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Diversity management : Challenges,

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 Equality, Diversity and Inclusion: An International Journal
Diversity management: Challenges, benefits, and the role of human resource
management in Brazilian organizations
Charbel Jose Chiappetta Jabbour Fernanda Serotini Gordono Jorge Henrique Caldeira de Oliveira Jose
Carlos Martinez Rosane Aparecida Gomes Battistelle
Article information:
To cite this document:
Charbel Jose Chiappetta Jabbour Fernanda Serotini Gordono Jorge Henrique Caldeira de Oliveira Jose
Carlos Martinez Rosane Aparecida Gomes Battistelle, (2011),"Diversity management", Equality, Diversity
and Inclusion: An International Journal, Vol. 30 Iss 1 pp. 58 - 74
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C.W. Von Bergen, Barlow Soper, John A. Parnell, (2005),"Workforce diversity and organisational
performance", Equal Opportunities International, Vol. 24 Iss 3/4 pp. 1-16
Maria Tereza Leme Fleury, (1999),"The management of culture diversity: lessons from Brazilian
companies", Industrial Management & Data Systems, Vol. 99 Iss 3 pp. 109-114
Richard Allen, Gail Dawson, Kathleen Wheatley, Charles S. White, (2004),"Diversity practices: Learning
responses for modern organizations", Development and Learning in Organizations: An International
Journal, Vol. 18 Iss 6 pp. 13-15

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EDI
30,1 Diversity management
Challenges, benefits, and the role of
human resource management in
58 Brazilian organizations
Charbel Jose Chiappetta Jabbour
University of Sao Paulo Business School (FEA-RP/USP), Sao Paulo, Brazil
Fernanda Serotini Gordono
Sao Paulo State University (DEP/FEB/UNESP), Sao Paulo, Brazil
Jorge Henrique Caldeira de Oliveira
University of Sao Paulo Business School (FEA-RP/USP), Sao Paulo, Brazil, and
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Jose Carlos Martinez and Rosane Aparecida Gomes Battistelle

Sao Paulo State University (DEP/FEB/UNESP), Sao Paulo, Brazil

Abstract
Purpose The objective of this study was to analyze the major challenges and benefits of diversity
management in Brazilian companies by assessing the role of human resources.
Design/methodology/approach A total of 15 case studies were carried out on companies that
operate in Brazil. Brazil is a country with considerable diversity and multiracial backgrounds.
Findings It was found that diversity management in Brazilian companies is still an emerging issue,
and the major challenges are related to discriminatory actions taken by coworkers. Among the 15
companies studied, only four had adopted a consistent set of diversity management and human
resources practices. These four companies were the only companies to affirm that diversity
management requires the strong support of top management and continuous organization to sustain
efforts toward incorporating diversity.
Originality/value Research studies on diversity management in Brazil are scarce. The findings of
this study, however, can be useful to academic professionals and company directors in countries that
exhibit similar characteristics to those of Brazil, or to those who are interested in learning more about
Brazil.
Keywords Brazil, Equal opportunities, Human resource management
Paper type Case study

Equality Diversity and Inclusion: An
International Journal
Vol. 30 No. 1, 2011
pp. 58-74
q Emerald Group Publishing Limited
2040-7149
DOI 10.1108/02610151111110072
1. Introduction
Brazil has a very diverse population, including, for example, European Caucasians,
Asians, Africans and their descendants. Religious diversity is also rich, with the
presence of many catholics, evangelicals, protestants, and other faiths.
This diversity is certainly reflected in Brazilian companies, and it requires unique
practices to manage this significant diversity. Fleury (1999), one of the few researchers on
diversity in Brazilian companies, concluded that four subsidiaries of multinational
companies that operate in Brazil have started the process of adapting their human
resource management practices to deal with the enormous diversity that characterizes the
Brazilian workforce. Only a few studies have focused on diversity in Brazilian companies
(Hanashiro and Carvalho, 2005).
 Hence, motivated by the considerable social relevance, and by the lack of research on Diversity
diversity management in Brazilian companies, we asked the following question: how management
have Brazilian companies incorporated diversity, and what is the role of human
resources in this context? Human resource departments are, in theory, the most relevant
area to manage diversity. This issue is addressed in several studies that have confirmed
the relevance of diversity management (Cox, 1994; Subbarao, 1995; Gilbert et al., 1999;
Bryan, 1999; Fleury, 1999; Hanashiro and Carvalho, 2005; Lockwood, 2005; 59
Thanem, 2008).
Thus, the objective of this study was to describe diversity management scenarios based
on case studies in Brazilian companies, highlighting the difficulties and benefits of this
practice as well as the role of human resource management in its development. The focus
was on the companies support of human resource management, which is justified based on
the results found by Richard et al. (2002), who showed that human resources practices are
essential for successful diversity management at the organizational level.
Methodologically, this study made use of a multiple case studies approach (15 cases),
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which facilitated a comparative analysis of diversity management practices in Brazilian

companies. This approach has proven adequate for similar studies (Fleury, 1999;
Fleury, 2000).

