Economy of Russia Essay

Russia as a country has transformed significantly since the collapse of the Soviet Union. The economy has changed from a globally-isolated, centrally-planned economy to a more globally-integrated market based economy. The economy of Russia has gone through fluctuations since then to emerge as the eight largest by its purchasing power parity (PPP) in 2009 estimates (CIA, 2010). The Russian economy is largely dependent on the export of raw materials and natural resources, specifically oil and gas. Other resources include precious minerals, fishing, and agriculture. Since the collapse of the Soviet Union, Russia has undergone two major economic crises. They are the 1998 Russian Financial Crisis and the 2008 Russian Financial Crisis which was a part of the 2008 Global Economic Crisis. This article will examine the performance of the Russian economy after the two crises. In addition, the article will evaluate the current performance of the economy of Russia. The 1998 Russian Economic Crisis After the collapse of the Soviet Union, Russia undertook major economic reforms to transform its economy closed centrally planned socialist economy into a capitalistic market economy. According to the CIA Factbook, the most notable economic reforms in the 1990s were the privatization of enterprises that belonged to the state and the removal of Soviet price controls. The CIA notes further that the rapid privatization of the state enterprises (except in defense and energy related sectors) essentially handed over the enterprises to a few politically connected individuals popularly referred to as ‘the Russian oligarchs’ making equity ownership concentrated to a few. It was during this time that Pinto, Gurvich, and Ulatov noted that the country was plagued with corruption, financial manipulations, and capital looting (capital flight). In 1997, the Asian Financial Crisis began and this led to the fall in commodity prices. As the crisis spread economies heavily dependent on exports were highly affected. Russia’s economy being heavily dependent on world prices was hit hard. Pinto et al point out that the exchange rate of the ruble against the foreign currency was artificially fixed and the subsequent fiscal deficit accelerated the crisis. During the Asian Financial Crisis, the demand for oil and minerals declined and this affected the foreign currency reserves for the country. Poor management of the situation such as Russia’s Central Bank maintenance of the Ruble within a narrow range in the middle of the crisis by using the available foreign reserves made the situation worse. The poor measures resulted in the investors pulling off and inflation rising to over 80 per cent. The bail out offered by the International Monetary Fund and the World Bank did not help the situation. Several banks closed and the government debt increased considerably. The 2008 Russian Economic Crisis The Russian economic crisis of 2008 was an extension of the global economic crisis 2008-2009. A report prepared by the World Bank pointed out that although the Russian economy was better prepared to withstand the financial crisis, its dependence on export of limited commodities made it succumb to the crisis. According to the report, the crisis caused a decrease in capital flows as investors withdrew across the world markets, the credit crunch affected the banking system in Russia, the decrease in demand for oil eroded the fiscal and foreign reserves of the country, and the stock market suffered from the uncertainty of demand for oil (4). The International Monetary Fund noted that anti-crisis measures such as the states guarantee on loans to support the banking sector, the cutting of the interest rate by the Russian Central Bank, and the states support for the housing and car manufacturing helped in managing the crisis. Recession of the Russian economy slowed down and the economy has shown positive signs for recovery although slower than before the crisis. After going through the 1998 economic crisis, Russia undertook some policy and structural reforms with aim of cushioning the Russian economy against such a crisis as well as promoting economic growth and development. The structural reforms were necessary to create regulatory and institutional conditions for business and reduce the administrative risks. Some of the measures that were taken to counter the crisis, according to the World Bank (18- ) include devaluation of the ruble, cash infusion in to the market, tax reforms, privatization, and review of international trade policy. When the ruble was devalued, there was a sudden increase in the price of imported commodities but the move benefited the local industries and they were able to pay off their debts. The local enterprises also benefited from the cash infusion by the state, which in turn led to an increase in the demand for Russian commodities and services. The tax reforms were aimed at creating an enabling environment to stimulate the resumption of economic growth by reducing the tax burden. The reforms were aimed at corporate profit tax, VAT, and the removal of tax privileges that were not justified. The privatization process identified corporations that were to be privatized in 1999 and others in 2000. The international trade policy required reviewing to take into account the devalued ruble and the fluctuating price and demand for oil and raw materials. The Russian government also introduced the stabilization fund to hedge against the fluctuating international oil prices. The recovery from the crisis was however accelerated by the rise in international demand and price of oil. The Russian economy had fallen due to decrease in demand for oil and when the demand rose, the economy started to recover. 2008 Economic Crisis The government of Russia undertook intervention measures to manage the recent economic crisis and ensure that the country was on the way back to economic growth that had been achieved prior to the crisis. Some of the measures taken by the government were injecting funds and supporting the market. The government also offered bail outs for local corporations that relied heavily on foreign investment and hence highly susceptible to the changes in the global market. In addition, the government undertook further tax measures that saw the profit tax reduced to enable the corporations to remain operational. The government lifted import tariffs on industrial equipments to enable the rejuvenation of the affected companies. In a similar scenario to the 1998 crisis, the comeback of the Russian economy occurred after the increase in the international demand for oil. Current Russian Economic Status and Future Prospects According to the IMF, the economy of Russia has recovered from decline but is yet to recover to the levels that it had achieved prior to the crisis. The IMF projects that the Russian economy will 3. 6 per cent in 2010 up from a low of negative 7. 5 per cent. Russian economy is highly susceptible to economic crises due to its overdependence on the commodity markets. This has been evident from the two economic crises that have hit the country since the fall of the Soviet Union. Therefore, for the Russian economy to grow and cushion itself against the fluctuating international prices for commodities there is an urgent need to diversify the composition of the economy. The government of Russia has already taken measures such as investing in the information sector and has risen to become the world third largest software exporter as well as outsourcing. In addition, the government has encouraged the development of agriculture and manufacturing industry through technological and organizational modernization. The agriculture has improved with Russia becoming a net grain exporter rather than a net grain importer as was the case a few years ago. The economic reforms that have been undertaken by the Russian government have the ability to promote the development of a stable economy in the future. Russia is set to gain from the structural reforms that have been instituted and with the vast richness in natural resources and economic diversification, the Russian economy is set to grow and stabilize. References Pinto, B, Gurvich, E and Ulatov, S. â€Å"Lessons from the Russian Crisis of 1998 and Recovery† The World Bank. 2004 â€Å"Russia† CIA World Factbook. 28 April, 2010. 11 May, 2010. â€Å"Russian Federation† The International Monetary Fund. N. d 11 May 2010. < http://www. imf. org/external/country/rus/rr/> â€Å"Russian Federation† The World Bank. 2010. 11 May 2010. < http://web. worldbank. org/WBSITE/EXTERNAL/COUNTRIES/ECAEXT/RUSSIANFEDERATIONEXTN/0, menuPK: 305605~pagePK: 141159~piPK: 141110~theSitePK: 305600, 00. html>

