“An equal, diverse and inclusive workplace is a key driver of resilience and recovery.”
Manuela Tomei, Director, ILO Conditions of Work and Equality Department
If you are interested in transformative change, join me in this discussion about an incredibly important topic that holds a special place in my heart: Diversity, Equity, and Inclusion (DEI). It is often considered a Game-Changer for the future of the workplaces. In this blog, we’ll explore the meaning of DEI, its importance, best practices, and the latest trends in 2023. DEI, which stands for Diversity, Equity, and Inclusion, is a comprehensive approach that encourages the representation and involvement of people from many origins, cultures, colors, genders, and abilities. Diversity is the “who and what,” Equity is the “how,” while inclusion is the “why.” Isn’t that wonderful? It is all about establishing an environment in which everyone feels respected and can contribute to their fullest potential.
“DEI is about creating a workplace where everyone feels seen, heard, and valued for who they are,” explains Jane Turner, a renowned DEI consultant. It is more than just accepting differences; it is about creating a culture that actively promotes and embraces diversity. DEI works to break down obstacles that have historically disadvantaged specific communities by promoting fairness, equal opportunities, and inclusivity. Diversity, equity, and inclusion (DEI) refers to programs and policies that promote the representation and participation of diverse groups of people, such as people of different genders, races and ethnicities, abilities and disabilities, religions, cultures, ages, sexual orientations, and people with diverse backgrounds, experiences, skills, and expertise. it is more than just a “feel-good” initiative. According to research, having a varied set of perspectives at all levels of a company increases financial results, organizational and team performance, innovation, and other facets of the business.
When we adopt DEI, we gain access to a plethora of benefits.
The power of diversity creates a dynamic environment where innovation and creativity thrive.
DEI is critical to establishing and sustaining a successful workplace based on the concept that all people can develop personally and professionally. Bringing people from different backgrounds together generates new and creative ideas. More crucially, a DEI strategy leads to an environment in which all employees believe they have intrinsic worth, not in spite of their differences but because of their differences. It’s like a kaleidoscope of ideas that can drive remarkable business outcomes,” says Michael Rodriguez, CEO of a successful tech startup.
More than policies, programs, or headcounts, equitable employers outperform their competitors by valuing their varied workforce’s distinct needs, opinions, and potential. As a result, diverse and inclusive organizations earn greater employee trust and commitment.
A diverse and inclusive workplace has numerous advantages:
Increased revenue growth
Greater innovation readiness
Increased ability to recruit from a diversified talent pool
Employee retention is increased by 5.4 times.
Research by McKinsey & Company reveals that diverse companies are 35% more likely to outperform their competitors.
DEI Best Practices in the Workplace:
Let’s look at some real-life examples:
1.Accenture: A prime example of DEI actively pursued and implemented is this multinational consulting organization. They have publicly stated their intention to achieve a gender-balanced workforce by 2025. They also publish transparent reports on their progress towards these objectives, displaying dedication and accountability.
2.IBM: For decades, IBM has been at the forefront of DEI. They have several Employee Resource Groups (ERGs) focused at different demographics, including as LGBTQ+ team members, women, persons with disabilities, and a variety of ethnic groups.ERGs allow employees to engage with others who share their interests and are frequently a cornerstone of employers’ diversity and inclusion efforts.They also have an Executive Diversity Council and a Supplier Diversity Program to ensure a diverse supply chain.
3.Airbnb: With a diversity and belonging team reporting directly to the CEO, Airbnb freely releases diversity data and continuously explains the business case for DEI practices. Airbnb has also implemented unconscious bias training for all of its employees worldwide.UB training teaches participants how to manage their biases, practice new behaviours, and track their progress.
