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Practices Of Human Resource Management Diversity Of NPCC
Practices Of Human Resource Management Diversity Of NPCC
Diversity management entails recognizing and valorizing personal differences. Respect and acceptance are the main perceptions of diversity which basically translates to comprehending that every human being is unique, and accepting our individual distinction. Individual differences can be evaluated along various dimensions which include: race, sexual orientation, age, ethnicity, gender, political beliefs, religious beliefs, socio-economic status, or physical abilities among other philosophies (Arredondo, 1996). Examining the aforementioned individual discrepancies in a constructive, safe and fostering milieu is what constitutes diversity. Furthermore, diversity management can be simplified to being indulgent to one another and surpassing the basic tolerance to acknowledging the numerous dimensions of miscellany in every human being rather than conforming to affirmative action laws approach (Arredondo, 1996). From a United States of America perspective, management diversity is meant to halt or bring to an end to the egalitarianism perceptions such as affirmative action and equal prospects. Nevertheless, individual differences and inherent sequencing amid management of diversity and purportedly prior affirmative and equality action laws may not be efficiently applicable in all the countries in the world (Certo, 2000). For example, the concept of diversity management and equality tend to grow in parallel in the European Union. Moreover, diversity management is time and again perceived as a tool for enacting institutionalization of equality and or constructive action legislation in some of the countries constituting the European Union. For instance, deliberations on management diversity and prejudice intensified concurrently rather than one after another in France (Certo, 2000).
GOALS AND OBJECTIVES OF PRACTICES OF HUMAN RESOURCE MANAGEMENT DIVERSITY
Recognizing human capital as the core resource in ensuring organizational achievement is the main focus of human resource goals and objectives. Specifically, incorporating human resource leaders in the entire business decision making and the prerogative to exhibit the constructive impacts of investing in human resource constitute the goals and objectives of human resource diversity (Arredondo, 1996). Below is a discussion of the various goals and objectives of human resource management diversity.
Executive Membership
The opportunity to join the top most level of management in an organization is the most subtle and at the same time most sought after human resource objective. The highest levels of administration in an organization include the chief executive, chief information, chief financial and chief operating. Attaining these positions in a diverse work force is the most coveted objective as it places an individual in a position to manage strategies and come up with departmental decision that market an organization’s ability to make profits (Certo, 2000).
Employee Engagement
The other objective of the practices of human resource management diversity is consistent employee engagement. Maintaining a work milieu where the diverse work force is contended irrespective of their individual differences is a top priority objective. To realize this objective, an organization’s management ought to employ strategic planning where an employee gets paid to do what he or she enjoys. This is achieved by recognizing the abilities, beliefs and preferences of individual employees and making sure that they are not violated. This can also be achieved by coordinating promotional opportunities when they arise.
Compliance
Ensuring that an organization’s policies do not clash with the federal or state employment laws is extremely vital in ensuring that employees work in a safe and conducive environment. Putting into consideration the rules governing employment of people in the region of an organization’s operation and bearing in mind the diverse individuality of employees aids greatly in the promoting their delivery. Constant audits also promote diversity in the entire workforce as it proves that an organization has the client and market base at heart (Certo, 2000).
Turnover and Retention
Keeping employees happy, is the most challenging objective of human resource management. This is often quantified by retention and turnover. Viable factors for realizing objectives with regard to turnover and retention include attracting qualified and competent workers, stirring long term dedication and commitment, and encouraging the already recruited work force constantly (Daft, 1994).
Employer of Choice
The last objective of human resource management diversity is coming up with an employer whom most if not every employee is comfortable and happy to work with. The diverse work force posses a challenge in ensuring that each and every employee; irrespective of their individual differences, is comfortable with their immediate employer. To achieve this objective, the organization is required to promote conducive employer-employee relationships, avail benefits packages, provide innovating reimbursement and most important invest in employees (Daft, 1994).
SCOPE OF THE STUDY
This research paper entails a comprehensive assessment of the degree in which employees’ perceived management receptivity to diversity management (PRMRD) differ by age, gender, ethnicity and organizational term. The paper also seeks to study the influence of different dimensions of organizational climate for diversity (OCFD) on PRMRD. This paper advances to extensively evaluate the various practices of human resource management diversity in the National Petroleum Construction Company (NPCC) in the United Arab Emirates. The core aspects of diversity discussed include the cultural, cognitive and behavioral diversities in the multi national corporation. The paper goes ahead and outlines the various benefits and challenges associated with management diversity in NPCC. The paper also ventured into a comprehensive discussion on the goals and objectives of management diversity in the contemporary world. Finally this research paper indulged in evaluating the various human resource strategies incorporated by the National Petroleum Construction Company with regard to management diversity.
