done to improve these situations? • Homework: Bring newspaper articles illustrating intolerance to class; be prepared to share with class.

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