Immigrant Cultural Diversity Management as a Catalyst for Organisation-Level Innovation

Conference paper
Part of the Eurasian Studies in Business and Economics book series (EBES, volume 9)

Abstract

A growing body of empirical research is uncovering the correlation between diversity and regional economic performance. Cultural diversity is accepted both as an economic asset, as well as a social benefit. Studies have demonstrated a positive economic impact of cultural diversity on productivity and innovation, but only a few organization-level studies have been conducted. The scientific literature discusses various benefits of cultural diversity to organisations, e.g., establishing the encouraging environment of “outside the box” thinking. Diverse management is more likely to introduce product innovations; moreover, diversity is particularly important for reaching international markets and serving the cosmopolitan population. Diversity encompasses race, gender, age, culture, education, personality, skills and life experiences. When managed effectively, cultural diversity offers the flexibility and creativity that is needed for enhanced innovation. The aim is to investigate how to handle immigrant cultural diversity to improve innovativeness in an organisation. Firstly, immigrant cultural diversity management and relation to innovation are discussed; secondly, the immigrant cultural diversity management model is presented.

Keywords

Cultural diversity Innovation Immigration 

References

  1. Bacouel-Jentjens, S., & Christiansen, L. C. (2016). Diversity management in Denmark and France: A comparative approach. In A. Klarsfeld, E. S. Ng, L. A. E. Booysen, L. C. Christiansen, & B. Kuvaas (Eds.), Research handbook of international and comparative perspectives on diversity management (pp. 45–68). Cheltenham: Edward Elgar Publishing.CrossRefGoogle Scholar
  2. Bouncken, R., Brem, A., & Kraus, S. (2016). Multi-cultural teams as sources for creativity and innovation: The role of cultural diversity on team performance. International Journal of Innovation Management, 20(1), 1–34.CrossRefGoogle Scholar
  3. Brody, A. A., Farley, J. E., Gillespie, G. L., Hickman, R., Lyder, C., Ruppar, T., & Pesut, D. J. (2017). Diversity dynamics: Issues and strategies to create positive organizations: The experience of male Robert Wood Johnson Foundation nurse faculty scholars. Nursing Outlook, 65(3), 278–288.CrossRefGoogle Scholar
  4. DiRienzo, C., & Das, J. (2015). Innovation and role of corruption and diversity: A cross-country study. International Journal of Cross Cultural Management, 15(1), 51–72.CrossRefGoogle Scholar
  5. Fujita, M., & Weber, S. (2004). Strategic immigration policies ir welfare in heterogeneous countries (Fondazione Eni Enrico Mattei (FEEM) Working Paper No. 2). Milano: Nota di lavoro/Fondazione Eni Enrico Mattei.Google Scholar
  6. Gelfand, M. J., Aycan, Z., Erez, M., & Leung, K. (2017). Cross-cultural industrial organizational psychology and organizational behavior: A hundred-year journey. Journal of Applied Psychology, 102(3), 514–529.CrossRefGoogle Scholar
  7. Hiemstra, A. M. F., Derous, E., & Born, M. P. (2017). Psychological predictors of cultural diversity support at work. Cultural Diversity and Ethnic Minority Psychology, 23(3), 312–322.CrossRefGoogle Scholar
  8. Hunt, J., & Gauthier-Loiselle, M. (2010). How much does immigration boost innovation? American Economic Journal: Macroeconomics, 2(2), 31–56.Google Scholar
  9. Ikegami, J. J., Maznevski, M., & Ota, M. (2017). Creating the asset of foreignness: Schrödinger’s cat and lessons from the Nissan revival. Cross Cultural and Strategic Management, 24(1), 55–77.CrossRefGoogle Scholar
  10. Kemeny, T. (2017). Immigrant diversity and economic performance in cities. International Regional Science Review, 40(2), 164–208.CrossRefGoogle Scholar
  11. Korzilius, H., Bucker, J. J. L. E., & Beerlage, S. (2017). Multiculturalism and innovative work behavior: The mediating role of cultural intelligence. International Journal of Intercultural Relations, 56, 13–24.CrossRefGoogle Scholar
  12. Kushnirovich, N., Heilbrunn, S., & Davidovich, L. (2017). Diversity of entrepreneurial perceptions: Immigrants vs. native population. European Management Review, 1–15.Google Scholar
  13. Lee, N. (2013). Cultural diversity, cities and innovation: Firm effects or city effects? (SERC Discussion Papers, SERCDP0144) (pp. 1–25). Spatial Economics Research Centre (SERC), London School of Economics and Political Science, London.Google Scholar
  14. Levin, S. G., & Stephan, P. E. (1999). Are the Foreign born a source of strength for U.S. science? Science, 285(5431), 1213–1214.CrossRefGoogle Scholar
