This document discusses valuing diversity globally and managing human relations in organizations. It defines diversity and explains why valuing diversity is important for companies. It also discusses prejudice, discrimination, areas of potential employment discrimination, and laws protecting minorities and women. The document emphasizes that managing diversity, handling complaints, and promoting inclusion are key to business success as the global population becomes more diverse.

1. Valuing Diversity Globally
Matthew L. Eisenhard, Psy.D.
Week 13: Psychology for Business & Industry

2. Diversity
• Degree of differences among members of a group or organization.
▫ Major differences in the workplace include racial, ethnic, religious,
gender, age, and ability.
▫ Valuing diversity means including all groups of people in all levels of an
organization.
• Why is it important?
▫ Companies that diversify do better.
▫ U.S. population 312 million – world 7 billion.
 Going global opens up larger markets.
▫ 2040 it is estimated less than 50% of the U.S. population will be
Caucasian.
▫ Diversity can be an asset – collaborate, generate new and novel ideas,
learn from each other.

3. Prejudice & Discrimination
• Prejudice is prejudgment of a person or
situation based on attitudes (usually
stereotypes).
• Discrimination is
behavior for or
against a person or
situation.

4. Common Areas of Employment
Discrimination
• RECRUITMENT
▫ Failure to recruit possible employees from certain selected
groups.
• SELECTION
▫ Failure to hire people from certain groups.
▫ 80% rule – adverse impact.
• COMPENSATION
▫ Unequal pay for same jobs – white males make more money
than any other group.
• UPWARD MOBILITY
▫ Race and gender are major influences on promotions.
• EVALUATION
▫ Failure to base evaluations on job performance.

5. Valuing Diversity Training
• Organizations of all types are training employees to
value diversity.
▫ Not just to tolerate it!
 Understand current and future demographics.
 View the organization from a global perspective.
 Recognize detrimental effects of prejudice and discrimination.
• To have effective human relations:
▫ Tolerate differences.
▫ Understand differences.
▫ Have empathy for others’ situations in life.
▫ Open lines of communication.
▫ Be aware of and avoid tendency to prejudge and stereotype.

6. Equal Employment
• Equal Opportunity Opportunity Commission (EEOC)
▫ Protects minorities from discrimination in the workplace.
▫ No member of an organization is allowed to ask
discriminatory questions when hiring someone.
▫ Guidelines – Bona Fide Occupational Qualifications
(BFOQ).
• Affirmative Action (AA)
▫ Planned, special efforts to recruit, hire, and promote
women and other members of minority groups (for firms
doing business with federal government).
▫ Support has declined because “quotas” could not be met
and reverse discrimination suits were filed.

8. Pre-Employment
Inquiries
• All questions need to be job-related.
▫ Only ask questions that are
“legal.”
▫ General questions should be
asked of all candidates.
• Bona Fide Occupational Qualification (BFOQ)
▫ Allows discrimination on the basis of religion, sex,
or national origin where it is reasonably necessary
to normal operation of a particular enterprise.

10. Legally Protected
• MINORITIES
▫ Hispanics, Asian/Pacific
Islanders, African Americans,
Native Americans/Alaskan
Natives.
• RELIGIOUS BELIEFS
▫ “Reasonable
accommodations” for
holidays.
• AGE
▫ Over 40’s are protected.
▫ Difficult to prove age
discrimination.

11. Legally Protected
• DISABILITIES
▫ Americans with Disabilities Act (ADA)
 Significant physical, mental, or emotional
limitations.
 Also includes people with prison records, major
obesity, heart disease, cancer, mental illness, AIDS,
and rehabilitation alcohol and drug abusers.
 Law requires employers have “reasonable
accommodations.”
 Disabled person can still be required to meet the same
productivity standards.

12. Legally Protected
• ALCOHOL & DRUG TESTING
▫ 1 of 6 Americans have a substance abuse problem.
▫ Costs estimated at over $86 billion per year.
 Accounts for loss of productivity from absenteeism, health care costs.
• AIDS & AIDS TESTING
▫ 40% of reported cases are heterosexual, 50% of newly infected adults are
women.
 Transmitted via sexual activities, shared needles, infected mother of a
fetus, and blood transfusions.
▫ Person infected with HIV or AIDS is protected under the ADA of 1990
and the rehabilitation act of 1973.
 ADA approach to contagious diseases states employers may disqualify a
person for employment if they are “a direct threat to the health or safety of
others in the workplace.”
▫ 1987 federal laws in place barring discrimination against federal workers
with AIDS.
 Also, disciplinary action for those refusing to work with someone with
AIDS.

