What Does Diversity Mean as a Business Strategy?
When company leaders ask themselves, “How does our company become more diverse?” most executives run straight to HR departments to begin hiring employees from different social and ethnic backgrounds without really thinking about why. With those diverse boxes checked, the problem is solved, right?
Wrong.
Being a diverse company goes beyond HR initiatives. It is a business strategy. From employees hired to the leadership team and core product development to marketing strategy, diversity, equality, and inclusion need to be an integral part of every decision made.
Delta airlines is a good example. Delta has a section on its website dedicated to diversity and inclusion, explaining how it is not only about building a stronger team but making both diversity and inclusion evident in everything it does. It has a five-year business plan in place to diversify its entire management structure and to make sure DEI is weaved into every aspect of its business model.
The ROI on diversity
Companies in the top quartile for gender diversity on executive teams were 25 percent more likely to have above-average profitability than companies in the fourth quartile.
But it’s about much more than the bottom line.
Companies that have a team of people from different social and ethnic backgrounds, sexual orientations, and genders have a greater range of perspectives and ideas. With different voices and experiences coming to the table, there are bound to be more interesting and innovative ideas generated.
Company culture is also important because employees are the heart of your business. Having diversity as a business strategy helps establish inclusion as a true company priority. A company that emphasizes acceptance also creates space for employees to express their full selves, which leads to an increase in both morale and productivity.
How to implement DEI into your business strategy
The first step is to write it down and make it part of your company’s core principles. Then you need to give necessary training and hold everyone at work accountable for it. Your HR department, leaders, and board members are responsible for monitoring diversity and inclusion risks and enforcing consequences for anyone who violates your organization’s policies.
Further Integrations:
Diversity and inclusion need to be part of every aspect of your business.
Operations
Different backgrounds and experiences can spark debates and lead to more innovative and creative ideas.
Talent
Make sure diversity is at the core of your hiring process. Studies show that diverse management teams are 33 percent more likely to generate better-than-average profits and 70 percent more likely to capture new markets.
Marketing
Cookie-cutter commercials don’t cut it. Consumers are drawn to content that aligns with their values and campaigns that feature relatable people.
Make sure you continue to ask, “Where does my company stand when it comes to diversity and inclusion?” A diverse and inclusive business strategy is not a one and done thing. It is a working process that will consistently need to evolve and change with the times.
In case you have not caught on yet, diversity and inclusion are at the core of everything we do here at Titanium. We are always here to discuss ways we can help your business succeed. Start a conversation with us any time at ti@titaniumww.com.