Importance of Diversity Management: Air New Zealand Report

This report provides a detailed analysis of diversity management within Air New Zealand, a prominent airline company. It examines the company's recruitment policies, focusing on age and disability, and explores the concept of diversity within the organization, considering factors such as gender, race, religion, and education. The report delves into the company's current policies and practices for managing diversity, including its diversity and inclusion plan, and evaluates these strategies in the context of cognitive and institutional theories. Furthermore, it proposes a suggested diversity and inclusion plan for the company, evaluates the action plan, and discusses the future horizons of diversity and inclusion within Air New Zealand. The report highlights the importance of diversity management for the company's overall development and growth, especially in the context of an increasingly competitive global business environment, and concludes with a call for continuous improvement and adaptation of diversity initiatives.

Diversity and inclusion

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IMPORTANCE OF DIVERSITY MANAGEMENT
Table of Contents
Introduction................................................................................................................................2
Concept of diversity in Air New Zealand..................................................................................2
Analysis of diversity in the recruitment of the employees.........................................................3
Policies and practices of Air New Zealand for managing diversity...........................................5
Different theories of diversity and inclusion..............................................................................6
Cognitive theory of diversity.................................................................................................6
Institutional theory of diversity management........................................................................6
The suggested diversity and inclusion plan for the company....................................................7
Evaluation of Action plan..........................................................................................................8
Future horizon through diversity and inclusion.........................................................................8
Conclusion..................................................................................................................................9
References................................................................................................................................11

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Introduction
In this report an analysis will be done over the recruitment policies and stakeholders of Air
New Zealand Limited which is the famous airline company of New Zealand. The diversity
and inclusion plan will be made by considering the difference in age and disabilities of the
candidates. A brief discussion will be done on the different types of diversities exists in the
human resources of the company for example: difference in gender, races, religions,
education and knowledge base. An analysis is also done over some theories of diversity and
inclusion for measuring the importance of diversity inside and outside the organisation.
Air New Zealand is a famous airline of New Zealand which is based in Auckland. It operated
20 domestic and 32 international destinations across twenty countries. The company offers a
large variety of services to its customers during their journeys. For filling the different types
of job roles company has hired around 4850 employees. All the employees are having
different age, background and different culture. The Air New Zealand is managing a lot of
diversity related to gender, age, race and disabilities with the help of its diversity and
inclusion plan (alliance, 2020).
Usually the airlines recruit its employee on the bases of their talent and skills. An analysis has
been done to know the position of the company related to handling diversity and inclusion
related to recruitment of the employees. There are so many stakeholders exists for the
company including employees, customers, suppliers and other staff members where the
diversity issues may be arises. However, in current scenario the companies are trying to
manage the diversity issues because they want to give equal rights to the employees,
customers and other stakeholders in order to provide those equal chances to development and
growth (A Gil, 2019).
Concept of diversity in Air New Zealand
Diversity defines as a difference in the culture and characteristics of the person on which the
candidates are selected or hired by the company. On the bases of these criteria’s the company
also choses its stakeholders like customers, employees and suppliers. Any organisation has to
deal with the candidates of different cultures and personalities with unique set of
characteristics. Air New Zealand is also dealing with a large variety of persons as their

