Diversity: A Significant Event

Question:

Critically discuss how leaders can confront the ethical issues related to culturally diverse workforce in Australian organisations.

Answer:

Introduction

An organization is led by a leader. The leaders need a lot of skills as well as experience to lead a team in a particular group. The leadership is the most important aspect of an organization and business since it is the one predominant topic that makes the modification between the fundamentals that a leader can lead the team with skill and confidence. Leadership and management differ from each other. A leader is responsible for influencing the employees and staff of an organization towards achieving the organizational goals and objectives. On the other hand, management is concerned with the strategic outline of a company. Here, the organization considered is Downer Group, which is an Australian based company. The leadership involves establishing direction, creating a vision and setting strategies whereas management involves timetable setting, developing agendas and planning and budgeting.  

Role of leaders to encounter in relation to the cultural diversity

Diversity is a significant event in today workforce and organizational culture nowadays, the workplace there are more ladies, more physical incapacitated individuals, and more minorities influence the work power. Subsequently, the work environment gets cultural contrasts due to the assortment of cultures in the work strengths, interpersonal aptitudes and great communication are basic to an effective business (No authorship indicated, 2003). Moreover, communication verbal, composed, and nonetheless, that it is not the sole obligation of the business to see that objective accomplished. A different group can cooperate successfully on shared objectives and targets through accord and collaboration. On the other hand, miscommunication is a significant resource of intercultural distress and discord(Weber and Silva, 2011). In addition, all representatives offer in that duty. Wide research has been attempted in the course of recent years to recognize and analyze leadership approach and behavior. In other sense, leadership has been characterized in a wide range of ways. However, most definitions expect that it includes an impact procedure worried with encouraging the execution of an aggregate undertaking. The reason for our venture is to bring issues to light and draw a clearer picture of cultural diversity(Black Book – Marks & Spencer, 2010). Also, it includes a procedure whereby deliberate impact is applied by one individual over other individuals to guide, encourage, and structure exercises and connections in a gathering to make organizational adequacy and progress(Bevan, 2001).

Communication challenges faced by a leader to remove cultural diversity

With the help of active communication skills, the leader of the organization can easily replace and remove the cultural diversity. There are various types of advantages of active communication are discussed in many studies such as through comminuting with employees, a leader can resolve confusion between them(Grundy, 2005). In addition, if an employee does not follow organizational rules and regulation then a leader can motivate and aware him/her about the importance policies. For example, the leaders of Elfin Sports Cars Pvt Ltd use the communication skills in order to remove the cultural diversity in their organization(Islam, 2016).        

Moreover, thankfulness and comprehension of cultural diversity imply enduring contrasts among people or gatherings, as well as supporting and sustaining them. Apart from that, there is a few unmistakable hypothetical basis for leadership. Alleged extraordinary individual theory of leadership concluded that a few people are conceived with specific characteristics that permitted them to rise out of any circumstance or time of history to end up leaders(Marks, 2000). Besides that, diversity makes open doors for character advancement by showing resilience and admiration for individuals and by empowering sympathy toward value. By giving a supporting and sustaining environment improves different objectives of the coalition by presenting bunch individuals to new issues, thoughts, data, and societies have been recovered(Regulatory Strategy Current Regulations Favorable to Marketing, 2007). As per Robins and Judge, the leadership as “the capacity to impact a gathering toward the accomplishment of a dream or set of objectives. In addition, quality speculations focus on the leaders themselves and have indicated little guarantee for either the comprehension of the leadership procedure or the association with powerful leadership execution. The business is as of now worldwide; management remains society bound, and management of diversity can be viewed as a reaction to the need to perceive, regard and benefit from the distinctive foundations in our general public as far as race, ethnicity, and sexual orientation.  According to researchers, leadership adequacy as far as the outcomes of the pioneer’s activities for supporters and it is a trade procedure between the leaders and the adherents. In other words, the gathering and trade speculations underscore the significance of devotees(Alvesson & Sveningsson, 2008). 

