What are the big benefits of diversity in the workplace? Within the modern working world, “diversity” is something that is at the forefront of many corporate mission and value statements—and it has been amplified by the unprecedented social justice movements that swept the world in 2020.
Like never before, business = social, and social = business, and the spotlight on diversity and inclusion within the workplace is substantial. How does this push for diversity actually benefit modern organizations? Take a look at our list of the Ten Big Benefits of Diversity in the Workplace.
Diverse organizations spark innovation.
The best way to think “outside the box” and develop revolutionary new strategies, products, campaigns, and techniques that pay off? Increase diversity within an organization. Per the Harvard Business Review, companies with high diversity have 19% higher innovation revenues. Diversity provides the spark that drives forward-thinking, innovative organizations to success.
Diverse leadership expands an organization’s customer base.
Diversity provides a way for organizations to expand their reach. Researchers from the Harvard Business Review detailed that organizations with diverse leadership are up to 70% likelier to capture new markets. As one of the top benefits of diversity in the workplace, the fresh thinking, strategies, techniques, and perspectives diversity brings in helps attract new customers that keep organizations expanding and profitable.
Diverse teams get better answers.
Frustrated with your organization’s problem-solving techniques or disappointed with the answers you’re getting to tough work questions? Diverse teams can help cut through the confusion. An article in the New York Times detailed that interacting with diverse groups produces answers that are 58% more accurate. For those organizations seeking to knock down roadblocks and answer questions holding up projects and efforts, diversity is key.
Diverse project teams collaborate more effectively.
Looking to streamline projects and empower success in your team structure? According to a Changeboard study, diverse teams collaborate up to 57% more effectively with their peers when compared to other, non-diverse teams. It’s one of the big benefits of diversity, particularly in a world where collaboration across boundaries and borders is more crucial than ever.
Diversity improves team performance.
One of the top benefits of diversity in the workplace? Diverse leadership drives team success across an organization. A Deloitte article showed that inclusive leadership improved team performance by 17%. Diversity can offer a powerful team advantage in a competitive marketplace.
Diverse teams make better decisions.
Frustrated by the answers (or lack of answers) that teams are producing? Are projects getting stuck in the mud, or not showing progress? Diversity could be the key to unlocking the answers your organization needs. That same Deloitte article showed that diversity and inclusivity in a team setting improved decision-making quality by 20%. Want better answers? Create more diverse teams.
Diverse leaders fuel productivity.
Hard work is the foundation of productivity – and diverse organizations fuel a strong, productive work ethic throughout the workforce. That Changeboard article details just how beneficial diversity can be for productivity: a work environment with diverse leaders prompts employees to work 12% harder. With the razor-thin margins for success in today’s business world, that 12% can make all the difference in the marketplace.
Diversity and inclusion cuts down on turnover.
Constant turnover is a headache – and a financial burden – for modern organizations. One Glassdoor study found that it costs an average of $4,000 (and 52 days) for an organization to hire a new employee. That financial cost (and the costs in the workflow caused by those disruptions) can be fatal for an organization’s progress. The good news? Diversity cuts down on turnover and encourages stability. A Corporate Leadership Council piece showed that diverse and inclusive organizations have employees that are 19% likelier to stay. It’s another one of the big benefits of diversity, especially considering the propensity for those in younger generations to hop from job to job.
Diverse organizations attract new talent.
Just as important as retaining your effective employees? Finding the right new employees to bring your organization to the next level. For the young job seekers of today, diversity is at the top of the list when they’re checking out their new organizations. A Glassdoor survey details their priorities: a staggering 2/3rds of job seekers take a look at a company’s diversity when job hunting. Without a robust diversity, equity, and inclusion program in place, your organization threatens to lose out on one of the big benefits of diversity in the workplace.
Diversity boosts profitablity.
Of course, one of the top benefits of diversity in the workplace is simple: it’s great for the bottom line. Per a McKinsey report, ethnically and culturally diverse companies are 33% more likely to be more profitable. There’s no better testimonial for the power of diversity than that statistic. Looking to succeed? Look to create a diverse, inclusive workforce.