Reference no: EM132292069

As the marketplace for goods and services becomes increasingly global, businesses must understand and embrace diversity in their brands as well as in their work forces. Simply having a diverse employee population is no longer enough, according to Forbes; for a company to succeed in today’s challenging economy, it must not only meet the needs of a multifaceted marketplace, it must respect different cultures, ideas and philosophies.

Innovation

One of the biggest reasons to employ a diverse workforce is the broad base of cultural experience that will drive innovation. Whether an employee is management, mid-level or entry level, when everyone in the work force has a similar background, the creative process that drives innovation and problem solving is similar. A new perspective that does not match this ‘group think’ is more likely to improve the business in a unique way.

Attracting Talent and Customers

Premier industry business talent prefers to work for or with a company that has a diverse work force. Customers also prefer to buy goods and services from diverse companies, too. These are two reasons that Forbes says to be truly successful in the global marketplace, a business must be authentically diverse. That means a company must develop a new model that embraces diversity as a central growth enabler.

From Recruitment to Strategy

Companies that embrace this authentic diversity will find that having only the requisite number of “minorities” in the workplace is not enough. Instead, according to Forbes, companies are developing “chief diversity officer” roles that touch more than just recruitment and human resources. These officers will instead have greater control over areas such as strategy, marketing and sales. Companies that have diversity among the management staff will more easily fulfil the needs of a broad customer base.

Cultural Intelligence

Perhaps the most compelling reason to employ the diverse work force is cultural intelligence. When fellow employees and customers are diverse, the opportunities not just to learn but to appreciate what values other cultures hold sacred are limitless. Adopting these values as part of the business’ core message and product fosters understanding between the cultures. When a business operates with diversity in mind, the opportunity for shared value - both in profit and society is greatly expanded.

QUESTIONS

How might the innovation concept apply to diversity management?

How might new employees from a different background challenge groupthink and better contribute to diversity?

Why is cultural intelligence likely to increase diversity and does it affect management?