The Effect of workforce Diversity on Team Effectiveness; The Mediating Role of Individual Performance
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Date
2024-09-20
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A.A.U
Abstract
The purpose of this study is to explore and understand the relationship between workforce
diversity (including age, gender, ethnicity, and educational background) with individual
performance and team effectiveness at Carolina Logistics Corporation. There has been limited
research conducted in Ethiopia on this topic, especially within the logistic sector. Furthermore,
little attention has been given to examining the impact of workforce diversity on team
effectiveness through individual performance as a mediator, which ultimately contributes to
overall organizational performance. The methodology was involve an explanatory research
design using a total population census. Primary data were collected from 240 respondents
through a structured questionnaire. The data were analysed using software packages such as
SPSS version 26. Various statistical techniques including mean, standard deviation, correlation
analysis, regression analysis, and analysis of variance were employed for data analysis.The
findings indicate that diversity in gender, educational background, ethnicity, and age significantly
influences both individual performance and team effectiveness. Gender, ethnicity and age diversity was
found to have a positive direct effecton individual performance while education found to be insignificant
on the other hand gender, education, ethnicity have a positive direct effect on team effectiveness while age
diversity showed a negative effect on team effectiveness. However, these effects were mitigated through
the enhancement of individual performance, emphasizing the importance of fostering individual
capabilities within diverse teams. The research suggests that Carolina Logistics Corporation can benefit
from targeted initiatives to enhance individual performance and leverage diversity for better team
outcomes. Recommendations include adopting inclusive recruitment and leadership development
strategies, promoting cultural competence, and creating a flexible work environment tailored to diverse
employee needs. Continuous evaluation and adaptability training are also advised to optimize team
dynamics and ensure sustained organizational growth.