“Eating green” by Margaret Lundberg Essay

In Margaret Lundberg’s short story â€Å"Eating green† she has a theory about the planet becoming a healthier place to live if everyone became a vegetarian, which I believe is true. Lundberg talks about her childhood and how right off the bat her mother had her eating healthy food and that pretty much stuck with her through out her whole life. â€Å"We had two vegetables with every meal, ate plain yogurt for breakfast, and excercised with jack LaLanne.† If most families started off like that it would be easier for kids to enjoy eating healthier food now instead of them liking junk food. Most people do not realize that what they eat does effect the planet and how we live on a daily basis and how badly it effects our health. If everyone became a vegetarian the rates of obsesity, diabetes, heart disease and other illness might become lower. The process of getting meat is causing some severe problems on earth such as pollution, global warming, and the dependence on f ossil fuels. â€Å"The energy it takes to raise, package, transport, store and prepare food is not the single largest contributor to global warming.† (Kate Geagan) If all those problems could be solved by switching some of the things we eat, why not do it? It would definitely be hard and a cultural shock to Americans but if it can help our future loved ones I would be with it. The meat that is produced is not how it once use to be. Cows do not live their lives on Pastured lands eating grass anymore they are now fed a diet that is not intended for them; fed corn in a short time as possible to speed up the process of being slaughtered and sold. That doesn’t sound so healthy or appetizing after reading those facts. â€Å"Livestock raised for meat production are responsible for 18 percent of greenhouse gas emissions-more than the cars we drive.† Not only is it Some what unhealthy for us to eat but for the world we live in also. Meat all together is not competely horrible for you it’s the portions we eat. Meat has nutritional value and even the fat in meat are sometimes healthy. The stearic acid found in fat in meat can actually lower blood cholesterol levels. With the pros there’s the cons as well, â€Å"Americans are now eating nearly 200 pounds of meat, poultry and fish every year; an increase of 50 pounds per person in the last 50 years† ( Lumdberg) some very high numbers for what the appropriate amount should actually be. Farmers do not want to be looked at as the bad guys in all of this, which they aren’t, everyone has to make a living. A group of New York farmers thought of an idea to work with General Electric to produce  renewable energy from cow manure. That is a pretty good idea to try and atleast get something good out of the slaughtering of the cows to try and help the planet Earth out. If successful the dairy industry would reduce greenhouse gas emissions by 25 percent in 2020, basically the equivalent of getting 1.25 million passenger cars of the road every year. That is a good idea but it still does not solve all the other major problems that switching your diet could help. In conclusion, I personally feel that it will not hurt to try something new. Like I mentioned earlier it would be extremely difficult to get used to but if it is benefiting you, others and the planet might as well take a chance. Why wait till it is to late to change your habits of wanting a 16 oz steak over a green salad knowing how many pros it would be to choose that salad. If things continue to go as they do, there will be no more places to raise these cows to produce meat because global temperatures are raising, causing serious climate changes In places that are specifically used for farming. Eventually there will not be enough meat to feed everyone leaving everyone to forcefully change their diets, why not do is a choice and not because you have no other options.

Security in the age of globlisation Essay Example | Topics and Well Written Essays - 750 words

Security in the age of globlisation - Essay Example fight’ of realist, liberal and constructionist research programmes, the latter had been discussed with major focus on its social and economic processes. Since globalization is a spatial progress, it does not accommodate the principles of interdependence. Globalization materializes the circulation and interpenetration of people and ideas along with its material exchanges across cultures. The private and public spheres merge and collide in such an environment. Unlike in the case of economic and social aspects of globalization, the effects of security are harder to conceptualize and measure. It has to be analyzed and comprehended in contrast with the Cold War effects on security. The agency and scope of threat in the globalized world has grown out of all expectations that terms like global violence and human security has become common parlance. The security constituencies are defined at every level from the global to the regional to the individual. While the security providers remain nationally defined, the dimensions of threat in the international sphere have grown much beyond its aegis. However the scope of security is also widened in the age of globalization, since the post Cold War security precepts expand beyond national constrictions. The issues that are brought under such expanded security comprise diseases, global warming, ozone depletion, acid rain, bio-diversity loss and radioactive contamination. The ‘skill revolution’ among prospective terrorists has begun to pose a great threat as well. On a general societal level, despite the changing norms of security, globalization has made people both more aware and less decisive about intervent ion in ethnic conflicts. Non-Physical Security is the novel concept that had originated from globalization. When the existing security concepts are expanded to protection of information and technology assets, it gains a non-physical status. This includes greater information technology and smartness of weapons. Selling

Tourism Leakages Dissertation Example | Topics and Well Written Essays - 1250 words

Tourism Leakages - Dissertation Example Bhattacharya (131) indicates that goods, which are provided internationally, leave the local community with a very small portion of the earnings. This problem affects mostly the developing countries. These leakages thus diminish the positive influences of tourism to a country (Bhattacharya 131). Countries that are developed benefit more than developing countries in tourism. This is because such countries lack industries to process goods that tourists need. UNEP indicates that a government ensures that the positive effects of tourism are maximized by reducing the tourism leakages. For this to happen, Governments, especially in the developing countries, should promote the ownership of tourism resources by the local communities. In most cases, the governments have favored the owners of the tourism resources by the private sectors or the foreigners. Consequently, a recognizable percentage of the tourism resources belong to the foreign investors. Therefore, the local communities benefit l ess from the tourism revenues due to the leakages of tourism profits. The ownership of large portions of tourism businesses in developing countries belongs to the foreigners (UNEP). This has resulted in a tourism agenda distorted in favor of external benefits. The result of the high leakage through repatriation of profits, employment for the foreign emigrant, importation of goods and services from foreign countries and the use of airlines that foreign countries own. The leakage in developed countries is not very high (Jones 65). The government should come up with strategies to promote the ownership of the tourism resources by the local community. The application models for agricultural development can be integrated into tourism development to enhance the local community ownership of the tourism resources. An example of the agricultural development model is the one, which, farmers engage in agricultural businesses by forming associations to manage important functions like marketing. Exploitation of land by foreigners should be discouraged because it is the local communities, which will suffer environmental degradation after the foreigners have left. There should be the emphasis on the strong connection between the local communities and the tourism industries to reduce leakages and to increase the benefits from tourism. Moreover, the increase of leakages is due to the high expenditure by the government to meet the high tourists’ demands. The governments use a lot of money to import goods to meet tourists’ demands. Apparently, the escalation of tourism expenses due to importations result in the reduction of profits leading to economic constraints. To reduce high importation, there should be the emphasis on the use of the locally produced goods to enhance increased output effects of tourism (UNEP). Tourism Policies Kenkel (2) indicates that tourism is a very important business internationally. It is one of the central sources of revenues particularly , in those countries that are still developing. However, the high demands of tourism have had undesirable effects on the local people and the environment. The growth of tourism has shown some serious adverse impacts.

