The Business Case for Diversity: 5 Ways it Pays to Have an Inclusive Workplace
Ask any employee who values their job, and they’ll likely tell you they would prefer a more inclusive workplace to learn different perspectives. They might also be eager to broaden their knowledge of diverse backgrounds.
These reasons are important enough for employers to consider more inclusion. However, what do they get out of it? After all, significant business changes must have robust reasoning behind them. Otherwise, it’s hard to see those changes as worthwhile.
While there can be many benefits associated with fostering diversity in the workplace, the advantages below are among the most pronounced:
Better Hiring and Retention Rates
We’re in the midst of a global worker shortage, with many industries struggling to hire and retain talented employees. While inclusive businesses are not exempt from these challenges, they may notice better hiring and retention rates when their inclusive workforce feels valued and appreciated.
Businesses with DEI policies are more appealing to new graduates and experienced professionals alike. So fostering an inclusive workplace can make you a preferred business among the most talented applicants. Furthermore, when your existing employees feel seen and valued, they’ll be less likely to seek employment opportunities elsewhere.
Increased Productivity and Engagement
Business owners around the world are beginning to understand that engagement equals productivity and productivity equals profit. That’s why they’re always looking for new tech and systems to get the most out of their employees. However, you don’t always have to rely on new technology. Making your workplace more inclusive could be your solution to unlocking those same benefits.
When employees have a sense of belonging and feel included and valued, they tend to be more productive and engaged. They generally also feel more loyal toward their workplace, making them open to investing more effort into their work-related tasks. In essence, they are happier, and happier employees are more productive employees.
Better Decision-Making
Working as a team and utilizing many skill sets generally leads to a higher standard of output. However, the results can be even better when those teams are inclusive. This is particularly true where decision-making is involved.
Studies have shown that inclusive teams make better decisions up to 87% of the time. Teams with inclusive processes also make decisions twice as fast. Better yet, decisions made by diverse groups deliver 60% better results.
Enhanced Reputation
Reputation means everything in the business world. After all, if consumers don’t like your morals or values, they’ll shop with your competition. And modern consumers are making these decisions all the time. We live in a more socially conscious world, making diversity, equity, and inclusion more critical than ever.
Businesses with DEI policies tend to be viewed more favorably than those without. For example, one survey found that two in three Americans let their social values shape their shopping choices. Inclusive shoppers tend to seek out Black-owned brands and prefer supporting Black-owned businesses.
More Creativity and Innovation
When you repeatedly hire the same types of people from the same walks of life, their ideas and innovations can be two-dimensional. However, diversity drives innovation. By hiring people from different backgrounds and cultures, you’re treated to new ideas and innovations based on different life experiences and viewpoints. In other words, you can gain an edge over your competition simply by hiring people from different cultures, backgrounds, and walks of life.
There’s no denying that creating a more inclusive workplace can be challenging. It might even require expert help. However, when you’ve made diversity, equity, and inclusion your priority, there’s every reason to believe you can enjoy the outstanding advantages above.
