In view of the link between Aetna’s strategic focus and the diversity outcomes, this study aims at discussing the relationship between profitably growing market share and earnings, alongside its diversity implication of building a workforce that understands racial/ethnic, gender, sexual orientation, and generational diversity of the market place.
According to Snell, Morris & Bohlander (2016), under the uniform guidelines on employee selection procedures, employers must prove that the selection instrument used to identify individuals for employment has a direct relationship to job success. In that sense, while building a workforce that understands the diversity of the market place, Aetna has to abide by the afore-going employment act. An appropriate workforce has to imbue Aetna with new ideas, innovations, and perspectives guided by the cultural experiences. According to Barak (2013), research has revealed that, companies with racial, ethnic and gender diversity stand a higher chance of record high financial returns above the medians within the industry. The author observes that, diversity is a competitive concept that helps in shifting the market share towards diverse companies with time. companies that embrace diversity are capable of hiring top talents, improve their client orientation, decision making, employee satisfaction, which often results into a virtuous cycle of maximizing profits.
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Aetna could take three specific actions to accomplish the diversity implication. Firstly, the organization can accomplish the implication by addressing diversity from an approach of talent management. The company should understand that diversity does not end with hiring (Barak, 2013). Aetna should address collective and individual differences throughout when employees are at the company. That way, managers will know the best way to offer feedback to the global workforce based on their cultural norms. Similarly, employees will be organized in a way that they will serve clientele that comes from their cultural background. That way, the company will retain both employees and customers, and profits will increase.
Secondly, Aetna can make diversity part of its brand. Hiring the right persons is not enough. The organization should let the world know that it embraces differences. It should invest in diversity through offering scholarship and internships to individuals from marginalized groups (Barak, 2013). They should spread the word through social media platforms highlighting the diverse workforce, partnerships and awards. As such, it will maximize its market share and profits will increase.
Finally, Aetna should focus beyond compliance. Diversity is much more than hitting the set quotas. It is establishing a diverse workforce just as the clientele base, and taking advantage of the differences to push business forward (Barak, 2013). When employees from various backgrounds work as a team, they bring a wide range of working styles, perspectives and thought processes. Aetna should exploit this to improve efficiency, spark creativity and win more customers, and profits will definitely increase (Barak, 2013).
References
Barak, M.E. (2013). Managing Diversity: Toward a Globally Inclusive Workplace. New York, NY: SAGE
Cascio, W. (2009). Aetna: Investing in Diversity Case. Society for Human Resource Management.
Snell, S., Morris, S. & Bohlander, G. W. (2016). Chapter 3. Equal Employment Opportunity and Human Resources Management. New York, NY: Cengage Learning
