Organizational culture is the pattern of shared beliefs created as a group learns how to solve problems and then passes on that learning to new members. Culture consists of:

• Values. The underlying assumptions or ‘truths’ created through shared learning and experience. Values inform people how to perceive events, analyze new information, and emotionally react to new situations.
• Practices. The tangible things we experience, see, hear, and feel in an organization. Commonly they include programs, policies and procedures, roles and responsibilities, and forms and other documents. Broadly they may include language and acronyms, dress standards, and how workspace is designed.

Organizations may try to shortcut the process of cultural change by:

• Changing practices without changing values. Leaders often create new programs or policies without attempting to change the underlying beliefs that guide individual choices. Employees and supervisors who don’t believe in the change will at best not support it, and at worst undermine it.
• Confusing ‘espoused’ values with underlying values. Leaders often develop and publish new values but forget to work on changing employees’ beliefs about how the world works.

Challenging employees’ fundamental beliefs creates anxiety and often results in distorted perceptions and defensive behavior. Effective change requires leaders to help employees:

1. ‘Unlearn’ current beliefs. Leaders must provide overwhelming evidence that illustrates how current practices either threaten the organization’s existence or prevent critical change. Leaders should be prepared to provide real data, compelling stories, and clear vision.
2. Overcome anxiety. Even when employees accept that change is necessary, they still need help overcoming the natural anxiety that change creates. Change often results in the fear of looking incompetent, losing status, and learning new ways of doing business. Leaders should create a safe environment for employees to learn new practices through training, mentorship, modeling, and other support systems.
3. Learn new values. While new values can be adopted, underlying beliefs must be learned through experience. As a group experiences repeated success using new values to solve problems, new assumptions will be created and integrated into normal business practice. To replace current beliefs with new ones, leaders must create opportunities for shared learning. New ‘hero stories’ need to be shared and promoted so that employees and supervisors see that the new values result in success.

Practices are the outward representation of underlying beliefs. Practices affirm and reinforce an organization’s core values. If practices are inconsistent with an organization’s stated values, managers and employees will question their validity, and revert to ‘business as usual’. The following areas of organization practice are critical to managing cultural change.

1. Executive Commitment. The Chief Executive communicates to managers and employees his/her commitment to the values. Senior leaders and managers repeat and cascade the commitment in their regular business communications.
2. Organizational Performance Management. Values are represented in the organization’s vision, mission, and strategic plan. Values are integrated into goals, objectives, performance measures, and strategies. Accomplishments that illustrate the values are shared in organizational performance reviews and reports.
3. Policies and Procedures. Policies and procedures reflect how the values are integrated into business standards and practices. Use of equipment and tools, forms and reports, and other resources is consistent with the values.
4. Roles and Responsibilities. Roles and responsibilities are assigned for promoting and adhering to the values. Specific responsibilities for leaders, managers, supervisors, and line staff are communicated and documented in position descriptions.
5. Management Accountability. Expectations for promoting and managing the values are integrated into supervisor performance plans and evaluations. Supervisor performance is systematically reported to senior management. Supervisors who fail to meet expectations are subject to corrective action and/or discipline.
6. Employee Performance Management.
   • Values are cascaded down through the organization and represented in employees’ individual performance plans. Values are integrated with behavioral competency requirements. Key results expected, performance targets, and individual development plans are consistent with the values.
   • Supervisor coaching and feedback reinforces core values. Achievements that demonstrate the values are acknowledged and documented in evaluations.
   • Managers take swift action to correct behavior that violates the values. Misconduct is either corrected or offending employees are removed.
   • Employees who model the values are recognized. Values are integrated into formal recognition and reward programs. ‘Hero’ stories about those who model the values or show leadership are shared with the entire organization.
7. Training. Supervisors receive instruction on how to integrate the values into employee performance management practices. Employees are taught the values and how they are represented in the organization’s vision, mission, and strategic plan.
8. Resource Allocation. The Chief Executive and senior leadership allocate sufficient resources (e.g., staff, budget, and time) to implement new programs, training, and performance management systems.
9. Employee Confidence Feedback. The organization regularly solicits employee feedback on organizational values and practices. Employees consistently express confidence in management’s ability and success in managing organizational culture.

Many quantitative measures focus on the amount or number of persons in an organization based on traditional affirmative action definitions. Quantitative measurements are aligned with basic principles of affirmative action. An organization may establish quantitative measures based on:

Representation: What is the workforce profile of the organization? Are the percentages and numbers of the workforce aligned with the general workforce of the local area, state, or nation? Which groups are under-represented in the workforce? What will the organization do to align the internal measurement with the benchmarked measurement of the workforce?

Hiring: Are the new hires in the organization the same demographic as the applicants and candidates who received interviews? Does this reflect the range of diversity available in the pipeline? Are certain groups less represented in the recruiting and hiring process? What does the diversity of applicants and hires look like for external candidates vs. internal candidates? Is the organization broadening the pool of applicants by extended outreach efforts?

Development: How many employees have an individual development plan? Dissatisfaction with development drives employees to seek opportunities outside the company. Having a development plan helps employees to see beyond their immediate position to longer-term opportunities, which ties them to the organization. Retaining employees can reduce turnover. Written development plans have been found to be helpful for affirmative action affected groups as well as the general workforce population.

