Studies reconfirm that diversity on leadership teams increases performance
New McKinsey research reconfirms past studies on the strong business case for diversity and inclusion. According to the latest “Diversity Matters Even More” report, there is a “39% increased likelihood of outperformance for those in the top quartile of ethnic and gender representation versus the bottom quartile.” Conversely, the risk of not having diversity on your leadership team is immense. Those companies lacking diverse representation are likely to be 30% lower in their performance versus their industry peers.
HR Dive finds that companies that prioritize diversity and inclusion are:
- Twelve times more likely to engage and retain employees
- 8.4 times more likely to inspire a sense of belonging
- 8.5 times more likely to satisfy and retain customers
The business case for diversity has existed for decades. Global, progressive organizations have been working on diversity-and-inclusion efforts during this time, yet there still appears to be limited traction.
What’s Holding Organizations Back?
Mistrust, fear and lack of education continue to hold organizations back because most C-suites are composed of white males. There’s often a lack of understanding of diversity and inclusion issues due to their own limited lived experiences. This is further backed by consumer mistrust, wherein 75% of U.S. consumers mistrust companies’ DEI commitments. Due to the lack of accountability, with 76% of companies………
Read the rest of this article by Julie Kratz on Forbes.com
At Next Pivot Point we have lots of resources to help you facilitate successful diversity and inclusion initiatives. Schedule some time with our team today to discuss where to start or how to do better. You can also check out:
- Our available workshop topics for developing inclusive leaders.
- Our Train the Trainer programs for scalability within your organization
- Our Right-Sized DEI micro-content packages for consistent small-drip content throughout the year.