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Managing Cultural Diversity- A Key to Organizational Success

Organizations around the world has beenDiverse group of employees are perceived
realizing the cultural diversity withinto be more creative and efficient in
organization is not a negative aspect,problem solving as compared to
rather can facilitate organizationalhomogenous group
stalk for glory (Papers4you.com, 2006).Ability to manage cultural diversity
However it is not an easy task to manageincreases adaptability and flexibility
employees with different culturalof an organization to environmental
backgrounds. Nevertheless there are manychanges.
policy guidelines that can make taskMany organizational examples can be
easy.taken in this regard. In Australia, for
On a broader perspective, culturalinstance, Hotel Nikko in Sydney has
diversity can be manage throughunique edge that staff members in direct
communicating (creating awareness amongguest contact areas speak a total of 34
all employees about diverse values ofdifferent languages. Similarly Qantas
peers through communication),Flight Catering has sixty-six
cultivating ( facilitatingnationalities on staff, with various
acknowledgement, support andoverseas-born chefs. So dedicated
encouragement of any employee' successdiverse 'ethnic' kitchens gave Qantas a
by all other workers), and capitalizinghuge competitive edge that offers food
(linking diversity to every businessbased on customer's ethnic taste and
process and strategy such as successionrequirements. Moreover Don's Smallgoods
planning, reengineering, employeethrough literacy, language and cultural
development, performance management andtrainings increased cross-cultural
review, and reward systems) strategies (communication and increased profits
Cascio, 1995).while lowering costs at the same time.
There are many different innovative waysSimilarly The Cheesecake Factory had put
that organizations have adopted tospecial effort to understand Japanese
manage diversity. For instance Tabraquality and packaging culture as Asian
Incorporation, a small manufacturer ofemployees assist management to
jewellery and accessories in Californiaunderstand Asian tastes so that they can
comprised of modest workforce istarget exports to Asia (Nankervis et al,
composition of Third World immigrants2002)
from Cambodia, China, El Salvador,Hence the discussion suggests that it is
Ethiopia, India, Laos, Mexico, Thailand,imperative to realize that cultural
Tibet Vietnam and other nations. Todiversity should be taken as a tool for
acknowledge importance of their culturalbetter organizational progress rather
association, at least 10-12 differentthan a managerial problem and if
flags are always hanged from the ceilingeffectively managed, it can be a key to
of its main production facility whichgain competitive edge and success
represents the countries of origin ofReferences
the employees. The owner's view pointBhatia, S., K., & Chaudary, P., (
is 'I would like for this to be a little2003),'Managing Cultural Diversity in
United Nations everybody getting alongGlobalization- Key to Business Success
and appreciating each other's cultureof Global Managers- Insights and
instead of just tolerating it'. (BhatiaStrategies', New Delhi: Deep & Deep
& Chaudary, 2003)Publication Pvt Ltd
If cultural diversity can be managedCascio, W., F., (1995), 'Managing Human
effectively, there is a potential to useResources' International Edition, US:
diverse workforce for organizationalMcGraw Hill.
benefits. Cox and Balke (1991) assertsCox, T. H., & Balke, S., (1991),
that multi-culturism is directly linked'Managing Cultural Diversity:
to organizational success asImplications for Organizational
Effectively managed multi cultureCompetitiveness' Academy of Management
companies have cost effectiveExecutive, Vol 5, Issue 3, August 1991
competitive edgeNankervis, A. Compton, R., & Baird, M.,
It helps in promoting minority friendly(2002) 'Strategic Human Resource
reputation among prospective employeesManagement'. 4th Edition. Victoria:
Diverse cultural corporations help toNelson Australia Pty Limited
get better customers which has a varietyPapers For You (2006) "P/HR/188.
of people



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