Glossary

Diversity management

Apr 6, 2024

What is diversity management?

Diversity management is a strategy to create, maintain, and sustain an inclusive workplace that encourages the full participation of all employees. Diversity management aims to address issues related to race, gender identity and expression, sexual orientation, ability status and other factors that may contribute to disparities in the workplace.

There are three types of diversity: 

  • demographic (based on age, gender or skin colour);
  • psychological (based on personal characteristics such as personality traits);
  • functional (based on roles within an organization).

What does diversity management mean for HR?

The definition of diversity in the workplace is differences that make a group or society unique. The term refers to characteristics such as age, gender, race, ethnicity and sexual orientation but can also include other aspects such as disability or socioeconomic background. Diversity plays an important role in creating a more inclusive environment within organizations because it provides employees with different backgrounds and experiences, allowing them to bring different perspectives into the workplace.

Diversity management is the action taken by an organization to ensure the inclusion of all employees from a range of backgrounds. It involves planning, monitoring, and evaluating activities within an organization in order to ensure equal opportunities for all employees regardless of age, gender race religious convictions, or sexual orientation/identity.

Three types of diversity management

What is diversity management in practice? It’s not just about race and gender. It's about managing differences in the workplace that result from a diverse workforce. The goal of diversity management is to make your organization more competitive by enabling it to tap into the unique strengths of its employees and customers, which can lead to better decision-making, increased innovation and improved quality of products or services. 

Organizational diversity management starts with choosing the right strategy. There are three types of diversity management.

Structural Diversity Management

Structural diversity management focuses on the organization, its processes, and its culture. The aim is to create a more inclusive workplace where people are valued equally regardless of their race, gender or sexuality.

Structural or organizational diversity management aims to create a level playing field for all employees so that they can work productively and with passion in an environment free from discrimination or bias.

Process Diversity Management

Process diversity management is about making sure that the processes used in your company are inclusive and accessible to all employees. 

Many companies overlook process diversity management because it's easy for them to assume that everyone has access to their programs or resources. However, this thinking only serves to exclude people who may not have the same access as others.

You should think about how to manage diversity in the workplace to ensure that everyone feels included. It can be difficult to achieve, but it is important.

Behavioral Diversity Management

Behavioral diversity management focuses on the individual and their behavior. It is concerned with identifying, valuing and developing behaviors that are necessary for organizational success.

It may include:

  • assessing individual potential and behavior;
  • creating an environment where all types of behaviors can be expressed, valued and developed;
  • exploring ways in which individuals can work together more effectively, such as through rewards or training programs; 
  • developing a formal behavioral action plan based on the assessment results.

Advantages of managing diversity in the workplace

Diversity management in human resources:

  • can help you attract and retain top talent;
  • leads to more innovative ideas;
  • can help you create a more inclusive culture;
  • can help you improve employee engagement;
  • can help you increase employee retention.

Diversity management challenges

Diversity management is a complex and continuous process that requires considerable resources. It also entails a lot of time and commitment to be effective.

Diversity management can be challenging when it comes to implementing changes in the workplace, as well as having an impact on employees' engagement levels. But by understanding the concept and meaning of diversity management and its benefits, you will see how it can make your organization more effective overall.

Best practices for managing diversity

  • integrate diversity management into your HR strategy;
  • have a clear vision of what you want to achieve;
  • define diversity management targets and set goals for them;
  • plan and communicate the implementation of your diversity management program;
  • make sure that employees are aware of the benefits of diversity management and how it can help them personally and professionally, both at work and in their personal lives;
  • provide training for managers, so they can support their employees with any issues related to discrimination or unequal treatment.

Why you should integrate diversity management into your HR strategy?

A diversity management approach, or a combination of approaches, is the best way to create a more diverse workplace. This means that you need to be aware of the different ways in which people differ from each other and how these differences can affect your organization.

In order to attract and retain a diverse workforce, companies need to understand the different needs of their employees and create an inclusive environment where they feel comfortable bringing those needs forth. Diversity management helps to build a strong and diverse workforce by making sure that all employees are treated fairly in the workplace. Diversity management also helps create a workplace that is more productive because it encourages collaboration among people with different backgrounds, experiences, skill sets and perspectives.

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