Hypotheses- Quantitative Analysis Assignment Example | Topics and Well Written Essays - 250 words

Hypotheses- Quantitative Analysis - Assignment Example Healthcare is a discipline that is intensely driven by data that contain health information of a particular patient. However, in order to improve the health outcomes of a patient, hypothesis is applied as a method of statistical inference. Data is analyzed by physicians and then undergoes through cognitive processes such as the hypothetico-deductive approach. This approach involves various diagnostic reasoning where the medical experts first generate diagnostic hypotheses. They then make some data collection in order to refute or confirm their hypotheses. In addition, physicians may use a backward or forward reasoning. However, the backward reasoning, which involves working backward from the hypothesis, is different from forward reasoning. This is because medical experts depend on a wide set of heuristics to analyze the available data and make sound decisions (Heathfield, 1998). In the field of health information technology, hypothesis is used to obtain rational solutions through a statistical testing procedure. The procedure may involve the use of specialized statistical software and computers that consist of extensive help guides (Heathfield, 1998). However, in the testing procedure there is formulation of a statistical hypothesis. In addition, a sample data is used to determine the validity of the statistical hypothesis being formulated. In conclusion, hypothesis is a crucial statistical method of interpreting certain phenomena or events and giving guidance in making further investigations. Healthcare institutions widely use hypothesis in improving the health outcomes of their patients. In most cases, the physicians use the hypothetico-deductive approach during the diagnostic reasoning and use the collected data to either confirm or refute their

The Legal Process of Establishing Business Partnership Essay

The Legal Process of Establishing Business Partnership - Essay Example It involves an agreement between two or more parties to enter into a legally binding relationship that is essentially contractual in nature†2. Partnership is fundamentally identified as a relation of an agency. Agency can be stated to be a person identified as an agent who willingly undertakes to act for any other party. The other party is termed as principal. There is a mutual consent prevalent between both the intended parties in this relationship3. The owners belonging to a partnership are generally synchronized by the Partnership Act of every state as well as territory. As identified by the Partnership Act, the meaning of ‘partnership’ and ‘firm’ is identical4. In context to the agreement of partnership the roles, responsibilities, liabilities, power of certain partners to bind the firm, partners bound by acts on behalf of the firm, effect of notice that firm will not be bound by acts of partner and the criteria for dissolution of an agreement of p artnership needs to be discussed with regard to the provided case. ... ular firm and remainder of the partners in the firm except the partner who performs the act has in effect no right to act in relation to the firm in the precise issue and the person along with whom a particular partner is generally dealing either is aware that the partner has actually no right or is unfamiliar about the factor does deem the particular partner to be a partner belonging to the firm4. According to the statement of Section 10 of the Partnership Act of 1963 a particular act or any particular instrument with regard to the business belonging to a firm except for an incorporated limited partnership is compulsory on the firm and the present partners in the particular firm as well if it is performed by a particular person who has been sanctioned to conduct such an act or carry out the instrument devoid of the fact that if the person is a partner of the firm or not, in the name of the firm or in any further way presenting an intent for binding the firm4. According to proclamati on of Sec 12 of the Partnership Act of 1963, if it was decided by the present partners belonging to a firm aside from an incorporated limited partnership that precincts are to be sited on the established power of one or more than one of the obtainable partners to unite the firm, an action defying the agreement is not requisite on the partnership with regard to a person within view of the notice concerning the agreement.  

How did the cotton economy shape the Souths environment and labor Assignment

How did the cotton economy shape the Souths environment and labor system - Assignment Example How did the Lecompton Constitution and the Lincoln-Douglas debates affect the debate over slavery in the territories? Why did Lincoln’s election in 1860 cause the South to secede? Scholarly sources which were researched online were used in providing for the answers. a. The antebellum South was mainly agricultural with cotton as their main product and with the unprecedented growth of the cotton economy during that period, slave labor became the major capital investment. South remained agricultural and produced on site goods and services. It remained a largely closed society and only a few towns or villages emerged. (â€Å"The Cotton Economy in the South.† American Eras. 1997). Slaves were only regarded as properties by their owners and were often maltreated and oppressed. Though a few had the courage to fight back, their punishments were much more severe; they were whipped, beaten, drowned or hanged. Others resisted by slowing down in their work or feigning illness or breaking their tools. Others sabotaged their production like setting fire on the crops, and some resorted to theft of food, tobacco, liquor, and money from their slave masters. In the 1850s, slaves in plantations dwelt in quarters made up of crudely-made cabins. They lived together within the same homestead and this made the black communities flourish. Within these slave communities, they were able to retain their African culture with their folk tales, religion and spirituality, music and dance, and language, and they had their own families. These made their lives as slaves bearable. b. The Americans believed they had a â€Å"manifest destiny† to expand across the Pacific Ocean. After the election of James K. Polk in 1844, he at once initiated the annexation of Texas and he also eyed California and New Mexico. The Indians made it more difficult for the Americans in their war against Mexico. As U.S. was having war with Mexico, they were also having a cultural war

