Training for Business Success: Does Diversity Training Improve Productivity, Performance, and Fair Promotions?
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Abstract
There is a great deal of pessimism about the impact of diversity. Some critics
have declared that diversity training programs do not work. Using data from the 2002
National Organizations Survey, this paper offers an examination of the relationship
between the presence of diversity management and training in business organizations
and assessments of business performance, business productivity, and fairness in the
job promotion processes. The results suggest that, even after taking into account the
size of the organization, the age of the organization, the percentage of workers who
were minority, the percentage of workers who were female, and whether the
organization was a private corporation, companies that have diversity training are more
likely than are their counterparts without diversity training programs to report higher
productivity than their competitors. Similarly, business organizations with diversity
training programs are more likely than are other business organizations to report better
business performance than their competitors. Also, companies with diversity training are
more likely than are companies without diversity training programs to report that their
employees believe procedures for determining promotions are fair. Such results go a
long way toward dispelling the notion that diversity training programs do not matter.
They show that diversity training programs can lead to positive outcomes.