OBS 114
Fundamentals of business management
Unit 8: Chapter 5: Managing in a multicultural environment
1. INCREASING DIVERSITY OF THE WORKFORCE AND
THE ENVIRONMENT
Diversity Diversity
Dissimilarities or differences among people due to age,
gender, race, ethnicity, religion, sexual orientation,
socioeconomic background, education, physical appearance,
capabilities/ disabilities, and any other characteristic that is
used to distinguish between people
Importance of Diversity
Diverse people must receive equal opportunities
Effectively managing diversity can improve
organisational effectiveness
There is evidence that diverse individuals
experience unfair treatment in the workplace
Glass Ceiling
Invisible barrier that prevent minorities and women
from being promoted to top corporate positions
Laws affecting Yea Law Description
human r
resources 196 Equal pay act Requires men/ women be paid
3 equally for equal work
196 Title VII of civil Prohibits discrimination on
4 rights employment decisions
196 Age discrimination Prohibits discrimination against
7 in employment workers over 40
197 Pregnancy Prohibits discrimination against
8 discrimination pregnancy, childbirth decisions
and related
199 Americans with Prohibits discrimination against
0 disabilities disabled and accommodation
must be made
199 Civil rights Allows for awarding of damages
1 in case of discrimination
199 Family and Employers provide 12 weeks
3 medical leave act unpaid leave for medical/ family
reasons
Age The average age of our population is increasing as
people tend to live longer than before.
This increases the need for managers to ensure
that the elderly is not discriminated against in the
workplace
Gender On average, men earn more than women performing
exactly the same job.
This is known as the gender pay gap.
, In some areas, women even outperform men such as
in the categories of promoting good communication
and motivating others
Race and On average, men and women of colour earn less than those
ethnicity who are not.
Religion Managers need to be aware of different religions and
beliefs
take cognisance of when different holidays fall
and make accommodation for religious practices
Capabilities/ There are acts to accommodate disabled persons in
Disabilities the workplace.
Some employees are reluctant to reveal their
disabilities to their employers while other abuse the
provisions made for them.
There are provisions made to help and protect those
who have HIV or AIDS
Socioeconomic A combination of social class and income-related
background factors
When employees are retrenched, it is often those with
fewer skill from a poorer background who lose their
jobs.
Parents are struggling to find the appropriate childcare
to help them while they fulfil the long hours of their
jobs
Sexual Discrimination of anyone of LGBT orientation is illegal and
orientation managers need to ensure that everyone is treated fairly
2. MANAGERS AND THE EFFECTIVE MANAGEMENT OF
DIVERSITY
Managerial Entrepreneur Commits organizational resources to
roles develop innovative goods and services.
• Decides to expand internationally to
obtain new customers for the
organization's products
Disturbance Takes corrective action to deal with
handler unexpected problems.
Resource Allocates organizational resources among
allocator different tasks and departments.
Negotiator Works with suppliers, distributors, and
labour unions to reach agreements.
Figurehead Outlines future organizational goals.
Leader Provides an example for employees to
follow and gives direct commands.
Liaison Coordinates the work of managers in
different departments
Monitor Evaluates the performance of managers
in different tasks and takes corrective
action to improve their performance.
Disseminator Informs employees about changes taking
Fundamentals of business management
Unit 8: Chapter 5: Managing in a multicultural environment
1. INCREASING DIVERSITY OF THE WORKFORCE AND
THE ENVIRONMENT
Diversity Diversity
Dissimilarities or differences among people due to age,
gender, race, ethnicity, religion, sexual orientation,
socioeconomic background, education, physical appearance,
capabilities/ disabilities, and any other characteristic that is
used to distinguish between people
Importance of Diversity
Diverse people must receive equal opportunities
Effectively managing diversity can improve
organisational effectiveness
There is evidence that diverse individuals
experience unfair treatment in the workplace
Glass Ceiling
Invisible barrier that prevent minorities and women
from being promoted to top corporate positions
Laws affecting Yea Law Description
human r
resources 196 Equal pay act Requires men/ women be paid
3 equally for equal work
196 Title VII of civil Prohibits discrimination on
4 rights employment decisions
196 Age discrimination Prohibits discrimination against
7 in employment workers over 40
197 Pregnancy Prohibits discrimination against
8 discrimination pregnancy, childbirth decisions
and related
199 Americans with Prohibits discrimination against
0 disabilities disabled and accommodation
must be made
199 Civil rights Allows for awarding of damages
1 in case of discrimination
199 Family and Employers provide 12 weeks
3 medical leave act unpaid leave for medical/ family
reasons
Age The average age of our population is increasing as
people tend to live longer than before.
This increases the need for managers to ensure
that the elderly is not discriminated against in the
workplace
Gender On average, men earn more than women performing
exactly the same job.
This is known as the gender pay gap.
, In some areas, women even outperform men such as
in the categories of promoting good communication
and motivating others
Race and On average, men and women of colour earn less than those
ethnicity who are not.
Religion Managers need to be aware of different religions and
beliefs
take cognisance of when different holidays fall
and make accommodation for religious practices
Capabilities/ There are acts to accommodate disabled persons in
Disabilities the workplace.
Some employees are reluctant to reveal their
disabilities to their employers while other abuse the
provisions made for them.
There are provisions made to help and protect those
who have HIV or AIDS
Socioeconomic A combination of social class and income-related
background factors
When employees are retrenched, it is often those with
fewer skill from a poorer background who lose their
jobs.
Parents are struggling to find the appropriate childcare
to help them while they fulfil the long hours of their
jobs
Sexual Discrimination of anyone of LGBT orientation is illegal and
orientation managers need to ensure that everyone is treated fairly
2. MANAGERS AND THE EFFECTIVE MANAGEMENT OF
DIVERSITY
Managerial Entrepreneur Commits organizational resources to
roles develop innovative goods and services.
• Decides to expand internationally to
obtain new customers for the
organization's products
Disturbance Takes corrective action to deal with
handler unexpected problems.
Resource Allocates organizational resources among
allocator different tasks and departments.
Negotiator Works with suppliers, distributors, and
labour unions to reach agreements.
Figurehead Outlines future organizational goals.
Leader Provides an example for employees to
follow and gives direct commands.
Liaison Coordinates the work of managers in
different departments
Monitor Evaluates the performance of managers
in different tasks and takes corrective
action to improve their performance.
Disseminator Informs employees about changes taking
