Cultural Diversity Management in the Workplace: An H&M Analysis

This report investigates the impact of cultural diversity on organisational behaviour, focusing on a case study of H&M. It examines the importance of cultural diversity in the workplace, identifies strategies for managing cultural diversity within H&M, and analyses the impact of cultural diversity on organisational behaviour. The research employs a deductive approach and quantitative methods, utilising primary data collected through questionnaires distributed to 30 respondents. The findings reveal insights into the benefits and challenges of cultural diversity, including its influence on reputation, opportunities for workers, profitability, communication, and employee engagement. The report concludes with recommendations for H&M to enhance their diversity management practices and foster a more inclusive working environment.

Research Project

Table of Contents
CHAPTER 1: INTRODUCTION....................................................................................................1
1.1 Research proposal.................................................................................................................1
LITERATURE REVIEW................................................................................................................2
2.1 Introduction...........................................................................................................................2
2.2 Literature review...................................................................................................................2
CHAPTER 3: METHODOLOGY...................................................................................................4
3.1 Research Approach...............................................................................................................4
3.2 Methodologies.......................................................................................................................4
CHAPTER 4: DATA COLLECTION AND ANALYSIS .............................................................5
4.1 Data collection......................................................................................................................5
4.2 Data analysis, presentation and discussion...........................................................................5
CHAPTER 5: CONCLUSION AND RECOMMENDATION.....................................................17
5.1 Conclusion...........................................................................................................................17
5.2 Recommendations...............................................................................................................17
CHAPTER 6: PERSONAL REFLECTIVE STATEMENT..........................................................18
6.1 Reflect on research methods...............................................................................................18
6.2 Research methods that could have been used.....................................................................18
6.3 Areas for further research....................................................................................................18
REFERENCES..............................................................................................................................19

TITLE: Managing cultural diversity in the workplace.
CHAPTER 1: INTRODUCTION
1.1 Research proposal
1) Overview of project
Cultural diversity is quality of the various cultures as opposed to global monoculture and
culture homogenization. Developing the cultural competence outcome in ability to be
communicate, understand and also communicate with the people across culture as well as work
with the different schedules and cultural beliefs. The cultural diversity at workplace is when
organisations are open to recruiting staff members from all sorts of the various backgrounds.
When the firms hire and sustain diverse pool of employees, this brings regarding various
advantages to firm and staff members. The culturally diverse employees have the various
thoughts, values, customs, traditions and opinions. H&M is Swedish multinational clothing
company and this is known for fast fashion clothing for women, men, children and teenagers.
This company is value driven and want to be lead way to inclusive world (Ang and Van Dyne,
2015). Score of H&M about diverse employees is 72/100 across the different culture categories
that placing in top 25% of organisations with more than 10000 staff members for diversity score.
Background of project
The cultures are mainly formed within ethnic groups and the nationalities which occur
within educational level and lifestyles. This is necessary for the business firms to acknowledge
many kinds of cultures which exists itself. The managers should find out the different ways to
assure that culture of staff members are respected to give working environment. Diversity and
inclusion are necessary as they are helpful in attracting talent, enhancing innovation and
facilitating better opportunities for company to be outperform them more homogeneous.
Diversity at workplace is necessary for staff members because it manifests itself in developing
better reputation for firm, leading to enhanced profit level and also develop opportunities for
staff members. H&M is value driven organisation that want to lead way to inclusive as well as
sustainable world. In this company, female staff members have rated team and benefits as high
categories which scored. It is committing about maintaining inclusive workplace. H&M
company promotes equality and diversity and also not tolerate any discrimination. This is
committed to following applicable labour and also employment legislations which operate.

2) Research Aim and Objectives
Aim
“To determine impact of cultural diversity on organisational behaviour.” A study on
H&M.
Objectives
 To examine importance of cultural diversity at workplace.
 To determine the different ways for managing cultural diversity in H&M. To identify impact of cultural diversity on organisational behaviour.
Questions
 What is the significance of cultural diversity at workplace?
 What are various ways used by H&M to manage the cultural diversity?
 What is the impact of cultural diversity on organisational behaviour?
3) Reasons for choosing research project
The reason behind conducting research project is that it gives the basic knowledge
regarding cultural diversity and its impact on the organisational behaviour. From conducting an
investigation, skills and understanding of researcher will be enhanced so that it can not face any
issues in future (Banks, 2015).
4) Activities and Timescales

LITERATURE REVIEW
2.1 Introduction
Literature review is explicit, reproducible and explicit method for determining and
examining existing body of the recorded work that produced through an investigator. In
conducting present report, secondary source of data collection has been used by consisting
different sources like websites, journals, articles etc.
2.2 Literature review
Importance of cultural diversity at workplace
As per the opinion of Sophie Deering (2020) Cultural diversity is an existence of variety
of the ethnic or cultural groups within society. At workplace, cultural diversity is result of values,
practices and traditions of staff members on the age, gender, race and religious. The cultural
diversity helps in create innovation because people of the various working style, backgrounds
and experiences which can be born from bouncing the ideas off to the each other and also giving
the feedback. The cultural diversity is helpful in develop the talent pool. Firm that embraced the
diversity will be helpful in attract the large number of people to vacant job positions and it will
be viewed as progressive for the company.
Different ways for managing cultural diversity in H&Ms
According to Bridget Miller (2020), Diversity can be beneficial for employer in several
ways. Having the diverse staff members in a group helpful in assure that there will be wide
spectrum of backgrounds and ideas which help H&M to have the innovative ideas. There are
some various ways of managing the cultural diversity in H&M given below:
Focus on retention- H&M company find that it is able to attract the diverse applicants
set but organisational culture remains the homogeneous because of high turnover rate for some
of the groups. There is a need to H&M to focus on the retention efforts so that it can help in
enhance organisational productivity.
Pay attention to organizational culture- At workplace, there will be actions and attitudes
which end up dividing workforce and welcome some groups. These all will require to maintain
diversity in workforce.
Impact of cultural diversity on organisational behaviour

