E84 : Human Resource Management : Findings and Analysis From the Case

1. Critically evaluate the case study, outlining the ways in which the identified relevant emerging themes might impact on the current business strategies relating to the identified organisation or sector.  Your critical discussion should include a critical analysis of the ways in which those themes might affect the appropriateness of existing organisational policies and practices.  Areas of focus can include any combination of the following:

2. Critically evaluate how those themes identified could affect the operational and/or strategic decision-making necessary to shape organisations within the broad sector over the next five years. Your answer should use contemporary examples of how those emerging themes have started to be addressed within your business sector.  

 

3. Provide justified recommendations for courses of actions that organisations within the broad sector can take to ensure that they are able to manage the effects of those emerging themes effectively.  

Introduction:

Management of human resource is one of the most important functions in a business. This particular department of the business is bestowed upon with several responsibilities which include recruitment, training, performance evaluations and compensations, addressing employee issues, ensuring an effective workplace environment, and employee satisfaction as well as retention (McCann et. al., 2017). Over a period of time, the industry has undergone several changes that have led to various improvements in the role of an HR. This report throws light on these emerging themes as well as their impact in the industry.

The two predominant changes that are being notably observed within organizations around the globe are increasing levels of diversity and equality. A diverse organization comprises of several people coming from varied caste, religion, ethnicities and cultural backgrounds. Inclusion refers to the ability of a business to make the employee feel included thereby fulfilling their social needs (Davis et. al., 2016). Lastly, equality refers to equal treatment towards every stakeholder of the firm in terms of pay, selection, opportunity and recruitment. Equality also refers to equal and fair treatment of employees in the workplace. A critical analysis for these trends has been done in this report with the aim of understanding the impact of these emerging themes in the industry.

Findings and Analysis from the case

The report shared has largely thrown light at the high levels of inequality faced by employees working in the United Kingdom. Several steps have been taken by the government of the state of ensure improved levels of equality and establish a culture of fair treatment for employees within UK organizations. Despite such efforts, the progress on the same has been excruciatingly slow. The moral case of equality within the workplace suggests that all people are equal and hence must be treated in an equal manner and with respect. The business case of equality suggests that equal treatment of employees will create more opportunities, enhance levels of employee satisfaction and hence employee retention (Peretz, Levi & Fried, 2015).

The results of diversity

Increased diversity in the workplace has proven to enhance organizational productivity as well as efficiency. It is essential to manage diversity in an effective manner. This is because diversity can create a better working environment by offering new perspectives to different situations. Diversity can also lead to increased creativity and innovation in the business. However, if not managed in a proficient manner, diversity can lead to several conflicts and gaps in communication. Diversity can also create a great workplace environment and enhance learning for employees associated with the organization (Van Dijk et. al., 2012).

The case has laid emphasis on the positive impact of diversity in the organization at large while referring to increased productivity, improved creativity and hence better profitability. Several organizations are putting efforts in the direction of increasing diversity in the workplace. A holistic view of diversity also inculcates the fact that a single individual has several personalities and hence may perform or respond differently to the same situation during different times.

Equality in the workplace

There is an intersection where diversity and equality meet. Intersectionality refers to a framework which identifies the impact of power in the workplace. Business processes are better understood with the help of Intersectionality. Diversity has a positive impact on employees as long as there is equality and inclusion. There will be adverse impact of inequality even in a highly diverse organization. Therefore equality among employees within organization plays an important role in reaping benefits of a diverse workplace.

There are several factors that limit equality in the workplace. These include prejudices, biasness, discrimination and a severe lack of women leadership in the organization. Organizational equality begins from the first business process of recruiting people in the business. The process of recruitment must be fair and transparent. Upon selection of employees, there should be no discrimination on any basis. Even benevolent discrimination must be avoided as they eventually lead to discrimination and partiality (Sabharwal, 2014). Attaching stigmas to employees can scar them in longer run. One major problem faced by organizations is gender pay gaps. Such discrimination is not only unfair but is also disgusting and depicts the narrowness of the society that we live in. Such policies are disrespectful to women and create an environment of inequality.

There are several factors which adversely impact levels of equality in the organization. Therefore it becomes the responsibility of the leaders of the business as well as the government of the state to introduce policies which can foster greater levels of equality in the workplace.

Diversity in the workplace

Maintaining diversity in the organization is a tedious job and requires tremendous efforts from all stakeholders of the organization. Once employees from diverse backgrounds have been recruited in the organization, it becomes even more important to manage the organization in such a manner that it yields maximum benefits. Employee learning, creativity and effective collaboration are all results of a well managed diverse workforce. There are some steps that can be taken by businesses to ensure effective management of a diverse organization.