What is job analysis Essay Example | Topics and Well Written Essays - 500 words

What is job analysis - Essay Example Part of the reason for this is that managers feel that they have been familiar with the content of the social sciences, human nature, since their childhood as opposed to, say, the content of nuclear physics or microbiology. This leads managers to rely on what they perceive as their experience-based knowledge of human nature in personnel decision making. Job analysis is a systematic process for acquiring objective and detailed information about jobs. It is not a single methodology but a generic term representing a range of techniques. The data gathered may be in the form of information on job tasks, roles, and job holder attributes relevant to job performance (p. 9). In organization, the role of job analysis has encountered managers who do seem to have developed considerable insight into human behavior. As a result of long years of watching successful and unsuccessful performers in particular positions, they can now make well-informed guesses as to which employee will be successful in those positions. This discerning ability, however, is likely to be specific to the positions and could not be effectively applied to organizational development programs for employees in different occupational specialties and levels of organizational functioning. Job analysis is crucial for effective recruitment because it allows certain standardization of job description. To effect the standardization and control for which procedures are designed, they are presented in a specific format conveying information for a particular action to be taken. The achievement may be only one step in a series of steps or the entire series. Once formalized in this way, job analysis procedures need to be followed clearly to achieve their objectives. Sometimes exceptions in job analysis may be made to a formalized process, but in that case the manner of making an

Characteristics of Women That Attract Men Essay Example for Free

Characteristics of Women That Attract Men Essay 2.0 RESEARCH METHODOLOGY 2.1 Research Sample We were searching for a characteristics of woman that attract men. After all, we distributed the questionnaire among Labuan Matriculation Colleges’ student (LMC) 2012/13 to get the specific answer. The questions are universal which can be answer by both gender, male and female. All the respondent are majority from Sabah and Sarawak, while some are from Peninsular Malaysia who studying in LMC. In this research, we were only focusing on teenagers, from age 19 to 20 as we believed, most individu starts to get serious in searching a life partner around this age circle. 2.2 Research Instrument Categorical and multiple-choices style of questions had been used in this questionnaire. Categorical style are most commonly use to determine the respondent’s life background, while, in order to prove the objectives, multiple-choices answer are given to help the respondents to answer bunch of questions. 2.3 Research Procedure After finished discussing the research’s topic, we combined all the ideas from the four heads of us to one paper. We justified the questions to be more specific and most important is , the questions must be interesting and easy to be answer. This is because, based on our own experienced, people will easily get bore when answering a question that sounds boring and difficult to answer, especially those question which you have to state a reason for some answer. So, in order to make sure the surveys is in the bag, we try to make it simple and easy as we can. Afterwards, we submitted the softcopy to our subject’s lecturer and wait for her approval. Next, we distributed the questionnaires to all the respondent in LMC during rest hour at cafeteria. There were 90 copies of questionnaire. 45 answered by male students age 19-20 while the rest answered by the opposite sex. It only took about 3minutes for each person to answer. Since both male and female can answer all the questions, we can see, there are a lot of different opinion between these two genders. Finally, making analysis is the hardest step to do when we have to check the answers one-by-one. However, it become easier when each of us showed cooperativity and helping each other.

