Workplace Diversity Works - Here’s proof
An increasing number of organizations are recognizing the value of Diversity, Equity and Inclusion (DEI) in the workplace. Not only is this approach culturally important and the right thing to do for us as humans, but it delivers real tangible benefits for enterprises as well. Workplace diversity refers to the practice of intentionally employing a workforce that represents individuals having different characteristics – race, age, ethnicity, education and others. I would like to share my thoughts and facts that I’ve gathered about diversity in the workplace that show how it is an effective strategy for employers.
25% higher chances of above-average profitability for companies with more gender diversity.
Research has proved that gender diverse companies regularly outperform those with lesser gender diversity. Companies which offer equal opportunities for all sexes are better able to understand customers across the board and communicate more effectively with them. Putting an emphasis on gender diversity makes employees more confident that their voices and ideas will be heard. This leads to better knowledge sharing between associates that contributes to growth of employees as a whole. Gender-inclusive organizations are more attractive to customers and potential employees. Apart from this, the financial benefits like increased profitability are an added advantage for any company to have a gender diverse workforce.
1 in 3 candidates will not apply for a position if they feel the company lacks diversity.
In the era of the “great resignation”, employers are already finding it hard to acquire and retain talent. It is crucial for companies to put their best foot forward, as much as the candidates, to make sure that they attract the best pool of individuals. Employees today are looking for organizations that respect and include people from diverse backgrounds. Another benefit that employees see with diversity is being exposed to new ideas, cultures and perspectives that can boost new ideas. Individuals can also get an opportunity to build international networks in such workplaces.
Researching company profiles beforehand is a common practice for candidates today. They research company profiles beforehand through online articles, reviews, videos and social media. A prospective employer who shows commitment to a diverse workplace is more lucrative in terms of work culture than one who doesn’t.
87% of times diverse teams are better at decision making than non-diverse ones.
Diversity offers a broader perspective to problems with a larger pool of information that can be tapped into. Many situations need a creative approach that can only be gained through diverse teams. This can be the competitive advantage that a company needs. In addition to being more efficient and successful, workplace diversity enables enterprises to better understand and cater to a varied customer base. Research suggests that there is a 70% likelihood of capturing new markets with a diverse workforce.
DEI initiatives not only contribute to profitability, but they enable companies to create an environment where it is easier to break down cultural barriers and become a safe space for people from all backgrounds.
Diverse companies achieve 19% higher revenue on account of greater innovation.
A company having monolithic culture is likely to have individuals with similar life experiences, exposure and problem-solving skills. Introducing fresh ideas and new perspectives through a heterogeneous workforce boosts creativity and innovation. Companies that score well on diversity, also do well with innovation, which leads to higher profitability and revenue. A study by the Boston Consulting Group also found that diversity in leadership teams results in improved financial performance. Clearly, workplace diversity makes business-sense.
38% of consumers are more likely to trust brands that show diversity in their ads.
No matter what you do, the ultimate goal of any company is to attract more customers. In a world where the attention span is decreasing every day and you need to stand out amidst all the noise, it is imperative to showcase what is important for your customers. And today’s customer values diversity. They need to feel that the company is relatable. External communication and advertisements should keep this in mind and build inclusive communication strategies. Ignoring the diversity of your customers may make some feel alienated and result in a decline in brand value.
What we have learnt
Workplace diversity is not only important for the reputation of your company but also delivers tangible benefits for your business. In a modern, connected society, DEI is fast becoming a necessity for employees and customers alike.
At ComTek, we pride ourselves on being an equal opportunity employer. Working with companies to deliver ERP Services, our job involves understanding different customer requirements from clients around the globe. Our diverse and inclusive approach has not only helped us create a workplace where innovation thrives, but also cater to a varied customer base efficiently.