Benefits of EQ, CQ, and Diversity in Organizations

This assignment analyzes the benefits of emotional intelligence (EQ), cultural intelligence (CQ), and diversity in multinational organizations. It examines how these factors contribute to effective workforce management, improved employee morale, increased productivity, and reduced employee turnover. The analysis also applies these concepts to Origin Energy, highlighting their potential for enhancing team-based projects with global partners.

Running head: MANAGEMENT OF MULTICULTURALISM
MANAGEMENT OF MULTICULTURALISM
Name of the Student
Name of the University
Author Note

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Executive Summary:
The purpose of the report is to present the implication of the multicultural issues that are casing
low productivity and high turnover in Origin Energy. The method used in the report refers to the
analysis of the findings from the presentation of the various diversity management strategies.
The result showed the effectiveness of the discussed strategies in two other organizations which
were having similar issues. In addition, the recommendation in the report presents the
implication to the managers of the esteemed organization.

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Contents
Executive Summary:........................................................................................................................1
Introduction......................................................................................................................................3
Summary of two Organizations.......................................................................................................3
Analysis of the Findings:.................................................................................................................6
Recommendation:............................................................................................................................8
Conclusion.......................................................................................................................................9
Reference:......................................................................................................................................10

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Introduction
Origin Energy is a leading energy retailer operating in Australian market to meet the
energy requirements of the country. They took sustainable approach for the energy production
not only addressing the needs of the present, but also the future. However, the company is facing
issues with their in their multicultural workplace that is leading to high turnover, low
productivity and low morale among the employees. The company’s current chairman Giordon
Cairns identifies the need of a more diverse workforce. However, he also talks about the issues
that are faced by the company regarding the multicultural diversity present in the company as
well as other ASX listed companies operating in Australia. The primary issue identified is the
gender inequality present within the organization. Though both male and female performs equal
duty for the company and sometimes delivers more work than the male employees, they are still
largely stereotyped in this modern workplace. The salary provided to the women tends to be
lesser than the male employee of the organization. It is important for the organization to attain
equality in the diversified work culture to eliminate the moral and ethical issues faced by the
organization.
Summary of two Organizations
PWC or Price Water Coopers is Australia top professional service firm that helps other
organizations to increase their performance. They provide advisory and tax services to the more
than 155 countries and employs more than 223,000 people in their branches around the world.

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ANZ or Australia and New Zealand Banking Group Limited is the fourth largest bank in
operating in Australia. This is an international bank operating largely in the Asia Pacific market
working with a culturally diversified workforce.
Both the organizations work with a diversified workforce that is representing a culturally
and emotionally diversity. The diversified workforce is embraced by both the companies as it
helps in making good decisions. The usefulness of diversified workforce is that the team
members working together come up with a wide range of ideas as individual think differently
from one another and utilizes various approaches for solving a particular problem. It also helps
the multinational companies to internationalize the firm (Moosmüller 2016).
Australia and New Zealand bank uses reconciliation Action plan that helps them
outlining the organization’s commitment to social and economic participation in the aboriginal
and Torres Strait Islander Australian. The diversity council helps them to ensure the deliverance
of the commitments to their stakeholders (Anz.com. 2017).
PWC on the other hand is enjoying the power of differences by making their environment
an inclusive one. The diversified cultural workforce enables them to satisfy their wide range of
customers from different parts of the world. It is the responsibility of ever employee at PWC to
ensure the sustainability of the inclusive work environment so they can release everyone’s
potential to its optimum level. It is because; each employee in PWC has a distinct opinion. More
number of opinion increases the chances of success for the company as they can choose between
a wide ranges of thoughts (PwC. 2017).
Cultural intelligence comes along with the diversity. It is the capability of relating and
working across cultures. The concept was first proposed by Christopher Earley and Soon Ang

