Welcome to the third quarter of this year. This year has been described as a very interesting year. So much has happened and a lot more is expected to happen. Have you taken stock of what this year has meant for you? Please do if you have not already done so.
Today we are looking at Diversity and Inclusion in the workplace. This refers to what happens in an organisation that intentionally employs a workforce composed of individuals of varying gender ,religion , age, ethnicity, education and other attributes. Diversity therefore just means the similarities and differences amongst employees.
People are different enough taking into consideration gender, culture, race , social and psychological characteristics but also in their perspectives and prejudices. Diversity makes the work force heterogeneous. Employing a diversified workforce is a necessity for every organisation that wants to succeed, however to manage such a diversified workforce can also be a big challenge for management.
Focusing on diversity and inclusion is not only the smart thing to do for your business but also the right thing to do for humanity. There are all kinds of benefits, both tangible and intangible, internal and external. Implementation is however a challenge. Diversity hiring brings a fresh array of perspective to the table. This can lead to better problem-solving and increased productivity. It is tantamount to when you’re looking for something sending everybody in the same direction as opposed to having people go in different directions where they are likely to find more solutions quicker.
Sometimes the idea of bringing in a new perspective seems to intimidate people and they may feel potential awkwardness. However research has shown that companies that bring in diversity see a 60 percent improvement in decision making abilities. Everybody bringing their own realities to bear makes problem solving easier.
Employees are no longer simply looking for a 9-to-5 job that pays well. They are looking for space where they can grow, feel accepted and be challenged. That is why a company that embraces diversity will attract a wider range of candidates who are looking for a progressive place to work therefore diverse companies are more likely to attract the best talent
Also, a company that is actively looking for diversity candidates will have access to a wider talent pool. While companies should always be selective about who they hire, being overly selective about traits that do not matter will significantly decrease the number of people they can consider, therefore making the pool very small. Therefore, embracing diversity in background, thought, ethnicity and other factors are key to finding good help.
The same reason that makes strategy meetings have better results when they are held offsite or when there’s a change of pace that makes a hitherto difficult problem seemingly easy to resolve. Recent study has found that companies who score well on indicators of diversity tend to be much more innovative
When employees see a representation of a variety of cultures backgrounds and ways of thinking they are more likely to feel comfortable being themselves. This in turn leads to happier, more productive employees. On the other hand, research has found that a strong homogeneous culture can stifle natural cognitive diversity due to the pressure to conform. If employees don’t feel like they can be themselves at work they are more likely to fear rejection and may not produce their best work.
Research shows that diverse teams perform better and bring in more profits. In 2015 McKinsey (an American consulting firm) produced a report for 366 companies in America and found that those who were racially diverse in management, were 35 percent more likely to have financial returns above their industry standard. Additionally, those in the top quartile for gender diversity are 15 percent more likely to have returns above the industry standard.
Another study found that companies with diverse executive boards have a 95 percent higher return on equity than Companies with homogeneous boards there was a direct correlation that increasing the diversity of the leadership team lead to improved financial performance
Challenges of diversity
Aligning diversity practices with unique organisational goals and implementing diversity in the workplace is a big commitment and unfortunately there’s no handbook that you can copy and paste from.
The diversity program must align with the unique set of goals of your organisation which means taking into account the specific culture you have. While figuring out your approach don’t just copy what you see in your industry. For example, if you already have a diverse ethnic workforce, it doesn’t make sense to create an objective around increasing those numbers simply because that’s what other companies are doing. Focus on another aspect of diversity that will leverage on your existing strengths. For example, you can move from ethnicity to gender. Consider using a diversity focus survey to identify your specific gaps
Organisations may design the most thoughtful and detail oriented diversity program, if there’ is no one to implement it, it will fail. There has to be a team and resources in place to move your diversity initiative from design to implementation. There has to be management buy in also.
A dedicated resource, like Head of Diversity and Inclusion is a solid way to hold the business accountable for diversity results. Current statistics from job sites show that Managing diversity and inclusion jobs are up by 35 percent in the last two years. The company may also put staff in charge of diversity on a rotation basis so as not to spend on a new hire.
Diversity does not happen in silos, it requires the cooperation of all staff members especially the managers. Training is therefore important so that the managers understand their role. This is important because it only takes one person to display insensitive behaviour, to taint the Company’s culture and an employee’s experience.
There are companies like mine Box and Cedar who can help organisations navigate diversity training using available data and relationship building.
Humans are biased. Research shows that many human decisions are based on bias, beliefs and intuition, not facts and logic. organisations need to invest in additional training dedicated specifically to overcoming bias. While it is inevitable that some bias will creep in to the workplace, it is good to at least be aware of common biases and have a foundational understanding of how to avoid or address them
Unfortunately, not everyone is on board with the idea of diversity in the workplace. Some people are just uncomfortable with the idea and will eventually adjust. However ,others may be actively opposed to the idea of intentionally building diversity in the workplace. Whatever the reason for internal resistance it is important that leaders make an effort to constantly educate subordinates about the why behind organisational diversity efforts
There may not be any cut and dry solution for internal resistance, it is however important to remember that diversity and inclusion generally is about moving people towards understanding. which means focusing on people who don’t understand why it is important and not only on people who do. Some people may leave as a result of this but be rest assured diversity and inclusion is much better and more profitable than homogeneity.
Have a great weekend.
