Diversity Essay/Capstone Project

Diversity Management in a Globalized Economy

Workplace diversity may be defined as a variety of differences between staffs in an organization. Diversity therefore not only includes how staffs will identify themselves but also how they will perceive each other at place of work. According to demographic analysis by PEW Research Centre, the U.S will no longer have a single ethnic or racial majority come 2055. This will translate to a more diverse population and consequentially; the corporate America will be compelled to address workplace diversity and inclusion. Firms which will be able to effectively manage workplace diversity will enjoy a distinct competitive advantage in regards to recruitment and hiring, attracting and retaining staffs (Roberson, 2019). Workplace diversity mainly encompasses religion, ethnicity, race, gender, and age (Roberson, 2019). This paper seeks to determine internal and external dynamics, the competitive advantages and other benefits of diversity and inclusion at workplace.

Internal and External Dynamics influencing Workplace Diversity

There are various dynamics of workplace diversity and inclusion; stakeholder satisfaction, talent optimization, innovation and better decision-making however, without inclusion, challenges such as serotypes, bias, differences in values, norms and behaviors and communication barriers will inhibit maximum cooperation from the diverse staffs (Roberson, 2019). Poor diversity management is therefore linked to increased conflicts due to low cohesion and integration, low morale and eventually higher turnover rates (AXIOS HR, 2020). All this factors contribute to higher operating cost. As such, diversity directly influences performance. Below are the internal and external factors influencing workplace-diversity.

Competition

The competition to attract and retain top talents is a major challenge to most firms. Competitiveness nowadays based on attracting and retaining top talents while the cost of the same is on the rise. As such, inclusion remains the only precondition of leveraging the fruits of diversity. The Centre for Talent Innovation concluded that in 2013, firms that provided diverse voices equal opportunity were twice as likely to realize value-driving insights given that their staffs were 3.5 times more likely to participate and realize their full innovative potential. According to Ravazzani (2016), firms with inclusive cultures have 45% chances of realizing market growth and are also over 70% more likely to capture new markets. Competitive environment therefore directly influences diversity; firms must be inclusive enough to stay competitive. More analysis can be done in future modules to ascertain the drawbacks of competition and how it can adversely affect diversity in the organization.

Generational Differences

The workforce experiences entry of new generation each year. This influences staff’s communication, corporate culture, beliefs among other critical elements of diversity and inclusion. Generational difference therefore equates a unique approach to staff’s management and motivation. It’s also clear that diversity is ever changing. For instance, women today comprise over 47% of America’s workforce while in 2015; the millennial were the largest generation of America’s workforce (Ravazzani, 2016). Ensuring individual approach when connecting with staffs allows the management to devise innovative ways of motivating each staff while suiting their needs as per the expectations of every new hire. The fact that each generation harbors different expectations and needs inhibits diversity and inclusion (Roberson, 2019). An individualistic approach ensures minimal workplace conflicts thus a diverse and cohesive workplace environment.

Recruitment and Retention

Building a diverse workplace is directly linked to recruitment policies. Hiring and recruiting staffs from diverse backgrounds is the first step to diversity management. Leadership and management also plays critical role in diversity management. Ensuring diverse teams require leaders who are committed to diversity and inclusion (Roberson, 2019). It’s therefore critical to have leaders who will ensure hiring decisions are free from bias throughout the interviewing and selection process. This may be achieved by incorporating a diverse team of interviewers and ensuring candidates are hired solely on merit.

Policies and Practices

It’s also critical to ensure that there are adequate policies and practices in place to guarantee staffs rights while ensuring compliance with government laws. As such, it’s critical to forecast the impacts of corporate policies and practices on diverse groups. Zero-tolerance policy is one way of fostering workplace diversity Triana, (2017). Management must ensure the workplace is free from color jokes, bullying, and sexual harassment among other forms of workplace misconducts. For instance, the emergence of LGBT and other sexual orientations compels firs to have sensitivity training.

The environment has become an important factor in diversity management. According to (Triana, 2017), 67% of job seekers consider diversity and inclusion as very important while 57% of new staffs would like to not only be associated with diverse but also environmental friendly workplaces (Ravazzani, 2016). This in turn contributes to less environmental degradation by companies in an aim to attract and retain the best candidates. Diversity management therefore helps firms to stay abreast of international policies that helps them not only stay competitive but also adhere to the humanitarian and environmental laws and therefore a competitive advantage in that over 70% of global consumers want to associate with environmental friendly brands (Triana, 2017).

In conclusion, with the emerging market trends, most organizations are shifting towards younger staffs and policies that foster competitiveness in recruitment and staff retention and gaining competitive advantage through diversity and inclusion. Its therefore critical to also consider strategies of diversity, the impact of the same in terms of workplace culture, staff’s motivation and corporate strategies.

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