Manage Resistance to Change Proactively Essay Example for Free

Manage Resistance to Change Proactively Essay Register for this journal is available at http://www. emeraldinsight. com/researchregister The current issue and full text archive of this journal is available at http://www. emeraldinsight. com/0262-1711. htm Managing diversity using a strategic planned change approach Earnest Friday Management in the College of Business Administration, Florida International University, Miami, Florida, USA, and Managing diversity 863 Received October 2002 Revised February 2003 Accepted February 2003 Shawnta S. Friday School of Business and Industry at Florida AM University, Tallahassee, Florida, USA Keywords Diversity management, Strategic management, Change management Abstract Many organizations have implemented various types of initiatives within the last few decades in an effort to deal with diversity. A possible missing vinculum (link) between how an organization deals with diversity and its impact on the bottomline is a corporate diversity strategy that is executed using a planned change approach to systemically manage diversity. While many organizations have implemented a corporate diversity strategy, most have not used a â€Å"planned change-corporate diversity strategy†. The lack of a â€Å"planned change-corporate diversity strategy† is quite likely to inhibit managing diversity from becoming systemic to an organization’s culture and its way of doing business, thus tending to disallow the potential bene? ts of diversity to be maximized. Hence, this paper offers a framework for using a â€Å"planned change-corporate diversity strategy† to: progress along the â€Å"diversity continuum† starting with acknowledging to valuing, and ultimately to managing diversity; and systemically managing diversity using a eight-step â€Å"managing diversity process†. Introduction Over the past few decades, academicians, practitioners and organizational researchers have recognized that diversity is a phenomenon that has a wide array of affects within the workplace, and society in general (Koonce, 2001; Stark, 2001; Williams and O’Reilly, 1997). In this paper, diversity refers to any attribute that happens to be salient to an individual that makes him/her perceive that he/she is different from another individual (Williams and O’Reilly, 1997). Some widely accepted differentiating attributes include racioethnicity (which encompasses race and ethnicity), gender, nationality, religion, functional expertise, and age. Even though racioethnic and gender diversity tend to receive the majority of the attention in the organizational diversity literature (Stark, 2001; Williams and O’Reilly, 1997), this de? ition allows for the frameworks offered to be applied to any type of organizational diversity salient to members. Diversity programs have been implemented in many multinational organizations, primarily, in an effort to improve working relationships Journal of Management Development Vol. 22 No. 10, 2003 pp. 863-880 q MCB UP Limited 0262-1711 DOI 10. 1108/02621710310505467 JMD 22,10 864 between white males, whose relative numbers continue to decrease, and demographically different individuals, whose numbers continue to increase in the workplace (Friedman and DiTomaso, 1996). While many multinational organizations have a corporate diversity strategy, most have not implemented it using the suggested planned changed approach posited in this paper. Given the intensifying â€Å"war for talent† in today’s competitive, global business environment, it is imperative that the execution and evaluation of a corporate diversity strategy use a planned changed approach to not only acknowledge and value diversity, but to also systemically manage and inculcate diversity into an organization’s corporate culture. This type of approach can contribute immensely to an organization’s ability to use all of its human capital as a strategic means to gain and maintain a competitive advantage in today’s dynamic, global marketplace (Richard, 2000). It has been purported that if diversity can be effectively managed in an organization, some potential bene? ts to the organization include greater creativity and innovation, and improved decision-making (Cox, 1991). Conversely, if diversity is not managed effectively, some potential major costs to the organization include, at a minimum, breakdowns in communication, interpersonal con? ict, and higher turnover (Cox, 1991). While there may not be much empirical evidence to substantiate claims that effectively managed diversity directly leads to bottomline increases (Chatman et al. , 1998; Richard, 2000; Stark, 2001), there is real-world evidence (e. g. Coca-Cola, Denny’s, Publix, and Texaco settlements) to suggest that not effectively managing gender and racioethnic diversity has been, and can be, detrimental to organizations and their bottomlines. Thus, it is a logical extrapolation that an organization’s ability or inability to create a culture in which diversity is systemically acknowledged, valued, and effectively managed is more likely to determine the affects diversity will have on it’s bottomline. Many organizations have implemented various diversity initiatives as a part of their corporate diversity strategy (Koonce, 2001), but most have not used a planned change approach to strategically align their initiatives with their long-term objectives and strategic positioning. It is highly probable that this lack of planned strategic alignment contributes immensely to the purported ineffectiveness of many diversity initiatives (Stark, 2001). Consequently, an organization that seeks to maximize the potential bene? s of diversity should devise a â€Å"planned change-corporate diversity strategy† prior to implementing diversity initiatives. The purpose of the planned change-corporate diversity strategy is to align the organization’s diversity initiatives (designed to manage diversity) with the organization’s strategic goals, and ultimately make managing diversity an integral part of the organization’s culture. An aligned planned change-corporate diversity st rategy will contribute immensely to the long-term effectiveness of diversity initiatives aimed at better managing all of he organization’s human resources. This is especially signi? cant for organizations with a highly diversi? ed workforce. With a planned change-corporate diversity strategy, diversity initiatives are aligned with organizational policies, procedures, and systems. Such alignment is desired to systemically reinforce an organizational culture that encourages the effective management of all employees in order to garner diversity’s purported bene? ts, including the end goal of increasing the bottomline. Thus, frameworks are presented for using a planned change-corporate diversity strategy to: advance from the initial passive states of acknowledging and valuing diversity to the ? nal active state of managing diversity on the â€Å"diversity continuum†; and systemically manage diversity using the speci? c eight-step â€Å"managing diversity process†. The diversity continuum and the planned change approach Valuing diversity and managing diversity as distinct phenomena Over the last few decades, a myriad of articles have been written on the subjects of valuing diversity and managing diversity (Wanguri, 1996). In some cases, valuing diversity and managing diversity have been considered, and sometimes used, interchangeable when, in fact, they are two different phenomena (Jenner, 1994). By the very nature of their de? nitions, valuing and managing diversity are distinctly different. Valuing refers to the relative worth, importance, or signi? cance of something, whereas managing refers to taking charge or coordinating and supervising situations. Given these de? nitions, valuing diversity should be considered a more passive phenomenon, where importance or signi? ance is given to individuals’ differences, which does not automatically lead to visible actions or reactions on the part of the individuals valuing the diversity or differences. Managing diversity, on the other hand, should be considered an active phenomenon, which involves supervising or coordinating and directing the diversity or differences individuals bring to the organization to ensure the organization’s strategic go als are being fully and effectively met. In other words, it refers to successfully organizing the organizational inputs of individuals with diverse backgrounds. This de? nition is consistent with the managing diversity de? nition given by Thomas’ (1991): â€Å"a ‘way of thinking’ toward the objective of creating an environment that will enable all employees to reach their full potential in pursuit of organizational objectives†. The diversity continuum As a result of the confusion in the literature between the two phenomena, valuing diversity and managing diversity, it is not dif? cult to understand why consensus does not exist on the claims of bottomline bene? s as a result of the attempts organizations have made to value and/or manage diversity. In addition to the confusion, lack of consensus could also be a function of the Managing diversity 865 JMD 22,10 866 complexity of the diversity concept in the organizational context. Given the complexity of diversity within an organizational setting, it is possible that perceiving it in terms of a set of three elements that delineates what to do with diversity may serve t o simplify or clarify the confusion in the diversity literature. Therefore, a diversity continuum is offered to guide researchers and practitioners in moving from the more passive states of acknowledging diversity and valuing diversity, on through to the more active state of managing diversity. As individuals ? nd themselves in situations with diverse individuals, they are likely to take one of two courses of action: avoid dealing with the diversity, or recognize that the diversity exists. In the case where