Reference no: EM132694989

Dividends of Workplace Diversity

Managers who build strong, diverse organizations reap numerous dividends, as described here and shown in Exhibit 9.16. The dividends of diversity include the following:

• Better use of employee talent. Companies with the best talent are the ones with the best competitive advantage. Attracting a diverse workforce is not enough; companies must also provide career opportunities and advancement for minorities and women to retain them.
• Increased understanding of the marketplace. A diverse workforce is better able to anticipate and respond to changing consumer needs. Ford Motor Company realized it could reach its business objectives only if it created a workforce that reflected the multicultural face of the country. So it assembled a workforce made up of 25 percent minorities to foster a culture of inclusion; as a result, the company won a spot on Black Enterprise's "40 Best Companies for Diversity."
• Enhanced breadth of understanding in leadership positions. Homogeneous top management teams tend to be myopic in their perspectives. According to Niall FitzGerald of Unilever, "It is important for any business operating in an increasingly complex and rapidly changing environment to deploy a broad range of talents. That provides a breadth of understanding of the world and environment and a fusion of the very best values and different perspectives which make up that world."
• Increased quality of team problem solving. Teams with diverse backgrounds bring different perspectives to a discussion that result in more creative ideas and better solutions. A recent research project found that when people participated in diverse teams, their answers to problems were 58 percent more accurate than those of people participating in homogeneous teams. Moreover, performance improved over time as people worked within a diverse group, while performance of the homogeneous groups tended to go in the opposite direction as people began to copy one another or agree to solutions without debate.
• Reduced costs associated with high turnover, absenteeism, and lawsuits. Companies that foster a diverse workforce reduce turnover, absenteeism, and the risk of lawsuits. Because family responsibilities contribute to turnover and absenteeism, many companies now offer child-care and elder-care benefits, flexible work arrangements, telecommuting, and part-time employment to accommodate employee responsibilities at home. Discrimination lawsuits are also a costly side effect of a discriminatory work environment. A racial harassment suit against Lockheed Martin Corporation cost the company $2.5 million, the largest individual racial-discrimination payment obtained by the EEOC.

1) Answer the following:

a. Select, and identify any company from Fortune's 100 Best Workplaces for Diversity list. https://fortune.com/best-workplaces-for-diversity/

b. Explain one specific practice (Enhancing Structures and Policies, Expanding Recruitment Efforts, Establishing Mentor Relationships, Increasing Awareness of Sexual Harassment, Encouraging Employee Affinity Groups) that this company is following regarding Diversity Initiatives. Please include specific quotes from their website and/or detailed descriptions of what you are finding.

c. Based on your answer in part b, why would a company benefit from this initiative? Relate your answer here to section 9-8c. Explain.