The Effects of Value Diversity and Cultural Perception Diversity on Team Performance: Focusing on the Mediating Effect of Team Efficacy

Abstract

With the acceleration of globalization, organizations have experienced increasing workforce diversity, growing demands for agile decision-making, and a shift toward team-based structures to enhance performance. Against this background, this study examined the relationships of value diversity and cultural perception diversity with perceived team performance and investigated their indirect associations through perceived team efficacy. Based on prior literature, a research model and corresponding hypotheses were developed and tested using survey data from 170 employees of the South Korean subsidiary of a global cosmetics company. Team efficacy and team performance were analyzed as individual-level perceptions of respondents’ own teams. The results showed that value diversity and cultural perception diversity were differently associated with perceived team performance. Value diversity was negatively associated with perceived team performance, with both a significant negative direct effect and a significant negative indirect effect through perceived team efficacy. In contrast, cultural perception diversity was positively associated with perceived team performance, with both significant positive direct and indirect effects through perceived team efficacy. These findings suggest that perceived differences in values and perceptions of cultural diversity are associated with team outcomes in different ways. This study contributes to the diversity literature by distinguishing the measurement focus of value diversity and cultural perception diversity and by demonstrating significant indirect associations with perceived team performance through perceived team efficacy. Given the cross-sectional and self-report nature of the data, these indirect effects should be interpreted as statistical associations rather than evidence of causal processes.