Louis article on NAB’s employer’s strategy involves in several management theories. Mainly discussed in this essay will be influences of organizational culture, CSR, theory Y, behavioral management theory and managerial functions. The essay ends up with reflections future benefits of embracing diversity.
Influences of organizational culture
As “a set of shared value, norms, standards for individual and expectations” within an organization, organizational culture holds together a group of people with similar attitudes or personalities. Benjamin Schneider pointed that these similar employees are more likely to stay than those who are dissimilar in personalities. National Australian Bank (NAB), with 26,000 out of 44,000 staff working in Australia where ethnic diversity and individualism are dominant, responses quickly to this national culture. Succeeding setting up an organizational culture of appreciating diversity and autonomy, NAB witnessed an increase in the return rate of employees on leave by 16% from 2006 to 2011.
Effective management of diversity
Among 11 steps a manager can take to manage diversity effectively, given in Waddell (2007, 135-138), NAB sits comfortably along with the theory by securing top management commitment, increasing diversity skills, encouraging flexibility and mentoring of diverse employees. Also,
Based on the Hawthorne effect, the bank set up a top management commitment to keep employees happy, which is based on appreciating diversity, so as to improve performance level. NAB builds on diversity supports by employing people with disabilities (DWA, 2007), women and people over 50 (AARP, 2011).
Louis indicates that NAB has established a program called Reconnect which is established to facilitate communication between employees, and in turn ensuring improvements in their ability to work with colleagues with different cultures or