17.Kossek, Ellen, Sharon Lobel, And Jennifer Brown. Human Resource Strategies to Manage Workforce...

8/9/2019 17.Kossek, Ellen, Sharon Lobel, And Jennifer Brown. Human Resource Strategies to Manage Workforce Diversity Ex

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Human Resource Strategies to Manage Workforce Diversity: ExaminingThe Business Case

!ossek" E##en" Sharon $o%e#" an& 'ennifer Bro(n) *Human Resource Strategies toManage Workforce Diversity: Examining The Business Case

Ellen Ernst Kossek, Sharon A. Lobel, and JenniferBrown

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0-43RE 6)7 HRM &iversity research streams

-n this cha8ter" (e &iscuss the human resource management 9HRM 8ers8ective on(orkforce &iversity) This vie(8oint high#ights the &eve#o8ment an& im8#ementationof organi;ationa# initiatives that 97 increase the numerica# re8resentation ofhistorica##y exc#u&e& grou8s< 96 em8o(er a &iverse (orkforce once it is in 8#ace to

8artici8ate fu##y in organi;ationa# &ecision making< an& 9= ensure the inc#usion of a&iverse (orkforce in every as8ect of organi;ationa# #ife 9!ossek > $o%e#" 7??@ ) The

%usiness case for HR &iversity strategies #inks recruitment" se#ection" &eve#o8mentan& retention of a &iverse (orkforce to %usiness goa#s" #a%or market shifts"g#o%a#i;ation an& com8etitive a&vantage 92akura" 7??@ )


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Data from the 3S De8artment of $a%or 96AA i##ustrates the continuing nee& for&iversity strategies) Whites ho#& a #arger than 8ro8ortionate share of managementoccu8ations 9 ) re#ative to other races an& ethnicities 9e)g) )F for %#acks" )?His8anics ) -f 8ro8ortions mirrore& the 8o8u#ation" (e (ou#& ex8ect (hites tocom8rise F of management" (ith %#acks an& His8anics &ou%#ing current rates) -n

6AA6" (omen re8resente& F) of the manageria# an& 8rofessiona# occu8ation" %utmain#y occu8ie& fema#eG&ominate& " re#ative#y #o(erG8ai& occu8ations 9e)g) schoo#teachers (ithin these 8rofessions" (hi#e men (ere nine times as #ike#y to %eengineers an& scientists) Turning g#o%a##y" the 4en&er +romotion +rogramme of the-nternationa# $a%or /rgani;ation 9 ((()i#o)org conc#u&es that (hi#e g#o%a#i;ationhas create& un8rece&ente& economic o88ortunities" it has a#so &ee8ene& socia#ine ua#ities) /n#y of (orkingGage (omen are in the (orkforce (or#&(i&ecom8are& to A of men) 0urther" (omen continue to &ominate the invisi%#e careeconomy " (hich re#ates to caregiving an& &omestic (ork) The -$/ re8ort notes thata#though more an& more (omen are o%taining 8ai& (ork" most ne( em8#oyment in&eve#o8e& countries has %een in 8artGtime Io%s" (hi#e in &eve#o8ing countries (omenhave gone main#y into the informa# sector an& homeG%ase& (ork) 4#o%a##y" (omenearn 6AG=A #ess than men an& ho#& on#y 7 of chief executive 8ositions)

Ta%#e 6)7 gives an overvie( of &iversity management strategies" (hich invo#ve settingo%Iectives 9first co#umn " trans#ating o%Iectives into 8rograms an& 8o#icies 9secon&co#umn an& fina##y esta%#ishing measurement outcomes 9thir& co#umn ) 0or exam8#e"the organi;ation might esta%#ish attracting a (i&er 8oo# of ta#ent as an o%Iective) Thenmanagers &eve#o8 metho&s of achieving the o%Iective" such as ensuring that (omenan& minorities are on the intervie( short#ist for 8otentia# hires) Measurementoutcomes might ref#ect the ratio of acce8tance of Io% offers" an& turnover exitintervie( &ata)

-n this cha8ter" (e revie( three 8rinci8a# research streams on the effectiveness ofHRM &iversity strategies 9see 0igure 6)7 ) The first stream investigates ho( 8articu#ar HR 8ractices inf#uence (orkforce &iversity) ,s Ta%#e 6)7 sho(s" &iversity strategiescan target in&ivi&ua#" grou8 an&Jor organi;ationa# outcomes) The secon& streamexamines ho( the 8resence of &iversity in the (orkforce affects outcomes" an& thethir& stream &irect#y #inks HR 8ractices to outcomes)

We conc#u&e (ith future research suggestions an& a criti ue of the %usiness case)

HR PRACTICES A ! "#RK$#RCE !I%ERSIT&HR &iversity 8ractices have %roa&ene& %eyon& affirmative action 9,, an& e ua#em8#oyment o88ortunity 9EE/ staffing efforts) ,&&itiona# %est 8ractices inc#u&eesta%#ishing a visi%#e Diversity ,&visory Committee" con&ucting man&atory training"an& targeting communications to &ifferent affinity grou8 mem%ers 9'ackson" 6AA6 )

The first research stream examines the effects of a&o8ting s8ecific HR 8ractices onmeasures of (orkforce &iversity) 0or exam8#e" 4oo&man" 0ie#&s an& B#um 96AA=surveye& HR managers in severa# hun&re& em8#oyers in 4eorgia) They foun& a

8ositive re#ationshi8 %et(een em8hasi;ing em8#oyee &eve#o8ment an& 8romotion an&the re8resentation of (omen)
http://www.ilo.org/http://www.ilo.org/


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Ty8ica##y" researchers are intereste& not on#y in overa## num%ers" %ut in re8resentationat &ifferent #eve#s) -n a crossGsectiona# stu&y of over 7AA organi;ations" !onra& an&$innehan 97?? foun& that i&entityGconscious HRM structures G those that ex8#icit#ya&&ress &emogra8hic grou8 re8resentation in HR &ecision making 9e)g) setting&iversity hiring goa#s K are #inke& to the greater re8resentation of (omen an&

minorities in management) Reskin an& McBrier 96AAA use& &ata from the .ationa#/rgani;ation Survey 9!a##e%erg" !noke" Mars&en > S8aeth" 7?? an& foun& thatorgani;ations (ith forma#i;e& HR 8ractices 9e)g) (ritten &ocuments for hiring an&firing ha& higher 8ercentages of (omen in management) They theori;e& that status

