The Effect Of Workforce Diversity On Employee Performance In Karachi FMCG Organizations

Abstract

Purpose: The fundamental purpose of this research is to evaluate the effect of diversity on the performance of employees working in the firm. Specifically, this study investigates the effect of three forms of diversity (Age, Gender, and Ethnicity) on the performance of employees working in the FMCG sector in Karachi, Pakistan.

Methodology: To establish and validate the effect of diversity (age, gender, and ethnicity) on employee performance, primary data collection methods were employed. Information was gathered using a close-ended survey questionnaire, completed by 230 individuals employed in the FMCG sector of Karachi. A positivist approach was adopted, and non-probability convenience sampling method was utilized to obtain quantitative data. The analysis was conducted using Pearson Correlation and Regression analysis with the assistance of SPSS.

Findings: The results of this research indicate that workforce diversity has a relationship with employee performance, though the degree of impact varies significantly for each aspect. Age, Gender, and Ethnic diversity were evaluated as key areas of workforce diversity to examine their impact on the performance of employees in the FMCG sector of Karachi. The statistical analysis suggests that the effect of workforce diversity on employee performance is 40.7%. Additionally, while gender and ethnic diversity were found to have no significant relationship with performance, age diversification was positively and significantly correlated with employee performance. These findings are largely reflective of the demographic profile of the respondents, the majority of whom were female and relatively young (aged 25-30 years) with 1 to 5 years of working experience.

Research Limitations: This research only covers three broader aspects of workplace diversity: Age, Gender, and Ethnicity. Additionally, it focuses solely on these elements in relation to their impact on employee performance in the FMCG sector in Karachi, Pakistan.