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(Groves, Feyerherm and Gu 2015). It is the cross cultural competence. The companies working
with a diversified working force requires to increase the level of cultural intelligence among their
employees to increase the competence which in turn will increase the organizational
performance. Moreover, it helps in reducing the conflict between the team members in the
multinational companies who belongs form different background. It will also increase the
communication between the culturally diversified team members that is a common lag the
multinational organizations face. Eliminating the obstacles by increasing the cultural
intelligences will help the international organizations similar to the PWC and ANZ (Crowne
2013).
Goleman, Boyatzis and McKee (2013) described emotional intelligence on the other hand
refers to the capability of the individual to control their emotion in the workplace. Level of
emotional intelligence is calculated by the understanding one has about their own emotions and
feelings. More they understand their own behavior, emotion and felling, the more they gain
control over their behavior and attitude in the workplace. For example, the employees working in
an airlines industry holds the highest level of emotional intelligence as they has to understand
their emotions and control them within. They are expected to represent a humble attitude towards
their clients and serve with a smile in their faces that is not always the actual representation of
their emotions. Similar to the airline companies, PWC and ANZ have managed to increase their
employees’ emotional intelligence for gaining success better performance (Druskat, Mount and
Sala 2013). High level of emotional intelligence also helps the individual understand the
emotions situation of the team members and can reform their behavior accordingly to avoid
conflict within the team. Leaders with more high level of emotional intelligence tend to be

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successful in managing a diversified cultural team which is the case of PWC and ANZ. They hire
the leaders with high level of emotional intelligence using different tools for personality.
Hence, the cultural diversity, emotional diversity and cultural intelligence have their own
benefits in a multinational industry for controlling the workforce and increase the morale among
the employees which will in turn increase the productivity of the organization.
Analysis of the Findings:
This section of the report presents the analysis of the issues that was prevalent in ANZ
and the PWC and caused the high turnover or multicultural tensions at certain point if time. The
multicultural issues in any organization are capable of creating conflicts within the workplace
which can result into high turnover and low productivity. The reference of the management of
the multicultural issue can be used for Origin Energy in order to avoid the low productivity and
high turnover. The emotional intelligence, cultural intelligence and the diversity are the three
aspects of the management of the multicultural issue prevalent in the ANZ and PWC. It is the
duty and the responsibilities of the management implement strategies and handle such issues
with proper intelligence and skills.
The emotional intelligence refers to the co existence of the personalities, strengths and
emotions of the person that is capable of influencing the workflow (Ciarrochi and Mayer 2013).
Multicultural competence and the emotional intelligence are interlinked and interdependent. It is
obvious that any national organization comprises employees from various cultures and the
management of them is one of the important factors in the multiculturalism. However, the
emotional intelligence is the process of suppressing he actual emotion underneath the display of
the fake emotion through the emotional labor in order to maintain good and strong relationship

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with the other employees (Karimi et al. 2014). The management as well as the employees of the
organization must understand the conception of the emotional intelligence to avoid any
multicultural issues in the workplace. The findings from the ANZ and PWC indicate resolve of
the internal conflicts among the employees regarding the different cultural practices and beliefs
within the organization.
The next attribute of multiculturalism is the cultural intelligence which is referred as the
strategy for the avoidance of the multicultural issues in the workplace (Ng et al. 2012). The
cultural intelligence is important for the diversity management within the workplace. There are
several multicultural issues present in the workplace of both ANZ and PWC. The implemented
strategies for the avoidance of the multicultural conflicts within the workplace which is capable
of the ensuring the low productivity and the high turnover of the employees include the cultural
intelligence as evident from the presentation of the same by PWC. The management of the
cultural diversity is therefore important in terms of the respecting the cultural values, practice
and beliefs of the other employees. It is proved and evident from the implementation of the
cultural intelligence in the stated two organization that valuing the cultural beliefs of the staffs
not only reduces the chance of low productivity and high turnover, but also ensure a rich
organizational culture and strengthen the bonding between the organization and employees
(Olsen and Martins 2012).
The diversity denotes the management of the diverse issues within the workplace. The
diversity includes race, gender, culture, language and others. For both the organization, ANZ and
PWC the gender diversity has been focused. The gender diversity refers to the management of
the gender in terms of providing equal importance and facilities within the workplace. The
gender diversity is one of the major reasons for the high turnover of an organization. It is found

