Chapter theory and his research showed that

Chapter Two: Literature Review 2.1 Introduction Thischapter consists of reviews on research, concepts and opinionsrelating to diversityand diversity management exist. It alsohighlights the conceptual framework which critically showed therelationship between the variables under consideration.

2.2 Theoretical Framework Thetheoretical framework is described as a structure that can support atheory of a research study. Basically a theories are formulated toexplain, predict, and understand phenomena and, in many cases, tochallenge and extend existing knowledge within the limits of criticalbounding assumptions.

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Inthis case then theoretically, the workplace diversity literatureespouses the following differenttheoreticalframeworks for the examination of the possible effects of workplacediversity. Thefirst theory is in accordance to Turner (1987) theory. The theory isbased on social categorization that is it describes employees basedon attributes like ethnicity, gender or age. Turner argues that thisresults in stereotyping.

However, Tsui, Egan and O’ Reilly (1992),proposed that identifying employees with distinct groups such asethnic background may disrupt group dynamics. Later on Shaw (1993)agreed with their research on the theory and his research showed thatethnic identification evoked more disliking, distrust and competitionthan when categorization arises from within the organization. Thesecond theory is in accordance to Berscheid & Walster (1978)theory.

The theory is based on similarity or attraction that is thenon-salient attributes like values and education, which increaseinterpersonal attraction and attachment. Thethird theory is in accordance to Wittenbaum & Stasser (1996)theory. The theory is based on information and decision-making thatis it examines the impact of distribution of information andexpertise on work-teams. The theory perspective is to lead topositive effects of diversity since the work-teams are expected toprocess information differently thus bringing together differingviewpoints hence in turn it can lead to more creativity and increasedperformance. However,Michaéla et al. (2003) argued that these theories can lead todifferent and at-time contradictory hypotheses in regards to theeffects of diversity on group process and performance for example onsocial categorization and similarity theory, its argued that it canlead to a prediction of negative effects, such as decreasedsatisfaction and commitment, group communication reduction, andincreased labor turnover. 2.

3 Conceptual Framework ConceptualFramework is an analytical tool with several variations and contexts.It is used to make conceptual distinctions and organize ideas. Strongconceptual frameworks capture something real and do this in a waythat is easy to remember and apply. Inthis study the conceptual framework is based on education, ethnicityand gender on the performance of employee at county government ofNairobi. Education Ethnicity Gender Performance Fig2.1 Conceptual Framework 2.3.

1 Education background and work performance Educationbackground is important to employees thus its kind of difficult forthe employees to find a job and perform well without adequateeducation background. Tracyand David (2011) found that employees whose training, experience, oreducation is judged to be inadequate the employers commonly rejectemploying them. Besides that, in 2009, Daniel study shows thatvarious levels and types of education might expect different mobilityrates. For example, the occupations available to those with workingexperience but does not possess a certified tertiary paper may differfrom those who possess such education level. However, Mobility maydifferacross these occupations, causing the mobility ofindividuals with working experience to be different from those withnon working experience but possesses a degree certificate. Otherresearchers namely Zeng, Zhou, and Han (2009) have found that thosehigh-level managers with higher education and the staff whose lengthof service is 11 to 15 years shows unusual decline in workperformance because they have not found the suitable developmentspace, so temporary disengagement happens.

2.3.2 Ethnicity and work performance Ethnicityis the state of belonging to a social group that has a commonnationality or cultural tradition. Accordingto Timmermans, 2011; Milliken and Martins, 1996; Harrison and Klein,2007 study, Members of the minority group can experience less jobsatisfaction, lack of commitment, problems with identity, perceiveddiscrimination, etc.

However,when the minority grows,some of the mentioned problems may disappear. Accordingto Timmermans, (2011) study, ethnicity can be used as a proxy forcultural background and diversity in ethnicity can be expected to bepositive for innovative performance, since it broadens the viewpointsand perspectives in the firm (Richard, 2000). Moreover, based onTimmermans (2011) study some levels of diversity in ethnicity mightbe positive associated with innovation, high degree of diversity inethnicity might be negative since it can create conflict and cliquesdue to social categorization (Dahlin, 2005). Opstal(2009) study stated that ethnic diversity can have both advantagesand disadvantages for the organization. Jackson (2004) cited examplesof ethnic diversity disadvantages as communication problems andconflict. When managers ignore the clashes caused by ethnicity, theymight be converted into personal and emotional conflict in the longrun and therefore damage organizational culture, employee morale andoverall sharp reduction of organizational performance.

