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THE MANAGEMENT OF WORKFORCE DIVERSITY AND THE IMPLICATIONS
FOR LEADERSHIP AT FINANCIAL ASSET SERVICES
by
L.J. ERASMUS
SHORT DISSERTATION
Submitted in partial fulfilment of the requirements for the degree
MAGISTER COMMERCII
in
BUSINESS MANAGEMENT
in the
FACULTY OF MANAGEMENT
at the
UNIVERSITY OF JOHANNESBURG
Supervisor: TFJ OOSTHUIZEN
MAY 2007
ii
Confirmation of Own Work
I, Lodewikus Johannes Erasmus, declare that this dissertation is my own unaided
work. Any assistance that I have received has been duly acknowledged in the
dissertation. It is submitted in partial fulfilment of the requirements for the degree
of Master of Commerce at the University of Johannesburg. It has not been
submitted before for any degree or examination at this or at any other University.
………………………………… ………………………….
iii
Executive Summary The Financial Asset Services Division, or FAS, is an integral part of Standard
Corporate Investment Bank’s operations. FAS offers high net-worth companies
services and products that can generate extra revenues.
Diversity is a new dimension that needs to be managed within South African
organisations. The contemporary manager might not be equipped to deal with
the new and unique set of challenges that accompany diversity related issues.
This work aims to provide managers a basis to explore the concept of diversity
management by investigating different management theories. This is also the
basis of questionnaires put to managers and employees to determine what
factors and dimensions influence leadership roles.
Having identified these dimensions and factors it is also investigated what
implications there are for leadership. Identified problem areas are brought to the
reader’s attention as well as recommendations based on sound diversity
management principles. This will provide management with a basis from which to
effectively manage diversity in the workplace at FAS.
iv
Acknowledgments This work is dedicated to all those very special people who had a hand in its
creation. The completion of this work is not due to the sole effort of the author but
belongs to all who have encouraged and supported me. My thanks go to the
following people:
• My parents, Nic and Frieda, without whose encouragement and support I
could never have achieved this goal.
• Amanda who sat beside me through many, many nights of quiet study.
Thank you for your love, encouragement and patience.
• My study leader, Theuns Oosthuizen who made time to impart his vast
knowledge and provide me with always encouraging criticism. A study
leader truly works just as hard on a dissertation as the student.
• At FAS, Sonja Pedall and Sarisha Sankar who assisted me greatly.
• Anneli and Rhiette at STATKON whose expertise was invaluable in the
completion of this work.
• Rika Venter who always has encouraging words for M.Com students.
• And lastly but definitely not least, Jesus Christ our Saviour who makes all
things possible. Thank You for the strength and determination to complete
this work. To God be the glory for ever.
v
Table of Contents
Chapter 1 Introduction 1.1.1 Background 1
1.1.1 Overview of Financial Asset Services 1
1.1.2 Concepts in Diversity Management 4
1.2 Problem Statement 7
1.2.1 Research Question 7
1.3 Objective of the Study 8
1.3.1 Primary Objective 8
1.3.2 Secondary Objectives 8
1.4 Methodology 9
1.5 Limitations of Study 9
1.6 Chapter Outline 10
1.6.1 Chapter 1: Introduction 10
1.6.2 Chapter 2: Literature Review 10
1.6.3 Chapter 3: Research Methodology 11
1.6.4 Chapter 4: Data Analysis and Interpretation 11
1.6.5 Chapter 5: Conclusions and Recommendations 11
Chapter 2 12 Literature Review 2.1 Introduction 12
2.2 Diversity Defined 12
2.2.1 Diversity Management Defined 13
2.3 Role Players in Diversity 15
2.3.1 Government 17
2.3.2 Employer and Employee 18
2.4 The Role of Leadership in Diversity Management 20
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2.5 Models for Managing Diversity 22
2.5.1 R. Roosevelt Thomas, Jr’s Generic Action options 24
2.5.2 Ann Morrison’s Specific Diversity Initiatives 25
2.5.3 An Integrated Strategic Framework for the Management
of Diversity 30
2.5.4 Barriers to Effective Diversity Management 32
2.6 Change Management 34
2.7 Conclusion 35
Chapter 3 36 Research Methodology 3.1 Introduction 36
3.2 Research Design 36
3.3 Sampling Strategy 36
3.3.1 Population 37
3.3.2 Size of Sample 37
3.3.3 Sampling Technique 37
3.4 Data Collection Method 37
3.4.1 Secondary Data 38
3.4.2 Considerations in Compiling the Questionnaire 38
3.4.3 Administering the Questionnaire 39
3.5 Data Analysis Method 39
3.5.1 Recording of Data 39
3.5.2 Structuring of Data 39
3.5.3 Analysis of Information 40
3.6 Ethical Requirements 40
3.7 Conclusion 41
Chapter 4 42 Data Analysis and Interpretation 4.1 Introduction 42
vii
4.2 Demographic Breakdown of Data Collected 43
4.3 Responses by Questionnaire Sections 44
4.3.1 Responses to Section 2 – Principles of Diversity Management 45
4.3.2 Responses to Section 3 – Barriers to Diversity Management 48
4.3.3 Responses to Section 4 - R. Roosevelt Thomas Jr’s Generic
Actions 50
4.3.4 Responses to Section 5 - Ann Morrison’s Specific Diversity
Initiatives 54
4.4 Conclusion 56
Chapter 5 58 Conclusions and Recommendations 5.1 Introduction 58
5.2 Conclusion 58
5.2.1 Section 2: Principles of Diversity Management 60
5.2.2 Section 3: Barriers to Diversity 60
5.2.3 Section 4: Roosevelt’s Generic Action Options 62
5.2.4 Section 5: Morrison’s Specific Diversity Initiatives 63
5.3 Recommendations 64
5.4 Summary 69
Bibliography 70
viii
List of Annexures Annexure A 73 Questionnaires Annexure B 84 Questionnaire Results Section 2 Annexure C 86 Questionnaire Results Section 3 Annexure D 88 Questionnaire Results Section 4 Annexure E 90 Questionnaire Results Section 4
ix
List of Figures
1.1 FAS Structure 2
2.1 Dimensions of Diversity 13
2.2 Tripartite Employment Relations 16
2.3 Spheres of Activity in the management of Cultural Diversity 23
2.4 Integrating Roosevelt’s Generic Options and Diversity Definitions 25
2.4 Integrating Morrison’s Diversity Initiatives into Spheres of Activity 29
2.5 Integrated Strategic Framework for Diversity Management 31
4.1 Section 2 Employee and Manager Responses 46
4.2 Section 3 Employee and Manager Responses 47
4.3 Section 4 Employee and Manager Responses 52
4.4 Section 5 Employee and Manager Responses 55
x
List of Tables
2.1 Common Diversity Practices 26
4.1 Responses: Ethnicity 43
4.2 Responses: Gender 44
4.3 Mean Comparison Section 2: Employees and Managers 46
4.4 Mean Comparison Section 2: Gender 47
4.5 Mean Comparison Section 2: Ethnicity 47
4.6 Mean Comparison Section 3: Employees and Managers 50
4.7 Mean Comparison Section 3: Gender 50
4.8 Mean Comparison Section 3: Ethnicity 51
4.9 Mean Comparison Section 4: Managers and Employees 52
4.10 Mean Comparison Section 4: Gender 53
4.11 Mean Comparison Section 4: Ethnicity 53
4.12 Mean Comparison Section 5: Managers and Employees 55
4.13 Mean Comparison Section 5: Gender 55
4.14 Mean Comparison Section 5: Ethnicity 56
B1 Manager’s Responses 84
B2 Employees Responses 85
B3 Means and Level of Significance per group and Cronbach Alpha 85
C1 Manager’s Responses 86
C2 Employees Responses 87
C3 Means and Level of Significance per group and Cronbach Alpha 87
D1 Manager’s Responses 88
D2 Employees Responses 88
D3 Means and Level of Significance per group and Cronbach Alpha 89
xi
E1 Manager’s Responses 90
E2 Employees Responses 91
E3 Means and Level of Significance per group and Cronbach Alpha 91
1
Chapter 1 Introduction 1.1 Background
Financial Asset Services (FAS) is a division in Standard Corporate and
Investment Bank, currently known as CIB, which is subject to the same
organisational challenges as most of corporate South Africa. Greater regulatory
control is enforced because of environmental changes. These requirements
include for example of the Black Economic Empowerment Act, The Employment
Equity Act no.55 of 1998 and the Labour Relations Act of 1995. Even though the
concept of Diversity Management has existed long before these new acts came
into being it has not an extensively explored concept in South African business
In the custody market entities, such as banks, exist to keep share certificates of
clients in custody. These entities also ensure that when these shares are used in
transactions, the transactions occur accurately and efficiently. CIB and FAS has
become a significant world player in the custodian market. CIB provides
advanced financial solutions to local clients as well as foreign entities seeking
investment opportunities in South Africa. CIB and FAS fulfils a crucial facilitator’s
role in this market. FAS alone holds over 1 trillion rand’s worth of assets in
custody for the market.
1.1.1 Overview of Financial Asset Services In 2004 CIB: FAS was top rated by the Global Custody Survey as being the best
global custodian for African Markets (Van Hoepen, 2006). A global custodian
performs the service of keeping a client’s share certificates, in digital of physical
form, in a secure environment for a fee. They ensure that dealings involving
2
share instruments and assets occur efficiently and on time with the closing
agency such as the Johannesburg Securities Exchange (JSE) and STRATE
(Share Transactions Totally Electronic) through which all nominee companies’
stock and security trades must take place in South Africa.
FAS is made up of many inter functioning departments. A very important part of
FAS’ structure is the Customer Relations Management (CRM) department.
These include salespeople that directly communicate with clients and are
responsible for making sure that FAS’ products are visible in the market and
remains competitive and marketable among global competitors. As such they are
the most visible facet of CIB as it relates to potential and current clients. Another
prominent department that has intense customer contact is Securities
Lending/Borrowing. This department markets a service where a customer gives
FAS permission to trade with the clients’ available shares. This trading consists
of borrowing or lending these shares to generate income for the client. This is
done with a cooperative relationship with Andisa who is a large broker that is on
site.
Figure 1.1 FAS Structure
Source: Van Hoepen, 2006
Customer Relationship Management
Securities Lending and Borrowing
Financial Asset Services
New Product Development
Risk andCompliance
MoneyMarkets
3
Another integral department is Corporate Actions who note and inform customers
of any events that happen among companies with share holdings in SCIB that
influence them. Corporate events are noted when companies issue new shares
or when companies hold general meetings, etc
New Business and Product Development is the task of trying to capture
competitor’s clients or recruiting new clients. This is done by creating innovative
new products and outperforming the competition. These include companies like
ABSA, NEDCOR, Investec, Rand Merchant Bank and a host of other foreign
players such as Hong Kong Shanghai Banking Corporation (HSBC), Barclays
Bank and Bank of New York, to name but a few.
The Money Market department is another important revenue generating
department that ensure that customers who use their product are also protected
in terms of their bearer instruments that may easily be converted to cash assets.
They also trade with these in the market in order to generate income for clients.
The normal supporting functions in a financial institution such as CIB, like
Finance and Administration, Data Reconciliation, Risk and Compliance, assist
the entire organisation in its daily administration duties. The banking sector is
governed by a multitude of laws and regulations. The Risk and Compliance
department ensures that all agreements with clients follow the strict financial laws
in order to minimize the risk exposure and cost of the bank as well as losing face
with the market. They also ensure that all Disaster Recovery Plans are up to date
and executable without notice.
Each department has a manager that reports directly to either one of the two
directors in FAS. These two directors report directly to the chief executive officer
of CIB. He in turn reports directly to the CEO of Standard Bank Group.
Depending on the size of each department they might have supervisors who are
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tasked with the overall administration of their teams. These tasks include human
resource administration, performance appraisals, monitoring and control.
CIB’s executive committee identifies that a structural change was required within
FAS. As a result many unit managers were retrenched early in 2006. At the same
time some of the remaining managers were promoted to FAS’ executive
committee level.
1.1.2 Concepts in Diversity Management “Managing diversity can be defined as a planned, systematic and comprehensive
managerial process for developing an organisational environment in which all
employees, with their similarities and differences, can contribute to the strategic
an competitive advantages of the organisation, and where no one is excluded on
account of factors unrelated to productivity” (Thomas, 1996:10). Diversity
management is a relatively new field in the South African business environment.
As such, little conclusive or region specific research has been done in South
Africa. According to Kreitner, (2001:37) diversity “represents the multitude of
individual differences and similarities that exist among people.” Kreitner’s
definition emphasizes three important issues about managing diversity:
• Diversity applies to all employees and do not only encompass certain
arbitrary differences but the entire spectrum of individual differences that
makes people unique. Therefore diversity cannot be viewed as only racial
or religious differentiation, but as all differences combined.