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customers, employees and stakeholders. The Company has a wide range of employees of
various culture and characteristics with diversified backgrounds. The Company has operating
diversity and inclusion plan to efficiently deal with the diversity exists in the people of the
company (alliance, 2020).
The Air New Zealand is managing and promoting the diversities inside the organisation by
developing a suitable diversity and inclusion plan. But still some special characteristics
should be added to the action plan in order to manage the diversity within the people
especially related to age and physical disabilities (Manager, 2020).
Analysis of diversity in the recruitment of the employees:
It has been noticed since years that usually the staff hired by the companies of airline
industries are white in colour; it is very rare to hire black employees for dealing with the front
line operations of the organisations. The companies of air industry usually prefer the male
staff when hiring for the pilots whereas when they are going to hire for airline assistants, they
prefer girls belongs from a low age group. Diversity issues and differences have become the
part of airline industries throughout the world. But now days this trend is keep on changing.
Now the companies of airline industries including ‘Air New Zealand Limited’ are trying their
best to manage the diversity issues in the recruitment. The following issues are related to
diversity among the employees:
(a) Age factor: Usually the employees of a low age group (20-30 years) are preferred
while recruiting for the front line employees like airline assistants, customer
executives and other important staff members. A little bit aged persons are preferred
in the back end jobs like account executives, operational executives and other
important jobs. However, Air New Zealand is not doing discriminations by
considering the age but the nature of the work and job responsibilities is always
directly linked towards the age of the employees which are going to hire. Employees
of lower age group are comfortable in the job of hard work like managing and serving
the clients whereas the employees of a large age group (40-60 years) are suitable for
conceptual and technical work for the company. Although the Air New Zealand is
trying to minimize the age diversity inside the company while hiring the employees.
For example: In the year 2006, it was observed that a pilot who was giving his services
to Air New Zealand was discriminated from holding a position of Sr. pilot because of his

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age of sixty years. He was also removed from his position of flight instructor after
because of his age. He felt highly discriminated because of his age and realised that this
was the violation of his human rights. He filed the case in court and won the case
(Auckland, 2020).
On the bases of the above example it is quite clear that diversity on the bases of age
should be managed not only by Air New Zealand but also by all the companies in order to
well-being of the employees.
(b) Disability factors: There are different types of disability factors exist on the bases of
these factors, the recruitment policies may be found discriminatory. Vision
impairment, deaf or hearing impairment and physical disabilities is the major factors
which impact over the recruitment process.
 People who are affecting from visual impairment cannot be hired in front line
services but the airline industries including Air New Zealand is also
developing policies for the recruitment of visually impaired people. These
types of persons are suitable for the job roles related to their knowledge and
technical skills (PM Bal, 2019).
 People, who are having listening and hearing impairment, are not suitable for
the airline industries but still the Air New Zealand should try to hire these
people according to their suitable role. Like these employees can handle the
written and documentation work according to their qualifications. Diversity
can be managed by providing suitable job to the employees who can handle
the job role without any obstruction due to their disabilities (Richard Elliott,
2009).
 Candidates who are having a little bit physical disability in their hands or legs
can be suitable for sitting jobs and working with appropriate instruments.
Company should involve this factor in their diversity and inclusion plan to
cope up with the diversity issues related to disabilities among employees
(Orlando C. Richard, 2013).
 Some people have the skin problem of different types like they may have
white patches on their faces. Usually the airline industries do not hire these
types of persons in their frontline workforce but this diversity should be
eliminated. People having skin problems should also offer the equal
opportunities to be hired and to deal with the customers (M Shemla, 2019).

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 Some people are having the HIV positive status and many airline industries
avoid these people because of their unfavourable status but in reality all people
should have equal chances to be hired by the industry that is why disability
discrimination on the bases of HIV diseases should be removed by the
companies (Richard Elliott, 2009).
The company should be supportive to disabled employees by treating them well. The
company should avoid any misbehaviour with physically disable people and maintain a
favourable environment of work. Disability diversity should be managed effectively in order
to maintain a comfortable working environment (Barak, 2016).
Every airline industry including Air New Zealand should offer special services to their
disabled customers and employees in order to provide them safe and convenient environment.
The physically disabled customers of airline industry should get some specific services like:
assistant in keeping their luggage, providing water, food and help them in allocating their
seats should also be a part of diversity inclusion strategies. Safety laws and other necessary
equipment and medicines should be provided to the customers and the staff members of the
company to make them feel comfortable (M Shemla, 2019).
Policies and practices of Air New Zealand for managing diversity
The Air New Zealand is dealing with a lot of diversity in their stakeholders especially in
employees. It has a very efficient diversity and inclusion plan to manage the diversity issues
related to different cultural and physical factors present in the employees. The company is
developing the inclusion plan for those employees who have a larger age group. It is offering
training to aged employees to keep them update about the current scenario and latest
techniques. The employees and customers should not be discriminated on the bases of their
age factor because it is also related to the violation of human rights. Company should also
increase its range of age with respect to hire the employees in the different departments of the
company on the various designations (Jr, 2020).
The Company is made many policies related to ensure the growth of female employees to
remove gender diversity but it does not implicate any regulation to remove age diversity and
physical diversity.