13. Legally Protected
• SEXUAL ORIENTATION
▫ Homosexuals (gays, lesbians).
 Homophobia is an aversion or discrimination
against a person based on their sexual orientation.
▫ EEOC is supposed to cover.
▫ As with age discrimination, is hard to prove.

14. Grounds for Sexual Harassment in
Federal & State Courts
• Any unwelcome behavior of a sexual nature.
• UNWELCOME SEXUAL ADVANCES
▫ Propositioning – trying to establish an intimate relationship on or off the job.
• COERCION
▫ Someone in power asking for sexual favor with stated or implied reprisal if not
complied with.
• FAVORITISM
▫ If employees are rewarded for sexual favors, then those who refused or were not
asked can sue.
• INDIRECT HARASSMENT
▫ Being witness to others’ harassment.
• PHYSICAL CONDUCT
▫ Actual touch is not required – unseemly gestures also constitute harassment.
• VISUAL
▫ Graffiti – displays of nude pictures (or nude calendars.

15. Women & Sexual Harassment
• Women are a legally protected group.
▫ Not a minority – actually a majority.
• Sexual harassment difficult to prove due to its
subjective nature.
• Most charges are against men toward
women – but can be vice versa or
same sex.
▫ Never heard about it until about
25 years ago – just not brought
out publicly.
▫ Number of cases continue to increase.

16. Dealing with Sexual Harassment
• It has a “subjective” quality – litmus test is
“comfort level.”
• Let the other person know you are offended and
need to stop if you uncomfortable with:
▫ Someone touching you.
▫ Showing you sexually
graphic materials.
▫ Telling off-color jokes.
• If it persists, report to
authorities.

17. Dating Co-workers
• A major influence on
attraction is proximity.
• Office romance changes behavior and can affect
job performance.
▫ Some companies have policies against dating co-
workers – and may fire people for it.
▫ Same as marriage statistics – half of the
relationships fail.
▫ Working with someone after a break-up can be
difficult and may lead to harassment.

18. Political Correctedness
• Means being careful
not to offend or slight
anyone by what we say
or do.
▫ Things that would be
detrimental to good
human relations.
▫ Jokes can be very
harmful – use with
caution!

19. Sexism & Racism
• Sexism refers to discrimination
based on sex.
▫ Not just directed toward women.
▫ Limits the opportunities of both sexes to choose
the careers they want.
• Racism refers to discrimination based on race.
▫ Culture continues to promote stereotypes.
• Job opportunities should be equal – based on a
person’s ability to perform.

21. Women in the Workforce
• Self-assessment 13.2 measures your attitudes toward
women and minorities in the workplace.
• Women make up 46.3% of total U.S.
workforce.
▫ Women’s incomes are critical to family
financial support.
▫ In general, women want both a career
and family.
• Equal pay?
▫ Men are paid more for equal positions.
▫ Especially in higher paid executive
positions.

22. Myths about Women Managers
• Will leave when they have children.
▫ Research shows they stay on the job.
• Too emotional to be managers.
▫ Studies show virtually identical emotional profiles
between men and women in management.
▫ Men and women show no differences in
leadership abilities.
• Not as committed to the organization as males.
▫ Not proven to be true – commitment is equal on
the basis of gender.

23. The “Glass Ceiling”
• Today, more women college grads than
men.
• Women hold 51% of management and
professional jobs.
▫ However, men more likely to get
promotions.
▫ Women face many barriers in
corporate jobs.
• Women hold only about 7% of senior
executive positions.
▫ Many women opt to start their own
businesses.
▫ Only 11 (2.2%) women CEO’s of
Fortune 500 companies.
 Down from 15% in 2010.

24. Progress of Minorities
• Just like women, many are leaving corporate
America to start their own businesses.
• Two advancement-related traits are:
▫ Strong desire.
▫ Focusing on getting the job done.
• Networking helps – but women
and minorities are at a disadvantage
because they do not fit the “right”
social mold.
▫ Having a mentor helps.

