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Diversity Program

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Submitted By Mashchapeyama
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Most modern organizations have knowledge on how to tap on diversity to get a competitive business advantage. Managing of diversity is now put alongside issues such as corporate social responsibility and ethics as an appeal to many consumers and to win a large share of the market. This discussion will explore what diversity is, what a diversity program is and the importance of diversity management to an organization.
Firstly, there is a need to discuss what diversity is. Most people think of diversity as managing the relationships among races in an organization. However, diversity goes beyond race relationships. According to Rand (n.d) diversity relates to the differences that arise due to the presence of people with diverse demographic characteristics in an organization. Rand identifies the following as some of the demographic traits that brings in diversity: race, ethnicity, gender, age, religion and disability, among others. Managing diversity relates to how to meet the various needs of people of different age, race, gender, religion among others. A diversity program is the details of how an organization strives to meet the needs of its diverse workforce or stakeholders. In this essay the writer is talking of diversity as it mostly relates to the organization’s workforce. A diverse workforce is where there are employees of different demographic characteristics. Employees must be of varying age ranges, various races, varying religious backgrounds, different educational level and those originating from various parts of the country, if not of the world.
Having explored what diversity is there is need now to go to the importance of diversity in an organization. In what ways is diversity of essence to the viability, profitability, image and dividends of the organization? How do various stakeholders ranging from, stockholders, employees, and the community benefit?
Firstly, diversity brings creative and innovate problem solving in the organization. Ideas on improving marketing strategies, production, cost reduction and sales volumes come from many people of different backgrounds. This leads to getting good ideas. When such ideas are implemented the company can achieve its strategic objectives such as rise in sales volume, increased profitability. Most companies involve its employees in identifying cost cutting measures. If innovative ideas are obtained it means the costs of the company can be reduced. Reduction in costs means an increase in profit level. The company can then give better standard conditions to its employees. Stockholders receive better dividends. The company can plow back into the community. Generally innovative ideas lead to better performance of the company, arising from increased productivity.
Diverse workforce leads to diverse customers. The diversity of the customers usually is related to the diversity of the employees. If there are many employees with varying characteristics, such people ensure that the products reflect their needs and orientations. This means most of the varying classes of consumer needs would be met. This increases the customer base. This, as a result leads to a boost in sales, and ultimately profit. The company’s image is improved, which may impact on the performance of its shares at the stock exchange
A good diversity program leads to satisfied workforce. A satisfied workforce increases effort and ultimately productivity. An increase in productivity means a reduction in the average total costs. This leads to a rise in profit margin. Talented employees can not leave a place where their contribution is being recognized.

Having discussed the above it can be concluded that carrying an open diversity program leads to the following benefits for the organization: increased market share, increased employee involvement and effort, improved sale volumes and profit. The company’s image improves. The company performs well on the stock exchange. Currently most companies are carrying out clear diversity programs to create competitive advantage.
Reference
Bauer, T & Erdogan, B (n.d) Organizational behavior. Irvington, NY: Flat World Knowledge http://www.law.uky.edu/files/docs/clinic/sources-of-the-law.pdf http://www.aseanlawassociation.org/paper/phil-chp2.pdf http://www.wjp-forum.org/2011/category/economic-development-business-growth-and-rule-of-law-0 http://www.csr360gpn.org/events/info/rule-of-law-and-international-business-ethics
http://govinfo.library.unt.edu/npr/library/workforce-diversity.pdf

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