2. Diversity management and the role of human resource management

theoretical and conceptual perspectives
Based on several concepts of diversity management (Table I), this study adopted the
definition of Loden and Rosener (1991) to address the primary dimensions of diversity
(e.g. race, gender, physical abilities, fitness, ethnicity, and religious orientation). In
addition, we believe diversity management should also be used (Cox, 1993) to pursue
competitive advantages (Fleury, 1999).
Diversity management includes acceptance and respect, acknowledging that
individuals are unique and different from each other (Lumadi, 2008). Thus, diversity
management is often considered to include hands-on management practices that seek to
include minorities, who have been marginalized historically in terms of the workplace

Authors Definitions of diversity

Loden and Rosener (1991) Diversity establishes the primary dimension (age, ethnicity, gender,
race, sexual orientation, and physical abilities) and the secondary
dimension (educational background, geographic location, income,
beliefs, marital status, and work experience)
Cox (1993) Managing cultural diversity includes planning and executing practices
of human resource management to maximize the potential advantages
of diversity and minimize its disadvantages
Morrison (1996) Diversity is not a fad, but a requirement to keep a company
competitive
Thomas (2000) Organizations have been working more and more with heterogeneous
groups in terms of race, ethnicity, gender, and other culturally diverse Table I.
groups The relevance and
Fleury (2000) Diversity becomes important and extremely promising if seen as a tool definitions of diversity
for social inclusion management
 EDI variables described above. This diversity management process often requires human
30,1 resources actions, as proposed by Fleury (1999) and Jabbour and Santos (2008).
The policies formulated to manage diversity aim to implement initiatives, activities,
and practices that recognize, promote, or encourage the differences between groups or
people. These elements are seen as positive values that warrant development to achieve
social integration, which can also boost the productivity of the company and support
60 the democratization of access to opportunities (Myers, 2003).
Thomas (2000) indicated three kinds of initiatives involving diversity:
(1) valuing the differences that stimulate better relationships between employees
and encouraging the acceptance and understanding of diversity;
(2) meeting affirmative action policies by social pressure; and
(3) making diversity management a structured process to obtain competitive
advantages through a diverse group of employees. Hence, the organization has
to change its central cultural values and concentrate its efforts on effective
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diversity management practices.

An organization can develop a strategy for diversity management that combines the
aforementioned initiatives. Such combinations may lead to successful outcomes
resulting from the development of diversity management practices as a structured
process that can provide competitive advantages. Such actions can also benefit the
organization (OMara, 1994) in the following ways:
.
the addition of competitive advantages by recruiting and retaining talent;
.
improvements in productivity, quality, work group efficiency, creativity, and
satisfaction to improve organization climate;
. improvement in customer services; and
.
reduction in the level of discrimination and harassment present in the company.

Based on the previous studies (Fleury, 1999; Jabbour and Santos, 2008), a significant
challenge in diversity management is the involvement of human resource management.
According to Cox and Blake (1991), studies on diversity management have suggested that
a thorough diagnosis of the organizational climate and the involvement of the top directors
are necessary for diversity management efforts to be effective.
According to Agars and Kottke (2004), human resource managers should be actively
involved in diversity issues by sharing this value with co-workers. These managers
should start with the highest ranking executives because these executives influence many
other employees. This process can be accomplished by human resource managers
exhibiting exemplary behaviors as an example to other employees. This becomes even
more relevant when a diversity management program requires restructuring (Caldas and
Wood, 1999).
Human resource management involves planning, integration, and actions to achieve
effective management of all employees. Diversity can be included in the set of human
management practices, guaranteeing an alignment between the strategies of human
resources and diversity management goals. Examples of these practices and how they
could support diversity management practices are provided in Table II.
Myers (2003) argued that human resources managers must play decisive roles in
diversity management practices because they can determine the details of practice

Human resources practices
Human resources planning
Recruiting and selecting
Integrating human resources
Analysis and description of functions
Performance assessment
Remuneration and incentives
Hygiene and work safety
Professional and personal development
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Diversity
Alignment of human resources practices with
organizational diversity management management
Policies on the inclusion and retention of individuals
included in the diversity concept
Setting aside vacancies and job positions for
minorities 61
Elaborate actions of integration combined with
actions of recognition to attract the attention of the
collaborators
Fair and transparent job position and salary policies
Assessment with homogenous criteria and feedback
Egalitarian remuneration, promotion, and incentive
policies
Better work conditions and changes in the
organizational layout to guarantee accessibility
Practices of personal development accessible to Table II.

