Week 12: Managing in a Diverse and Changing WorldInstructor: Jean-Pierre Mulumba Ph. D.Section VI: Managing Organizational Change and Diversity1Learning Objectives2In this section, students will Examine strategies for building a more inclusive workplace. Explore the challenges of Effective corporate leadership, Employee resource groups, Diversity training, and Corporate social responsibility initiatives.

Managing in a Diverse and Changing WorldLearning Objectives3In this section, students will Understand the need for more flexible work programs for Parents, Caregivers, and Older workers. Evaluate the value of diversity award programs. Assess a real organization in terms of Its diversity policies and Practices.Managing in a Diverse and Changing WorldIntroduction4This Section intends to close the change loop by examiningHow to effectively manage diversity and Evaluate their progress.

Managing in a Diverse and Changing WorldIntroduction5Current readings on Corporate diversity leadership initiativesEffective utilization of employee resource groups Well-designed community philanthropy programs Need for a more flexible workplace Analysis of diversity training frameworks

Managing in a Diverse and Changing WorldIntroduction6Examination of diversity awards criteria actually audit of an existing business Analysis of an integrative case Air Force Academy

Managing in a Diverse and Changing WorldEmployee Resource Groups, and Social Responsibility: What Organizations Can Do to Manage DiversityBy Carol P. Harvey Assumption College7Outcomes8Examine corporate diversity leadership Consider the role of employee resource groups as organizational assets Understand the importance of supplier diversity programs Analyze corporate social responsibility and philanthropy initiatives

Managing in a Diverse and Changing WorldIntroduction9Well-managed diversity programs benefitan organization in terms of the business case for diversity Stakeholders in terms of the involvement of employeesSuppliers The community.

Managing in a Diverse and Changing WorldIntroduction10The Office of Civil Rights requirements for effective diversity leadership: Making diversity visible Being specific about what needs to be done, Requiring evaluation for results Providing constant reinforcementMaking change intentional direction needs to come from the top of an organization

Managing in a Diverse and Changing WorldGovernance and Diversity: Corporate Boards and Chief Diversity Officers11Once diversity adopted, two ways to strengthen governance Have diversity on the Board of Directors Appoint a Chief Diversity Officer (CDO) for buildingmanaging maintaining corporate diversity initiatives

Managing in a Diverse and Changing WorldBoard Leadership 12Corporate boards expected to provide external strategic advice Diverse directors improve decision making byMinimizing groupthink Challenging the status quo

Managing in a Diverse and Changing WorldBoard Leadership 13Statistics on board diversity (gender and race/ ethnicity) 17% women (51% of the United States population) 10% Blacks ( 14% of the U. S. population)4% Hispanics ( 15% of the U. S. population) 2% Asians (5% of the U. S. population)

Managing in a Diverse and Changing WorldBoard Leadership 14Only 17 of the Fortune 100 companies have 40% diverse directors Reasons for that:Diverse directors may be harder to find. Lack access to networks and the social capital. Board members tend to be associated with people like themselves. Corporate boards require specific skills harder to find in the diversity.

Managing in a Diverse and Changing WorldBoard Leadership 15An organization may not benefit from diversity. Diverse directors may be reluctant to speak freely. Diversity brings a range of differences in communication styles

Managing in a Diverse and Changing WorldChief Diversity Officers (CDO)16The internal management of diversity is now away from Human Resources Many organizations create a new position: chief diversity officer The primary responsibilities of the CDO provide strategic leadership

Managing in a Diverse and Changing WorldAffinity Groups/Employee Resource Groups (ERGs)17In theory, a diverse workforce is an asset to an organization Multicultural marketing Creativity Innovative decision-making. Managing in a Diverse and Changing WorldAffinity Groups/Employee Resource Groups (ERGs)18However, membership in a diversity may lead to Feelings of isolationMiscommunication Lack of mentoring Minimizing the advantages of a diverse workforce.

Managing in a Diverse and Changing WorldAffinity Groups/Employee Resource Groups (ERGs)19ERGs provides organizational communities for diverse individuals Focus on socialization and mentoringERGs utilizes employees as a business resourceProduct developmentRecruitment of diverse employeesMarketing advice for diverse consumersCan be a competitive advantage in global and diverse markets

Managing in a Diverse and Changing WorldAffinity Groups/Employee Resource Groups (ERGs)20Originated in the 1960s at XeroxMentoring resource for newer minority employees Network for the recruitment of additional minorities. Benefit for employees and managementOver time they became more inclusive for any memberships.

Managing in a Diverse and Changing WorldEXHIBIT 1 Individual & Organizational Benefits of Affinity & Employee Resources Groups21Employee BenefitsOrganizational BenefitsOpportunity to be mentoredSafe place to discuss diversity issues

Networking opportunitiesProfessional developmentIncrease feeling of inclusionImproved communication with diverse consumer marketsAssistance with recruiting diverse employeesOutreach to diverse communitiesProduct development for diverse marketsIncrease global business opportunitiesManaging in a Diverse and Changing WorldAffinity Groups/Employee Resource Groups (ERGs)22ERGs increases employee satisfaction and motivation. Require guidelines and open membership

Managing in a Diverse and Changing WorldSupplier Diversity Programs23Buying from minority and women owned businessesProcurement programs driven by federal contracts need to nurture their development

Managing in a Diverse and Changing WorldSupplier Diversity Programs24Supplier diversity programs can be divided into two levels: Tier I suppliers are direct contractors. Tier II supplier of goods and services for the prime supplierssmallMinorityNon-ethnic women Veteran or service-disabled veteran-owned businesses

Managing in a Diverse and Changing WorldSupplier Diversity Programs25These programs add mutual benefits to the purchasing organizations and to the suppliers They provide Business development opportunitiesEducational/ training opportunities

Managing in a Diverse and Changing WorldSupplier Diversity Programs26These programs add mutual benefits to the purchasing organizations and to the suppliers They provide Business development opportunitiesEducational/ training opportunities

Managing in a Diverse and Changing WorldCorporate Social Responsibility & Philanthropy27Most of donations come from corporate foundations The largest foundations have their roots in business Bill & Melinda Gates Foundation ($38.9 Billion)Ford Foundation ($11 billion)J. Paul Getty Trust ($10.8 billion)

Managing in a Diverse and Changing WorldCorporate Social Responsibility & Philanthropy28Many charitable giving programs target diverse populations Many others sponsor employees paid time to volunteer In their communities to tutor and mentor youth Restore homes for the elderly Raise money for AIDS charities

Managing in a Diverse and Changing WorldCorporate Social Responsibility & Philanthropy29Corporations link their contributions to social causes related to their Core valuesMissions and stakeholders. Managing in a Diverse and Changing WorldCorporate Social Responsibility & Philanthropy30Corporate philanthropy benefits both internal and external stakeholders, It also provides advantages to the organization. Tax breaksPositive consumers opinions Increased recruitment of staff Positive image of companies within diverse markets

Managing in a Diverse and Changing WorldOutcomes31Examine corporate diversity leadership Consider the role of employee resource groups as organizational assets Understand the importance of supplier diversity programs Analyze corporate social responsibility and philanthropy initiatives

Managing in a Diverse and Changing World