The Effect of Workforce Diversity On Organizational Performance (The Case of Dashen Bank S.C)

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2024-10

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Addis Ababa University

Abstract

This study examines how Dashen Bank S.C., one of Ethiopia's top financial institutions, performs organizationally in relation to workforce diversity. The goals of the study include analyzing how age, socioeconomic, and gender diversity affect organizational performance. A quantitative research methodology was used to gather data by surveying employees from several departments. The study will be implementing an explanatory and causal research design. A sample of 80 respondents were taken from 750 employees from different departments using stratified random sampling technique. And a Likert scale questionnaire was used to collect the data from the sample. The results show that age diversity within the organization has an advantageous effect on creativity and problem-solving skills. It has been discovered that socioeconomic diversity improves financial performance and decision-making. Teamwork and employee satisfaction both significantly correlated with gender diversity. These results imply that valuing workforce diversity enhances organizational performance in terms of creativity, judgment, financial results, employee satisfaction, and teamwork. Implementing diversity training programs, encouraging an inclusive work environment, and utilizing the many viewpoints and experiences of employees are among the recommendations. Future studies can look at specific strategies to improve diversity management in the banking sector as well as the long-term effects of workforce diversity. Keywords: Diversity, Workforce Diversity, Gender Diversity, Age Diversity, Socioeconomic Diversity, Organizational Performance

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