everybody Alignment of human

Human resources audit and control Control and order actions related to the inclusion resources practices with
organizational diversity
Sources: Adapted from Gil (2006); Jabbour and Santos (2008) management

implementation. Myers (2003) also stated that the manager should always be prepared
to find ways to increase diversity due to the economic, individual, and social benefits
that diversity can create.
If diversity is the objective of companies and if human resources managers support
such organizational objectives, it can be concluded that human resource management
can boost favorable diversity management practices in companies. According to
Jabbour and Santos (2008), diversity management should establish human resources
policies for employees who belong to marginalized groups.
Furthermore, the socially adequate management of a workforce should have policies
to reward employees based on equality, distributive justice, respect, and autonomy
(Jabbour and Santos, 2008). These politics should be based on the principles of respect,
transparency, honesty, privacy, and freedom, all of which can provide more safety in
the workplace.

3. Characteristics of diversity management in Brazil

Brazilian society reflects cultural pluralism because of Brazils history. Brazils population
consists of descendants of native Indians, Portuguese, African slaves, and several
immigrant groups, mainly from Europe and Asia. As such, there is a rich mixture of ethnic
groups and cultures, which is referred to as the Brazilian racial democracy.
Diversity in Brazil became present in an educational context in the 1980s and
became prominent in the corporate environment in the 1990s. This was a result of claims
by minority and union movements that raised issues regarding discrimination and racial
diversity, generating a nationwide discussion. Recently, one of the most important
discussions regarding diversity involves racial quotas in college admissions (Myers, 2003).
Brazilian public policies have introduced redistributive or assistance practices
against poverty based on the concept of equality. These policies are supported by
politicians from both liberals and conservatives (Oliveira and Rodriguez, 2004).
 EDI These various public policies were consolidated into law with the promulgation of
30,1 Brazils Federal Constitution of 1988, which guarantees employment as a fundamental
right and prohibits any type of discriminatory criteria for hiring or salary.
The principle of human dignity is described in the third article of Brazils Federal
Constitution of 1988. According to this principle, the objectives of the Brazilian State are
defined and based on human dignity through a free and solitary society incapable of
62 promoting any other type of discrimination:
The fundamental objectives of the Federative Republic of Brazil:
I To build a free, just, and sympathetic society.
II To guarantee national development.
III To eradicate poverty and substandard living conditions and to reduce social and regional
inequalities.
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IV To promote the well-being of all without prejudice as to origin, race, sex, color, age, or
any other forms of discrimination.
Brazils Federal Constitution of 1988 corroborates the promotion of equality by
punishment through a lawsuit, in which any discriminative action is considered a
crime. Therefore, all individuals should be treated equally, regardless of social class,
religion, race, or gender.
As prescribed in the fifth article of Brazils (1998) Federal Constitution:
All persons are equal before the law, without any distinction whatsoever, guaranteeing the
Brazilians and foreigners residing in the country the inviolability of the right to life, to liberty,
to equality, to security and to property.
Brazil also relies on affirmative action, which can be understood as a spontaneous or
compulsory practice taken on by the state with the objective of eliminating inequalities
accumulated through history and guaranteeing equality in opportunities, treatment,
compensation, or losses caused by discrimination and marginalization due to racial,
ethnic, religion, and gender discrimination. Thus, affirmative action aims to ban the
accumulated effects of past discrimination (Santos, 2000).
Affirmative action includes various practices. One of the most common practices is the
quota system, which establishes a determined number or percentage to be occupied by a
defined group. These quotas may occur proportionally and may also be somewhat
flexible.
Quotas can also provide fiscal or non-fiscal incentives and increase bidding
opportunities for companies that favor multiracial hiring. The establishment of quotas
is considered one of the most polemic diversity management procedures in Brazil,
mainly practiced by people who do not need affirmative action. Hence, its effectiveness
is frequently discussed in academic, juridical, and organizational environments.

4. Methodology
A qualitative approach was adopted for this study because the most adequate previous
approach involved case studies (Yin, 1989). According to Yin (1989), case studies are the
best approach to investigate new and emerging phenomena that have not been fully
systematized.
 We chose the case study approach for this research because: Diversity
.
thematic diversity management is considered new and emerging in management
organizational and academic contexts;
.
more details are needed regarding diversity in Brazilian organizations; and
.
there is an evident lack of studies on diversity management in companies located
in Brazil, a nation with significant cultural diversity. 63
This research adopted a multiple case study approach in which the same problem was
analyzed comparatively across different companies. This choice was justified because
we attempted to provide comparative bases and nuances of the diversity seen in
Brazilian companies and contribute to a thorough understanding of the phenomenon.
The multiple case study approach has been adopted in other similar research studies
(Fleury, 2000; Fleury, 1999).
When selecting the organizations for the case studies, the following questions were
considered (Voss et al., 2002):
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.
Is the selected organization relevant in terms of our theoretical and conceptual
perspectives?
. Does the selected organization present the phenomenon to be analyzed?
.
Is it viable to study the organization during the entire case study period?

