Factors influencing the implementation of diversity management in business organisations in a transition economy. The case of Slovakia

Abstract

With increasing internationalisation of business, diversity management has emerged as an important issue, even in traditionally non-diversified companies. This research seeks to examine the effect of size, legal form and share of the foreign capital in the ownership structure of the organisation on the implementation of diversity management. An empirical survey was carried out that examined the state of the implementation of diversity management in the Slovak Republic. Using non-parametric statistical methods and post-hoc testing by data analysis, the research survey revealed that the evaluated factors significantly influenced the attitudes of respondents towards the diversity management implementation. The respondents working in large business organisations generally perceive the diversity management concept more positively when compared with respondents working in smaller organisations. The respondents working in business organisations where the share of foreign capital in the ownership structure exceeds 80% are more positively inclined towards the implementation of diversity management. The legal form of the business organisation does not influence the attitudes of the respondents in any significant way. We recommend domestic business organisations and SMEs focus on the diversity issues, especially on supporting the diversified work teams. This can preferably be done by diversity training, using formalised HRM procedures and mentoring initiatives. Diversity management is not solely a domain of subsidiaries and large business organisations. The organisations are able to benefit from diversity management regardless of their size and country of origin.