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How to Attract and Retain a Diverse Workforce Duncan Smith Principal QuickTime™ and a Photo - JPEG decompressor are needed to see this picture. Introduction Defining Diversity WIIFM? Gender: Two Cultures Groups and Organisations Opportunities and Challenges Next Steps Introduction Defining Diversity WIIFM? Gender: Two Cultures Groups and Organisations Opportunities and Challenges Next Steps Diversity is ... the quality of being different and unique at an individual or group level Valuing Diversity is ... recognising and respecting the value of human differences Managing Diversity is ... creating and sustaining an environment where everyone can achieve his or her full potential Four Layers of Diversity Management Status Parental Status Marital Union Income Status Affiliation Role Age Race Gender Personality Appearance Culture Work Education Location *Internal Dimensions & External Dimensions are adapted from Marilyn Loden & Judy Rosener. Workforce America! (Business One Irwin, 1991) From Diverse Teams at Work, Gardenswartz & Rowe (Irwin, 1995) Ability Sexual Orientation Habits Location Interest Religion Work Experience Seniority Level Division/ Group Diversity in Australia Gender at Work • Women comprise 45% and men 55% of the labour force. (2001 census figures) • From 1983-2003, women’s labour force participation rate rose from 44.7% to 55.9% while men’s fell from 76.1% to 71.6% Source: Australian Bureau of Statistics Diversity in Australia Marital and Parental Status • 68% of married women now working • Less than 20% of households = husband at work, wife at home • Families with children 11 and under: 68% of mothers, 25% of fathers use flexible work arrangements Source: Australian Bureau of Statistics Diversity in Australia Age • 2004 Population = 20.1 million median age 35 • 2051 Population = 26.1 million median age 46 Source: Australian Bureau of Statistics Introduction Defining Diversity WIIFM? Gender: Two Cultures Groups and Organisations Opportunities and Challenges Next Steps So What? for you as an individual 150 i.p.s 150 i.p.s 20 i.p.s. Interpersonal Assumptions Raw Data Experience Socialisation Filters Consequences Education Environments Assumptions Behaviour ! Unexamined Examined Perceived Reality Introduction Defining Diversity WIIFM? Gender: Two Cultures Groups and Organisations Opportunities and Challenges Next Steps White Male Culture • Rugged Individualism over Collectivism • Low Tolerance for Uncertainty and Ambiguity • Focus on Action over Reflection (Doing over Being) • Rationality over Emotionality • Time is Linear and Future Focused • Status and Rank over Connection and Partnership • Dominate your environment from White Men as Full Diversity Partners -- wmfdp.com Potential Gender Issues • Gender Stereotypes • • • • • • • • • • Double Standards Language and Communication Use of Power Issues of Concern to Women Issues of Concern to Men Changing Gender Roles and Identities Managing Across Gender Learning from Women’s Ways of Working Sex and Romance Recognition and Rewards Adapted from: MEN AND WOMEN :Partners at Work, by George F. Simons & G. Deborah Weissman Introduction Defining Diversity WIIFM? Gender: Two Cultures Groups and Organisations Opportunities and Challenges Next Steps So What? for your team Advantages and Disadvantages of Group Diversity Advantages Diversity Permits Increased Creativity Wider range of perspectives More and better ideas Less “group think” Increased Creativity Can Lead To Better problem definitions More alternatives Better solutions Better decisions Groups Can Become Diversity Forces Enhanced Concentration to Understand Others More effective Ideas Meanings Argument Nancy Adler, International Dimensions of Organizational Behavior More productive Advantages and Disadvantages of Group Diversity Disadvantages Diversity Causes Lack of Cohesion Mistrust Lower interpersonal attractiveness Stereotyping More within-culture conversations Stress Lack of Cohesion Causes Inability to Validate ideas and people Gain consensus on decisions Take concerted action Miscommunication More counterproductive behaviour Less agreement on content Slower speech: Non-native speakers & translation problems Groups Can Become Less effective Less productive Nancy Adler, International Dimensions of Organizational Behavior Advantages and Disadvantages of Group Diversity Advantages Diversity Permits Increased Creativity Wider range of perspectives More and better ideas Less “group think” Diversity Forces Enhanced Concentration to Understand Others Ideas Meanings Argument Increased Creativity Can Lead To Better problem definitions More alternatives Better solutions Better decisions Groups Can Become More effective More productive Nancy Adler, International Dimensions of Organizational Behavior Disadvantages Diversity Causes Lack of Cohesion Mistrust Lower interpersonal attractiveness Stereotyping More within-culture conversations Miscommunication Slower speech: Non-native speakers & translation problems Stress More counterproductive behaviour Less agreement on content Lack of Cohesion Causes Inability to Validate ideas and people Gain consensus on decisions Take concerted action Groups Can Become Less effective Less productive So What? for your organisation Global Issues in Managing Differences Power and Privilege Majority/Minority Organisational Climate Organisational Effectiveness Individual Career Outcomes Adapted from Taylor Cox Jr. 1993 Cultural Diversity in Organizations:Theory, Research and Practice Berrett-Koehler, San Francisco Impacts of Diversity Diversity Climate Individual-Level Factors Group\Intergroup Factors Organizational-Level Factors Taylor Cox, Cultural Diversity in Organizations Individual Career Outcomes Affective Outcomes Achievement Outcomes Organizational Effectiveness First Level Measures Second Level Results Comparing EEO/Affirmative Action and Diversity EEO/Affirmative Action • • • • • • • • • • • • A select subset is advantaged due to being disadvantaged in the past Focused