The Impact of Diversity Management and Leadership on Performance in Maritime Industry
Keywords:
diversity management; leadership; organizational performance; maritime industryAbstract
Many shipping companies hire crew members from different nationalities and cultural backgrounds due to several reasons such as cost reduction and the unavailability of national seamen. Shipping companies also face major problems when managing a diverse group of crew members on-board like cultural differences and communication problems. These problems are reported to have an impact on the company’s overall performance. Therefore, this study tries to investigate the impact of diversity management policies and leadership on shipping companies’ performance. A questionnaire survey has been conducted on shipping professionals working in Turkish companies. The model of the study was tested using structural equation modelling. The results indicate that diverse policies and strong leadership can improve a company’s performance by raising personal and organizational awareness in the company.
References
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Nishii, L. H. & Mayer, D.M. (2009). Do inclusive leaders help to reduce turnover in diverse groups? The moderating role of leader-member exchange in the diversity to turnover relationship. Journal of Applied Psychology, 94(6), pp. 1412-1426.
O’Reilly, C. A.; Caldwell, D. F. & Barnett, W. P. (1989). Work Group Demography, Social Integration, and Turnover. Administrative Science Quarterly, 34(1), pp. 21–37.
Paauwe, J.; Guest, D. E. & Wright, P. M. (2013). HRM and Performance. Achievements and Challenges, Chichester: John Wiley and Sons Ltd.
Panayides, P.M. (2003). Competitive strategies and organizational performance in ship management. Maritime Policy & Management, 30(2), pp. 123-140.
Pitts, D. (2009). Diversity management, job satisfaction, and performance: Evidence from US federal agencies. Public Administration Review, 69(2), pp. 328-338.
Pitts, D. & Jarry, E. (2007). Ethnic diversity and organizational performance: Assessing diversity effects at the managerial and street levels. International Public Management Journal, 10(2), pp. 233-254.
Pless, N. & Maak, T. (2004). Building an inclusive diversity culture: Principles, processes and practice. Journal of Business Ethics, 54(2), pp. 129-147.
Progoulaki, M. & Theotokas, I. (2016). Managing culturally diverse maritime human resources as a shipping company’s core competency. Maritime Policy & Management, 43(7), pp. 860-873, DOI: 10.1080/03088839.2016.1173734.
Ravazzani, S. (2016). Understanding approaches to managing diversity in the workplace: An empirical investigation in Italy. Equality, Diversity and Inclusion: An International Journal, 35(2), pp. 154-168.
Roosevelt Thomas, R. (1990). From affirmative action to affirming diversity. Harvard Business Review, 68(2), pp. 107-117.
Sabharwal, M. (2014). Is diversity management sufficient? Organizational inclusion to further performance. Public Personnel Management, 43(2), pp. 197-217.
Schröder-Hinrichs, J.; Hollnagel, E.; Baldauf, M.; Hofmann S. & Kataria, A. (2013). Maritime human factors and IMO policy, Maritime Policy & Management, 40(3), pp. 243-260, DOI: 10.1080/03088839.2013.782974.
Shen, J.; Chanda, A.; D’netto, B. & Monga, M. (2009). Managing diversity through human resource management: An international perspective and conceptual framework. The International Journal of Human Resource Management, 20(2), pp. 235-251.
Theotokas, I. & Progoulaki, M. 2007. Cultural diversity, manning strategies and management practices in Greek shipping. Maritime Policy & Management, 34(4), pp. 388-403.
Thomas, D. A. & Ely, R. J. (2001). A new paradigm for managing diversity. Harvard business review, 74(5), pp. 79-94.
Thompson, N. (1997). Anti Discriminatory Practice. Basingstoke: Macmillan.
Turner, J. C. (1987). Rediscovering the Social Group: A Self-Categorization Theory. Oxford, UK: Blackwell.
Van de Voorde, K.; Paauwe, J. & Van Veldhoven, M. (2012). Employee well‐being and the HRM-organizational performance relationship: a review of quantitative studies. International Journal of Management Reviews, 14(4), pp. 391-407.
Verbeek, S. R. (2011). Employment equity policy frames in the literature: Good Practice versus bad idea. International Journal of Human Resource Management, 22(9), pp. 1942-1962.
Watkins, M. W. (2006). Determining Parallel Analysis Criteria. Journal of Modern Applied Statistical Methods, 5(2), pp. 344-346.
Wright, P. M. & Nishii, L. H. (2007). Strategic HRM and organizational behavior: integrating multiple levels of analysis, CAHRS working paper series. New York: Centre for Advanced Human Resource Studies (CAHRS).
