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Robbins & Judge

Organizational Behavior
14th Edition

Diversity in Organizations

Kelli J. Schutte
William Jewell College

Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall


Chapter Learning Objectives

After studying this chapter, you should be able to:
Describe the two major forms of workforce diversity. Define the key biographical characteristics and describe how they are relevant to OB. Define intellectual ability and demonstrate its relevance to OB. Contrast the two types of ability. Describe how organizations manage diversity effectively. Show how culture affects our understanding of biographical characteristics and intellectual abilities.

Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall



Surface-level diversity
Deep-level diversity
Diversity Management
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Biographical Characteristics
Objective and easily obtained personal characteristics. Age
Older workers bring experience, judgment, a strong work ethic, and commitment to quality.

Few differences between men and women that affect job performance.

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Biographical Characteristics (Continued)

Race & Ethnicity
Contentious issue: differences exist, but could be more culture based than race based.

People with job tenure (seniority at a job) are more productive, absent less frequently, have lower turnover, and are more satisfied.

Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall


Other Biographical Characteristics

May impact the workplace in areas of dress, grooming and scheduling

Sexual Orientation
Federal law does not protect against discrimination (but state or local laws may). Domestic partner benefits are important considerations.

Gender Identity
Relatively new issue transgendered employees.

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An individuals capacity to perform the various tasks in a job. Intellectual and Physical Abilities

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Made up of two sets of factors:
Intellectual Abilities
The abilities needed to perform mental activities. General Mental Ability (GMA) is a measure of overall intelligence. Wonderlic Personnel Test: a quick measure of intelligence for recruitment screening. No correlation between intelligence and job satisfaction.

Physical Abilities
The capacity to do tasks demanding stamina, dexterity, strength, and similar characteristics.

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Dimensions of Intellectual Ability

Number Aptitude


Verbal Comprehension

Spatial Visualization

Intellectual Ability

Perceptual Speed

Deductive Reasoning

Inductive Reasoning

E X H I B I T 21

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Nine Basic Physical Abilities

Strength Factors Dynamic strength Trunk strength Static strength Explosive strength

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Flexibility Factors

Flexibility Factors Extent flexibility Dynamic flexibility

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Other Physical Factors

Other Factors Body coordination Balance Stamina

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Role of Disabilities
When focusing on ability, it can create problems when attempting to develop workplace policies that recognize diversity in terms of disabilities. It is important to recognize diversity and strive for it in the hiring process. An organization needs to be careful to avoid discriminatory practices by making generalizations about people with disabilities.

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Implementing Diversity Management Strategies

Making everybody more aware and sensitive to the needs of others. Attracting, Selecting, Developing, and Retaining the Diverse Employees

Working with Diversity in Groups

Effective Diversity Programs

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Global Implications
Biographical Characteristics
Not much evidence on the global relevance of the relationships described in this chapter. Countries do vary dramatically on their biographical composition.

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Additional Global Implications

Intellectual Abilities
Structures and measures of intelligence generalize across cultures.

Diversity Management
Diversity management is important across the globe. However, different cultures will use different frameworks for handling diversity.

Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall


Summary and Managerial Implications

Directly influences employees level of performance. Managers need to focus on ability in selection, promotion, and transfer. Fine-tune job to fit incumbents abilities.

Biographical Characteristics
Should not be used in management decisions: possible source of bias.

Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall


Summary and Managerial Implications

Diversity Management
Must be an ongoing commitment at all levels of the organization. Policies must include multiple perspectives and be long term in their orientation to be effective.

Copyright 2011 Pearson Education, Inc. publishing as Prentice Hall


Name that Company?

2007 marked 80 years since its founding and 50 years in their particular industry? Slogan: Spirit to Serve? Culture is the life thread and glue that links our past, present, and future.? Has thousands of outlets in the U.S. and in 67 countries? To Our customers we say: the customer is always right, management by walking around, attention to detail, openness to innovation and creativity, and doing our business the ______Way? A global hospitality leader? This company has 3,100 outlets throughout the world? This company started out as a root beer stand 2007 set a record for booking 55,000 reservations in one day

Name that Company?