On the basis of Michelle Seidel (2020) culture in the organisational behaviour tends to be
apply in two areas such as culture of employees and workplace. One influence other and both
can be the change forces as well as business momentum. Organisation behaviour is an interaction
that people at workplace have with others. These interaction arise in range of the situations from
working in team together, leading project and develop social network. The culture mainly
influence on the employee behaviour. In an organisation, there are different background people
and to manage this, H&M needs to consider culture in business because this is necessary to
manage culture of company in order to prevent from overbearing.

CHAPTER 3: METHODOLOGY
3.1 Research Approach
Inductive and deductive are two different research approaches. In conducting present
investigation, there has been deductive method used because it helps in give the authentic and
reliable information (Kottak, 2015).
3.2 Methodologies
1) Sampling- It is process through which an investigators choose representative subset of total
population that can be studied regarding specific subject area. There will be 30 respondents
chosen from whole population by using random sampling method because this gives the equal
chance to the selected people.
2) Type of Investigation- Research methods are explained as the scientific process related to
collection of information, analysis and make interpretation to deal with the arisen research
related issues (Laroche, 2012). There are two different kinds of investigation which mention
below:
Qualitative- This is mainly used about inquiry and develop deep understanding regarding
understanding of issues in natural settings.
Quantitative- This is structure way to gathering the data and also analysing for draw
valid conclusion.
In conducting the present investigation, there will be quantitative method use because it
give the information in systematic way and also give the answers about research questions in
context of justifying relationships.
3) Data analysis
It is explained as applying the logical and statistical techniques to explain, recap and
condense data and information. To analyse the present data, thematic analysis has been used by
developing the themes of collected information (Leach, 2014).
4) Cost, access and ethical consideration
For conducting an investigation, cost is a necessary factor and helpful in conducting
whole investigation in significant way. To collect information, researcher needs to have the
access about data collection by using authentic sources. Other than this, there is a need to
researcher to use the ethical considerations while performing research. It is a responsibility of an

investigator to collect the information by using authentic sources (Patsiurko, Campbell and Hall,
2012).
CHAPTER 4: DATA COLLECTION AND ANALYSIS
4.1 Data collection
This is process of collecting and also analysing information on the targeted variables to
give the answer of relevant questions. There are primary and secondary two different data
collection methods.
In conducting the present research, primary data collection tool will be used because this
gives the relevant information and the authentic outcomes. Through using this tool, questionnaire
will be developed and also mention questions on the basis of specific subject area (Santilli,
2012).
4.2 Data analysis, presentation and discussion
QUESTIONNAIRE
Name:
Age:
Gender:
Contact no.:
Q1) Do you have the knowledge about cultural diversity?
a) Yes
b) No
Q2) What is the importance of cultural diversity at workplace?
a) Developing great reputation
b) Opportunities for workers.
b) Leading to increased profitability
Q3) Does cultural diversity impact on the organisational behaviour?
a) Yes
b) No
Q4) What kind of issues faced by H&M due to the cultural diversity?
a) Miscommunication
b) Resistance to Change

c) Costs
Q5) What are various type of strategies used by H&M for managing the cultural
differences at workplace?
a) Communication
b) Training
c) Mentoring
Q6) What are the different ways adopted through H&M for managing the cultural
diversity at workplace?
a) Focus on retention
b) Pay attention to organizational culture
c) Giving diversity training
Q7) What are the benefits get by H&M from managing the cultural diversity at
workplace?
a) Increased productivity
b) Improved creativity
c) Increased profits.
d) Improved employee engagement
Q8) As per your opinion, which qualities should a leader possess to managing the
culturally diverse teams?
a) Empathy
b) Self- awarenesses
c) Commitment
Q9) Recommend some ways by which H&M can develop a common working culture for
sustaining employees for long period of time.
Frequency table
Q1) Do you have the knowledge about cultural diversity? Frequency
a) Yes 25
b) No 5
Q2) What is the importance of cultural diversity at workplace? Frequency

a) Developing great reputation 10
b) Opportunities for workers. 10
b) Leading to increased profitability 10
Q3) Does cultural diversity impact on the organisational behaviour? Frequency
a) Yes 22
b) No 8
Q4) What kind of issues faced by H&M due to the cultural diversity? Frequency
a) Miscommunication 15
b) Resistance to Change 5
c) Costs 10
Q5) What are various type of strategies used by H&M for managing the
cultural differences at workplace?
Frequency
a) Communication 10
b) Training 10
c) Mentoring 10
Q6) What are the different ways adopted through H&M for managing
the cultural diversity at workplace?
Frequency
a) Focus on retention 16
b) Pay attention to organizational culture 10
c) Giving diversity training 4
Q7) What are the benefits get by H&M from managing the cultural
diversity at workplace?
Frequency
a) Increased productivity 15
b) Improved creativity 5

c) Increased profits. 5
d) Improved employee engagement 5
Q8) As per your opinion, which qualities should a leader possess to
managing the culturally diverse teams?
Frequency
a) Empathy 10
b) Self- awarenesses 10
c) Commitment 10