• The concept of diversity describes differences among people as well as
similarities. The discipline of managing diversity requires that these two
facets are managed simultaneously.
• Managers are expected to integrate the collective mixture of similarities
and differences between workers into the organisation.
5
As such, diversity can be described as having four layers (Kreitner, 2001:38):
• Personality: This describes the stable set of characteristics that
establishes a person’s identity.
• Internal dimensions: These are characteristics that strongly influence
people’s attitudes, perceptions and expectations of others. These include
factors such as age, race, gender, sexual orientation, ethnicity and
physical ability.
• External dimensions: These dimensions are personal traits that we can
assert a certain amount of control or influence over. They are factors such
as income, personal and recreational habits, religion, education, work
experience, appearance, marital status, and geographic location.
• Organisational dimensions: These dimensions pertain to the organisation
itself and include factors such as work field, division or unit, seniority,
union affiliation, management status and functional level.
Currently affirmative action is used as a method of attaining a diversified and
integrated workforce. Kreitner is of the view that (2001:40) “affirmative action is
an artificial intervention aimed at giving management a chance to correct an
imbalance, an injustice, a mistake or outright discrimination” and that it does not
foster a need to change leadership’s thinking about diversity management.
Jeffery (1996:11-13) argues that although affirmative action and black economic
empowerment is necessary, the private sector should be allowed to focus on
wealth and economic opportunity creation rather than just giving jobs to the
previously disadvantaged.
A higher level of “diversity awareness” from affirmative action is known as valuing
diversity. Valuing diversity emphasises the awareness, recognition,
understanding and appreciation of human differences. By valuing diversity
employees feel valued and accepted in that they are recognised as a valuable
resource that contributes directly an organisation’s overall success (Kreitner,
2001:41). Grobler (2003:49) states that in order for an organisation to value
6
diversity it must first understand the differences between valuing diversity and
employment equity. The fundamental difference is that employment equity is
enforced by legislation. Valuing diversity is the result of managerial desires to
gain competitive advantage through the use of diverse a diverse workforce’s
talents.
The highest level of “diversity awareness” is the discipline of diversity
management. It is the deliberate and focused creation of organisational changes
that enable all employees to perform up to their maximum potential (Kreitner,
2001:42). Israel can be used as example of how the valuing of diversity can turn
this issue into an asset to be used for the benefit of the organisation (Vermeulen,
1998:1). Israel is a country with a very diverse population containing many
religious, cultural and social groups, much like South Africa. The Israeli
population consists of many immigrants bringing with them the diverse ethno-
cultural practices of their countries of origin. This challenged the state to convert
these differences into a national asset (Hirsh, 1993:195).
Achieving competitive advantage through the management of diversity has
become an important managerial, and hence leadership, consideration (Thomas,
1996:17). From this it is clear that a management discipline needs effective
leadership in order for it to be successfully implemented. According to Kreitner
(2001:551) leadership is defined as “a social influence process in which the
leader seeks the voluntary participation of subordinates in an effort to reach
organisational goals.” Changing existing attitudes toward diversity in the
workplace clearly involves more that just decisive leadership but also the
cooperation of all employees as it affects their inter-personal relationships with
each other. Therefore managers must exhibit leadership traits and move beyond
the normal tasks of planning, organising and control. Managing diversity is a
business imperative, strategic priority and a competitive necessity (McEnrue,
1993:18-29). Daniel (1994:14) agrees with this viewpoint and adds that if
diversity is not utilised as a tool it might become business’ downfall.
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1.2 Problem Statement Diversity Management and workforce diversity are terms that have become of
great importance in South Africa since workforce integration was enforced after
the official segregation policy was abolished. This forced integration creates
conflict and uncertainty in the workforce as leadership is not skilled in the
discipline of diversity management and its principles. Therefore managers do not
know how to effectively practice diversity management. Managers do not know
what factors contribute to effective diversity management or what specific
leadership tasks can be performed to effectively deal with diversity related issues
in the workplace. In completing this study, relevant theoretical works are
investigated in order to determine what factors could lead to the creation of a
conducive of destructive working environment as it pertains to diversity
management. In support it is also important to ascertain what the implications for
leadership are in order to create a healthy working environment through the
management of workforce diversity.
1.2.1 Research Question
• What does previous research describe as a good model for the managing
of workforce diversity?
• What does existing theory identify as factors influencing diversity
management?
• Is diversity management in Financial Asset Services influenced by cultural
perceptions?
• How is diversity management practiced at Financial Asset Services
among managers, supervisors and team leaders?
• What are the implications for leadership at Financial Asset Services in
order to apply effective diversity management principles?
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1.3 Objective of the Study This body of work aims to provide management with the necessary guidelines for
effective diversity management in FAS. As such certain implications for
leadership, as it pertains to managers, supervisors and team leaders, are
highlighted. This is done to assist managers in the creation of a healthy working
environment, as it pertains to diversity management, through the application of
diversity management principles. The benefits lies herein that (Kreitner, 2001:42)
“employees viewed leaders as more accepting of diversity and more
desirable to work for when they demonstrated behaviours consistent with
diversity management as opposed to valuing diversity and affirmative action.” It is
also stated that (Kreitner,2001:49) “effectively managing diversity can influence
an organisation’s costs and employee attitudes, recruitment of human resources,
sales and market share, creativity and innovation, and group problem solving and
productivity.” As such it would be of great benefit if leadership took cognisant of
the fact that diversity management is an essential new facet of management.
1.3.1 Primary Objective This study’s primary objective is to create awareness of the influence of diversity
management in the creation of a healthy working environment considering the
manager’s role as a leader. 1.3.2 Secondary Objectives
• To identify various factors that influence effective diversity management
within Financial Asset Services.
• To identify certain trends as it pertains to certain demographical segments’
perception of diversity management.
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• To propose recommendations that management and leaders can
implement based on the various influencing trends and factors in an
organisational context.
• To highlight the implications management must be aware of in order to
create a healthy working environment in terms of diversity management.
1.4 Methodology The concept of diversity management is investigated in order to gain insight into
how diversity management is applied as a management discipline. This
information is used to compile a questionnaire aimed at determining what
aspects currently present in FAS have an effect on the employees during the
process of managing diversity. The questionnaire is distributed per e-mail with a
covering note from a member of the FAS executive committee. The distribution
sample size includes leaders from supervisory and managerial levels of authority
within FAS and amounts to 40, representing the various demographic segments
currently present in FAS.
All information gained form the questionnaire are recorded and analysed
according to the various aspects that are being measured. Findings have been
used in order to gain insight and understanding as to what factors have an
influence on the diversity management process as it pertains to leadership.
1.5 Limitations of Study
It is very important to note that not much conclusive research has been done in
the field diversity management in South Africa. Therefore the relevancy of
previous research done outside South Africa has to be practically evaluated in
order to gain insight into the subject matter. In some cases the quoted theory
may be more applicable than in other cases, however this should not be
regarded as fact before more conclusive research is done. Therefore the author
10
advises that the manager who evaluates the research findings should use
discretion in following a particular course of action. It must also be noted that the
research findings only reflects the perceptions of Standard Bank employees in
the Financial Asset Services unit and can therefore not be assumed to be
universally applicable to all Standard Bank employees, or those from other
financial institutions for that matter.
1.6 Chapter Outline 1.6.1 Chapter 1: Introduction The purpose of this chapter is to provide the reader with background information
as well as to clarify the research methodology, scope and purpose of this
dissertation. The introduction includes an overview of a business unit of
Corporate Investment Bank, namely Financial Asset Services, and how diversity
management influences different levels of leadership within that structure. A
summary of the literature used in Chapter two is provided. The objectives of this
study are clearly defined. The methodology used for the gathering, analysis and
interpretation of information gathered is also clearly set out within this chapter.
1.6.2 Chapter 2: Literature Review The primary objective of this chapter is to gather and analyse any relevant
information from previously conducted studies. While this will involve the analysis
of secondary data pertaining to diversity management, greater emphasis will be
placed on recent studies done in South Africa because of its relevance. Ancillary
and complementary concepts pertaining to diversity management will also be
investigated. This will serve to describe diversity management and its links to
leadership within a dynamic organisational environment.
11
1.6.3 Chapter 3: Research Methodology This chapter details the methodology used by the author to decide what research
design would be appropriate to this particular study. An overview of the sample
from which the data is obtained will also be provided as well as the collection
method and measurement instrument.
1.6.4 Chapter 4: Data Analysis and Interpretation In this chapter the data obtained through the research process is analysed and
interpreted. Each question used in the questionnaire is described and clarified to
which the information gathered is compared. The processed data is collated in
order to discover statistical trends that are the basis for all recommendations and
conclusion for this study.
1.6.5 Chapter 5: Conclusions and Recommendations In this chapter the summary of findings is presented for the primary and
secondary objectives. Conclusions that are reached form the data gathered
during the research process will be presented while guidelines for addressing
diversity management issues in FAS will be provided and recommendations will
be made.
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Chapter 2 Literature Study
2.1 Introduction Diversity management is a term that is not always clearly understood. Diversity
as a concept is not always understood. This chapter attempts to analyse and
understand the meaning of diversity and diversity management as a discipline.
This will give leadership the opportunity to decide on how to implement diversity
management as a concept and a discipline within the organisational
environment.
2.2. Diversity Defined
Diversity is the collection of many individual differences and similarities that exist
among people (Kreitner, 2001:37). Grobler (2002:46) also supports this view by
adding that each individual is unique but also share any number of environmental
or biological characteristics.
Diversity has a primary dimension that exhibits itself in the core differences
between individuals. These primary differences also have the most impact in
initial encounters and serve as filters through which people view the world. These
differences of course include for example aspects such as race, gender, sexual
orientation, age, ethnicity and physical qualities. Secondary dimensions are not
as noticeable at first and can even evolve or change throughout different
encounters. These types of aspects include for example education, military
experience, income, geographical location and religion. These qualities only
become evident after some interaction has occurred between individuals. This is
demonstrated in Figure 2.1
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Figure 2.1 Dimensions of Diversity
The so-called culture-shock is experienced and is aggravated by the fact that
many, if not most people, live in a relatively homogenous community. The first
encounter people have with a diverse population would be in the work place. 2.2.1 Diversity Management Defined
Diversity management is a new discipline that holds great benefits for those
leaders who implement it properly. Workforce diversity refers to those differences
in an enterprise or organisation that have an influence on the performance of the
workforce. These differences are not limited to race, gender, ethnicity, nationality
Military experience
Religion
Income
Work Experience
Education
Family Status
Geographic Location
Organisational Role and Level
Work Style
Relations Style
Age Gender
Race Ethnicity
Mental & Physical Abilities
Sexual Orientation
Source: Loden, 1996:14
14
or religion and may even include different ways of thinking (Buhler, 1993:17-19).
The inclusion of the term “management” also implies that it is a phenomenon that
needs to have the aspects of organisation, planning and control associated with it
as it pertains to organisations.
Diversity management has been termed by leading academics in the past in the
South African context as “the process whereby black and white women are
provided with the opportunity to participate fully in the organisation and the
society in which they live” (Human, 1992:54). However this seems to be very
restrictive if an organisation wants to achieve certain goals beyond gender
equality. There are various diversity issues in an organisation that may not have
any to do with race or gender. Issues such as disability and sexual orientation do
not add to diversity according to Human’s definition.
More recently, scholars broaden the definition of diversity and have categorised
the term into three definitions as (Grobler, 2003:46):
• The politically correct term for employment equity/affirmative action: This
definition represents a very narrow view of diversity and is most likely to
be found in an organisation with no formal diversity policies or
programmes.
• The recruitment and selection of ethnic groups and women: This definition
reflects the reality that many diversity programmes focus on employment
regulation concerns.
• The management of individuals sharing a broad range of common traits:
This is the broadest definition and is likely to be used in organisations with
formal diversity programmes.
Clearly an organisation may choose what definition to apply as it relates to their
approach and commitment to such programmes. Grobler is of the view that
diversity management is “a planned, systematic and comprehensive managerial
process for developing an organisational environment in which all employees,
15
with their similarities and differences, can contribute to the strategic and
competitive advantage of the organisation, and where no-one is excluded on the
basis of factors unrelated to productivity” (Grobler, 2003:50). Therefore Grobler
only allows for groups or individuals to be excluded on the basis of unproductive
work performance. The definition put forward by Human clearly excludes
undesignated groups, that is to say white males, from the scope of diversity
management. Human’s definition on diversity management can therefore be
commensurate with definitions of workforce diversity where there are no formal
diversity management programmes or where regulatory pressures are most
intense. Grobler’s definition will be acceptable to organisations that have
invested in formal diversity management programmes and followed through on a
genuine commitment towards their human capital.
