Research Paper Undergraduate 1,476 words

Diversity in organizations: benefits and workplace practices

Last reviewed: October 26, 2011 ~8 min read
Abstract

Diversity in a workforce is vital to a company's success. Human resource management is beginning to see the benefits of diversity programs. These programs are being developed and implemented in order to recruit and retain top talent.

Human Resources

Diversity in Organizations

Workforce diversity recognizes the truth that people differ in many ways, noticeable or unseen, mainly age, gender, marital status, social status, disability, sexual orientation, religion, personality, ethnicity and culture. HRM is a set of distinct actions, tasks and procedures that are aimed at drawing in, directing and continuing an organization's human resources. The HR function has grown considerably over the past few decades and now covers the whole range of people management processes. There are dissimilar views about the nature of HRM and there exists a massive variety of HR practices accepted by various organizations. Nonetheless, it is broadly accepted that the key practices of HRM include recruitment and selection, training and development, performance management and pay (Shen, Chanda, D'Netto & Monga, 2009). In order for a company to be successful they must have a workforce diversity program in place (Kramar, 2010).

Recruitment and Selection

Human resource managers typically bring people into the company and promote workers who fit or have values like those of the decision makers. Human resource professionals and line managers who recruit and interview job seekers in a multicultural workforce need to be conscious of the ways in which the interviewers' viewpoints, attitudes, and stereotypes influence interview behavior (Shen, Chanda, D'Netto & Monga, 2009). To facilitate the external recruitment of diverse employees, Peoples Bank of Quebec proposes the following processes:

Set up a process to facilitate recruitment and selection of employees from minority groups

Improve the visibility and image of the Bank in minority groups

Train managers on the staffing and recruitment policies as well as the selection tools which promote diversity (Panaccio & Waxin, 2010).

The banks plan is very good in that they are proposing to train their managers in regards to the recruitment policies and the selection tools that they will have access to. An additional training that needs to take place is that of actual interviewing techniques and processes. It is very helpful if those people who are conducting the interviews actually know who to conduct one.

Training and Development

High quality diversity awareness training is one HR function that improves the effective incorporation of diverse group members. Awareness training builds a widespread understanding of the value of diversity, assisting in building social unity so that it improves individual and organizational outcomes (Shen, Chanda, D'Netto & Monga, 2009).

To facilitate the training and development of diverse employees, Peoples Bank of Quebec propose the following processes:

Develop a training program on equity and diversity in the workplace and train managers and employees (Panaccio & Waxin, 2010).

The banks plan to implement a training program on equity and diversity is a very good idea. There needs to be a common understanding of what diversity its and how it can help to enhance a company. They need to make sure that everyone attends this training, not just managers and supervisors. This needs to be mandatory for all employees including new hires.

Performance Management

Effectual performance appraisal practices in the area of diversity management should be objective not subjective, pertinent to the job and the company, and fair to all workers and offer no special treatment. Including non-traditional managers on the appraisal panels can help to generate objective criteria and fair performance appraisal practices. When carrying out appraisals, the language of appraisal should center on the worker's performance and not on the personality or race of the person. Therefore, the aim should be to make the appraisal as culturally unbiased as possible (Shen, Chanda, D'Netto & Monga, 2009).

To facilitate the training and development of diverse employees, Peoples Bank of Quebec propose the following processes:

Set up a mentoring system for employees from minority groups

Develop a succession plan which provides promotion opportunities for certain categories of employees from minority groups (Panaccio & Waxin, 2010).

This plan is just a start in what really needs to be done. There is no mention of how diversity will be addressed in regards to performance appraisals. There needs to be specific training on how to conduct performance appraisals and standard forms developed so that all appraisals are carried out the same way.

Pay

Pay equality adds to effective diversity management and organizational performance. Diversity management in payment requires complete application of the principle of equal pay and a performance-based pay system. Empirical evidence has shown that the compensation structure, the wage determinants and the benefit schemes should be intended not only on common principles but also considering individuals in terms of their capability, knowledge and skill (Shen, Chanda, D'Netto & Monga, 2009).

The Peoples Bank of Quebec does not propose any initiatives in their diversity plan in regards to pay. They need to make sure that their current wage determinants and benefit schemes are diverse and fair to everyone. Basic benefits need to be consistent across the company and wages need to be consistent within each job classification or function. In order to be successful and attract the best candidate possible a company has to offer the best pay and benefits that they can.

Discussion

Employers have begun to make diversity part of their employer brand in order to attract and retain workers. They have started to have a careful and thoughtful, all-inclusive approach to attracting, recruiting and engaging diverse workers and really try to make sure the processes that have are comprehensive. Diversity is becoming more and more important to prospective and current workers. At the Toronto-based RBC Financial Group they have put into place four resource groups for employees:

Reach (for people with disabilities)

Royal Eagles (for Aboriginals)

Pride (for lesbian, gay, bisexual and transgendered people (LGBT)

Mosaic (for visible minorities and new Canadians).

These programs were fashioned in support of recruitment, retention and engagement strategies. They feel that it is very commanding to be able to reach out to peers and colleagues to better understand what's going on in the organization. These groups help both with personal and professional development of their workers (Klie, 2009).

Conclusion

Organizational investment in and commitment to diversity is a process that is fluid, demanding and potentially lengthy. But it has significant benefits, including improved organizational ability to attract and retain workers, and to address the needs of promising client and customer bases. Additionally, workers are more likely to feel motivated and engaged if they distinguish that their skills and knowledge are valued (Marshall, 2010).

Diversity is about culture alteration, service enhancement and equality of opportunity. It benefits everyone inside and outside the organization. Diversity is basic to any successful company. Respect for diversity must be second nature and part of the everyday culture. There is a moral imperative to offer a fair opportunity for everyone to realize their potential and to be respectful of others. Diversity is a business benefit. Embracing diversity strengthens any company, as it advances the work environment for everyone, it augments the pool of talent available and it positions companies to face the up-and-coming challenges that lay ahead (Marshall, 2010).

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PaperDue. (2011). Diversity in organizations: benefits and workplace practices. PaperDue. https://www.paperdue.com/essay/diversity-in-organizations-46885

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