In the process of conducting its daily operations, a business organization interacts with what has come to be known as the external environment. Theoretically, organizations have little control over the external environment which calls for self adjustment in order to rhyme within the requirements of the environment. An external environment is composed of other players such as competitors, government through its legislations, market environment, and social environment.
In addition, factors such as the economic setting and even the monetary systems involved. The competitors influence the operations of an business organization by determining the potential of a given enterprise to generate profits in its operations. This occurs s different competitors try their means out to be better placed in the market through acts such as differentiating their products and services. All these actions involve costs which ultimately reduces the profit margin of a business.
The governmental legislations on the other hand sets out policies which may either encourage the operation of a business. The social set up influences consumer behaviors and attitudes which determine the consumption patterns where the business operates. The economic and monetary setting influences the way resources are allocated. This may enhance or curtail the growth of an economy with consequent effects to a business. Organizational Culture There are four major theories that relate to organizational culture.
These theories relate to four major aspects of an organization among them the consistency, mission, participation and the way an organization adapts to its environment. The most significant aspect of all of these theories is that they tend to expound on the function of culture within an organization. Culture exist as a form of a adaption that has been developed, discovered or even assumed by an organization to assist it in handling daily challenges especially those that involve an external environment.
The repetitive aspect on the way of doing things forms a culture that becomes part of that organization. Managing Diversity Managing diversity is the act of organizing and coordinating relations of the similarities and distinctions in the people that constitutes workforce teams in a commonly respectful and inclusive manner to attain the most positive results. Investing in diversity awareness and management skills training is very important in an organization as it has a greater influence on behavior of the employees when it is effectively reinforced.
According to the article, “Successful diversity management starts at the top”, for any company to be highly competitive in the business environment, it must treat diversity as an asset that draws a wide range of viewpoints and problem-solving skills to the organization. Effective diversity management enhances employees’ loyalty and encourages them to develop their strengths and also present innovative ideas. However, managing diversity is not necessary managing the people’s cultural differences but it involves the act of managing the needs of the people (bnet, 2003, 1).
This needs include child care, flextime, paternity leave, maternity leave and leave to take care of the elderly parents. In many companies, the process of managing diversity has begun and the management team is realizing that the workforce has to change as their customers change. It is evidence that the companies that have already the process currently will be able to gather an overwhelming competitive advantage in the years to come. The process of managing diversity begins with investigating the organization’s corporate culture.
The main elements of culture are also identified and they are determined whether they support or they hinder the process of managing diversity. Finally, the roots that hinder diversity management are eliminated. As expressed in the article “The challenge of managing diversity at workplace”, managing is seen as a long term process that tries to eliminate any kind of discrimination in the organization and this is advantageous to the minorities as they get equal and fair treatment. This in turn will increase the company’s production as all the workers will work hard towards achieving the set goals.
Through diversity management, the performance of the employees is increased and this enables the company to compete effectively in the market place (Black enterprise, 2003, 1). However the practice of managing diversity in an organization must be followed with a strict follow up and more strategic initiatives. In their focus on these issues, there is an advantage as the two highlights to one aspect that small companies that do not have sufficient capital to manage diversity may suffer as the marketplace and the labor force are becoming more diverse.
They also puts it clear that in managing diversity, all the organizations should give an equal importance to all ethnic groups including the culture of white males. However, the two should also have had a global focus by looking at aspects such as the act of a company in ensuring that it remains competitive in the global market through managing diversity can engage itself in aggressive recruitment and diverse search firms. Concisely, the two articles is a reflection of diverse thought where different organizational leaders may employ differing approaches to manage diversity
References Black Enterprise 1993, The challenge of managing diversity in the workplace: Corporate America is responding to changing demographics of the workforce with a variety of diversity management programs, July 1, Viewed August 23, 2010 from <http://www. allbusiness. com/human-resources/349102-1. html> Bnet. com 2003, Successful diversity management begins at the top, February, Viewed August 23, 2010 from <http://findarticles. com/p/articles/mi_m1365/is_7_33/ai_96954407/pg_2/? tag=content;col1>