individuals avoid diversity, they do not face the fact that diversity is an issue. It is likely that these individuals do not accept the idea that they are likely to be biased in their interactions with others that they perceive to be different from themselves. Although avoiding diversity is viewed as a possible response to diversity, it is not included in the diversity continuum. The diversity continuum is based on the assumption that individuals take the second course of action and recognize diversity. Once diversity is recognized, as previously stated, the diversity continuum serves as a framework to delineate the three potential states of dealing with diversity: acknowledging, valuing, and managing diversity. The three sequential components of the diversity continuum are: acknowledging diversity; valuing diversity; and managing diversity (see Figure 1). Acknowledging diversity, the ? rst component, refers to recognizing the existence of diversity or the individual differences individuals bring with them to a particular setting. In order for individuals to truly acknowledge diversity, they must be exposed to it, experience it, acquire knowledge about it, and they must develop an understanding of diversity. The second component of the diversity continuum is valuing diversity. Valuing diversity, as de? ed above, refers to the signi? cance or importance being given to the diversity or differences individuals bring with them to a particular setting. Having an appreciation for, as well as respect for, the differences that diverse individuals bring with them to the work setting can lead to the last component. The last component of the diversity continuum is managing diversity. As stated above, m anaging diversity refers to the planning, organizing, leading of individuals with differences or diversity in a particular setting, such that their inputs are used to accomplish the organization’s strategic goals. Even in racioethnically homogeneous organizational settings, organizations make large investments to ensure an appropriate organizational culture is fostered. An appropriate organizational culture is desirous, such that individuals are systemically managed to perform and accomplish its goals, not just hoping that their performance will somehow lead to the accomplishment of the organizations’ desired goals. Thus, similar systemic efforts are necessary in order to manage Managing diversity 867 Figure 1. The strategic management process emographically diverse individuals such that the organization can gain the maximum synergistic bene? ts from their contributions as well. The planned change approach Rather than being reactive and waiting for a â€Å"diversity crisis† to take place before a change is made (i. e. Coca-Cola, Denny’s, Publix, and Texaco settlements), an organization should be proactive in systemically Managing Diversity. Hence, an organization and its m embers should make the necessary changes to proactively move from just settling for the ? rst stage of acknowledging diversity to the ? al stage of managing diversity. The Lewin-Schein change model is offered as the theoretical framework to proactively and systemically facilitate the management of diversity in organizations. This planned change model is based on the premise that the organizational forces propelling change must subdue the forces resisting change for highly effective change to occur. Therefore, it is posited in this paper that the Lewin-Schein change model is a framework that can assist organizations and individuals in moving through the sequential elements of the diversity continuum. It is also posited that this model can be applicable at JMD 22,10 868 both the organizational and individual level for managing diversity. While Allen and Montgomery (2001) offered the Lewin-Schein change model as a framework for creating diversity, the model is offered in this paper as a framework for Managing Diversity. The Lewin-Schein change model involves three stages: unfreezing, change (moving), and refreezing (Lewin, 1951; Schein, 1992). For the organization or individual to experience successful change, the three stages need to be addressed in succession. Unfreezing using a planned change-corporate diversity strategy In the unfreezing stage, the organization’s or individual’s present culture (which includes perceptions, attitudes, and behaviors) toward diversity, needs to be unfrozen. This means there needs to be enough motivation within the organization or individual to want to change from its present state to the new desired state. Thus, in moving from one end of the diversity continuum to the other end, with managing diversity being the desired outcome, management must desire that its members move from just acknowledging and valuing diversity to managing diversity. As presented previously, managing diversity refers to systemically organizing and directing the inputs of all organizational members (including diverse individuals) to ensure the organization’s strategic goals are met. Likewise, the individual must want to move from just acknowledging and/or valuing diversity to the ? nal phase of managing diversity. At the individual level, this movement involves governing one’s actions toward diverse individuals in a way that allows for healthy, productive interaction with those diverse others. Therefore, to unfreeze the organization’s culture and its members’ current state of mind toward diversity, a planned change-corporate diversity strategy should be devised and aligned with the organization’s strategic positioning to reduce the forces that are striving to maintain the status quo (Dobbs, 1998). A ? rm’s strategic positioning The strategic management process is employed by many organizations in order to distinguish themselves from their competitors in the marketplace (David, 2001; Porter, 1985; Steiner, 1997). Although there are several schools of thought in the strategic management ? ld, the generally accepted components of the strategic management process are: strategy formulation, strategy implementation, and strategy evaluation as explained in Figure 2 (David, 2001; Hill and Jones, 1998). Strategy formulation is comprised of developing or reviewing the organization’s mission, vision, and long-term goals; conducting internal and exte rnal assessments to identify the organization’s strengths, weaknesses, opportunities, and threats (SWOT); setting selection criteria and selecting the strategies that will afford the organization the best strategic positioning relative to its competitors (David, 2001; Steiner, 1997). Strategy implementation entails allocating the appropriate resources to ensure the Managing diversity 869 Figure 2. The three levels of organizational strategy selected strategies are properly executed (David, 2001; Steiner, 1997). Strategy evaluation involves setting control processes to continuously review, evaluate, and provide feedback concerning the implemented strategies to determine if the desired results are being accomplished, such that corrective measures may be taken if warranted (Hill and Jones, 1998; Steiner, 1997). As illustrated in Figure 3, there are usually three levels of strategy associated with large-scale organizations. The corporate level strategy de? nes the organization’s purpose and the lines of businesses in which it plans to operate, thereby providing the overarching direction for the organization. If an organization only operates in one line of business, its corporate level strategy and business level strategy are effectively one in the same (David, 2001; Hill and Jones, 1998). A business level strategy is the blueprint that should enable an organization to leverage its resources in order to differentiate itself from the competition within a particular line of business (David, 2001; Hill and Jones, 1998). The functional-level strategies serve to support the organization’s business-level strategy by providing direction for the appropriate short-term activities required by each functional area to meet the goals established in the business-level strategy (David, 2001; Hill and Jones, 1998). Consequently, having properly aligned corporate, business, and functional level strategies aid an organization in its efforts to accomplish its goals, thereby strategically positioning itself to successfully compete within the marketplace (David, 2001; Hill and Jones, 1998; Porter, 1985). Combining highly differentiated and ef? cient human capital with clearly delineated corporate, business, and functional level strategies can prove to be a competitive advantage for an organization (Barney, 1991, 1997; Wright et al. , 1995). An organization must view strategies for developing and managing its employees JMD 22,10 870 Figure 3. Alignment between corporate strategy and planned change-corporate diversity strategy as a part of its overarching corporate level strategy if it desires to have highly differentiated and ef? ient human capital in today’s competitive, global environment. Therefore, one argument of this paper is that any organization seeking to realize the maximum bene? t from having a diversi? ed workforce should have a planned change-corporate diversity strategy that is aligned with the organization’s overall strategic positioning. Developing a planned change-corporate diversity strategy The organization â€Å"wishing to create an environment that enables all employees to reach their full potential will have to . . . change organizational practices as necessary† (Thomas, 1991). However, prior to changing any organizational practice, a comprehensive strategy for how to accomplish that change should be devised based on an in-depth understanding of relevant organizational dynamics (i. e. culture, structure, ? nancial position, strategic initiatives, etc). Theoretically, a strategy should precede the structure of an organization. Consequently, a planned change-corporate diversity strategy should be devised to align with the