The first contact with the companies was made in August 2008. In total, 17 companies
agreed to participate and serve as case studies. Two companies did not offer easy access
to information, interviews, or observation; therefore, they were excluded from the case
analysis. Thus, 15 companies were selected that represented the issue of diversity
management. After analyzing the documents provided by each company, various
managers were interviewed during a visit to the companies. Individual and
semi-structured interviews were conducted, which allowed the managers to speak freely.
All interviewees expressed their interest in improving their diversity management
programs. All of the companies were considered large businesses based on Brazilian
criteria (i.e. having more than 500 employees). Owing to their size, the companies had
been facing pressure from the Brazilian Government to incorporate diversity
management practices via specific quotas for minority groups (Santos, 1999).
Large companies were chosen for this study because they satisfy the conditions for
incorporating diversity management programs and show a tendency to utilize more
consistent sets of human resource practices (Fleury, 1999). Another criterion used in
case selection was picking typical Brazilian companies. Furthermore, we selected
companies across different sectors to provide a basis for a broad and meaningful
comparison of the diversity management approaches adopted by different industries.
The protocol of the studied cases, as suggested by Yin (1989), is presented in
Table III. This table summarizes the characteristics of each case study.
Data collection was similar for all of the companies. At least two interviews were
conducted at each company. The first interview was conducted with each companys
CEO to clarify the companys views on diversity management, specifically as to
whether it adopted a diversity management policy as well as its major challenges and
opportunities. Information about the companys sector and its entrepreneurial activities
were also collected during the first interview. The second interview was conducted with
 EDI
Major study issues How do Brazilian companies incorporate diversity management programs,
30,1 and what is the role of human resource management in this process?
Unity of analysis The inclusion of diversity management in human resources organizational
practices was analyzed
Period of study This study was conducted between 2008 and 2009
Location 15 companies were chosen from the Central Western region of the State of Sao
64 Paulo, Brazil
Validity of the We used multiple sources of evidence (e.g. direct observation, documents,
constructs graphics, and interviews)
Internal validity We assessed verification of the relationships between the ideas of diversity
management and human resources and the opposition between theoretical
foundation and empirical analysis
Basic questions How do organizations deal with diversity?
Which organizational practices offer support for the inclusion of diversity in
organizations?
Table III. What are the challenges and opportunities of diversity management?
Case studies protocol What is the role of human resources in this process?
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the human resources manager of each company to verify how the companys specific
practices could support diversity management. Each interview lasted between two and
three hours, totaling four to six hours of interviews for each company.
In addition to the interviews, we paid one or two technical visits to each company, and
each visit lasted an average of two hours. During these visits, it was possible to witness the
companys employees engaged in their daily work routine. Whenever possible, we
established brief dialogues with some of the employees to question whether that work
environment promoted diversity. We also gathered documents, especially those with
information on the history, mission, views, and values of the company, as well as
socio-environmental reports, if available. Information collected via the company web sites
complemented those documents.
A literature review was useful for establishing the following main data analysis
categories:
.
involvement of human resources in diversity management practices;
.
major diversity-related problems found in the companies studied;
.
company characteristics that were intended to adopt diversity management
policies; and
. advantages gained by the company by adopting diversity management policies
and including employees who are members of minority groups.

The data analysis based on these variables is shown in Tables IV through IX.

5. Results
In total, 15 companies from a variety of sectors were analyzed. The CEO responses, shown
in Table IV, represent the sectors of the companies studied. Many sectors, such as the
sugar-alcohol sector, have received significant national and international attention due to
the importance of biofuels. The companies studied are large, typical Brazilian companies.
Generally, Brazilian companies are still beginning to use diversity management
programs, as suggested by the CEOs interviewed. Many CEOs showed an interest in
 Diversity
Sectors of production Does it explicitly adopt a
Case activity of the company diversity management policy? management
Company A Food No
Company B Food No
Company C Food Yes
Company D Automotive Yes 65
Company E Cellulose and paper No
Company F Metal-mechanics No
Company G Metal-mechanics No
Company H Metal-mechanics No
Company I Cellulose and paper Yes
Company J Plastics No
Company K Chemical No
Company L Sugar-alcohol No Table IV.
Company M Sugar-alcohol No Sectors of economic
Company N Sugar-alcohol No activity of the case study
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Company O Textile Yes companies

