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Dynamics of CPEC: Analyzing the Diversity Management and Organizational Performance


Article Information

Title: Dynamics of CPEC: Analyzing the Diversity Management and Organizational Performance

Authors: Muhammad Shahbaz, Muhammad Zia-ur-Rehman, Adnan Jamil

Journal: International Journal of Business and Management Sciences (IJBMS)

HEC Recognition History
Category From To
Y 2024-10-01 2025-12-31
Y 2023-07-01 2024-09-30
Y 2022-07-01 2023-06-30
Y 2021-07-01 2022-06-30

Publisher: BIGBIO Researchers and Publishers

Country: Pakistan

Year: 2024

Volume: 5

Issue: 4

Language: English

Keywords: China Pakistan Economic CorridorOrganizational PerformanceWorkforce Diversity Management.

Categories

Abstract

The current study embarks upon the mega project of China Pakistan Economic Corridor (CPEC) as it has brought in diverse workforce in business organizations of Pakistan. This does not bring opportunities and benefits for the individuals and the organizations only in Pakistan, but it also imposed some imperative challenges to face especially for the human resource management perspective to organize and manage the multifaceted human resource sector with reference to diversity element is concerned. Over the years there has been a shift to consider Workforce Diversity Management as an intentional organizational Performance Theory. This perspective needed an examination to inspect the impact of Workforce Diversity Management (WDM) on Organizational Performance (OP) of business organizations in Pakistan under new developments of China Pakistan Economic Corridor. New models for assessing WDM, including diversity of nationality, culture and ethics in business organizations have also been recognized. This study is a descriptive nature of research and the targeted population for this study are 200 employees working in business organizations engaged at different projects within our case (China Pakistan Economic Corridor) hereinafter referred to as CPEC. The Data were collected through primary source by a self-administered questionnaire. Various tests had been employed to generate results based on the proposed hypotheses. The findings show great insights related to diversity management and organizational performance. This study provides many theoretical and practical implications as well. The recommendations generated at the end of this study serve as a policy model for Pakistan’s academia, theorists, researchers to steer these findings and colors into relevant policy so that the new challenges associated with diversity management in Pakistani business firms can be effectively countered.


Research Objective

To examine the impact of Workforce Diversity Management (WDM) on the Organizational Performance (OP) of business organizations in Pakistan under the new developments of the China Pakistan Economic Corridor (CPEC).


Methodology

This study employed a descriptive, cross-sectional research design. Data was collected from 210 employees and human resource managers working in business organizations engaged in CPEC projects in Pakistan using a self-administered questionnaire. Stratified random sampling was used to divide the population into meaningful groups. Confirmatory factor analysis was used to check the validity and reliability of the developed contents. Inferential statistics, including Independent Sample T-test, ANOVA, regression analysis, and correlation analysis, were used to analyze the data.

Methodology Flowchart
                        graph TD
    A["Define Research Objective"] --> B["Select Research Design: Cross-sectional"];
    B --> C["Data Collection: Questionnaire"];
    C --> D["Target Population: CPEC employees/HR managers"];
    D --> E["Sampling: Stratified Random Sampling"];
    E --> F["Data Analysis: Descriptive & Inferential Statistics"];
    F --> G["Interpret Results"];
    G --> H["Draw Conclusions & Recommendations"];
    H --> I["Identify Limitations & Future Research"];                    

Discussion

The study supports prior research emphasizing the significance of effectively managing worker diversity for enhanced organizational effectiveness. It highlights that nationality and cultural diversity significantly affect workforce management activities. The findings suggest that diverse workforces positively impact organizational performance when managed effectively, with cultural diversity having a significant influence on human resource policy. The research indicates that while some organizations view diversity management as a legal requirement, it is increasingly recognized for its practical benefits and competitive advantage.


Key Findings

- Nationality, ethnicity, and culture are the primary characteristics of Workforce Diversity Management (WDM).
- Cultural diversity has a significant impact on WDM in corporate entities involved in CPEC projects.
- WDM was found to have a positive and significant association with all independent variables (nationality, ethnicity, culture), indicating their importance to HR managers.
- The study supports the hypotheses that diversity of nationality and ethnicity have a significant impact on Organizational Performance.
- Female respondents reported higher satisfaction with WDM than male respondents.


Conclusion

Managing Pakistan's diverse workforce is becoming increasingly important due to CPEC projects. Corporate managers need a strong understanding of diversity management to handle challenges within diverse teams. Workforce diversity can be a competitive advantage, leading to enhanced productivity, innovation, and improved organizational performance. The developed model for workforce diversity management in Pakistan can likely be applied to other developing countries with similar ethnic and cultural environments.


Fact Check

- The study targeted 210 employees and human resource managers. (Confirmed by "Total number of responses [N = 210]" in multiple tables).
- Male respondents constituted 67.1% of the sample. (Confirmed by Table 1).
- The age group 32-44 had the highest response rate at 51.0%. (Confirmed by Table 2).


Mind Map

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