5 minute read

Diversity and Inclusion are good for business

By Feroza Aitken, Entrepreneur & Systemic Wellness Coach

When hiring new employees, one of the first things you’ll want to determine is whether they are a good fit for your organisation’s culture. You may have heard it said that people don’t leave jobs, but rather leave their managers. But there’s another factor that can make or break employee retention: diversity and inclusion. According to research by McKinsey & Company, “the key drivers of diversity and inclusion include personal values and experience; skills training; career development opportunities; organisational diversity strategies; and management commitment.”

DIVERSITY IS A CRITICAL COMPONENT OF A COMPANY’S ABILITY TO INNOVATE AND RESPOND TO THE NEEDS OF ITS EMPLOYEES AND CUSTOMERS

Diversity is a critical component of a company’s ability to innovate and respond to the needs of its employees and customers. Diversity provides new insights into problems, challenges, and opportunities through different perspectives that come from varied life experiences. When everyone feels part of the team, not just a checkbox on an HR form, innovation can flourish.

INCLUSIVITY ENSURES EVERYONE FEELS PART OF THE TEAM, NOT JUST A CHECKBOX

Diversity and inclusion aren’t just about hiring a diverse workforce; they’re about ensuring that everyone feels like they belong, as well. This includes making sure all employees feel comfortable sharing their authentic selves at work. The best way to achieve this is by creating an inclusive culture that makes everyone feel welcome, valued, and respected regardless of their differences.

95 PERCENT OF DIVERSITY, EQUITY, AND INCLUSION LEADERS SAID THAT DIVERSITY IN THE WORKPLACE MAKES THEM MORE COMPETITIVE

Diversity and inclusion are key to success. Diversity helps you attract and retain talent, improve the bottom line, and create a competitive advantage that will help you attract customers and investors.

• 70 percent said it helps them recruit top talent;

• 5 percent said it improves employee satisfaction levels;

• 63 percent said it drives innovation;

• 61 percent said it enhances employee engagement;

• 57 percent said it increases revenue.

Job Applicants Can Find Out If Your Company Has Been Recognised For Its Diversity And Inclusion Efforts On Websites Like The GLAAD Workplace Equality Index

The GLAAD workplace equality index is a nongovernmental organisation that monitors media for fair and accurate representation of LGBTQ people. GLAAD also publishes an annual workplace equality index where companies are ranked based on their policies and practices related to sexual orientation and gender identity.

If you’re considering applying for a job at a company that might be less than accepting of diversity, you can use this list as one way to gauge whether or not it’s something you’d like to work for.

DIVERSITY AND INCLUSION ARE INCREASINGLY IMPORTANT TO CONSUMER VOTERS, GIVING YOU ADVANTAGES OVER COMPETITORS WHO LAG BEHIND

As consumers, we are increasingly making our purchasing decisions based on the values of the brands we buy from. Our votes with our dollars are directly reflecting the importance of diversity and inclusion in the workplace.

Gap is an excellent example of a company that has come under fire for not having diverse models in its ads. This can be seen as an opportunity for them to use these criticisms as a learning experience, and become more inclusive going forward.

In contrast, Walmart has been celebrated for being one of the largest companies in America to feature Muslim women who wear hijabs in its “I Am” campaign—a move that was criticised by some but praised by many others who saw it as progress toward greater diversity within their workforce (and beyond).

CONSUMERS WHO KNOW COMPANIES ACTIVELY SUPPORT DIVERSITY THROUGH THEIR HIRING PRACTICES AND PUBLIC STATEMENTS ARE MORE LIKELY TO PURCHASE THEIR PRODUCTS

Diversity isn’t just a moral imperative; it’s also good for business. Consumers who know companies actively support diversity through their hiring practices and public statements are more likely to purchase their products.

In addition to attracting new consumers, diversity helps companies attract and retain talent: diverse teams are more innovative, make better decisions, and solve problems more effectively than homogeneous groups do.

EMPLOYERS CAN LOSE AS MANY AS 50 PERCENT OF THEIR KEY EMPLOYEES IN TIMES OF INTENSE CORPORATE CRISES OR SCANDALS THAT INVOLVE ISSUES SUCH AS GENDER OR RACIAL BIAS

Diversity and inclusion are essential elements of business success in the 21st century. Employers can lose as many as 50 percent of their key employees in times of intense corporate crises or scandals that involve issues such as gender or racial bias.

Companies have a responsibility to promote diversity and inclusion because it’s the right thing to do, but they also need to be mindful of the important link between diversity and profitability—a company’s ability to attract and retain top talent.

In fact, businesses with more diverse workforces are 24 percent more likely than those that are not diverse to experience sales growth at least twice the national average over five years, according to McKinsey & Company research.

Diversity And Inclusion Are Key To Business Success And Growth

Diversity and inclusion are more than just buzzwords; they’re essential to a business’ success. Diversity is critical to innovation and responsiveness, while inclusivity ensures everyone feels part of the team, not just a checkbox.

It’s important for companies to understand their workforce demographics in order to identify areas where they can improve, then implement policies that ensure those improvements remain sustainable over time.