on demographic profile change Imposed and often unwelcome Remedial: change historic patterns of discrimination; corrects deficiencies; assumes some groups are inferior or have been disenfranchised and need interventionist help Saving or helping the victims Problem response (or legal programme) with penalties Benefits protected groups Possibly Culture change neutral Homogenisation: assimilate behaviours of dominant group Narrower goals Looks back Focuses on visible manifestations Centre for Diversity and Business Diversity • All the ways we are different • • • • • • Focused on organisational readiness Internally driven and largely acceptable Strategic: transform to harness innovation and create competitive advantage; highlights and values differences; leverages uniqueness Engaging all as players in the process Opportunity driven with penalties in market and business performance Benefits all Probably Culture change necessary Be yourself • Broader aspirations • Looks forward • Addresses intangibles • • The Business Case Determining the Business Case for Diversity Define Diversity Determine the Business Drivers Make the Links Determining the Business Case for Diversity Define Diversity The differences and similarities that make a difference Relevant issues in the organisation and the culture Determining the Business Case for Diversity Determine the Business Drivers Internal - Organisational issues Cultural Structural Strategic Human External - Environmental issues Customers/suppliers Industry Geographic Social and political Determining the Business Case for Diversity Make the Links Organisational outcomes Professional outcomes Personal outcomes The Business Case: Benefits of Diversity • Organisational Performance • Recruitment and Retention • Lower Turnover and Absenteeism • Creativity and Innovation • Leadership Effectiveness • Cost Savings The Business Case: Benefits of Diversity • Marketplace Understanding • Building Global Relationships • Change Organisational Culture • Respond to Economic Pressure • Reduce Discrimination Complaints Measuring Diversity Measuring Diversity • Quantitative Measures • Qualitative Measures • Process Measures Measuring Diversity: Quantitative Measures • Statistical representation at different levels or functions • Return from parental leave • Turnover – by group • Absenteeism – by group • Pay equity • Promotion rates Measuring Diversity: Quantitative Measures • Representation in high-potential programs • Representation on replacement charts • Complaints/grievances/lawsuits • Representation in training/development programs • Performance Appraisal ratings • Employees completing diversity training Measuring Diversity: Quantitative Measures •Absenteeism Cost •Effect of Absenteeism on labor utilization, •Percentage of diversity-based pay differential, •Percentage of diversity turnover by performance level, •Average tenure by diversity grouping, •Diversity stability/instability (change in turnover rates), •Diversity survival rate/loss rate (for new hires), •$ and % of budget allocated to diversity initiatives Measuring Diversity: Qualitative Measures • Organisational culture review results • Management review processes • Management review results areas including: – Accountability – Communications – Personal Involvement Measuring Diversity: Process Measures • Leadership and Accountability • Recruitment and Outreach • Representation, Development and Retention • Culture and Communications Measuring Diversity: Measurement Issues • Align with measurement mindset • Relate diversity to organisational objectives • Reluctance to measure sets diversity apart • Dual standards (e.g. ROI on leadership training) Measuring Diversity: Measurement Issues • Measure in terms of: cost; time; quantity; quality; or frequency of occurrence • Convert % calculations to financial terms: Turnover $ savings Lower recruiting costs Increased customer satisfaction ratings Added customer purchase volume Improved productivity measured in units per hour/faster problem resolution/reduced cycle time/speed to market Measuring Diversity “The Bottom Line: Connecting Corporate Performance and Gender Diversity.” •Study of 353 companies that were included among the Fortune 500 for four of five years between 1996 and 2000 •Return On Equity -- 35 percent higher •Total Return to Shareholders -- 34 percent higher •for companies with the strongest representation of women on executive-leadership teams, compared with companies with the lowest representation. Catalyst In corporations, there is no truth about numbers. In the corporate world, numbers are a choice. Susan Adler Funk Introduction Defining Diversity WIIFM? Gender: Two Cultures Groups and Organisations Opportunities and Challenges Next Steps The Diversity Paradigm • Include/Exclude • Deny Eight • Assimilate • Suppress Action • Isolate • Tolerate Options Source: R. Roosevelt Thomas Jr., Redefining Diversity • Build Relationships • Foster Mutual Adaptation Diversity: Best Practice Commitment from Leadership Clear Business Case Systemic & Strategic Approach Focus on Organisation Culture Diversity: Best Practice Evaluation & Metrics Accountability Built-in Training & Education Workforce, Workplace & Marketplace Diversity Introduction Defining Diversity WIIFM? Gender: Two Cultures Groups and Organisations Opportunities and Challenges Next Steps Getting Started Awareness Head Understanding Heart Skills Hand 7 Skills for Valuing Diversity Self - awareness Awareness of stereotyping Openness Candor Adaptability Inclusion Respect Getting Started D evelop awareness I nitiate dialogue about differences V alue similarities and differences E mbrace role modeling behaviour R espect differences to create synergy S eek first to understand I nstigate diversity practices T hink the talk. Talk the talk. Y ou make a difference !! How to Attract and Retain a Diverse Workforce for more information www.adc-assoc.com How to Attract and Retain a Diverse Workforce Duncan Smith Principal QuickTime™ and a Photo - JPEG decompressor are needed to see this picture.