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However the Air New Zealand is trying a lot to improve the diversity on the bases of various
factors by adopting diversity and inclusion policy but still a lot of improvement is needed in
their action plan (Zealand, 2020).
Different theories of diversity and inclusion
Cognitive theory of diversity management
This theory stated that the persons belong from different backgrounds and different cultures
can be very efficient at problem solving because they think differently. The cognitive theory
focuses on hiring the people from diversified group for solving the problems of the company.
The people from different age group also have the capability in solving the various problems
of the company with the help of their unique set of characteristics. It focuses on eliminating
the age diversity from the organisation (Rouse, 2020).
This theory implies that people of different background, age, race and culture are always
beneficial for the company. They can handle the difficult situations arises in the company
with the help of their unique set of talent and different IQ level. That is why the organisations
should work up-on managing the diversity in their employees and other stakeholders
(Campus, 2020).
Institutional theory of diversity management
This theory focuses on the inclusion of social environment in the development of the
company. This theory stated that any company have to give equal opportunities to its
employees without any discrimination for the development of the organisation. On the bases
of this theory it can be said that disability diversity should be removed from the organisation
by giving equal opportunity to the people. Same payment and promotional policies should be
exists for the employees. The organisation is also abide by same norms and regulations in
order to maintain a similar administrative structure inside the company and that is why same
opportunities should be provided to the people having diversified characteristics (TT Luu,
2019).
This theory implies that by providing equal opportunity to the workforce, managers can
develop a positive and favourable environment of work. It is related to the human rights of

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the employees by making them comfortable and safe. It also represents the importance of
diversity management for overall growth of the company (TT Luu, 2019).
The suggested diversity and inclusion plan for the company
The company should focus on eliminating the age diversity by hiring the employees of
different age groups [Large age group- 40 to 60 years, Middle age group- 30 to 40 years,
Lower age group- 20 to 30 years] for all the job roles. Whether the hiring are related to the
front line employees like directly dealing with the customers and taking care of their
requirements or hiring for the back end roles, company should not apply the age restriction on
the employees and should provide them equal opportunity for work (PM Bal, 2019).
The age restrictions also removed for hiring the role of customer executives and even for the
role of high level managers. Every person should be entitled for applying the job role of his
choice irrespective of his age. Board room access should be provided to the employees for
their convenient. Washroom and toilets facilities should be given to all employees with
proper cleaning system to feel them comfortable and hygienic. However the company is
concern for the aged workforce which is already hired by the company but still they should
prefer to recruit the person of all age groups to remove the age discriminations in the
recruitment policies as well as in promotional policies (Auckland, 2020).
The training should be provided to the employees related to workplace sensitivity. The
employees should be trained to behave well with all the employees of different background
and different physical features and status (Jawad Syed, 2015).
The Air New Zealand should also provide focus to eliminate the discrimination done on the
bases of disabilities in the people. By offering the suitable job role related to the
qualifications and capability of the person, the company may eliminate the diversity issues
related to disabilities exists in the people (Zealand, 2020).
The company already have a very efficient diversity and inclusion plan but still the company
has to provide improvement in its plan by making provisions to eliminate the diversity issues
related to age and disability factors (Orlando C. Richard, 2013).
The targets for the new Action Plan are as follows:
Diversity issues Target Description

