Building More Diverse Public Organizations and Businesses [Infographic]

Ohio University http://onlinemasters.ohio.edu 4m 1,116 #diversity

The views of this article are the perspective of the author and may not be reflective of Confessions of the Professions.

The Importance of Building Diversity In the Workplace As Workplace Strategy

As you may know, Mckinsey & Company recently published a study that explained why companies should increase diversity and inclusion in the workplace and how it affects a company’s bottom line. In fact, Canada could add $150 billion in GDP growth by 2026 by advancing women’s equality alone. This visual resource, created by Ohio University, that highlights the importance of diversity within organizations and the various business advantages of doing so.

Today, organizations with the highest level of racial diversity had 1,367 percent higher mean sales revenue than those with the lowest level. Coupled with this fact, organizations with the highest level of gender diversity had 1,325 percent higher mean sales revenue than those with the lowest level. This infographic provides even more information on how organizations are recognizing diversity in the workplace as a business strategy that maximizes productivity, creativity, and loyalty of employees while still meeting the needs of clients and customers.

To learn more about the positive impact diversity has in the work environment and how it can affect a company’s bottom line, view full infographic here: http://onlinemasters.ohio.edu/public-administration-building-more-diverse-public-organizations-and-businesses/

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Building More Diverse Public Organizations and Businesses

Businesses have started to recognize diversity in the workplace as a business strategy that maximizes productivity, creativity, and loyalty of employees while meeting the needs of their clients or customers. In a competitive marketplace, an organization that puts their people first—regardless of race, religion, gender, age, sexual preference, or physical disability—has an advantage over other organizations.

DIVERSITY IN SOCIETY

Overview of Diversity in the U.S.

Diversity can take many forms

• Age
• Ability
• Sexual Orientation
• Religion
• Gender
• Race

321 million people living in the U.S.

• 61.6% are Caucasian
• 17.6% are Hispanic or Latino
• 13.3% are African-American
• 5.6% are Asian
• 1.2% are American Indian and Alaska Native
• 0.2% are Native Hawaiian and Other Pacific Islander alone
• 13.1% are foreign born
• 2.6% are two or more races

60.3 million Americans speak a language other than English at home

Most common languages outside of English

• 37.4 million Speak Spanish or Spanish Creole
• 1.6 million Speak Tagalog
• 1.8 million Speak Chinese
• 1.2 million Speak French
• 1.3 million Speak Vietnamese

GENDER

• 49.2% are Male
• 50.8% are Female

AGE

• 22.9% are under 18
• 62.2% are 18-64
• 14.9% are over 65

DISABILITY

• 64 million Americans with a disability
• of the population 22%

SEXUAL ORIENTATION

• 92.3% of women and 95.1% of men identify as heterosexual
• 1.3% of women and 1.9% of men identify as gay
• 5.5% of women and 2% of men identify as bisexual

RELIGION

• 77% of Americans are religiously affiliated
• 25.4% of Americans are Evangelical Protestant
• 22.8% are unaffiliated with any religion
• 20.8% are Catholic
• 14.7% are mainline Protestant
• 5.9% are non-Christian faiths

Diversity in a U.S. workplace

27.6 million firms

• 9.8 million owned by women
• 7.9 million minority owned

50.8% over half the workforce is made up of women

16% But only a small proportion work within executive teams

45% of companies have no minorities on their executive team

17.5% of Americans with disabilities are in the labor force

27.3% of American companies have no diversity initiative or practice in place

IMPORTANCE OF DIVERSE ORGANIZATIONS

Importance of diversity within organizations

A DIVERSE WORKFORCE HAS MANY ADVANTAGES

• INCREASED PROBLEM SOLVING: Employees with different backgrounds and experiences will bring a variety of perspectives, strengths, and skills to the table
• INCREASED CREATIVITY: Exposure to differences in culture, opinions, and ideas can bring personal growth to all employees
• INCREASED RECRUITMENT AND RETENTION: A diverse and inclusive workforce is attractive to new candidates
• INCREASED PRODUCTIVITY: Happy employees, like those in inclusive workplaces, are more loyal and willing to work together towards common goals

