Workforce Diversity and Employee Productivity in Selected Manufacturing Company in Kampala, Uganda

ABSTRACT 

The study assessed the effect of workforce diversity on employee productivity in manufacturing companies in Kampala Uganda. The problem of the study was that the manufacturing companies in Kampala are characterized by low levels of employees’ productivity, this is indicated by employees who always come in late or not at all, when present, their communication is poor and interpersonal relationships ineffective. The study was guided by three specific objectives, that included (i) to examine the effect of ethnic diversity on employee productivity in manufacturing companies in Kampala Uganda, (ii) to establish the effect of gender diversity on employee productivity in manufacturing companies in Kampala Uganda, and (iii) to assess the effect of religious diversity on employee productivity in manufacturing companies in Kampala Uganda. This research employed crosssectional, survey and descriptive research design to describe the variables and the questionnaire and interview guide were used as the research instruments, it used a population of 695 and a sample size of 254 respondents. Descriptive statistics were used in this study included frequencies, means and regression analysis on variables. The findings revealed the following: (i)ethnic diversity significantly affects employee productivity in manufacturing companies in Kampala Uganda (r-square=0.274, Sig=000), (ii) the findings revealed that there is a significant effect gender diversity has on employee productivity of Kampala Uganda (r-square=0.372, Sig=000), (iii)findings of this study proved a positive significant effect religious diversity has on employee productivity in manufacturing companies in Kampala Uganda (r-square=0.230, Sig=000). Still the conclusions were that; applying of ethnic diversity as workforce diversity system can lead to the improvement in employee productivity since it increases on the quality and efficiency at the workplace, employee productivity can be improved once gender diversity is effectively worked on because it helps to increase the customer responsiveness by reducing the supply and demand gap thus giving satisfaction to the end customer by availing the desired product when needed, religious diversity should base on customer orders, compliance with work requirements forecasts and manufacturing policy in order to stimulate customer demand which leads to the improvement in the employee productivity. The researcher recommended that the: the manufacturing companies should develop a good system to monitor, record and track all the manufactured products so that there is effectiveness in ethnic diversity and ensure to cover loopholes in the system to enhance employee productivity, manufacturing company owners and managers should develop gender diversity system for example alternatives ways of employing skilled personel which makes gender diversity easy and flexible so as to boost employee productivity. The study contributed to new knowledge in the following ways; the following are the measurements of employee productivity in manufacturing companies in Kampala Uganda; commitment, meeting targets, and compliance with work requirements. Gender diversity is an important multi-disciplinary system in modern business management, it enhances organizational employee productivity and through a revolutionary philosophy to managing the business with sustained competitiveness. Workforce diversity has become increasingly important to businesses which manufacture goods to the end customers. The focus on, and relationships with, different stakeholder groups are of great importance to all businesses, regardless of size or whether they manufacture products and services



TABLE OF CONTENTS

DECLARATION......................................................................................................................I

APPROVAL ........................................................................................................................... II

DEDICATION.......................................................................................................................III

ACKNOWLEDGEMENTS .................................................................................................IV

TABLE OF CONTENTS .......................................................................................................V

LIST OF TABLES................................................................................................................IX

LIST OF FIGURES ................................................................................................................X

ABSTRACT...........................................................................................................................XI

CHAPTER ONE ......................................................................................................................1

INTRODUCTION....................................................................................................................1

1.1 Introduction..........................................................................................................................1

1.2 Background to the study ......................................................................................................1

1.2.1 Historical Perspective .......................................................................................................1

1.2.2 Theoretical perspective .....................................................................................................5

1.2.3 Conceptual Perspective.....................................................................................................6

1.2.4 Contextual Perspective......................................................................................................7

1.3 Problem Statement...............................................................................................................7

1.4 Purpose of the study.............................................................................................................8

1.5 Specific Objectives of the Study..........................................................................................8

1.6 Research Questions..............................................................................................................8

1.7 Research Hypotheses...........................................................................................................9

1.8 Scope of the study................................................................................................................9

1.8.1 Geographical Scope ..........................................................................................................9

1.8.2 Content Scope ...................................................................................................................9

1.8.3 Theoretical scope ..............................................................................................................9

1.8.4 Time Scope .....................................................................................................................10

1.9 Significance of the study....................................................................................................10

1.10 Operational Definitions of Key terms..............................................................................11

CHAPTER TWO ...................................................................................................................12

LITERATURE REVIEW .....................................................................................................12

2.1 Introduction........................................................................................................................12

2.1 Theoretical Review ............................................................................................................12

2.3 Conceptual Framework......................................................................................................14

2.4 Related Literature review...................................................................................................15

2.4.1 Effect of ethnic diversity on employee productivity.......................................................15

2.4.2 Effect of gender diversity on employee productivity .....................................................18

2.4.3 Effect of Religious diversity on employee productivity.................................................21

2.5 Related studies...................................................................................................................23

2.6 Research Gaps....................................................................................................................25

CHAPTER THREE...............................................................................................................26

METHODOLOGY ................................................................................................................26

3.1 Introduction........................................................................................................................26

3.2 Research Design.................................................................................................................26

3.3 Research Population...........................................................................................................26

3.4 Sample Size........................................................................................................................27

3.5 Sampling technique............................................................................................................27

3.6 Sources of data...................................................................................................................28

3.6.1 Primary data ....................................................................................................................28

3.7 Data Collection Instruments ..............................................................................................28

3.7.1 Questionnaire ..................................................................................................................28

3.8 Validity and reliability .......................................................................................................28

3.8.1 Validity ...........................................................................................................................28

3.8.2 Reliability........................................................................................................................29

3.9 Data analysis......................................................................................................................30

3.10 Ethical Consideration.......................................................................................................31

CHAPTER FOUR..................................................................................................................32

DATA PRESENTATION, ANALYSIS AND INTERPRETATION ................................32

4.1 Introduction........................................................................................................................32

4.2 Response Rate....................................................................................................................32

4.3 Demographic characteristics of the respondents................................................................33

4.4 Workforce diversity ...........................................................................................................34

4.5 Employee productivity.......................................................................................................37

4.6 Effect of ethnic diversity on employee productivity of manufacturing companies in Kampala Uganda...........................................39

4.7 Effect of gender diversity on employee productivity ........................................................41

4.8 Effect of religious diversity on employee productivity in manufacturing companies in Kampala Uganda........................................................42

4.9 Multiple Regression...........................................................................................................43

CHAPTER FIVE ...................................................................................................................45

DISCUSSIONS, CONLUSIONS AND RECOMMENDATIONS.....................................45

5.1 Introduction........................................................................................................................45

5.2 Summary of major findings...............................................................................................45

5.3 Discussion of findings........................................................................................................45

5.3.1 Discussion on effect of ethnic diversity on employee productivity................................45

5.3.2 Discussion on effect of gender diversity on employee productivity...............................46

5.3.3 Discussion on effect of religious diversity on employee productivity ...........................48

5.4 Conclusions........................................................................................................................49

5.5 Recommendation ...............................................................................................................49

5.6 Contribution to knowledge ................................................................................................49

5.7 Limitations of the study .....................................................................................................50

5.8 Areas for further research ..................................................................................................50

REFERENCES ........................................................................................................................51

APPENDICES .........................................................................................................................57

APPENDIX I: QUESTIONNAIRE THE RESPONDENTS ...................................................57