This literature review will examine areas of HRM’s part in dealing with a diverse labour force in associations to attain continuous economical benefit and government legislation that encourage, motivate and mandate diversity management in South Africa. This will be done by analysing articles and works in relation to the company Sasol and its subsidiaries in the country.
Diversity was indicated to be the outline of variances that make persons who they are and their joint abilities to give towards organisational goals (Arthur & McCombs, 2008). “Diversity management refers to the voluntary organisational actions that are designed to create greater inclusion of employees from various backgrounds into the formal and informal organisational structures through deliberate policies and programs.” (Hays-Thomas, 2004.; Kaiser & Prange, 2004; Nyambegera, 2002; Ozbilgin & Tatli, 2008.; Palmer, 2003.; Palmi, 2001. As stated on: http://www.sagepub.com/upm-data/35190_Chapter10.pdf), while Arthur & McCombs, (2008) argued that management of diversity was identified as a sensible decision and pledge done by a business in significance of variances in workforce through by utilisation of diversity as a foundation of power to accomplish business objectives. Workplace diversity is reflected as every characteristic that differentiate individuals (Hartel, Fujimoto, Strybosch & Fitzpatrick, 2007).
HRM Role in managing a diverse workforce for sustained competitive advantage
HRM’s role in diversity management was that it resulted to continuous cultural transformation and long-term achievement in reaction to mutable labour marketplace (Arthur & McCombs, 2008). Arthur & McCombs (2008) stated that SHRM and Fortune Magazine reflected that 52% of employers said that advantage of management of diversity through HRM was that it enriched their customers’ affiliations within the business, 79% believed it also developed organisational culture, 77% mentioned that HRM enhanced employment of new workforces which attracted new talents brought into the organisation, and lastly some employees claimed that reductions in interpersonal clash among employees were noticed which then led to upturns of creativeness and efficiency (Arthur & McCombs, 2008).
HRM was implicated to effect mass-media and market through communication and society outreach which enhanced positioning of the company competitively (Arthur & McCombs, 2008). Brand identity became greater than before and decreased complaints & litigation (Arthur & McCombs, 2008) Diversity management paved way for companies entrance to developing markets. Appreciation and management of diversity was identified to produces an atmosphere in which all employees are appreciated and treasured for inputs they presented towards the business`s victory (Arthur & McCombs, 2008). Strategic human capital management plan was stated to consist of two elements which are; recruitment and retention strategies, thus application of these...