A

TERM PAPER

ON
MANAGEMENT PRACTICE AND ORGANISATION BEHAVIOUR

Submitted to:-
MR. VIKRAM KATYAL
SUBMITTED BY:-
VISHAL KUMAR GAURAV
REGD. NO. 11006533
ROLL- RS1002A09

DIVERSITY AT WORK PLACE 1

 ACKNOWLEDGEMENT

The knowledge of my theoretical studies is absolutely incomplete without its proper implementation and
application in today’s diversified corporate world.

With profound sense of gratitude and regard, i convey our sincere thanks to our teacher MR. VIKRAM
KATYAL SIR for his valuable guidance, the confidence she instilled in me, that helped us in
completion of the project report. We would like to thank her for providing the basic knowledge of
Organizational Behaviour, project information used for preparing the report.

An undertaking of study like this is never an outcome of efforts put in by a single person; rather it bears
imprint of number of persons who directly or indirectly helped us in completing the study.

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 Table of contents

Page no.

Introduction 4
Objective of the study 6
Methodology used 7
How to manage diversity 10
Literature review 17
Case study 19
Learnings 21
Bibliography 22

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INTRODUCTION

Workplace diversity refers to the variety of differences between people in an organization. Diversity not
only involves how people perceive themselves, but how they perceive others. Those perceptions affect
their interactions.
Diversity is ubiquitous. We all aware of since decade’s no two people are similar. The world has been
and is a stage of huge mix of people with different:-

“Diversity if properly managed, can increase creativity and innovation in organization as well as
improve decision making by providing different perspective on problems.”

Managing
Diversity

Successful 21st century corporations no

longer view diversity as a problematic

DIVERSITY AT WORK PLACE 4

issue. They view diversity as an opportunity that can be utilized to compete more effectively in the local
and global markets.

Managing diversity is an on-going process that explore the various talents and capabilities which a
diverse population bring to an organization, community or society, so as to create a wholesome,
inclusive environment, that is “safe for differences,” enables people to “reject rejection,” celebrates
diversity, and maximizes the full potential of all, in a cultural context where everyone benefits from
Multiculturalism, as the art of managing diversity, is an inclusive process where no one is left out.

Diversity management involves creating a supportive culture where all employees can be effective. In
creating this culture. it is important that top management strongly support workplace diversity as a
company goal and include diversity initiatives in their companies' business strategies. It has grown out
of the need for organization to recognize the changing workforce and other social pressures that often
result.

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Objective of the study

The objective of this study is

 To understand the diversity which occurs in workplace.
 To analyse the situations and reasons of diversity
 To know the importance of diversity
 To study positive or negative impact of diversity

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Methodology used

In course of preparing this term paper, I feel the need of various information regarding culture of various
organisation. particularly about those organisation where diversity occurs
To know all these I collect various details and information from various sources internal as well as
external.

Secondary data:-

These are that information and data’s which are already available in various media. To collect the
information. I have to go through with online journals, research paper and magazines, I also got some
important information which is mentioned in my term paper are downloaded from the internet etc.
No doubt internet has provided a lot of useful information regarding this topic, without internet it would
Be very difficult for me to complete

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Why Manage Diversity?

There are various reasons explaining the need to manage diversity. They are:

 A large number of women are joining the work-force.

 Work-force mobility is increasing.

 Young workers in the work-force are increasing

 Ethnic minorities' proportion constantly in the total work-force is increasing.

 International careers and expatriate are becoming common.

Challenges of Diversity in the Workplace

 Communication: Perceptual, cultural

and language barriers need to be
overcome for diversity programs to
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 succeed. Ineffective communication of key objectives results in confusion, lack of teamwork,
and low morale.

 Individual versus Group Fairness: This issue is closely related to the “difference in divisive
versus better” i.e. how far management should go in adapting HR programs to diverse employee
groups.

 Resentment: Equal Employment Opportunities (EEO) was imposed by government rather than
self initiated. The response to this forced change was in many cases grudging compliance.

 Group Cohesiveness and Interpersonal Conflict: Although employee diversity can lead to
greater creativity and better problem solving; it can also lead to open conflict and chaos if there
is mistrust and lack of respect among groups. This means that as organizations become more
diverse, they face greater risks that employees will not work together effectively. Interpersonal
friction rather than cooperation may become his norm.

