Josephine Lalitha, J and Vaishnavi, S and Mahalakshmi, K and Nithyasri, M and AYYANAR, G (2025) AN EMPIRICAL STUDY ON THE INFLUENCE OF FACTORS AND CHALLENGES ON ORGANIZATIONAL PERFORMANCE THROUGH DEI PRACTICES IN MANUFACTURING COMPANIES. AN EMPIRICAL STUDY ON THE INFLUENCE OF FACTORS AND CHALLENGES ON ORGANIZATIONAL PERFORMANCE THROUGH DEI PRACTICES IN MANUFACTURING COMPANIES, 23 (S6). pp. 4201-4211. ISSN 1581-5374

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Abstract

Diversity, Equity, and Inclusion (DEI) practices have increasingly moved from ethical considerations
to strategic imperatives that drive innovation, retention, and competitiveness. In India’s manufacturing sector,
however, adoption has been uneven due to cultural hierarchies, limited awareness, and resource constraints. This
creates a research gap in understanding how enabling factors and persistent challenges influence organizational
outcomes in industrial contexts. This study examines the influence of DEI practices on organizational
performance in manufacturing companies in Coimbatore. A descriptive research design was adopted, with
purposive sampling of 139 respondents directly engaged in manufacturing roles. Primary data were collected
through a structured questionnaire consisting of 45 close-ended statements covering factors, challenges, and
performance outcomes. Analytical tools included descriptive statistics, regression models, coefficient analysis,
and residual diagnostics. The results reveal that leadership encouragement, senior management commitment,
inclusive HR policies, and diversity-conscious recruitment enhance employee loyalty, creativity, and workplace
reputation. However, barriers such as lack of resources, recruitment biases, insufficient monitoring, and limited
prioritization exert a stronger negative impact than enabling factors. Regression findings confirmed that both
factors and challenges together explained 40.9 percent of performance variance, with challenges carrying greater
influence. The study suggests strengthening leadership accountability, improving DEI training and mentoring,
and adopting locally relevant frameworks. Addressing systemic challenges alongside reinforcing enablers can
help manufacturing firms achieve measurable improvements in innovation, employee satisfaction, and long-term
sustainability

Item Type: Article
Uncontrolled Keywords: DEI Practices, Organizational Performance, Manufacturing Sector, Leadership Commitment, Workplace Inclusivity
Divisions: PSG College of Arts and Science > Department of Commerce
Depositing User: Dr. B Sivakumar
Date Deposited: 19 Feb 2026 05:25
Last Modified: 19 Feb 2026 05:25
URI: https://ir.psgcas.ac.in/id/eprint/2619

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