The Diversity Management in Haier Company Essay

The Haier Company has operated successfully and puts diverseness direction into pattern. For Bledsoe ( 2010 ) “ diverseness ” is to enlarge on the pupils ‘ experience in high instruction. Currently diverseness direction is supported by HR sections in order to see who has the endowment to set about the force per unit areas involved and win the nucleus competencies in the markets. Panaccio ( 2010 ) indicates that the virtues of holding a diverse work force could guarantee that clients receive the best service and convey the best public presentations which are both single and organisational. Harmonizing to Choi ( 2010 ), effectual diverseness direction could better the effects on results which are brought by the staff. Winkler ( 2008 ) notes that squad members come from different backgrounds.

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Cultural diverseness is separated into seeable and non-visible sides ( Yang Yang 2005 ). Assorted civilizations indicate different backgrounds are come by all sorts of people. The focal point of this essay is to analyze how companies can go better directors of cultural diverseness through incorporating theory with pattern. This shall be done foremost through shaping and discoursing what is meant so we discuss cultural diverseness and how this impacts on an organisation. The thoughts of Hofstede and Sparrow will be critically examined and through detecting how cultural diverseness is managed in pattern in the Haier Company we will see how effectual there direction is in pattern.

Definition of diverseness direction

Kirton and Greene ( 2005 ) argue that it is necessary to cover with efficaciously with workforce diverseness. Diversity direction has brought the influences on the consequences which are related to workforce, that is to state holding a stamp feeling towards person or something e.g. being fond of a cat or caring about a friend. ( Kellough and Naff, 2004 ; Pitts, 2006 ; Riccucci, 2002 ; Wise and Tschirhart, 2002 ). The HR section can supply the critical information to the nucleus clients and providers and Sellerss. Harmonizing to Schneider ( 2001, p.27 ), diversity direction is a method of pull offing the peculiarity in the companies among all the work forces. Diversity direction is to better the human resource direction ‘s map and it influences the company operation. What is more, diverseness direction means to develop cross-cultural abilities that make the best finding in work outing jobs and encourages the best creativeness in workers.

Literature Review

Hofstede ( 1980, 2001 ) identifies several of import elements: individuality, power distance, uncertainness turning away, maleness and term orientation. Vodosek ( 2005 ) notes that Hofstede ( 1997: thirteen ) argues that cultural differences can do jobs. In mention to individuality, it identifies the range to which persons are belonging to a group ; it is the grade to which persons integrate into groups. For illustration, in the USA people consider themselves to belong to a specific group and identify with it and others that belong to it but happen it more hard to other people they consider outside of their group. The 2nd 1 is power distance this refers that the people working for the company believe that the equal chances policies in the company are non being followed. The 3rd factor uncertainness turning away is to turn to with the tolerance in a society for uncertainness and ambiguity. The 4th ‘masculinity ‘ this refers to the distribution of functions between genders and values. The concluding component that Hofsede identifies is ‘orientation ‘ ; here he discusses the thought of long term orientation which is concerned with thrift and doggedness and short term orientation which is concerned with tradition and protecting the face of the company.

The 2nd important literature is the dimensions of diverseness ( Hellriegel, Slocum and Woodman ). It divides into two parts: primary ( familial ) and secondary ( learned ). In the primary ( familial ) portion – people of different ages have different ideas and therefore their sentiments are varied. Thomas ( 2001 ) points out that racial diverseness has an impact on map background. The UK has become a multiracial state with immense cultural and cultural diverseness. At present the bulk of people busying professional, proficient and managerial functions are preponderantly Caucasian in beginning. Labelle ( 2010 ) maintains that gender diverseness is easy to detect and investigates the impact on associated determinations. The disablements are regarded as the physical abilities ; disabled people have higher rates of unemployment than able-bodied people.

Finally, there are genders differences in employment – i.e. there are more work forces busying the top occupations than adult females and are still having higher wage in many sectors than their female opposite numbers or are you discoursing peoples sexual orientation i.e. homosexual or heterosexual agencies there is favoritism against those who are gay in the workplace. In the secondary ( learned ) portion, the difference exists in instruction, work experience, income, matrimonial position, spiritual belief, geographical location, parental position and personal manner. Performance determines income degree. In a transnational company, assorted people have a scope of spiritual beliefs, this means that the company has to guarantee that everybody ‘s spiritual beliefs are respected and they are allowed to pattern their beliefs. The geographical location will besides take to the sorts of conditions at the same clip.