4.Microsoft: DEI has been integrated into Microsoft’s corporate mission, and the company spends extensively in programs and initiatives to promote a diverse and inclusive culture. They offer executive-level inclusion workshops, have an Executive Diversity Council, a comprehensive paid family leave policy, and mandatory unconscious bias training.Executive Diversity Council: This sort of diversity council is made up of leaders from all business functions inside the organisation and is usually led by the chair or CEO and Chief Diversity Officer. This team is in charge of creating the company’s overall integrated diversity strategy.
5.Procter & Gamble: They have strong DEI principles in place and a diverse Executive Board. They’ve also established programs like the Women’s Empowerment Program and LGBTQ+ staff resource groups.
In the future, DEI best practices are predicted to be more proactive in 2023. Companies will not only prioritize diversity hiring, but will also cultivate a culture that supports these diverse recruits. It is about establishing an egalitarian and inclusive workplace in which everyone feels welcomed and respected. This includes not only having a diverse workforce, but also ensuring equal opportunity for growth and leadership roles.
DEI best Practices for Hiring:
“Inclusion and fairness in the workplace are not simply the right thing to do; it’s the smart thing to do.” – Alexis Herman.
A diverse and inclusive workplace is one in which everyone feels equally included and supported in all areas of the workplace, regardless of who they are or what they do for the company. The phrase “all areas” is crucial.
Do you have a diverse workforce in your recruiting, in each of your departments, and in your leadership? Or do you have a diverse workplace in which 50% of your employees are female but 0% of your managers are female? Do you have a strong overall representation of people of color, but they all work in the same department? These probing inquiries uncover actual workplace diversity and inclusion. Unconscious biases in the hiring process can be reduced by using fair recruitment practices, encouraging diverse candidate pools, and conducting blind resume checks.
Target: Target, a retail chain, tailors its products and advertising to diverse groups of customers and has put an emphasis on hiring diverse talent, with a particular focus on ethnic and gender diversity. They received a perfect score for LGBTQ+ workplace equality in HRC’s Corporate Equality Index.
Trends in DEI in 2023:
Let’s take a look at some emerging trends in the world of DEI as we head into 2023:
1.Intersectionality: It is becoming increasingly necessary to recognize that individuals have various aspects of diversity and that identities intersect. This approach recognizes specific challenges that people who belong to numerous marginalized groups face.
2.Mental health and well-being: Companies are realizing the value of supporting their employees’ mental health. This includes offering tools, developing discussion forums, and enacting policies that prioritize work-life balance.
3.Supplier diversity: Companies are focusing on DEI beyond their internal operations. Supplier diversity initiatives seek to engage and promote businesses owned by members of under-represented groups.
Final thoughts:
Combining the business case for diversity and inclusion with laws and legislative frameworks, as well as complementary enterprise values, is the most likely strategy to persuade more companies to produce sustainable and transformational change. Employees must feel appreciated, respected, fairly treated, and empowered as a result of inclusive business practices, organizational culture, and leadership. Gender diverse and inclusive teams outperform gender homogeneous teams — often by as much as 50%. While many industries still have a gender imbalance in which males outnumber women in the workforce, having equal gender representation on a team has considerable benefits. Women, for example, are 34% better at negotiating concessions and 25% better at mentoring. According to a McKinsey & Company study, organizations in the top 25% for racial/ethnic and gender diversity were 36% and 25% more likely to have higher financial returns, respectively. According to a survey of over 19,000 HBR readers, one culture style distinguished diverse and inclusive organizations from those that were not: a learning-oriented culture that emphasizes flexibility, open-mindedness, and exploration, and this predominant culture can equip organizations with the ability to adapt and innovate.
Workplace diversity, equality, and inclusion (DEI) initiatives are increasingly becoming part of national political debates. For a majority of employed U.S. adults (56%), focusing on increasing DEI at work is a good thing, according to a new Pew Research Center survey. However, attitudes towards DEI vary greatly across demographic and political lines.
High levels of diversity and inclusion in the workplace are associated with higher levels of productivity, innovation, and workforce well-being, but far too little is being done to promote them, particularly among minority groups, implying that companies, workers, and societies are missing out on significant potential benefits.