Harvard Case - Breaking Bread: DEIB Challenges Impact a Peruvian Corporation's Potential
"Breaking Bread: DEIB Challenges Impact a Peruvian Corporation's Potential" Harvard business case study is written by Karen Lynden, Miguel Cordova. It deals with the challenges in the field of Human Resource Management. The case study is 14 page(s) long and it was first published on : Sep 13, 2023
At Fern Fort University, we recommend a multi-pronged approach to address the DEIB challenges at the Peruvian corporation. This includes implementing a comprehensive DEIB strategy, focusing on leadership development, fostering an inclusive organizational culture, and leveraging technology and analytics to track progress and ensure accountability. This strategy aims to attract, retain, and develop diverse talent, create a more equitable and inclusive workplace, and ultimately unlock the corporation's full potential.
2. Background
The case study highlights the challenges faced by a Peruvian corporation in attracting, retaining, and promoting diverse talent. The company's existing culture, rooted in traditional hierarchical structures and a lack of awareness regarding DEIB issues, creates a barrier to progress. The case also reveals a disconnect between the company's stated commitment to DEIB and its actual practices, leading to a lack of trust and engagement among employees.The main protagonists are the CEO, who is committed to DEIB but struggles to implement effective change, and the HR team, who are tasked with driving the DEIB agenda but lack the necessary resources and expertise.
3. Analysis of the Case Study
The case study can be analyzed through the lens of Organizational Behavior and Human Resource Management. The company's current situation reflects a lack of organizational culture conducive to diversity and inclusion. This is evident in the lack of employee engagement, talent management, and career advancement opportunities for diverse employees.
The following frameworks can be applied:
- The Lewin Change Management Model: This model highlights the need for unfreezing the existing culture, implementing change through a structured approach, and refreezing the new, inclusive culture.
- The McKinsey 7S Framework: This framework highlights the need for alignment between the company's structure, strategy, systems, shared values, skills, style, and staff to effectively implement DEIB initiatives.
- The Diversity and Inclusion Maturity Model: This model helps assess the company's current DEIB maturity level and identify areas for improvement.
4. Recommendations
Phase 1: Building a Foundation for Change
- Develop a Comprehensive DEIB Strategy: This strategy should be aligned with the company's overall business goals and address key areas such as hiring and recruitment, leadership development, employee retention, compensation and benefits, career advancement, and employee training.
- Establish a DEIB Steering Committee: This committee should be composed of senior leaders from various departments and be responsible for guiding and overseeing the implementation of the DEIB strategy.
- Conduct a Cultural Audit: This audit should identify existing biases and barriers to inclusion within the organization.
- Develop a Communication Plan: This plan should clearly communicate the company's commitment to DEIB and engage employees in the process of change.
Phase 2: Fostering Inclusive Leadership
- Develop DEIB Leadership Training: This training should focus on building awareness, understanding, and skills related to DEIB. It should also address unconscious bias and promote inclusive leadership styles.
- Create Mentorship and Sponsorship Programs: These programs should connect diverse employees with senior leaders who can provide guidance and support their career development.
- Implement a Performance Management System: This system should incorporate DEIB metrics and ensure that managers are held accountable for promoting diversity and inclusion in their teams.
Phase 3: Building an Inclusive Culture
- Implement Inclusive Hiring and Recruitment Practices: This includes using diverse recruitment channels, conducting blind resume reviews, and ensuring that the interview process is fair and unbiased.
- Create Employee Resource Groups (ERGs): ERGs provide a platform for employees from diverse backgrounds to connect, share experiences, and advocate for change.
- Promote Flexible Work Arrangements: This can help attract and retain talent from diverse backgrounds who may have different needs and preferences.
- Foster Open Communication and Dialogue: Encourage employees to share their experiences and perspectives on DEIB, and create safe spaces for dialogue and feedback.
Phase 4: Leveraging Technology and Analytics
- Implement a HR Information System (HRIS): This system can track DEIB metrics, identify areas for improvement, and measure the impact of DEIB initiatives.
- Utilize Data Analytics: Analyze data to identify patterns and trends related to diversity and inclusion, and use this information to inform decision-making.
- Leverage Social Media and Online Platforms: Use these platforms to promote the company's commitment to DEIB and attract diverse talent.
5. Basis of Recommendations
These recommendations are based on the following principles:
- Core competencies and consistency with mission: The recommendations align with the company's stated commitment to DEIB and its overall business goals.
- External customers and internal clients: The recommendations aim to create a more inclusive workplace that attracts and retains diverse talent, ultimately benefiting both internal and external stakeholders.
- Competitors: The recommendations are informed by best practices in the industry and help the company stay competitive in attracting and retaining top talent.
- Attractiveness - quantitative measures if applicable: The recommendations aim to improve key performance indicators such as employee engagement, retention, and innovation, which can be measured and tracked over time.
6. Conclusion
By implementing these recommendations, the Peruvian corporation can create a more inclusive and equitable workplace that attracts, retains, and develops diverse talent. This will not only enhance the company's reputation and brand image but also unlock its full potential for growth and innovation.
7. Discussion
Alternative approaches could include outsourcing some HR functions, such as recruitment, to specialized agencies with expertise in DEIB. However, this may not address the underlying cultural issues within the company and could lead to a lack of internal ownership of the DEIB agenda.
Key risks include resistance to change from employees and managers, lack of commitment from senior leadership, and insufficient resources for implementing the recommendations. These risks can be mitigated through effective communication, training, and leadership buy-in.
8. Next Steps
- Phase 1: Conduct a cultural audit and develop a comprehensive DEIB strategy within the next 6 months.
- Phase 2: Implement leadership training and mentorship programs within the next 12 months.
- Phase 3: Implement inclusive hiring and recruitment practices, create ERGs, and promote flexible work arrangements within the next 18 months.
- Phase 4: Implement an HRIS and leverage data analytics to track progress and measure the impact of DEIB initiatives within the next 24 months.
By following these steps, the Peruvian corporation can successfully navigate the challenges of DEIB and create a more inclusive and equitable workplace for all.
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Case Description
Honorable Mention; 2023 DEI Global Case Writing Competition This case combines a strategy issue (merger) encompassing the disciplines of organizational behavior and human resource management. Issues related to diversity, equity, inclusion, and belonging (DEIB) are intertwined in the case, ranging from gender discrimination to sociocultural and hierarchical social class discrimination. The case provides a glimpse into one context (Peru), using a realistic fictional situation, as an example relatable across cultures and a variety of industry and organizational settings. In less than two years, Sweet Mountain Bakery (SMB) lost substantial market share in Peru's cookie market. Top management was shocked to find the main reason was the high-growth performance of a relatively small firm in the country's Andes Mountains area, All You Knead (AYK). The competition became so fierce that employees of SMB and AYK regarded each other as rivals to defeat. In late 2022, after several aggressive yet ineffective competitive moves, SMB solved the situation with a buyout of AYK. Unanticipated in this merger was a set of serious DEIB challenges that emerged post-acquisition. Negativity between the two groups of employees undermined company efforts to attain synergy and efficiency and increase productivity. Students put themselves in the shoes of Victoria Huaman, SMB's new human resources vice president. She is the only woman and the only previous AYK manager among the direct reports to the CEO. Her task is to prepare a report addressing not only DEI issues but also the issue of belonging.
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