directly addressing this issue in their companies, but admitted that doing so may be
difficult due to the workforce profile. Often, minorities and disabled persons have poor
education and lack professional experience due to difficulties associated with
transportation and access to schools. On the other hand, companies may not be
prepared to hire disabled persons because of the lack of vacancies or specific available
functions. Therefore, many companies create positions without pre-established functions
aimed at fulfilling the law, but not necessarily due to professional competence.
Analysis of the CEOs responses showed that diversity is infrequently systematized
or addressed in Brazilian companies. Specifically, diversity tends to be irrelevant when
recruiting staff; therefore, the inclusion of minority groups often takes place because of
legal impositions. Only four companies (C, D, I, and O) had diversity management
policies.
The responses illustrated in Table V are the actual responses from human resources
managers. This table verifies the growing efforts by human resources professionals to
include diversity in their management practices. Thus, it can be concluded that these
human resource managers intend to be involved in the process of adopting diversity
management approaches.
Table V demonstrates that a significant number of human resources practices
include the integration and socialization of workers, with the intent to integrate
employees of the same company (e.g. Companies C and H).
The legal imposition was taken seriously, and the hiring of people from diverse
backgrounds was mostly due to the requirement to fulfill quotas established by the law
(e.g. Company N).
Most respondents were in favor of hiring those employees because they understood
that doing so represented a way to enhance social inclusion.
Hence, the human resources managers were seen as supporters of social inclusion
and opponents of discrimination. In Company G, for example, practices of diversity
management seemed to be intended for minorities only; therefore, the other employees
may have difficulty dealing with such practices. Some companies (e.g. Company E)
 EDI Case Involvement of human resource management in the management of diversity
30,1
Company A We try to vary the profile when recruiting and selecting employees in order to
have a mixture of cultures and ideas.
Company B Together with the HR managers, the administration aims to formulate policies of
hiring people with a wide diversity focusing on social inclusion because,
according to the legislation, we must hire disabled individuals.
66 Company C The company promotes activities (e.g. sports, conferences, and gym) as an
opportunity for its employees to exchange experiences and knowledge,
aggregating value to the company since there will be more integration between
diverse people.
Company D The HR managers restructured the human resources department, recreated the
programs for qualifying the employees who are part of a minority group, and
restructured the departments to receive them (i.e. equipment adaptation and
wheelchair access ramps).
Company E The company observes the minimum number of quotas required when
recruiting and selecting employees, but sometimes there are no qualified
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employees to fill those vacancies.

Company F The human resources area is responsible for recognizing and rewarding
employees who are members of minority groups through outstanding actions in
the company (i.e. general improvement, production improvement in the sector,
creation of citizenship actions).
Company G At the moment, the company is not hiring people who are members of minority
groups due to an undergoing restructuring in the way that we prepare the
employees who still have prejudicial views against diversity. The company hired
a consulting firm to promote conferences on this issue to seek better acceptance
and integration of those people when admitted by the company.
Company H The HR Department created an integration day for the employees. On this day, a
gathering of all departments was set up, where the annual productivity and
employee of the year awards were given, and each department puts on a talent
show (e.g. music, theater). The objective is to exchange experiences among the
employees besides emphasizing the importance of cultural diversity and create
relationships with members of minority groups.
Company I We promote conferences and meetings in order to obtain more flexibility and
receptivity on the part of the employees when members of minority groups are
hired, to reinforce the notion of compromise, morale, and discriminatory efforts
towards the employees. The company is always open to receive diverse people,
but sometimes the professional market is scarce.
Company J We created inclusion policies, mainly for those who present competence deficits,
which resulted in more motivation in the workplace because these employees are
happier, as they see this job as their only chance of employment. This positive
attitude is a lesson for those who do not present competence deficits.
Company K The human resources manager created an incentive program to hire women and
restructured the salary and position policy introducing women to fill the job
positions of the company.
Company L The company has faced some difficulties with hiring disabled individuals
because it would have to restructure the company layout, which is not a priority
at the moment.
Company M The human resources department does not exclude members of minority groups,
Table V. though this happens in other companies. We value our employees for their
Involvement of human capacity and not for the group to which they belong or their disability. If they are
resource management in capable of doing good work, they will be promoted.
diversity management (continued)
 Case Involvement of human resource management in the management of diversity Diversity
management
Company N The company makes an effort to observe the minimum quotas required by law,
but we have not formulated an affirmative action policy. Sometimes it is not easy
to observe the law on quotas since diverse individuals that fit the profiles of the
open vacancies are not available in the market.
Company O The company director is a member of a minority group; therefore, he insists on
introducing members of these groups to the company. Together with the HR 67
manager, he is always promoting programs for the support of social and cultural
development of these employees aimed at exploring their potential to the fullest
while also motivating and qualifying them. Table V.