The strategic international human resource direction ( SIHRM ) is the method of linking between IHRM ( international homo resource direction ) and the scheme in planetary companies. Harmonizing to Schuler et Al. ( 1993, p.451 ) given the definition of SIHRM, it is regarded as the issue of human resource direction, the maps of HRM ( human resource direction ) and the patterns of HRM. All these are the transnational endeavors strategic activities. Sparrow ( 2007 ) pointes out that the influence of SIHRM is to take to the international concerns and the ends of endeavors. SIHRM is based on the strategic human resource direction that the aim is to associate HRM with strategic direction. For this ground, SIHRM is to the planetary company or in the local company. The first 1 is the adaptative SIHRM orientation ; this is the system of human resource direction for the subordinate companies that show all the content of local companies. The 2nd 1 is the exportive SIHRM orientation. It aims to reflect the abroad subordinates that have the HRM public presentations which are used by parent companies. The last 1 is integrative is to incorporate in the individualism and do it associatory.

Finally, Braton and Gold ( 2007 ), mention Liff ( 1997b ) when sing four attacks to pull offing diverseness in a company. Many companies are devoted to pull offing diverseness and this should necessitate the establishment or company need to reorganise their construction to let for diverseness and differences between persons. The first attack is fade outing differences. Diversity direction seeks to work out these differences among persons on the footing of group work.It emphasizes non to administer those features among societal group members. Alternatively, diverseness direction is about work outing the differences among persons. This point is critical because diverseness direction changes the purposes of equality constabularies.

Harmonizing to Liff ( 1997, B ) the attack of valuing differences is to acknowledge all the staff or workers are in the whole one group although they have assorted civilizations. The 3rd attack is the suiting differences. It means that albeit the cultural differences exist, this attack can besides assist workers or staff to accomplish their personal marks. Liff argues that this attack should give the necessary makings for enrolling marks. Finally, the last 1 is using differences which are more different from those three attacks which mentioned supra. As there still exists some difference in a company, so leaders in companies should take different steps to handle different people in a company.

Discussion and elaborate information On Diversity Management in the Haier Company

Haier Company is the international endeavor and the most estimable trade name in China. This company non merely occupies the domestic markets but besides big abroad subordinates. It is understood that the CEO of Haier Company is Ruimin Zhang who has outstanding leading and direction accomplishments in covering with pressing issues in companies ; he has ever tried his best to fulfill the demands of clients, while the directors should hold much more concerns for their employees and the public assistances which workers should acquire. On the footing of diverseness direction, the most important one is the internationalisation scheme. Many limited liability companies are incorporated with Haier Company to analyze the newest merchandises.

In the starting, the merchandises in Haier Company are White goods. The company has produced iceboxs because Haier Company is the largest industry in China, air-conditioners which have assorted manners to be chosen by consumers, rinsing machines, H2O warmers and kitchen applications. The, Haier Company has now entered into the Brown goods which are digital and personal merchandises. Colour telecasting, nomadic phone and computing machine existe from that clip. The 3rd measure is Client solution concern. Haier Company supply the overall solutions and plan the system to reason the merchandises such as central-conditioner. Then, all the electronic devices belong to white goods and brown goods. In the last measure, the company has entered into the cognition industry.

The Haier Company takes several steps to guarantee their competitory border. In their originative diverseness direction, the Haier Company has decided to utilize Overall Every Control and Clear ( OEC ). The scheme has undertaken four phases. The first 1 is the celebrated stigmatization development phase between 1984 and 1991. Second, there is diversity direction scheme in companies from 1991 to 1998. Third, the international development scheme comes from 1998 to now. The last phase is the globalized degree scheme. The construct of Haier Company to pull the outstanding workers is that everyone is all first-class. First, harmonizing to Hofstede ‘s literature, the distance is a job. Cultural diverseness plays a important function in pull offing the company. Employees come from different states they hence have assorted backgrounds.

They have distinguishable geographic location. The Haier Company could give employees equal chances. The big power distance reflects the different degrees in an organisation and how much more powerful it is compared to other companies. The Haier Company says the more gifted individuals they have working for them, the more victorious chances they will acquire in the competition. The manner of individual has played a function of the endeavors. In the HR section in Haier Company, about all leaders make every attempt to do people have much more possible to the most extent. Tovey ( 1997 ) suggests that we should be encouraged to clear up the diverseness in our state. Cultural diverseness exists among members in a corporate cultural squad ( Joffre, 2007 ). Diverseness means the differences of ages, race, ethnicity, gender, physical abilities and qualities and sexual orientation. Second, all the employees are regarded as gifted people and have equal chances to demo prevailing accomplishments and literary.

