If, on the other hand, the situation is complex and multifaceted, the multiple perspectives of members of a diverse group can add value. In this situation, assuming the potential liabilities, such as conflict, are well managed, diversity does seem to lead to a higher performance. In addition to paying attention to the situations in which a diverse group of employees might excel, there are several other actions you as a manager can take to leverage the assets of diversity and limit the liabilities:They allow the group as a whole to see and consider more angles than a more homogeneous set of individuals and perspectives likely would have. This can be particularly valuable in situations where an organization needs innovation and new ideas.However, these different can also become liabilities. This is because all the points of diversity that provide different perspectives can be potential sources of friction. Diverse work groups often encounter the following problems:Communication problems and misunderstandingsMistrustConflict and incompatible approaches to resolving the conflictLower group cohesiveness and greater subgroup formation based on element of diversity such as language, race, or genderIn practice, diversity is a two-edge sword. Diversity can lead to new ideas, innovation, and higher performance but it does not happen automatically. To the extent that the differences lead to conflict and to the extent that the conflict is not managed well, the group’s performance will suffer.Leveraging the diversity of Your Firm’s WorkforceWith this in mind, the practical question for a practicing manager is, “How can I limit the liabilities and leverage the assets of diversity?” One of the first things to consider is the complexity of the problems or opportunities you face. If, on one hand, the situation is rather simple and straightforward, a highly diverse team or workforce might not outperform a more homogeneous one with equal job capabilities. If, on the other hand, the situation is complex and multifaceted, the multiple perspectives of members of a diverse group can add value. In this situation, assuming the potential liabilities, such as conflict, are well managed, diversity does seem to lead to a higher performance. In addition to paying attention to the situations in which a diverse group of employees might excel, there are several other actions you as a manager can take to leverage the assets of diversity and limit the liabilities: Know yourself. How much exposure have you had to people with different ethnic, racial, religious, educationalKnow yourself. How much exposure have you had to people with different ethnic, racial, religious, educational, or cultural backgroungs ?How tolerant and understanding of those differences have you been? How comfortable were you? How curious were you?Prepare yourself and your employees. How skilled are you and your employees at listening, communicating, negotiating, and resolving conflict?Provide support. Are there support groups for minority employees to keep them from feeling unappreciated and wanting to leave the organization? To what extent do minority employees have mentors who can help them understand and become an effective part of the organization?Guide behavior. Do you monitor the behavior of your subordinates and peers? Do you consistently and positively reinforce behaviors that foster tolerance and the effective use of diversity? To what extent do you privately provide negative feedback to employees who display intolerance or other problem behaviors?From both a domestic and international perspective, workforce diversity will only increase. One of the ways you can distinguish yourself from others and add value to your organization is by working effectively with your subordinates, peer, customers, and suppliers with diverse backgrounds.How Globalization Is Affecting Diversity
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