Impact of Workforce Diversity on Organization Performance

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Impact of Workforce Diversity on Organization Performance MBA 525 Professional Development Mohammad Alshboul Instructor: Dr. Paula S. O’Neil Impact of Workforce Diversity on Organization Performance Increased globalization requires more collaboration among people from diverse cultures. People are currently part of a worldwide economy and diversity has turned into a central element of the modern organization. This requires organizations to embrace diversity and to become more open to change and creativity. As a result, taking advantage of the workforce’s diversity has become a significant point of focus for organizations today (Barbara Mazur, 2010). Major companies in the U.S currently have workforce diversity in their workplace. The effects of workforce diversity are extremely debated by researchers and behaviorists. According to Nelson & Quick (2011) “workforce diversity is an important issue for organization. Diversity encompasses all forms of differences among individuals, including culture, gender, age, abilities, religion, personality, social status, and sexual orientation” (p. 46). Diversity is a source of creativity and innovation and is often represented as an encouraging power leading to the effective functioning of the team members. Diversity hypothetically leads to better alteration in ideas, creativity, and innovation (John & Sons, 1999). Cognitive diversity mirrors variances in knowledge, experiences, beliefs, and perspectives. Boundary-spanning happens once team members with diverse work-related experiences and perspectives support each other on the way to a complete a goal (David, 2010). Diversity is significantly important in the workplace because diverse individuals have different experiences, abilities, background, and knowledge, as well as understanding. A diverse workplace enhances the

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