10 Amazing Benefits of Workplace Diversity

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10 Amazing Benefits of Workplace Diversity

Why do all the leading
companies embrace workplace diversity?

Forbes has recently released the newest list of The Best
Employers For Diversity 2019
. The list was
compiled by surveying 50,000 Americans working for businesses with at least
1,000 employees.

The final list ranks the 500 employers that not only received the most
recommendations, but also boast the most diverse boards and executive ranks and
the most proactive diversity and inclusion initiatives. Have you seen it?

If you have, you know that all the leading, top companies are on that
list. Netflix, SAP, Visa, Nielsen, Procter & Gamble, Walt Disney,
Salesforce, KPMG, BuzzFeed…they are all among the top 20 of America’s best
employers for diversity.

So why do all the leading companies work so hard to embrace and promote
workplace diversity? As PepsiCo states it on their Diversity and
Engagement Program’s website
, they are well
aware that “supporting diversity and engagement is not only the right thing
to do, it is the right thing to do for our business
”.

Embracing, building and promoting workplace diversity is not only the
right, but also the smart thing to do. In the following text, we will examine
the data backed research and look for the proven benefits of workplace
diversity.

What are the proven
benefits of workplace diversity?

There is an abundance of research highlighting many different, tangible
benefits of workplace diversity. According to research, diversity in the
workplace is an asset for both businesses and their employees. Here are a few top benefits of the workplace
diversity:

Benefit #1: Higher revenue

A Boston
Consulting Group
study found that companies with more diverse
management teams have 19% higher revenues. McKinsey
& Company
have found in their research that companies with
more diverse top teams were also top financial performers as well.

AmericanSociological Association found that “companies
reporting the highest levels of racial diversity brought in nearly 15 times
more sales revenue on average than those with the lowest levels of racial diversity.”

Benefit #2: Attracting Millennials

By the year 2025, 75% of the global workforce will be made up of
millennials. This study shows that 47%
of millennials are actively looking for diversity and inclusion when sizing up
potential employers.

Similarly, a Stepstone
study
from 2013 found that 60% of new generation
candidates are attracted by companies with a diverse profile. For these
candidates it was “very important” or at least “important” that their workplace
is inclusive of everyone regardless of their nationality, religion, sexual
orientation, gender and disability.

Benefit #3: More engaged employees

In their recent study Service
Management 3.0: Linking Employee and Customer Engagement
, which is one
of the largest-scale and most comprehensive studies of its kind, Future
Services documented the strong correlation between employee engagement,
customer satisfaction and profit.

Gallup has also found
that employee engagement and inclusiveness are connected. It found the
combination of employee engagement and gender diversity resulted in 46% to 58%
higher financial performance.

Benefit #4: Higher innovation rate

According to studies cited by Scientific
American
, organizations with inclusive cultures have greater
innovation, creativity, and bottom line results.

According to Josh Bersin’s
research
, inclusive companies are 1.7 times more likely to
be innovation leaders in their market.

Tying all together: Why do
diverse companies produce more revenue?

In short, workplace diversity provides a variety of different
perspectives, which results in better decision making and faster problem
solving. A greater variety of perspectives also leads to greater creativity and
higher rate of innovation in diverse companies.

Employees in diverse companies are more engaged and less likely to quit.
Diverse companies also have a better reputation which is why is easier for them
to attract top talent. The final result is that companies with diverse
workplace achieve higher profits.

We summarized all the most important benefits of workplace diversity in
this handy infographic:

workplace diversity infographic

Ideas for promoting
diversity and inclusion in your workplace

Now that you are aware of all the amazing benefits of workplace
diversity, you must be wondering how to build, improve and promote
an inclusive company culture
at your own
workplace.

First of all, you need to make diversity a part of your employer brand.
Let the world know your company embraces and welcomes all. State it on your
career site and highlight it in your job ads! You can also feature a video of
your CEO talking about the importance of diversity for your company.

Second, you should put in some effort and develop an equal opportunity
policy and implement it in your company. Make sure that you inform all of your
existing employees about your new policy. Provide diversity training to ensure
that all of your employees fully understand the benefits of a diverse
workplace.

Finally, make it fun! For example, you can start by creating a culturally diverse holiday calendar. Encourage your employees to get involved and celebrate different traditions. Come together and share food, music and celebrations from around the world. It is a great way for all your employees to broaden their horizons, learn something new and connect with their colleagues.

About the Author: Anja Zojčeska, our guest blogger, is a Human Resources Manager and Content Marketing Specialist at the recruitment software company TalentLyft. Her mission is to keep all her co-workers happy and engaged in the workplace. She is also curious about the latest marketing trends and passionate about applying them in recruitment.

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