This is successful scheme to win the best one and derive the competitory statue. Different instruction degrees will advance the different ideas and the range of cognition. Good work experience will do people understand more ways of covering with the pressing issues. Globalization has become a tendency of doing the universe much more enlightening. The economic globalisation non merely brings much more competitory force per unit areas, but at the same clip, gives the Haier Company excessively many chances. Harmonizing to Taylor et Al, there are three SIHRM orientations to be used. Employees have different faiths so director usage these three SIHRM orientations to suit parent and subordinate companies. Directors transfer the dissimilar policies and patterns activities all over the universe. Third, the Haier Company devotes itself to making the newest trade name and transcendent services to clients. The Haier Company could fulfill about all the demands which are suggested and carry out the necessary direction scheme for bettering the coherence of overall endeavors to heighten sense of responsibity.

Fourthly, Liff ( 1997b ), points out that diverseness direction non merely attempts to pull off the gender or cultural group as aims but besides, help most gifted people or workers to derive the most ends. Its purpose is to decide and cut down the differences. The valuing of difference is to bring forth a status of civilization in organisations where the staff feel they will be together non by persons. Cultural diverseness is still exists in the Haier Company. Different employees have dissimilar subjects. Staffs in Haier Company come from all over the universe. They have different linguistic communications, values, sentiments and ages. Directors in the Haier Company take separating steps to provide for all sorts of people. This particular direction manner has absorbed the sense of community, spirit of digesting adversities, development of personality, competition of conveying forth new thoughts and rich traditional civilization. As the Haier Company has a proficient relationship with some celebrated international companies, it attaches importance to subordinate ends. They have made two gestures: internal and external. The internal gestures are the footing of heightening the personality while the external gestures are the motive of endeavors which is the driving force.

In all, the Haier Company has been successful, because it follows five rules. Corporations should pitch to the teacher of production and industry on the footing of engineering selling alterations. Second, companies should concentrate on the attending of resource sharing and pursing the coordination strengthens. The Haier Company adjusts its attending of itself organisational took steps of disposing expeditiously in the chief field and developed the nucleus competency. The Haier Company pays much more attending to the efficient range of trade name extension. Directors besides use diverseness direction to derive the benefits from commanding the staffs in the company. Directors have obtained the most benefits because they can hold on the different cultural to do the most usage of deriving the values. Haier Company has higher net incomes and best public presentation over any other company. Directors in the company besides have better leading to convey the largest values and cultural diverseness direction is used successfully. Cultural diverseness direction means deriving benefits from commanding the staff working in the Haier Company.


The Haier Company is first-class in the field of equipment. First, it has used the SIHRM to pull off the company. The company has taken three international stairss: one is making the loyalalty of its international employees. Wherever employees are, they should hold truenesss to company. Second, they have succeded in heightening their international client ‘s trueness. The Haier Company has shown that it can fulfill about all the demands that the clients require. Finally, the company aims to make much more portion in international markets. Therefore, the methods of SIHRM are in usage, it brings Haier Company more net incomes and creates a good relationship between parent companies and subordinates. The company besides uses both the primary and secondary diversenesss ; these pay more attending on variegation. The directors realize that marketing wages attending to fulfilling the demands of international clients. Different people have assorted backgrounds and sentiments.

Employees are difficult to construct up the diverseness scheme in the trade name so that company adds the newest sort of family contraptions once more. Haier Company has done many consumer probes, listened to the suggestions which come from consumers and absorbed the ailments to heighten it. Haier Company is a cultural organisation which has been recognized and widely accepted by the employees. In order to cover with the different people because they have assorted civilizations, degrees and awards. The company uses Liff ‘s literature and puts theory into pattern. Directors consider different employees who have distinguished civilizations and solve assorted jobs. Finally, directors in Haier Company utilize the power distance and uncertainness turning away to accomplish the highest end harmonizing to Hofstede ‘s cultural dimensions.

A individual who is diverse can better his creativeness and productiveness. Fustis ( 2010 ) suggests that seting the activity with the enthusiasm of the diverse advisers via the system is the nonsubjective and leaders frequently consider the different civilization. Directors should be responsible for the assorted backgrounds of people and need to hold on the content of diverseness direction particularly cultural diverseness. If directors can derive these accomplishments and employees besides can acquire together to believe of the net incomes, so the Haier Company will be better in the hereafter.


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