Pay equity: Are employees among affirmative action affected groups paid the same as white male counterparts or those in similar positions? The right of employees to be free from discrimination in their compensation is protected under several federal laws, including the following enforced by the U.S. Equal Employment Opportunity Commission (EEOC): the Equal Pay Act of 1963, Title VII of the Civil Rights Act of 1964, the Age Discrimination in Employment Act of 1967, and Title I of the Americans with Disabilities Act of 1990.

The Equal Pay Act requires that men and women be given equal pay for equal work in the same establishment. The jobs need not be identical, but they must be substantially equal. It is job content, not job titles, that determines whether jobs are substantially equal.

Promotion: What are the promotion rates of men, women and other affected groups within the organization? Are the rates similar for men and women? Are the rates similar for Whites and people of color?

Turnover: Who is leaving the organization? Voluntary and involuntary turnover by demographic category should be reviewed. If the turnover rates for each demographic group are not similar, then further research for reasons of the disparity is needed. What is the retention of high performers? Some organizations set goals to retain a certain percentage of high performers.

Accessibility of Program and Services: How many ADA enhancements were made to ensure programs and services were accessible to all persons? What were the number of hours of language translation services used by the organization to serve staff and customers?

Qualitative measurements can be outcome-oriented or activity-based. Outcome measures focus on how an organization “feels”, for example, the perceived level of inclusion felt by all employees. Activity-based measurements can assess the robustness of an organization’s diversity effort in its recruiting, retention and training areas. Outcome measures can focus on:

Employee inclusion: Results of employee satisfaction surveys?

Customer feedback: Does the organization solicit customer feedback on diversity programs or initiatives? Consider soliciting current as well as potential customers for what they perceive are critical diversity issues for the organization.

Employee resource/affinity groups: Does the organization have employee resource or affinity groups? If so, how many groups are there in the organization? How many employees participate in these groups and/or the sponsored events? These groups can be a resource for their constituencies, provide honest feedback to human resources and senior management, and be an integral part of an overall diversity effort.

Recruitment

• Has everyone involved in interviewing candidates received diversity training?
• Have all job descriptions been reviewed for essential job-related functions?
• Are diverse interviewing panels assembled for all job openings?
• Have policies and benefits been reviewed and improved to attract a wider range of employees?
• How many diverse interns and co-op students does your organization have?
• How many relationships have been formed with schools that have a large diverse student body?
• How many partnerships have been formed with organizations that focus on needs of diverse professionals and other diverse candidates?
• How many partnerships have been formed with community organizations?
• Have all position openings been posted in publications and websites that cater to demographically diverse employees?

Retention

• How many employees have an individual development plan?
• How many employees have attended training classes/courses to enhance their development?
• How many employees have taken advantage of some type of development opportunity?
• What is the number of affected group employees that have attended some type of development opportunity?
• What is the diversity of employees being offered high-risk, high reward assignments?
• How many employees are participating in a formal mentoring relationship or program?
• How many employees are involved in community organizations or events?
• How many employees are taking advantage of flexible work hours?
• How many employees are taking advantage of telecommuting?

Training

You can track the number of employees who have participated in diversity training as well as the evaluations from the training sessions. You should review the employee evaluations of such training for insight into potential diversity issues in your work environment as well as to assess the effectiveness of diversity training. How many new training programs were developed or enhanced to specifically address diversity initiatives in the organization?

Diversity commitment

• How many times have you communicated to your employees on diversity in writing and in person?
• Have you recognized diversity champions within your organization, division, department, or unit?
• How many community organizations that serve diverse groups are you involved with?
• Have you evaluated your employees on their commitment to addressing diversity issues? Have you established on-going mechanisms to provide vital feedback on your diversity effort?

Usually, organizations begin with a statement by top management that the initiative is an organizational priority. The initiative must have visible support from top management in order to be effective; it should also have long-term organizational viability and sustainability.

According to a 2001 Society for Human Resource Management/Fortune survey, the majority of the 121 US HR professionals who responded said that diversity initiatives affect their organizations’ bottom lines in several positive ways including:

• improved corporate culture
• improved recruitment of new employees
• improved client relations
• improved productivity

After the evidence of top management support, the organization may then want to develop a vision for diversity. It is a good idea to include various people from different departments in the development of the vision statement. This process helps to ensure buy-in and reduce resistance.

Once the vision has been developed, the organization should then develop a diversity plan. The plan outlines the goals and objectives for diversity. Many employers see fit to appoint a diversity committee, comprised of a wide variety of people and perspectives, to help implement the plan. The plan may call for training on diversity, enhancing recruiting efforts to attract and retain underrepresented groups, or looking at succession planning, among other issues.

Build a business case for a diversity initiative. Look at business priorities and the changing demographics of your area.  Review the need to increase, maintain and sustain customer relationships with diverse populations. You may also want to examine your recruiting efforts to determine whether your company is taking advantage of diverse populations. In essence, you would have to construct a strong argument based on business necessity. Your case would likely include what your agency has lost by not taking advantage of diversity and what it would gain by diversifying its employee pool.