Company was founded in 1837? Employs about 50,000 people? Cores values are: integrity, quality, commitment, and innovation? The company markets its products through a worldwide network of independent dealers supported by a decentralized marketing organization? The founder of the company operated a one-man blacksmith shop? This company has four major business segments: 1) agricultural equipment, 2) commercial and consumer equipment, 3) construction and forestry, and 4) credit? The companys headquarters are located in Moline, Illinois? Feb. 2 the company announced a layoff of 200 people at the Davenport Works 2008 profits: net income reached 2.05 billion, net sales and revenues of 28.4 billion. Agricultural equipment sales rose 37% or by more than 4 billion


Ethnocentrism belief that ones native country, culture, language, and behavior are superior.


Why You Need International Business Experience and How to Get It


Gary Ellis, a young assistant controller for Medtronic, a Fortune 500 manufacturer of pacemakers and other medical equipment, was thought to be on the fast track for a top management position. However, company executives felt he first needed broader experience, so they sent him to head their European headquarters in Belgium. Two years later, when the corporate controllers job in the companys home office became vacant, Ellis was given the job. Bill George, Medtronics CEO, summed up the company philosophy regarding necessary experience: Successful executives of the future will have all lived in another country for several years. Do you agree or disagree with Bill George? Fortune 500 companies 79% believe that students should take international courses during their college experience, 81% believe that all college students should speak a second language, and 86% believe that the majority of leaders and key people ought to have international experience within their organizations.


Are You Really Buying American

Consider the following scenario of a typical American family The Boltons, Mike and Barbara, live in New York City. Mike is a security consultant with the security services firm Wackenhut Corporation. Barbara is an advertising executive in the Global Head Office of J. Walter Thompson. On her way home from work.

Ranking of International Companies and nations according to GNI (Atlas Method) or Total Sales

Note: Belgium (B), China (PRC), France (F), Germany (G), Italy (It), Netherlands (N), Switzerland (S), United Kingdom (U.K.), and United States (U.S.). Source: World Development Indicators database, ; and Fortune Global 500, 1-23

The Capitals of the Top Ten

United States? Washington, DC Japan? Tokyo Germany? Berlin United Kingdom? London China? Beijing France? Paris Italy? Rome Spain? Madrid Canada? Ottawa Mexico? Mexico City


International Quiz
Question: Define foreign direct investment. Answer: Direct investments in equipment, structures, and organizations in a foreign country at a level that is sufficient to obtain significant management control; does not include mere foreign investment in stock markets. Question: What is the capital of Iran? Answer: Tehran Question: What language is spoken in Austria? Answer: German Question: What is outsourcing? Answer: The subcontracting or contracting out of activities to endogenous organizations that had previously been performed by the firm.


International Quiz
Question: What is the capital of Belgium? Answer: Brussels Question: What do the letters WTO represent? Answer: World Trade Organization Question: Identify the five major globalization forces? Answer: Political, technological, market, cost, and competition Question: What is the capital of Denmark? Answer: Copenhagen Question: What is globalization? Answer: The process of social, political, economic, cultural, and technological integration among countries around the world. Question: Define and explain NAFTA Answer:

Business Etiquette
1. You are in a business meeting in an Arabian Gulf country. You are offered a small cup of bitter coffee. After your cup has been refilled several times, you decide you would rather not have any more. How do you decline the next cup offered to you?
A. Place you palm over the top of the cup when the coffeepot is passed B. Turn you empty cup upside down on the table C. Hold the cup and twist you wrist from side to side


Business Etiquette
2. In which of the following countries are you expected to be punctual for business meetings?
A. Peru B. Hong Kong C. Japan D. China E. Morocco


Business Etiquette
3. Gift giving is prevalent in Japanese society. A business acquaintance presents you with a small wrapped package. Do you: A. Open the present immediately and thank the giver? B. Thank the giver and open the present later? C. Suggest that the giver open the present for you?