THE NATIONAL PETROLEUM CONSTRUCTION COMPANY (NPCC), (OVERVIEW)
NPCC was established in 1973 as a Public Joint Stock company at Sadiyat Island which is three kilometers to the East of Abu Dhabi city. The company was established to endow onshore and offshore Oil and Gas production industry with a facility for the manufacture of steel structures. The multi national corporation expanded progressively and in 1978 it managed to set up a custom built pipe coating facility (Drucker, 1974). One year later, NPCC was in a position to supply marine spreads for Pipe lay Installation and Hook-up works which was made possible by the company’s initiative to embark on offshore endeavors for the Oil and Gas industry (Drucker, 1974).
The company embraced the human resource management diversity practices in its management to exploit its employees’ potential and abilities. The diverse work force in the region guaranteed diverse ideas, expertise and experience which availed the company with ample expansion opportunities and maximization of profits. Presently NPCC posses a devoted marine fleet which has thirteen construction barges proficient enough to transport as much as twelve thousand tones, lay submarine pipelines as big as sixty inches in diameter, lift solitary structures as heavy as two thousands six hundred tones, together with hook-up and preservation works (Drucker, 1974).
Numerous consultations among the diverse management team lead to the inception and implementation of another facility within the vicinity of the parent company to manufacture tanks and spheres for storing different petroleum products such as crude oil, liquid sulphur, diesel oil, liquefied natural gas (LNG), water, liquefied petroleum gas (LPG), and many more, to serve the onshore projects. Embracing management diversity has seen to NPCC’s dynamic growth to the extent of being in league with the major international EPC contractors engaged in the expansion of the Gas and Oil Industry (Drucker, 1974). Currently, the multinational corporation boasts of over three hundred committed engineering oriented staff from across the globe. The work force is equipped with state of the art computer software made available by the company’s employees who trace their roots to Europe and the American continent. This ‘imported’ expertise has greatly aided the company in dealing with engineering challenges.
MISSION OF THE NATIONAL PETROLEUM CONSTRUCTION COMPANY
The multinational corporation is dedicated to identifying the needs for its services in its areas of operation either as an individual entity or in liaison with venture partners. This is meant to fully accomplish and satisfy the requirements of its shareholders, partners and most important the clients. NPCC also targets to diversify its onshore and offshore potential and broaden its region of onshore operation to beyond the United Arab Emirate and to the Gulf region in particular. The other mission of NPCC is to uphold the obligation to its HSE strategy at every level of the company, which requires uniform standards from its entrepreneurial partners, vendors and sub contractors. The company has another mission to endeavor for operational superiority in both the management and implementation of novel initiatives by meticulously introducing the most ideal practices, retaining international values in the quality of work and enhancing productivity. Another mission of the National Petroleum Construction Company is to continue executing the current on work trainings, seminars and workshops to ensure the employees are at par with the ever changing technological innovations. Finally the NPCC has a laid down mission to sustain a gracious attitude and avail the necessary services to the population within its areas or regions of operation (Drucker, 1974).
LITERATURE REVIEW
In the recent past, the government of the United Arab Emirates has put considerable focus on diversity issues. This is because its work force is becoming progressively diverse in terms of race, gender, ethnicity and nationality. Most of the companies operating in UAE, NPCC included, claim that that they have embraced diversity in terms of age, ethnicity, nationality, gender and religion, prompting prioritization of talent management. While the public services in UAE are investing significant resources in establishing and implementing policies that enhance understanding, accord and tolerance, statistics show that altering diversity is greatly dependent on the senior administration’s commitment to, and support for this noble initiative. Nevertheless, little has been done to evaluate how management acts to efficiently manage diversity as perceived by employees (Certo, 2000). This is attributed to lack of valid and reliable measure. Being in a position to discern employee insight of management events is extremely vital since statistics suggest that behaviors are heavily depended on perception irrespective of their accuracy.
It is also evidently clear that perceived management receptivity to management diversity (PMRMD) reasonably differ amid gender and ethnic groups. Nonetheless, the above mentioned deductions have been based on studies conducted in North America and may therefore not be applicable to other nations especially the United Arab Emirates due to discrepancies in management diversity policies among different countries (Certo, 2000). Furthermore, little efforts have been enforced to highlight the factors that influence these differences and also conception of organization climate for diversity (OCFD) have been duly been neglected despite OCFD perception being the major explanatory variable (Certo, 2000). To address the aforementioned limitations of management diversity, this research paper is going to evaluate the level in which PMRMD differ amongst the United Arab Emirates public sector employee. The paper is also going to asses the effects of the newly initiated dimensions of OCFD on PMRMD.
