Written Assignment Unit 1

OB Introduction, Diversity, and Culture

Department of Business Administration, University of the People

BUS 4402: Organizational Behavior

Dr. Natalie Dougherty

September 7, 2023
Introduction

Businesses need to develop diversity initiatives as the corporate sector continues to expand

worldwide, becoming more diverse and competitive. A diversity program's goal is to increase

workplace diversity inside the company, which has several benefits for stakeholders and

stockholders alike. This article will present an established case for the necessity of adopting a

diversity program and the multiple advantages it offers. (McKinsey & Company, 2018).

Benefits of establishing a diversity program in an organization

Improved financial performance is one of the diversity program's key benefits. Companies

in the top quartile for ethnic and racial diversity are 35% more likely to surpass their respective

industry medians financially, according to a McKinsey & Company study. This is so that new and

creative solutions may be produced by varied teams, who contribute a larger variety of viewpoints

and ideas. A varied staff also enables businesses to better comprehend and service a diversified

clientele, which raises client satisf action and loyalty. The organization's financial performance

may be enhanced as a result of these results. (McKinsey & Company, 2018).

A diversity program also has the benefit of raising staff happiness and morale. An inclusive

and supportive work environment where workers feel appreciated and respected is fostered by a

varied workforce. As a result, there is an increase in engagement and productivity as well as

improved levels of work satisfaction and reduced turnover rates. According to Deloitte research,

businesses with a strong culture of diversity and inclusion are three times more likely to

accomplish or beat their financial goals. Having a diverse workplace helps the company both

monetarily and in terms of employee happiness and morale. (Deloitte, 2018).

Impact of the Diversity Program

A diversity program has good effects on the larger community and society as a whole in

addition to financial gains. Organizations may play a critical role in removing barriers and

lessening bias and discrimination by fostering diversity and tolerance. This improves the reputation

and brand of the company in addition to fostering a better, more tolerant society. Additionally, a

diverse and welcoming workplace may draw top talent from a larger candidate pool, ensuring the

organization's long-term success. These reasons show that a diversity program not only benefits

an organization in addition to its members but also the entire society. (Deloitte, 2018).

How to make a successful diversity

However, putting a diversity initiative into action is not an easy undertaking. It necessitates

a dedication to transformation and a readiness to question established procedures and systems.

This requires that businesses be ready to devote time, money, and effort to the program, actively

seek feedback, and adapt it to suit the requirements of their workers. To reap the advantages, a

diversity program cannot simply be established without a commitment to reform and change.

(Dubey & Hirsch, 2018).

Engaging all staff members in the process is one efficient technique to guarantee the

success of a diversity initiative. This may be achieved by holding frequent training sessions and

seminars, as well as by setting up a mechanism for collecting employee f eedback. Additionally,

businesses may support diversity by providing flexible employment options like part-time and

remote work, which can draw in a larger talent pool. These steps contribute to the development of
an inclusive and diverse culture, which is essential for the accomplishment of a diversity program.

(Dubey & Hirsch, 2018).

Example of diversity in the workplace of board directors or leadership team

Senior leadership support is a crucial component in the success of a diversity initiative. The

program must be prioritized by the organization's management and incorporated into all facets of

operations to be effective. This calls on leaders to set a positive example and shows that they are

dedicated to fostering a diverse and inclusive workplace. The effectiveness of a diversity program

depends on the support of senior leadership in fostering a culture of diversity and inclusion. (Dubey

& Hirsch, 2018).

The Importance of Diversity on the Board of Directors

Putting in place a diversity program is both a moral duty and a wise commercial move. It

offers a host of advantages to shareholders and stakeholders, including enhanced financial

performance, elevated worker happiness and morale, and a favorable influence on society. A

diversity program needs senior leadership support, participation from all employees, and a

commitment to change to be successful. These elements are essential for developing an inclusive

and varied workplace culture that enables firms to fully benefit from a diverse workforce. (Goffee

& Jones, 2013).

The reasons why diversity violation should be avoided by organization

Businesses that don't adopt diversity initiatives run the danger of falling behind in a

continually evolving and diversified corporate environment. The advantages of a diversified

workforce are obvious and many, and businesses that value diversity will prosper in terms of

revenue, morale among employees, and positive social effect. Organizations must understand the

value of diversity and take action to foster a more inclusive and varied workplace. (Goffee & Jones,

2013).

Conclusion

In conclusion, every business that wants to succeed over the long haul should have a

diversity program. Organizations may boost their financial performance, boost employee morale

and happiness, and positively affect society by embracing diversity and inclu sivity. The benefits

of investing in the creation of a diverse and inclusive workforce are obvious and significant,

therefore it is time for enterprises to act. (Goffee & Jones, 2013).

References

McKinsey & Company. (2018). Diversity Matters. https://www.mckinsey.com/business-

functions/organization/our-insights/diversity-matters

Deloitte. (2018). The business case for diversity and inclusion.

https://www2.deloitte.com/us/en/insights/focus/talent-management/diversity-and-inclusion-

business-case.html

Dubey, R, & Hirsch, A. S. (2018, March 19). The Business Case for Diversity

Management. https://www.shrm.org/resourcesandtools/hr-topics/behavioral-

competencies/global-and-cultural-effectiveness/pages/viewpoint-building-a-business-case-for-

diversity-and-inclusion.aspx
 Goffee, R., & Jones, G. (2013). Creating the Best Workplace on Earth.

https://hbr.org/2013/05/creating-the-best-workplace-on-earth