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A Practical Guide for Line Managers
The business case for diversity is now well understood by HR professionals and has been embraced by successful organisations. Line managers are at the front line of day-to-day people management and customer service, and it is essential for them to reflect your organisation's diversity values.
Are line managers in your organisation recruiting and managing staff in a way that is consistent with your organisation's diversity strategy?How do you ensure your policies are implemented consistently on the front line?
The Business Case
The people in your organisation are indeed, as the saying goes, its most valuable assets. CIPD research confirms that the morale and motivation of staff is the single biggest factor affecting productivity and profitibility.
Recruiting and retaining the right person for the job has never been more challenging. 82% of employers interviewed by the CIPD said that they struggle to recruit skilled staff. Traditional labour pools are shrinking and employers who rely on 'traditional' recruitment methods and assessment techniques will be at a disadvantage in the battle for talent.
The costs associated with your most vauabe assets are high and the cost of mismanagement even higher still. Here are some figures that you may find interesting.*
- It typically costs upwards of £ 3,600 to recruit a new member of staff.
- On average, most organisations will invest a further estimated annual salary in training a new recruit.
- It is estimated that grievance procedures consume at least 11 days of management time.
- Conflict at work significantly affects team motivation and productivity. 12.8 million working days were lost to stress in the UK in 2004/5.
- There are no upper limits on awards in discrimination for cases, with a typical payout of £ 7,500.
*Sources: CIPD & The Health & Safety Executive.
In addition to these factors there is a strategic business case for diversity, which is about increasing the profitability and sustainability of your organisation by:- Retaining knowledge and organisation memory
- Increasing creativity and innovation
- Understanding customer needs by understanding the needs of your workforce
- Enabling effective teamwork and collaboration
- Maximising morale and productivity
- Developing brand reputation
All these things are good news for any organisation and there is no doubt that implementing and integrating good practice on diversity will reap some or all of these rewards.
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