Impact of Cultural Diversity on Future Organizations

ABSTRACT

In the present world, companies embracing, understanding and developing approaches of diversity by consuming enough time and efforts definitely experience a strong culture that gives way to the hospitable environment for working while increasing profitability of the company at the same time. To have culturally diverse group of employees, is beneficial for the company from the stand point of its financial position. In the past studies, various aspects of cultural diversity have been analysed along with its effects and benefits on the company. The culturally diverse workplace will not only bring various challenges for the organizations in future but it will also provide managers and other concerned individuals to prove their role by enhancing employee performance, turnover rate and firm profitability in the organization. The globalization has increased to significant level that needs enhanced interaction with people coming from various groups in terms of backgrounds, beliefs and cultures. The specific area of interest intended to cover in this project include, but not limited to the topic as described: “Impact of cultural diversity on future organizations. I have selected to further expound on the definition of diversity and its relationship with the organizations of the future. This selected methodology to study the impact of culture diversity on organization of the future, was selected because it provides the most reliable data to study and analyze relative to organizational response and treatment of cultural diversity in the future.

TABLE OF CONTENTS

ABSTRACT2

INTRODUCTION6

Background of the Study6

Problem Statement7

Aims of the Study7

Purpose of the Study8

Hypothesis8

LITERATURE REVIEW9

Theoretical Framework9

Challenges of Cultural Diversity9

Managing Diversity11

Leadership for Managing Cultural Diversity11

Effects of Cultural Diversity12

Multiplicity of Individuals13

Gains from Cultural Diversity Commitment17

Steps for Constantly Changing & Diverse Workplace17

Effects of Diversity in the Workplace20

Multinationals and Culturally Diverse Groups21

METHODOLOGY23

Introduction23

Research Design23

Literature Design24

Data collection methods and tools24

Rationale for a Qualitative Study25

Instrument for data collection25

Literature Review26

Findings and Conclusion Section of the Research Study26

Reliability and Validity27

ANALYSIS AND FINDINGS29

Qualitative Findings of the study29

Workplace Diversity29

Diversity in Workforce29

Awareness of Diversity at Workplace31

Promotion of Cultural Diversity at Workplace32

Past Research on Cultural Diversity33

Past Research on Cultural Diversity by Monika34

Cultural Diversity in 21st Century35

Benefits of Cultural Diversity36

Facts to Resolve Culture diversity Issues in Organizational Setting36

Globalization and Cultural Diversity37

Issues in Cultural Diversity38

Importance of Workplace Diversity39

Motivation and Productivity40

Culturally Diverse Groups and Management Training40

Managing vs. Leading a Culturally Diverse Workforce41

Organizational Changes42

CONCLUSION43

Workplace Diversity44

REFERENCES46

INTRODUCTION

Background of the Study

In the present world, companies embracing, understanding and developing approaches of diversity by consuming enough time and efforts definitely experience a strong culture that gives way to the hospitable environment for working while increasing profitability of the company at the same time. To have culturally diverse group of employees, is beneficial for the company from the stand point of its financial position. In the past studies, various aspects of cultural diversity have been analysed along with its effects and benefits on the company. The globalization has increased to significant level that needs enhanced interaction with people coming from various groups in terms of backgrounds, beliefs and cultures.

Moreover, workplaces have no longer remained marketplace with limited access and have become part ...