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Mitigating the Impact of Cultural Diversity on the Innovation Process in the Private Sector in Dubai

7/16/2016

Mitigating the impact of cultural diversity on the innovation process in the private sector in Dubai

RES501: Research Methods “Qualitative”

Hassan Haji 2015103093

MSc in Project Management Programme

Module Coordinator: Dr Khalid Almarri

 The main concepts in this section include the background information and the current situation of innovation in the construction private sector in Dubai. It is vital to note that the private sector mainly consists of all for-profit companies that are not operated or owed by the government. On the other hand, innovation is the process used to translate the ideas into goods or services that create value. There are many ways companies can create innovation one of which is having a diverse workforce as identified by Hewlett (2013).

1.1 Background Information

Most managers now see the benefit of having a diverse workforce because it is known for its ability to unlock innovation and drive the growth of the economy (Hewlett, 2013). According to a research conducted in the Harvard Business Review on how diversity can improve innovation, and which was conducted by Hawless et al. (2013), indicated that there are two kinds of cultural diversity which are the acquired and inherent diversity. Hawless et al. (2013) further states that inherent diversity includes the traits that an individual is born with such as gender and ethnicity, on the other hand, acquired diversity is considered to be the traits that people gain from the experience. According to this research, companies that had two-dimensional diversity (2-D diversity) were able to out-perform and out-innovate others by encouraging an environment where people can think outside the box and where ideas are heard (Hawless et al., 2013). 6 | Page However, he further states that even with the advantages that come with cultural diversity, often there are risks of negative effects that can affect innovation, such as, conflict among team members who are involved in the innovation process that can result in delays in the process of completing projects (Hawless, 2013), therefore researching methods to mitigate the negative impacts resulting from cultural diversity is crucial on the private in the Dubai. The private sector has become crucial in Dubai because it helps the country meet its longterm goal of being an attraction destination for tourist and investors. Holliday (2002) indicates that the country is increasing its investments in innovative projects that are in the private sector especially in the construction, travel and tourism sectors that has seen changes in the region. For example, over the years, the demand for the best and most attractive construction buildings has increased as the country attempts to reduce its reliance on the oil revenues (Holliday, 2002). It is evident from reports given by the National Geographic in 2014 that it is not only oil that makes the economy in Dubai grow as the leaders of the government Dubai were wise enough in the early 2000s to realize that oil would not last for more than a few decades. Therefore, the leaders of the government of Dubai decided to invest in building a more stable economy in the construction industry by building an attractive place that would attract people to come, stay, and invest in (National Geographic, 2014).

1.2 Current Situation

The decrease in the prices of oil has made countries in the Middle East find alternative ways of securing their economies, according to Writer (2016) the region has seen increased investment in the private sector especially in the travel, tourism, and construction sectors. 7 | Page However, the year 2016 has seen a decrease in the economic growth of the sector as is evident from a decrease in the Emirates NBD Dubai Economy Tracker Index as it has reduced to 48.9 from 50.7 (Writer, 2016). Further analysis of sub-sectors in the private sector, as per Writer (2016), shows that the travel and tourism industries have recorded the fastest decline in their business conditions. Writer, (2016) further states that there have also been deteriorations in the conditions of the wholesale and retail sectors, and the construction sectors. To conclude, it has become crucial for the country to be innovation to secure its economy, which is possible by encouraging workforce diversity.

1.3 Scope

The scope of the research is analysing the impact of cultural diversity on innovation in the construction industry in the private sector in Dubai and ways of mitigating any negative impacts.

1.4 Significant of the study

The increase in the number of innovative projects that are seen in Dubai increases the demand for their success according to Basit (2016). It also increases the demand for workers who mostly come from other countries and different cultural backgrounds (Basit, 2016). According to Writer, (2016) it has become crucial to analyse the various factors that affect such projects, especially cultural diversity. 8 | Page

1.5 Problem Statement

Even with the level of innovation seen in the region according to the analysis of the current situation above, there has been a decrease in the economy according to Stahl, (2010). It makes it vital to analyse the factors that affect the level innovation.

1.6 Aim and Objective

The aim of the research is to analyse ways of mitigating the impact of cultural diversity on the innovation process in the construction industry in the private sector in Dubai. Specific objectives include;

A. Establishing the reasons behind the increased level of innovation in the emirate of Dubai in the private sector, construction industry.

B. Discussing the progress of diversity in travel, tourism and construction industries

C. Determining aspects that constitute to workplace diversity in the private sector specifically the construction industry.

D. Discuss how cultural diversity impacts the success of managing the innovative projects in the private sector, specifically construction industry.

E. Establish the relationship between cultural diversity and innovation process in the private sector specifically the construction industry.

F. Determine the positive impact of cultural diversity on the innovation process in the private sector in the emirate of Dubai specifically construction industry.

G. Determine the negative impact of cultural diversity on the innovation process in the private sector specifically construction industry suggest a cultural diversity mitigation framework for improving innovation process in the private sector in the emirate of Dubai specifically the construction industry.

1.7 Research Questions

The research will try to answer the following research questions;

A. What are the causes of the increased level of innovation in in the private sector specifically the construction industry?

B. What is the progress of progress of workplace diversity in Dubai?

C. What are the aspects that constitute to workplace diversity in the private sector specifically the construction segment?

D. How does cultural diversity impact the success of managing innovative projects in the private sector specifically the construction industry?

E. What is the relationship between cultural diversity and innovation process in Dubai specifically the construction industry?

F. What are the positive impacts of cultural diversity on the innovation process in the private sector in the Dubai specifically the construction industry?

G. How does the lack of knowledge on the benefits of workplace diversity negatively impact the innovation process in the private sector in the Dubai construction industry?

H. How does cultural diversity prejudice negatively impact the innovation process in the private sector in the Dubai specifically construction industry? 10 | Page

I. How does cultural diversity ethnocentrism negatively impact innovation process in the private sector in the emirate of Dubai specifically construction industry?

J. How does cultural diversity discrimination negatively impact innovation process in the private sector in the emirate of Dubai specifically the construction industry?

K. How does cultural diversity stereotyping negatively impact the innovation process in the private sector in the emirate of Dubai specifically the construction industry?

L. How does cultural diversity harassment and backlash negatively impact the innovation process in the private sector in the emirate of Dubai specifically the construction industry?

M. How does cultural diversity increased awareness act as a way of mitigation for improving innovation process in the private sector in the emirate of Dubai specifically the construction industry?

N. How does cultural diversity training act as a way of mitigation for improving innovation process in the private sector in the Dubai specifically the travel, tourism and construction industries?

1.8 Method Used to Complete the Qualitative Section

The method that would be used in the successful completion of the research includes;

1. Completion of the literature reviews on cultural diversity and their impact on projects by analysing past research in journal articles and published books.

2. The literature review will assist in getting the necessary research questions that are different from those generated from the research objectives. The section will also help to develop the conceptual framework and the factors for the quantitative research. 11 | Page 2

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