Grobler is also supported by previous scholars who feel that diversity adds value
to organisational goals. Fuhr’s (1994:10) definition of managing diversity has to
do with the creation of a working environment in which everyone has a true
sense of belonging and worth where the barriers of the fulfilment of human
potential has been removed.
This is furthermore supported by Daniel (1994:14) where the author states that
that diversity management is the process of developing an environment
• that fosters awareness, value and acceptance of individual differences;
• that gives employees opportunities and judges them fairly on their talents
and contributions;
• and thereby attempting to address expectations and remove or reduce
biases and stereotypical behaviour.
Clearly these definitions require leadership to focus more on physical human
capital than on legislation that require a specific statistical outcome as prescribed
by the employment equity act.
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2.3 Role Players in Diversity
There is an economic relationship between the employer and employee and ever
since the Industrial Revolution the employment relationship has become
increasingly complex. The State had to enter as a third party to this relationship
to provide a legal framework in which the primary relationship between
employees and employers can be managed (Slabbert, 2002:10). This
relationship is illustrated in Figure 2.2.
Figure 2.2 Tripartite Employment Relations
The three role players can be described as such (Slabbert, 2002:10):
• Employees: Worker’s ‘lease’ their labour to employers. They make their
potential available to organisations and expect reasonable recompense for
services rendered.
• Employers: Employers manage and lead their employees. They must
ensure the best utilisation of labour within the legal and organisational
framework.
• The State/Government: The state controls the labour environment but also
provides services to both parties in the primary relationship. In controls the
Employee (with representatives and/or organisations)
Source: Slabbert, 2002:10
Primary Relationship
Employer
Secondary Relationship
Secondary Relationship
State
Legislation
17
primary relationship through the establishment of certain laws, i.e. the
employment equity act. It renders services in that it assists both parties to
manage the primary relationship in an orderly manner by providing
structures in which activities such as dismissal and strikes may take place,
i.e. the labour court and the Council for Conciliation, Mediation and
Arbitration (CCMA).
2.3.1 Government The vast majority of the South African workforce is made up of previously
disadvantaged individuals. This group includes all people in South Africa except
white males and includes both genders. As such the first democratically elected
government decided to redress the inequalities of the past under the Apartheid
era. Affirmative action is such a measure where the government is attempting to
rectify these imbalances artificially.
Affirmative action is a process that is described in the Employment Equity Act no.
55 of 1998. This is done for the purpose of “achieving equity in the workplace by
promoting equal opportunities and fair treatment in employment through the
elimination of unfair discrimination and implementing affirmative action measures
to redress the disadvantages in employment experienced by designated groups
(Africans, coloureds, Asians, women and people with disabilities) to ensure their
equitable representation in all occupational categories and levels in the
workplace” (Employment Equity Act, no. 55 of 1998). Thus discrimination is only
accepted for the purposes of affirmative action or based on inherent
requirements of a specific position (Grobler, 2003:150).
This legislation was implemented after it was found that discriminatory practices
still existed in the workplace after the 1994 elections and drafting of the new
constitution. The impact of this piece of legislation is so great that it forced
18
organisations to ensure their human resource administrators are familiar with the
detail of this act.
2.3.2 Employer and Employee According to Grobler (2003:46) the term diversity management can have three
definitions in South African organisations:
• The politically correct term for affirmative action or employment equity.
• The recruitment and selection of ethnic groups and women.
• The management of individuals sharing a broad range of common traits.
The first two definitions are likely to be used in organisations where no formal
diversity awareness training or diversity management programmes exist. These
organisation’s diversity programmes focus primarily on employment regulation
concerns. The third viewpoint is the broadest and is likely to be used in
organisations with effective diversity programmes.
Grobler (2003:49) states that in order for an organisation to value diversity it must
first understand the differences between valuing diversity and employment
equity. Jeffery (1996:11-13) argues that although affirmative action and black
economic empowerment is necessary, the private sector should be allowed to
focus on wealth and economic opportunity creation rather than just giving jobs to
the previously disadvantaged. The fundamental difference is that employment
equity is enforced by legislation. Valuing diversity is the result of managerial
desires to gain competitive advantage through the use of diverse a diverse
workforce’s talents.
The banking sector has cooperated with other financial institutions and the
National Economic Development and Labour Council (NEDLAC) in creating the
financial sector charter. In this charter the following points are argued as to why
such a charter is necessary (www.treasury.gov.za):
19
• Despite significant progress since the establishment of a democratic
government in 1994, South African society remains characterised by
racially based income and social services inequalities. This is not only
unjust, but inhibits the country’s ability to achieve its full economic
potential;
• BEE (Black Economic Empowerment) is a mechanism aimed at
addressing inequalities and mobilising the energy of all South Africans. It
will contribute towards sustained economic growth, development and
social transformation in South Africa;
• Inequalities also manifest themselves in the country’s financial sector. A
positive and proactive response from the sector through the
implementation of BEE will further unlock the sector’s potential, promote
its global competitiveness, and enhance its world class status;
• Equally, the financial stability and soundness of the financial sector and its
capacity to facilitate domestic and international commerce is central to the
successful implementation of BEE.
The charter also specifically notes that there are low levels of black participation,
especially of black women, in meaningful ownership, control, management and
high-level skilled positions in the sector. The charter specifically states that the
sector will endeavour to create a non-racial environment in which business can
operate. That being said it also sets a number of black ownership targets that
need to be attained at certain times points in time. Therefore the financial sector
has adopted the narrower definition based on affirmative action and employment
equity.
However, it is still leadership’s decision on how to implement the charter together
with diversity management. This will determine the employee’s reaction toward
diversity management. Economic benefits can result form employees and
leadership valuing diversity, Effective leadership and the implementation of
20
effective diversity awareness programmes will result in individuals valuing each
other’s differences.
2.4 The Role of Leadership in Diversity Management
The management of employment relations within the organisational context,
which includes diversity management, requires a strategic approach. This
strategic orientation implies that management must adopt a long-term approach
in the planning, organisation, leadership and control of employment relations as a
method of achieving organisational goals (Slabbert, 2002:14).
The implementation of diversity management programmes require management
and strong leadership to do so successfully. Diversity has become a strategically
important issue. The management teams in this area have a critical task as it
involves the management of the most important asset of an organisation: the
organisation’s human capital.
Human capital refers to the knowledge, skills, competence and other attributes
embodied in individuals that are relevant to economic activity (Thornbury,
2003:6). Human capital can be viewed as the master resource because people
acquire skills and competencies that create and control other resources
(Carnevale, 1983:51). The human resources department has control of human
capital and delegates control tasks to line managers. This structure needs to
implement enforceable legislation in such a manner that the organisation’s goals
and objectives are not hindered in any way. This raises the importance of
efficient planning, implementation and control diversity management
programmes for the purpose of enhancing the organisation’s operations. This
results in greater profitability for the organisation.
Legislation may be the initiator of such programmes but it is up to leadership to
decide how policies can be formed to achieve organisational goals. Jack Welch
21
states: “People first, strategy second” (2001:383). A strategy is developed with
the human capital in mind according to this line of thought. Potentially
demoralising situations exist such as the uncertainty of the effects of affirmative
action. These situations need to be managed in such a manner that it would have
the minimum effect on the morale of staff and the productivity of the organisation.
The implementation of such tactics needs to originate from strong leadership in
order to overcome potential resistance to such changes. A centralised decision
making model is well suited for this purpose as all changes can be coordinated
and enforced if need be (Hill, 2005:444). One of the strategic leader’s main
responsibilities is to create an environment and organisational culture that
enables the organisation to deal with the issue of diversity (Van der Colff,
2003:113). Therefore leadership has to convert an organisational culture that
was exclusive to being more inclusive and tolerant of diverse characteristics.
However, many decentralised decisions need to be made regarding
empowerment and identifying employees for advancement. Line managers need
to have the power to implement tactical decisions to fit in with the overall
strategic vision of organisation as it relates to diversity management in their
relevant scopes of leadership.
It must therefore also be understood that employees are empowered by the
organisation’s vision and direction. These goals can only be reached by an
organisation that exhibits and develops entrepreneurship and innovation in its
corporate culture (Van der Colff, 2003:113). A link between the management of
strategy and culture becomes apparent as and when major changes must occur.
Many of these changes may sprout from the enforceable legislation or pre-
emptive diversity management programmes.
Jeffery (1996:11-13) argues that although affirmative action and black economic
empowerment is necessary, the private sector should be allowed to focus on
wealth and economic opportunity creation rather than just giving jobs to the
22
previously disadvantaged. Managing diversity is a business imperative, strategic
priority and a competitive necessity (McEnrue, 1993:18-29). Achieving
competitive advantage through the management of diversity has become an
important managerial, and hence leadership, consideration (Thomas, 1996:17).
According to Kreitner (2001:551) leadership is defined as “a social influence
process in which the leader seeks the voluntary participation of subordinates in
an effort to reach organisational goals.” Changing existing attitudes toward
diversity in the workplace clearly involves more that just decisive leadership. It
also involves the cooperation of all employees as it affects their inter-personal
relationships with each other. Therefore managers must exhibit leadership traits
and move beyond the normal tasks of planning, organising and control.
2.5 Models for Managing Diversity An organisation needs to be clear about what definition it wants to use as an
approach to manage diversity. There is a definite business necessity in applying
diversity management principles that go beyond any regulatory compliance. An
interesting but worrying development in South Africa is the fact that diversity
management programmes have not had great success. It is still a relatively new
concept in the South African working environment. Grobler puts forward the
following explanations as to why this is the case (Grobler, 2003:50):
• There are no following-up activities after the initial training phase;
• There are few or no incentives for managers to increase the diversity of
their workgroups;
• Top-management view diversity as a human resources issue that does not
contribute the organisation’s long-term success.
Furthermore it is also interesting to note that attitudes toward diversity
management vary depending on who is asked. The human resources
department is relatively positive about such steps while line management many
times only see this as another activity that complicates their current role.
23
There are a wide range of areas that need attention if these problems are to be
overcome. These areas can be illustrated in Figure 2.3.
Figure 2.3 Spheres of Activity in the management of Cultural Diversity
Source: Grobler, 2003:51
Organisational Culture • Valuing Differences • Prevailing Value
System • Cultural Inclusion
HR Management Systems • Recruitment • Training and
Development • Performance
Appraisal • Compensation and
Benefits • Promotion
Mind-sets about Diversity • Problem or
Opportunity? • Challenge met or
barely addressed? • Level of majority
culture buy-in?
Cultural Differences• Promoting knowledge
and acceptance • Taking advantage of
opportunities diversity provides
Educational Programmes • Improve schools • Educate
management on valuing differences
Higher career involvement of women
• Dual-career couples
• Sexism and sexual harassment
• Work-family
Heterogeneity in race/ethnicity/nationality
• Effect on cohesiveness communication, conflict, morale
• Effects of group identity on interactions (i.e. Stereotyping)
• Prejudice (i.e. Racism)
Management of Cultural Diversity
24
A diversity management initiative must be able to effectively support any of the
abovementioned spheres of activity. The following three models are presented as
possible ways of implementing diversity management initiatives:
• R. Roosevelt Thomas, Jr’s Generic Action options
• Ann Morrison’s Specific Diversity Initiatives
• An Integrated Strategic Framework for the Management of Diversity
2.5.1 R. Roosevelt Thomas, Jr’s Generic Action options Thomas identifies eight responses for managing diversity (Kreitner, 2001:54):
• Include/Exclude: Here the organisation may resort to tactics described by
affirmative action. This simply requires the organisation to increase or
decrease in number the group in question.
• Deny: An organisation may simply decide to ignore the problem. Current
legislation like the Employment Equity Act does not make this option
viable.
• Assimilate: An organisation that chooses this action hopes that the
minority will become like the majority. Essentially the organisation will try
and enforce homogeneity among the workers through new worker
orientation and referral to organisation manuals instead of managing a
diverse workforce.
• Suppress: Workers who struggle to adapt or function in an organisation
are simply told to stop complaining. This tends to discourage workers and
creates an unpleasant working environment where diversity is not valued.
• Isolation: The individuals who are different from the organisational or
dominant culture are not involved in organisational change.
• Tolerate: Differences among individuals are accepted but not valued.
These differences are also not managed in such a way to create optimum
economic value for the organisation.
25
• Build Relationships: This option is built on the premise that employees
with good relationships can overcome their cultural differences.
Leadership encourages individuals to accept and understand each other.
• Foster mutual adaptation: This option goes beyond acceptance and
understanding differences. Individuals realise that everyone and
everything is subject to change and that each others differences are
important.
