Organizational Management: Cultural Diversity Management

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Organizational Management: Cultural Diversity Management

Purpose of planning

Business plans and the information they contain are meant for an organizations management and investors. Good business plans help in pulling the management team in an organization into a cohesive unit with the same goals. It helps stakeholders in the organization to understand the organizations objectives, their importance, and how they are to be achieved. Coming up with a plan forces the management team to think through all that has to be done in the coming financial period to make sure that everyone has understood the role he has to play. It is a road map that gets an organization to its goals. In this way, an organization is able to determine whether it is on the course or off course and make the necessary adjustment in time. A financial plan enables management to anticipate the possible financial needs of an organization. A good business plan is also a prediction of the future character of the business. This information is important in attracting potential investors to the business (Lasher, 2007).

Main elements of a business plan

Business plans have details that vary from company to company according to their needs. However, many plans follow a standard format that includes; contents, executive summary, mission and strategy statement, markets analysis, business operations, management and staffing, financial projections, and finally, contingencies. The first two are introductory elements. The organizations basic charter and its long-term direction are laid out in the mission and strategy section. Market analysis tries to demonstrate why the business will be successful despite competition from other businesses. The operations section shows how the organization creates and distributes its services or products. The section on management and staffing outlines the projected personnel needs of the organization and if possible, the credentials of key managers. The future financial results of the organization are projected in the financial section. Steps to be taken if things do not turn out as planned are outlined in the contingencies section (Lasher, 2007). Importance of marketing information systems in relation to planning

With the emergence of computer technology, there is hardly any business that does not use information systems in its operations. MIS helps businesses in strategic planning by assisting management to understand the effects that their strategies can have on the business and therefore, make effective decisions. Organizations use computers to generate financial statements and also performance reports that help them in financial planning. The planning team can also use computers to generate hypothetical scenarios in relation to alterations to strategy and make informed decisions (Agriculture and Consumer Protection, n.d).

Organizational Culture and Management of Change

Problems of cultural diversity

Organizational management usually faces many challenges in dealing with culturally diverse workforces. Management is usually forced to deal with issues of combating discrimination and making sure that there is the promotion of inclusiveness. Culturally diversity also forces organizations to deal with losses of employees and work productivity that is brought about by prejudice, complaints, discrimination, and legal actions that may be leveled against the organization. Negative behavior and attitude can also be a barrier to cultural diversity in an organization, this is because they harm working relationships and kill employee morale, and work productivity (Green et al, 2009)

Advantages of cultural diversity

Cultural diversity does not only present challenges in organizational management. It also has many beneficial impacts that if used well can help a business achieve its goals. Cultural differences can benefit both employers and associates. Workers usually depend on each other in their work, but respecting individual differences goes a long way in increasing their productivity. Cultural differences help in increasing marketing opportunities for organizations. It increases employee recruitment, creativity and therefore improves the business image of an organization (Green et al, 2009)

Management of cultural differences

To effectively manage cultural differences, managers make sure that all employees are involved in the formulation and execution of workplace diversity initiatives. They cultivate a sense of equality in employees by encouraging them to express their views. Make sure that there is diversity in leadership positions to avoid prejudices. Come up with diversity training programs to shape their diversity policy (Green et al, 2009).

Forces for change

Business organizations usually change in response to many forces that can be both external and internal. Internal forces usually originate from within the organization and may include market competition, state regulations, and changes in technology. Competition can force organizations to change in order to survive. Government regulations can also act as an impetus for change. For instance, the Equal Employment Opportunity Act forced organizations in the US to offer equal employment opportunities to people from different cultures. Technological innovations force organizations to conform to the current business practices and therefore, change their current strategies (Lunenburg, 2010)

Resistance to change

Not all people will agree with the changes and there is bound to be some resistance. Barriers to change usually include uncertainty, where workers will be worried about how the change will affect their work. A potential weakness in the proposed change can create resistance. Trust in management, if the change is proposed when the trust of employees in management is low, then employees will naturally resist the change. Group resistance is also a force against change. Many people will do what a group does and if that group resists change, then they will follow suit (Lunenburg, 2010).

References

Agriculture and Consumer Protection., n.d. Marketing Information Systems. Web.

Green et al., 2009. Diversity in the Workplace: Benefits, Challenges, and the Required Managerial Tools. Web.

Lasher, W., 2007. Practical Financial Management. New York: Cengage Learning

Lunenburg, H., 2010. Forces for and Resistance to Organizational Change, National Forum of Educational Administration and Supervision Journal. Web.

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