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In: Operations Management

Case 3-1 You Can't Get There From Here: Uber Slow on Diversity Established in 2009, Uber...

Case 3-1 You Can't Get There From Here: Uber Slow on Diversity

Established in 2009, Uber provides an alternative to taxicab service in 460 cities and nearly 60 countries worldwide. The trick? Their mobile application for smartphocles allows riders to arrange for transportation with drivers who operate their personal vehicles. A dual rating system (drivers and customers rate each other) serves as a quality control device keeping Uber standards high.(1) As an international technology firm, Uber has been challenged, along with other tech giants like Google and Twitter, to demonstrate that they are attuned to the specific needs of their employees, more specifically people of color and women. In Uber's own words: At Uber, we want to create a workplace that is inclusive and reflects the diversity of the cities we serve: where everyone can be their authentic self, and where that authenticity is celebrated as a strength. By creating an environment where people from every background can thrive, we'll make Uber a better company not just for our employees but for our customers, too (2) Yet actions speak louder than words, Uber employees describe the firm's work environment amid some managers as Machiavellant and merciless. Many blame Travis Kalanick, Uber's founder and former chief executive, for establishing such a negative culture. Uber's fast growth approach to the market has rewarded employees and managers who have aggressively pushed for greater revenues and fatter profits at the seeming cost of human dignity. For example, Uber has had its share of troubles addressing issues of sexual misconduct and workforce diversity. These issues came to light when a former employee, Susan Fowler, reported in her personal blog that she was being sexually harassed by her manager and that human resources had been informed of these infractions.(3) Susan Fowler said in her blog On my first official day rotating on the team. my new manager sent me a string of messages over company chat. He was in an open relationship, he said, and his girlfriend was having an easy time finding new partners but he wasn't. He was trying to stay out of trouble at work, he said, but he couldn't help getting in trouble, because he was looking for women to have sex with. It was clear that he was trying to get me to have sex with him, and it was so clearly out of line that immediately took screenshots of these chat messages and reported him to HRG) Uber's first reaction was to call Ms. Fowler's accusations abhorrent and inst everything Uber stands for and believes in.) Ms. Fowler purported that he manager was not punished because he was a high performeret other female employees reported similar incidents with the same manager leading Ms. Fowler to believe that HR was covering up for her manager Uber was in trouble as more and more scandals emerged and they quickly took the following actions: (a) apologized for some of their managers' actions, (b) had a board member and several female executives provide testimonials on the firm's positive work environment, and (c) began to probe workplace policies and procedures. Arianna Huffington, a board member, repeatedly labeled new employees a brilliant jerks."(6) Huffington said that this investigation would be different when Eric H. Holder Jr, the former United States Attorney General as well as some others), were hired to conduct their investigation, Uber released its first diversity report on March 28, 2017, one month after these allegations. This report indicated that women and nonwhite employees are underrepresented at the firm, not overly dissimilar from other technology based firms. Some of the most egregious statisties include(a) racial configuration- Hispanic. 9 black, 50% white, and (b) 85% of all technology jobs are held by men, with amere 16 of the total workforce comprised of women)
Only time will tell if this fast growth firm can manage its aggressive culture and diversity as it continues to expand into new marketplaces and those with differing cultures

  • Add your opinion about the choices and decisions being made—if this was your company would you make this choice?
  • What would you do differently?

Solutions

Expert Solution

· Q. Add your opinion about the choices and decisions being made—if this was your company would you make this choice? What would you do differently?

Ans- If Uber was my company; I would have never compromised on the dignity of my employees. I would have never discriminated among my employees on the basis of their race, color, religion, ethnicity, and gender. For me, the first thing would have been to respect the dignity and the human rights of my employees. It is not because a happy employee is always beneficial for the company but because a human deserves to be treated as human. Nobody should be exploited/ harassed due to any financial gain. Nobody’s dignity should be compromised because an employee is performing well and the company needs that employee for its benefits. Human dignity is well above the financial/monetary gains. A company can earn profits in short terms by compromising the dignity of its employees but for sure that company is bound to fail in the long term. Because a company is nothing without its employees and will never become successful without their contribution to the organization.

If I were the CEO of Uber, I would have ordered an inquiry against all such kinds of sexual misconduct/exploitation of my female employees and would have taken action against the offenders in a timely manner. I would have also handled the issue of diversity differently by giving proper representation to all the deserving applicants in my company without any discrimination on the basis of their religion, race, ethnicity, gender, and any other socially construed identity. I think these were the major things that I would have done differently.

P.S. - if you liked the answer please give an Up-vote, this will be quite encouraging for me, thank you! :)


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