8ositions or o88ortunities in #arge organi;ations are #ess #ike#y to %e &istri%ute& %ase&on ascri%e& characteristics 9i)e) sex stereoty8es of 8ro&uctive managers (henforma#i;e& 8ersonne# 8ractices exist 9cf) E#vira > 4raham" 6AA6 )

$eck an& Saun&ers 97??6 stu&ie& com8#iance (ith Cana&aLs Em8#oyment E uity ,ct"the #egis#ation to increase (ork8#ace re8resentation of (omen" &isa%#e& 8ersons an&minorities) They foun& that em8#oyers (ho ha& more forma#i;e& 8rograms hire& more(omen) They measure& forma#i;ation through an Em8#oyment E uity +rogram 9EE+effectiveness sca#e) Regression ana#yses sho(e& the strongest effects %et(een EE+com8#iance an& the re8resentation of manageria# (omen)

0rench 96AA7 &eve#o8e& a ty8o#ogy of effective e ua# em8#oyment im8#ementationfor the entire 8o8u#ation 9 n 7?F@ of #arge ,ustra#ian 8rivate sector organi;ations)She i&entifie& four e uity 8rofi#es: tra&itiona# 9nonGcom8#iance " antiG&iscrimination",, an& EE/) /n#y the ,, a88roach to e uity management resu#te& in increases in(omen in management across a## tiers)

, maIor un8u%#ishe& 0or& 0oun&ation stu&y of nonG8rofit %oar&s sho(s a casca&ingeffect from hiring 8ractices 9Bur%ri&ge" Dia;" /&en&ah# > Sha(" 6AA6 ) By hiringmore than one fema#e or minority %oar& or staff mem%er" a casca&e effect fo##o(e& asthese hires make su%se uent recruitment easier through their access to net(orks an&ta#ent 8oo#s) This ex8ansion sha8e& institutiona# cu#tures an& ma&e retention easier)

-n some research" HR &iversity 8ractices have not %een associate& (ith increases in&iversity) -n their stu&y of Society for Human Resource Management 9SHRMmem%ers" Rynes an& Rosen 97?? foun& #itt#e su88ort for the notion that the a&o8tionof &iversity training corre#ates (ith to8 management &iversity or increases in(orkforce &iversity) !onra& an& $innehan 97?? foun& no re#ationshi8 %et(een

forma#i;e& HRM structures an& 8ercentage of minorities at higher ranks ofmanagement) Moreover" B#um" 0ie#&s an& 4oo&man 97?? foun& that com8anies thathave more (omen an& %#acks sometimes can %e (orse 8#aces to (ork 9e)g) #o(ersa#aries" more turnover " high#ighting the issue that &emogra8hic &iversity is not a

8roxy for &iversity initiatives)

0urthermore" a#though aca&emics an& 8ractitioners ho8e that &iversity initiatives (i##have 8ositive outcomes" there are occasiona##y un&esira%#e im8acts K those that

8er8etuate &is8arate treatment of (omen an& minorities) Cox an& B#ake 97??7argue& that organi;ations that va#ue& &iversity (ou#& have greater marketingca8a%i#ity %y mirroring increasing#y &iverse markets) By matching customers an&

service 8rovi&ers on racia# characteristics" Brief 97?? sho(s ho( ShoneyLsrestaurants enacte& the %usiness case argument to the &etriment of %#ack em8#oyees)


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Throughout the chain" F of %#ack em8#oyees he#& Io%s in three #o(G8aying" nonGcustomerGcontact 8ositions) Senior #ea&ershi8 es8ouse& the %usiness Iustification thatthe restaurantLs (hite customers 8referre& to %e serve& %y (hite em8#oyees)

Co##insL (ork 97??F a#so exem8#ifies uninten&e& conse uences) She intervie(e& F@

of the most successfu# %#ack executives in Chicago) She examine& their Io%&escri8tions an& co&e& them as racia#i;e& if the 8osition ha& some #ink to ,frican,merican issues" or mainstream if the Io% invo#ve& ro#es (ithout racia# im8#ications)She &ocuments ho( these executives are often re#egate& to (hat she ca##s racia#i;e&ro#es in organi;ations" such as marketing to %#acks or the Io% of e ua# em8#oymentofficer) Those (ith racia#i;e& ro#es ha& #o(er a&vancement an& mo%i#ity rates an& #essski## &eve#o8ment than those (ith mixe& or mainstream Io% histories)

-n&ee&" many #ea&ing cor8orations have %een effective in hiring (omen an&minorities to mirror their increasing#y &iverse markets an& (in over ne( customers9+er#man" 7??6 < %ut they have %een #ess successfu# in retaining an& 8romoting thosehire& 9B#um" 0ie#&s > 4oo&man" 7?? < 4oo&man et a#)" 6AA= ) /%serving this tren&"Thomas 97??A: 7A encourage& em8#oyers to move 0rom affirmative action toaffirming &iversity " arguing that (omen an& minorities no #onger nee& a %oar&ing

8ass" they nee& an u8gra&e ) 0or this reason" Cox 96AA7 a&vises com8anies tomeasure the i&entity 8rofi#e or &emogra8hics of &efine& (ork grou8s) 3sing this &ata"an intervention may %e &esigne& to increase the re8resentation of minorities an&(omen in to8 management" in #ine functions that have &irect 8rofit an& #ossres8onsi%i#ity" or in functions (here they have %een historica##y un&erGre8resente&such as engineering) Thomas an& 4a%arro 97??? recommen& that firms a&&resss8ecific racia# %arriers to a&vancement at each career stage)

/vera##" stu&ies in this research stream have genera##y sho(n a 8ositive association %et(een forma#i;e& HR 8ractices an& (orkforce &iversity) -ncreasing (orkforce&iversity is on#y one 8iece of the 8u;;#e" ho(ever) -m8ortant uestions a%outeffectiveness can %e ans(ere& %y examining #inks %et(een &iversity an& 8erformanceoutcomes as &iscusse& %e#o()

