**2. Theoretical basics of using the competence approach in the management of sociocultural diversity (diversity management)**

The theoretical basis of social and cultural diversity management (diversity management) is the institutional theory, the resource theory [3] and the concept of 'competence approach' (competency-based management) [4].

Competence approach has a relatively short history of development—about 150 years; however, today it is the basis of the most advanced education systems, for example, the system of European education. Using the concept of competencies in HR management goes back to the early 1980s of the last century and is a response to organizational changes and the move towards higher levels of performance. Today, the use of competency approach in HR management (competency-based management) is a recognized method of management.

Competence-based approach is an approach to the description, assessment and development of the person within which the behavior of the person is considered to be the manifestation of his competences. In foreign scientific literature, there are three main directions of competence-based approach: American (behavioral), English (functional) and integration in France, Germany and Austria. The common things in these directions help to define 'competences' as behavioral characteristics which the individual must have or which he must acquire to effectively cope with the work [5].

Referring to sociocultural diversity management, the competence approach provides methods of evaluation, development, motivation and stimulation of the required competences of employees and managers. Describing the state of research in the field of sociocultural diversity, it should be noted that the sociocultural diversity management is a relatively young industry, known little in Russia and in Eastern Europe. Its development is of great interest, because of the current problem for some ethnic groups to integrate in the Russian society and the issues of interaction with labor migrants, foreign partners in the WTO and foreign investors [6]. The management of sociocultural diversity (diversity management) as a separate direction in the personnel management (human resource management) originated in the USA and was a reaction to a common situation, when the company's staff consists of employees of different ages, nationalities, races, religions, etc. It is based on the principle that differences between people should not prevent their joint work [7].

'Diversity' may relate to various aspects: gender, age, color, religion, cultural differences, etc. In this article the focus is on cultural diversity and its specifics connected with employing foreigners and representatives of ethnic and religious minorities. Sociocultural diversity management is seen by many studies as the key strategic aspect of international companies. For example, in the work of the Canadian scientist of Indian origin Srinivas, it is noted that 'one of the key factors for the success and growth of global companies is that they have a global type of thinking, which includes such skills as curiosity, interest, recognition of the complexity and attention to diversity, the search for new opportunities, belief in progress, continuous improvement, long-term perspective and systematic thinking' [7]. In the work of Barkema, Baum and Mannix, the management of sociocultural diversity is considered as 'challenge of the time, the response to which will help companies to cope with diversity in international business, especially if the companies are able to cope with the undesirable consequences of diversity, such as interpersonal conflicts' [8].

Das and Parker note that there is no single correct or best way to manage sociocultural diversity. The authors prove the hypothesis that there are internal and external factors which define what approach to managing sociocultural diversity will be selected by the company, involved in international business. These authors propose the following typology of approaches to diversity management:


In the work of Shtykhno, there is a classification of methods of diversity management, based on the approaches Dass and Parker:

(a) Sustaining homogeneity

diversity, it should be noted that the sociocultural diversity management is a relatively young industry, known little in Russia and in Eastern Europe. Its development is of great interest, because of the current problem for some ethnic groups to integrate in the Russian society and the issues of interaction with labor migrants, foreign partners in the WTO and foreign investors [6]. The management of sociocultural diversity (diversity management) as a separate direction in the personnel management (human resource management) originated in the USA and was a reaction to a common situation, when the company's staff consists of employees of different ages, nationalities, races, religions, etc. It is based on the

principle that differences between people should not prevent their joint work [7].

diversity, such as interpersonal conflicts' [8].

74 Human Capital and Competences in Project Management

• Resistance—denying diversity and the need to manage it.

diversity management:

on the approaches Dass and Parker:

'Diversity' may relate to various aspects: gender, age, color, religion, cultural differences, etc. In this article the focus is on cultural diversity and its specifics connected with employing foreigners and representatives of ethnic and religious minorities. Sociocultural diversity management is seen by many studies as the key strategic aspect of international companies. For example, in the work of the Canadian scientist of Indian origin Srinivas, it is noted that 'one of the key factors for the success and growth of global companies is that they have a global type of thinking, which includes such skills as curiosity, interest, recognition of the complexity and attention to diversity, the search for new opportunities, belief in progress, continuous improvement, long-term perspective and systematic thinking' [7]. In the work of Barkema, Baum and Mannix, the management of sociocultural diversity is considered as 'challenge of the time, the response to which will help companies to cope with diversity in international business, especially if the companies are able to cope with the undesirable consequences of

Das and Parker note that there is no single correct or best way to manage sociocultural diversity. The authors prove the hypothesis that there are internal and external factors which define what approach to managing sociocultural diversity will be selected by the company, involved in international business. These authors propose the following typology of approaches to

• Discrimination and fairness—discrimination of specific groups in the name of justice for all. • Access and legitimacy—access to new markets is complicated without involving employees with different cultural, social and other characteristics; legitimacy refers to the trust that people have towards someone who looks and/or behaves in the same way as they do. • Learning and effectiveness—forming the attitude to diversity in organizations that allows to incorporate different points of view of employees to improve the efficiency of individual decisions, strategies and rules helps to redefine the mission and change the corporate culture. In this approach, it is recognized that often the choices made by workers and the way

they implement these decisions depend on their social and cultural background [9].

In the work of Shtykhno, there is a classification of methods of diversity management, based


Thus, the higher the external pressure on the organization is and the higher it prioritizes diversity, the better this organization integrates diversity management into other organizational and production processes. The success of diversity management implementation depends on the corporate culture, business strategy and HR policy, which develop internal communications and affect the exchange of information and creativity. This has a positive impact on the employees' performance and, consequently, the performance of the company.

Kohan, Bezrukova and others' works describe the results of researches done to identify the effects of using the methods of diversity management:


Analysing the experience of German companies, Ziegert notes that 'an acute shortage of competencies in the field of intercultural communication is mainly experienced by companies operating internationally' [11]. The role of intercultural competences is considered within a separate concept of management—'intercultural management'. Intercultural management issues refer to those organizations that 'employ foreign workers, as management needs to take into account their motivation system' and 'transnational corporations… which should take into account the cultural specifics of different countries in adapting the management style practiced by the company headquarters' [12]. An ability to effectively interact with different cultures is an important criterion for highly qualified specialists and, as a consequence, the success factor in creating innovation and the growth of economic well-being, entering new markets and preserving the existing markets. Based on the above-mentioned results of the research in the USA, Florida introduces a new formula for economic growth, 'describes it as the so-called "Three Ts": Technology, Talent and Tolerance, which contribute to economic development, market attractiveness and competitiveness' [13].