As the case suggests, diversity trainings must be conducted within the organization on a regular basis. These trainings must enhance learning of employees regarding different cultures with an aim to develop a mutually respecting workforce. The trainings can provide a short term impact and hence must be conducted in frequent intervals (Downey et. al., 2015). The government of the state can also introduce policies and rules which takes businesses a step closer to a diverse workforce.

Besides this, a culture of open communication and transparency can go a long way in effectively managing workplace diversity. Business leaders must also adopt an open door policy in order to address issues faced by employees working in a diverse organization.  Open Door policy is being increasingly adopted by organizations wherein the leaders of the business leave their doors open suggesting that they are always available for their employees.

Diversity and inclusion – What next?

Businesses across the world are slowly realizing the importance of diversity within the workplace. For any business, overall productivity, creativity, profitability, culture and communication depend largely on the level of diversity in the organization. The leaders within the business must therefore work towards creating a diverse workforce and then managing it in an effective manner (McLesky et. al., 2017). Equality must be observed in all business processes. Gender bias ads must not be released for attracting candidates for recruitment. Organizational policies must become more stringent in order to strictly prohibit any form of discrimination in the workplace. Regular trainings must be given to employees regarding managing diversity in an effective manner.

Globalization has led to the creation of a flat world. Several people are travelling across the globe and working with organizations in different countries hence leading to higher levels of diversity in the organization. Therefore it is high time that organizations learn how to manage diversity in a proficient manner and establish a culture of equality. Inequality can not only lead to unsatisfied employees and higher attrition rate but can also reduce the overall productivity of the organization. Therefore all the stakeholders of the business must come together and work towards creating a culture of open communication, equality, transparency and inclusion.

Area of focus

Several focus areas have a direct impact on diversity and inclusion levels in the business. This may include the political scenario of the country, technological advancements in the industry, changes in social cultures and globalization of the industry at large.

Political environment

A state’s political scenario significantly contributes to the diversity of the business organizations of that country (Lambert, 2016). The government officials and the policy makers define the laws of the country which determine the freedom given to people coming from other countries. The political stability or the country also plays a critical role in attracting youngsters from all across the globe into the new country. Gone are the days where getting a passport or a visa would take months or even years. Today all these facilities are a single click away. Hence making it much easier for people to travel across the globe thereby increasing diversity in organizations.

Social trends and shifts

Two remarkable trends observed in the society today is the growth of internet and the advent of social media. Both these trends have changed the shape of the society by altering our channels of communication. Today an employer sitting in the United State of America has access to a competent candidate from Middle East or Asia. Similarly, candidates have platforms through which they can apply for jobs in foreign lands. Upon application or selection, both the employer as well as the candidate can seek feedback about each other through very transparent social media platforms. All these social trends have a positive impact on the level of diversity in an organization.

Similarly, with the help of internet and social media, employees have become more aware about different cultures and traditions. They have friends in different countries which assists them in managing the diversity in the workplace in a much better manner. These platforms have also helped employees in gaining a deeper insight about their rights and their place in the organization and hence they can stand up for any kind of discrimination that they may face. The competition among employers in so high due to social media’s reach that they have to work upon improving their workplace culture in order to seek effective talent (Bond & Haynes, 2014).

Technological advancements

Technology is growing by the day. There are advancements in technology that can improve the overall efficiency of any organization. With the help of technology, the deaf can hear, the blind can see and a handicap can move around and fulfil all duties as effectively as a healthy person. The technological development has improved efficacy of people and hence helped in creating equal workplace organizations.

Communication has also been positively impacted with the help of increasing technology. With the help of technology, communication taking place in an organization is transparent and a lot more effective. This eventually leads to improved levels of inclusion. Another advantage of technology is that it is being largely used to conduct fair recruitment practices (Barak, 2016). Candidates can apply for a job without disclosing their gender, religion or caste.

Globalization within the industry

Globalization of the world has been a major reason behind increasing diversity in organizations. Globalization has allowed people to travel throughout the globe. There is an increasing transfer of resources, information and technology from one place to another with the help of globalization. People are learning more about different cultures and hence are able to collaborate effectively in a diverse organization. Also with the help of globalization, marketers are now expanding their businesses in different countries wherein they recruit local talent and hence make their organizations more diverse in nature (Cloutier et. al., 2015).

