The phrase “diversity, equity, and inclusion” (DEI) refers to the practices and policies that support a workplace culture where all individuals are valued and treated with respect, regardless of their background or identity. In today’s rapidly changing and increasingly diverse world, DEI has become an important focus for businesses and organizations of all sizes. DEI is now considered essential for building a work environment that can foster creativity, collaboration and innovation.
Why does DEI matter?
Here are five key reasons why DEI could make an important difference for your organization in 2023 and beyond:
1. Business performance
Studies have shown that companies with diverse and inclusive cultures tend to perform better financially and have higher levels of customer satisfaction. This is because diverse and inclusive environments can encourage open communication, creativity, and innovation, which are all key drivers of business success.
As an example, corporations who were identified as more diverse and inclusive are 35% more likely to outperform their competitors. (Source: McKinsey)
In contrast, organizations that lack DEI practices may struggle to attract and retain top talent, leading to lower productivity and profitability.
2. Talent acquisition and retention
In a highly competitive job market, research shows that companies that are able to create a welcoming and inclusive work environment will be better equipped to attract and retain top talent. Here are some interesting statistics that illustrate this point:
- Glassdoor’s 2020 Diversity Hiring Survey revealed that 2 out of 3 job candidates seek companies that have diverse workforces.
- Nearly half of American millennials surveyed in 2016 said a diverse and inclusive workplace is an important factor in a job search. (Source: Institute for Public Relations)
- A recent survey conducted by the Gallup Center on Black Voices revealed: “Employees who strongly agree that they have equal opportunities to advance to senior management within their organization are 30% less likely to experience high levels of burnout.” (Source: com)
- According to Deloitte’s Global 2022 Gen Z & Millennial Survey, 52% of Millennials and 52% of Gen Z employees indicated they were “not satisfied at all” with their employer’s progress in creating a diverse and inclusive environment.
Talent retention is especially important in 2023, as the COVID-19 pandemic has led to a surge in remote work, which has created new challenges for companies in terms of maintaining a strong company culture and engaging employees. By promoting DEI practices, companies can create a supportive and inclusive work environment that can help retain top talent and boost employee satisfaction.
3. Legal compliance
In many countries, including the United States, laws and regulations have been put in place to protect the rights of individuals from discrimination and harassment in the workplace. Companies that fail to comply with these laws and regulations may face legal consequences, which can damage their reputation and harm their business. By promoting DEI practices, companies can ensure that they are legally compliant so they can avoid potential litigation issues.
4. Social responsibility
In 2023 and beyond, businesses and organizations are expected to play a role in addressing social and environmental issues and promoting positive change in their communities. By promoting DEI practices, companies can demonstrate their commitment to social responsibility.
However, employees are not looking for corporate lip service or virtue signaling on these issues—instead, they value authentic, relevant leadership. Here is an interesting excerpt from an article that explored the impact of corporate advocacy of social issues on employee engagement:
“Communications on societal issues can drive employee engagement if they focus on what matters to employees, are authentic and demonstrate value.” (Source: Gartner.com)
5. Consumer preferences
In today’s globalized world, consumers are increasingly looking for companies that align with their values and beliefs. This includes a commitment to DEI practices, as consumers are more likely to support businesses that demonstrate a commitment to diversity, equity, and inclusion.
By promoting DEI practices, companies can attract and retain customers who are looking for products and services from businesses that align with their values.
A tool to reduce recruiting bias
One difficulty that many organizations face is finding equitable recruiting tools. How do you find the best person for the job, without getting sidetracked by unconscious bias? For example—it might be easy to feel a stronger connection with someone who was born in the same decade or shares our cultural background. But that’s not the right approach when trying to fairly evaluate candidates for a role.
That’s why Marcomm has partnered with Hoodo.io, a revolutionary job-matching app that reduces bias in the recruiting and hiring process. Hoodo gives employers a multi-dimensional view of a candidate’s true skills, abilities and goals, and see how they align with their organization’s specific needs. But the app also scrubs candidate profiles to remove clues about gender, age and ethnicity—which helps promote more equitable hiring practices.
In summary, DEI will continue to be an essential component that can strengthen your organization’s culture and reputation in 2023 and beyond. By integrating DEI practices, we can help team members feel valued, and build brands that others want to support.
Looking to find diverse marketing candidates, promote equitable recruiting practices, and build an inclusive culture?
Marcomm can help! Reach out to our team today.