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that the ANZ emphasizes on the gender diversity and has implemented effective strategies for
ensuring the prevention of the high turnover (Haile 2012). The diversity management of ANZ
focuses on the elimination of discrimination on the ground of the gender. The effectiveness of
the strategies regarding the gender diversity has shown remarkable reduction rate inters of
employee turnover.
Recommendation:
The implementation of the multicultural management strategies for avoidance of the low
productivity and high turnover has not only served their purpose but also has increased sense of
moral within the employees. The implications for the multicultural issues are based on the
effectiveness of the presentation of the emotional and cultural intelligence of the staffs in the
ANZ and PWC. The managerial implication suggests that the managers of Origin Energy must
focus and emphasis on the diversity management within the workplace in terms of handling of
the multiculturalism. The management of the organization must ensure that there is strong
morale among the employees. In addition, the management also needs to be sure about reflection
of the emotional as well as the cultural intelligence of the staffs. The managers must follow the
instances of the two discussed organizations for the understanding of the consequences of the
multicultural issues as well as for the planning of the effective diversity management strategies
for the same. It is found that gender and issue within Origin Energy is the most predominant
among all the multicultural issues. Therefore, it is recommended to the management of the firm
that it must implement some rules and regulation concerning about the gender equality as a part
of the diversity management. On the other hand, the proper understanding of the cultural and
emotional intelligence by the employees as well as the employers will ensure the elimination of
the internal conflicts among the employees. In addition, the management also focuses on the

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ethical and legal consideration regarding the diversity management of the multicultural issues
(Bratton and Gold 2012).
Conclusion
The findings from PWC and ANZ can conclude that the emotional intelligence, cultural
intelligence and diversity in a multinational organization have different degree of benefit in
managing the workforce and increase the morale of the employees and the productivity of the
companies. It will help the managers better understand the employees and manage each
employee accordingly which will reduce the turnover of the company. The analysis shows that
the implementation of these on Origin Energy will help the organization better handle the
situation in the team-based projects with global partners from various countries.

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Reference:
Anz.com. 2017. Cultural diversity | ANZ. [online] Available at:
http://www.anz.com/about-us/corporate-sustainability/employees/diversity-inclusion/cultural-
diversity/ [Accessed 20 Oct. 2017].
Bratton, J. and Gold, J., 2012. Human resource management: theory and practice. Palgrave
Macmillan.
Crowne, K.A., 2013. Cultural exposure, emotional intelligence, and cultural intelligence: An
exploratory study. International Journal of Cross Cultural Management, 13(1), pp.5-22.
Ciarrochi, J. and Mayer, J.D., 2013. Applying emotional intelligence: A practitioner's guide.
Psychology Press.
Druskat, V.U., Mount, G. and Sala, F., 2013. Linking emotional intelligence and performance at
work: Current research evidence with individuals and groups. Psychology Press.
Goleman, D., Boyatzis, R.E. and McKee, A., 2013. Primal leadership: Unleashing the power of
emotional intelligence. Harvard Business Press.
Groves, K.S., Feyerherm, A. and Gu, M., 2015. Examining cultural intelligence and cross-
cultural negotiation effectiveness. Journal of Management Education, 39(2), pp.209-243.
Haile, G.A., 2012. Unhappy working with men? Workplace gender diversity and job-related
well-being in Britain. Labour Economics, 19(3), pp.329-350.

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Karimi, L., Leggat, S.G., Donohue, L., Farrell, G. and Couper, G.E., 2014. Emotional rescue:
The role of emotional intelligence and emotional labour on well‐being and job‐stress among
community nurses. Journal of advanced nursing, 70(1), pp.176-186.
Moosmüller, A., 2016. Cultural diversity in multinational corporations. In Re-thinking
Diversity (pp. 121-132). Springer Fachmedien Wiesbaden.
Ng, K.Y., Van Dyne, L., Ang, S. and Ryan, A.M., 2012. Cultural intelligence: A review,
reflections, and recommendations for future research. Conducting multinational research:
Applying organizational psychology in the workplace, pp.29-58.
Olsen, J.E. and Martins, L.L., 2012. Understanding organizational diversity management
programs: A theoretical framework and directions for future research. Journal of Organizational
Behavior, 33(8), pp.1168-1187.
PwC. 2017. Diversity and inclusion at PwC. [online] Available at:
https://www.pwc.com/us/en/about-us/diversity.html [Accessed 20 Oct. 2017].