Degree
Master of Business Administration Executive
Faculty / School
School of Business Studies (SBS)
Year of Award
2024
Advisor/Supervisor
Dr. Yasir Mansoor Kundi, Assistant Professor, Department of Management
Project Type
MBA Executive Research Project
Access Type
Restricted Access
Executive Summary
As organizations increasingly value diversity within their workforce dynamics, at the forefront of this discussion in Pakistan are the FMCG (Fast Moving Consumer Goods) companies. These companies rely heavily on a high performing workforce, and it is essential for them to understand the impact of their investment in employee diversity metrics. This research focuses on the impact of age and gender diversity on employee performance within this industry. With the changing workforce and world dynamics, understanding how age and gender dynamics influence employee performance is a critical aspect for strategic decision-making. The objectives of this study are to evaluate how workforce diversity (specific to age and gender) influences three elements of employee performance: innovative job performance, work engagement and task performance. These elements are described as follows: Task Performance “The effectiveness with which job incumbents perform activities that contribute to the organization's technical core either directly by implementing a part of its technological process, or indirectly by providing it with needed materials or services” (Borman & Motowidlo, 1997). Work Engagement “Work engagement refers to a positive, affective-motivational state of high energy combined with high levels of dedication and a strong focus on work” (Schaufeli & Bakker, 2010). Innovative Job Performance “Job performance consist of two components: routine activities, which represent (the performance of mandatory job-related task, duties and responsibilities) and innovative job performance which is based on discretion” (Katz, R. 1978). The study focuses on identifying the underlying factors that would mediate in a correlation between employee performance and (age and gender) diversity. The identification of these underlying factors would help the organizations with processing quantifiable objective reasons to design their strategies and policies for a profitable and productive organization. The research employed a mixed-methods approach, combining qualitative interviews and quantitative surveys. A sample of 10 gender diverse employees across various levels within their respective organizations and functions from the FMCG industry were interviewed to gather insights to understand the underlying factors that impact their performance and mediating factors that influenced their performance. A thematic analysis was then conducted on the transcribed interviews to determine the common themes. The identified themes were
diversity focused HR policies, diversity oriented leadership, innovative organizational culture, competitive organizational culture, positive affect and decision making. A quantitative survey of 121 employees from the FMCG industry was then conducted to establish correlation of the independent variables (age and gender diversity) to employee performance. Based on the survey responses, there appears to be no direct significant correlation of age to employee performance. However, the correlation was significant when mediated by the factors: decision making, competitive organization culture, diversity oriented leadership and positive affect. Interestingly, diversity friendly HR policies had a significant negative correlation to employee performance, which is an area for further research. The outcomes of this study indicate the importance of having a strong culture at work. Based on the research outcomes, implications for the industry include establishing an inclusive decision making process, training and developing top leadership to drive a top down focus on diversity, creating a reward and recognition framework promoting inclusivity at all levels, creating a positive work environment, focusing on innovation and establishing a healthy competition in the workplace and conducting employee engagement surveys to understand the pulse of the organization. There are, however, limitations to the research. The methodology established correlation and not causation, which may be delved into with future qualitative research. Additionally, there may be personal bias of the survey respondents due to self-reporting methodology employed. The research is also only limited to age and gender diversity and does not consider other diversity metrics such as education, geography, socio-economic status etc.). These are also areas for future research opportunities. The research findings highlight the importance of age and gender diversity in enhancing employee performance within the FMCG industry in Pakistan. Companies strive for sustainable growth and being competitive in this dynamic environment and embracing diversity is a key strategic pillar to achieve the same.
Pages
Viii, 85
Recommended Citation
Chaudhry, A., & Malik, S. F. (2024). Impact of age and gender diversity on employee performance in FMCG companies in Pakistan (Unpublished graduate research project). Institute of Business Administration, Pakistan. Retrieved from https://ir.iba.edu.pk/research-projects-emba/649
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