Diversity is the key to growth in today's extremely competitive global marketplace. Leaders can no longer hide behind their lack of cultural intelligence, but accept diversity. To enjoy its benefits. Cultural diversity refers to the varieties of human cultures and cultural differences that exist in the organization, society or the world as a whole (Amadeo, K., 2014). Characteristics of diversity include race, language, ethnicity, religion, value system, education, nationality, social structure, beliefs, gender and physical appearance. Cultural diversity is increasingly increasing within the American workforce. One report shows a projection of a decline in the proportion of working-age whites from 83 percent to 63 percent and an increase in the minority group from 18 percent to 37 percent by 2020 (NCPPHD, 2005 ). Cultural diversity has contributed substantially to the social and economic growth of the country. Leaders of an organization should not ignore the substantial benefits of cultural diversity in the workplace, but rather maintain and enhance it to increase the reputation and productivity of the organization. The benefits of managing cultural diversity Cultural diversity can bring tangible benefits to an organization ready to promote, maintain and value the difference of cultures. As the market becomes more and more competitive, many business leaders are expanding and developing new ideas, products and services beyond their usual culture or environment. A diverse workforce will help understand the need and interest in another culture within and outside the region. Thus helping the company to expand globally, acquire more business opportunities, provide opportunities to create an excellent and diverse customer base and remain competitive...... middle of paper .... .. employees know how to work better with diverse bosses or teammates, creates cultural awareness and teaches cultural sensitivity. Cross-cultural training will help employees learn and understand the customs and beliefs of another culture. Encourages employees to appreciate and see the benefits that another can bring to the workplace. Cross-cultural training helps leaders develop global skills for dealing with people or business partners from another culture. The training will not only ensure diversity but prepare the organization's leaders for the global market. In conclusion, as businesses become more global every day, productivity and profitability depend on good interactions with diverse groups. A leader who understands the importance and principles of leading an effective and diverse group will reap the fulfillment and benefits of being a multicultural leader..