ASS#CIATI# #$ "#RK$#RCE !I%ERSIT&"ITH I !I%I!'AL, (R#'P A !#R(A I)ATI# AL #'TC#*ES

The secon& research stream measures associations %et(een the 8resence of &iversityan& 8erformance outcomes measure& at in&ivi&ua#" grou8 or organi;ationa# #eve#s) ,tthe in&ivi&ua# #eve#" researchers have measure& re#ationshi8s %et(een &emogra8hic&iversity an& attitu&es an& 8erformance ratings) ,t the grou8 #eve#" researchers havemeasure& effects of grou8 &iversity on varia%#es such as coo8erative %ehavior an&socia# cohesion) ,t the organi;ationa# #eve#" outcome varia%#es inc#u&e turnover rates"

8ro&uctivity 8er em8#oyee an& 8rofita%i#ity)

"orkfor+e !i ersit- and Indi id al # t+o/es


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To&ay" there are many in&ivi&ua#s (ho vie( overt 8reIu&ice against (omen an&minorities as socia##y an& organi;ationa##y unacce8ta%#e) They %e#ieve thatorgani;ationa# &ecisionGmakers ho#& the same %e#iefs an& therefore vie(&iscrimination as an out&ate& issue) Because mo&ern racists %e#ieve that&iscrimination is a thing of the 8ast" they may %e#ieve that (omen an& minorities are

using unfair tactics to &eman& (ork8#ace a&vantages" (hich they &o not &eserve onthe %asis of merit 9Brief > Barsky" 6AAA ) Regar&ing (ork8#ace re#ations" mo&ernracism &oes not resu#t in hate to(ar& minorities an& (omen" %ut rather &iscomfort"fear an& avoi&ance %y maIority mem%ers 9Brief" 7?? " (hich #essens maIoritymem%ersL commitment to the &iverse grou8 an& organi;ation)

Some stu&ies sho( that in&ivi&ua#s have more favora%#e attitu&es to(ar& &iversityinitiatives (hen their (ork grou8s are more &emogra8hica##y &iverse) !ossek an&5onia 97??= foun& that regaress of oneLs in&ivi&ua# &emogra8hy" facu#ty in (orkgrou8s (ith greater gen&er &iversity ha& more favora%#e attitu&es to(ar&organi;ationa# efforts to increase &iversity" re#ative to in&ivi&ua#s in other units (ith#ess &iversity)

!anter 97?FF em8hasi;e& ho( a minimum num%er of em8#oyees" (ho re8resent aminority in a grou8" create a critica# mass that can 8rotect the minority mem%ers fromnegative stereoty8es) E#y 97?? re8orte& that an increase in the 8ro8ortion of (omenin u88er management is associate& (ith a re&uction in stereoty8ing) !ossek" Marke#an& McHugh 96AA= note the im8ortance of i&entifying ti88ing 8oints" &efine& %y!anter 97?FF as having a sufficient critica# mass of minorities in grou8s" foreffectiveness in &iversity change strategies) We%%er an& Donahue 96AA7 sus8ect there#ationshi8 %et(een amount of grou8 &iversity an& 8erformance may %e curvi#inear:too #itt#e or too much &iversity may %e &etrimenta# to grou8 functioning)

Tsui an& 4utek 97??? summari;e& consistent fin&ings that sho( higher &emogra8hicsimi#arity %et(een su8ervisors an& su%or&inates on age" race or gen&er corre#ates (ithHR outcomes such as higher ratings on 8erformance" organi;ationa# citi;enshi8" ano(er ro#e am%iguity an& conf#ict) $eck" /nge an& $a$ancette 97?? foun& thatCana&ian organi;ations (ith higher re8resentation of manageria# (omen a#so have themost ra8iy &ecreasing (age ga8< ho(ever" the (age ga8 (as (i&ening for visi%#eminority" ,%origina# an& &isa%#e& (omen)

/vera##" increasing (orkforce &iversity seems to %e associate& (ith more favora%#e

attitu&es to(ar& &iversity an& %etter 8erformance ratings an& (ages) The effects of&iversity on in&ivi&ua#s are often intert(ine& (ith effects on grou8s)

"orkfor+e !i ersit- and (ro 0 # t+o/es

Resu#ts from stu&ies examining effects of &iverse grou8 com8osition on grou8attitu&es an& 8erformance are mixe&) Mc$eo&" $o%e# an& Cox 97??@ foun& that more&iverse grou8s ha& %etterG ua#ity so#utions on a %rainstorming task" re#ative tohomogeneous grou8s" an& &is8#aye& more coo8erative %ehavior 9Cox" $o%e# >Mc$eo&" 7??7 ) 2et maIor revie(s of the &iversity #iterature 9Mi##iken > Martins"7??@< Tsui > 4utek" 7???< Wi##iams > /LRei##y" 7?? conc#u&e that the greater the&emogra8hic &iversity in grou8s" the #o(er the socia# cohesion) Mem%ers (ho are&ifferent from others are more #ike#y to exhi%it turnover" as E#vira an& CohenLs 96AA7


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examination of the 8ersonne# recor&s of em8#oyees at a 0ortune AA com8anysuggests) Women (ere more #ike#y to turn over (hen fe(er (omen (ere em8#oye& attheir Io% #eve#) 0ina##y" We%%er an& DonahueLs 96AA7 metaGana#ysis foun& nore#ationshi8 %et(een &iversity or ty8e of team on (ork grou8 cohesion an&

8erformance)

Researchers recogni;e the im8ortance of measuring the tenure of mem%ers on theteam< as in&ivi&ua#s get to kno( each other %etter" the negative effects of &iversityoften su%si&e 9Watson" !umar > Michae#sen" 7??= ) Besi&es &emogra8hic &iversity"other varia%#es such as congruence in va#ues 9Harrison" +rice > Be##" 7?? arere#evant)

Benscho8 96AA7 o%serves that most of the research sho(ing 8ositive re#ationshi8s %et(een &iversity an& grou8 8erformance is #imite& to #a%oratory stu&ies orex8eriments (ith MB, stu&ents 9Cox et a#)" 7??7< Watson et a#)" 7??= an& genera##yhas not %een re8#icate& in organi;ations)

We nee& more com8#ex stu&ies (ithin organi;ations to un&erstan& these issues)

