Abercrombie & Fitch's Challenges

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As the borders that once divided global citizens continually fade it is critical for corporate leaders acknowledge the importance of diversity management. Gone are the days of corporate leaders talking about diversity put placing little action behind it. Parks (2008) explained that diversity management has become more than tracking the number of minorities reflected in your workforce and evolved into a creating an inclusive work environment which embraces the varying perspectives utilizing in benefit of organizational goals (p 1). These varying perspectives can include the standard protected classification such as religion, race, culture, handicaps and sexual orientation as well as other aesthetic factor. Managing diversity holistically as the business necessity increases team collaboration, productivity and efficiency. “Recent studies of factors that moderate the relationship between cultural diversity and work group effectiveness have begun to make some sense of these findings, suggesting that when group members share common goals and values, cultural diversity leads to more beneficial outcomes" (Ely & Thomas, 2001, p235). In a world where the slightest accusation of discrimination can cause an organization millions in public image rehabilitation, there are still organizations that haven’t embraced the importance of properly maintaining a diverse and inclusive environment. Abercrombie & Fitch’s challenges with diversity management are well documented. The clothing retailers history of discrimination centering on the CEO Mike Jeffries and his controversial “look policy” have resulted in multiple discrimination law suits, a battered brand image and plummeting profit margins. One of the organizations biggest challenges, facing A... ... middle of paper ... ...e issue. Abercrombie & Fitch Employment discrimination. Retrieved from http://www.naacpldf.org/case-issue/abercrombie-fitch-employment-discrimination Park, A. (2008). Making Diversity a Business Advantage. Harvard Management Update, 13(4). 1-4. Sacribey, O. (2013, September 23). Abercrombie & Fitch to change ‘look policy,’ allow hijabs. Religious News Service. Retrieved from http://www.religionnews.com/ on 9/28/13 The Associated Press. (2004). Settlements Lower Abercrombie 3Q Earnings. AP Online, The Associated Press. (2013). Abercrombie & Fitch CEO contract restructured. AP Financial News, Thomas, J. (1990). From Affirmative Action to Affirming Diversity. Harvard Business Review, 68(2), 107-117. U.S. Department of Justice, civil Rights Division, Disbility Rights Section. (2009). American with disabilities act. Retrieved from http://www.ada.gov/cguide.htm 9/28/2013

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