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In: Operations Management

Building a Culture for Inclusion at Whirlpool Approximately 60 percent of the employees of Michigan-based Whirlpool...

Building a Culture for Inclusion at Whirlpool

Approximately 60 percent of the employees of Michigan-based Whirlpool Corporation, the world's largest manufacturer of home appliances, are located outside of North America. Even within North America, the company has a rich multicultural mix of employees. Diversity and inclusion are central to Whirlpool Corporation's goal of placing its appliances in “every home, everywhere”—a vision that guides its employees around the world. Whirlpool believes that acknowledging its diversity and practicing inclusiveness allows it to utilize all employees' unique strengths to increase Whirlpool's productivity, profit, and performance.

“At Whirlpool, we best serve the unique needs of our customers through diverse, inclusive and engaged employees who truly reflect our global customer base,” says Jeff Fettig, chairman and CEO. Because diverse employees help provide a keen understanding of its diverse global customers' needs, diversity and inclusion are encouraged throughout the organization. Whirlpool views diversity as about being different, and inclusion as the respectful involvement of all people and making use of everyone's talents. Whirlpool believes that differences create value, and they practice inclusion because it enables the company to best respond to the needs of its diverse customers.

Senior leaders make inclusion a top priority. A diversity council oversees the efforts of the corporate diversity network, and a diversity network mentoring program addresses the needs of new hires. The company also hosted a diversity summit to discuss building a culture of inclusion.

Whirlpool understands that its leaders must first show an understanding of and interest in diversity before it can become part of the company culture. To involve busy senior leadership and middle management in the company's diversity efforts, it creates short five- to ten-minute podcasts that report on the company's diversity initiatives, and gives iPod Shuffles to upper management so that they can listen to these programs while on the go. Executives can also print them out as short, two-page papers. A diversity and inclusion “lunch and learn” series, hosted by the employee-based diversity networks, offers a comfortable environment to generate discussion among peers. The engagement of Whirlpool's leaders has stimulated positive change throughout the organization.

Whirlpool integrated diversity and inclusion into its business in three phases:

  1. Awareness building: Whirlpool began by building the business case for diversity in a changing consumer marketplace, and then delivered that message along with diversity training to the company's approximately 18,000 employees.

  2. Building competency and capacity: Next, it developed tools to enable senior managers to effectively manage a global workforce and build employee engagement.

  3. Embedding best practices: After training managers and employees, Whirlpool wove best practices into the fabric of the organization. It began by previewing the company's diversity strategy for new employees and continued through the development of an educational development curriculum that prepares senior managers to effectively manage a multicultural workforce.

Whirlpool's slogan even reflects its culture of diversity: “The only thing more diverse than our products … Are the people who create them.”Whirlpool was among Diversity Inc's Top 50 Companies for Diversity in 2011. In addition, Whirlpool has received a 100 percent rating in the Human Rights Campaign Corporate Equality Index.

  1. Do you agree that Whirlpool can realize a competitive advantage through its diverse employees?

  2. How else can technology be used to enhance Whirlpool's culture of inclusion?

  3. Do you feel that Whirlpool's efforts to create a culture of inclusion are worthwhile? Explain your answer.

Solutions

Expert Solution

Yes, Whirlpool can realize a competitive advantage through its diverse employees.

Diversity has an advantage within itself. If any organization has a difference in their workplace, it will help them gain a pool over the different mindset and creativity.

Employees with different cultures and societies have different mindsets and attitudes, which can help them create an environment full of creativity because of the creative mindset. Moreover, this diversity in the workplace can also help the company gain more innovative ideas in its product and organization.

Whirlpool can use technology in their culture of inclusion by using online ways of providing training and webinars for the employees or candidates for organization and performing conferences and meeting online, which would help them save time and cost while reaching a large population of employees.

Yes, Whirlpool's effort to create a culture of inclusion is worthwhile.

All the practices adopted by the company will help those employees in feeling a sense of trust and belongingness with the organization and also helps in building an excellent superior-subordinate relationship. Other things will help create an ethical organizational climate and motivate the employees to work harder and provide employees with satisfaction to the organization's workforce.


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