Multicultural Organization, Difference between Customer-Driven and Quality-Driven Organizations - Assignment Example

Environment and Diversity Assessment task questions: 1. Outline the major elements of an organization’s general environment? Which of these elements do you think is the most challenging for businesses today? (5%) The general environment encompasses all the conditions underlying an organization’s external environment as described by Schermerhorn, et al. (2011). The general environment of an organization plays a significant role in determining the threats and opportunities an organization faces and as a result, influence the type of strategies an organization uses to manage the threats and risks that exist in the general environment and to capitalize on the opportunities generated by the general environment and in so doing, enhancing its competitive advantage (Kefalas, 1981). There are major elements of an organization’s general environment that includes economic conditions, which entails the overall state of the economy in relation to economic performance indicators such as the rate of inflation, gross domestic products, levels of unemployment, and levels of income and currency exchange rates among others (Kefalas, 1981). According to (Schermerhorn et al. 2011) there are sociocultural conditions that entail the overall state of the existing social ideals on issues such as educational patterns and social institutions, demographic profiles and human rights. In addition, there is the element of political-legal conditions that encompasses legislations and government regulations and policies and the overall state of the existing agenda, goals and philosophy of the leading political party (Schermerhorn et al., 2011). Other than these three major elements, there is technological condition, which entails the general state of availability and growth of technology and scientific evolvement and natural environment conditions that constitutes the overall state of nature and natural ecology that encompass rates of concern people have about nature conveyed through environmentalism (Schermerhorn et al., 2011). I think that the economic conditions, natural environmental and political –legal conditions are the most challenging for businesses today. This is because; it is difficult for a modern organization to function effectively in unstable economic environments. Majority of businesses whether they are local and international, private and public, small and large and profit and non-profit find it difficult to survive tough economic conditions (Kefalas, 1981). For instance, due to less than conducive economic conditions during global recessions, majority of businesses have limited capacity due to high prices of goods and energy to operate and as a result they fail. The massive losses experienced by businesses following the 2008 global recession attest to how economic conditions are challenging for modern businesses. The rising concern among people about the impact of business on the environment and the increasing pressure for businesses to embrace corporate social responsibility in order to give back to the community and to help conserve the environment makes the natural environment conditions among the elements that are most challenging for modern businesses as echoed by Schermerhorn, et al. (2011). Businesses that fail to comply with environmental standards are more likely to attract product boycotts. This means that businesses must allocate some of their resources to manage the natural environmental conditions if they want to succeed. The reason why I think political –legal conditions is among the most challenging element for businesses today is because policies, regulations and laws put formulated and implemented by the ruling government and ruling political parties significantly determine the viability of the market in attracting and encouraging business growth and investments (Kefalas, 1981). The economic conditions, the natural environment conditions and sociocultural conditions may be conducive for a business but when the developed and implemented policies and legislations are not favorable, it becomes difficult for a business to invest and grow. References Schermerhorn J, Davidson P, Poole D, Simon A, Woods P and Chau SL. 2011. Management Foundations and Applications. Sidney: John Wiley & Sons. Kefalas, A. G. 1981. Analyzing changes in the external business environment. Strategy & Leadership, Vol. 9, No.4, pp.26 – 46. 2. Explain the difference between customer-driven organizations and quality-driven organizations (5%) The main role of all organizations whether profit and non-profit is to ensure that the needs and expectations of its target market and end users are effectively and efficiently met (Feargal, 1996). Both customer driven organizations and quality driven organizations seeks to attract and retain both existing and potential customers by effectively and efficiently meeting their needs and expectations with the view of enhancing the organizations’ market base and increasing their profit margins (Schermerhorn et al., 2011). There is a thin line that differentiate customer driven organizations and quality driven organizations since they both seek to satisfy and exceed the expectations and needs of the customer by offering them the best