25. Overcoming Sexism & Racism
• Avoid sexist and racist terminology.
▫ Mail carrier, not “mailman.”
▫ Women are not “girls,” nor men “boys.”
• Avoid swearing.
• Be assertive – ask the offender to stop
– do not tolerate.
• It it persists, report to supervisor.

26. Changing Family Roles
• Two income families became
the norm in 1994.
▫ Over half of all married couples
both work outside the home.
▫ Number of people getting married has decreased.
▫ Women still do most of housework and parenting.
▫ 25% of children are raised by a single parent.
• Self-assessment 13.3 looks at your marriage
knowledge.

27. Fathers’ Changing Roles
• Strong father figures are
correlated with reduced
criminality in children.
• More fathers routinely stay
home to care for sick children.
• Some families find that a
second paycheck does not
always mean living better.
• The “gender flip.”
▫ If mom makes more money,
she works and dad stays home.

28. Mothers’ Changing Roles
• Many of today’s moms work outside the home as
well as being homemakers.
▫ Career track moms.
 Choose to stay on the job.
▫ Mommy track moms.
 Leave work and plan to return when kids are grown.
• Family Leave Act.
▫ Both moms and dads have up to 12 weeks.
▫ Know your rights: contact Department of Labor.

29. Parenting
• Many couples experience a drop in marital
satisfaction following the birth of a child.
• Two guidelines to follow:
▫ Engage in sensitive play.
 Touch, hold, and talk to child.
 Give lots of praise.
▫ Develop a warm, loving bond.
 Make child feel safe and secure.
 Read more, less television.

31. Work & Family Balance
• Work-family spillover.
▫ With technology, the lines between on the job and
at home get blurred.
▫ Keeping a balance can be stressful.
• Good family relationships are important for total
well-being and good job performance.
• Business magazines publish lists of best places to
work.

32. Managing Diversity
• Some organizations now have Chief Diversity Officers on
their executive teams.
• Added work-life benefits are being offered.
▫ Telecommuting.
▫ Flextime.
▫ Cafeteria benefits.
▫ Child care.
▫ Work-life balance classes.
▫ Wellness programs.
▫ Tuition re-imbursement.
▫ Employee assistance programs.

33. Global Diversity
• Multinational companies
(MNCs) conduct a large
part of their business
outside their home
country.
▫ #1 challenge to business
leaders in the 21st
century.
▫ Cross-cultural relations
important.
• 7 areas of diversity
(Hofstede’s Model)
▫ CUSTOMS.
▫ ATTITUDES TOWARD
TIME.
▫ WORK ETHICS.
▫ COMPENSATIONS
(PAY).
▫ LAW AND POLITICS.
▫ ETHICS.
▫ PARTICIPATIVE
MANAGEMENT.

34. Handling Employee Complaints
• Four step complaint model:
▫ LISTEN AND PARAPHRASE
 Listen to the full story – do not interrupt.
 Do not get defensive.
▫ HAVE COMPLAINER RECOMMEND SOLUTION
 Ask the person what they want.
▫ SET A TIME FOR FACT GATHERING AND A DECISION
 Do not procrastinate – do not promise a decision and then not
follow-through – the faster it is resolved, the better.
 Talk to others and get all of the facts first.
▫ DEVELOP AND IMPLEMENT PLAN
 Use complainer’s resolution if possible.
 Always make sure plan is implemented and a follow-up is
made.

35. Handling Customer Complaints
• Five steps to follow:
▫ Admit the mistake.
▫ Agree that it should not have
happened.
▫ Ask what the customer wants
and tell them what you are going
to do about it.
▫ Take action to make it up to the
customer.
▫ Take precautions to prevent from
happening again.

36. In Summary
• Prejudice and Discrimination
• Major Laws Protecting Minorities and Women
• Legal Questions for Job Interviews
• Legally Protected Groups (Equal Employment
Opportunity Commission)
• 6 Areas of Sexual Harassment
• Sexism in Organizations
• 7 Areas of Global Diversity
• How to Handle Complaints

37. Summing it all up: Handling Human
Relations Problems
• Three alternatives:
▫ Change the other person.
▫ Change the situation.
▫ Change yourself.
 Assess your abilities and skills.
 Develop new skills.
 Change your behavior.
 Get feedback and reward yourself.