 Resistance to change: There are always employees who will refuse to accept the fact that the
social and cultural makeup of their workplace is changing. The “we’ve always done it this way”
mentality silences new ideas and inhibits progress.

 Implementation of diversity in the workplace policies: This can be the overriding challenge to all
diversity advocates. Armed with the results of employee assessments and research data, they
must build and implement a customized strategy to maximize the effects of diversity in the
workplace for their particular organization.

 Successful Management of Diversity in the Workplace: Diversity training alone is not sufficient
for your organization’s diversity management plan. A strategy must be created and implemented
to create a culture of diversity that permeates every department and function of the organization.

 Retention: The job satisfaction levels of women and minorities are often lower than those of
majorities. Therefore it becomes difficult to retain such people in an organization.

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 How to Manage Diversity in an Organization

Diversity can be managed in an organization by taking following steps:

 Embrace Diversity: Successfully valuing diversity starts with accepting the principle of
multiculturalism. Accept the value of diversity for its own sake not simply because you have to.
The acceptance must be reflected in actions and words.

 Recruit Broadly: When you have job openings, work to get a diverse applicant pool. Avoid
relying on referrals from current employees, since this tends to produce candidates similar to
existing work force. An exception is that if the present workforce is fairly diversified then there
is no harm in accepting referrals from current employees.

 Select Fairly: Make sure your selection process does not discriminate. Particularly ensure that
selection tests are job related.

 Provide Orientation and Training: Making the transition from outsider to insider can be
particularly difficult for non-traditional employees.

 Sensitize all Employees: Encourage all employees to embrace diversity. Provide diversity
training to help all employees see the value in diversity.

 Seek to Motivate Individually: A manager or the superior must be aware of the back ground,
cultures, and values of employees. The motivation factors for a full time working mother to
support her two young children are different from the needs of a young, single, part-time
employee or an older employee who is working to supplement his or her retirement income.

 Reinforce Employee Differences: Encourage employees to embrace and value diverse views.
Create traditions and ceremonies that promote diversity. Celebrate diversity by accentuating its
positive aspects. But also be prepared to deal with the challenges of diversity such as mistrust,
miscommunication, and lack of cohesiveness, attitudinal differences and stress.

 Involve all when Designing the Program: Involve as many employees from every level in the
organization as you can when designing a diversity initiative. This gets people talking about the
program and promotes ownership and buy-in.

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  Avoid stereotypes: Stereotypes are pre conceived notions which a person holds for particular
person. They are beliefs that all members of specific groups share similar traits and are likely to
behave in the same way. Stereotypes create categories and then fit individuals into them. Holding
Stereotypes are harmful for several reasons. A person may be misunderstood early in an
interaction. Contributions may be limited and specific strengths or talents may be overlooked
because they do not seem prominent in the given stereotypical category. On the other hand, poor
performance can be overlooked in an individual because they belong to a stereotypically
desirable group. By allowing stereotypes to manage people we create natural divisions within the
organization. Managers can combat this by mixing teams, creating smaller mixed teams for
subtasks, monitoring all team members‟ progress and allowing individuals to volunteer for roles
rather than being cast into their default role as defined by their stereotypical category.

In the current scenario in metro cities & corporate companies there are very few problems with
minority or traditional sector of employees are treated differently. For that matter it does not reflect in
the working at all making the managerial task easier. We can say differential treatment continues in the
government sector due to political orientations and it is not the minority or backward but majority and
so called forward classes are the sufferers. This also must be eliminated and only one class must get the
support that is an economically backward class belonging to minorities, all castes and creed.

Diversity as an Asset

Diversity in the work force was previously thought to lead to garbled communications, conflict, and a
less efficient workplace. Today, many firms realize that diversity can actually enhance organizational
effectiveness.

New Products and Services: Diversity generates ideas in geometric progression fuelling greater
creativity and innovation. It can stimulate consideration of less obvious alternatives. This results in
flurry of new products and services to meet the customer’s expectation and needs.