In2008 Van Esbroek and van Engen stated that management of diversity isimportant to help an organization benefit from the advantages andminimize the disadvantages of ethnic diversity that can have negativeeffect on employee and organizational performance. 2.3.3 Gender and work performance Genderis the state of being male or female. According to Connell (2002),gender refers to a description of masculinity or femininity.

Leonardand Levine, 2003;organizations prefer to hire males workers comparedwith women because they are perceived to have better performance andability to manage their jobs. Kossek, Lobel, and Brown (2005) statesonly 54% of working-age women are in the workforce worldwide comparedto 80% of men. However,according to Kochan, Bezrukova, Ely, Jackson, Joshi, Jehn, Leonard,Levine, and Thomas (2002), providing an equal job opportunity towomen is vital to improve performance of employees in anorganization, The research by Kundu, 2003 states that hiring woman,minorities and others will help organization to tap niche marketstherefore we can say that an organization with diverse workforce willprovide superior services because they can understand customersbetter. 2.3.4 Employee Performance Cascio(2000), defined performance as working effective which is the way inwhich somebody does a job, judged by its effectiveness. It is howwell an employee is fulfilling the requirements of a job (Rue , 1993). Smith (2010), argued that good workforce diversitypractices in the area of human resources are believed to enhanceemployee and organizational performance.

According to Cornelius(1999), effective performance can be a key determinant in theachievement of business objectives while maximizing the contributionof employees. Schuler (1992), observed that a performance appraisalsystem should be objective, relevant to the job and the organization,fair to all employees and offers no special treatment. 2.

4 Empirical Review of Literature EmpiricalReview is is research using empirical evidence. It is a way ofgaining knowledge by means of direct and indirect observation orexperience. In this section, the empirical review resultant fromstudies conducted in two organizations namely; Banking sector inKenya and Kenya Ports Authority (KPA), which were conducted byMunjuri and Maina (2013); Ngao and Mwangi (2013) respectively. 2.

4.1 Banking Sector in Kenya Commercialbanking started in 1896 in Kenya. As of December 2010 the KenyaCommercial bank group was the largest financial service in Kenya withan asset base valued at US$3.5billion. It had the widest network ofbanking17 outlets comprising nearly 220 branches in Kenya, Rwanda,Southern Sudan, Tanzania and Uganda Talk (2012).

The study underreview was carried out in Kenya within Nairobi Region and the targetpopulation was 4,000 employees Munjuri et al. (2012). 2.4.2 Kenya Ports Authority (KPA) TheKenya Ports Authority (KPA) is a state corporation charged with theresponsibility of managing the Port of Mombasa, and other ports alongthe Kenyan coastline and Kisumu.

The workforce consists of over 5,000employees drawn from all ethnic backgrounds (Beja, 2014). 2.4.3 General Review on Employee performance Thestudy on effect of education on employee performance gave anobservation that the more balance in education types an organizationpossesses the higher the likelihood of having innovations. A furtherobservation made is that an organization may make an effort tocompensate for educational or skill deficiencies of group members byoffering specialized training that bring employees up to the requiredstandards (Mosko, 1996). The study on effect of education on employee performance onethnically homogeneous organizations, the ethnic differences amongmembers of diverse teams becomes more salient and are more likely tointerfere with performance. They further observed that inheterogeneous organizations, the ethnic identities of team membersmay be less salient and therefore they create less disruption.

Basedon Banking Sector in Kenya the study by Munjuri (2012) revealed thatthe banking sector had strategies for support to gender groups, andequal employment opportunities. The various tests of hypothesesshowed a significant level of association between employeeperformance and the mean productivity levels of the bank workforcewhen categorized by gender. However based on Kenya Ports Authority(KPA) the study by Ngao (2013) indicated that gender, greatlyimpacted on organizational performance and success. 2.

5 Literature Summary FromJanssens et al. (2003) study workforce diversity is a complex,controversial and indeed a political phenomenon. Thus any diversitystudies should be as inclusive and engage a broad overview of thedimensions of diversity.

BasicallyLiterature reviews of relevant theoretical models and variety ofapproaches to employee’s performance provides conceptual backgroundto strengthen the argument of this research.


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