Workforce Diversity in the Modern Globalized World

Introduction

In recent years, diversity in the workplace has become a considerable aspect in multiple business spheres and in the departments of human resources in particular. In defiance of all expectations, the attitude of various companies to the significance of a diverse workforce is substantively controversial. Some managers may regard a broad range of different types of workers as a legal, though insignificant and unnecessary requirement. Nevertheless, the majority of corporate leaders see the perspectives and strategic benefits of diversity.

The significance of the workforce diversity’s examination is determined by its current priority. Due to the inevitable forces of globalization, organizational workforces across the globe become considerably diverse in terms of age, sex, race, ethnic origin, nationality, socioeconomic status, sexual orientation, and lifestyle.

The organizations that allow the employees’ differences to be the reason for misunderstandings, disagreements, and feuds have substantial chances to be unsuccessful in the marketplace. In general, the deep understanding of the complexity of issues related to employee diversity helps competent authorities manage the organization’s workforce. The purpose of this paper is to examine the phenomenon of workforce diversity and its advantages for companies with reference to personal working experience.

Main body

Diversity in the workplace may be defined as both differences and similarities among the organization’s workers in terms of sex, age, race, nationality, physical abilities and disabilities, sexual orientation, political ideologies, religion, and lifestyle. However, this term includes not only the specific peculiarities of individuals in one group but the acceptance and understanding of the fact that all employees possess individual characteristics and features that make them unique.

Diversity management originally appeared in North America along with anti-discrimination movements of the 1960s (Dixit & Bajpai, 2015). Workforce diversity may be regarded as “one of the strategic capabilities that will add value to the organizations over their competition” (Joseph R. & Selvaraj, 2015, p. 17).

In other words, people’s differences directly affect the company’s performance, and diversity in the workplace will provide benefits only if it is properly managed (Joseph R. & Selvaraj, 2015). However, if workforce diversity is not appropriately managed, it may lead to highly negative results, such as feuds, disagreements, misunderstandings, and frequent turnover within an organization.

The significance of workforce diversity in the contemporary world is determined by the development of the Internet and globalization that substantively reduced the gap between small and medium companies and large multinational corporations. This relative equalization unavoidably led to hyper competition in almost every field of business. At the same time, according to Joseph R. and Selvaraj (2015), “the technical challenge of industrial problems is getting more difficult as well as more complex” (p. 17).

In the present day, customers wait for time-sensitive solutions to any problem that appears in the business world. That is why multiple organizations, regardless of their fields, currently search for innovative ways to enhance their performance and start to explore “the inclusion of workforce diversity against the traditional monolithic structure” (Joseph R. & Selvaraj, 2015, p. 17). They promote equal opportunities for all employees regardless of their differences and abolish all types of discrimination.

Diversity may be regarded not only as natural but necessary in the increasingly global business world where companies offer services and products worldwide and set up operations in foreign countries. As the expansion of business implies the inclusion of employees and partners around the globe, the attitude to different cultures, religions, and social norms within a corporate framework needs to be redefined.

Over the last several decades, the particular interest of management in diversity initiatives has grown significantly (Cui, Jo, Na, & Velasquez, 2015). A highly substantial number of senior citizens, women, foreigners, racial and ethnic minorities, and people with different religious or cultural backgrounds search for an opportunity to realize their potential in the professional sphere. Diversity in health care is a strategy “for reducing racial and ethnic health disparities” (Glazer, Tobias, & Mentzel, 2018, p. 239).

Considerable levels of diversity in race, ethnicity, education, gender, and sexual orientation may be currently identified in the United States social enterprises (Cho, Kim, & Barak, 2017). India is a country with a substantially high level of diversity in the workplace, especially in international companies (Dixit & Bajpai, 2015). Singapore may be regarded as “one of the most globally competitive countries” that attracts extremely innovative and highly skilled people to work in its companies as well (Joseph R. & Selvaraj, 2015, p. 17).

According to Fortune magazine, 95% of companies included in its Fortune1000 list have already implemented diversity training programs and diversity management (Cui, et al., 2015). They currently spend approximately eight billion dollars every year on these programs (Cui, et al., 2015). Such corporate expenditures are justified by the fact that workforce diversity may increase creativity, productivity, and innovation.

Despite the fact that numerous companies, multinational corporations, leadership teams, and government agencies all over the world currently implement specific programs to increase the diversity of the workforce, in certain areas, the progress is insufficient. For example, according to O’Brien, Scheffer, van Nes, and van der Lee (2015), “African-Americans are well-represented in police departments in large US cities, but account for only 5–6% of police in smaller towns” (p. 2).

In turn, women account for almost half of medicine and science graduates, however, they are “poorly presented in leadership roles and in traditionally male fields, such as mathematics and surgery” (O’Brien, et al., 2015, p. 2). Although gender diversity has substantially increased in medical professions in recent decades, indigenous people and ethnic minorities are underrepresented.