Better teamwork: Organizations are operating in such a fashion that it is impossible to function without
teamwork. Interacting with diverse workforce is leading to better ideas and enhancing the morale and
motivation in the organization

Better Image: Companies that have diverse workforce are having better

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Effective and Happy workforce: Adapt handling of diversity can multiply motivation and enhance
productivity due to the satisfaction employees enjoy on being treated fairly, valued equally and given
dignity at workplaces. It reduces the chances of absenteeism and attrition too as the undue stress,
unnecessary frustration or low morale due to being insensitive, discriminatory etc gets drastically
reduced. Hence, many organizations are charting diversity initiative not merely to comply with legal
obligations but reap the business benefits especially in term of better recruitment and higher retention
among the talented workforce

Expansion of Markets: Globalization has brought together heterogeneous teams to enhance the problem
solving capabilities and produce creative solutions leading to expansion of business landscape.

Diversity policy

Today the attrition rate of every corporate sector is high due to lack of proper diversity program/policy.
It is more challengeable since we are in global village. Before we look to hire diverse candidates, we
must be sure that our organizational culture and environment support diversity, otherwise retention will
become a challenge The purpose of the Diversity Policy is to encourage an atmosphere in which all staff
embrace the benefits of working in a diverse community and to provide a framework for the fair and
equitable treatment of all employees, job applicants, customers, suppliers and visitors irrespective of
their individual differences or any personal characteristics.

Following are 10 ways to ensure that our diversity program is successful

Make it strategic: Incorporate diversity into your business strategy and communicate the professional
“business sense” and leadership commitment to diversity; make training only a part of the overall
diversity program; revisit existing policies and programs to ensure they align with and support your
vision for diversity.

Make it measurable: Know your baseline: How do your current employees feel about your environment
- Is it inclusive? Do they feel they are part of the company team? Do they feel their input is welcome?
Periodic climate surveys and ongoing exit interview surveys can provide you with valuable. Are their
interests? How might you position your organization to meet the needs of an increasingly diverse
market?

Make it inclusive: Make your program applicable to all employees of the organization, rather than
targeting people of color, women and/or disabled employees.

Make sure there's accountability: Assign responsibility to a core team of leadership professionals for the
development and implementation of strategic action plans

Make it experiential: Roll out development programs that enable participants to draw from real world
examples and engage in interactive exercises so that they can “try-on” new concepts and build new
skills.

Make it standard: Role model an appreciation of differences from the top down; the message must stem
from leadership and business vision, and be modelled by senior executives.

Make it collaborative: Encourage accountability and ownership of the responsibility for fostering an
inclusive environment by all managers and staff throughout the organization.

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Make it comprehensive: Cover the basics, like rolling out compliance training and developing anti-
harassment and anti-bias policies, but be sure to assign critical importance to the development of
intercultural competence and the associated skills.

Diversity can be seen through these figures in Indian context

Over 400 million women are employed in various streams

Around 30 percent of the workforce in the IT sector is women

Socially disadvantaged people (scheduled casts/tribes, etc.) have entered organizations as a result of a
policy of reservations and concessions.

Old employees have grown in number because of improved medical and health care.

IT Industries like Infosys, TCS and Wipro are actively recruiting foreign nationals and women, both by
choice and design.

Bharti Enterprise has mandated their recruitment agencies to have a 25-30% percentage of women
candidates at the interview stage.

The Indian workplace is no different from global MNCs.

A majority of HLL customers are women but till 2000 women constituted just 5% of its management.
Alarmed by that number, the company put in place a plan to hire more women. HLL started several
initiatives like a six-month fully paid maternity leave as well as a five-year
Sabbatical.

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DIVERSITY AT WORK PLACE 14
 Literature review

Article 1.i

This article is taken fro1m US department of state. In this working condition of employee is given the
diverse workforce was increasing. More & more no. of women were there In men dominated jobs, and
they were being discriminated on the basis of age & gender. Many similar cases were found like this.
The issue of equal pay for equal work was also a big issue that time. In this issue employee was being
discriminated on the basis of payment. Especially women were discriminated on this basis. This arises
because relatively more women were working in service sector .

No doubt. In recent years, women have obtained such jobs in growing numbers, but they still lag
significantly considering their proportion of the population.Another issue of diversity (pay and position)
arises with racial group. Further they was called minority people. So as to prevent from discrimination
the federal government and many states adopted "affirmative action" laws in the 1960s and 1970s that
required employers to give a preference in hiring to minorities in certain circumstances.