"orkfor+e !i ersit- and #r1ani2ational # t+o/es

, (orkforce that is &iverse may increase customer &eman& for re#ate& 8ro&ucts an&services 9Richar&" !ochan > McMi##anGCa8ehart" 6AA6 ) ResourceG%ase& strategictheory 8re&icts that firms (ith greater cu#tura# &iversity (i## %e %etter a%#e to mirrorincreasing#y &iverse 8ro&uct markets an& have more com8#ex inimita%#e socia#resources 9Richar&" 6AAA )

Dra(ing on fe&era# recor&s" Cor&eiro an& StitesGDoe 97??F sho(e& that the 7??6 8ercentage of the re8resentation of (omen managers in the #argest 3S firms (as 8ositive#y re#ate& to firm 8erformance 9return on e uity" return on assets ) The effect 8ersiste& even after contro##ing for gro(th in resources)

Cata#yst 96AA con&ucte& a stu&y of #inkages %et(een the gen&er &iversity of to8management an& %usiness 8erformance in 0ortune AA com8anies) ,fter contro##ingfor si;e an& in&ustry" the stu&y sho(e& that firms (ith higher to8 management gen&er &iversity ha& = higher return on e uity an& = higher tota# return to shareho#&ersthan other firms)

, #arge mu#tiGem8#oyer fie#& stu&y on the effects of racia# an& gen&er &ifferences ongrou8 an& organi;ationa# 8erformance in&icates the im8ortance of time #ag an& crossG#eve# effects (ithin firms) The research (as con&ucte& at four maIor 3S firms that(ere #ea&ers in su88orting (orkforce &iversity 9!ochan et a#)" 6AA= ) Com8aring the

8erformance" grou8 8rocess an& financia# resu#ts for com8ara%#e teams or %usinessunits %y in&ustry 9information 8rocessing" financia# services or retai# " the authorsconc#u&e& that there (ere fe( &irect effects of (orkforce &iversity on organi;ationa#

8erformance)

Research increasing#y suggests that the re#ationshi8 %et(een the 8resence of &iversityan& organi;ationa# 8erformance may not necessari#y %e a sim8#e &irect 8ositive ornegative re#ationshi8) -nstea&" the re#ationshi8 may &e8en& on the ty8e of strategy


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fo##o(e& 9e)g) innovation" gro(th ) Richar&Ls 96AAA survey of over AA %anks foun&that those (ith more racia# &iversity an& a gro(th strategy ex8erience& higher returnon e uity an& net income 8er em8#oyee" re#ative to organi;ations (ith a &iverse(orkforce an& a noGgro(th or &o(nsi;ing strategy) Richar& an& co##eaguesresurveye& a su%set of this sam8#e severa# years #ater" an& foun& a mo&eration effect:

(orkforce racia# &iversity on#y significant#y im8rove& 8erformance (hen the firmfo##o(e& an innovation strategy 9Richar& et a#)" 6AA= )

0rink et a#) 96AA= suggest an inverte& 3Gsha8e& re#ationshi8 %et(een gen&ercom8osition an& 8erformance that may vary %y in&ustry) Re#ying on severa# nationa#&atasets" they foun& that increases in the re8resentation of (omen are re#ate& to

8erce8tua# measures of 8ro&uctivity 8er em8#oyee an& 8rofita%i#ity on#y u8 to the 8oint (hen an e ua# 8ro8ortion of Io%s are he#& %y men an& (omen G no higher)Richar& et a#) 96AA6 %emoan the fact that crossGsectiona# stu&ies com8rise most of the#iterature on organi;ationa# outcomes) -n other (or&s" the secon& research stream (ehave revie(e& &oes not a&&ress the uestion of causality 9i)e) (hether &iversitycause& these outcomes or (hether HR 8ractices (ere at a## re#evant G issues tack#e&

%y the thir& research stream)

HR PRACTICES A ! I !I%I!'AL, (R#'P A !#R(A I)ATI# AL #'TC#*ES

The thir& research stream investigates ho( HR 8ractices #ea& to in&ivi&ua#" grou8 ororgani;ationa# 8erformance outcomes) Cox an& B#ake 97??7 argue& thatheterogeneous organi;ations that va#ue& &iversity (ou#& have higherG ua#ity grou8&ecision making" greater creativity an& innovation" more organi;ationa# f#exi%i#ity &ueto the 8ossession of &ivergent thinking" greater a%i#ity to attract an& retain the %estta#ent" an& greater marketing ca8a%i#ity) These o%Iectives can %e rea#i;e& viaorgani;ationa# change strategies an& interventions) -nterventions such as a#tere&se#ection 8rocesses 9in&ivi&ua# focus " conf#ict management 9grou8 focus an& to8management commitment 9organi;ationa# focus might a## contri%ute to the effect that&iversity has on firm effectiveness) -nterventions target not on#y forma# %ottomG#ineoutcomes" such as turnover an& 8ro&uctivity" %ut a#so interme&iate an& informa#

8rocessGoriente& outcomes" such as the cu#tura# ex8eriences an& ua#ity of mem%erinteractions" team(ork an& coo8eration" an& in&ivi&ua# commitment an&i&entification (ith organi;ationa# goa#s)

HR* Strate1ies to Chan1e Indi id als

Work8#ace &iversity genera##y im8acts organi;ationa#G#eve# outcomes in&irect#ythrough effects that %egin at the in&ivi&ua# #eve# 9Rynes > Rosen" 7?? ) Diversitytraining is the most 8reva#ent in&ivi&ua#G#eve# intervention 9SHRM Diversity Surveys "7?? " 6AAA" 6AA6 ) 0or& an& 0isherLs 97??@ revie( states that training 8rograms aimto change em8#oyeesL attitu&es 9affective an& cognitive an& %ehaviors to va#ue&iversity an& re&uce su%t#e forms of &iscrimination an& exc#usion that hin&ereffective (orking re#ationshi8s) They note three main ty8es of training o%Iectives)+rograms fostering assimi#ation 8rovi&e e&ucation a%out the norms an& goa#s of the&ominant cu#ture an& might target minorities) +rograms focuse& on accommo&ationem8hasi;e a&Iustment of the maIority to the changing (orkforce) +rograms


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em8hasi;ing mu#ticu#tura#ism 9(here mem%ers of t(o or more cu#tures are a##o(e& toretain key as8ects of their cu#tures invo#ve a %i#atera# 8rocess Ioint#y focuse& on themaIority an& minorities)

Training to8ics ty8ica##y inc#u&e stereoty8ing" 8reIu&ice" communication sty#es" an&

attitu&es to(ar& ,, 9.komo > !ossek" 6AAA ) Ho(ever" there is very #itt#e researchana#y;ing the &ifferentia# effectiveness of various training &esigns" such as (hetherthey are man&atory or vo#untary or em8hasi;e mora# or %usiness arguments)

$o%e#Ls 97??? revie( &escri%e& the 8ositive im8act of &iversity initiatives such astraining on attitu&es) 3sing a survey of SHRM mem%ers" Rynes an& Rosen 97??

