Principle of Management
Chapter 11 Managing the Diverse Workforce 1. Diversification should be a form of strategy that all companies should take aware if they are looking to have a vital creativity and innovation in order to become an successful organization. The United States is one of the few societies that have access to this great amount of talents due to it’s difference of diversity.
Managing diversity has brought great issues while trying to find recrutement. In the 1800s, it was considered poor business practice for white protestantdominated insurance companies to hire religions and race backgrounds, for example irish, Italians,
Catholics, or Jews. As late 1940s, and in some case even later then that, colleges discriminated against immigrants, Catholics, and Jews, establishing strict quotas that limited their number.
Due to all these issues in the past, companies taken great roles to make the work force as diversity as it can get. I believe that the more of a diversity company, the more likely it is to succeed using the growth strategy. Pros of Diversification
Economies of scale and scope
Operational synergies can be realized.
Spreading the firm's unutilised organizational resources to other areas can create value.
Leveraging skills across businesses can create value. Transaction costs
Coordination among independent firms may involve higher transaction costs. Internal capital market
Cash from some businesses can be used to make profitable investments.
External finance may be more costly due to transaction costs, monitoring costs, etc. Diversifying shareholders’ portfolios
Individual shareholders may benefit from investing in a diversified portfolio.
Identifying undervalued firms
Shareholders may benefit from diversification if its managers are able to identify firms that are undervalued by the stock market. 2. Yes i believe prejudice is declining in our college then what it used to be, but i have seen people that still are judging certain types of other people due to differences in race , age, backgrounds, beliefs capabilities, and culture. The most difficult and wrenching struggle for equality involves America’s non white minorities. Rigid racial segregation remained a fact of american life for 100 years after the end of the civil war. Black voting rights, particularly in the south , were often viciously suppressed, and racial discrimination is education, employment, and housing throughout the United States was a harsh daily reality. Years of difficult, courageous protest and struggle gradually began to take away both legal and social barriers to equality. Therefore, having these historic issues once again occurring brought a newer discrimination on culture. We as college students, can see how discrimination due to race, age, religion has made us be prejudice.
Growing up, i really did not think on having certain specific friends, but my parent made sure and thought me that we are all humans, we may look different on the outside but within our fleshes we are the same.
3. The distinctions between affirmative action and managing diversity is that affirmative action focus more discrimination, while managing diversity is recognition, to specific groups of employees. Affirmative actions are special efforts to recruit and hire qualified members of groups that have been discriminated against in the…