Article 22

In this article the author has described the diversity in both positive as well as negative sense.
According to the author. Diversity is more common for people to make a group in the workplace and it
is a very general and common social behaviour but if these groups are based on the negative aspects of
the diversity, it can be very harmful for the work environment and the social environment as well. It is
therefore the company's duty to get occasional audits and evaluations on their employees to monitor
such negative influences.

In this article the author has suggested the way of dealing with various kinds of people. Like in case a
person has a stronger negative personality than that, it is advisable that you should not remain in their
vicinity as much as possible and report to the superiors in case the behaviour is too much to take.

However , It is not easy to deal with diversity in workplace, but with time and patience it can be
achieved, no matter for the employees or the employers

Article 33

Sussman harris concluded in this article Diversity is about our relatedness, our connectedness, our
interactions, where the lines cross. Diversity is many things - a bridge between organizational life and
the reality of people’s lives, building corporate capability, the framework for interrelationships between
people, a learning exchange, a strategic lens on the world.And one case of diversity is given related to
American and Japanese people there were diversity between the American female employees and
Japanese male employees. Between the bosses and their subordinates, the problem was between the men
1
http://economics.about.com/od/laborinamerica/a/diversity.htm

2
http://www.EmploymentCrossing.com/lcjobtypelisting.php
3
http://www.zeromillion.com/econ/workplace-diversity.html
DIVERSITY AT WORK PLACE 15
and women employees. A benefit of a diverse workforce is the ability to tap into the many talents which
employees from different backgrounds, perspectives, abilities and disabilities bring to the workplace.

However in this article some effective measures has also been suggested like
The company can broaden its perception regarding diversity like gender age caste and etc.
The company should diverse its workplace so that the employees can feel that there is a chance of
growth is also in the organisation. The company can use the word like black, white, gay and lesbian etc.
The company can change its HR policy for recruitment. Like the procedures for recruitment must be
different for senior employees and fresher employees.

Article – 44

Rodfiguez cristina concluded in the Article that assesses the increasingly common employer practice of
prohibiting employees from speaking languages other than English in the workplace - a phenomenon
that provides an important window into the debate over how to manage the cultural consequences of
immigration. I argue that the effects of English - only rules with which we should be most concerned are
social, not individual, in nature. Such rules interfere with profound associational interests held by
workers, both in the workplace and in social life more generally. While the English-only workplace rule
may seem to advance communication in the workplace I argue that fostering cooperation and solidarity
among employees actually requires permitting linguistic fragmentation in some contexts. Promoting
genuine, long-term cooperation in public settings like the workplace depends on what I call cultural
burden sharing, or the development of legal and social expectations according to which all participants
in the public sphere, and not just the assimilating immigrant, absorb some of the cultural effects of
immigration. Employees who have sought to challenge English-only rules have relied, largely
unsuccessfully, on Title VII, which does not provide workers with a viable mechanism for articulating
the salient associative interests compromised by English-only rules. But even if that limitation could be
fixed through amendment or doctrinal reorientation, the process of cultural burden shifting will be
deeper and more effective if channeled through decentralized and semi-private decision making
structures. Though it may seem counterintuitive, debates over how to maintain social cohesion during a
period of demographic transformation ultimately should be diffuse and local, not concentrated and
national. Exploring the anti-social dynamics imposed by English-only workplace rules thus contributes
to the development of a productive framework for coming to terms with how unprecedented
immigration is reshaping our social and political spaces.

Article – 5.5

Post cornine concluded in the article American society suffers both from fraying communal ties and
from the stubborn persistence of division and segregation, especially along racial lines. We enjoy less
trust, cooperation, sociability, and sense of community; yet whatever sense of community we do
experience is still racially-skewed and divided. What happens within the workplace responds to both
concerns: The typical workplace is a hotbed of sociability and cooperation among co-workers day after

4
Papers.ssrn.com
5

DIVERSITY AT WORK PLACE 16

day, and often year after year. And that interaction is increasingly likely to cross categories of race and
ethnicity, as well as gender. The striking convergence of close interaction and growing demographic
diversity workplace ties crucial in a diverse democratic society.
The democratic potentialities of human interaction at work are clouded by the unfree, unequal, and
undemocratic nature of workplaces. workplace interactions are compelled and constrained by economic
power and necessity, and are circumscribed by a staggering array of governmental regulations.
Paradoxically, however, the very involuntariness of workplace interactions - both external law and
internal constraints - help make the often-troubled and often-failed project of racial integration work
relatively well there. People can be forced to get along - not without friction, but with surprising
success.