PMRMD refers to employees’ views on the extent in which a particular management support the diversity initiatives. For instance a study of three hundred and twenty eight employees conducted in a United States of America Navy Medical Treatment facility (NMTF) suggests that the minority groups which included the Blacks, Hispanics and the Asian employees complained of the hospital’s management acting contrary to what it purports than did the white workers. Similarly, in another study of five hundred and ten; both supervisory and non supervisory workers, of the U.S. Environmental Protection Agency, the minorities and women complained vehemently of the agency not doing enough in promoting and addressing the diversity issues than did the men and the whites (Arredondo, 1996). Statistics have also proved beyond reasonable doubt that the old have time and again been discriminated in accessing on job training and development opportunities, denied employment opportunities the qualify for, been the first to be selected for redundancy, and have been denied promotions at their places of work than their young counterparts. The above conclusions results to the following theory: The perceived management receptivity to diversity management (PMRMD) differs immensely amid, age, gender, ethnic group and organizational term (Arredondo, 1996).
Organizational climate for diversity (OCFD) refers to the personal, group or organizational conceptions that alter the workers’ conception of management’s accessibility to diversity programmes. Organizational associates are understood to undergo or envisage environment the same way since they work under the same milieu. Nonetheless, an organization has more than one reality and therefore different employees undergo or identify OCFD differently. OCFD is resolute by a number of socio-psychological circumstances and observable facts. For instance, a precise value for diversity amongst an organizational crew is one of the most important constituent of organizational environment. Findings from already conducted studies conclude that conceptions of OFCD vary with the degree in which members of an organization assess diversity (Arredondo, 1996).
The other constituent of an organizational setting is the degree of comfort, with candidness, to diversity amongst members of the organization. Studies on social classification and the similarity-attraction hypothesis reveal that people interact freely with members of their own group than they do with members from a different group. This is because groups enhance communication, develop predictability of an individual’s actions and most important cultivates trust and reciprocity (Arredondo, 1996). For instance studies suggest that people from different gender, age or race are not always at ease with one another. It has also been suggested that the majority group members often avoid the members of the minority group to eliminate chances of being termed as prejudiced when the two groups are involved together in a venture (Arredondo, 1996).
Apparent evenhandedness of human resource management strategies and practices forms another vital constituent in organizational environment. Despite the numerous efforts made to do away with discrimination in the work force, most organizations do not implement equal opportunity legislation (Klarsfeld, 2010). It is unfortunate that there has been discrimination in almost all levels of an organization. This is evidenced in the recruitment, career enhancement and promotions processes (Klarsfeld, 2010). For instance an analysis of over seventy studies by Kraiger and Ford (1985) demonstrated that black workers are down rated on job performance in comparison to their white counterparts especially when a white is doing the rating (Klarsfeld, 2010). Consequent research also concluded that blacks are often awarded least evaluations and scores on both subjective and objective procedures compared to the whites. Recent studies confirmed the existence of racial bias in supervisory ratings (Klarsfeld, 2010).
Novel studies demonstrate that women and the ethnic minority have on various occasions been shielded against attaining the highest levels of management. Their career advancement rates have also been comparatively slower than men and white counterparts (Klarsfeld, 2010). Studies also indicate that promotion rates for the whites in NPCC have been much more elevated than the minority groups as their recommendations for promotion are higher and they are perceived to be better leaders which are not always true. A closer look at the gender discrepancies also reveal that women are rarely promoted compared to their male colleagues in spite of them having been employed at the same time. In academics, studies established that a substantial percentage of men get appointed to higher levels of academia positions compared to women are mostly appointed to lower levels or on casual or short term contracts despite their academic achievements (Klarsfeld, 2010). Similarly, studies indicate that minorities in NPCC are accorded less on work trainings, seminars and workshop to enhance their opportunities for more responsibilities and consequent promotions at their work place. Research also indicates that in the United Arab Emirates both public and private sector manager trainings are done basing on gender. In particular, women in the NPCC are accorded less motivation and trainings despite their rich work experience (Klarsfeld, 2010). The less frequent trainings they get are insignificant in enhancing their career.