Advantages of Workforce Diversity

One of the most distinctive benefits of workforce diversity is unique knowledge and experience that people with different cultural, religious, and social backgrounds may bring to a company. In general, there are several dimensions of diversity that may have a highly positive impact on the organization’s performance:

Diversity of people’s perceptions

It goes without saying that individuals think, recognize and solve problems, and perceive the world in completely different ways. In addition, a substantial number of people agree that women and men frequently make different decisions and have relatively different approaches to the same problems. That is why diversity in the workplace within a team effectively uncovers problem areas through the cooperation of people with various backgrounds.

Diversity in reputation

Another considerable advantage of workforce diversity consists of the customers’ positive attitude. Companies that hire different types of employees are frequently regarded by people as inclusive and socially responsible. Moreover, the diversity of the workforce attracts the diversity of consumers as well. For instance, a store with culturally and ethnically diverse employees have more opportunities to attract a substantial number of customers in comparison with another store that works with a specific ethnic segment.

In addition, highly skilled and competent workers predominantly choose organizations with workforce diversity that do not practice any type of discrimination. It is essential for potential workers to know that their employers will treat them fairly regardless of sex, age, ethnicity, race, or sexual orientation. That is why companies with corporate policies that may be characterized by openness, flexibility, and inclusion inevitably attract highly talented people from all over the world.

Diversity of perspectives that lead to business growth

Different types of people in the workplace frequently create a considerable range of perspectives that contribute to business growth. As a matter of fact, culturally and experientially diverse people may view challenges and problems in different ways to bring diverse solutions. In addition, different ideas and solutions to specific problems may form effective management initiatives and various innovative concepts for corporate growth. Moreover, new fresh ideas determined by a culturally diverse management, team members, or production contribute to the development of a company that will be able to offer more products to its customers.

Workforce diversity may substantially increase the company’s productivity and competitive benefits. As previously mentioned, culturally diverse employees may offer considerably more solutions to clients due to new processes and ideas brought into companies. Moreover, diversity in the workplace may increase corporate ethics and positively influence workers’ motivation. Diversity in leadership allows managers and supervisors to introduce and implement new methods and skills in order to achieve unity and understanding between team members.

Conclusion

Diversity in the workplace may be defined as both differences and similarities among the organization’s workers in terms of sex, age, race, nationality, physical abilities and disabilities, sexual orientation, political ideologies, religion, and lifestyle. This concept includes the understanding and acceptance of the fact that all individuals are unique, as well. The significance of workforce diversity in the contemporary world is determined by globalization that substantively reduced the gap between small or medium enterprises and large multinational corporations. Companies offer services and products worldwide and set up operations in foreign countries.

In order to stay competitive, a prevalent number of organizations start to promote equal opportunities for all employees regardless of their differences and abolish all types of discrimination. They currently redefine the attitude to different cultures, religions, and social norms within a corporate framework as well.

One of the most distinctive benefits of workforce diversity consists of unique knowledge and experience that people with different cultural, religious, and social backgrounds may bring to a company. All individuals think, recognize and solve problems, and perceive the world in completely different ways. That is why different types of people in the workplace frequently create a considerable range of perspectives that contribute to business growth.

Culturally diverse employees increase the company’s productivity as they offer considerably more solutions to clients due to new processes and ideas brought into companies. In addition, companies that hire different types of employees and may be characterized by openness, flexibility, and inclusion attract highly talented workers and are frequently regarded by people as inclusive and socially responsible.

Despite the fact that numerous companies, multinational corporations, leadership teams, and government agencies all over the world currently implement specific programs to increase the diversity of the workforce, in certain areas, the progress is insufficient. Women, ethnic minorities, and the representatives of non-English-speaking countries are frequently underrepresented. The current study may be used for further investigation of reasons why workforce diversity is not regarded as a common practice in certain areas.

References

Cho, S., Kim, A., & Barak, M. E. M. (2017). Does diversity matter? Exploring workforce diversity, diversity management, and organizational performance in social enterprises. Asian Social Work and Policy Review, 11(3), 193-204. Web.

Cui, J., Jo, H., Na, H., & Velasquez, M. G. (2015). Workforce diversity and religiosity. Journal of Business Ethics, 128, 743-767. Web.

Dixit, P., & Bajpai, B. L. (2015). Managing workforce diversity in competitive environment. International Journal of Business and Management Invention, 4(1), 1-11.

Glazer, G., Tobias, B., & Mentzel, T. (2018). Increasing healthcare workforce diversity: Urban universities as catalysts for change. Journal of Professional Nursing, 34(4), 239-244. Web.

Joseph R., D., & Selvaraj, P. C. (2015). The effects of work force diversity on employee performance in Singapore organisations. International Journal of Business Administration, 6(2), 17-29.

O’Brien, K. R., Scheffer, M., van Nes, E. H., & van der Lee, R. (2015). How to break the cycle of low workforce diversity: A model for change. PLoS ONE, 10(7). Web.

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StudyCorgi. 2022. "Workforce Diversity in the Modern Globalized World." July 24, 2022. https://studycorgi.com/workforce-diversity-in-the-modern-globalized-world/.

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