indicated difficulties in hiring members of minority groups who were adequately

qualified for specific functions, reinforcing the social stigma of poor education and lack
of professional competence. Such actions also reinforce economic exclusion because
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remunerated employment means social inclusion, diversification of social contacts, and

the establishment of a professional by employment.
On the other hand, no executive position was occupied by a disabled individual at
any of the companies that were studied. In three companies, however, there were
Brazilian African-descendant leaders. In two companies (in the cellulose paper sector
and textile sector), there were female leaders occupying top administration jobs.
Furthermore, most of the positions occupied by members of minority groups were in
the areas of operation and maintenance, which confirms the lack of qualification
mentioned by the managers.
Table VI shows the challenges associated with diversity management practices,
based on interviews with the human resources managers. In the majority of companies,
at least some of the employees tended to underestimate the potential for diversity by
showing resistance or humiliating other employees. The most offensive practices
involved teasing and jokes that could be considered discriminatory, as described by
Company B.
These discriminatory actions and nicknames tend to emphasize the distinctive
characteristics of some employees, such as skin color and origin.
Another important aspect of diversity management is the role of the human resource
managers in the interpersonal relationships of the employees. As described in Company D,
those responsible for human resources had to identify and control behaviors that could
potentially compromise diversity management policies.
Many respondents stated that cultural differences were the major barrier to diversity
management. Discriminatory events, such as those described by Companies N and K,
made the companies develop diversity programs seeking not only to include minority
groups, but also to retain them in the company while making other employees aware of
that issue. The need for awareness is clear in the responses from Companies C and H. It is
interesting to note that if the human resources department cannot deal with the
diversity management practices, the inclusion activities can have the opposite effect on
the individuals, who, unfortunately, can become uninterested.
According to the human resources managers, the companies that are most prepared
to adopt diversity management approaches have the following characteristics
(Table VII):
 EDI
Case Major diversity problems found in the companies studied
30,1
Company A Some conflicts were identified due to the mixing of very different people in
terms of culture, ideas, and gender views.
Company B The major problems found were provocations and jokes related to religion
and race, but we, from the human resources department, have already taken
68 corrective actions because provocations and jokes have no place at the
workplace.
Company C We noticed that some workers did not respect diversity or differences,
causing discomfort to employees who could not agree with those people. The
company intervened to promote more consciousness and better integration
with the group.
Company D A section leader tried to prevent the promotion of an employee because he
was a member of a minority group, but I found out just in time to avoid this
negative intervention and the employee got the promotion.
Company E The company still faces problems with salary equality because many of the
employees who are members of minority groups have poor education and
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are not willing to go back to school. This is due to difficulties related to

transportation and distance. The company is trying to find a way to help them
with it.
Company F No problems have been reported so far.
Company G Discrimination is still a major problem faced by the company.
Company H When this company decided to hire disabled individuals and those who have
capacity deficits, some of them complained about difficulties with integration
and acceptance in the group. At present, we promote actions to boost
acceptance and integration.
Company I Some employees feel inferior, which prevent them from developing in the
company.
Company J Some employees who are members of minority groups have very different
cultures, which creates conflict due to opinions regarding diversity, religion,
race, or sex.
Company K I believe that prejudice against diversity is a major problem we face in this
company. Some employees have difficulty accepting diverse people.
Company L Many employees still doubt the capacity of people who are members of
minority groups.
Company M Most employees who are members of minority groups occupy lower-ranking
positions due to poor education and lack of opportunities in their personal and
Table VI. professional trajectories.
Major problems Company N Offensive jokes and remarks, as well as discrimination, are problems that are
associated with diversity not only in our company, but in many others companies as well.
practices found in the Company O The lack of companionship with a diverse group of people is a problem found
companies that in this company. Some leaders ignore this problem, resulting in poor
were studied interpersonal relationships. Prejudice is very strong among some employees.

.
managers and employees who are prepared to understand and support diversity
management;
.
companies that are prepared to select employees from diverse backgrounds, but
also to retain and develop those employees (e.g. Company N); and
.
companies that are committed to diversity management policies not only because
of legal obligations, but also because they believe in the social and organizational
benefits of this policy (e.g. Companies C, D, I, and O).
 Diversity
Case Ideal qualities of companies that adopt diversity management policies
management
Company A The company that adopts diversity management should be mature
and have many clear and well-defined human resources policies.
It should not be worried with just image, but also with the welfare of
its employees.
Company B More updated and modern companies, with managers and employees 69
prepared and involved with the changes that diversity management
can bring to the company and its organizational climate.
Company C Companies that focus on their employees, such as this company, and
whose director is a very collaborative person who wants its employees
to feel proud to work here.
Company D Companies such as ours that imported their culture model from
its place of origin and used diversity management as its
differential and not as personal marketing, as is the case in several
companies.
Company E Companies that have managers like us, who follow market trends and
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formulate policies to assure opportunities for minority groups in the

