In 2020, diversity has become the buzz word in everyone’s mouth. In the wake of the Black Lives Matter movement and protests, the fight for equality was placed front and center, on the streets, and in corporate boardrooms. Companies scrambled to prove that they were not complicit in racial injustice, rushing to share messages of solidarity and to cast a light on their diversity efforts.
The truth is that actions are louder and words. For businesses with a true commitment to diversity and inclusion, one social media post is not enough. A robust commitment to diversity and inclusion is embedded into every facet of the business, helping determine the recruitment process and manifesting it in the day-to-day operations.
As McKinsey reports, the business case for diversity is stronger than ever. The relationship between diversity in executive teams and the likelihood of financial outperformance has strengthened over time. The researchers found that winners adopt systematic, business-led approaches to inclusion and diversity. What are these systematic approaches, and how does your business benefit from investing in diversity and inclusion? Read on for more answers, but first, let’s define the terms.
What Is The Difference Between Diversity And Inclusion?
Merriam-Webster defines diversity as the condition of having or being composed of differing elements particularly, the inclusion of different types of people (such as people of different races or cultures) in a group or organization. This is a great working definition as it recognizes that there is no diversity without inclusion.
Diversity in the workplace means respecting and appreciating differences in terms of religion, culture, race, gender, sexual orientation, disability, and education. It means respecting and valuing every employee regardless of differences and honoring the various perspectives that each individual brings.
Inclusion refers to the process in which every employee is made to feel welcome and shown that they belong. It is possible to have a diversified workforce without an inclusive organizational culture. An inclusive organizational culture goes beyond a few posters stuck to notice-boards encouraging inclusivity. It takes a concerted effort from both management and employees to make everyone feel valued and welcomed.
How Does Your Business Benefit From Diversity And Inclusion?
Having a diversified workforce not only presents your organization as more innovative, but it is also an important factor that can sway job seekers to consider your company. Further, thanks to the varied perspectives and experiences that each team member brings, a diversified team results in better decision making, improved performance, and higher engagement.
As McKinsey reports, “There is ample evidence that diverse and inclusive companies are likely to make better, bolder decisions—a critical capability in the crisis. For example, diverse teams have been shown to be more likely to radically innovate and anticipate shifts in consumer needs and consumption patterns—helping their companies to gain a competitive edge.” Now more than ever, the need to anticipate shifts in consumer needs or client behavior is at an all-time high.
By having a diversified team, your business stands to gain:
- Creativity and Innovation
Likeminded people generate the same ideas. Conversely, bringing together people from different backgrounds, with different ideologies can drive creativity and innovation thanks to all the new ideas and perspectives that the employees bring to the business.
- Increased Levels of Employee Retention
Supporting diversity and demonstrating it through actions has an amazing effect on a company’s reputation, helps attract the best employees, and keep them. When employees feel accepted, valued, and respected, they bring their best to work and loyalty is fostered.
- Appeal to and Capture New Audiences
“Diverse companies are significantly better positioned, 70% more, to capture new markets. And with more markets comes higher performance and more money.” Having a diversified workforce enables a company to appeal to, connect, and capture an even wider audience, resulting in increased revenue.
And there are even more benefits. From improved employee engagement to improved knowledge sharing, there is no overstating the powerful effects of investing in diversity.
How Reactionpower Can Help You
One sure way of having a diverse workforce is by partnering with diverse vendors.
Our team of diverse, global experts will help you turn your ideas to impact. We deliver a range of offerings from digital marketing strategy and execution to data analytics, insights, and more. We bring a wealth of diverse perspectives. We have partnered with leading bluechip tech companies in the world on a variety of projects, including addressing the lack of diversity in AI and machine learning.
Ready to get more done? Schedule your strategy session today session.