An option or combination of options will be chosen depending on the
organisation’s view and commitment of diversity management:
Figure 2.4 Integrating Roosevelt’s Generic Options and Diversity Definitions
Source: Kreitner, 2000:54
2.5.2 Ann Morrison’s Specific Diversity Initiatives Ann Morrison conducted a survey a number of organisations that successfully
managed diversity (Kreitner, 2001:56). She identified a number of practices that
Total commitment: Diversity highly valued
Purely Employment Equity Concerns
Mutual Adaptation Build Relationships Tolerate Isolation Suppress Assimilate Deny Include/Exclude
26
fall into three main categories namely accountability, development and
recruitment:
• Accountability: Leadership must be responsible in treating diverse
employees fairly.
• Development practices: These practices focus on preparing diverse
employees for greater responsibilities and advancement. This is especially
important in the South African environment among previously
disadvantaged individuals. This is also supported by the Skills
Development Act.
• Recruitment practices: These practices focus on attracting applicant at all
levels who are willing to take on responsibilities. In South Africa the
Employment Equity Act is used to target designated groups.
The most common activities in each category are listed in Table 2.1.
Table 2.1 Common Diversity Practices
Accountability Development Recruitment
Top management
personal intervention
Diversity training
programmes
Targeted recruitment of
non-managers
Internal advocacy groups Network and support
groups
Key outside hires
Emphasis on
Employment Equity
statistics
Development
programmes for high
potential managers
Extensive public
exposure on diversity
(AA)
Inclusion of diversity in
performance evaluation
goals
Informal networking
Activities
Corporate image as
liberal, progressive or
benevolent
Inclusion of diversity in
advancement decisions.
Job rotation Partnerships with
educational institutions
Source: Kreitner, 2001:57
27
Morrison’s model must be able to support the spheres of activity in figure 2.2 in
order for diversity initiatives to be effective. As such the three categories
identified by Morrison can support these spheres in these various ways:
Accountability
• Human resource management systems are administration systems and
provide management with data in order to efficiently mange the
organisation’s human resources. Leadership is accountable for its
decisions and therefore the systems must provide correct information.
Leadership must also ensure that these systems perform their functions
accurately.
• It is up to management to reinforce the organisational culture. This may
include setting an example when valuing differences are an issue.
• Leadership must also be accountable for higher career involvement for
women and the development of other minorities.
• Leadership must be able to assess the current mindset in the organisation
regarding diversity issues. Leadership must also be able to take decisive
action on any such issue.
Development
• Human resource management systems are important for tracking the
development of high potential employees as well as for proper career
planning for other diverse employees.
• Career women must also benefit from better development in order for
them to provide value to the organisation. The developmental function
must also help provide women with the opportunity to network among
other employees.
• Leadership and employees alike need to be educated on the value of
diversity.
• Training programmes must be implemented to change mindsets on
diversity that do not fit in with organisational goals culture.
28
• Leadership and employees need to be made aware that cultural
differences do exist. Ethnocentrism is not conducive to an effective
working environment where it concerns diversity management.
Recruitment
• Human resource management systems provide the recruitment function
with appropriate information regarding employment equity decisions.
• Recruitment must try and take advantage of the opportunities diversity
provides by recruiting people with appropriate skills that support the
organisational goals.
• Recruitment must try end ensure the heterogeneity of the workforce by
recruiting individuals who will fit in with a diverse organisational culture.
Figure 2.4 illustrates how Morrison’s specific diversity initiatives may support the
spheres of activity in diversity management.
29
Figure 2.4 Integrating Morrison’s Diversity Initiatives into Spheres of Activity
Source: Kreitner, 2001:57
Morrison found in her study that organisations who apply these practices are
successful as a result of their application. Diversity awareness programmes that
employ these activities result in the successful management of workforce
diversity. To apply this model the organisation will need to be highly committed to
diversity management and not just to employment equity.
Development • Diversity training programmes • Network and support groups • Development programmes for high
potential managers • Informal networking Activities
Accountability • Top management personal
intervention • Internal advocacy groups • Emphasis on Employment Equity
statistics • Inclusion of diversity in performance
evaluation goals • Inclusion of diversity in advancement
Organisational Culture
Mind-sets about Diversity
HR Management Systems
Cultural Differences
Higher career involvement of women
Educational Programmes
Morrison’s Diversity Initiatives Spheres of Activity
Recruitment • Targeted recruitment of non-
managers • Key outside hires • Extensive public exposure on
diversity (AA) • Corporate image as liberal,
progressive or benevolent • Partnerships with educational
Heterogeneity in race/ethnicity/nationality
30
2.5.3 An Integrated Strategic Framework for the Management of Diversity Morrison and Roosevelt’s models are lacking in that its approaches only serve in
identifying best practices in diversity management. Although the results are
valuable it needs to be translated into and actionable strategic plan.
The integrated strategic model is a meaningful and practical framework in which
to apply strategic principles in diversity management. This model contains
elements from Morrison’s model as well as decisions made from Roosevelt’s
generic actions.
31
Figure 2.5 Integrated Strategic Framework for Diversity Management
Source: Peterson, 1998:70
The organisation’s vision, mission and values are determined by top
management and are imposed on the rest of the organisation to form the
organisational culture. If diversity is not valued at this level of the organisation
then it will be reflected at lower levels of management. The human resource
vision is a subset of the organisation’s overall vision. Values like equal
opportunity and value for differences must also be included.
The strategic steps and their resultant outputs are important:
Policy and resources affecting all functions
Benchmarking and baseline determination
Training and development, enforcement and exposure actions
Balanced and collective approach – building blocks
Objective linkage to performance, management systems and networks
Organisation Vision, Mission, Values
Top management commitment
Human Resource Vision
Needs Analysis
Selection Practices
Implement Collective Action Programme
Measure Changes
Disseminate Results
Strategic Steps Output
32
• Obtain top management commitment to ensure that desired values and
initiatives receive the highest support. This is crucial to the success of the
diversity management process.
• Needs analysis needs to be done in order to asses the prevailing attitudes
and perceptions surrounding diversity and the management thereof.
• Selecting the best combinations of responses, actions and best practices.
Morrison and Roosevelt’s initiatives and actions may be looked to provide
the manager with avenues in which to pursue successful diversity
management. The manager must keep in mind that other options and
actions are available to be implemented and must proceed in such a
manner that would be the most beneficial to the organisation.
• Implementing the collective action programme. This is the result of
implementing the right mix of practices as prescribed by the needs
analysis. Building blocks must be produced in order for the continuation of
such a programme.
• The results must be disseminated to the various parties involved for
review and corrective purposes.
This guideline is a suitable strategic model for managers. Leadership must
always be aware that certain best practices may not always be applicable to all
situations. All proposed actions and initiatives must be thoroughly studied in
order to determine its viability in the organisational environment.
2.5.4 Barriers to Effective Diversity Management The management of diversity are also subject to several potential challenges that
decisive leadership must overcome. The most common barriers tot the
implementation of diversity programmes are (Kreitner, 2001:53):
• Inaccurate stereotypes and prejudice: If differences are viewed as
weakness diversity management efforts will be viewed that competence
and quality will be sacrificed.
33
• Ethnocentrism: This mode of thinking allows one to enforce on others their
culture and values because they believe that is superior to others.
• Poor career planning: Opportunities for diverse people to advance are not
actively sought out and presented to deserving candidates.
• An unsupportive and hostile working environment for diverse employees:
Diverse employees are excluded from social activities and are thus
prevented from forming networks among other employees.
• Lack of political initiative or ability on the part of diverse employees:
Diverse employees do not advance because they are not knowledgeable
about power networks and how to get involved in office politics. Women
are particularly susceptible to this challenge as they are not always viewed
as equals.
• Difficulty in balancing career and family issues: Women are also most
likely to be presented with this challenge. In modern culture women are
still expected to take care of young children and to manage the household.
Although attitudes are shifting women still bear the greatest household
responsibilities.
• Fears of discrimination: A major problem, especially in South Africa, is the
feeling that diversity efforts are reverse discrimination. Whether because
of a sense of entitlement or genuine losses by some individuals, this is still
a widely held belief among undesignated groups.
• Diversity is not seen as an organisational priority: Employees may not
view diversity efforts as work contributing to the overall success of the
organisation. As such these tasks delegated by leadership to employees
are not effectively performed.
• The need to revamp the organisation’s performance appraisal and reward
systems: The management of diversity as success criteria need to be
added to reinforce diversity efforts. If these success criteria are not
implemented in appraisals employees will never view it as necessary
work.
34
• Resistance to change: People resist change for many different reasons
like fear of change, peer pressure, fear of failure or a climate of mistrust.
The management of diversity requires organisational and personal
change.
It is up to leadership to overcome these challenges by properly informing and
managing changes and perceptions among groups who perceive they are
threatened. The following models describe actions an organisation may perform
in the discipline of diversity management.
2.6 Change Management
Because a change in perception is implied, leadership may need to adhere to
change management principles (Kreitner, 2003:668). Kotter advises leadership to
implement change management by not failing to:
• establish a sense of urgency: Leadership must provide a compelling
reason to accept diversity management principles
• create a guiding coalition: People with influence and power need to lead
this change
• develop a vision and strategy: A strategic plan with the goal of effective
integration of diversity into everyday day business needs to be formulated
• communicate the change vision effectively: This goal and vision must be
consistently communicated in clear terms to all affected
• empower broad-based action: The barriers to diversity management must
be addressed and eliminated
• generate short-term wins: By setting small achievable goals, progress will
become more visible
• consolidate change and produce more change: The coalition for change
must build on short-term wins.
2.7 Conclusion
35
Leadership is faced with a decision as to what definition of diversity management
it wants to apply. Although the definition that is supported by employment equity
considerations is more easily implemented, it does not provide optimal value as
the broader definition’s application would. The models put forward are not a
complete reference as to how diversity should be managed. Leadership can
however be confident enough to apply these principles in the everyday and
strategic management of diversity. Leadership must be aware that the
management of diversity not only creates a healthy working environment but also
translates into long-term profit and growth. Leadership must be totally committed
to diversity management programmes and effort for it to be successful.
36
Chapter 3 Research Methodology
3.1 Introduction In order to satisfy the secondary objectives of this study the researcher must
gather data with the aim of identifying various factors in the Financial Asset
Services department that may influence leadership’s perception on diversity
management. The purpose of this chapter is to describe the methodology utilised
to obtain the data to determine these influencing factors. The particular sampling
strategy used in the data gathering process is explained. As with all data
gathering projects there are ethical considerations that need to be taken into
account. These are also provided.
3.2 Research Design
The researcher has distributed a questionnaire to selected employees within FAS
with the aim of determining factors that influence leadership as it currently
pertains to diversity management in the department.
3.3 Sampling Strategy In order to explore the factors influencing leadership as they practice diversity
management the researcher has identified to distinguishable groups of
leadership involved in this study. Firstly, all leaders such as departmental
managers and supervisors will receive questionnaires. These leaders give
direction in a strategic and operational sense to lower grade leaders and as such
it will be necessary to identify what factors will influence this group. Secondly, the
subordinates of these managers are also given questionnaires to complete. This
37
group will perceive how leadership applies diversity management principles in
the working environment. It is necessary to establish what factors influence these
leaders and what they perceive higher management’s stance is regarding
diversity management.
3.3.1 Population
The target population is all the managers and employees at the Johannesburg
branch of Standard Bank’s Financial Asset Services division.
3.3.2 Size of Sample The researcher endeavours to obtain completed questionnaires for all 110
managers and supervisors as well as all 721 employees at the Johannesburg
branch of the Financial Asset Services division.
3.3.3 Sampling Technique All higher grade leaders are identified as managers with an official management
post as determined by Standard Bank Structures. For lower grade leaders the
researcher will approach as many randomly selected supervisors and team
leaders as possible as identified by managers within FAS.
3.4 Data Collection Method In order to satisfy the secondary objectives of this study, the researcher
distributed questionnaires to all appropriate individuals within the target group
and collected the data.
38
3.4.1 Secondary Data In order to satisfy the primary objectives, the researcher analysed and made
recommendations based on secondary data. For this section original works have
been considered with emphasis on data pertaining to South Africa where it could
be found. Aspects of the secondary data discussed in chapter two has been
utilised to create the questionnaire that would help in satisfying the secondary
objectives.
3.4.2 Considerations in Compiling the Questionnaire This questionnaire has been created in accordance with FAS guidelines and
corporate standards that ensure individual anonymity as well as confidentiality.
The respondent of a questionnaire is identified by means of specific details such
as name, employee number or department.
The questionnaire consists of three sections. The first section contains a
covering letter that will explain the questionnaire’s purpose, procedure of
completion as well as the rights the respondent has in completing it. The second
section of the questionnaire solicits basic information that will assist in dividing
the respondents in basic demographic groups. This section would ask for age
and other demographic information. The third part of the questionnaire is the
body that will solicit all the information that will be needed to satisfy the
secondary objectives.