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Age diversity 50% employees in the age
group 40- 60 years should be
on senior designation.
The Company should
promote the employees of
larger age group to senior
positions.
Disability diversity 5% employees should be
hired with having physical
disability.
The Company should hire
and sustain the physically
disabled employees and
provide them equal rights to
grow.
Evaluation of Action plan
The success and failure of the evaluation plan can be judged by using the following
techniques:
 The feedback of the employees has to be taken by the managerial authorities of Air
New Zealand for ensuring about the proper implementation of action plan to eliminate
the diversity related to age and disabilities (Jr, 2020).
 Regular surveys should be done for knowing the exact status and requirements of the
already existing employees inside the organisation.
 The Company has to be ensured about the job satisfaction among the employees by
evaluating the details of survey.
 Managers of the Company should know about any type of discrimination takes place
inside the organisation by regular monitoring.
 The position of the target achieved by the Action plan is measures after each and
every month.
 If there is a shortfall in the target achieved by The Company, essential steps should be
taken by the managers of The Air New Zealand.
 Counselling of the employees may also help in judging the mind-set of the employees
of the organisation which is the basic parameter to evaluate the success of the Action
Plan made by The Company for managing the diversities inside the organisation.
 The implication of the different theories related to diversity should be assessed in the
day to day operations of the company in order to receive the benefit of diversity
management.

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 Taking the feedback of the employees in exit interviews related to the diversity issues
inside the Company may help the manager to know about the success of the Action
Plan.
 The managers of the company has to be very clear about their diversity and inclusion
plan for the fulfilment of the human rights of the employees and for making a fair and
healthy environment for work throughout the various department of the company
(Manager, 2020).
Future horizon through diversity and inclusion
An efficient action plan for diversity and inclusion is very essential for the future growth of
the company. Managing diversity will be very good for the globalisation of the business. In
today’s globalised world, the companies have to manage the diversities in their work force
and other stakeholders. For getting the competitive advantage over the rivals, it is very
essential to manage the diversified culture in the employees. The Air New Zealand has to
focus on eliminating the age diversity and disability diversity from their employees for
developing the workforce of the company and including the diversified people in their
workforce (M Dennissen, 2019).
If the company would not work up-on managing the diversity issues then it would be quite
difficult for the company to get a competitive advantage over rivals and to sustain in this
competitive business world. Diversity and inclusion strategies are extremely important for the
overall development of the business and growth of the company (Jr, 2020).
A diversified workforce and organisation is better than the organisation having no diversity
because of its unique features and qualities. Now days, due to the globalisation, the customers
of airline industries are also belongs from different sectors that is why maintaining diversity
in the workforce of a company is very essential for obtaining better customer satisfaction.
The diversified workforce can create additional value to the organisation by adding their
different talent, skills and experience. When there is a similar treatment and policies are
available for the employees and stakeholders then it will be very good for the job satisfaction
among the employees. Diversity added different problem solving techniques within the
organisation that is why managing the diversity is proved as a very important and crucial
factor for the development of the company (Barak, 2016).

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Conclusion
The Air New Zealand is focussing on managing the diversities in the organisation for their
overall development by dealing with global customers and investors. Managing the
diversities in the workforce not only helps the employees by providing them job satisfaction
but also it creates a different and unique set of characteristics to the organisation. On the
bases of the analysis of the theories related to the management of diversity, it can be said that
diversity management is always beneficial for the growth and development of the company.
Diversity and inclusion strategies and plans are extremely essential for the survival and
growth of the company because it helps in maintaining a fair public image in the eyes of
customers, employees and stakeholders. With the help of effective implementation of
diversity and inclusion plan, it can be concluded that effective action plan would be able to
manage the diversity within the organisation. Diversity management is extremely important
for the overall growth and development of the company because of the changing global
business environment.

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