Ashikali, T. & Groeneveld, S. 2015. Diversity management for all? An empirical analysis of diversity management outcomes across groups. Personnel Review 44(5): 757-780.
Ashikali, T. S. (2011). Van diversiteitsmanagement naar prestaties. Een onderzoek naar de invloed van diversiteitsmanagement op HRM uitkomsten en de rol van de leidinggevende in de Nederlandse publieke sector [From diversity management to performance. A study on the influence of diversity management on HRM outcomes and the role of the supervisor in the Dutch public sector]. Master thesis Public Administration. Erasmus University Rotterdam, the Netherlands.
Aryee, S.; Budhwar, P. S. & Chen, Z. X. (2002). Trust as a mediator of the relationship between organizational justice and work outcomes: test of a social exchange model. Journal of Organizational Behavior, 23(3), 267-285.
Baker, W. (2012). From cultural awareness to intercultural awareness: Culture in ELT. ELT Journal, 66(1): 62-70.
Blau, P. M. (1964). Exchange and Power in Social Life. New York: John Wiley and Sons Inc.
Byrne, D. (1971). The Attraction Paradigm. New York: Academic Press.
Choi, S. & Rainey, H. G. 2010. Managing diversity in US federal agencies: Effects of diversity and diversity management on employee perceptions of organizational performance. Public Administration Review, 70(1): 109-121.
Choi, J. N.; Sung, S. Y. & Zhang, Z. (2017). Workforce diversity in manufacturing companies and organizational performance: the role of status-relatedness and internal processes. The International Journal of Human Resource Management, 28(19), 2738-2761.
Cox, T. (1994). Cultural diversity in organizations: Theory, research and practice. Berrett-Koehler Publishers.
Cox, T. J. & Blake, S. (1991). Managing Cultural Diversity: Implications for Organizational Competitiveness. Academy of Management Executive, 5(3), 45–56.
Cox, T. J.; Lobel, S. A. & McLeod, P. L. (1991). Effects of Ethnic and Group Cultural Diff erences on Cooperative and Competitive Behavior on a Group Task. Academy of Management Journal, 34(4), 827–47.
Daft, R. L. (2018). The leadership Experience. Boston: Cengage Learning, 7th ed.
Dinc, M. S. (2018). Direct and indirect effect of ethical leadership on employee behaviours in higher education. International Journal of Management in Education, 12(3), pp. 201-222.
Ely, R. J. (2004). A Field Study of Group Diversity, Participation in Diversity Education Programs, and Performance. Journal of Organizational Behavior, 25(6), pp. 755–80.
Findler, L.; Wind, L. H. & Barak, M. E. M. (2007). The challenge of workforce management in a global society: Modeling the relationship between diversity, inclusion, organizational culture, and employee well-being, job satisfaction and organizational commitment. Administration in Social Work, 31(3), pp. 63-94.
Gilbert, C.; De Winne, S. & Sels, L. (2011). The influence of line managers and HR department on employees’ affective commitment. The International Journal of Human Resource Management, 22, pp. 1618-1637.
Gotsis, G. & Grimani, K. (2016). Diversity as an aspect of effective leadership: Integrating and moving forward. Leadership & Organization Development Journal, 37(2), pp. 241-264.
Gould-Williams, J. (2007). HR practices, organizational climate and employee outcomes: evaluating social exchange relationships in local government. The International Journal of Human Resource Management, 18(9), pp. 1627-1647.
Hooper, D.; Coughlan, J. & Mullen, M. R. 2008. Structural Equation Modeling: Guidelines for Determining Model Fit. The Electronic Journal of Business Research Methods, 6 (1), pp. 53-60.
Jehn, K. A. & Bezrukova, K. (2004). A field study of group diversity, workgroup context, and performance. Journal of Organizational Behavior, 25, pp. 703-729.
Kandola, R. S. & Fullerton, J. (1998). Diversity in Action: Managing the Mosaic. CIPD Publishing.
Kearney, E. & Gebert, D. 2009. Managing diversity and enhancing team outcomes: The promise of transformational leadership. Journal of Applied Psychology, 94, pp. 77-89.
Kirton, G., & Greene, A. 2005. The dynamics of managing diversity: A critical approach (2nd ed.). Amsterdam, Netherlands: Elsevier Butterworth-Heinemann.
Konrad, A. M.; Yang, Y. & Maurer, C. C. (2016). Antecedents and outcomes of diversity and equality management systems: An integrated institutional agency and strategic human resource management approach. Human Resource Management, 55(1), pp. 83-107.
McClean, E., & Collins, C.J. 2011. High-commitment HR practices, employee effort, and firm performance: investigating the effects of HR practices across employee groups within professional services firms. Human Resource Management 50(3): 341-363.