AND BUSINESS LEADERS ARE WELL AWARE OF THESE ADVANTAGES

• 90% Of CEOs in the U.S. whose organizations have a diversity and inclusiveness strategy say it has helped them attract talent
• 85% Report it has enhanced performance
• 83% Report it has strengthened their brand and reputation
• 78% Report it has helped them innovate
• 78% Report it has helped them collaborate internally and externally
• 77% Report it has enhanced customer satisfaction
• 75% Report it has helped them serve new and evolving customer needs

Financial impact of diversity in an organization

• Diversity can make a huge impact on the performance of organizations
• Organizations with the highest levels of racial diversity had 1367% higher mean sales revenue than those with the lowest levels
• Organizations with the highest level of gender diversity had 1325% higher mean sales revenue than those with the lowest levels

Mean sales revenue

• Low racial diversity $51.9 M
• High racial diversity $761.3 M
• Low gender diversity $45.2 M
• High gender diversity $644.3 M

APPLYING PUBLIC ADMINISTRATION TOOLS TO INCREASE DIVERSITY IN ORGANIZATIONS

Diversity Tools in Public Administration programs

• Diversity in public administration programs is a subject of growing interest
• 12% of articles published in the top ten public administration academic journals addressing issues of diversity
• Schools of public administration and policy are responsible for education future leaders on issues of diversity and cultural competency

DIVERSITY COMPONENTS TAUGHT AS PART OF PUBLIC ADMINISTRATION PROGRAMS

• 19.2% Diversity, taught in public administration program
• 10.2% Gender
• 9.6% Culture
• 7.3% Race/Ethnicity
• 6.2% AA/EEO
• 4.5% Socioeconomic Status
• 3.4% Education
• 2.3% Generation
• 1.7% Age
• 1.1% Disability
• 1.1% National Origin
• 0.6% Sexual Orientation
• 0.6% Religion
• 0.6% Language

COMPETENCIES THAT BUILD DIVERSITY WITHIN ORGANIZATIONS

• Communication: Accept and respect cultural differences, different ways of communicating, and different traditions and values
• Cultural Self-Awareness: Culture shapes our sense of who we are and where we fit in our families, schools, communities, and societies
• Knowledge of Differences: Know what can go wrong in cross-cultural communication and how to respond to these situations
• Knowledge of Culture: Administrators must have a base knowledge of the cultures in their organizations so behaviors can be understood in their proper context
• Institutionalizing Cultural Knowledge and Adapting to Diversity: Organizations can institutionalize cultural knowledge so they can adapt to diversity and better serve diverse populations

Steps to increase diversity

• Make diversity part of the organization’s mission: Strive for involvement at all levels and through all branches of the organization
• Enlist and involve all employees in diversity initiatives: 57% of employees think their organization needs to be doing more to increase diversity among its workforce
• Take an active role n making diversity part of the organization: Reach out to diverse candidates instead of waiting for applications to come in
• Evaluate current workforce executive team: Identifying gaps provides targets for organizations to work on

Encourage employees to express their opinions and seek their advice on important organizational decisions

Success stories

MARRIOTT INTERNATIONAL IS RANKED ONE OF THE BEST WORKPLACES FOR DIVERSITY

• 54% of the workforce are women
• 64% are minorities
• 94% of employees report welcoming atmosphere for newcomers
• 92% report great communication
• 91% report great bosses

Diversity initiatives include those for guests, associates, and suppliers

Goal is to have 1,500 hotels owned by women and diverse partners by 2020

Currently 800+ owned by women and diverse partners

10% Of suppliers are made up by women owned businesses.

OHIO UNIVERSITY

onlinemasters.ohio.edu/masters-public-administration

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