How to Attract and Retain a Diverse Workforce Duncan Smith Principal

How to Attract and RetainHow to Attract and Retain

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Diverse WorkforceDiverse Workforce

Duncan Duncan SmithSmith

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IntroductionIntroduction

Defining DiversityDefining Diversity

WIIFM?WIIFM?

Gender: Two CulturesGender: Two Cultures

Groups and OrganisationsGroups and Organisations

Opportunities and ChallengesOpportunities and Challenges

Next StepsNext Steps



WIIFM?WIIFM?





Diversity is ...Diversity is ...the quality of being different and unique at an individual or group level

Valuing Diversity is ...Valuing Diversity is ...

Managing Diversity is ...Managing Diversity is ...

recognising and respecting the value of human differences

creating and sustaining an environment where everyone can achieve his or her full potential

Personality

Age

Location

Level

Ability

Education

Race Gender

Culture

Sexual Orientation

WorkExperience

Appearance

ParentalStatus

Marital

StatusIncome

Habits

Interest

ReligionWork

Location

Union

Affiliation

Management Status

Role

Division/

Group

Seniority

Four Layers of Diversity

*Internal Dimensions & External Dimensions are adapted from Marilyn Loden& Judy Rosener. Workforce America! (Business One Irwin, 1991) From DiverseTeams at Work, Gardenswartz & Rowe (Irwin, 1995)

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

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



Age• 2004 Population = 20.1 million

median age 35

• 2051 Population = 26.1 million median age 46





WIIFM?WIIFM?





So What?for you as an individual

20 i.p.s.20 i.p.s.

150 150 i.p.si.p.s 150 150 i.p.si.p.s

Interpersonal AssumptionsInterpersonal Assumptions

Experience Socialisation

FiltersEducation Environments

Consequences

Behaviour

Raw Data

Perceived Reality!

AssumptionsUnexamined Examined



WIIFM?WIIFM?





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 environmentfrom 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



WIIFM?WIIFM?





So What?for your team

Nancy Adler, International Dimensions of Organizational Behavior

Advantages and Disadvantages of Advantages and Disadvantages of Group DiversityGroup Diversity

Groups Can Become More effective More productive

AdvantagesAdvantages

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 Less effective Less productive

DisadvantagesDisadvantages

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

Nancy Adler, International Dimensions of Organizational Behavior


AdvantagesAdvantagesDiversity 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

DisadvantagesDisadvantagesDiversity 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 actionGroups Can Become

Less effective Less productiveNancy Adler, International Dimensions of Organizational Behavior

So What?for your organisation

Global Issues in Global Issues in Managing DifferencesManaging Differences

Majority/MinorityMajority/Minority Power and PrivilegePower and Privilege

Organisational Climate

Individual Career

Outcomes

Organisational Effectiveness

Adapted from Taylor Cox Jr. 1993Cultural Diversity in Organizations:Theory, Research and PracticeBerrett-Koehler, San Francisco

First Level - Measures

Second Level - Results

Affective Outcomes

Achievement Outcomes

Individual-Level Factors

Group\Intergroup Factors

Organizational-Level Factors

Organizational Effectiveness

Individual Career Outcomes

Taylor Cox, Cultural Diversity in Organizations

Impacts of DiversityImpacts of Diversity

Diversity Climate

• 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

• 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

Comparing EEO/Affirmative Action and Diversity

EEO/Affirmative Action Diversity

Centre for Diversity and Business

The Business Case

Determining the Business Case for Diversity

Define Diversity

Determine the Business Drivers

Make the Links


Define Diversity

The differences and similarities that make a difference

Relevant issues in the organisation and the culture


Determine the Business Drivers

Internal - Organisational issues

Cultural Structural Strategic Human

External - Environmental issues Customers/suppliers Industry Geographic Social and political

Determining the Determining the Business Case for DiversityBusiness Case for Diversity

Make the Links

Organisational outcomes

Professional outcomes

Personal outcomesPersonal outcomes

The Business Case: Benefits of Diversity

• Organisational Performance

• Recruitment and Retention

• Lower Turnover and Absenteeism

• Creativity and Innovation

• Leadership Effectiveness

• Cost Savings

• Marketplace Understanding

• Building Global Relationships

• Change Organisational Culture

• Respond to Economic Pressure

• Reduce Discrimination Complaints

The Business Case: Benefits of Diversity

Measuring Diversity

• Quantitative Measures

• Qualitative Measures

• Process Measures

Measuring DiversityMeasuring Diversity

• Statistical representation at different levels or functions

• Return from parental leave

• Turnover – by group

• Absenteeism – by group

• Pay equity

• Promotion rates

Measuring Diversity: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


•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


• Organisational culture review results

• Management review processes

• Management review results areas including:– Accountability– Communications– Personal Involvement

Measuring Diversity:Measuring Diversity:Qualitative Measures

• Leadership and Accountability

• Recruitment and Outreach

• Representation, Development and Retention

• Culture and Communications

Measuring Diversity:Measuring Diversity:Process Measures

• 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: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:Measuring Diversity:Measurement Issues

•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.

“The Bottom Line: Connecting Corporate Performance and Gender Diversity.”

Catalyst

Measuring DiversityMeasuring Diversity

In corporations, there is no truth about numbers.

In the corporate world, numbers are a choice.

Susan Adler Funk



WIIFM?WIIFM?





Source: R. Roosevelt Thomas Jr., Redefining Diversity

The Diversity ParadigmThe Diversity Paradigm

EightEight

ActionAction

OptionsOptions

• Include/ExcludeInclude/Exclude

• DenyDeny

• AssimilateAssimilate

• SuppressSuppress

• IsolateIsolate

• TolerateTolerate

• Build RelationshipsBuild Relationships

• Foster Mutual AdaptationFoster 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



WIIFM?WIIFM?





Getting StartedGetting Started

Awareness Head

Understanding Heart

Skills Hand

Self - awarenessSelf - awareness

Awareness of stereotypingAwareness of stereotyping

OpennessOpenness

CandorCandor

AdaptabilityAdaptability

InclusionInclusion

RespectRespect

77 Skills for Valuing DiversitySkills for Valuing Diversity

Getting StartedGetting Startedevelop awarenessnitiate dialogue about differences

mbrace role modeling behaviourespect differences to create synergyeek first to understandnstigate diversity practiceshink the talk. Talk the talk. ou make a difference !!

DDIIVVEERRSSIITTYY

alue similarities and differences


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Duncan Duncan SmithSmith

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How to Attract and Retain a Diverse Workforce Duncan Smith Principal