Cultural Diversity in Recruiting

Cultural diversity can be profitable – but only for some firms, and only if it is a part of a well-considered strategy. There are at least two reasons to expect a policy of diversity to yield profits. Both are based on the observation that people of different cultures really are different, and in ways that matter to a company’s performance.

One difference is communication. Because many find it easier to understand others of the same sex or nationality, it helps to have employees from the same cultural background as your customers. This is not just the matter of language. Understanding a customer’s tastes or earning his trust can be vital. When Avon, a cosmetic firm, noticed an influx of Koreans into Atlanta, Georgia, it hired some Korean women to sell its lipsticks and scents.

Secondly, recruiting people with different cultural backgrounds can bring fresh ideas into a company. Just as the marketing team can learn from the engineers, so employees from one country can learn from those of another. For example, when Fiat wanted to launch a new car for emerging markets, it assembled a team of engineers from Argentina, Brazil, Poland and Turkey, all of whom had experience designing cars for poor roads.

Many firms in America, and increasingly in Europe, now pay close attention to the sex and race of the people they recruit and promote. If firms concentrate on the colour of the skin rather than the content of the curriculum vitae, they are unlikely to benefit from an ethnically diverse workforce.

Success comes to those who look not just outside their own firm or industry – but in those places where new and useful ideas can be found.

Do you know these words?

diversity	разнообразие
to recruit	нанимать на работу
to consider	обдумывать
to yield profits	приносить прибыль
to matter	иметь значение
matter	дело, вопрос
performance	действие, работа
cultural background	культурные особенности
to earn one’s trust	заслужить чьё-либо доверие
vital	жизненно важный, крайне необходимый
influx	приток, наплыв
to launch	выпускать, начинать выпуск
to emerge	возникать, появляться
increasingly	всё больше и больше
to promote	продвигать по службе
curriculum vitae	лат. краткая биография
to benefit	извлекать выгоду

1. Answer these questions:

1. On what condition can cultural diversity be profitable for a firm?

2. What are the two reasons to expect a policy of diversity to yield profits?

3. Why is it important to have employees from the same cultural background as your customers?

4. What steps were taken by Avon after it noticed an influx of Koreans into Atlanta, Georgia? Why did this cosmetic firm do that?

5. Can you give an example of a company, which bases its strategy on the exchange of ideas among employees from different countries?

6. What human resource strategy should a company choose to achieve a success?