Workplace diversity, equity and inclusion (DEI) efforts frequently utilize complex language that may seem foreign or complex to those unfamiliar.
Understanding each word’s definition and their relationships between one another is essential for successful team collaboration. To start off, we advise your team discussing every term privately before deciding what order works best for your organization.
Definition
Diversity equity and inclusion (DEI) uses many terms that may be unfamiliar or confusing, so understanding them better is crucial to reaching DEI goals more quickly.
DEI (Diversity, Equity and Inclusion) is an organizational framework designed to promote fair treatment and full participation for all people – particularly groups historically underrepresented or subject to discrimination. DEI includes both proactive and reactive measures designed to create more equitable workplace conditions; for example creating an unbiased performance evaluation framework or making commitments towards hiring more diverse staff, as well as investing in internship or trainee programs for underrepresented groups. Reactive measures could include training programs on unconscious bias – where we hold unconscious stereotypes without realizing them – in order to address it effectively.
Inclusion refers to the process of creating an inclusive workplace in which every individual feels they belong regardless of their identity or background. This can be accomplished by offering opportunities for celebrating cultural diversity, providing flexible working arrangements, and respecting individual differences. Likewise, inclusion involves acknowledging that individuals don’t define themselves by certain characteristics but bring unique experiences and perspectives into the workplace.
Your organization could be losing out if it does not embrace diversity, as doing so could unlock innovative thinking and growth potential. Research conducted by McKinsey revealed that businesses with higher levels of racial and ethnic diversity were 35% more likely to outshone their peers.
An inclusive workforce is stronger, and that includes diversity of ideas and perspectives. By cultivating an environment that welcomes these new viewpoints, your employees will feel like they can express themselves authentically at work – thus increasing retention at your company over searching elsewhere for similar environments where they feel safe expressing themselves freely.
Understanding the difference between diversity and inclusion is critical to crafting an effective business strategy. Diversity only matters if it leads to inclusion – without this outcome in mind, striving to achieve diversity without also striving towards inclusion is simply futile.
Goals
Diversity equity and inclusion goals are specific targets that a company sets to foster an inclusive work environment, such as increasing the representation of women and minorities in managerial positions or providing unconscious bias training for all employees. By setting these diversity goals, companies can track progress made towards these targets as well as identify areas for further improvement.
Diversity and inclusion aim to ensure all employees feel they belong in the workplace, by including people from diverse backgrounds and perspectives, employees can gain more perspective when discussing issues or solving problems, leading them to come up with creative solutions more readily. Diversity also helps companies expand their customer base while better comprehending customer requirements.
An inclusive workplace also improves a company’s reputation. Studies have shown that employees who feel welcome at their jobs tend to stick around longer – this can be hugely advantageous for companies as high turnover can have devastating financial repercussions.
Many companies have implemented policies to foster diversity, equity and inclusion. Examples include creating mentoring programs to connect students from underrepresented groups with mentors from similar backgrounds; using blind resumes to prevent unconscious bias during hiring processes; or altering job postings with more inclusive language – initiatives which help companies meet their diversity goals while making a difference in society.
Companies employ various strategies to promote diversity within their organization; however, it must be mindful of how this may have unintended repercussions if managed poorly. Therefore, it’s crucial for executives to create a comprehensive diversity and inclusion plan with their executive teams, including setting KPIs that track progress while following best practices across industries.
It’s also essential to have a clear definition of diversity, equity and inclusion. Too often these terms are used interchangeably; however, each has distinct meanings: diversity encompasses any characteristics that distinguish one individual from others; while equity refers to treating all individuals equally despite any individual differences or barriers they might possess.
Actions
Attracting an executive team that represents all employees in your organization is one way of showing diversity is valued; however, taking actions to foster inclusion are even more essential in making sure everyone feels appreciated and included at work.
An important element of this is ensuring you’re not discriminating against individuals based on race, religion, gender identity or sexual orientation; and making the workplace accessible for individuals with disabilities. Unfortunately, many companies fail to meet this expectation – for instance a recent Accenture survey discovered only 40% of LGBTQ+ workers felt comfortable coming out at work.
Other ways you can support inclusivity include the hiring process, offering mentorship to new hires, assuring all employees have opportunities for advancement, actively soliciting opinions from minority groups, and learning how to communicate in a respectful manner with those who may differ from you. According to research by McKinsey, companies that prioritize inclusion tend to be more competitive than those that don’t focus on it.
However, while changing a company culture can be daunting, its rewards make the effort worth while. A diverse workforce can lead to improved business outcomes such as employee retention and satisfaction rates, enhanced customer insight and increased innovation potential. Furthermore, companies that embrace DEI tend to attract and retain top talent while expanding into new markets successfully.
Attentionality is key when creating a diverse and inclusive work environment, which begins by including both diversity and inclusion as core values and missions of your company. Once this has taken place, specific initiatives to reach goals can begin being implemented to reach them. It should be noted that diversity without inclusion may result in toxic cultures while inclusion without diversity will create stagnant environments – both must remain priorities for your organization to thrive!
Impact
Companies focused on DEI enjoy numerous advantages, including increased productivity, employee satisfaction and profitability. Furthermore, such organizations tend to attract and retain top talent more successfully – something which is particularly crucial when considering the costs associated with high turnover rates.
A majority of workers (56%) say that a company’s focus on diversity, equity and inclusion is beneficial; women were more likely to take this view (61% vs 50%). Opinions can vary among demographics and parties – 28 per cent view the focus as neither good nor bad while 16% consider it negative.
The COVID-19 pandemic made it clear that workers are reassessing what they want in their jobs and employers. A significant proportion of Gen Z and Millennial workers report that pay, work/life balance, career development opportunities and commitment to creating an inclusive workplace are of highest priority when considering job satisfaction.
DEI is essential to employees as it creates a sense of belonging; those who feel included at work tend to be more engaged, leading to improved morale that directly benefits the bottom line. A study by McKinsey & Company showed that employees at companies with strong diversity and inclusion initiatives have higher customer satisfaction scores and are more productive than their counterparts at less DEI-focused organizations.
Diversity and Inclusion policies (DEI) can assist businesses in creating innovative products and services tailored to the needs of their target markets. DEI helps businesses better understand their customers and develop more efficient communication strategies.
Diversity, equity and inclusion (DEI) are intertwined concepts essential to business success. When organizations make DEI their priority in order to remain ahead of their competitors in an increasingly global market place.
To foster an inclusive and equitable society, all individuals must be treated with equal regard. This applies to those from groups that have historically been marginalized such as people based on race, gender, ethnicity, age, sexual orientation, physical ability or religion.