An excerpt from our whitepaper co-authored with SIRVA BGRS:
The terms diversity, equity, and inclusion are often used as one phrase. However, each term has its own significance.
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Diversity is a fact. Humans are endlessly diverse— a vast array of differences can be identified even between any two individuals.
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Inclusion is an act. It is not enough simply to understand that diversity exists—inclusion happens only when concrete steps are taken to ensure that everyone feels valued, and a sense of belonging.
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Equity is a result of recognizing diversity and thoroughly enacting inclusion, which involves a fair allotment of resources based on individuals’ and groups’ distinct needs.
These definitions matter when reviewing the data in support of adopting DEI initiatives in the workplace. It is critical to understand the data that specifically supports the diversification of teams and work approaches, as well as the pivotal impact of introducing inclusion-based skills and practices once diversification has been achieved.
Research shows that racially and ethnically diverse companies are 35% more likely to yield revenue that exceeds industry norms. Diverse companies are 70% more likely to capture a new market audience, and 87% better at making decisions. Furthermore, two out of three job candidates seek companies that have diverse workforces, and companies with leadership diversity yield a 19% increase in innovation revenue.
However, a McKinsey study spanning 15 countries and more than 1,000 large organizations, supports the notion that without inclusive practices to support diverse teams, “Hiring diverse talent isn’t enough—it’s the workplace experience that shapes whether people remain and thrive.”
Specifically, the study revealed that even though sentiment on diversity was 52% positive, sentiment on inclusion fell remarkably short, at only 29% positive. These percentages are telling on their own, yet become even more meaningful in the context of findings from an extensive Deloitte study that revealed the following benefits of inclusive work cultures:
- 22% lower turnover rates
- 22% greatest productivity
- 27% higher profitability
- 29% higher customer satisfaction
The correlation between inclusive work cultures and better business outcomes is further supported by two data-driven studies conducted by Google on the relationship between social-emotional intelligence and workplace productivity. Both studies showed that soft skills, a range of aptitudes for navigating interpersonal communication, were what set certain team members apart from the rest.
The data revealed that these abilities were even more critical to success than the hard skills typically enumerated on resumes, and that the best teams were instead characterized by:
- An inclusive mindset
- Curiosity towards others’ ideas
- Emotional intelligence
- Psychological safety
The ultimate message is clear: even in work environments characterized by diversity, a marked focus on incorporating specific inclusive practices and skills is integral to both employee well-being and company success.
CultureWizard and SIRVA BGRS collaborated on a new whitepaper, Harnessing Employee Mobility to Enhance Understanding and Practice of Diversity, Equity, and Inclusion, which explores how strategic Mobility programs can uniquely harness the relocation experience to cultivate inclusive mindsets among employees and leaders, and to achieve organizational DEI goals.
To download the paper, visit this page.
To watch the webinar on this topic, register for on-demand viewing, visit this page.