On the other hand, the customarily perceived hypotheses of leadership have a tendency to be more circumstance based. Specifically, Fiedler’s model made a remarkable commitment to leadership theory and conceivably to the act of human asset management. In other words, the route forward incorporates cultural preparing, which is crucial to maintaining a strategic distance from the potential clash. In order to enhance the awful disappointment rate of joint-endeavors in the later past, leaders should focus on employee workability. In today’s quickly changing worldwide economy, it has gotten to be vital for leaders to have such insight that investigates and utilizes the best conceivable developing and testing open doors. Aside from that, the circumstance in which an organization works assumes a compelling part in outlining and dealing with the company adequately focus on situational variables and logical parts of leadership influence leadership parts, abilities, supporters’ execution, and conduct and fulfillment. In addition watches and deciphers the element and culturally assorted world in which they lead people the most important resources of any specified organization. Besides that, contrasts turn into the fountain of issues in societies and organization. Although, diversity experiences happen under hazardous discernments and leaders over the globe confront the steadily expanding cultural difficulties amid their everyday connection with people inside and outside the organization. In addition, the accomplishment of the procedures multicultural associations seek after is to a great extent affected by the leaders’ observations and understandings of the worldwide financial environment(Forests challenge badge, 2013).  Moreover, the cultural diversity depends on embracement, thankfulness, comprehension, capability and knowledge of powerful worldwide leaders. With the help of effective leadership, various working environment among an essential worldwide difficulties can be easily resolved. In addition, the issue of dealing with today’s culturally various workforce is the tragic powerlessness of the leaders’ and supervisors’ to completely grasp the cultural, organizational, and universal movement. According to recent studies, today’s worldwide leaders need to perceive such contrasts. Simply organizational viability depends to a limited extent on the successful overseeing of cultural diversity, which has turned into a critical test for the organization. Through the collaborations between social diversity markers, for example, ethnicity, race, age, sex, sex, social class, religion and sexual introduction can be controlled.

The ethical issues based on the cultural diversity in the organization

The leaders of an association, here Mr. Grant Fenn, the CEO of Downer Group, have some moral commitments (Donaldson, Werhane and Cording, 2002). It consolidates distinctive parts, for instance, reliability, trust, moxie, sensibility, and thought. Mr. Grant Fenn being marvellous leaders backs all the ethical commitment. The ethical organization is described as the activity concerning the ethical estimations of the affiliation or the association. The agents or the workers of an alliance constantly tail some person who is respected by them and Mr. Grant Fenn is entirely productive in keeping up his feeling of pride among the masters of the association. However, the organization may face difficult issues and challenges, and these challenges are solved by leaders (Tichy and McGill, 2003). Ethical issues such as low skills of the employees, low quality, and productivity of the company, lack of workforce diversity, no sign of globalization, low ethical behavior and so on. These issues are solved by a leader. Learning and improvement experts can all the more plainly tailor their endeavors to meet the most squeezing needs of the authority pool they serve. It is the responsibility of a leader to improve the skills and knowledge regarding the work. 

It can be obvious that a CEO may not be a leader, an employee can also become a leader who leads the other employees. He also improves the productivity and quality of the organization. The management of workforce diversity is also controlled by a leader. As an extraordinary leader, he for the most part tries to show both his ethics and qualities in his organization style, which results in the change of his association or affiliation. He furthermore keeps up the ethical behavior with his delegates. A leader is responsible for the globalization of the organizational market. The ethical behaviors are also improved by him. He is similarly attentive towards the satisfaction of his representatives. He also encourages his bosses or laborers. It is the challenge of a leader to develop the managerial effectiveness of Downer Group in Australia. It includes prioritization, time management, and decision-making, strategic thinking and getting up to speed with the job. At present, the workload is very challenging. Lots of critical activities and projects are going on with the limited resources in the company. Other challenges such as inspiring others is also a job of a leader. The problem of encouraging other ensures that they are satisfied with their jobs. As a result, the employees of Downer Group works with a smarter ways. For example, an organization works with seventy workers more than ten years. A new leader is needed for change. Therefore, change management is handled by a leader. The change in an organization can bring the effectiveness related to work. So, the Downer Group can accomplish the future objectives and goals.