Business Etiquette
4. In which of the following countries is tipping considered an insult?
A. Great Britain B. Iceland C. Canada


Business Etiquette
5. What is the normal workweek in Saudi Arabia?
A. Monday through Friday B. Friday through Tuesday C. Saturday through Wednesday


Business Etiquette
6. You are in a business meeting in Seoul. Your Korean business associate hands you his calling card, which states his name in the traditional Korean order: Park Chul Su. How do you address him? A. Mr. Park B. Mr. Chul C. Mr. Su


Business Etiquette
7. In general, which of the following would be good topics of conversation in Latin American countries?
A. Sports B. Religion C. Local politics D. The whether E. Travel


Business Etiquette
8. In many countries, visitors often are entertained in the homes of clients. Taking flowers as a gift to the hostess is usually a safe way to express thanks for the hospitality. However, both the type and the color of the flower can have amorous, negative, or even implications. Match the country where presenting them would be a social faux pas.
A. Brazil B. France C. Switzerland 1. Red Roses 2. Purple flowers 3. Chrysanthemums


Business Etiquette
9. In Middle Eastern countries, which hand does one use to accept or pass food?
A. Right hand B. Left hand C. Either hand


Business Etiquette
10. Body language is just as important as the spoken word in many countries. For example, in most countries, the thumbs-up sign means OK. But in which of the following countries is the sign considered a rude gesture?
A. Germany B. Italy C. Australia


Culture of Saudi Arabia

True or False 1. Never show bare shoulders, stomach, calves and thighs? 2. Alcohol and pork are illegal? 3. In the Muslim world, Thursday is the day of rest? 4. Women in Saudi Arabia are not permitted to drive vehicles? 5. Do not discuss the subject of women, not even to inquire about the health of a wife or daughter. The topic of Israel should also be avoided. Sports is an appropriate topic? 6. At a business meeting, the person who asks the most questions is likely to be the least important. The decision maker is likely a silent observer? 7. Try not to cross your legs when sitting. Never show the bottom of your feet? 8. Visitors are expected to abide by local standards of modesty however, do not adopt native clothing? 9. It is common to remove your shoes before entering a building? 10.Communications occur at a slow pace. Do not feel obligated to speak during periods of silence. Yes usually means possibly.


Culture of France
True or False 1. French businessmen do loosen their ties and take off their jackets in the office? 2. France is a highly stratified society, with strong definition and competition between classes? 3. Business can be conducted during any meal, but lunch is the best? 4. The French have a great appreciation for the art of conversation? 5. The French do not interrupt each other, it is impolite? 6. The French often complain that North Americans lecture rather then converse? 7. Be sensitive to the volume of your voice. Americans are known to offend others in restaurants, meetings or on the street with their loud voices? 8. As a business person, if you do not speak French, it is very important that you apologize for your lack of knowledge? 9. The French have a great respect for privacy. Knock and wait before entering into a room. Additionally, do not drop in unannounced? 10. Business women wear colorful attire?


Culture of China
True of False 1. Women are encouraged to wear high heels and short sleeved blouses? 2. Men and women can wear jeans. However, jeans are not acceptable for business meetings? 3. Revealing clothing for women is considered offensive to Chinese businessmen? 4. As a guest do not use large hand movements. The Chinese do not speak with their hands? 5. You can point when speaking? 6. It is legal to give gifts to government officials? 7. Quality writing pens are considered their favored gifts? 8. Do not discuss business during meals? 9. Present and receive business cards with both hands? 10. Business introductions are formal. Use formal titles? 11. Walmart opens in China. Describe the impact of Chinas culture upon Walmart


Role of Expatriates
See article on expatriates from Personnel Psychology