8u%#ishe& one of the fe( referee& stu&ies on the effectiveness of &iversity training)Whi#e F of res8on&ents state trainees #eave &iversity training (ith 8ositive&iversity attitu&es" on#y ? %e#ieve& trainees enter (ith favora%#e attitu&es) Simi#ar#y"@ %e#ieve& that em8#oyees are ske8tica# 8rior to training" (hereas on#y F re8orte&ske8ticism after training) -m8ortant#y" these (ere HR managersL estimates rather thanactua# measures of attitu&e change) Training success (as a#so corre#ate& (ithmanageria# man&atory atten&ance an& re(ar&s for increasing &iversity" #ongGtermeva#uation of training resu#ts an& &efining &iversity %roay) Des8ite these 8ositive

8erce8tions" this same stu&y foun& that on#y oneGthir& of organi;ations vie(e&&iversity management training efforts as having #asting change)

/thers have %een una%#e to &ocument the a&vantages of &iversity training9MacDona#&" 7??= ) /ne reason training may have #imite& im8act is that mosttraining 8rograms reinforce norms" va#ues an& 8ers8ectives of the &ominantorgani;ationa# cu#ture< the focus is on he#8ing mem%ers of the nonG&ominant grou8 toa&a8t to the maIority 9Tung" 7??= ) ,nother reason is that the training" itse#f" may notincor8orate (hat (e kno( a%out transfer of training) The training context may %e&ifferent enough from the ongoing (ork context so as to make it &ifficu#t for traineesto exhi%it %ehaviors simi#ar to those #earne& in training 90or& > 0isher" 7??@ ) , thir&reason may re#ate to insufficient ski## #eve#s of &iversity trainers)

Ro%erson" !u#ik an& +e88erLs 96AA= revie( recommen&s that com8aniessystematica##y con&uct a training nee&s assessment) ,&&itiona##y" training o%IectivesG(hether to raise a(areness or &eve#o8 mu#ticu#tura# ski##s or %oth K nee& to %ec#arifie&) Socia# 8sycho#ogica# research on stereoty8ing an& #inkages to 8reIu&icere&uction might a#so %e more tight#y incor8orate& into training &esign) Devine 97? ?

con&ucte& severa# #a% stu&ies an& foun& that change 8rocesses to su88ort 8reIu&icere&uction (ere most #ike#y to occur (hen a 8erson (as a%#e to make activeassociations %et(een %oth their 8ersona# %e#ief structure an& their stereoty8e structure)Regaress of (hether a 8erson ten&e& to %e a high or #o( 8reIu&ice& 8erson" herresearch suggests that cognitive change is most #ike#y to occur in training situations(hen socia# &esira%i#ity &eman&s are #o()

Mentoring is another strategy targeting change at the in&ivi&ua# #eve#) Here asuccessfu# senior mentor is matche& (ith a more Iunior (oman or minority" (ith theo%Iective of ena%#ing un&erGre8resente& &emogra8hic grou8s to move through g#asscei#ings G the tra&itiona#" invisi%#e %arriers to a&vancement 9Ragins" 6AA6< Thomas >

4a%arro" 7??? ) 0orma# mentoring 8rograms create a structure for 8airing in&ivi&ua#s 1oge#aar"7??F )

Woo& 96AAA notes that %ehaviora# inf#uence strategies are more effective in changingattitu&es (hen they invo#ve 8artici8ation in 8u%#ic acts that are &esigne& to a#ter thesocia# &efinition of an o%Iect) These inf#uence strategies can %e more effective inshifting re#evant 8rivate#y he#& attitu&es %y focusing on changing the meaning an&&efinition of an o%Iect instea& of focusing on on#y changing attitu&es to(ar& ano%Iect) 0or instance" using affinity grou8 ce#e%rations as an exam8#e of an o%Iect"

having His8anicG,merican em8#oyees &esign activities for an ,sianG,mericanaffinity month 9'ackson" 6AA6 " rather than sim8#y ex8osing them to announcementsa%out the im8ortance of affinity activities or cu#tura# facts" i##ustrates one metho& thatcou#& %e use& to change &efinitions) -n this (ay" attitu&es to(ar& affinity grou8ce#e%rations may %ecome a source of 8ri&e for those outsi&e the affinity grou8" an&yie#& not on#y a %etter crossGcu#tura# un&erstan&ing of others" %ut a#so a ne( out#ookan& 8ersona# &efinition of ho( &iversity is honore& (ithin an organi;ation an& thesocia# meaning of an& 8ersona# re(ar&s from such ce#e%rations) 0or in&ivi&ua#s fromoutsi&e the affinity grou8" the ce#e%rations are no( #ess #ike#y to %e &efine& as anactivity that &oesnLt 8ertain to me )

Richar& an& !ir%y 97??? foun& that ex8#aining the %usiness case for im8#ementing a 8articu#ar &iversity 8rogram" such as &iversity training" has a 8ositive effect on


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attitu&es to(ar&s the 8rogram) We nee& more stu&ies on em8#oyee 8erce8tions of(ork8#ace &iversity 8rograms" an& a&&itiona# constructs such as res8on&entsL #ega#kno(#e&ge of ,, 8rograms 9$itt#e" Murry > Wim%ush" 7?? )