Article – 6

Workforce diversity refers to the composition of work units in terms of the cultural or demographic
characteristics that are salient and symbolically meaningful in the relationships among group members.
Although generally thought of as the purview of management research, the topic of workforce diversity
draws from and is relevant to research from sociology and psychology. In this review, we highlight two
issues: (a) the importance of the substantial research on inequality to an adequate understanding of
workforce diversity and (b) the need to link discussions of workforce diversity to the structural
relationships among groups within the society. We organize the review in terms of three dimensions of
the relationships among groups: power, status, and numbers (or composition). We highlight research
from sociology, psychology, and management and show similarities and gaps across these fields. We
also briefly discuss the outcomes of workforce diversity in the workplace

Article 7

Billings Lenora concluded in the article Many organizations have some type of career development or
succession planning process. In order to make these programs more effective within a diverse
environment, be sure that you are talking to all of your staff about their career aspirations. Even if your
organization does not have many opportunities for individuals looking for upward mobility, your interest
in their career and your assistance in their development will be greatly appreciated and usually motivates
people to do their best work. If there are no opportunities within the organization and the employee
ultimately leaves the company, your company then has a positive ambassador in the overall community.
we have a tendency to delegate to the same people all the time because they do good work and we know
things will be done well. However, if we are going to truly develop all team members, regardless of their
packaging, we need to identify projects, tasks, and responsibilities that could further develop their skills.
Once the task is delegated, be sure to coach and counsel, and be clear regarding your expectations and
the results
As organizations have downsized, right-sized, and re-engineered their businesses, many management
positions have been eliminated, thus requiring groups to work together as teams in order to complete the
necessary tasks. When you create cross-functional teams, ideas flourish. People are exposed to each
other's ideas and discover that different departments have different viewpoints. That exposure is

DIVERSITY AT WORK PLACE 17

beneficial to the overall innovation potential of the organization. When creating these teams, remember
that putting people together does not automatically make them a team. Attention does need to be given
to developing that group of people into an effective, trusting team.

Article 8 6

In this article Cynthia L. Estlund concluded that American society suffers both from fraying
communal ties and from the stubborn persistence of division and segregation, especially along racial
lines. We enjoy less trust, cooperation, sociability, and sense of community; yet whatever sense of
community we do experience is still racially-skewed and divided. What happens within the workplace
responds to both concerns: The typical workplace is a hotbed of sociability and cooperation among co-
workers day after day, and often year after year. And that interaction is increasingly likely to cross
categories of race and ethnicity, as well as gender. The striking convergence of close interaction and
growing demographic diversity makes workplace ties crucial in a diverse democratic society.

The democratic potentialities of human interaction at work are clouded by the unfree, unequal, and
undemocratic nature of workplaces. Workplace interactions are compelled and constrained by economic
power and necessity, and are circumscribed by a staggering array of governmental regulations.
Paradoxically, however, the very involuntariness of workplace interactions - both external law and
internal constraints - help make the often-troubled and often-failed project of racial integration work
relatively well there. People can be forced to get along - not without friction, but with surprising
success.

6
http://papers.ssrn.com/sol3/papers.cfm?abstract_id=543042
DIVERSITY AT WORK PLACE 18
 A Case Study: Diversity at IBM

The case examines the diversity and talent management practices of the US-based IBM, the leading IT
Company in the world. IBM figured in the Fortune magazine's list of "America's Most Admired
Companies" in the year 2004. It was appreciated for recruiting and retaining the best talent across the
world. IBM actively encouraged recruiting people from various social and cultural backgrounds
irrespective of their age, sex or physical status. In the same year, IBM had developed a talent
marketplace to effectively manage its workforce. The marketplace supported employees to find the most
suitable job across different organizational units within the company.