in terms of quality. Customer driven organizations are organizations that focus all their efforts on the customer in a bid to track the needs, expectations, tastes and preferences of the customer and in so doing, to respond to the identified needs, expectations, tastes and preferences by delivering customized, quality, affordable products as noted by Schermerhorn et al., (2011). The policies, strategies, goals and systems of a customer driven organization are determined by what the customer wants, when they want, how they want and where they want. Primarily, customer driven organizations seeks to ensure they offer the customers what they need in terms of high quality, low costs and efficient (Feargal, 1996). This is done with the aim of changing these customers into loyal customers who not only come back and bring more business but also, who refer and recommend the organization to other people such as friends and relatives and as a result, help increase the organization’s market and customer base (Schermerhorn et al., 2011). What distinguishes a customer driven organization and a quality driven organization is that although both ensure the needs of the customer are effectively and efficiently met, quality driven organizations are more focused in ensuring that not only are the type of products and services they deliver to customers of high quality and they meet or exceed the set quality domestic and international standards but also, quality is implemented in all aspects of the organizations’ operations (Schermerhorn et al., 2011). In contrast, customer driven organizations focus more on delivery of products and services that are high quality but fewer efforts are spent towards ensuring quality in all aspects of operations of the organizations. Quality driven organizations focus on producing and delivering high quality by setting quality objectives in every aspect of the organization’s operations (Feargal, 1996). Quality in quality driven organizations is not developed and implemented in the services and products only, but it extends to every operation the organization is engaged in (Schermerhorn et al., 2011). Quality driven organizations achieve high performance and competitiveness by complying and applying internationally acknowledged quality standards. Quality driven organizations in modern market and business environments rely on total quality operations to not only meet the needs of the customers and even exceeding their expectations, but also, enhancing their competitive edge in an increasingly competitive global environment (Schermerhorn et al., 2011). Among ways quality driven organizations are benchmarking their total quality operations is through ISO certification, where they are required to refine and improve quality in all their operations in order to obtain certification as indicated by Schermerhorn et al. (2011). Examples of ISO certification include ISO 9000 and ISO14000 that represents quality management and quality of environmental management respectively. References Schermerhorn J, Davidson P, Poole D, Simon A, Woods P and Chau SL. 2011. Management Foundations and Applications. Sidney: John Wiley & Sons. Feargal, Q. 1996. Becoming a customer-driven organization: three key questions. Managing Service Quality, Vol. 6, No. 6, pp. 6-11, ISSN 0960-4529. 3. Provide a suitable definition for a “multicultural organization” and explain why an inclusive environment is in an organizations best interest? (5%) In an increasingly competitive market environment that is essentially global, embracing diversity is among the critical steps organizations are using to enhance their sustainable competitive advantage (Steven et al., 1998). This is because, diversity allows organizations to have a blend of skills, abilities and perspectives that are important in key management processes such as problem solving and decision making and helping in tackling emerging intricacies and uncertainties (Schermerhorn et al., 2011). The increasing focus on diversity in the global market environment has been accompanied by an increasing need to develop multicultural organizations. A multicultural organization refers to a business or an institution that places greater emphasis on attracting and retaining people who are talented, who have creative potential and who can perform their work well regardless of their cultural background, political affiliation, religious affiliation, gender, sexual orientation and preference, race, ethnicity, nationally and creed among other diversity characteristics as supported by Steven et al. (1998). In addition, a multicultural organization embraces diversity, it respect and tolerates differences, and it safeguards against prejudice and discrimination based on diversity characteristics and it is inclusive in nature by ensuring minority groups are well represented across and along organizational structures and are as influential as majority groups in setting key organizational values and policies as supported by Schermerhorn et al., (2011). An inclusive environment is in an organization’s best interest. Modern market environment is increasingly global with movement of people, products, processes, systems, services, information and technology across the globe becoming easy and cost effective. This means that there is ease in businesses