Before the questionnaire is distributed it is essential to obtain approval for such
research to be conducted as well as to pre-test the questionnaire. This is done to
ensure that no important aspects are overlooked and that all the questions are
easily understandable. Approval to distribute the questionnaire has been sought
from the Standard Bank Group Human Resources department as well as the
director of FAS. To ensure a low non-response rate the questionnaire will be
39
distributed from the desk of the director’s secretary. The manager’s of two
departments were asked to complete the questionnaire and comment on certain
aspects thereof such as whether the questions are understandable. Since the
meaning of the questionnaire was not altered these questionnaires were also
included in the study.
In order to minimise the impact on employee time demands this questionnaire
has been designed so that it would take no more than 20 minutes to complete
and submit to the researcher.
3.4.3 Administering the Questionnaire The questionnaire is distributed in physical form rather than being e-mailed, the
reason being that response rates to e-mailed questionnaires are notoriously low.
The researcher will also personally collect to completed questionnaires from the
respondents.
3.5 Data Analysis Method 3.5.1 Recording of Data Each respondent records his or her answer by marking a particular response
box. As such the data is recorded by each respondent. The researcher will
retrieve all completed questionnaires from each department personally.
3.5.2 Structuring of Data After all completed questionnaires are in the researcher’s possession the
responses are coded, summed and tabulated on an Excel spreadsheet. For this
reason the questionnaire has been pre-coded to help facilitate this action. During
40
this process the researcher will check all questionnaires for completeness before
presenting them to Statkon ant the University of Johannesburg for tabulation.
3.5.3 Analysis of Information After the information has been captured the information is filtered and grouped by
respondent, leadership level and demographic group. Graphical depictions are
used to discover underlying trends and allow conclusions to be formulated. The
researcher has made use of graphical representations of the data depicting each
relevant factor as a percentage of the total number of incidents. Because of the
similar nature of some questions it is possible to cross check for consistency in
certain responses.
3.6 Ethical Requirements Certain ethical considerations formed part of this study as it pertains to the
respondent:
• The researcher has explained the implications and benefits of the study.
• The researcher cannot did not force any respondent to complete the
questionnaire.
• The researcher must not lead the respondent to a desired outcome of the
study objectives.
• All information submitted by the respondents are considered as
confidential information.
• The respondent has been made aware of his or her right to anonymity.
• The respondent’s available time has been taken into account by
accommodating with a short and easily understandable questionnaire.
41
3.7 Conclusion The researcher must ensure at all times that the methodology used to carry out
research will lead him or her to unbiased conclusions by gathering information
with integrity. As such it is also the researcher’s responsibility to behave him or
herself in an ethical manner. The researcher must also present the findings in an
objectively unbiased manner that is easily understandable. Most importantly, it
must be able to draw meaningful conclusion from the research results that may
be acted upon and increase the body of knowledge.
42
Chapter 4 Data Analysis and Interpretation 4.1 Introduction The different approaches to manage diversity in the workforce have been
discussed in Chapter two. These different approaches provide guidelines for
managers and other employees positioned as leaders to effectively manage
diversity. Various barriers to effective diversity management are also discussed
in order to establish awareness among leaders about certain challenges that can
be presented. The difference between manager’s actions and the employees’
perception of the effectiveness thereof are crucial in determining how effective
the diversity management measures are implemented.
In Chapter three, the author discusses the need for a questionnaire to be
administered in FAS. The diversity management theories and other related
concepts are used as the theoretical basis for the questionnaire. Managers and
supervisors are asked to respond to a questionnaire for the purpose of
determining what diversity management principles are applied. Employees are
also asked to complete a similar questionnaire to determine what their perception
is on the management of diversity within the FAS department. Both groups are
also asked to rate which barriers to effective diversity management affect their
environment the most. The data obtained from the questionnaires is presented,
analysed and interpreted following the structure of the questionnaire.
The questionnaire is administered to both normal employees and their managers
or supervisors. The goal is to compare how both groups experience diversity
management in practice.
43
4.2 Demographic Breakdown of Data Collected The following tables represent the responses received from the respondents at
FAS.
Table 4.1 Responses: Ethnicity
Groups Responses Received
Responses Planned
Response Rates
Employees Black 21 50 42% Employees White 15 50 30% Employees Indian 14 50 28% Employees Coloured
13 50 26%
Subtotal 63 200 32% Managers Designated
20 45 44%
Managers Non-Designated
20 20 100%
Subtotal 40 75 57% Total 103 270 38% The response rates from employees are disappointingly low. A reason for such a
low response rate is the fact that FAS was in the process of finalising their
disaster recovery plan. The researcher made the effort to continually visit FAS on
numerous occasions in order to raise the response rate from all groups. This
problem affected the class divisions among managers where the response rate
from non-white personnel was extremely low from the different ethnic groups. In
order to complete meaningful statistical analysis the researcher deemed it
necessary to regroup the managers. This is done by combining the Black, Indian
and Coloured ethnic groups into a new group called the designated group as
described by the Employment Equity Act of 1998. Similarly respondents from
white ethnicity were relabelled as the non-designated group. According to
Zikmund (2002;134) this response rate is adequate for statistical analysis
although extrapolation of data may become problematic.
44
Another important demographic distinction is gender. The following table
illustrates the response rate from these groups.
Table 4.2 Responses: Gender
Groups Responses Received
Responses Planned
Response Rates
Employees Female
40 100 40%
Employees Male 21 100 27% Managers Female 27 35 77% Managers Male 13 35 37% Total 101 270 37% Females responded at a much higher rate than males. However the researcher
still obtained sufficient data to perform meaningful statistical analysis. The
response rates differ when compared to Table 4.1. The reason for this is that 2
responses are missing from Table 4.2. According to Zikmund (2003:214) a poorly
designed questionnaire has e response rate of 15%. The above indicates that the
questionnaire has an acceptable response rate.
4.3 Responses by Questionnaire Sections
The various sections in the questionnaire correspond to different approaches and
principles within diversity management. As discussed in Chapter 3, the following
sections refer to the associated theories:
• Section 2: Diversity Management as discipline and associated principles;
• Section 3: Barriers to Diversity Management;
• Section 4: R. Roosevelt Thomas, Jr’s Generic Actions
• Section 5: Ann Morrison’s Specific Diversity Initiatives
The respondents are required to answers questions with possible answers
ranging from extremely negative to extremely positive. Managers’ and
45
employees’ answers are compared from a holistic perspective and by two
demographic aspects, namely gender and ethnicity.
As in the case of demographic data, meaningful analysis based on the originally
planned four ethnic groups is not possible. The researcher made the decision to
divide the ethnic groups as described by the Employment Equity Act of 1998.
White employees are included under the “Non-Designated” groups while Black,
Indian and Coloured employees are included under the “Designated” group.
4.3.1 Responses to Section 2 – Principles of Diversity Management Section B deals with the concepts within diversity management and what a
respondent understands diversity management to be. It also deals with how
affirmative action is perceived to contribute, or hinder, diversity management in
practice.
The results in this section are tested with an Alpha value which would indicate if
a high degree of reliability exists as it pertains to the dimensions being
measured. A high degree of reliability will be reflected by a high Alpha value.
According to Hair (2006:137), an Alpha value of greater than 0.7 indicates that a
high degree of reliability exists. This section exhibited a high degree of reliability.
Some questions however did not prove to be reliable because the scales were
reversed. After the scale was rearranged to reflect that higher response on the
scale did actually indicate a positive response the Alpha values yielded a value
above 0.7. The final Alpha value for this section is yielded at 0.71.
46
The following indicates the aggregate response to questions in Section 2:
0
50
100
150
200
StronglyDiagree
Disagree Neutral StronglyAgree
StronglyAgree
Figure 4.1 Section 2 Employee and Manager Responses
Manager ResponsesEmployee Responses
A mean of above three indicates a positive response whereas a mean of below
three indicates a negative response. This section deals with how employees and
leadership perceives diversity management. Leaders who have a positive
perception about diversity related issues will be more committed to diversity
management tasks. Leadership’s management task will be made easier should
employees have a positive perception about diversity management.
The mean for both leaders and employees are above 3. This would indicate a
positive response to the questions. This applies to all the demographic
subsections investigated by the researcher. According to Annexure B, the
highest proportion of respondents among employees and managers agreed with
the statements.
Table 4.3 Mean Comparison Section 2: Employees and Managers
Group Mean Managers 3.6 Employees 3.3 Employees tend to be less positive in their answer than managers. While both
groups perceive concepts in diversity management positively, employees are
less so than leadership. By conducting a T-Test the researcher can ascertain
whether a statistical significant difference exists between these two groups.
47
According to Hair (2006:16), if the T-test p value is above 0.05 then a significant
difference does not exist between the groups when using a 95% level of
confidence. For this group the P value was 0.021 which indicates a significant
difference.
The researcher further tested to see how attitudes and perceptions differ
between gender groups.
Table 4.4 Mean Comparison Section 2: Gender
Groups Male Female Managers 3.7 3.6 Employees 3.4 3.3 From this collected data one can observe that there is not a significant difference
in perception about diversity management in both the employee and manager
groups as it relates to men vs. women. A trend starts to establish itself in that
managers and employees still have differences in perception about the subject
matter. The T-test indicates that there is not a significant difference between
gender groups in either the employees or managers since the p value of 0.509
and 0.222 is above 0.05 (Annexure B).
The results regarding ethnicity comparison are as follows:
Table 4.5 Mean Comparison Section 2: Ethnicity
Groups Designated Non-Designated Managers 3.7 3.6 Employees 3.3 3.3 White employees and managers are grouped under the Non-Designated
distinction while all other ethnic groups are grouped under the designated group.
This distinction ensures that statistically relevant comparisons can be made.
48
There is not a meaningful difference observed between different ethnic groups as
to the way they feel about diversity management. However the previously
identified trend of managers being more positive than employees continues. The
t-test also indicates that there is no significant difference between gender groups
as the respective p values of 0.802 and 0.164 for managers and employees are
above 0.05 (Annexure B).
Over all, managers perceived the following dimensions particularly positively:
• Sufficient cultural diversity within FAS
• Equitably represented ethnic groups within FAS
• Positive impact of cultural and gender diversity on work performance
• Successful implementation of affirmative action within FAS
Employees’ perceptions differ, in that the highest proportion of respondents to
this question does not feel that affirmative action is successfully implemented
within FAS.
4.3.2 Responses to Section 3 – Barriers to Diversity Management In Section C respondents were asked to rate how strongly different barriers to
diversity management affects their role at FAS. The Alpha correlation for these
statements was also above the acceptance level of 0.7. The Alpha value is
0.894. This means that all the statements contained in this section assist in the
overall goal of the questionnaire of measuring diversity management. The
aggregate responses to questions in these sections are as follows:
49
0
50
100
150
No ImpactLittle
Impact
LittleImpact
Uncertain SomeImpact
MajorImpact
Figure 4.2 Section 3 Employee And Manager Responses
Manager ResponsesEmployee Responses
Clearly both groups feel that certain barriers have little impact while some
barriers have some impact on their day to day activities. Barriers that have the
most impact on managers are (Annexure C):
• Lack of open communication channels
• Fear of discrimination based on Gender and Ethnicity
• Resistance to Change
• Stereotypes of different ethnic and gender groups
• Difficulty in balancing career and private life issues
Employees experience the following barriers to diversity management as having
an impact on their working environment (Annexure C):
• Lack of open communication channels
• Fears of discrimination based on ethnicity and gender
• Resistance to change
In this section a higher mean would indicate that barriers to diversity
management have an important impact on the activities in FAS. In this section
there would be no ideal mean as certain barriers affect different people in
different ways. These questions would merely serve to report how these barriers
affect managers and employees alike. These means are as follows:
50
Table 4.6 Mean Comparison Section 3: Employees and Managers
Group Mean Managers 3 Employees 3 If a respondent was uncertain about a proper response then they would indicate
a response of 3. When interpreting the mean the frequency distribution must be
analysed as well since the mean can be distorted by extreme values.
The t-test p values for managers and employees respectively are 0.775 which
indicates that a significant difference between them does not exist (annexure C).
The demographic distinctions actually reveal more interesting facts about barriers
to diversity management.
Table 4.7 Mean Comparison Section 3: Gender
Groups Male Female Managers 2.7 3.1 Employees 3 3.1 There is a significant difference in perception among male and female managers
about what affects their ability to effectively manage diversity. Male managers
indicated that they do not feel that there are many factors that affect their
management ability while the females group’s responses indicated that they were
uncertain in this respect. The p values for managers and employees of 0.448 and
0.987 respectively indicate that there is no significant difference between gender
groups (Annexure C).
51
Table 4.8 Mean Comparison Section 3: Ethnicity
Groups Designated Non-Designated Managers 3.3 2.7 Employees 3.2 2.6
Designated managers and employees responded on the positive end of the scale
which indicates that they experience some impact from barriers to diversity
management. Non-designated managers and employees responded on the
negative end of the scale which indicates that they experience little impact from
barriers to diversity management. This indicates a difference in perception
between the two groups. Designated employees perceive a greater impact from
identified barriers to diversity management than non-designated employees.