Possible implications for emerging themes

These emerging themes of high diversity, high need for inclusion and growing equality have several implication in the strategic as well as operational decision making process of a business. The impact however is different for different organization. If managed effectively, a diverse organization can increase creativity level, efficiency, productivity and communication within the firm. On the other hand, if diversity is not managed in a fair manner then it may lead to increasing conflicts and communication gap between employees. Diversity can bring in different perspectives to the same problem and help the team in coming up with the out of the box solutions. Employees working in a diverse team would have widen horizons and would be better aware of different cultures. Such a culture also makes employees better at communicating and enhances overall productivity of the organization (Kim, Lee & Kim, 2015).

Equality in the workplace and higher levels of inclusion aim to keep employees satisfied in the longer run. This also leads to improved levels of employee retention. If the leaders of the organization put efforts towards employee inclusion then the employees will also have an increased sense of ownership towards the firm (Lindsey et. al., 2015). Also, equality among employees through all business processes will also lead to the creation of an honest and integral leadership. This will improve organizational productivity as well as brand positioning in the longer run.

Conclusion and recommendation

Diversification within organizations is an emerging trend which is being observed. Creating a diverse workforce is essential for businesses as it helps in bringing people from different cultures and backgrounds to work together in effective collaboration (Foma, 2016). There are certain steps that businesses must take in order to effectively manage workforce diversity. Firstly, regular training must be given to employees regarding the importance of diversity and its resourceful management. These trainings must also be aimed at learning how to create a positive work culture. Secondly, leaders working in the firm must lead by example and spread the awareness regarding workplace diversity. They must ensure that the culture in the organization fosters open communication. People coming from a foreign country or a different background must feel comfortable in the organization. Stringent policies must be in place to ensure equality among employees. Seniors must also adopt an open door policy so that employee issues can be addressed in a proper manner. Employees who are found to be discriminating must be penalized. All these efforts will ensure higher levels of workplace diversity, transparency in communication, equality in employees, improved workplace culture and higher levels of employee satisfaction and retention.

References:

Barak, M.E.M., 2016. Managing diversity: Toward a globally inclusive workplace. Sage Publications.

Bond, M.A. and Haynes, M.C., 2014. Workplace diversity: A social–ecological framework and policy implications. Social Issues and Policy Review, 8(1), pp.167-201.

Cloutier, O., Felusiak, L., Hill, C. and Pemberton-Jones, E.J., 2015. The Importance of Developing Strategies for Employee Retention. Journal of Leadership, Accountability & Ethics, 12(2).

Davis, P.J., Frolova, Y. and Callahan, W., 2016. Workplace diversity management in Australia: what do managers think and what are organisations doing?. Equality, Diversity and Inclusion: An International Journal, 35(2), pp.81-98.

Downey, S.N., van der Werff, L., Thomas, K.M. and Plaut, V.C., 2015. The role of diversity practices and inclusion in promoting trust and employee engagement. Journal of Applied Social Psychology, 45(1), pp.35-44.

Foma, E., 2014. Impact of workplace diversity. Review of Integrative Business and Economics Research, 3(1), p.382.

Kim, H.K., Lee, U.H. and Kim, Y.H., 2015. The effect of workplace diversity management in a highly male-dominated culture. Career Development International, 20(3), pp.259-272.

Lambert, J., 2016. Cultural diversity as a mechanism for innovation: Workplace diversity and the absorptive capacity framework. Journal of Organizational Culture, Communications and Conflict, 20(1), p.68.

Lindsey, A., King, E., Hebl, M. and Levine, N., 2015. The impact of method, motivation, and empathy on diversity training effectiveness. Journal of Business and Psychology, 30(3), pp.605-617.

McCann, J.T., Sparks, B.H. and Kohntopp, T.F., 2017. Leadership Integrity and Diversity in the Workplace. Research in Economics and Management, 2(5), p.177.

McLeskey, J.L., Rosenberg, M.S. and Westling, D.L., 2017. Inclusion: Effective practices for all students. Pearson. United States.

Peretz, H., Levi, A. and Fried, Y., 2015. Organizational diversity programs across cultures: effects on absenteeism, turnover, performance and innovation. The International Journal of Human Resource Management, 26(6), pp.875-903.

Sabharwal, M., 2014. Is diversity management sufficient? Organizational inclusion to further performance. Public Personnel Management, 43(2), pp.197-217.

Van D. H., Van E.M.L. and Van D. (2012) Defying conventional wisdom: a meta-analytical examination of the differences between demographic and job related diversity relationships with performance. Organizational behaviour and Human Decision Processes. 119(1). pp38–53.