View point of management events that influence the inclusion or exclusion of the disadvantaged groups is the final element organizational milieu this paper is going to discuss. It is unfortunate that very many chronological underprivileged groups are still being excluded or marginalized in various social backgrounds because of their demographic characteristics. For example researches on structural affiliation patterns reveal that individuals struggle to attain similarity in identity or organizational relationships with the people they interrelate within their career associations or social networks. Consequently, men have time and again employed or sustained their “old boys’ associations” to bar women from unofficial associations in order to retain dominance in their organizations. Therefore, women’s advancement into leadership within an organization is greatly hindered by the upholding the “old boys’ affiliations” (Wrench, 2007). Although various studies indicate that the minorities view themselves as being partly or fully separated from either official or unofficial features of the corporate life, others confirmed that women are on many occasions barred from the unofficial affiliations hindering their acquisition of vital information or decision making associations in the organization (Wrench, 2007). This is aimed at ensuring that they do not get the much needed know how on managerial issues and that they do not actively participate in organizational endeavors.
Studies also indicate that in a culturally diverse environment, organizational crew often undergoes diversity oriented interrelation intricacy. This is because people with sundry locale differ in perception, judgment or viewpoints. In most cases, minorities or women’s ideas are disregarded and are only enacted when revisited by a member of the majority group. This makes members of the minority group unenthusiastic to voice their novel views or they become reluctant to indulge themselves in initiatives that demand deliberations of ideas from diverse ethnic or gender stance (Wrench, 2007). Diverse stance, values, linguistic cues or beliefs have the potential to result in misapprehensions and consequently communication breakdown. Moreover, ethnic minorities and women may deduce that they are treated unfairly as opposed to their colleagues. Such perceptions, if not corrected have the capability of upsetting the cohesiveness of workgroups. As a result, probable interrelation difficulties such as understanding; elucidation that either confirms or alters the content or purpose of communication, treatment; disparity compassion aimed at an individual via judgment or communication, cohesiveness; the extent to which group associates are attracted to one another, and ideation; expression of various perspectives and ideas within a group, are also extremely vital constituents of organizational environment (Wrench, 2007) .
Consequently, the contemporary study views the aforementioned constituents as being extremely vital elements of organizational climate for diversity (OCFD). Presently, there is no research that relates the elements of OCFD and PMRMD. Nevertheless, results of numerous studies together with the notion that OCFD could provide the major expounding variable, necessitated the conception of the following theory: Views of organizational climate for diversity which includes: value, fairness, treatment, comfort, cohesiveness, understanding, inclusion and ideation, will envisage perceived management receptivity to diversity management (Wrench, 2007).
REASERCH METHODOLOGY
This study is perceived to have been conducted in one of the most prominent multinational corporation in the United Arab Emirates called the National Petroleum Construction Company (NPCC). Before execution, the original questionnaire was pilot tested with fifty NPCC employees with its response collected and combined by the multinational corporation (Klarsfeld, 2010).
The following is the final copy of the questionnaire employed to collect information regarding the study.
Scale Items (Tick where applicable)
1 2 3 4 5 6
Strongly Disagree Moderately Disagree Slightly Disagree Slightly Agree Moderately Agree Strongly Agree
I have a say in the decisions taken by my work group concerning our tasks
1 2 3 4 5 6
My colleagues in the group share work-related information with me freely.
1 2 3 4 5 6
I am usually involved and invited to actively take part in work-related events of my work group
1 2 3 4 5 6
I am always in a position to influence decisions that affect my organization
1 2 3 4 5 6
I am typically among the last to know about vital alterations in the organization.
1 2 3 4 5 6
I am normally invited to important meetings that discuss crucial matters pertaining my organization
1 2 3 4 5 6
My supervisor often consults me before making vital decisions that affect our company
1 2 3 4 5 6
My supervisor has never shared information concerning the organization with me
1 2 3 4 5 6
I am often invited to actively take part in review and evaluation meetings with my supervisor
1 2 3 4 5 6
I am often given the opportunity to give my opinion in meetings with management higher than my immediate supervisor.
1 2 3 4 5 6
I frequently receive communication from management higher than my immediate supervisor like email, & memos
1 2 3 4 5 6
I am often invited to participate in meetings with management higher than my immediate supervisor.
1 2 3 4 5 6
I am often asked to contribute in planning social activities not directly related to my job function.
1 2 3 4 5 6
I am always informed about informal social activities and company social events.
1 2 3 4 5 6
I am rarely invited to join my coworkers when they go out for lunch or drinks after work.