organization’s corporate strategy before structuring diversity initiatives (as illustrated in Figure 4), and reinforced using a planned change approach. Organizations that have elevated their diversity strategist to executive-level management are likely to have an overarching corporate diversity strategy in place. But, it is not as likely that the diversity strategist is using a corporate-wide planned change approach to systemically reinforce the proposed changes in the corporate diversity strategy throughout all of the Managing diversity 871 Figure 4. The diversity continuum organization’s policies, procedures, and systems. Regardless of whether an organization has a corporate diversity strategy or not, it may be necessary to superimpose a planned change-corporate diversity strategy over existing disjointed diversity strategies and initiatives. At the onset of such an endeavor or superimposition, corporate diversity mission statement, vision, and goals must be formulated to articulate the purpose diversity initiatives will serve within the organization and the desired outcomes to be achieved from such initiatives. The delineated desired outcome should be designed to systemically manage diversity. Conducting internal and external assessments are essential steps in devising a planned change-corporate diversity strategy. An internal assessment will allow the diversity strategist to decide how to position diversity strategies and initiatives within the organization’s structure, and to align them with all of the organization’s policies, procedures, and systems. To assess the external environment, the diversity strategist should use environmental scanning tools to extract best practices based on benchmarked diversity strategies and initiatives at other leading organizations. Through the internal assessment, the diversity strategist should become intimately familiar with the organization’s values, vision, mission, strategies, goals, and initiatives, all of which constitute a sound basis for understanding the organization’s culture, policies, procedures, systems, and overall strategic positioning. The diversity strategist must become equally familiar with the bene? ts and shortfalls of various diversity initiatives. The strategist must conduct an analysis to determine the most appropriate linkages between the organization’s overall strategic positioning, policies, procedures, systems, and its diversity initiatives. Before proceeding, the diversity strategist must recognize and effectively articulate a clear strategic ? t and alignment amongst the organization’s overall strategic positioning, policies, procedures, systems, JMD 22,10 872 and diversity. Both strategic ? t and strategic alignment are necessary to strengthen the business case for allocating resources to support the planned change-corporate diversity strategy. In order to realize the maximum bene? ts from diversity, the planned change-corporate diversity strategy needs to be properly executed, evaluated and refrozen to ensure that the stated goals are being met, and that the organization’s culture and members are moving toward and sustaining the desired state of systemically managing diversity. Moving to systemically managing diversity Once the present state is unfrozen, the move that will allow the organization’s culture and members to advance to the desired state should be put in place. In this case, the move is to culturally reengineer the organization and its members to the true state of managing diversity by implementing the managing diversity process. The social learning theory (Bandura, 1977) is offered as the theoretical framework for the managing diversity process. It has also been offered as the theoretical framework for developing training programs in the cross-cultural and expatriate literature (Black and Mendenhall, 1989; Harrison, 1994). There are four major tenets of social learning theory: motivation, attention, retention, and reproduction (Bandura, 1977). These tenets are re? ected in the eight steps of the managing diversity process. In an effort to truly manage diversity, a change in the attitudes and behaviors of individuals, and in organizations’ systemic and institutional ways of doing business is required. Therefore, it is posited that utilizing the tenets of social learning theory can aid in the acquisition of the learning that is necessary for organizations to maximize the inputs of all of its diverse members. The planned change-corporate diversity strategy serves as the motivation for the learning of new behaviors and attitudes. Hence, once the planned change-corporate diversity strategy is articulated, the move through the eight steps of the managing diversity process should be instituted to assist individuals and organizations in culturally reengineering and moving to the desired state of managing diversity. The eight sequential steps of the managing diversity process include: (1) exposure; (2) experience; (3) knowledge; (4) understanding; (5) appreciate; (6) respect; (7) modify attitudes and behavior; and (8) healthy interaction. All of these are undergirded by tolerance (see Figure 5). The acknowledging diversity component of the diversity continuum is composed of steps (1)-(4), and they re? ect the â€Å"attention tenet† of social learning theory. The valuing diversity component of the diversity continuum is comprised of steps (5) and (6), and is re? ective of the â€Å"retention tenet† of social learning theory. Steps (7) and (8) constitute the managing diversity component of the diversity continuum and the â€Å"reproduction tenet† of social learning theory. The movement through each of the eight steps requires individuals to progressively develop appropriate skills to enable them to manage how they deal with individuals whom they consider different from themselves. Therefore, executing the eight steps in the managing diversity process serve as the necessary movement required to progress from acknowledging and valuing diversity to managing diversity. The true movement through the eight steps from acknowledging diversity to managing diversity is a paradigm shift, in that it entails a change in the treatment of diverse individuals (Fitzpatrick, 1997). Managing diversity 873 Diversity training In order for an organization to realize the potential bene? ts that can be afforded by employing diverse individuals, there needs to be a paradigm shift in which the inputs of diverse individuals are systemically managed within an organization to enable the successful accomplishment of its strategic goals. Training of individuals is viewed as a necessary tool to facilitate the organization in achieving its goals. Diversity training should be viewed no differently than any other type of training in which an organization invests. Therefore, it should also be viewed as a necessary tool to manage members’ behaviors and their ability to work productively with diverse individuals. After canvassing the literature, it has been noted that most diversity training programs merely raise individuals’ awareness of or sensitivity to diversity (Grubb, 1995; Jenner, 1994). Some few diversity training programs go as far as attempting to change individuals’ perceptions of diversity and how they communicate with people different from themselves (Grubb, 1995). However, these programs tend to be offered to only select employees, and they tend to be short in duration, ranging from a one-hour session to a series of one-day sessions several times a year (Koonce, 2001). The major drawbacks to most existing diversity training programs are that: . they do not build skills to facilitate individuals’ ability to actually manage their interactions with individuals different from themselves; . they are not rigorous nor time-intensive enough to create a paradigm shift in individuals’ treatment toward individuals different from themselves; and JMD 22,10 874 Figure 5. The continuous managing diversity process . there are no enduring reinforcement mechanisms embedded in the organization’s culture to ensure all individuals’ inputs are successfully managed to met the organization’s strategic goals. Managing diversity As a result, most (if not all) existing diversity programs have not been successful in creating enduring change in the way individuals interact with individuals different from themselves, nor have they been successful in changing their organization’s culture to one that systemically manages diversity. In order to create enduring change in individuals and the organization’s culture, members of the organization at all levels need to participate in diversity training that encapsulates the comprehensive managing diversity process. The outcomes that should be expected from participation include, but are not limited to, skill building in the following areas: the ability to clearly articulate their ideas and feelings; con? ict management skills; effective giving and receiving of feedback; effective listening; group observation skills; and group decision-making skills, all of which will facilitate modi? d attitudes and behaviors, and healthy interaction with diverse individuals. Individuals have to come to grips with their feelings, thoughts, attitudes, and behaviors toward diversity and others with whom they are different. In the ? rst step of Exposure, individuals provide public notice of where they are at that point. They do this by: laying open who they are; divulging where the y are; unmasking themselves; and receiving others’ culture. Step (2), experience, involves gathering information through personal involvement, encountering, seeing ? rst-hand, and living through events. In the third step of Knowledge, individuals become well informed, thus able to be conversant because they become familiar or acquainted with the culture of others. Knowledge serves as the basis for step (4), understanding. Because of their grasp of cultural realities, individuals are able to comprehend (understanding) relevant cultural dynamics, which leads them to be sensitive, and enables them to share unique insights and perceptions. In step (5), appreciate, individuals’ acceptance of the worth of a person’s culture and values makes it easier for them to welcome and â€Å"justly† estimate diverse individuals. Resultantly, individuals are able to respect (step (6)) diverse individuals; thus, they are able to pay attention, pay deference, and pay tribute to the values, worth, and culture of diverse others, as well as give personal consideration to the diverse individuals. Successful movement through the ? rst six steps, along with tolerance underpinning each step, should lead to modi? cations in individuals’ attitudes and behaviors toward diverse individuals, which is step (7), modify attitudes and behaviors. This change in attitudes and behaviors, again, along with tolerance should lead to healthy interaction (step (8)) with and amongst diverse individuals. Step (8) is a function of continuous acceptance and execution of steps (1)-(7). Therefore, this is a ? uid (not static) process that must be recognized for its ever-changing and 875 JMD 22,10 876 evolving nature. The requirements for successful execution of the managing diversity process are strenuous and time intensive because it requires individuals to modify their attitudes and behaviors. Thus, they must modify the way they interact with individuals different from themselves, and not just expect that they either avoid, acknowledge, or value those individuals that are different. Given that all individuals in today’s global business environment are likely to encounter others that are different from themselves on a frequent basis, the managing diversity process should be viewed as analogous to the open systems approach – it is a continuous process that maintains a constant reciprocal relationship with the environment. Refreezing the systemic management of diversity Successful movement through the managing diversity process requires individuals to change. Resistance to change is inherent in any change process, and it will be no different in this process (Harrison, 1994). Therefore, the managing diversity process is a ? uid, continuous process that needs to be systematically reinforced and embedded in the organization’s culture and individuals’ interactions, such that the organization’s culture and its members do not revert back to just acknowledging or valuing diversity. Hence, refreezing the desired state of managing diversity requires reinforcing the new perceptions, attitudes, and behaviors with emphasis on the modi? ed behaviors and healthy interactions individuals have adopted as a result of going through the managing diversity process. In order for individuals and organizations not to revert back to their previous states, the new desired state must go through the refreezing stage to be institutionalized. This should be accomplished through systemic, on-going training and daily interactions at the individual level, and through revised policies, procedures, and systems at the organizational level. At the individual level, the systemic, on-going training should not be just periodic training that merely exposes individuals to diversity. A great deal of time is necessary to cement these newly adopted attitudes, behaviors, and skills for healthy interaction. This kind of cementation is required for these newly acquired attitudes, behaviors, and skills to become totally embedded in the individuals’ natural way of interacting with diverse individuals. The systemic, on-going training needs to be skill-based and experiential in nature to promote long-term changes in the way individuals work with individuals different from themselves. This type of reinforcement at the individual level will contribute to the cultural reengineering that also must take place at the organizational level. To reinforce the desired state of managing diversity at the organizational level, revised recruiting, appraisal, development, and reward systems, as well as an enforceable diversity policy need to be implemented (Allen and Montgomery, 2001; Hemphill and Haines, 1998; Miller, 1998). The revised policies, procedures, and recruiting, appraisal, development, and reward systems need to re? ct the organization’s position on how the inputs of diverse individuals will be managed, such that their contributions fully aid the organization in meeting its strategic goals. A written, enforceable diversity policy, stating the systemic action steps and behaviors expected by all employees is a must as it relates to effectively managing the organizational inputs of all individuals. Everyone’s inputs should be effectively managed to contri bute to the achievement of the organization’s strategic goals. The revised policies, procedures, and systems should also align with the planned change-corporate diversity strategy. Given the resources and time required to revise and initiate implementation of the revised organizational policies, procedures, and systems, individuals are likely to resist these changes initially. Therefore, it is quite likely to be a dif? cult and time-consuming process to make the appropriate and necessary revisions to the organization’s policies, procedures, and systems. This is an essential and critical step necessary to ensure the organization and its members do not revert back to their previous attitudinal and behavioral states. It is paramount that revised policies, procedures, systems, and planned change-corporate diversity strategy are clearly communicated to all members of the organization to ensure that it can be appropriately recognized, executed, evaluated, and reinforced. To reinforce this cultural reengineering effort, management needs to initiate and actively participate in the refreezing stage, the same as they must genuinely participate at the unfreezing and moving stages. Potential limitations As with any theoretical model, there are limitations. One potential limitation of this notional model is that no matter how well it is implemented, there are likely to be some individuals whose attitudes may never change or they may continue to consciously or unconsciously show favoritism toward those whom they consider to be similar to themselves (Gilbert and Ivancevich, 2000; Miller, 1998). Another potential limitation is that subtle forms of biases against diverse individuals may still exist informally within the organization and/or outside of the work environment; thus, highly impacting individuals within the organization. Backlash is also a potential limitation; members of the majority are likely to perceived that they are being excluded at the expense of including diverse individuals (Hemphill and Haines, 1998). Additionally, if the training initiated to implement the managing diversity process is perceived as a bad experience, the organization’s leadership may abandon the initial implementation, hence dooming all future diversity efforts. However, by using the suggested planned change approach along with well enforced diversity policies and disciplinary procedures for violations of the diversity policy, it is more likely that individuals’ behaviors can be altered to be more tolerant of others whom they consider to be Managing diversity 877 JMD 22,10 different (Gilbert and Ivancevich, 2000). This will allow the talents, skills, and abilities of all individuals in the work setting to be used to meet organizational objectives. Conclusion Given that individuals are less willing to leave their differences outside the doors of the workplace (Thomas, 1991), an organization’s ability to systemically manage diversity will become more important, in years yet to come, if it wants to ensure its ability to compete successfully in the global marketplace. This paper suggests that, ? rst, a planned change approach should be used to systemically manage diversity, by developing and implementing a planned change-corporate diversity strategy. Second, organizations should execute their cultural reengineering efforts to move individuals and the organizational culture along the diversity continuum from the states of acknowledging and valuing diversity to the desired state of managing diversity. Movement to the desired state of managing diversity can be achieved by using the managing diversity process. It is also suggested that the organization needs to provide on-going training, and needs to institute new policies and procedures. Additionally, it must engage in appropriately different recruiting, appraisal, development, and reward systems that systemically reinforce the cultural reengineering of moving to the state of managing diversity. These new undertakings will ensure that the newly reengineered culture of managing diversity is inculcated into the organization’s culture, and its way of conducting business domestically and abroad. By adopting and executing the frameworks offered in this paper for ystemically managing diversity through a strategic planned change approach, managers will have created an organizational environment where they will be able to enjoy healthy, innovative, and productive interactions amongst diverse members of the organization. The following is a list of other potential bene? ts that may be derived from using the offered frameworks: . in general, individuals will develop an increased knowledge of and appreciation for other cultures; . individuals will learn to value and respect the cultural norms, behaviors, and attitudes of others; . here is likely to be a greater receptivity to necessary organizational changes; . there is likely to be a lessening of workplace anxieties; . a reduction in organizational con? ict; . a more pleasant work environment; and . increased performance and productivity. 878 In conclusion, the proactive management of diverse human resources will aid organizations in gaining and sustaining a competitive advantage in today’s dynamic global marketplace.