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346 PART 4: THE LEADER AS A RELATIONSHIP BUILDER
all levels of the organization. In addition, they express the vision through
symbols and rituals that reinforce the value of a diverse workforce.
• A broad knowledge of the dimensions of diversity and awareness of
multicultural issues. Leaders need a basic knowledge of the primary
dimensions of diversity as discussed earlier in this chapter: age, race,
ethnicity, gender, mental or physical abilities, and sexual orientation, as
well as some understanding of secondary dimensions. Knowledge is also
put into action through the use of inclusive language and showing respect
for differences.
• An openness to change themselves. Leaders in diverse organizations
encourage feedback from their employees, can accept criticism, and are
willing to change their behavior. It is leaders’ behavior that has the most
impact on whether diversity is truly valued within the organization. At
Baxter Healthcare Corp., for example, Chairman and CEO Harry Jansen
Kraemer, Jr. writes a newsletter called CEO Update for the company
intranet. Rather than just talking about business issues, he includes a
section updating people on his family life. For women who are juggling
career and family, it is a clear signal that the company values family and
considers work/life balance important. 76
• Mentoring and empowerment of diverse employees. Leaders take an active
role in creating opportunities for all employees to use their unique abilities.
They also offer honest feedback and coaching as needed, and
Action Memo
they reward those in the organization who show respect to all
individuals.
As a leader, you can create a personal
Once leaders examine and change themselves, they can lead
vision for a diverse community. You can
change in the organization. Diversity presents many challenges, yet it
use words, symbols, and leadership actions
also provides leaders with an exciting opportunity to build organiza-
to create an organizational culture that
tions as integrated communities in which all people feel encouraged,
includes the participation of all people
respected, and committed to common purposes and goals. Consider
regardless of race, age, gender, cultural or
how leaders at Denny’s Restaurants have improved diversity aware-
ethnic group, or physical ability.
ness to transform the company from an icon of racism to a paragon of
diversity.
IN THE LEAD Denny’s Restaurants
It was a spring morning in 1993 when six African-American Secret Service agents
sat waiting for their food at Denny’s for more than an hour while their white col-
leagues ate. Their meals arrived just before they had to leave. The highly publicized
incident led to other revelations of discrimination against African-American custom-
ers and employees—and to a series of racial discrimination lawsuits. Thirteen years
later, a Denny’s executive received the “We Share the Dream Award” at the 18th
annual Dr. Martin Luther King Jr. Awards Dinner, and the company was showing up
on several “best companies for minorities” lists, including being ranked at the top
of Black Enterprise magazine’s 2006 “Best 40 Companies for Diversity.” How did

Denny’s go from worst to first? It comes down to top leader commitment and some
serious training to improve diversity awareness and behavior.
After settling the discrimination lawsuits in 1994, Denny’s hired Rachelle Hood as
its first chief diversity officer. Hood got the company to hire more than 100 diversity

trainers and implemented training at every level. Every single person at Denny’s—not
just managers, dishwashers, and servers, but also media planners and leased se-
curity guards—attends diversity training with specifi c guidelines on how to apply