entering the international market and as a result, they are compelled to interact and transact with people that have diverse backgrounds. Therefore, in order to function effectively and efficiently, businesses have no choice but to be inclusive in order to better deal with its diverse clientele (Steven et al., 1998). Failing to include talented, creative and skilled people in the workforce due to their diversity is not in the best interest of a business given the fact that a diverse workforce benefits an organization in terms of knowledge sharing, idea generation and enhancing creativity (Schermerhorn et al., 2011). Inclusivity refers to the scale at which a firm is open to people who can fit job descriptions regardless of what they look like, where they come from, what they believe in and who they are as described by Schermerhorn et al. (2011). Businesses have the opportunity to tap into knowledge, experiences, perspectives, ideas and opinions that are brought in by a diverse workforce when they develop an inclusive organizational climate. It is in the best interests of the organization to cultivate an inclusive environment because by having a workforce with people from diverse backgrounds, the company becomes better positioned to understand and attend to the diverse needs, expectations, tastes and preferences of its diverse clientele and in so doing, satisfying them and improving customer and market base and increasing the profit margins as a result (Steven et al., 1998). An inclusive environment is important in helping improve group cohesion among employees from diverse backgrounds and is particularly helpful in resolving conflicts that may arise due to diversity and safeguarding against workplace bullying, stereotyping, discrimination and prejudice that have the negative effect of reducing work performance, work motivation and commitment among the affected party (Schermerhorn et al., 2011). An environment where every employee feels as an important part of the organization regardless of the existing diversity characteristics is more likely to motivate and inspire them to perform better and exceed their potential compared to an environment that fails to include and engage everyone on the same level (Steven et al., 1998). References Schermerhorn J, Davidson P, Poole D, Simon A, Woods P and Chau SL. 2011. Management Foundations and Applications. Sidney: John Wiley & Sons. Steven, H. A., Barbara, S. & David, E. 1998. The management of multicultural group conflict. Team Performance Management, Vol. 4 No. 5, pp.211 – 234. 4. What is meant by the ‘glass ceiling’? Discuss the implications for members of minority groups? (5%) The term glass ceiling refers to obstacles that although they are unseen, are real unbreakable barriers that exist and they prevent members of the minority groups and women from advancing and reaching the upper levels of the corporate ladder despite the fact that the said women and minority groups have the required abilities and qualifications to reach the highest point of the corporate ladder as implied by Schermerhorn et al., (2011). The glass ceiling makes it impossible for people with potential and qualifications from getting and securing job positions that are powerful, well- paying and prestigious and as a result, making the victims to feel inadequate in attaining the best job positions and in the process, damaging their self- confidence, self- esteem and self- efficacy as noted by Mary (2002). What makes it difficult for women and minority group from preventing glass ceilings from affecting them is the fact that these barriers are not tangible and they are effectively concealed underneath employment policies and culture (Mary, 2002). Organizations or employers that use glass ceilings establish the most reasonable reasons to rationalize their decisions making it impossible for the affected people to bring legal actions against them (Schermerhorn et al., 2011). Among ways that organizations establish glass ceilings for minority groups and women is by quoting attributes which are highly idiosyncratic and de-emphasizing particular standards or benchmarks which offers the affected person an edge. The implications of glass ceiling on minority group members are varied and they include the fact that despite how much the minority group members work hard, learn hard, commit themselves to the organization and their work and despite how much they are loyal and they are responsible and dedicated in ensuring the set organizational goals and objectives are achieved, they never rise high enough in the organization to benefit from their inputs (Mary, 2002). They are more prone to poor self- perception, low self -confidence, low self -esteem and they are more likely to suffer from inferiority complex where they feel they are not god enough to reach the highest point because their counterparts, the majority group members, they do not have to work as hard and as long, to rise up the corporate ladder or to obtain better remunerations (Schermerhorn et al., 2011). What is most likely to occur in such a situation is that the minority group members will see no point in working harder, being committed and loyal to the organization and in doing the best and being accountable in their work duties and as a result, register poor work performance, eventually