-n sum" HRM 8ractices" such as &iversity training an& mentoring" have the 8otentia# to

change attitu&e an& career outcomes) We have #earne& ho( to make these efforts moresuccessfu#" for exam8#e %y incor8orating socia# 8sycho#ogica# 8rinci8#es into training&esign an& %y recogni;ing the uni ue a&vantages of informa# mentoring)

HR* Strate1ies to Chan1e (ro 0s

4iven evi&ence sho(ing that (ork grou8 &iversity can #ea& to shortGterm" increase&conf#ict among mem%ers 9+e##e&" Eisenhar&t > Oin" 7??? " focuse& training (ith anexterna# faci#itator may he#8 the grou8 to achieve higher #eve#s of 8ro&uctivity in ashorter time) Training can target metho&s for raising" &iscussing an& reso#ving&ifficu#t inter8ersona#" %usiness an&Jor teamGre#ate& 8rocess issues)

Some HR interventions at the grou8 #eve# invo#ve i&entityG%ase& net(orking grou8s"(hich are forma# or informa# associations of em8#oyees (ith common grou8i&entities) 0rie&man 97??@ notes these se8arate affinity grou8s 8rovi&e o88ortunitiesto connect socia##y an& 8rofessiona##y to one another an& ena%#e mem%ers to makecontacts that ex8an& the range" strength an& configuration of their socia# net(orks an&re&uce their iso#ation) 0rie&man an& Ho#tom 96AA6 ana#y;e& crossGsectiona# survey&ata from over 7AAA minority em8#oyees in 6A net(orking grou8s for ,sian" ,frican,merican or His8anic em8#oyees) Turnover intentions of manageria#G#eve# minorityem8#oyees in net(orking grou8s (ere significant#y #o(er than the intentions of

minorities not in grou8s) They argue& that more firms shou#& esta%#ish net(orkinggrou8s" as these grou8s may have outcomes that exten& %eyon& grou8 mem%ers) 0orexam8#e" a case stu&y at Digita# Cor8oration foun& that the 8resence of va#uing&iversity &iscussion grou8s &oes seem to im8rove a com8anyLs re8utation 9Wa#ker >Hanson" 7??6 )

Ho(ever" forma# sanctioning of i&entityG%ase& grou8s may have uninten&e& negativeconse uences (hen they are 8erceive& to %e exc#usionary or threatening" 8articu#ar#y

%y (hite ma#es) This 8erceive& threat can #ea& to negative reactions" or %ack#ash(hen minorities are seen as attem8ting to &eve#o8 8o(er %y in&ivi&ua# or co##ectivemeans 9Chemers" /skam8 > Constan;o" 7?? ) 0#ynn 97??? notes fe( com8anies

offer forma# mentoring an& net(orking grou8s for (hite men" (hich may %e 8erceive& as unfair an& reverse &iscrimination %y (hite ma#es" (ho &o not seethemse#ves as contri%uting to a 8ro%#em 90#ynn" 7??? )

Ca8roniLs management ski##s text 96AA7 notes that cu#tura# %arriers %ecomeexacer%ate& in virtua# teams" un#ess teamG%ui#&ing activities such as faceGtoGface(orksho8s" fo##o(e& u8 (ith regu#ar emai#" rotation of team meetings an& crossGcu#tura# communication training are con&ucte&) The British Counci#" (ith over @AAAem8#oyees in 7A? countries" create& techno#ogyG%ase& teams (ith these metho&s9((()%ritishcounci#)org ) -nterventions in g#o%a# teams can inc#u&e &iscussion of ho(&iversity inf#uences team 8rocesses)
http://www.britishcouncil.org/http://www.britishcouncil.org/


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Many uestions a%out im8acts of grou8G#eve# interventions remain) 0or exam8#e" &oes 8rovi&ing forma# team fee&%ack on &iversity c#imate im8rove team %ui#&ing or makeit easier to integrate &iverse 8oints of vie(P We a#so nee& research to i&entify ho(

8rograms targete& at the in&ivi&ua# or organi;ationa# #eve# im8act grou8s) Base& on anorgani;ationa# simu#ation of 6 MB, stu&ents" Chatman" +o#;er an& .ea#e 97??

foun& that grou8s in organi;ations that 8romote a co##ectivist cu#ture" (here 8eo8#e#ook out for one another rather than Iust for themse#ves" are more #ike#y to rea8 the

%enefits of &iversity) These o%servations crysta##i;e the im8ortance of sho(ing ho(interventions &irecte& at one #eve# affect 8rocesses that occur at other #eve#s)

HR* Strate1ies to Chan1e #r1ani2ations

, successfu# &iversity strategy must a&&ress organi;ationa# cu#ture change to create a(ork environment that nurtures team(ork" 8artici8ation an& cohesivenessGcharacteristics of a co##ective 9versus in&ivi&ua#istic organi;ationa# cu#ture 9D(yer"Richar& > Cha&(ick" 6AA7 ) Cox 96AA7 suggests starting (ith a visioning exercisefor change that s8ecifica##y i&entifies (hat success in a mu#ticu#tura# organi;ationmight #ook #ike) , &iversity counci# (ith cre&i%#e 8eo8#e from a crossGsection offunctions shou#& %e charge& (ith creating a %usiness &iversity strategy an& serving asa resource) Diversity shou#& %e strategica##y integrate& (ith the %usiness o%Iectives9Richar&" 6AAA )

To8 management shou#& mo&e# #ea&ershi8 %ehaviors such as con&ucting the fee&%acksessions of the resu#ts of an organi;ationa# &iversity c#imate survey) -f &iversitychange efforts consist main#y of 8rograms (hich #ack the invo#vement of to8managers an& fai# to a&&ress overa## (ork 8rocesses" their #ongGterm effectiveness in

transforming the organi;ationa# cu#ture is #ike#y to %e #imite& 9.komo > !ossek"6AAA ) Thomas an& 4a%arroLs 97??? stu&y of 3S minority executives a#so echoe& thistheme: (hen a critica# mass of senior executives (ere invo#ve& in su88orting &iversityefforts such as mentoring" or recruitment of minorities for to8 Io%s" organi;ationa#&iversity an& u8(ar& mo%i#ity efforts (ere easier an& more effective)

