The Role of Workplace Diversity Management in Enhancing Employees' Performance in FMCG Sector in Ethiopia
No Thumbnail Available
Date
2025-06-24
Authors
Journal Title
Journal ISSN
Volume Title
Publisher
AAU
Abstract
In today's globalized business environment, organizations are increasingly recognizing the
importance of workforce diversity as a critical factor for achieving competitive advantage and
enhancing organizational performance. Employees bring diverse skills, perspectives, and
experiences that can drive organizational success. Effective utilization of human resources,
along with material, money, and information, is crucial for organizational success. Workplace
diversity includes both surface level as well as deep level diversity. This study has been
conducted to examine the impact of workforce diversity on employee performance. The factors
identified under workforce diversity were Age Diversity, Gender Diversity, Educational
Background diversity, and language diversity. These factors were identified by literature
review and expert opinion. The study has been conducted on employees from 10 companies in
the FMCG industry in Addis Ababa, Ethiopia. The target population reached 18,034 which led
to selection of 376 sample size through Kothari’s formula and stratified Sampling Technique.
326 respondents were responsive while 50 questionaries were missing. Explanatory as well as
Descriptive research has been used for the study. This research is conducted using quantitative
analysis approach. The survey research design used for this study is cross-sectional in nature.
Researcher analyzed questionnaire data using SPSS 26 together with descriptive and
inferential analysis. Reliability and validity of instrument was checked during pilot test. The
Cronbach alpha result of 0.952 indicates high reliability. The findings of the study, from the
descriptive statistics and the inferential analysis, reveal that Language and age diversity have
positive statistically significant impact on employee performance while gender diversity has
positive but statistically insignificant effect on the dependent variable. Educational
background diversity shows inverse relationship with employee performance and not
statistically significant. These results were interpreted, discussed and recommendations were
made