company and to make sure they can occupy positions that make them
feel part of the company while growing professionally.
Company F Companies like ours, which value their employees and see diversity as
a competitive factor since it can provide exchanges regarding cultural
experiences, race, religion, and age with others. This favors the
organizational climate and provides a market differential status for
having multicultural employees.
Company G Mainly companies that see diversity management as a tool for social
inclusion, i.e. a way to include individuals in the job market, especially
those that are disabled.
Company H Companies with well-structured human resources, with qualified
managers and policies regarding people of diverse backgrounds.
Company I Companies that hire employees who are members of minority groups
because they can be a market differential and not because it is an
obligation, but an insertion into its organizational culture.
Company J Companies that are not prejudicial and see diverse employees as
people that can help with motivation and respect with themselves.
Company K Intelligent companies and those that seek a standard of excellence in
their interpersonal relationships; we gained a lot by hiring
professionals who are members of minority groups. Now, there is more
respect, care, and especially improved production.
Company L More updated companies that are aware of the importance of
diversity and have the know-how to manage a diverse group of
people.
Company M Companies with motivated employees who are skilled and prepared to
receive diverse people.
Company N Companies that will adopt diversity management and have solid
policies to keep their employees because it is very common for
companies to hire members of minority groups, such as disabled
individuals, only to lose them later. Most often, this occurs due
to infrastructure deficiencies or a lack of punishment against
prejudicial employees; the managers cannot follow their own Table VII.
policies. Types of companies that
Company O Companies whose managers are compromised with affirmative action adopt diversity
policies and receive support from all areas of the company. management policies
 EDI The interviews with the administrators and human resources managers provided a
30,1 clear view of each company. Diversity management can contribute to the following
benefits (Table VIII):
.
productivity increases because minority individuals value job opportunities and
work with motivation (Companies B and J);
70
Case Advantages that a company can gain from diversity management

Company A We noticed an improvement in the areas of creativity and innovation, which is due
to the cultural diversity in the company.
Company B Productivity improved a lot with the employees who are members of minority
groups. In general, they were more motivated because they view their job as a sole
opportunity.
Company C We noticed that clients are more faithful, especially those who identify themselves
with the employees who are members of minority groups.
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Company D We were recognized by external investors, who supported and promoted the
company image and reputation because of our social inclusion policies.
Company E We discovered some advantages by managing diversity, such as experience
exchanges, cultural exchanges, and respect among the employees.
Company F By adopting diversity policies, we created opportunities for disadvantageous
groups to strengthen our social cohesion.
Company G By managing diversity, the company improved its social marketing and became
better recognized in the market.
Company H The interpersonal relationships among the employees improved considerably
because there is respect for the adversity.
Company I The compromising notions, moralization, and discretionary efforts were
strengthened towards the employees.
Company J Improved productivity of the employees who are not members of minority groups
because they see that the minority group members are happy, serious, and
competent; non-minority employees ask, so why cant I also do my best?
Company K Through affirmative action, it was possible to introduce in the job market people
who used to be socially discriminated and had no chance of getting a job due to their
disability, race, sex, or age. Today, we are proud to be able to rescue those people and
have them as our employees.
Company L By understanding the differences among our employees, we can create value and
competitive advantages for the company, leading to a more favorable organizational
climate and more willing and trusting employees.
Company M Since we started to meet the legal requirements, we noticed an increase in the
productivity as a result of employee diversity in the company. The variety of profiles
provided a more creative and innovative organizational climate, which is closer to the
overall quality of excellence pursued by companies worldwide.
Company N From the policies formulated with the adoption of diversity management policies,
Table VIII. we could see a market differential. By implementing socially responsible efforts,
Advantages that a some doors opened up since some of our clients already valued diversity and had
company can gain strong affirmative action policies.
through diversity Company O In our company, the policies formulated to manage diversity are supported by the
management policies high-ranking management of the company and employees in general, who are open
and the inclusion of to new ideas, cultures, race, sex, age differences, etc. Hence, the employees work
employees who are together, which aggregates value to the organizational climate. Another important
members of advantage was turnover reduction, which was previously considered to be excessive
minority groups but is close to zero today.
 .
organizational creativity and innovation can both increase based on the reports Diversity
from Company A;
management
. loyalty from clients who identify with the minority employees who work for the
company, as in Company C;
.
improvement in the company image regarding social responsibility, as reported
by Companies G and N; and
71
.
improvement in the organizational climate by making it more inclusive of
differences and innovation, as reported by respondents from Companies E, F, H, I, K,
and O.
By analyzing the results discussed (Table IX), it was determined that only four
companies had clear diversity management policies (Companies C, D, I, and O). It was
also observed that these same companies focused on several groups that could benefit
from diversity management and had an intense involvement of human resources in
diversity management. Coincidentally, these are the companies that believe that
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diversity management can improve competitiveness by strengthening relationships

with clients and suppliers while enhancing integration between employees, promoting
innovation, and reducing turnover.
Companies C, D, I, and O were the only companies that considered support from top
management and organizational culture as essential characteristics that foster
diversity management. These four companies also identified specific barriers to diversity
management, such as the lack of empathy and the persecution of certain professionals.
Hence, the data indicate that among the 15 companies studied, only four manage diversity
effectively. One major factor is the personal involvement of top administration members.
These four companies were opposed to negative discourse on diversity management
challenges and opportunities.