The t-test p values of 0.447 and 0.212 for managers and employees in the
gender demographic distinction indicates that there is no difference of perception
(Annexure C).
4.3.3 Responses to Section 4 - R. Roosevelt Thomas, Jr’s Generic Actions The questions in this section attempts to uncover how FAS implements R.
Roosevelt Thomas, Jr’s Generic Action options. These options are discussed in
detail in Chapter 2. The organisation has the opportunity to follow a range of
options from ignoring diversity to totally accepting diversity. Employees and
managers are asked to rate statements that would help to determine how FAS
accepts or rejects diversity in the workplace.
The Alpha values for these questions were just below the accepted value of 0.7.
The Alpha yielded a value of 0.692 that borders on the acceptance value. Once
again questions that were on a reversed scaled were arranged in such a manner
that a response of 1 indicates a negative response and a response of 5 indicates
a very positive response. The final Alpha value yield for this section is 0.712. This
52
indicates that these questions are still reliable. The following graph illustrates
employees’ and managers’ aggregate responses to Section 4’s questions:
020406080
100120140
StronglyDisagree
Disagree Neutral Agree StronglyAgree
Figure 4.3 Section 4 Manager and Employee Responses
Manager ResponsesEmployee Responses
When interpreting the mean, a higher value indicates that respondents perceive
that these generic actions are positively implemented in FAS. Managers and
employees’ responses were as follows.
The t-test p value of 0.064 indicates that there is not a statistical significant
difference between managers and employees (Annexure D). The trend however
continues to suggest that employees are proportionally less positive about the
implementation of diversity management than managers.
Table 4.9 Mean Comparison Section 4: Managers and Employees
Group Mean Managers 4.1 Employees 3.8 Once again we see that managers are more positive about the implementation of
Roosevelt’s generic actions than employees. Ideally these two mean should be
closer if managers are effective in applying generic actions options as they think
to be. Both groups however perceive that the positive generic action options are
implemented.
53
Managers perceive that FAS has an inclusive supportive environment regarding
diversity management (Annexure D). Employees feel valued in the FAS working
environment and as a result perceive that the positive generic action options, like
inclusion, are implemented.
Overall manager and employees perceive the dimensions in the questionnaire
positively but managers felt most positively about the following:
• Consideration of subordinates viewpoint, different from their own
• Communication ability with people different from themselves
Employees felt most positively about the following:
• Their viewpoints are considered by superiors
• Different cultures communicate effectively within FAS
• Communication ability with people different from themselves
This trend continues when the demographic of ethnicity and gender differences
are investigated.
Table 4.10 Mean Comparison Section 4: Gender
Groups Male Female Managers 4.1 4.1 Employees 3.8 3.8 Table 4.11 Mean Comparison Section 4: Ethnicity
Groups Designated Non-Designated Managers 4.1 4.1 Employees 3.8 3.9 It is clear that the trend where managers regard their input as more positive than
what employees perceive these inputs continues. No meaningful difference is
identifiable between the different demographic groups. The t-test confirms that
54
there are no significant statistical differences between gender groups (0.66 and
0.266) as well as between ethnic groups (0.617 and 0.544) (Annexure D).
4.3.4 Responses to Section 5 - Ann Morrison’s Specific Diversity Initiatives In this section employees and managers are asked to rate statements that
pertain to Morrison’s diversity initiatives. As described in Chapter 2, these
initiatives are specific actions that leadership can implement in various sections
of the organisation to improve the management of diversity.
Managers feel that the following diversity actions are successfully implemented:
• Building relationships
• Fair evaluation by superiors on diversity management performance
• Personal support from superiors
Employees perceive these dimensions more positively than managers. The t-test
confirms that a difference in perception exists between managers and employees
with a p value of 0.009.
The Alpha values for some of these questions were below the accepted level of
0.7 because higher returned values denoted a negative response. When these
questions’ scales were reversed, the Alpha value raised above the accepted
value 0.829. This once again indicates that section 5 has a high degree of
reliability. Should it not be reliable it would mean that in FAS the perception is
that Morrison’s Diversity Initiatives do not effect diversity management. Managers
and employees responses are as follows:
55
0
50
100
150
StronglyDisagree
Neutral StronglyAgree
Figure 4.4 Section 4 Manager and Employee Responses
Manager ResponsesEmployee Responses
A mean greater than 3 would indicate that the respondents perceive the
implementation of these initiatives as positive. In this case it is clear that
manager and employees have a positive perception although employees are
once again slightly less positive than managers.
Table 4.12 Mean Comparison Section 5: Managers and Employees
Group Mean Managers 3.5 Employees 3.4 No significant statistical difference can be observed. We can however see that
the previously identified trend does continue in that managers perceive the
implementation of these actions in a more positive way than employees. The p
values from the t-test confirm this fact with values of 0.98 and 0.223 for
managers and employees respectively (Annexure E).
This trend is also observed in many of the demographic groups.
Table 4.13 Mean Comparison Section 5: Gender
Groups Male Female Managers 3.5 3.5 Employees 3.3 3.3
56
Males and female responses resulted in a similar mean in employee and
management groups regarding specific diversity initiatives implemented in FAS.
There is no significant difference between ethnic groups among managers as the
t-test confirms with a p value of 0.497. There is a significant difference of
perception between ethnic groups among employees however with a p value of
0.008 (Annexure E).
Table 4.14 Mean Comparison Section 5: Ethnicity
Groups Designated Non-Designated Managers 3.5 3.6 Employees 3.3 3.5 The same trend is again observed among ethnic groups in that non-designated
employees regard FAS’s implementation of Morrison’s initiatives. Non-
designated groups had an overall more positive perception about the
implementation of Morrison’s initiatives than designated groups.
4.4 Conclusion
The overriding trend in all the collected data is that leadership perceive their
efforts more positively than employees do. Although employees are not overly
negative, there is a statistically significant difference between these two groups’
perceptions.
There are very little differences between the perceptions of gender groups in
their respective employee groups. The trend is observed to carry through this
demographic distinction as well. Notably males in both groups do not regard the
identified barriers to diversity management as major obstacles while females
were unsure about how these barriers affect them in FAS. The over results
suggest than employees and managers alike do not know what affect their ability
to cope with diversity related issues.
57
The overall trend between managers and employees is also visible when the
ethnic breakdown is investigated. There are how very small differences between
how designated and non-designated employees perceive the issues of diversity
management. Non-designated employees and managers seemed to answer
more positively than their designated counterparts. Non-designated employees
also seemed to regard the identified barriers to diversity management as
unimportant in their ability to deal with diversity related issues. Designated
employees placed a slightly greater importance on these barriers.
Overall leadership seemed to regard their efforts as positive while employees
regarded these efforts as less successful, although not overly so. The lack of
understanding of the effect of barriers to effective diversity management might be
cause for concern.
58
Chapter 5 Conclusions and Recommendations 5.1 Introduction
As stated in Chapter 1 the purpose of this body of work is to provide leadership
with a guideline with how to manage workforce diversity effectively within the
FAS department. This work also aims to establish how diversity management is
perceived by employees and leaders, as well as how it is implemented within
FAS. The purpose of this chapter is to draw valid conclusions from the gathered
data and to make recommendations that can be implemented within this
particular banking department. Guidelines for the improvement of diversity
management will also be presented. Each section of the questionnaire revealed
different aspects of how diversity management is implemented within FAS and
will be discussed in detail respectively.
5.2 Conclusion The overall objective of this work is to create awareness of the influence of
diversity management in the creation of a healthy working environment
considering the manager’s role as a leader. The secondary objectives are:
• to identify various factors that influence effective diversity management
within Financial Asset Services.
• to identify certain trends as it pertains to certain demographical segments’
perception of diversity management within FAS.
• to propose recommendations that management and leaders can
implement based on the various influencing trends and factors in an
organisational context within FAS.
59
• to highlight the implications management must be aware of in order to
create a healthy working environment in terms of diversity management
within FAS.
The literature review also expands on certain models on how to manage diversity
referring in particular to Roosevelt and Morrison’s work as well as how these two
approaches can be integrated. The review also identified how certain factors can
act as barriers to the effective management of diversity management.
In order to achieve these objectives a questionnaire is implemented in FAS and
the results were analysed in Chapter four. The questionnaire attempts to uncover
perceptions among leaders and employees regarding the current implementation
of diversity management in their department. The questionnaire is divided into
sections that cover all the theoretical aspects discussed in Chapter two. The
results identified certain trends among managers and employees regarding two
demographical aspects.
The overall trend seems to suggest that managers have a more positive
perception than employees regarding the implementation and meaning of
diversity management in FAS. It did however come across that many managers
and employees have little familiarity regarding diversity management principles
and how certain factors influence the daily management of diversity. There were
some differences in the overall perceptions between ethic groups and, to a lesser
extent, between gender groups.
The following summarises the different dimensions contained in the separate
sections of the questionnaire.
60
5.2.1 Section 2: Principles of Diversity Management
Section 2 deals with general concepts in diversity management and how
managers and employees perceive this discipline. This section includes
questions about affirmative action and how positively or negatively they perceive
different types of diversity. Managers perceive diversity management much more
positively than employees. Employees however perceive these same dimensions
less positively as many disagreed with most of the statements in the
questionnaire. Non-designated groups, or Caucasians, were slightly more
negative than the designated, or non-Caucasians, groups. This trend is
especially true for managers. The gender groups follow the overall trend but
males perceive diversity related issues slightly more positively than females.
Managers for example felt extremely positively about the following factors:
• Sufficient cultural diversity within FAS
• Equitably represented ethnic groups within FAS
• Positive impact of cultural and gender diversity on work performance
• Successful implementation of affirmative action within FAS
Employees among all the different diversity groups feel that affirmative action is
not being successfully implemented within FAS. The deduction can be made
that this difference in perception is due to a lack of communication from
leadership. This is substantiated in the next section.
5.2.2 Section 3: Barriers to Diversity
Section 3 asks the respondents to consider certain factors that are identified in
chapter two as barriers to effective diversity management. From the collected
data it appears that managers have a more clear perception about how certain
factors influence the implementation of effective diversity management. This can
61
be concluded from the fact that very few respondents in this group responded
“uncertain” in the questionnaire.
The overall trend suggests that managers experience a higher impact from the
identified diversity management barriers than employees do. This trend is also
followed when the two gender and ethnic groups are investigated. A high
proportion of respondents in the employee group responded as uncertain. From
this, one can make the conclusion that employees are not clear on how barriers
to diversity management affect them. Managers are aware of these barriers and
regard them as having some impact on their management activities. Managers
indicated the following barriers to diversity as having the greatest impact in their
working environment:
• Lack of open communication channels
• Fear of discrimination based on Gender and Ethnicity
• Resistance to Change
• Stereotypes of different ethnic and gender groups
• Difficulty in balancing career and private life issues
These responses include leadership’s observation of their subordinates.
Employees list the following as having the greatest impact in the workplace:
• Lack of open communication channels
• Fears of discrimination based on ethnicity and gender
• Resistance to change
Managers perceive more barriers to diversity management than employees. One
can presume that is because they observe their subordinates’ performance in the
working environment. Managers observe that employees adhere to certain
stereotypes regarding gender and ethnic groups. This particular barrier to
diversity prevents these different groups from interacting effectively. This is
supported by the perception of leaders and employees alike, that there is a lack
of open communication channels. Both employees and managers exhibit a fear
62
of discrimination based on gender and ethnic differences. Employees and
managers also observe resistance to change as having an impact on effective
diversity management. When an organisation like Standard Bank needs to
implement transformational change as required by the Employment Equity act,
resistance to such changes will prevent the organisation from achieving its
strategic goals.
Managers add that there is a difficulty in balancing career and private life issues.
Managers have more roles and responsibilities towards their place of
employment. These extra responsibilities consume more personal time as
managers are expected to make their careers a higher priority than employees
would. More employees from designated and the female gender groups are
elevated to leadership levels because of employment equity directives. These
new managers need to find a balance in their career and private lives. Currently
they are experiencing pressure from both these issues.
5.2.3 Section 4: Roosevelt’s Generic Action Options
Section 4 asks managers and employees to rate statements with regard to
Roosevelt’s diversity actions. Roosevelt’s generic actions attempt to describe
how an organisation treats the issue of diversity management.
The list of possible generic actions range from very negative responses to very
positive responses. Negative responses include denial of the existence of
diversity issues. Positive responses include the total acceptance of diversity and
the realization that diversity contributes to the working environment. The overall
responses to this section suggest that all groups feel that Standard Bank’s FAS
department has a positive approach to diversity management. This indicates how
the organisation treats the issues of diversity management.