Sudden situations come when the employees leave the organization due to lack of a leader. At that time, a leader is needed. A leader can bring the employee retention strategies. The making of a proper retention strategy is a challenge for him. The retention strategies include coaching as well as mentoring of the old employees and the new staff. According to an Egyptian manager, succeed his direct reports to fill in for me in the tasks before done by himself, mainly on two fronts, at first for the development of their knowledge in business and sense of perfection which will secondly help them gain their dedication and trust of the team members. The management of internal politics and stakeholders is also an ethical issue of a leadership management. The challenge consists of gaining the support of the manager. It also includes the getting buy-in and managing up from other departments of the particular organization. The employees can profit by knowing their encounters as leaders are more comparable than various. They can feel more certain about contacting others to help them learn and confront these difficulties. Making sense of individuals, and treating them like they need to be dealt with, will be a major part of a leader’s prosperity. On the other hand, the organization does not muddle things enough for leaders; some individuals need to let them know clearly what the leaders need them to do, and after that just allow them to sit unbothered. 

The significance of leadership on organization cultural diversity

There are various types of aspects of organizational culture observed in many studies, out of them leadership is an essential aspect, and it effectively influences the organizational culture. In terms of organizational and individual interaction, leadership has critical dynamic effects on these elements. Lee and Chuang stated that an effective leader always works towards achieving the organizational goals and objectives. In addition, an effective leader always utilizes significant approaches and methods to encounter the cultural diversity at workplace. On the other hand, many studies proved that effective leadership approach and behaviors influence the organizational performance. According to the researcher, the consequences of leadership is the resources of competitive advantage and organizational growth. For example, transactional leadership is one of the leadership styles which achieves organizational objectives through a reward system. Aside from that, a leader who follows visionary leadership style creates a vision and mission statement for the organization. Talking about the managing cultural diversity which is influenced by effective leadership style. Proper leaders of the organization pay attention to various factors and successfully identify the difference(Giuliani & Kurson, 2002). After identification of problems, the leaders improve the situation through effective strategy to remove difficulties and motivates employees for better performance. Moreover, there are various types of leadership styles have been observed in many studies such as autocratic leadership, democratic leadership, bureaucratic leadership, laissez-faire leadership style, modern styles of leadership, transformational leadership style, charismatic leadership styles, transactional leadership, participative leadership, servant leadership styles and visionary leadership styles. In addition, some approaches such like trait approach, behavioral approaches of leadership, attitudinal approach, situational leadership approach and contingency leadership approach also describe the importance of effective leadership in an organization. Moreover, some models like vroom-yet to leadership model also contributes to establishing the significance of efficient and appropriate leadership in the organization. Different types of leadership styles, approaches and models are discussed below for positive understanding which reduce the cultural diversity at workplace.   

Autocratic leadership

An autocrat leader is a very important person, and he forces his energy and will upon his adherents or subordinates. In terms of chain of command of necessities, an autocrat trusts that his adherents fit on the low positions. As indicated by Douglas McGregor, autocratic leadership styles depend on a few suppositions about the supporters. In addition, this leadership model concludes a gathering of individuals to work without stressing of any decision-production forms which provides help to reduce cultural diversity. On the other hand, autocratic leadership styles are additionally called dictator leadership as the leaders take control over decision making, and individuals put a little contribution to any arrangements, decisions and methods of the organization(Anderson, Ford, & Hamilton, 1998).