6. Discussions and conclusions

The objective of this study was to analyze the major difficulties, challenges, and benefits
of diversity as well as the role of human resources in the management of diversity in
companies located in Brazil. Brazil was chosen because it has an extraordinarily diverse
population that consists of several different races and religions. The case study
approach was chosen for the richness of information it can offer regarding diversity
management, which has rarely been studied in Brazil.
In general, it can be said that all of the companies studied were interested in diversity
management, though only a few of had formal diversity management policies.
Although all 15 organizations analyzed can depend on the human resources department
to attain their diversity management objectives (as suggested by Jabbour and
Santos, 2008; Fleury, 1999), the level of involvement and the focus of diversity
management varied from company to company. Some companies focused on specific
groups (e.g. gender), whereas only a few focused on a variety of groups. Hence, the
suggestion that diversity management should target several groups simultaneously
(Loden and Rosener, 1991) was not verified in all companies studied.
The advantages gained from diversity management include increased productivity,
increased creativity, and more integration among employees, as indicated by OMara
(1994). On the other hand, diversity management challenges include cultural conflicts and
discriminatory actions, such as joking and harassment toward minority group employees.
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72
30,1
EDI

Table IX.
Case study results
Dominant characteristics of
Adoption of a diversity Target Involvement of Major objectives of diversity companies that value Major challenges to diversity
Case management policy public HR department management diversity management management

A No Race Medium Innovation and creativity Image and employee Cultural conflicts
appreciation
B No Disabled Medium Minorities are more Organization climate Discrimination
individuals productive
C Yes Various High Improve client satisfaction Top management support Cultural conflicts and
discrimination
D Yes Various High Improve investor Diversity culture Cultural conflicts and
satisfaction professional restriction
E No Disabled Medium Integration among Follow market trends Lack of capacity and
individuals employees company facilities
F No Various Medium Integration among Employee appreciation None
employees
G No Race Medium Company image Social responsibility Discrimination
commitment
H No Race Medium Integration among Well-structured HR area Discrimination
employees
I Yes Various High Renew organizational values Culture of diversity Self-discrimination
Integration among
employees
J No Competence Medium Minorities are more Respect for employees Cultural conflicts
deficit productive
K No Gender Medium Social responsibility Follow market trends Discrimination
L No Disabled Medium Improve competitiveness Follow market trends Discrimination
individuals
M No Disabled Medium Minorities are more Employee appreciation Lack of capacity
individuals productive
N No Disabled Medium Company image Implement policies to Discrimination
individuals maintain minority groups
O Yes Various High Integration among Top management support Discrimination, lack of
employees, innovation, and diversity culture companionship, and lack
turnover reduction of empathy
 OMara (1994) indicated that diversity management practices can reduce these Diversity
discriminatory actions, although such actions tend to be present in the majority of management
Brazilian companies.
Furthermore, this study showed that four companies (C, D, I, and O) presented
strong diversity management practices with clear policies and significant involvement
from human resources. These practices go beyond the required laws. The interviewees
from these companies stated that their companies differed from others and opposed 73
rhetoric and negative discourse. They stated that the differences in their diversity
management were top management support and an organizational culture with
incentives for diversity, as indicated by Cox and Blake (1991).
Therefore, it can be concluded that Brazilian companies that are focused on diversity
management should include diversity as an organizational value, present a clear
indication from the top administration showing that diversity management is indeed
relevant, and identify specific challenges that may make diversity management difficult
within a contingency perspective. These findings can be useful for countries that are as
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diverse as Brazil and for administrators from countries that conduct business with
Brazil. Nonetheless, the applications of these findings should take into account the
limitations of this study, as it was only based on 15 case studies and may not necessarily
represent all Brazilian companies.

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About the authors

Charbel Jose Chiappetta Jabbour has a PhD in Industrial Engineering from the University of
Sao Paulo (USP), Brazil. He is a Professor of Organizational Theory and Organizational
Sustainability in the University of Sao Paulo Business School.
Fernanda Serotini Gordono has a Masters degree in Industrial Engineering from the
Sao Paulo State University (UNESP), Brazil.
Jorge Henrique Caldeira de Oliveira has a PhD in Business History from the UNESP, Brazil. He is
Professor of Organizational Theory and Economics in the University of Sao Paulo Business School.
Jose Carlos Martinez has a PhD in Engineering from the UNESP, Brazil. He is Professor of
Quantitative Methodology in the UNESP.
Rosane Aparecida Gomes Battistelle has a PhD in Engineering from the USP, Brazil. She is
Professor in the UNESP.

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