The effect of workgroup heterogeneity on decision making: An empirical investigation

Abstract

This research effort explored the relationship of workgroup heterogeneity and effective decision making within
organization. Researchers tried to examine the influence of management heterogeneity on creative and
qualitative aspect in decision making process. The research team used a survey questionnaire for data
collection from employees of domestic private banks of Pakistan using stratified sampling method with a
response rate of 20.5%. Sample size was 308 comprising 77 workgroups having four members. SPSS 15.0
version was used for checking of relationship of variables. Linear regression analysis revealed that
management heterogeneity of workgroups had noticeable influence on effective decision making. This study
concluded that workgroup heterogeneity had a significant impact on decision’s creativity and quality.
Therefore, the enterprises should strive for an environment of inclusiveness, pluralism and diversity for
effective decision making in the organizations.