  15. Lisak, A., Erez, M., Sui, Y. & Lee, C. (2016). The positive role of global leaders in enhancing multicultural team innovation. Journal of International Business Studies, 47(6), 655–673.CrossRefGoogle Scholar
  16. Lungeanu, A., & Contractor, N. S. (2015). The effects of diversity and network ties on innovations: The emergence of a new scientific field. American Behavioral Scientist, 59(5), 548–564.CrossRefGoogle Scholar
  17. Madera, J. M., Dawson, M., & Neal, J. A. (2016). Why investing in diversity management matters: Organizational attraction and person–organization fit. Journal of Hospitality and Tourism Research, 20(10), 1–29.Google Scholar
  18. Mare, D. C., Fabling, R., & Stillman, S. (2014). Innovation and the local workforce. Papers in Regional Science, 93(1), 183–201.CrossRefGoogle Scholar
  19. Nathan, M., & Lee, N. (2013). Cultural diversity, innovation, and entrepreneurship: Firm-level evidence from London. Economic Geography, 89(4), 367–394.CrossRefGoogle Scholar
  20. Niebuhr, A. (2006). Migration and innovation: Does cultural diversity matter for regional R&D activity? Institute for Employment Research, 14, 1–38.Google Scholar
  21. Nishii, L. H., & Ozbilgin, M. F. (2007). Global diversity management: Towards a conceptual framework. The International Journal of Human Resource Management, 18(11), 1883–1894.CrossRefGoogle Scholar
  22. Official Bosch Internet Page. (2017). Diversity at Bosch. Accessed July 27, 2017, from http://www.bosch.hr/en/hr/career/diversity/diversity-at-bosch.html
  23. Østergaard, C. R., Timmermans, B., & Kristinsson, K. (2011). Does a different view create something new? The effect of employee diversity on innovation. Research Policy, 40(3), 500–509.CrossRefGoogle Scholar
  24. Ozgen, C., Nijkamp, P., & Poot, J. (2013). The impact of cultural diversity on firm innovation: Evidence from Dutch micro-data. IZA Journal of Migration, 2(18), 2–18.Google Scholar
  25. Ozgen, C., Peters, C., Niebuhr, A., Nijkamp, P., & Poot, J. (2014). Does cultural diversity of migrant employees affect innovation? International Migration Review, 48(S1), S377–S416.CrossRefGoogle Scholar
  26. Ozman, M., & Erdil, E. (2013). Cultural diversity, knowledge diversity and innovation (WP5/16 Search Working Paper), pp. 1–25.Google Scholar
  27. Parrotta, P., Pozzoli, D., & Pytlikova, M. (2014). The nexus between labor diversity and firm’s innovation. Journal of Population Economics, 27(4), 303–364.CrossRefGoogle Scholar
  28. Rodríguez-García, D. (2010). Beyond assimilation and multiculturalism: A critical review of the debate on managing diversity. Journal of International Migration and Integration, 11(251), 251–271.CrossRefGoogle Scholar
  29. Saxenian, A. L. (2006). The New Argonauts: Regional advantage in a global economy. Cambridge: Harvard University Press.Google Scholar
  30. Schönwälder, K., & Triadafilopoulos, T. (2016). The new differentialism: Responses to immigrant diversity in Germany. German Politics, 25(3), 366–380.Google Scholar
  31. Scott, C. L. (2014). Historical perspetives for studying diversity in the workforce. In M. Y. Byrd & C. L. Scott (Eds.), Diversity in the workforce – Current issues and emerging trends (pp. 3–33). New York: Routledge Tyler and Francis Group.Google Scholar
  32. Sobel, R. S., Dutta, N., & Roy, S. (2010). Does cultural diversity increase the rate of entrepreneurship? The Review of Austrian Economics, 23(3), 269–286.CrossRefGoogle Scholar
  33. Solheim, M. C. W., & Fitjar, R. D. (2016). Foreign workers are associated with innovation, but why? International networks as a mechanism. International Regional Science Review, 1–24.Google Scholar
  34. Stahl, G. K., Miska, C., Lee, H. J., & Luque, M. S. D. (2017). The upside of cultural differences: Towards a more balanced treatment of culture in cross-cultural management research. Cross Cultural and Strategic Management, 24(1), 2–12.CrossRefGoogle Scholar
  35. Ward, A. K., & Ravlin, E. C. (2016). Building influence as an outsider: A theoretical approach to cross-cultural impression management. Human Resource Management Review, 27(3), 491–506.CrossRefGoogle Scholar
  36. Zanfrini, L., & Monaci, M. (2017). Between ambitions and ambivalences: Cross-cultural diversity management and immigrant integration. Business and Management Studies, 3(1), 10–23.CrossRefGoogle Scholar
  37. Zhan, S., Bendapudi, N., & Hong, Y. (2015). Re-examining diversity as a double-edged sword for innovation process. Journal of Organization Behavior, 36(7), 1026–1049.CrossRefGoogle Scholar

Copyright information

© Springer International Publishing AG, part of Springer Nature 2018

Authors and Affiliations

  1. 1.Kaunas FacultyVilnius UniversityKaunasLithuania

Personalised recommendations