Impact of Cultural Diversity on Overall Organizational Performance: A Moderating Role Education
Abstract:
This study focused on the impact of
cultural diversity on organizational performance as moderated by employees’
educational attainment. The study measured cultural diversity as language, religious
and value system diversity. Organizational performance was measured as team building,
communication, and employee productivity. The study collected primary data from
353 employees from ten different manufacturing companies in the Ashanti and Greater
Accra Regions of Ghana. The study employed mean and standard deviation for descriptive
analysis. The study employed a structural equation model for the estimation. Cultural
diversity was found to be prevalence in the sampled companies. However, team building,
and communication were effective, and employee productivity was high. The
educational attainment of employees significantly reduced the negative impact
of language, religious, and value system diversity on each organizational
performance indicator. Stakeholders in Ghana’s manufacturing industry should
encourage continued human resource development through the pursuance of higher education,
internal and external training, and seminars.
References:
[1] Hofstede, G. (2001). Cultural Consequences: Comparing values, behaviors, institutions, and Organizations across
nations. (2nd ed) Thousand oaks, ca: sage publication inc.
[2]
Nile, M. & Dyer, G. (2004).
Human capital and learning as a source of sustainable competitive advantage Strategic
Management Journal Volume 25, Issue 12, pages 1155–1178.
[3] Herring,
C. (2009). Does diversity pay? Race, gender, and the business case for diversity.
American sociological review, 74(2), 208-224.
[4]
Ashton, V. (2010).
Does ethnicity matter? Social workers’ personal attitudes and professional behaviors
in reporting child maltreatment. Advances in Social Work, 11(2), 129-143.
[5] Dike, P.
(2013). The impact of workplace diversity on organisations.
[6]
Canopy Health. (2018). Productive
Team-Building Exercises at the Workplace. Canopy Health.
[7]
Bright HR. (2020). The Importance
of Teamwork in the Workplace Bright HR undefined. Brighthr.com.
[8]
Brady, D. (2016). The Positive
Impact of Team Building - TTB. Total Team Building.
[9]
Barcenas, M. (2020). Employee
Productivity: The Ultimate Guide for Managers. Fellow.app.
[10]
Yoshifumi, H., Sammogram, S., &
Manzuma-Ndaaba, N. M. (2018). Effect of Productivity and Perceived Quality on
Organizational Performance from Lean Management Practice Perspective. Science
Alert.
[11]
Mecheo, K. N.
(2016). The Effect of Employee Cultural Diversity on Organizational Performance:
A Case Study of Oilybia-Kenya (Doctoral dissertation, United States International
University-Africa).
[12]
Danso, L., Oduro,
F., Yalley, F., Sarpong, A., & Tetteh Kweitsu, M. A. R. T. I. N. (2019). Management
of Cultural Diversity: Implication for Organizational Competitiveness. A Case Study
of Asokore Rural Bank Limited, of orikrom and Kwadaso Branches, Kumasi (Doctoral
dissertation).
[13]
Qiaoxin, M., & Liswandi, L.
(2018). Analysis of Cultural Diversity Factors Influencing Employees Satisfaction.
International Journal of Management, Accounting and Economics, 5(12),
955–965.
[14]
Abugre, J. B., & Debrah,
Y. A. (2019). Assessing the impact of cross-cultural communication competence on
expatriate business operations in multinational corporations of a Sub-Saharan African
context. International Journal of Cross-Cultural Management, 19(1),
85-104.
[15]
Ghana Statistical Service, 2010
Population and Housing Census.
[16] Yamane,
T., (1967). Elementary Sampling Theory, New Jersey: Prentice-Hall, here is a list
of some books, articles, and websites that either used Slovin’s formula inappropriately
or presented the formula without mentioning its assumptions.
[17] Kline, R. B. (2011). Principles and
practice of structural equation modeling (3rd ed.). Guilford Press.
[18] Mechheo,
C.W. (2014), Effects of Communication strategies on organizational performance:
A case study of Kenya ports authority. European Journal of Business and Management
6(11) 6- 10. Retrieved from www.iiste.org.
[19]
Chernov, S.
& Chernova, L. (2018). Algorithm for the simplification of solution to discrete
optimization problems. Eastern European Journal of Advanced Technologies,
(3 (4)), 34-43.
[20]
Neo, H. (2015).
Modelling green urbanism in China. Area, 47(2), 132-140.
[21]
Peltonen, K. (2019). From Cultural Differences to Identity Politics: A Critical
Discursive Approach to National Identity in Professor.
[22]
Piga, D. (2020).
Computation of Parameter Dependent Robust Invariant Sets for LPV Models with Guaranteed
Performance. arXiv preprint arXiv:2009.09778.
[23]
Barret, O.,
(2005). Monte Carlo simulation and scatter correction of the GE advance PET scanner
with SimSET and Geant4. Physics in Medicine & Biology, 50(20),
4823.
[24] Ringov,
D., & Zollo, M. (2017). The impact of national culture on corporate social
performance. Corporate Governance: The international Journal of business in
society, 7(4), 476-485.