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Savour

The Magazine of the Restaurant Association of New Zealand

Cultural Diversity Management in Hospitality  

12 May 25

We live in a constantly evolving world. Globalisation is at a peak, with movement and travel between countries being more accessible than ever. The result of this is a growth of cultural diversity throughout the world and the hospitality industry has naturally become a leading example of this.  

The hospitality industry is culturally diverse — not only in its workforce but also in its customer base. In many cultures, there’s a shared saying that ‘food brings people together,’ which reflects the unifying role hospitality plays in our communities. While this diversity helps unite people through a shared love of hospitality, the industry also faces the challenge of not just maintaining that unity, but actively promoting and strengthening it.

Cultural differences vary greatly and need to be considered by employers when conducting business. This can be anything from how to manage your staff, to how you should treat customers. Maintaining this standard will result in a number of positive outcomes that not only benefit your staff and customers but your business as a whole.

What is Cultural Diversity? 

By definition, cultural diversity is described as the existence of people that come from different ethnic or cultural backgrounds that co-exist within the same space. In this case (in relation to the same space) we are referring to the hospitality industry and all involved with it. A 2024 survey conducted by the Ministry of Business Innovation and Employment showed that while the majority of hospitality workers in New Zealand identify as New Zealand European (just over 50%), the remaining employees were of different ethnicities/backgrounds, indicating the heavy presence of cultural diversity in our hospitality sector.

Benefits and Importance of Cultural Diversity in the Hospitality Sector

There are numerous benefits that come with cultural diversity in the hospitality sector including:

  • Increased understanding of different perspectives. People from different ethnic backgrounds bring with them various beliefs and differing values. The strength of this is the provision of different ideas, outlooks and methods of conducting business. This should be acknowledged by business owners and used to advantage.  
  • Increased Performance of staff members. As already mentioned, individuals from different ethnic backgrounds bring different strengths to a team. When these are combined together, they can ultimately result in increased performance due to productivity, drawing different strengths from each perspective.
  • Maintaining a professional service to customers. A culturally diverse team has a culturally diverse approach to dealing with (you guessed it) a culturally diverse customer base. Cross-cultural understanding between professional staff and the customers they serve not only supports professionalism, but also enhances communication, builds trust, improves customer satisfaction, and creates a more welcoming environment for everyone.
  • Inclusiveness. With differing ethnic backgrounds comes different belief systems and life approaches. A working environment that celebrates these differences and values will positively affect your employees and accordingly, their willingness to be present and perform for your business.
  • Promoting a good company reputation. With all of the above in mind, the aim is to utilize all of these strengths and benefits of having a culturally diverse workforce to a point where you can maintain and build a strong company reputation.

How to apply, manage and promote cultural diversity in the workplace

With the above benefits in mind, it is highly recommended that all business owners take action to manage and promote cultural diversity within their business in order to take advantage of the opportunities and benefits that come with it. Consider the following:

  • Encourage effective communication between your staff. A diverse team brings a range of attributes and workstyles, which can lead to misunderstandings or tension if not well managed. Encouraging open communication and fostering mutual understanding among team members is essential for a cohesive and effective workplace.
  • Continue to upskill your staff by providing development opportunities where available. This can be in the form of training and education programmes. Upskilling is not only limited to professional development.
  • Acknowledge and celebrate cultural diversity in your workplace. With different cultural backgrounds comes different beliefs and celebrations. For example, many restaurants celebrated the end of the month of Ramadan on the 29th of March by reserving bookings for families looking to celebrate Eid al-Fitr (breaking of the fast).

Conclusion

Business owners should look to both respect, appreciate and promote cultural diversity so they can both effectively manage a workforce and serve an equally diverse customer base.

We have further guides, resources and policies that can direct our members towards promoting a culturally diverse work environment for their employees. Please contact our Helpline (0800 737 827) if you need further assistance.


Related information:

Neurodiversity in Hospitality: Creating Inclusive Restaurants and Cafes

Policy: Diversity and Inclusion

Empowering women in hospitality