Impact of Diversity Management on Employee Engagement Through the Role of Organizational Trust and Motivation

Abstract

The diversity that exists in organizations such as gender, ethnicity, and language need to be managed properly so that organizational goals are achieved. The main objective of this research is to explore diversity management to achieve employee engagement and determine the mediating role of organizational trust and motivation in the relationship between diversity management and employee engagement in e-commerce company who provide fresh vegetables and fruits. The sampling method is purposive sampling by distributed questionnaires online to 135 respondents and analytical method used Partial Least Square-Structural Equation Modeling (PLS-SEM). The results of the research prove that there is a positive and significant influence of Diversity Management on Employee Engagement, Diversity Management has a positive and significant influence on Organizational Trust, Organizational Trust has a positive and significant influence on Employee Engagement, Diversity Management has a positive and significant influence on Motivation, Motivation has a positive and significant influence on Employee Engagement, and there is a positive and significant influence of the mediating effect of Organizational Trust and Motivation on Diversity Management and Employee Engagement. This research is limited because it was only conducted in one of the e commerce company, future researchers can explore service or manufacturing companies. Suggestions for future researchers are to use this research model by adding several other moderating and mediating variables to see the extent to which these variables affect the relationship between Diversity Management and Employee Engagement. Keywords: Organizational Trust, Employee Engagement, Diversity Management, Motivation.