Milliken, F. J. & Martins, L. L. (1996). Searching for Common Threads: Understanding the Multiple Effects of Diversity in Organizational Groups. Academy of Management Review, 21(2), pp. 402–434.
Mor Barak, M. E.; Cherin, D. A. & Berkman, S. (1998). Organizational and personal dimensions in diversity climate: Ethnic and gender differences in employee perceptions. The Journal of Applied Behavioral Science, 34(1), pp. 82-104.
Nishii, L. H. & Mayer, D.M. (2009). Do inclusive leaders help to reduce turnover in diverse groups? The moderating role of leader-member exchange in the diversity to turnover relationship. Journal of Applied Psychology, 94(6), pp. 1412-1426.
O’Reilly, C. A.; Caldwell, D. F. & Barnett, W. P. (1989). Work Group Demography, Social Integration, and Turnover. Administrative Science Quarterly, 34(1), pp. 21–37.
Paauwe, J.; Guest, D. E. & Wright, P. M. (2013). HRM and Performance. Achievements and Challenges, Chichester: John Wiley and Sons Ltd.
Panayides, P.M. (2003). Competitive strategies and organizational performance in ship management. Maritime Policy & Management, 30(2), pp. 123-140.
Pitts, D. (2009). Diversity management, job satisfaction, and performance: Evidence from US federal agencies. Public Administration Review, 69(2), pp. 328-338.
Pitts, D. & Jarry, E. (2007). Ethnic diversity and organizational performance: Assessing diversity effects at the managerial and street levels. International Public Management Journal, 10(2), pp. 233-254.
Pless, N. & Maak, T. (2004). Building an inclusive diversity culture: Principles, processes and practice. Journal of Business Ethics, 54(2), pp. 129-147.
Progoulaki, M. & Theotokas, I. (2016). Managing culturally diverse maritime human resources as a shipping company’s core competency. Maritime Policy & Management, 43(7), pp. 860-873, DOI: 10.1080/03088839.2016.1173734.
Ravazzani, S. (2016). Understanding approaches to managing diversity in the workplace: An empirical investigation in Italy. Equality, Diversity and Inclusion: An International Journal, 35(2), pp. 154-168.
Roosevelt Thomas, R. (1990). From affirmative action to affirming diversity. Harvard Business Review, 68(2), pp. 107-117.
Sabharwal, M. (2014). Is diversity management sufficient? Organizational inclusion to further performance. Public Personnel Management, 43(2), pp. 197-217.
Schröder-Hinrichs, J.; Hollnagel, E.; Baldauf, M.; Hofmann S. & Kataria, A. (2013). Maritime human factors and IMO policy, Maritime Policy & Management, 40(3), pp. 243-260, DOI: 10.1080/03088839.2013.782974.
Shen, J.; Chanda, A.; D’netto, B. & Monga, M. (2009). Managing diversity through human resource management: An international perspective and conceptual framework. The International Journal of Human Resource Management, 20(2), pp. 235-251.
Theotokas, I. & Progoulaki, M. 2007. Cultural diversity, manning strategies and management practices in Greek shipping. Maritime Policy & Management, 34(4), pp. 388-403.
Thomas, D. A. & Ely, R. J. (2001). A new paradigm for managing diversity. Harvard business review, 74(5), pp. 79-94.
Thompson, N. (1997). Anti Discriminatory Practice. Basingstoke: Macmillan.
Turner, J. C. (1987). Rediscovering the Social Group: A Self-Categorization Theory. Oxford, UK: Blackwell.
Van de Voorde, K.; Paauwe, J. & Van Veldhoven, M. (2012). Employee well‐being and the HRM-organizational performance relationship: a review of quantitative studies. International Journal of Management Reviews, 14(4), pp. 391-407.
Verbeek, S. R. (2011). Employment equity policy frames in the literature: Good Practice versus bad idea. International Journal of Human Resource Management, 22(9), pp. 1942-1962.
Watkins, M. W. (2006). Determining Parallel Analysis Criteria. Journal of Modern Applied Statistical Methods, 5(2), pp. 344-346.
Wright, P. M. & Nishii, L. H. (2007). Strategic HRM and organizational behavior: integrating multiple levels of analysis, CAHRS working paper series. New York: Centre for Advanced Human Resource Studies (CAHRS).
Published
2020-05-26
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Keceli, Y., Zaim, H., Kum, S., Dinc, M. S., & Momin, M. (2020). The Impact of Diversity Management and Leadership on Performance in Maritime Industry: Array. EuroEconomica, 39(1). Retrieved from https://dj.univ-danubius.ro/index.php/EE/article/view/246
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