Employees Diversity as an Asset

Sun, 08/28/2011 - 01:54 -- Umar Farooq

Employee diversity can improve organizational functioning by stimulating:

  1. Greater Creativity
  2. Better Problem Solving
  3. Greater System Flexibility

1. Greater Creativity

Employee diversity can stimulate consideration of less obvious alternatives. Take the example of a Hispanic man and a white woman advising the CEO on a planned organizational downsizing. They suggested reduction in salary, unpaid vacation, early retirement option, 5% reduction in salary in return for stock in the firm. There plan was unanimously welcomed.

2. Better Problem Solving

Homogeneous groups are prone to a phenomenon called “groupthink”, in which all members quickly converge on a mistaken solution because they share the same mindset and view the problem through the lens of conformity.

In a heterogeneous group with a broader and richer reservoir of experiences and cultural perspectives, the potential for “groupthink” shrinks.

3. Greater System Flexibility


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