63
Managers and employees are in agreement that these actions are implemented
effectively. This means that the workforce feels valued. The number of available
communication channels however is not adequate. The evidence supports this
since the overall perceptions between managers and employees differ.
Employees perceive these actions slightly less positively than employees. This
trend is also followed by the ethnic and gender demographic distinctions with
little or no deviation from the trend. Non-designated employees however are
slightly more positive than their designated counterparts.
The different groups felt that FAS’ actions are particularly positive in the following
areas:
• Consideration of subordinates viewpoint, different from leadership’s own
• Different cultures communicate effectively within FAS
• Communication ability with people different from themselves.
This suggests that integration of culturally and gender diverse groups are
priorities for FAS. This also has the implication that FAS regards diversity as
essential for other reasons than legal compliance to the Employment Equity Act.
These reasons are:
• Diversity adds to the value of the company
• Synergy in diversity results in more productivity and efficiency.
5.2.4 Section 5: Morrison’s Specific Diversity Initiatives
Section 5 asks all groups to rate statements that related to Morrison’s Diversity
Initiatives. These diversity initiatives are specific tasks or activities that
management can implement in order to effectively manage diversity.
All groups responded with very positive answers, following the overall trend.
Managers and employees agree that Morrison’s initiatives are effectively
implemented although there are some groups who have an overall slightly
64
negative perception about the dimensions in this section. These groups include
the designated sub-groups in the manager and employee groups. Male and
female employees’ responses follow the overall trend of a manager being more
positive than employees. Non-designated employees definitely have a more
positive perception than their designated counterparts.
Overall leadership and employees perceived these particular dimensions
positively:
• Building relationships
• Fair evaluation by superiors on diversity management performance
• Personal support from superiors
5.3 Recommendations
Based on the responses obtained from the questionnaire the researcher can
identify certain aspects where deficiencies occur. These aspects are:
• the marked difference in perception between managers and employees
• the apparent lack of open communication channels between leadership
and employees
• some managers’ inability to effectively manage diversity because of a lack
of knowledge
• some employees’ lack of knowledge about the diversity management
process followed in FAS.
The overall trend that emerges is that managers are more positive about diversity
and the implementation of diversity management than employees. There is a
significant difference in perception between these two groups. This may be
cause for concern and is expanded on in the next section.
While most employees and managers are positive about diversity and the
implementation of diversity management principles, some areas of the
65
questionnaire raise some concerns. Section 3, dealing with barriers to diversity
management, in particular is identified as such an area. Section 2, 4 and 5 also
raises concern but to a lesser extent as the differences between manager and
employees are not significant.
The responses in Section 2, 4 and 5 indicate that employees and managers
communicate well within their isolated groups. Most respondents feel that they
communicate well with people different from themselves. Employees also feel
that their viewpoints are taken into consideration by their superiors. They do not
however perceive that affirmative action is being implemented successfully. This
same group also feels that lack of open communication channels to superiors is
a barrier to diversity management. One may deduce that the lack of open
communication channels between employees and leadership is the underlying
reason for the difference in perception between these two groups.
According to Kreitner (2001:497) the organisation can utilise a hierarchical or
grapevine communications pattern while being aware of distortion of
communication. Hierarchical communication occurs when managers pass
messages on to subordinates along formal communication channels and is most
appropriate for vertical communication. Informal channels like the “grapevine”
allows for mostly horizontal communication to take place but has little or no
credibility. In this case the difference in perception between managers and
employees may indicate a lack of trust. This may cause the message of diversity
management from managers to employees to be distorted. Employees must be
allowed to voice their opinions and concerns openly without fearing retribution.
For this reason, employees need to be trained in interpersonal communication in
the workplace. Employees, but managers especially, must attain communication
competence (Kreitner, 2003:485). This will give employees and managers the
ability to effectively and appropriately use communication behaviours. These
behaviours are:
66
• Cross-cultural awareness: Employees and managers must be made
aware that different cultures communicate in different ways. By achieving
this misunderstandings may be prevented. When people from different
cultures understand each other they communicate effectively. When
people from different cultures communicate effectively, they work
efficiently in a team environment.
• Assertiveness: Being expressive and self-enhancing without taking
advantage of others. Managers can open up potential communication
channels by being authoritative but not ignoring subordinates. Employees
must be assertive enough to voice their fears and concerns.
• Aggression: Being expressive and self-enhancing by taking unfair
advantage of others. Managers must be very aware of this behaviour
since communication channels can be eliminated by being aggressive.
Aggressiveness may also signal to employees that retribution can follow
the voicing of different opinions.
• Non-Assertiveness: Exhibiting self-denying behaviour. This may be the
result of a fear of retribution propagated by over aggressive
communication behaviours.
For this reason, leaders must make a greater effort to keep employees informed
about current diversity initiatives and programmes as well as educate current and
new employees on the subject of diversity and related concepts. Employees
need to understand why diversity management is implemented and what FAS’
motivation is for implementing diversity management. Employees need to be
informed that FAS does not implement diversity management and employment
equity merely because of legal requirements. Employees must be informed that
FAS believes that diversity contributes to FAS’ success. FAS may use all the
current methods of corporate communications to achieve this goal. These may
include:
• internal e-mail
• diversity awareness workshop information sessions
67
• the annual corporate road show
• heightening the profile of FAS’ transformation team.
FAS may also implement diversity awareness programmes (Grobler, 2002;50).
Theses programmes aim to educate employees and leadership in diversity
dimensions in order to change attitudes and perceptions. Top leadership should
undergo this training first to set an example for all lower tier employee levels.
Managers and employees should follow.
Diversity awareness training consists of the following:
• Value clarification: The set of organisational values, i.e. respect toward all
colleagues, should be reinforced;
• Perceptual differences: This dimension will uncover imprecise
communication practices;
• Problem-solving case studies: Participants are given a partial description
of a job applicant and are asked to complete the profile. This might help to
uncover certain biases or stereotypes that may exist among certain
groups;
• Exploring cultural assumptions: The previously identified stereotypes and
biases are explored openly, honestly and respectfully in order to inform
participants to the contrary;
• Personalising the experience: Participants are encourages to explore their
own uniqueness and that infinite differences exist in a seemingly
heterogeneous group.
Managers have the unique perception among other respondents in that they
regard the difficulty in balancing careers and private lives. As previously stated,
one can assume that leaders have this perception because they have added
responsibilities and that their careers has become a higher priority. Managers
must have access support structures that may assist them in complying with
organisational and personal responsibilities.
68
Grobler is of the opinion that mentoring is a proven measure to help new or
young managers to cope with new responsibilities (2002; 324). A mentor is an
experienced manager who provides guidance to junior managers and facilitates
his or her personal development. The benefits of mentoring include:
• The mentor may protect its charge from controversial situations and
provide coaching by suggesting strategies in these situations;
• The mentor may also provide counselling about work and personal
problems;
• There is better job performance and longer service with the organisation
from managers who are mentored as they develop more skills and self-
confidence.
Change management principles may also need to be applied in order for diversity
issues to become a priority for employees and managers. According to John
Kotter, leadership must proceed with the following steps in order to lead
organisational change (Kreitner, 2003:668):
• Establish a sense of urgency: FAS leadership must provide a compelling
reason to accept diversity management principles. These reasons may
include the need to comply with legislative requirements as well realising
that diversity can enhance productivity.
• Creating a guiding coalition: People with influence and power need to lead
this change. Standard Corporate and Investment Bank may specifically
appoint individual managers and supervisors in FAS to initiate this
change.
• Develop a vision and strategy: A strategic plan with the goal of effective
integration of diversity into everyday day business needs to be formulated.
• The change vision must be communicated effectively: This goal and vision
must be consistently communicated in clear terms to all affected,
especially the employees since they are most affected.
• Empower broad-based action: The barriers to diversity management
among employees and managers must be addressed and eliminated. This
69
will prompt initiative in creatively dealing with diversity issues by
leadership.
• Generate short-term wins: By setting small achievable goals, progress will
become more visible. People must be rewarded for helping to achieve
these small goals. This will heighten the sense of urgency that must
surround diversity management.
• Consolidate change and produce more change: The change process must
not be allowed to lose momentum. The coalition for change must build on
short-term wins by getting employees involved so they can carry change
forward.
• Anchor new approaches in the culture: Positive results must reinforce the
organisational culture. This will enable future managers and new
employees to effectively deal with diversity from first contact with FAS.
5.4 Summary
In summary, leadership in FAS must close the gap in perceptions between them
and their employees by opening up the channels of communication and by
implementing diversity awareness training. Managers must also undergo some
form of mentorship under a senior manager and specific diversity management
training in order to effectively deal with diversity related issues.
Standard Bank’s FAS implements diversity management principles in such a way
that managers and employees alike perceive diversity as a positive change in the
working environment. Given the abovementioned guidelines, FAS can implement
diversity management principles in such a way that it creates an even more
positive impact on its daily operations while achieving organisational goals.
70
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Annexure A
Cover Letter and Questionnaires Financial Asset Services: Corporate Investment Bank
Dear FAS employee,
You have been selected to participate in a research project aimed at determining
how diversity is managed within the FAS business unit. You are in no way
compelled to complete this questionnaire but your assistance will be greatly
appreciated and will be of great benefit to FAS. All information supplied by you
will be treated confidentially and will in no way be linked to you personally.
This questionnaire is used for the completion of a research project at the
University of Johannesburg.
It should take you no more than 10 minutes to complete this questionnaire. Once
you have completed all questions please place the questionnaire on top of your
credenza where it will be collected by Wikus Erasmus, Sarisha Sankar
throughout the day until 2:00 pm. Please use a pen to indicate your response.
It would greatly assist me if you would provide your frank and honest opinion.
Thank you very much for your participation
Kind Regards,
Wikus Erasmus Theuns Oosthuizen
Researcher Study Leader
January 2007
74
Financial Asset Services: CIB – Managers How to answer: Please indicate by means of a cross (X) in the applicable box your response to the following questions. Choose only one answer to each question.
Section 1 (To be completed by ALL)
To facilitate meaningful and constructive comparisons of results, kindly provide
the following demographic information:
1. Ethnicity Indian/Asian Black Coloured White
2. Gender Male Female
3. Number of Subordinates <5 5-9 10-15 16-20 20<
4. Number of years in current management position: <1 1-3 4-6 7-9 10<
Blue Purple Green Yellow Red
Your favourite colour is:
If your answer is Purple please mark as above.
75
Section 2 - Diversity and Diversity Management
State how strongly you agree or disagree with the following statements:
5. FAS employees are a culturally diverse group. Strongly Disagree Disagree Neutral Agree Strongly Agree
6. There is sufficient cultural diversity within my division. Strongly Disagree Disagree Neutral Agree Strongly Agree
7. Different Ethnic groups are equitably represented within my group. Strongly Disagree Disagree Neutral Agree Strongly Agree
8. The existence of cultural diversity positively impacts my performance. Strongly Disagree Disagree Neutral Agree Strongly Agree
9. The existence of gender diversity positively impacts my performance Strongly Disagree Disagree Neutral Agree Strongly Agree
10. The existence of cultural diversity complicates my job function. Strongly Disagree Disagree Neutral Agree Strongly Agree
11. The existence of gender diversity complicates my job function. Strongly Disagree Disagree Neutral Agree Strongly Agree
12. There is organisational support for me when I encounter diversity related
problems. Strongly Disagree Disagree Neutral Agree Strongly Agree
13. Affirmative Action contributes to the success of FAS. Strongly Disagree Disagree Neutral Agree Strongly Agree
76
14. Affirmative action has been successfully implemented in FAS. Strongly Disagree Disagree Neutral Agree Strongly Agree
Section 3 Barriers to diversity Management Please indicate to what extent the following aspects represent barriers to the
effective management of diversity:
15. Stereotypes about different ethnic groups. No Impact Little Impact Uncertain Some Impact Major Impact
16. Stereotypes about different gender groups. No Impact Little Impact Uncertain Some Impact Major Impact
17. Unsupportive work environment for subordinates culturally different from
management No Impact Little Impact Uncertain Some Impact Major Impact
18. Lack of open communication channels No Impact Little Impact Uncertain Some Impact Major Impact
19. My subordinates’ inability to socially integrate with different ethnic groups: No Impact Little Impact Uncertain Some Impact Major Impact
20. Difficulty in balancing career and private life issues No Impact Little Impact Uncertain Some Impact Major Impact
21. Fears of discrimination based on ethnicity: No Impact Little Impact Uncertain Some Impact Major Impact
77
22. Fears of discrimination based on gender: No Impact Little Impact Uncertain Some Impact Major Impact
23. The need to include the management of diversity in performance appraisals No Impact Little Impact Uncertain Some Impact Major Impact
24. Resistance to change No Impact Little Impact Uncertain Some Impact Major Impact
Section 4 - Diversity Actions
State how strongly you agree or disagree with the following statements:
25. I help to reinforce the organisational culture within my division. Strongly Disagree Disagree Neutral Agree Strongly Agree
26. I consider viewpoints of my subordinates even though they differ from my ownStrongly Disagree Disagree Neutral Agree Strongly Agree
27. The different cultures within my division communicate effectively. Strongly Disagree Disagree Neutral Agree Strongly Agree
28. I feel valued in a diverse workforce. Strongly Disagree Disagree Neutral Agree Strongly Agree
29. I communicate well with people from different ethnic groups. Strongly Disagree Disagree Neutral Agree Strongly Agree
78
Section 5 - Diversity Initiatives
State how strongly you agree or disagree with the following statements:
30. I personally intervene in diversity related matters. Strongly Disagree Disagree Neutral Agree Strongly Agree
31. I facilitate the establishment of good relationships between different ethnic
groups. Strongly Disagree Disagree Neutral Agree Strongly Agree
32. Conflict due to cultural differences arises in my division. Strongly Disagree Disagree Neutral Agree Strongly Agree
33. I take employment equity issues within FAS into account when recommending
an appointment to my superiors. Strongly Disagree Disagree Neutral Agree Strongly Agree
34. I am fairly evaluated by my superiors on how effectively I deal with diversity
within my group. Strongly Disagree Disagree Neutral Agree Strongly Agree
35. The evaluation criteria for the management of diversity is sufficient. Strongly Disagree Disagree Neutral Agree Strongly Agree
36. I encourage my subordinates to take part in diversity workshops. Strongly Disagree Disagree Neutral Agree Strongly Agree
37. I get personal support from my superiors when I encounter diversity related
problems. Strongly Disagree Disagree Neutral Agree Strongly Agree
79
Financial Asset Services: CIB - Employees How to answer: Please indicate by means of a cross (X) in the applicable box your response to the following questions. Choose only one answer to each question.