Democratic Leadership 

Democratic leadership is a type of leadership that advances sharing of organizational obligation, designation, and counsel. In addition, the styles concentrate on the leader’s capacity to look for standard counsels and commitments from their subordinates. Moreover, law based leaders accentuate on inventiveness as a method for taking care of issues (Woods, 2005). Besides that, the individual capacities of people are somewhat used in such frameworks. Similarly, a leader errands their subordinates and gives them full control over responsibilities and organizational exercises. Moreover, the leaders take part in the input systems particularly as to the general workplace and exercises that eliminate cultural diversity.

Bureaucratic Leadership Styles

The bureaucratic leadership style concentrates on guaranteeing that principles and strategies of an organization are precisely and reliably taken after (Jia Lu, 2010). Therefore, leaders anticipate that their adherents will be formal identities in the working environment. In addition, leaders increase moment force and power as approaches require that representatives accord them with benefits for reducing cultural diversity.

Laissez-Faire Leadership Style

The laissez-faire leadership is known as “hands-off style.” In this leadership style, the leader does not give any direction to the workers, and they are at the opportunity to practice their rights and spread their obligations (Liu, 2008). Moreover, this leadership model is compelling in exceptionally gifted, reliable and taught to avoid cultural conflicts.

Modern Styles of Leadership

In this leadership style, the leaders of the organization follow various types of modern approaches and techniques in order to improve the organizational culture and structure. In addition, the internet is the main element which is used by modern style of leadership.

Transformational Leadership Style

A transformational leadership style utilizes enthusiasms and energy and constitutes an elevating knowledge to a gathering of individuals and it includes the formation of mission and vision that ought to energize a gathering, and change over them(Siegel, 2011). The vision can be produced by the leader after a progression of consultations. In addition, transformational leaders show disposition and activities that ought to be imitated by the adherents (Uhl-Bien & Marion, 2009). However, amazing endeavors in persuading their devotees through listening and enthusing are an unmistakable sign that these leaders are focused on changing the organizational structures.     

Charismatic Leadership Styles

A charismatic leadership style utilizes organizational goals that are given to worker fulfillment. Also, the leaders win individuals’ trust and regard through generosity and a charismatic leader change the whole association by focusing on the individual at one minute(Bhatta, 2014). Moreover, charismatic leaders concentrate on examining the workplace in order to dissect an individual’s temperaments and concerns.

Transactional Leadership

Transactional leadership style deals with the presumption that discipline and compensate framework as a method for inspiring the workers. In other sense, transactional leaders conduct contracts with their supporters that have a clear requirement and set approaches of order and rewards. Therefore, transactional leadership style is unexpected to compensate or discipline. In spite of its downsides, transactional leadership style is a well-known leadership approach amongst numerous supervisors (Avolio & Yammarino, 2002).

Servant Leadership Styles 

Servant leadership style requires that a leader is in charge of his or her adherents. In this leadership style, the leaders have an obligation towards the organization by providing services to others and helps them enhance themselves. Moreover, the general population who are served by these leaders develop and get to be astute and can get to be hirelings themselves.

Visionary Leadership Styles 

The visionary leadership model includes a framework where leaders interpret their fantasies, accomplish their goals and move others. In other words, visionary leaders envision a change in the organization. With the help of this leadership styles, a leader is commanding individuals and makes a common adaptation of vision. 

Trait Approach

Trait leadership approach includes building up a rundown of attributes that prompt progressive leadership and it includes scholarly and social characteristics that add to the accomplishment of leaders. According to Stogdill, this leadership styles couldn’t be characterized by identity attributes, as leadership is reliant upon circumstances that diminish cultural diversity. 

Behavioral Approaches to Leaderships 

A useful research on leadership was finished by the Ohio State University, and this study highlighted two components that decide conduct leadership practices such as starting structure and thought of an effective leader (Avolio & Yammarino, 2002). 

