Managing Diversity and Executive Motivation Incentives - Essay Example

Running Head: Human Resource Management Human Resource Management: Managing Diversity and Executive Motivation Incentives BY YOU YOUR ACADEMIC ORGANIZATION HERE DATE HERE OTHER RELEVANT INFO HERE Table of Contents ABSTRACT Introduction''''''''''''''''''''''''''''.. 4 Linking HR to Diversity Management''''''''''''''''''.. 4 Linking HR to Executive Motivations''''''''''''''''''... 8 Conclusion'''''''''''''''''''''''''''''.. 10 REFERENCES Abstract Managing diversity in complicated or competitive business environments requires the interaction between layers of management and the efforts of the human resources team. HR professionals should be well-versed in management theory, in terms of planning, organizing, leading and controlling as an element of HR philosophy. This report highlights how the aforementioned elements of management can be inter-linked with human resources efforts to assist in managing workplace diversity and executive-level motivation. Human Resource Management: Managing Diversity and Executive Motivation Incentives Introduction Today's business environment is generally categorized by increased competition and a strong focus on internal productivity, which puts significant stress and strain on the employee and management populations within the firm. Though external forces, such as the political or economic environments in which a company thrives, serve as the catalysts for business decision-making, it is often internal issues which require the intervention of human resources professionals to make the business more efficient and productive. HR managers must understand the importance of managing workplace diversity while also addressing the broader needs of executives in terms of providing them with the motivation needed to perform to strategic expectations. Ignoring diversity tends to reduce overall firm productivity, undermining strategic objectives, and further serves to create internal conflict between diverse staff members (Women in Management Review, 2005). This project highlights the efforts of contemporary HR managers in managing diversity and building executive-level motivations to perform. Linking HR to Diversity Management Practically every textbook referencing management theory describes the managerial process as a series of planning, organizing, leading and controlling as a viable model for management behavior (Nickels, McHugh & McHugh, 2005; Mathis & Jackson, 2005). Planning represents the preliminary steps necessary to reach a specific management goal, organizing involves the tangible coordination of activities and staff to reach said goals, while leading represents a more psychological element of management which involves creating a positive climate as both a mentor and mediator. Further, controlling involves establishing clear and concise business standards to determine whether the firm is reaching its goal targets and offering rewards or punishments if the identified staff is not being productive or performing to expectations. Having offered the definitions of traditional management in modern business, it is important to understand how human resources professionals take these characteristics and utilize them to boost efforts toward managing diversity and building executive-level motivations. The definition of management tends to illustrate that even HR professionals, in order to carry out their roles as guiding forces for staff members, must utilize the four elements of management to create a more rewarding business environment. Diversity management is quickly becoming a paramount objective for business leaders in most developed countries as diversity has been known to enrich group work and lessen the impact of potential internal disputes or conflicts between different staff members (Aoun, 2007: 67). Under the value model of diversity, each individual aspect of the organization is valued for what is specifically brings to the organization (Griffin & Moorhead, 2006), thus an HR professional acting under this model works diligently to create a positive climate of diversity through positive human resources theory. For instance, under the notion of planning, an HR professional acting under the value model performs a series of preliminary planning stages related to diversity. The HR manager will consider elements such as recruitment and selection as the primary planning steps toward building a more diverse workforce. The HR manager will also scan the internal organizational environment to recognize whether potential, future career development or promotional possibilities exist within the firm. Further, preliminary planning measures include the preparation of diversity training packages for future selected staff members and develop support networks for a diverse organizational culture (Griffin & Moorhead). All of the aforementioned aspects of diversity management, from a planning perspective, are aspects which are direct responsibilities of an effective HR manager so as to ensure that the organization is initially prepared for diversity-related programs and incentives. In terms of organizing, the HR manager, having developed the preliminary steps required for diversity management, the HR professional must now consider how to effectively structure the organization to promote and provide positive motivations regarding the entire organizational embrace of diversity. To illustrate, the HR professional may recognize that the customer service division, as one relevant example, maintains no diversity in terms of demographic differences between the staff members. As part of organizing, the HR manager may work toward creating a job description which explicitly highlights the importance of bilingual skills and then submitting a proposal to senior management to incorporate a bilingual position in this customer service division. What this HR manager has done is created a new organizational chart (based on job description and departmental needs) which changes the nature by which the customer service division is operated. Additionally, the HR manager, as part of organizing, may actively review the teamworking structures throughout the firm, perhaps in terms of short-term project planning, and determine whether these team-focused work groups require diverse viewpoints to generate a broader pool of knowledge; thus leading to superior group outcomes. An HR manager who successfully manages diversity recognizes that different points of view are valuable and will organize work teams to provide this value through diversity whenever feasible (Brant & Harvey, 2005). In relation to leading, an HR professional must act as a positive champion for diversity policy and development. In many respects, this comes down to the age-old adage which essentially states that a good manager must walk the walk and talk the talk in terms of diversity. For example, an HR manager has successfully developed preliminary business activities which will support diversity and has organized the firm in a methodology that best suits diversity policy. At this point, the HR manager must reinforce the value of diverse thinking to all members of staff so that the entire organization recognizes that the HR manager will continue to be aggressive in promoting diversity and will begin to adopt these same thought processes and behaviors (Jackson, 2001). Leading, under the HR philosophy, basically involves the tangible carrying-out of diversity programs and creating an organizational culture which embraces different viewpoints and staff perspectives by illustrating similar behaviors to others. Finally, the HR manager must control aspects of diversity, which is one of the fundamental aspects of human