Quiz 13: Managing Diversity and Inclusion


Company W prefers to recruit new store managers from its pool of hourly associates because they: • Understand the way the company does business, including its policies and procedures. This helps new store managers operate their store in compliance with the company policies without additional training or guidance. • Understand the way stores are laid out and the products are carried, since they have already been working at the company. • Show that Company W believes in filling higher level positions from its current ranks, which increases the number of people who wish to work at the company and this gives them a lot of quality applicants to choose from when filling open positions.

Company D has a number of factors impacting its business. These include competitive pressure, increase in material costs, and groups of employees who are having trouble in understanding each other and working effectively together. A cultural audit will help assess its diversity issues by identifying the specific issues the company is having, so they can be addressed. Some questions that should be included in the audit are: • Do promotion rates at the company vary by gender or race? • Are there differences in compensation for similar positions based on gender or race? • Are there stereotypes that exist in the workforce that need to be addressed? • Are there productivity differences by gender or race at the company? If so, training should be provided to the less productive groups. If not, education needs to be provided to the entire team showing that race and gender are not the reason for any changes in the results.

Cultural competence is the ability to interact effectively with people of different cultures. A manager who believes that all members of a specific cultural group have the same characteristics (stereotyping) and that specific types of people as identified by race, gender, or other characteristics will be smarter or more highly skilled (personal biases) will tend to treat others based on those beliefs. This person will not effectively interact with people of differing cultures because they will make assumptions about them that are not based on the specifics of the individual in question. This can lead to poor customer relations - perhaps they assume that someone of a specific race or gender cannot afford their product - and in hiring - they will assume that someone that "looks" the part is the best fit for a position, when that may not be the most skilled or qualified individual. It can also impair good workplace functioning, since they will assume other staffers are qualified or not based on their external appearance.