1 2 3 4 5 6
ANALYSIS OF THE RESPONSE TO THE QUESTIONNAIRE
QUESTION
NUMBER RESPONSE TOTAL
Strongly Disagree Moderately Disagree Slightly Disagree Slightly Agree Moderately Agree QUESTION
ONE 215 264 657 897 1,098 3,131
QUESTION
TWO 187 213 723 1,050 1,278 3,451
QUESTION
THREE 205 139 871 1,198 1,400 3,813
QUESTION
FOUR 1,200 965 899 745 474 4,283
QUESTION
FIVE 342 477 984 1,134 1,352 4,289
QUESTION
SIX 893 1,207 1,065 731 142 4,038
QUESTION
SEVEN 1,092 1,187 873 409 398 3,959
QUESTION
EIGHT 289 678 943 1,373 1,085 5,453
QUESTION
NINE 623 1,067 1,000 819 674 4,183
QUESTION
TEN 845 1,298 1,030 653 423 4,249
QUESTION
ELEVEN 876 1,191 954 897 314 4,232
QUESTION
TWELVE 1,043 1,190 874 953 431 4,491
QUESTION
THIRTEEN 654 985 1,098 1,143 582 4,462
QUESTION
FOURTEEN 854 1,023 872 973 631 4,353
QUESTION
FIFTEEN 396 786 1,054 1,165 543 3,944
From the above table it is apparent that employees tend to be loyal to their groups; race, sexual orientation, age, ethnicity, gender, political beliefs, religious beliefs or socio-economic status than the overall workforce of the organization. They tend to work in accordance with group affiliation rather than organizational policies. This has and will be a major challenge in embracing management diversity.
RESULTS
Precursor and outcome variables
The table below shows the potency and course of the linear correlation amid PMRDM and the projected predictor variable which include the following: gender, organizational term, ethnicity, status and age. An evaluation of the above correlations indicated that out of thirteen predictor variables it is only gender, age, ethnicity and status that have no substantial relationship with PMRDM (Klarsfeld, 2010). A number of these relationships were of medium strength, indicating that the correlations were vital. However, extremely strong correlations (r > 0.8) could not be ascertained.
Descriptive Statistics of Projected Predictors with their Relationships with PMRDM
No. Variables Means SD PMRDM
1. Ethnicity N/A N/A 0.08
2. Gender N/A N/A 0.04
3. Age N/A N/A -0.08
4. Status N/A N/A -0.08
5. Organizational term N/A N/A -0.12
6. Comfort 5.68 0.97 0.23
7. Value 5.60 0.82 -0.14
8. Ideation 5.47 1.05 -0.45
9. Cohesiveness 5.29 1.20 0.45
10. Fairness 4.96 1.26 0.68
11. understanding 4.39 1.24 -0.46
12. Inclusion 4.28 1.20 0.60
13. Treatment 4.46 1.26 -0.68
Regression Analysis
For the purpose of determining the most ideal predictors for PMRDM, individual characteristics which include: gender, status, ethnicity, organizational term, age, and the other dimensions of OCFD, were regressed with PMRDM. Results as shown in the table below indicated that it is only status, fairness, inclusion and treatment, variables that had substantial association with PMRDM. The findings therefore concurred with the previous studies which had concluded that the discernment of OCFD is the main expounding variables of PMRDM (Klarsfeld, 2010).
Regression Analysis of the predictors of PMRDM
Variable PMRDM
Beta t
Inclusion 0.32 8.939
Fairness 0.31 6.525
Status -0.08 -2.436
Treatment -0.30 -5.599
CONCLUSION
From the findings of this research paper, it is safe to conclude that it is only organizational term that differs with PMRDM. Workers with employment contract of less than one year view management as being amenable to diversity management than their counterparts with employment contracts of six years and above. Moreover, out of the thirteen predictor variables, it is only status, inclusion, fairness and treatment that predict PMRDM. This clarifies the 63% of the variance in PMRDM (Klarsfeld, 2010).
References
Arredondo, P. (1996). Successful diversity management initiatives: A blueprint for planning and implementation. Thousand Oaks, Calif: Sage Publications.
Certo, S. C. (2000). Modern management: Diversity, quality, ethics & the global environment. Upper Saddle River, N.J: Prentice Hall.
Daft, R. L. (1994). Management. Fort Worth: Dryden Press.
Drucker, P. F. (1974). Management: Tasks, responsibilities, practices. New York: Harper & Row.
Klarsfeld, A. (2010). International handbook on diversity management at work: Country perspectives on diversity and equal treatment. Cheltenham, Glos, UK: Edward Elgar.
Stockdale, M. S., & Crosby, F. J. (2004). The psychology and management of workplace diversity. Malden, MA: Blackwell Pub.
Wrench, J. (2007). Diversity management and discrimination: Immigrants and ethnic minorities in the EU. Aldershot, England: Ashgate.
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