resources positions in terms of overall performance management. Under the controlling element of management, the HR manager creates a short- or long-term business goal, perhaps in this case a significant decline in workplace conflict, and then rewards or takes corrective action against those who do not work toward this goal. Perhaps the HR professional recognizes that a handful of particular employees are constantly filing grievances against others for somewhat ridiculous misunderstandings. These hypothetical grievances may include cultural misconceptions or other aspects which can be directly tied to having a poor viewpoint about the value of others. The HR manager must now control this situation, perhaps by discussing the matter in-depth with the worker to illustrate that they are not contributing positively to the strategic diversity goals of the firm and provide assistance to the worker to help them better understand different cultural values. Should these efforts fail, the HR manager must decide whether to punish the worker or change the nature of the strategic goal to make it more realistic in a complicated business environment. From a generic management viewpoint, the HR professional acts very much like a traditional line manager, but simply takes the role of manager in areas which impact the human condition or serve to potential enhance or impede company goals. This suggests that traditional management roles and HR roles are not all that different, however all activities associated with human resources philosophy must be targeted at creating more positive organizations, especially in terms of embracing and coordinating diversity. Linking HR to Executive Motivations Cox & Beale (1997) offer that managing diversity maintains significant positive outcomes for the business from a public relations perspective. Thus, with this recognition in mind, it becomes the role of the HR manager to actively promote positive behaviors on behalf of executive-level leadership as these individuals are in the most high-profile positions and will likely have the most exposure to media. Additionally, Vanga & Ross (2000) offer that many executives today remain focused on self-preservation tactics, such as withholding vital information from others to secure their own position longevity and avoid threats from others who might replace the executive due to higher levels of performance. Further, the authors paint the portrait of the executive leader as being largely over-confident in organizations where compensation packages are high (from a comparative industry viewpoint) and they have essentially free-reign to make any number of strategic decisions without consulting other executive managers. With this definition of the modern executive in mind, the role of the HR manager must be one that facilitates positive motivation and attempting to make the executive leader more adaptable and flexible, rather than maintaining a rigid belief in self-superiority. Today, many companies try to motivate the executive to positive performance by offering generous bonus packages as they are at risk, meaning that the executive will not receive these bonuses unless the specific objectives outlined for them are met (Armour & McCahery, 2006). Thus, consider an organization where embracing diversity is a primary target for senior-level managers and in order to receive a bonus package, such as gain-sharing, they must prove to HR that they have made significant efforts to change the social landscape within the firm and provide opportunities to widely-different staff members. The aforementioned scenario is more of a performance management element of HR as it clearly outlines what must be accomplished to receive executive-level compensation, thus making the manager accountable for his or her actions. This could be viewed as a preliminary planning element of HR as the human resources manager sets a specific target for diversity, as one example, when they recognize failures in this respect in the executive manager. Organizing how the leader will receive his or her rewards is the element of management where the most positive motivational outcomes can be met. In businesses today, key decision makers delegate responsibilities to adapt to changing market needs and foster innovative thinking to maintain a competitive edge (Cohan, 2002). Thus, in terms of organizing, the HR manager may work directly with the executive leader to identify how best to structure the organization to meet long-term goals and then work using HR resources to ensure that the organizational structure is congruent with the executive's long-term plans for growth and sustainability. This HR manager has reinforced the importance of the executive's strategies (thus boosting egocentric beliefs) and has managed to recreate the organization to make the executive feel valued as a leader. At the same time, the HR professional is leading by creating organizational structures on the demand of the executive and walking the walk and talking the talk by illustrating that changes will be made to the organizational staff to appease the executive as discussed in private meetings. Obviously, the HR manager, at this point, will determine whether the executive has reached their intended targets, thus boosting motivation to perform, and will either reward the executive for their outstanding commitment or clearly identify areas requiring improvement. In any event, the HR professional follows the model of management by planning new initiatives related to the executive, organizing the business to suit their needs, leading to promote similar modeled behaviors from the executive leader, and then supplying the motivational tools necessary for performance and self-gratification: The profit-sharing or similar bonus structure. Conclusion Clearly, the role of the contemporary HR manager is one that is closely linked to generic management models, making this role much more adaptable and flexible than virtually any other within the business environment. By promoting diversity and ensuring these objectives are well-managed, as well as creating a viable performance management plan of action for senior-level leadership, the HR manager becomes actively involved in all aspects of the business and provides the know-how to boost internal motivations, leading to positive business outcomes. References Aoun, Georges. (2007). "Report of an International Forum on Managing Diversity". Equal Opportunities International. Patrington, 26(1): 67. Armour, John & McCahery, Joseph. (2006). After Enron: Improving Corporate Law and Modernising Securities Regulation in Europe and the US. Portland, Ore Hart Publishing. Brant, Liz & Harvey, Tony. (2005). "10 Ways to Work with Diversity". Training Journal. Ely. Sep 2005: 62. Cohan, Peter S. (2002). Technology Leaders, ExpressExec Innovation. Oxford, United Kingdom Capstone Publishing, Ltd. Cox, Taylor & Beale, Ruby L. (1997). Developing Competency to Manage Diversity: Readings, Cases & Activities. San Francisco. Berrett Koehler Publishing. Griffin, R.W. & Moorhead, G. (2006). Organizational Behavior: Managing People and Organizations. Houghton Mifflin Company, New York. Jackson, Anne C. (2001). Human Resource Management. 2nd ed. United States, Blackwell Publishing. Mathis, R. & Jackson, J. (2005). Human Resource Management. 10th ed. United States, Thomson South-Western. Nickels, W., McHugh, J. & McHugh, S. (2005). Understanding Business. 7th ed. McGraw Hill Irwin. Vanga, R. & Ross, A. (2000). Political Conflicts and the Workplace. Hamish Hamilton Publishers. Women in Management Review. (2005). "Employers must face up to the challenges of managing diversity". 20(7/8): 532-534. Retrieved 3 Mar 2008 from ProQuest Database. Read More