Managing diversity

Because of the globalization nowadays it is of great importance to be effective in more than one organization or in one country. The interesting question may be what the word effectiveness brings to leadership. Effectiveness among organizations probably normally means cutting costs and reducing time (Green & Olsson 2006). Recognizing the diversity of the workforce could be a value expected of todayes leaders. The on-going globalization process in the political, economic and social areas has led to a significant increase in interpersonal cross-cultural contact. Intensified internationalization in the economic field has been increasingly achieved through alliances and Joint Ventures, including cross-border mergers and acquisitions (Schneider & Barsoux 2003). Top organizations all over the world are composed of ethnic and cultural makeup in their workforce. They are realizing the importance of making a workforce as abroad and diversified as the customers they have. The globalization of diverse populations requires the intercultural dialogue from the top management to manage diverse workforce in all areas of the business.