MGT101 Module3

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edu © 2014 Pearson © 2017 UMT
Principles of Management
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Module 3
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Module 3
Management and Diversity
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Module 3
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Learning Objectives
• Upon successful completion, the student will be able to:
• Define diversity and understand its importance in the corporate
structure
• Understand the advantages of having a diverse workforce
• Demonstrate an awareness of the challenges facing managers within a
diverse workforce
• Understand the strategies for promoting diversity in organizations
• Make insights into the role of the manager in promoting diversity in the
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organization
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Module 3
Defining Diversity
• Diversity refers to characteristics of individuals that shape their
identities and the experiences they have in society.
• Majority group refers to that group of people in the organization

who hold most of the positions that command decision-making
power, control of resources and information, and access to system
rewards.
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• Minority group refers to that group of people in the organization
who are fewer or who lack critical power, resources, acceptance,
and social status.
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Module 3
Advantages of Diversity in Organizations

• Gaining and Keeping Market Share
• Cost Savings
• Increased Productivity and Innovation
• Better Quality Management
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Advantages of a Diverse Workforce
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Challenges that Managers Face

in Working with Diverse Populations
• A report by the U.S. Department of Labor and the Hudson Institute lists five
demographic issues that will be especially important to managers in the
21st century:
• The population and the workforce will grow more slowly than at any time since
the 1930s.
• The average age of the population and the workforce will rise, and the pool of
young workers entering the labor market will shrink.
• More women will enter the workforce.
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• Minorities
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• Immigrants will represent the largest share of the increase in the general
population and in the workforce.
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Module 3
Average annual percentage changes in the U.S. population by race, 1995-2050
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This chart provides projections for average annual percent changes in various races in the U.S. population.
Such demographic trends seem to indicate that the ability to handle diversity challenges will be valuable to
managers in the future.
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Module 3
Ethnocentrism and Other Negative Dynamics

• Ethnocentrism is the belief that one’s own group, culture, country, or
customs are superior to that of others. Two related dynamics are prejudices
and stereotypes.
• A prejudice is a preconceived judgment, opinion, or assumption about an issue,
behavior, or group of people.
• A stereotype is a positive or negative assessment of members of a group or their
perceived attributes.
• Discrimination, on the other hand, is the act of treating an issue, person, or
behavior unjustly or inequitably on the basis of stereotypes and prejudices.
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• Tokenism refers to being one of a few members of your group in the

organization. “Token” employees are given either very high or very low
visibility in the organization.
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Negative Dynamics and Specific Groups (1)
• A gender-role stereotype is a perception about people based on

what our society believes are appropriate behaviors for men and
women.
• The glass ceiling refers to an invisible “ceiling” or barrier to

advancement.
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• Sexual harassment is any unwanted sexual language, behavior, or

imagery negatively affecting an employee.
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Module 3
Negative Dynamics and Specific Groups (2)

• Some important terms regarding minorities are:
• Bicultural stress is the stress of coping with membership in two cultures simultaneously
• Role conflict is having to fill competing roles because of membership in two cultures
• Role overload is having too many expectations to comfortably fill
• Other workplace minorities include older workers and workers with

info disabilities.
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• Regarding older workers, it should be pointed out that 16 million Americans over 55
years of age are employed or are looking for work. Fewer younger employees will be
found as there was a slow population growth from 1966 to 1985.
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Strategies for Promoting Diversity in Organizations
• Hudson Institute Strategies:
• Stimulate balanced world-growth

• Accelerate producing increases
• Maintain dynamism of aging workforce
• Reconcile conflicting needs
• Fully integrate workers
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• Improve education and skills
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• Equal Employment and Affirmative Action

• Equal Employment Opportunity Commission
• Reverse Discrimination
• The Equal Employment Opportunity Commission (EEOC) is the

federal agency that enforces the laws regulating recruiting and other
management practices.
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• Reverse discrimination is the notion that affirmative action
programs discriminate against members of the majority group in
order to help groups that are underrepresented in the organization.
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Total monetary settlements paid by companies for noncompliance with

EEO legislation: 1992-2006
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(1)
• Organizational Commitment
• Ignoring Differences
• Complying with External Policies
• Enforcing External Practices
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(2)
• Organizational Commitment (continued)
• Responding Inadequately
• Implementing Adequate Programs
• Taking Effective Action
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Organizational Diversity Continuum
This figure shows the range of

organizational commitment to
multiculturalism. At the top of the
continuum are organizations that
have committed resources,
planning, and time to the ongoing
shaping and sustaining of a
multicultural organization. At the
bottom of the continuum are
organizations that make no efforts
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their workforce. Most organizations
fall somewhere between the
extremes depicted.
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Module 3
Pluralism Approaches
• The “Golden Rule” approach relies on the biblical dictate, “Do unto others
as you would have them do unto you.”
• The Assimilation approach advocates shaping organization members to
fit the existing culture of the organization.
• “Righting-the-Wrongs” approach addresses past injustices experienced
by a particular group.
• Culture-Specific approach teaches employees the norms and practices of
another culture to prepare them to interact with people from that culture
info effectively.
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• Multicultural approach gives employees the opportunity to develop an

appreciation for both differences of culture and variations in personal
characteristics.
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Module 3
The Role of the Manager (1)

What is the manager’s role in facilitating diversity? The manager has
four main functions:
• Planning
• Organizing
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• Influencing
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• Controlling
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Module 3
The Role of the Manager (2)

• Management Diversity and Diversity Training
• Basic Themes of Diversity Training
• Stages in Managing a Diverse Workforce
• Understanding and Influencing Employee Responses
• Getting Top-Down Support
• The following table summarizes the discussion of the challenges facing

those who manage a diverse workforce. Managers, who are generally
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responsible for controlling organizational goals and outcomes, are
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accountable for understanding these diversity challenges and recognizing
the dynamics described here. In addition to treating employees fairly, they
must influence other employees to cooperate with the company’s diversity
goals.
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Module 3
Organizational Challenges and Supports

related to managing a diverse workforce
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Module 3

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Visit UMT online at www.umtweb.

edu © 2014 Pearson © 2017 UMT

• Majority group refers to that group of people in the organization

Advantages of Diversity in Organizations

Advantages of a Diverse Workforce

Challenges that Managers Face

Average annual percentage changes in the U.S. population by race, 1995-2050

Ethnocentrism and Other Negative Dynamics

• Tokenism refers to being one of a few members of your group in the

Negative Dynamics and Speciﬁc Groups (1)

• A gender-role stereotype is a perception about people based on

• The glass ceiling refers to an invisible “ceiling” or barrier to

• Sexual harassment is any unwanted sexual language, behavior, or

Negative Dynamics and Speciﬁc Groups (2)

• Role overload is having too many expectations to comfortably ﬁll

• Other workplace minorities include older workers and workers with

Strategies for Promoting Diversity in Organizations

• Hudson Institute Strategies:

• Stimulate balanced world-growth

Strategies for Promoting Diversity in Organizations

• Equal Employment and Aﬃrmative Action

• The Equal Employment Opportunity Commission (EEOC) is the

Total monetary settlements paid by companies for noncompliance with

Strategies for Promoting Diversity in Organizations

• Complying with External Policies

• Enforcing External Practices

Strategies for Promoting Diversity in Organizations

• Implementing Adequate Programs

• Taking Eﬀective Action

Organizational Diversity Continuum

This ﬁgure shows the range of

• Multicultural approach gives employees the opportunity to develop an

The Role of the Manager (1)

The Role of the Manager (2)

• The following table summarizes the discussion of the challenges facing

Organizational Challenges and Supports

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