Section 1 (To be completed by ALL)
To facilitate meaningful and constructive comparisons of results, kindly provide the
following demographic information:
1. Ethnicity Indian Black Coloured White
2. Gender Male Female
3. Number of years at FAS. <1 1-3 4-6 7-9 10<
Section 2 - Diversity and Diversity Management State how strongly you agree or disagree with the following statements:
Blue Purple Green Yellow Red
Your favourite colour is:
If your answer is Purple please mark as above.
80
4. FAS employees are a diverse group. Strongly Disagree Disagree Neutral Agree Strongly Agree
(5)
5. My superiors believe diversity is an important issue. Strongly Disagree Disagree Neutral Agree Strongly Agree
6. There is sufficient cultural diversity within my division. Strongly Disagree Disagree Neutral Agree Strongly Agree
7. Different ethnic groups are equitably represented within my division. Strongly Disagree Disagree Neutral Agree Strongly Agree
8. The existence of cultural diversity positively impacts my performance. Strongly Disagree Disagree Neutral Agree Strongly Agree
9. The existence of gender diversity positively impacts my performance Strongly Disagree Disagree Neutral Agree Strongly Agree
10. The existence of cultural and gender differences complicates my job function. Strongly Disagree Disagree Neutral Agree Strongly Agree
11. The existence of gender diversity complicates my job function. Strongly Disagree Disagree Neutral Agree Strongly Agree
12. Affirmative Action contributes to the success of my division. Strongly Disagree Disagree Neutral Agree Strongly Agree
(13)
13. Affirmative Action contributes to the success of FAS. Strongly Disagree Disagree Neutral Agree Strongly Agree
(14)
81
Section 3 Barriers to diversity Management Please indicate to what extent the following aspects represent barriers to the
effective management of diversity:
14. Stereotypes about different cultures: No Impact Little Impact Uncertain Some Impact Major Impact
(15)
15. Unsupportive work environment for employees that are culturally different from
management: No Impact Little Impact Uncertain Some Impact Major Impact
(17)
16. Lack of open communication channels: No Impact Little Impact Uncertain Some Impact Major Impact
(18)
17. My co-workers’ inability to socially integrate with different ethnic groups: No Impact Little Impact Uncertain Some Impact Major Impact
(19)
18. Difficulty in balancing career and private life issues: No Impact Little Impact Uncertain Some Impact Major Impact
(20)
19. Fears of discrimination based on ethnicity: No Impact Little Impact Uncertain Some Impact Major Impact
(21)
20. Fears of discrimination based on gender: No Impact Little Impact Uncertain Some Impact Major Impact
(22)
21. Resistance to change No Impact Little Impact Uncertain Some Impact Major Impact
(24)
82
Section 4 - Diversity Actions
State how strongly you agree or disagree with the following statements:
22. My superior considers my viewpoints even though they differ from his/her own.Strongly Disagree Disagree Neutral Agree Strongly Agree
(26)
23. The different cultures within my division communicate effectively. Strongly Disagree Disagree Neutral Agree Strongly Agree
(27)
24. I feel valued in a diverse workforce. Strongly Disagree Disagree Neutral Agree Strongly Agree
(28)
25. I communicate well with people of different ethnic groups. Strongly Disagree Disagree Neutral Agree Strongly Agree
(29)
Section 5 - Diversity Initiatives
State how strongly you agree or disagree with the following statements:
26. My manager personally intervenes in diversity related matters. Strongly Disagree Disagree Neutral Agree Strongly Agree
(30)
27. My manager facilitates the establishment of good relationships between
ethnically diverse groups. Strongly Disagree Disagree Neutral Agree Strongly Agree
(31)
83
28. Conflict due to cultural differences arises in my division Strongly Disagree Disagree Neutral Agree Strongly Agree
(32)
29. My manager takes employment equity issues within FAS into account when
making an appointment recommendation to my superiors. Strongly Disagree Disagree Neutral Agree Strongly Agree
(33)
30. My manager encourages me to take part in diversity workshops. Strongly Disagree Disagree Neutral Agree Strongly Agree
(36)
31. I get personal support from my manager when I encounter diversity related
problems. Strongly Disagree Disagree Neutral Agree Strongly Agree
(37)
84
Annexure B Questionnaire Results Section 2 Table B1 Manager’s Responses Managers Strongly
Disagree Disagree Neutral Agree Strongly Agree
There is sufficient cultural diversity within my division
0 3 1 25 11
Different ethnic groups are equitably represented within my group
2 9 6 16 7
The existence of cultural diversity positively impacts my performance
2 4 14 16 4
The existence of gender diversity positively impacts my performance
1 2 14 17 4
The existence of gender diversity complicates my job function
8 22 7 3 0
Affirmative Action contributes to the success of FAS
2 5 15 14 4
FAS employees are a culturally diverse group
0 0 1 18 21
The existence of cultural diversity complicates my job function
8 18 12 2 0
There is organisational support for me when I encounter diversity related problems
0 7 15 18 0
Affirmative Action has been successfully implemented in FAS
2 6 9 18 5
85
Table B2 Employees Responses Employees Strongly
Disagree Disagree Neutral Agree Strongly Agree
There is sufficient cultural diversity in my division
2 5 8 35 12
Different ethnic groups are equitably represented within my group
2 12 16 25 8
The existence of cultural diversity positively impacts my performance
5 13 18 23 2
The existence of gender diversity positively impacts my performance
6 16 18 21 1
The existence of gender diversity complicates my job function
13 36 7 2 2
Affirmative Action contributes to the success of FAS
8 19 19 11 5
FAS employees are a diverse group
0 6 6 30 19
My superiors believe diversity is an important issue
1 8 14 27 11
The existence of cultural diversity complicates my job function
10 39 7 4 1
Affirmative Action contributes to the success of my division
6 25 16 14 2
Table B3 Means and Level of Significance per group and Cronbach Alpha Group Mean Level of Significance Cronbach Alpha
Designated 3.6625 Managers Non-Designated 3.6125
0.802
Designated 3.3370 Employees Non-Designated 3.2833
0.164
Male 3.3671 Managers Female 3.6204
0.509
Male 3.4125 Employees Female 3.2692
0.222
Managers 3.6375 Total Employees 3.3238
0.781
0.71
86
Annexure C Questionnaire Results Section 3 Table C1 Manager’s Responses Managers No Impact Little Impact Uncertain Some Impact Major Impact Unsupportive work environment for employee culturally different from management
9 9 10 8 4
Lack of open communication channels
3 10 4 13 10
Subordinate’s inability to socially integrate with different ethnic groups
10 11 6 10 3
Difficulty in balancing career and private life issues
6 10 1 15 8
Fears of discrimination based on ethnicity
6 11 4 16 3
Fears of discrimination based on gender
12 8 2 17 1
Resistance to change
5 9 3 17 6
Stereotypes about different ethnic groups
3 7 7 17 6
Stereotypes about different gender groups
8 10 1 17 3
The need to include the management of diversity in performance appraisals
8 11 10 8 3
87
Table C2 Employees Responses Employees No Impact Little Impact Uncertain Some Impact Major Impact Unsupportive work environment for employee culturally different from management
13 8 21 12 8
Lack of open communication channels
6 12 10 15 20
My inability to socially integrate with different ethnic groups
14 14 11 14 10
Difficulty in balancing career and private life issues
17 10 5 16 14
Fears of discrimination based on ethnicity
15 8 10 19 11
Fears of discrimination based on gender
22 7 8 19 7
Resistance to change
12 6 6 22 17
Stereotypes about different ethnic groups
6 15 15 15 9
Table C3 Means and Level of Significance per group and Cronbach Alpha Group Mean Level of Significance Cronbach Alpha
Designated 3.2786 Managers Non-Designated 2.6929
0.447
Designated 3.1863 Employees Non-Designated 2.6190
0.212
Male 2.6813 Managers Female 3.1323
0.448
Male 3.0000 Employees Female 3.0513
0.987
Managers 2.9857 Total Employees 3.0468
0.775
0.894
88
Annexure D Questionnaire Results Section 4 Table D1 Manager’s Responses Managers Strongly
Disagree Disagree Neutral Agree Strongly Agree
I consider viewpoints of my subordinates even though they differ from my own
0 0 2 26 12
The different cultures within my group communicate effectively
0 3 4 27 6
I feel valued in a diverse workforce
0 2 8 22 8
I communicate well with people form different ethnic groups
0 0 1 21 18
I help to reinforce the organisational culture within my group
0 0 4 29 7
Table D2 Employees Responses Employees Strongly
Disagree Disagree Neutral Agree Strongly Agree
My viewpoints are considered even though they differ from management’s
6 7 7 33 10
The different cultures within my group communicates effectively
1 7 8 34 13
I feel valued in a diverse workforce
2 7 14 30 9
I communicate well with people from different ethnic groups
0 0 2 36 25
89
Table D3 Means and Level of Significance per group and Cronbach Alpha Group Mean Level of Significance Cronbach Alpha
Designated 4.1125 Managers Non-Designated 4.1250
0.617
Designated 3.8298 Employees Non-Designated 3.8833
0.544
Male 4.0769 Managers Female 4.1389
0.066
Male 3.8375 Employees Female 3.8250
0.210
Managers 4.1188 Total Employees 3.8427
0.064
0.712
90
Annexure E Questionnaire Results Section 4 Table E1 Manager’s Responses Managers Strongly
Disagree Disagree Neutral Agree Strongly Agree
I personally intervene in diversity related matters
1 9 14 15 1
I facilitate the establishment of good relationships between different ethnic groups
0 4 11 21 4
Conflict due to cultural differences arises in my division
9 16 6 8 1
I take employment equity issues within FAS into account when recommending an appointment to my superiors
0 0 15 20 5
I encourage my subordinates to take part in diversity workshops
0 7 12 14 7
I get personal support from my superiors when I encounter diversity related problems
0 1 16 18 5
I am fairly evaluated by my superiors on how effectively I deal with diversity within my group
0 2 13 20 5
The evaluation criteria for the management of diversity is sufficient
3 5 13 17 2
91
Table E2 Employees Responses Employees Strongly
Disagree Disagree Neutral Agree Strongly Agree
My superior intervenes in diversity related matters
5 10 25 16 6
My superiors facilitate the establishment of good relationships between ethnic groups
3 6 9 36 9
Conflict due to cultural differences arises in my division
16 30 8 7 1
My superior take employment equity issues within FAS into account when recommending an appointment to my superiors
5 8 22 21 6
My superior encourages our group to take part in diversity workshops
5 7 17 26 7
I get personal support from my superiors when I encounter diversity related problems
3 10 21 21 7
Table E3 Means and Level of Significance per group and Cronbach Alpha Group Mean Level of Significance Cronbach Alpha
Designated 3.4600 Managers Non-Designated 3.6300
0.497
Designated 3.2766 Employees Non-Designated 3.5467
0.008
Male 3.5385 Managers Female 3.5481
0.098
Male 3.3100 Employees Female 3.3400
0.223
Managers 3.5450 Total Employees 3.3419
0.009
0.779