Perceived diversity and organizational performance
| DOI | https://doi.org/10.1108/01425450810835392 |
| Published date | 16 November 2007 |
| Pages | 20-33 |
| Date | 16 November 2007 |
| Author | Richard S. Allen,Gail Dawson,Kathleen Wheatley,Charles S. White |
| Subject Matter | HR & organizational behaviour |
Perceived diversity and
organizational performance
Richard S. Allen, Gail Dawson, Kathleen Wheatley and
Charles S. White
The University of Tennessee at Chattanooga, Chattanooga, Tennessee, USA
Abstract
Purpose – The purpose of this paper is to investigate the relationship between employee perceptions
of diversity within the senior management, management and non-management levels of their
organizations and their perceptions of organizational performance.
Design/methodology/approach – Surveys were administered to 391 managers or professionals in
130 organizations located in the southeastern United States to determine their perceptions of diversity
and performance within their organizations.
Findings – Regression analysis found strong support for the hypothesis that employee perceptions
of diversity at the senior management level of an organization is positively related to perceptions of
organizational performance. Likewise, there was support for the hypothesis that employee perceptions
of diversity at the non-manager level were positively related to perceptions of organizational
performance.
Research limitations/implications – The current study was based strictly on perceptual
measures. Future research could also consider the use of more objective measures of diversity to gauge
any potential differences between perception and reality. Considering that the sample was drawn
strictly from the southeastern US, the conclusions may not be applicable to other cultures in other
parts of the world.
Practical implications – Organizations need to be sure that they focus on initiatives that have a
positive influence on employee perceptions of diversity within the ranks of senior management and
non-management.
Originality/value – This research sheds new light on the importance of employee perceptions of
diversity within the various levels of employees in their organizations and organizational
performance.
Keywords Equalopportunities, Organizationalperformance,Perception, Employeeattitudes, Managers
Paper type Research paper
While many organizations have embraced diversity, others still consider it as merely
an issue of compliance with legal requirements. In more recent years, the view of
diversity has changed to a more strategic concept. Many current business leaders
believe that diversity has important performance benefits. Shifting demographics in
the United States indicate that the population is becoming increasingly more diverse.
In order to more effectively understand and cater to the needs of the rapidly growing
base of minority consumers, businesses must have a more diverse workforce. Diversity
in the workforce can be a competitive advantage because different viewpoints can
facilitate unique and creative approaches to problem-solving, thereby increasing
creativity and innovation, which in turn leads to better organizational performance.
Researchers suggest that diversity provides benefits to organizations, including: the
ability to attract and retain the best talent available; reduced costs due to lower
The current issue and full text archive of this journal is available at
www.emeraldinsight.com/0142-5455.htm
ER
30,1
20
Received 4 September 2006
Revised 16 April 2007
Accepted 9 May 2007
Employee Relations
Vol. 30 No. 1, 2008
pp. 20-33
qEmerald Group Publishing Limited
0142-5455
DOI 10.1108/01425450810835392
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