Issues

To provide an understanding of diversity and its significance at the work place.

To provide insights on how an organization can leverage diversity to gain competitive advantage.

*Introduction
In the year 2004, IBM was listed among the top 10 companies on Fortune magazine's list of "America's
Most Admired Companies." The ranking was based on eight variables like employee talent, innovation,
use of corporate
Across the world. Analysts attributed IBM's success to its skilled diverse workforce that included people
from almost all the countries in the world.

Workforce diversity at IBM

Diversity at the work place in the US originated from the concept of EEO (Equal employment
Opportunity) in the 1940s. At IBM, Watson Jr. issued the first equal opportunity policy letter in 1953.
Later, it came under government compliance under the Civil Rights Act of the US in 1964.

With the onset of „globalization' in the 1980s, organizations initiated efforts to broaden their
marketplace. In an attempt to sustain themselves amidst the continuously increasing competition, they
started doing business across the world. This trend made it important for them to focus on diverse
cultures across borders in order to offer products and services that suited the specific needs of different
markets...

Recruiting people with disabilities

IBM had a well-structured plan in place for recruiting and training people with disabilities. The
recruitment specialists and hiring managers are specially trained for this purpose. In each business unit,
IBM had „line champions' - the managers experienced in hiring and working with people with
disabilities - to facilitate the recruitment process. The company also worked with various educational
institutions for campus recruitment of such candidates .IBM has a diversity website where prospective
candidates with disabilities could submit their resumes directly...
Women at workplace

DIVERSITY AT WORK PLACE 19

IBM started recruiting women professionals well before the Equal Pay Act, 1963. A letter issued by
Watson Sr. in 1935 stated, "Men and women will do the same kind of work for equal pay. They will
have the same treatment, the same responsibilities, and the same opportunities for advancement." IBM's
management has made efforts to find out what are the specific needs of its women employees and
provided women-friendly facilities accordingly. This improved the productivity(of women) even while
maintaining a proper balance between work and family life.

IBM treats diversity as a part of its business strategy. It Have employees from different social and
cultural strata which helps them to understand and serve its customer better.

DIVERSITY AT WORK PLACE 20

 Learnings

A diverse workforce is a reflection of a changing world and marketplace. Diverse work teams bring high
value to organizations. Respecting individual differences will benefit the workplace by creating a
competitive edge and increasing work productivity. Diversity management benefits associates by
creating a fair and safe environment where everyone has access to opportunities and challenges.
Management tools in a diverse workforce should be used to educate everyone about diversity and its
issues, including laws and regulations. Most workplaces are made up of diverse cultures, so
organizations need to learn how to adapt to be successful practices.
Diversity, if positively managed, can increase creativity and innovation in organization as well as
improve decision making by providing different perspectives on problems. When diversity is not
managed properly, there is a potential for higher turnover, more difficult-communication, and more
interpersonal conflicts. Diversity is a commitment to recognizing and appreciating the variety of
characteristics that make individuals unique in an atmosphere that promotes and celebrates individual
and collective achievement

thus diversity in the work place means a people issue, focused on the differences and similarities that
people bring to an organization. It is usually defined broadly to include dimensions beyond those
specified legally in equal opportunity and affirmative action non-discrimination statutes. Diversity is
often interpreted to include dimensions which influence the identities and perspectives that people bring,
such as profession, education, parental status and geographic location.

DIVERSITY AT WORK PLACE 21

 Bibliography

Websites:-

 The Icfai University notes Nov (2008)

 www.mindtools.com
 www.sideroad.com/Diversity_in_the_Workplace/managing-diversity-in-the-workplace.html

 http://www.zeromillion.com/econ/workplace-diversity.html
 http://www.EmploymentCrossing.com/lcjobtypelisting.php
 http://economics.about.com/od/laborinamerica/a/diversity.htm
 Aswathappa K & Dash Sadhna; International Human Resource
 Management
 Robbins, Stephen; Organisational Behaviour
 Rao V.S.P; Human Resource management

Articles:-

 IBM - India Software Lab – Diversity-India

 The Hindu Business Line Learning to manage diversity
 Managing Workforce Diversity for Better Corporate Results: - business standard

DIVERSITY AT WORK PLACE 22

i