Esta%#ishing a forma# measurement system is im8ortant ear#y in the 8rocess to serveas a %ase#ine for the current c#imate for &iversity 9Cox" 6AA7 ) $arge amounts of &atanee& to %e co##ecte& to assess the &ominant organi;ationa# cu#ture an& the 8erce8tionsof various em8#oyee grou8s) Cox stresses the im8ortance of measuring the rightin&icators an& i&entifies key organi;ationa#G#eve# measures) These inc#u&e the

(orkforce i&entity 8rofi#e to high#ight &emogra8hic &ifferences of &efine& (orkgrou8s" cu#tura# va#ues an& norms" 8o(er &istri%ution %et(een i&entity grou8s"(hether em8#oyee accu#turation fosters assimi#ation or 8#ura#ism" o8enness ofinforma# socia# an& communication net(orks" an& HR 8o#icies an& 8ractices re#ate& torecruiting" 8romotion" 8ay" &eve#o8ment" (ork sche&u#es an& the 8hysica# (orkenvironment) These measures yie#& information a%out the cu#tura# %arriers that mayhin&er the fu## an& effective 8artici8ation of a## in&ivi&ua#s an& i&entity grou8s)

The outcome of &iversity efforts shou#& %e systemic an& structura# organi;ationa#transformation 9$itvin" 6AA6 ) $ongGterm cu#ture change re uires a significantcommitment of resources an& #ea&ershi8 9Cox" 6AA7 ) /rgani;ations an& researchersnee& to con&uct regu#ar em8#oyee attitu&e surveys a%out &iversity an& measure

8erformance of managers) /rgani;ationa#G#eve# effects of this magnitu&e take time to


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materia#i;e" (ith risks of set%acks an& varia%#e commitment over time) 0e( stu&ieshave %een 8u%#ishe& using cu#tura# au&it survey &ata 9an exce8tion %eing !ossek >5onia" 7??= < most firms kee8 the &ata interna# for fear of negative 8u%#icity or othera&verse outcomes) Existing research 8rovi&es some su88ort for a contingency

8ers8ective on the effectiveness of &iversity interventions targeting organi;ationa#

outcomes 9e)g) innovation ) That is" the extent to (hich racia# &iversity (i## 8ositive#yinf#uence firm 8erformance is contingent u8on the firmLs strategy an& environment&eman&s" an& (hat it ex8ects of its em8#oyees 9Richar&" 6AAA ) The %usiness case for&iversity suggests that a &iverse (orkforce an& a su88ortive cu#ture can %ring a%outincrease& creativity) , &iverse (orkforce" then" %ecomes a source of com8etitivea&vantage for firms that strive to achieve a high #eve# of innovation)

Richar& an& 'ohnson 97??? con&ucte& one of the fe( stu&ies that investigatesorgani;ationa# a&vantages of forma# &iversity 8ractices) They foun& that the a&o8tionof forma# &iversity 8ractices re&uce& turnover) Whi#e there (as not a main effect ofthese 8ractices on return on earnings" a strategic contingency re#ationshi8 (assu88orte&: &iversity 8ractices corre#ate& (ith im8rove& 8ro&uctivity an& market

8erformance for firms fo##o(ing innovation strategies)

Turning to effective ,," Wright" 0erris" Hi##er an& !ro## 97?? note that (hi#e ,,an& managing &iversity are not the same" &iscriminatory 8ractices an& gui#ty ver&ictsare exam8#es of ineffective &iversity management) We##Grun ,, 8rograms in&icateeffectiveness in attracting a &iverse (orkforce) Wright an& co##eagues use& an eventstu&y metho&o#ogy (here one examines a significant change in stock 8rice in the &aysimme&iate#y surroun&ing the event of interest) 0ocusing on = firms (hich receive& aDe8artment of $a%or a(ar& for their ,, 8rograms an& another = firms (hich ha&maIor EE/ sett#ements note& in the 8ress" they sho(e& that having an a(ar&G(inning,, 8rogram (as associate& (ith %etter financia# 8erformance an& having&iscrimination #a(suits re#ate& to (orse 8erformance) ,rthur 96AA= foun& a simi#ar

8ositive #inkage for share 8rice reaction to favora%#e 8ress on (orkGfami#y 8o#icies)

Stage mo&e#s of organi;ationa# change an& &eve#o8ment may %e he#8fu# fororgani;ing future research) Benscho8 96AA7 su88orts further stu&y of organi;ationsthat fa## a#ong the s8ectrum of minima# &iversity strategies to a##Ginc#usive HRM&iversity strategies) E#y an& Thomas 96AA7 &ocumente& three &ifferent 8ers8ectivesgoverning ho( organi;ations res8on& to &iversity) The equality and fairness

8ers8ective e uates &iversity (ith increasing the num%er of (omen an& minorities on

the 8ayro##) The legitimacy 8ers8ective em8hasi;es that it is critica# to mirror keycustomer &emogra8hics) 3n&er the integration and learning a88roach" maIoritymem%ers assume they can #earn from the minority mem%ers an& the cu#ture can %echange& to ref#ect t(oG(ay a&a8tation an& #earning)

Comer an& So#iman 97??@: F attri%ute the #ack of eva#uation of &iversity efforts toan un(i##ingness of many organi;ations to res8on& to (hat the research might&emonstrate: for exam8#e" that efforts are ineffective or counterG8ro&uctive" or that ara&ica# u8en&ing of %asic assum8tions" 8atterns" an& structures is necessary) Toaugment research in this arena (e (i## nee& to &iscover (hether resource issues" a#ack of interest" or fear of the resu#ts are key reasons for &ifficu#ties in measuring

organi;ationa# outcomes) +erha8s com8anies %e#ieve that &oing something is %etterthan &oing nothing at a##) We nee& to kno( (hat kin&s of incentives (ou#& %e


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attractive to overcome the resistance) Ho( can (e 8ut the measurement issue on thera&ar screen of those (ho have the authority to &irect organi;ationa# resources to(ar&researchP

0uture research shou#& attem8t to i&entify other factors that intervene in the effects of

&iversity 8ractices on firm 8erformance 9Richar& > 'ohnson" 6AA7 ) Mo&e#s (ithintervening varia%#es such as %usiness strategy" HRM strategy an& organi;ationa#environment shou#& %e teste& to ascertain the effect of &iversity on organi;ationa#

