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Latest News: Business

What Is The Impact Of Cultural Diversity On Team Performance?

Tuesday, September 26, 2017  

By Medium

Having cultural diversity is currently a trend along with the globalization — the majority of companies in the world normally have several different branches in multiple locations. Most people believe that cultural diversity has immense impact on team performance, and it is necessary for teams to become multicultural (qtd. in Stahl et al. 3). Simply understanding others becomes old-fashioned and is no longer enough for either managers or employees surviving in today’s diverse working environment; employees are expected to concurrently and effectively interact with people from different cultures (qtd. in Stahl et al. 3). According to meta-analysis of the studies done by Stahl et al., although the impact of cultural diversity changes depending on a team’s situation, cultural diversity certainly has influence on five variables — communication, conflict, cohesion, satisfaction, and creativity — that can cooperatively influence team overall performance (8).

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