affecting the overall organization performance. Alternatively, the implications of glass ceiling on the minority group members is that the minority group members may be exposed to the glass ceiling for such a long time such that they get used to it and accept that they are not good enough and worth rising the corporate ladder and in effect, resigning themselves to positions in the bottom as implied by Mary (2002). The impact of this is that majority of minority group members will not progress, resulting in a scenario where the minority groups are greatly disadvantaged economically, socially and politically, making them vulnerable to social, economic and political inequalities. References Schermerhorn J, Davidson P, Poole D, Simon A, Woods P and Chau SL. 2011. Management Foundations and Applications. Sidney: John Wiley & Sons. Mary L. V. 2002. Glass Ceiling and Asian Americans: The New Face of Workplace Barriers. Journal of Organizational Change Management, Vol. 15 No. 2, pp.202 – 209. 5. Explain the ways in which a diverse workplace contributes to the organizational culture? (5%) A diverse workplace entails having different people with variety of differences working together and contributing towards the success of the organization as described by Schermerhorn et al., (2011). A diverse workplace is not merely having a working environment that have people from different cultural backgrounds with different color skins as we often think, it includes having a workforce that includes people from different races, ethnicity, gender, age, political and religious beliefs, socioeconomic status and sexual preferences among other elements of diversity (Seyed-Mahmoud, 2004). When addressing issues of workplace diversity, it is important to address all forms of otherness or traits which are different for the majority but exists and belong to those outside the majority group as suggested by Schermerhorn et al., (2011). A diverse workplace is not where everyone is keen on improving the opportunities for the minority but it is where the interests of all people whether in the majority and minority group are regarded equally based on merit. A diverse workplace contributes to the organizational culture in as far as influencing how the people within the organization, work, interact, operate, function, solve conflicts and perceive each other. Primarily, a diverse workplace impacts on the organization culture by influencing changes in how an organization makes decisions, how they solve conflicts and settle disputes, how people across and along organizational structures relate, interact and communicate, how people and units are managed and how job promotions are done as supported by Seyed-Mahmoud (2004). In addition, influencing changes to recruitment, retention and selection processes, hiring practices, compensation practices, training and development processes, role allocation processes and employee treatment. What a diverse workforce does is influence how these processes, practices and systems are developed and executed and in so doing changing the organizational culture to suit the diversity that exists in the diverse workplace. Management of a diverse workplace has to review their policies, practices, processes and systems to ensure that the needs and expectations of each person regardless of the existing diversity is effectively and efficiently met without bias (Schermerhorn et al., 2011). A diverse workplace influences organization culture positively by ensuring that all aspects of the organizational culture are favorable for all people regardless of their diversity and in so doing, enhancing work performance, work motivation and improving interactions and communications among people of similar and diverse backgrounds (Seyed-Mahmoud, 2004). A diverse workplace compels the management to have a broader outlook and in so doing helping it support all types of people in attaining their full potential as they achieve the goals and objectives of the organization. In addition, a broader outlook allows the management to identify, challenge and eradicate organizational practices and systems which impedes workplace diversity (Schermerhorn et al., 2011). Conclusively, a diverse workplace gives an organization an opportunity to enhance inclusivity and embrace diversity in its organizational culture that enhances fair treatment of all types of people, tolerance and respect for diversity and open communication among workers. These are fertile ground for high performance, worker commitment and knowledge sharing. Issues of workplace diversity work to the benefit of the firm when organizational culture embraces gains of workplace diversity (Seyed-Mahmoud, 2004). Organizations that have organizational culture that hinders workplace diversity are competitively disadvantaged when it comes to addressing the diverse needs of the diverse customer base in the global market as implied by Schermerhorn, et al. (2011). References Schermerhorn J, Davidson P, Poole D, Simon A, Woods P and Chau SL. 2011. Management Foundations and Applications. Sidney: John Wiley & Sons. Seyed-Mahmoud A. 2004. Managing workforce diversity as an essential resource for improving organizational performance. International Journal of Productivity and Performance Management, Vol. 53 No. 6, pp.521 – 531. Read More