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If you could get 10 percent more productivity out of 80 percent of your workforce, would your department, work unit or division be more efficient? If you could reduce your turnover by 10 to 20 percent, would your operation run "smoother" and, ultimately, become more cost effective? If you could retain the best and the brightest employees on your staff, would you have a competitive edge over your competition? Hospitals, institutions of higher learning and major corporations, domestic and foreign, are asking themselves the same questions and their answers, I'm sure, are the same as yours: a resounding yes! However, unless organizations and institutions learn how to effectively manage an increasingly diverse workforce, productivity will suffer, turnover will increase and the organizations' most talented employees will leave to join the staffs of competitors. As the year 2000 approaches, the CEO's who understand how imperative it is for each employee to work up to his/her highest potential will constitute the new leaders of tomorrow.
The workforce is no longer just a large, invulnerable, unchanging entity as it was in the 1960s and 1970s. Downsizing, mergers and acquisitions have contributed to a projected workforce growth rate of 11 percent for the decade ending in the year 2000 as compared to 27 percent for the last decade, which ended in 1990 (R. Thomas, Beyond Race and Gender, 1991).
Consequently, organizations and institutions are scrambling more than ever to recruit and retain talented employees. For retention purposes, organizations are being forced to adapt to the employee as opposed to the employee adapting to the organizations. Talented employees desire and seek to work for employers that help them work to their fullest potential. Within that type of work setting morale tends to be higher, turnover is lower and organizations are generally more productive.
"The company that gets out in front managing diversity will have a competitive advantage," said David Kearns, chairman, Xerox corporation. According to Workforce 2000, a document developed by the Hudson Institute, by the year 2000, 85 percent of all new job entrants into the workforce will be women, immigrants, and minorities. Companies are already seeing a large number of resumes from these groups. However, many of these applicants are not necessarily the best and the brightest and in some instances these individuals are being hired to replace seasoned, competent, well-trained employees. Therefore, companies have no choice but to manage as effectively as possible their existing workforce which has become more and more diverse.
In order for a company to create an environment where everyone can perform to his/her highest potential, the company must first understand that:
1. Managing diversity is not affirmative action.
2. Managing diversity is not a program, but a process.
3. Managing diversity is not a moral or social issue but an economic issue.
4. Managing diversity can help all managers to become more productive.
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Managing Diversity vs. Affirmative Action Affirmative action was and is the mechanism for women, minorities and immigrants to enter the workforce. Affirmative action is designed to correct a mistake or an imbalance in the workforce.
Companies with more than 50 employees who have a contract with the federal government are required to have affirmative action plans. Thousands of individuals and women have benefited from affirmative action programs that evolved from executive order 11246 signed into law by President Lyndon Johnson in 1965. Nonetheless affirmative action is asked to do things it never could. Once a woman or an individual of color enters the workforce, what happens? Unfortunately many of these same individuals encounter the infamous "glass ceiling". Although a company may hire a person of color , or a woman, it does not necessarily follow that the company will automatically allow that individual to progress through the ranks naturally. Individuals in decision-making positions must strive to create an environment where everyone is given the opportunity to perform to his/her highest level of potential. Ultimately, the company will benefit and the employee will have a renewed enthusiasm to perform. However, if the person's progression through the organization comes about only because of an accident of nature, then it goes against the meritocracy that the dominate culture has come to embrace.
A Process, Not a Program of the Month Managing diversity includes everyone within the process and is a journey that will take companies 10 to 15 years to complete. It is not a "program of the month" and can only be implemented after the "cultural roots" of the organization have been examined and possibly changed. cultural roots are hidden values, attitudes, beliefs and practices that drive the behavior of the organization. A cultural audit must be conducted before the process of managing diversity can begin (R. Thomas, 1990). After this data has been gathered, the organization can develop a blueprint for making any changes that are needed. If the changes are not made, the organization runs the risk of allowing a very hostile work environment toward women, minorities and immigrants to develop or continue to exist. Consequently, talented individuals become angry, disillusioned and leave to work for the competition.
Managing Diversity is not a Social or Moral Issue but an Economic Issue The goal of any organization, is to produce quality goods and/or provide quality services. Progress will ultimately have an impact on the organization's bottom line, which is to either continue providing service or earn a profit. Companies no longer have the luxury of delaying the start of the process of managing diversity. In order to compete for limited human resources, organizations must develop environments where everyone can succeed now. Dr. Thomas says that it is like a car; in 12 months 85 percent of the fuel it uses will be comprised of something other than gasoline. Consequently, within that 12-month period, you will need to either make the necessary adjustments within the engine, change engines, or the automobile will cease to run (P. Thomas, 1990). If your organization is not capable of operating efficiently with the different type of fuel (human resources) that you will need, it will be necessary for you to make significant changes in order to remain competitive and to keep the business running.
Managing Diversity Can Make All Managers More Effective Properly implemented, managing diversity can make all managers more effective. Primary (gender, age, race) and secondary (religious beliefs, marital status, education) dimensions of diversity exist throughout the workforce and all managers must be capable of tapping the potential of employees who are more diverse than ever before. The question should never be, "How are we doing in the area of race/ethnic relations?" but, "How much progress have we made in developing an environment where everyone can perform to his/her highest potential?"
Consequently, race relations will take care of itself and the organization will naturally utilize all of the available talent within the company on a consistent basis.
Real Requirements
Through the pitch-black night, the captain sees a light dead ahead on a collision course with his ship. He sends a signal, "Change your course ten degrees east."
The light signals back, "Change yours, ten degrees west."
Angry, the captain sends, "I'm a Navy captain! Change your course, sir."
"I'm a seaman second class." comes the reply. "Change your course, sir."
Now the captain is furious. "I'm a battleship! I'll not change course!"
There's one last reply, "I'm a lighthouse. Your call."
(K. Iwata Associates, 1996).
I recently heard a story told by a native American storyteller, R.C. Dana which bears repeating. I think you will see why.
Many years ago, a young man and his grandfather spent their days together as was the custom. The old man spent much time teaching the boy to hunt, fish, and make things, and to do it all in a sacred way. Having lived many years, the grandfather possessed many great powers of healing and teaching. One day the grandfather said to the boy, "We will change the course of the mighty river."
The boy was filled with wonder, for he knew that his grandfather was a great man and could do great things, but change the course of a great river? Who of mortal man could accomplish such a great deed?
As they approached the river, the boy's heart leapt as he imagined the course of the river being changed. When they reached the bank of the river, the old man reached down into the river and picked out a rock about the size of a melon. The boy watched as the hole that the rock left began to fill with water and he understood that in some small way the old man had indeed changed the course of the mighty river.
The old man looked at the boy with a twinkle in his eye and said, "This is the way the great river is changed: One rock at a time. It is the duty of every person who walks to change the course of rivers. Every action that you do, every word that you speak, will affect or change the course of a person's life. Keep on changing the course of rivers, little one." Grandfather was a wise man.
Written by: Samuel H. Hancock, Ed.D.