Path-Goal Model 

This leadership model is contracted from expected hypothesis of inspiration. In addition, anticipation hypothesis depends on the way that individuals will do things and hope to be compensated. Moreover, this is the essential premise of way objective leadership hypothesis. Furthermore, this hypothesis recommends that leaders impact their devotees by clarifying what ought to be done as such as to get rewards (Meese & Ortmeier, 2004).  This model helps the leaders to decrease cultural diversity at workplace.  

Conclusion

The overall essay is based on the behavior of an organization. The organization considered here is an Australian based company. At the first portion of the project, an introductory explanation about the leadership is described. Next, some communication challenges are outlined. These communication difficulties are encountered by a leader about cultural the diversity of Downer Group of Australia. At third, some ethical issues related to the culturally diverse workforce are discussed. At last, the leadership models and styles are described briefly which is used for the management of cultural diverse workforce of an organization. Everybody would concur that treating individual’s right is imperative. Some people require more acclaim and acknowledgment. The others need to create results by filling in as a high performing group; still others handle their day to day work by completing stuff and check stuff off their rundown. What is talked about significantly less is that diverse individuals need to be dealt with in an unexpected way.  

References

Donaldson, T., Werhane, P. and Cording, M. (2002). Ethical issues in business. Upper Saddle River, N.J.: Prentice Hall.

Tichy, N. and McGill, A. (2003). The ethical challenge. San Francisco: Jossey-Bass.

Alvesson, M. & Sveningsson, S. (2008). Changing organizational culture. New York: Routledge.

Anderson, T., Ford, R., & Hamilton, M. (1998). Transforming leadership. Boca Raton, Fla.: St. Lucie Press.

Avolio, B. & Yammarino, F. (2002). Transformational and charismatic leadership. Amsterdam: JAI.

Forests challenge badge. (2013). [Rome].

Giuliani, R. & Kurson, K. (2002). Leadership. New York: Hyperion.

Meese, E. & Ortmeier, P. (2004). Leadership, ethics, and policing. Upper Saddle River, N.J.: Prentice Hall.

No authorship indicated,. (2003). Cultural Diversity & Ethnic Minority Psychology: Editors. Cultural Diversity & Ethnic Minority Psychology, 9(3), C2-C2. http://dx.doi.org/10.1037/1099-9809.9.3.c2

Uhl-Bien, M. & Marion, R. (2009). Complexity leadership in bureaucratic forms of organizing: A meso model. The Leadership Quarterly, 20(4), 631-650. http://dx.doi.org/10.1016/j.leaqua.2009.04.007

Woods, P. (2005). Democratic leadership in education. London: Paul Chapman.

Bevan, J. (2001). The rise and fall of Marks & Spencer. London: Profile Books.

Black Book – Marks & Spencer. (2010). [Place of publication not identified]: Bernstein Global Wealth Management.

Grundy, T. (2005). Business strategy re-engineering and the bid battle for Marks and Spencer. Strat. Change, 14(4), pp.195-208.

Islam, K. (2016). Can Ethical Business Strategy Influence Consumers’ Buying Behavior and Loyalty: Marks and Spencer PLC?. CSBM, 3(1), p.38.

Marks, E. (2000). Reflections and Recommendations. PMLA, 115(5), p.1254.

Regulatory Strategy Current Regulations Favorable to Marketing. (2007). Natural Gas, 5(1), pp.18-19.

Weber, D. and Silva, B. (2011). From Marks & Spencer to X Holding. Alphen aan den Rijn, the Netherlands: Kluwer Law International.

Bhatta, D. (2014). Multinational fast food company (KFC and Pizza Hut) in Nepal. Odense: Syddansk Universitet.

Jia Lu, (2010). Multiple modernities and multiple proximities: McDonald’s and Kentucky Fried Chicken in Chinese television commercials. International Communication Gazette, 72(7), pp.619-633.

Liu, W. (2008). KFC in China. Singapore: John Wiley & Sons (Asia).

Siegel, J. (2011). Kfc national management company, petitioner. [Place of publication not identified]: Gale Ecco, U S Supreme C.

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