Unit 1 LO2 Business Culture and Responsibilities
Learning Outcome: 02
Task 2.1 Explain what is meant by ‘diversity in the business context
Nowadays the world business has gone before scientific methods of operations, management, adoptions, adaption, recognition, revolution, etc. in their workplace. Diversity is the concept by which the marketer can use scientific and technological policies to business properly among every sector employees.
Diversity, according to Thomas (1991), means more than race and gender in the workplace. Diversity can refer to lifestyle tenure, position in the organization, age, sexual preference, functional specialty, or geographic location. It is the human differences that play an important role in the culture and operation of organizations (Brazzel, 1991). With this in mind, cultural diversity is, therefore, the representation, in one social system, of people with distinctly different group affiliations of cultural significance (Powell and Persico, 1995; Cox, 1994). Researchers have gone further to define diversity in primary and secondary dimensions. Primary dimensions being age, ethnicity, gender, physical abilities/qualities, race, and sexual affection orientation.
The primary dimensions shape our basic self-image as well as our fundamental worldview. Additionally, they have the most impact on groups in the workplace and society (Loden and Rosener, 1991). The secondary dimensions include educational background, geographic location, income, marital status, religious beliefs, and work experience. These secondary dimensions of diversity affect our self-esteem and self-definition. Numerous studies have established that culturally diverse teams have different dynamics than homogeneous teams (Williams and O’Reilly, 1998). These groups are broadly seen as having both increased challenges and opportunities: diverse groups often experience miscommunication and disabling conflict (Shaw, 198 I; Tsui, Egan, and Xin, 1995); yet under the right circumstances, they can be synergistic and creative (Cox, Lobel, and McLeod, 1991; McGrath, 1984).
As workplaces embrace the idea of diversity, they often realize benefits that help improve their companies, from new ideas to increased international opportunities. Diversity can add varied ideas and perspectives to the workplace. Research compiled by the Journal of Small Business Management suggests that employers who recruit diverse workforces open their businesses to a wide range of ideas. Businesses compile these varied opinions and ideas as they make decisions about how to start, run, and finance their operations and market their products or services.
Our Recommended Resources:
Companies that set out to recruit a diverse workforce, rather than settling for a homogeneous environment, open their businesses to a larger pool of applicants. As a result, they increase their ability to access candidates who are most qualified for the positions they’re looking to fill. Dr. John Sullivan, a consultant, and educator on ere.net, a recruitment website, notes businesses that opt not to recruit from diverse pools of talent may not only miss talent but also be forced to increase recruiting costs.
Task 2.2 Recognise the benefits of having a diverse workforce
The benefits of a diverse workforce in a business environment are beyond description. The marketer wants their workplace diversified for the best result by the employees in every sector of the workplace. The marketers diversify their workforce by their age, qualifications, expertness, ability, skills, sex, etc. so that they can make every employee be more active in the workplace. Here below are some examples of the benefits of having a diverse workforce:
Innovation and creativity: A homogenous workforce will have monotonous business ideas. If you want to compete in the market, you can stay one step ahead of your competitors by bringing out-of-the-box ideas to your organization. Hiring and retaining a diversified pool of people can help you achieve this. A case in point is Microsoft Ireland. It employs 1,200 individuals belonging to 50 different nationalities.
Productivity: Diversity and productivity are directly proportional to each other. Many organizations are aware of this already. In research by Forbes Insights, it was revealed that 85% of companies earning more than $500 million agreed that an inclusive and diverse workforce can encourage different ideas to drive innovation, which ultimately leads to higher productivity.
Upon approving their ideas, your employees will feel motivated. Eventually, this may boost their productivity.
Access to diversified clients: In Procter & Gamble, 51% of the workplace is diverse. This means that more than half of the workforce is ready to build long-term relationships with the multifaceted and multicultural consumer base. So what should Procter & Gamble expect? A huge, expanded base of customers! Just like the example above, your organization can also approach a diversified set of clients by hiring people with diverse languages, expertise, and skills. Want to expand your business to Asian markets? There are higher chances of reaching the Asian segment by hiring Asian employees.
Growth in skills/exposure: Diversified workplaces have higher ratios of employee engagement, according to a Gallup survey. Since engaged employees deliver a higher level of productivity, they’re more likely to have higher tenures in your organization. During their tenure, they’re able to enhance their professional skills.
To attract and retain the best talent: 67% of people searching for jobs say that they’d love to accept a job offer from a company that hires a diversified workforce, according to Glassdoor. That’s because they’re aware that companies with a diverse workforce treat their employees differently. With mentoring programs, diversity training workshops, and employee resource groups in place, it’s a lot easier to attract and retain dedicated and skilled people for your company’s growth.
Task 2.3 Compare how a range of organizations promote diversity
Workplace diversity makes good business sense. Understanding the differences between people from a broad spectrum of backgrounds can help companies find ways of appealing to a broader range of customers and employees. To promote diversity in the workplace, companies can take an active role by establishing diversity programs and valuing diversity in all aspects of the business. Blanco’s research on isolation with the National Society of Hispanic MBAs uncovered lots of excitement about hiring people of color, including strong recruitment efforts and salaries; but that’s just the beginning. “Once people got to work, they felt pretty isolated. The word gets out, and the company suffers because minorities avoid applying.”…………….