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Andrea Hammermann / Matthias Niendorf / Jörg Schmidt IW-Trends No. 3 6. October 2016 Cultural Diversity as a Success Factor? Empirical Results Based on the IAB’s Linked-Employer-Employee-Data Set
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Cultural Diversity as a Success Factor? Empirical Results Based on the IAB’s Linked-Employer-Employee-Data Set
Andrea Hammermann / Matthias Niendorf / Jörg Schmidt IW-Trends No. 3 6. October 2016

Cultural Diversity as a Success Factor? Empirical Results Based on the IAB’s Linked-Employer-Employee-Data Set

IW-Trends

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German Economic Institute (IW) German Economic Institute (IW)

The data shows that, on the one hand, a rise in the proportion of foreign employees in an establishment can tend to have a positive effect, albeit not a statistically significant one. On the other hand, there can be an increased risk of conflict if the workforce consists of roughly equal groups of different nationalities. These conflicts can have a negative influence on the firm’s success. Moreover, it is clear from the data that the influence of cultural diversity on corporate success is linked to features specific to the organisation- such as the existence of export activity or the skills structure of the workforce. A company’s HR management should therefore be aware of the potentially opposite effects of cultural heterogeneity and address the issue accordingly as part of a coordinated system of diversity management.

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Cultural Diversity as a Success Factor? Empirical Results Based on the IAB’s Linked-Employer-Employee-Data Set
Andrea Hammermann / Matthias Niendorf / Jörg Schmidt IW-Trends No. 3 6. October 2016

Andrea Hammermann / Matthias Niendorf / Jörg Schmidt: Kulturelle Diversität als Erfolgsfaktor? Empirische Ergebnisse auf Basis des Linked-Employer-Employee-Datensatzes des IAB

IW-Trends

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German Economic Institute (IW) German Economic Institute (IW)

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