8erformance)

0uture research on organi;ationa#G#eve# im8acts might examine uestions such as thefo##o(ing: Does inc#u&ing va#uing &iversity in the mission statement e#icitorgani;ationa# unity an& commitmentP -f so" &oes this faci#itate a more favora%#emu#ticu#tura# environment that yie#&s stronger %usiness resu#tsP Do organi;ations thatva#ue &iversity %ecause of the mora# im8erative &o %etter on measures oforgani;ationa# effectiveness" re#ative to those that va#ue &iversity %ecause of the%usiness case P

C# CL'SI#

To&ay" there is a (i&e s8ectrum of organi;ationa# res8onse to managing &iversity)There are some organi;ations res8on&ing to #ega# man&ates< others are focuse& on&iscrete 8rograms an& 8o#icies< sti## others are im8#ementing %roa& HR &iversitystrategies to foster change in cu#ture an& (ork 8rocesses)

-n 6AA6" SHRM con&ucte& a survey Ioint#y (ith Fortune maga;ine to examine ho(

the +ost ?J77 economic cha##enges face& %y many firms ha& affecte& &iversity efforts),#though there (ere s#ight shifts" the 6AA6 survey sho(e& that cor8orate s8en&ing on&iversity initiatives remaine& constant" (ith even s#ight increases in fun&ing for&iversity training re#ate& to race an& ethnicity 9 ((()shrm)orgJ &iversityJ Ta#kingtoDiversityEx8erts)8&f )

-n genera#" (hi#e most 3S mu#tinationa#s have esta%#ishe& &iversity 8rograms" a 8rivate research re8ort in&icates they are on#y %eginning to esta%#ish 8ara##e# efforts intheir overseas affi#iates an& su%si&iaries) Most efforts are current#y cosmetic an& offGtheGshe#f 3S a88roaches that (i## #ike#y %e ineffective in the Euro8ean 3nion 9Eagan> Ben&ick" 6AA7 ) ,roun& the (or#&" va#uing &iversity faces com8etition from manyother 8ressing HR issues 9Whee#er" 7?? )

0uture (ork might %e im8rove& %y more carefu# i&entification of re#ationshi8s %et(een s8ecific HRM strategies" the target #eve# of intervention 9e)g) in&ivi&ua#"grou8" organi;ationa#" or externa# stakeho#&er an& (hether outcomes are re#ate& to

8rocess or 8ro&uctivity 9!ossek et a#)" 6AA= ) More research is nee&e& on theinteractions of the varia%#es that contri%ute to 8ositive outcomes of &iversity"inc#u&ing timeGcontinuum stu&ies 9Richar& et a#)" 6AA6 ) 0or exam8#e" 8ositive

%usiness outcomes from increasing &iversity may &e8en& on (hether the firmem8hasi;es an innovation strategy or high#y va#ues retaining to8 ta#ent)
http://www.shrm.org/diversity/TalkingtoDiversityExperts.pdfhttp://www.shrm.org/diversity/TalkingtoDiversityExperts.pdfhttp://www.shrm.org/diversity/TalkingtoDiversityExperts.pdfhttp://www.shrm.org/diversity/TalkingtoDiversityExperts.pdfhttp://www.shrm.org/diversity/TalkingtoDiversityExperts.pdf


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-n a survey of 3S firms examining the a&o8tion of (orkJ#ife 8o#icies an& #inks tofinancia# 8erformance" +erryGSmith an& B#um 96AAA foun& that some 8o#icies may %emore effective in im8act if they are c#ustere& or im8#emente& (ith other HR 8o#iciesthan if they are a&o8te& 8iecemea#) Bui#&ing on their (ork" (e suggest that &iversityresearchers examine the im8act of 8o#icies not on#y se8arate#y %ut a#so in c#usters

(ith other HR 8ractices an& strategies) 0or exam8#e" &iversity 8ractices might %e 8artof a highGcommitment em8#oyer strategy as /sterman 97?? foun& for (orkJ#ife

8o#icies) We nee& research not on#y on c#usters of 8ractices" %ut a#so on &ifferentforms of &iversity 9e)g) nationa#ity" gen&er" ethnicity an& ho( these intersect (ithother im8ortant organi;ationa# characteristics such as #ea&ershi8" to8 managementcom8osition" cu#ture" re8resentation across functions an& in&ustry key success factors)

BR#A!E BE ! THE B'SI ESS CASE

,#though organi;ations might ex8ress a &esire for greater racia# harmony" none" at

#east in the 8rivate sector" c#aims it as an im8ortant en& in an& of itse#f 9Brief >Barsky" 6AAA ) Most organi;ations sti## re uire a %usiness Iustification or agovernment inf#uence" such as the Euro8ean 3nion Directives" in or&er for these goa#sto %e consistent#y articu#ate&) Sti##" there are some im8ortant caveats to the %usinesscase for &iversity strategy) !ossek 96AA argues that the %usiness case em8hasi;es theshareho#&er over a## other organi;ationa# stakeho#&ers 9fami#ies" em8#oyees" society )Business organi;ations are #ike#y to %e he#& increasing#y accounta%#e to mu#ti8#esocieta# goa#s" such as 8romoting socia# change 9,aronson > Reeves" 6AA6< ,nft"6AA6 ) $o%e# 97??@ has a&vocate& this a88roach for eva#uating im8acts of (orkJ#ifeinitiatives) Cor8orations (i## not %e hea#thy un#ess the society is hea#thy" an& a hea#thysociety in the t(entyGfirst century (i## %e one in (hich career o88ortunities are tru#y

avai#a%#e to a## races" ethnic grou8s 94ummer" 6AAA an&" in&ee&" a## 8eo8#e)

Entr- Citation3

!ossek" E##en" Sharon $o%e#" an& 'ennifer Bro(n) *Human Resource Strategies toManage Workforce Diversity: Examining The Business Case )* Handbook ofWorkplace Diversity ) 6AA@) S,4E +u%#ications) 7 ,8r) 6A7A) Qhtt8:JJ((()sageGereference)comJh&%k (ork&iversityJ,rtic#e n=)htm# )

17.Kossek, Ellen, Sharon Lobel, And Jennifer Brown. Human Resource Strategies to Manage Workforce...

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