Mediating Role of Organizational Innovation on Workforce Diversity and Organizational Effectiveness among Cooperatives in Tagum City

This study examined how organizational innovation mediates the relationship between workforce diversity and organizational effectiveness among cooperative employees in Tagum City. A quantitative, non-experimental research design with a descriptive-correlational approach was employed. By applying Slovin’s formula, the minimum number of respondents required was 304. 334 survey questionnaires were distributed through stratified random sampling, including a 10% allowance for possible non-response, yet only 316 were included in the final analysis. Data were analyzed using weighted mean, Pearson product-moment correlation, and Medgraph with the Sobel z-test. The findings showed that both organizational innovation and organizational effectiveness were rated very high, while workforce diversity was rated high. There was a significant relationship between workforce diversity and organizational effectiveness, workforce diversity and organizational innovation, and organizational innovation and organizational effectiveness. Furthermore, the result of Medgraph using the Sobel z-test of organizational innovation on workforce diversity and organizational effectiveness was significant but partial. Nevertheless, workforce diversity enhances organizational innovation by broadening perspectives and fostering a sense of belonging, ultimately boosting organizational effectiveness.