At this moment in time, you would be hard-pressed to encounter a corporation that hasn’t awakened to the profound influence of meaningful DEI efforts. We’re experiencing an evolution in business mindsets, as roles like Chief Diversity Officer and VP of Inclusion and Belonging are emerging across the landscape. It’s an encouraging indication that our corporate communities are acknowledging the call for a richness of diversity that delves deeper than merely optics.
And yet, there’s a lingering question we can’t ignore: why are so many organizations stuck in the starting blocks when it comes to moving the DEI dial? It’s one thing to broadcast high aspirations – to talk a big game about DEI. However, making those aspirations a living, breathing part of your operations… that’s a different ball game.
An old friend would often say, ‘Don’t just talk about it, be about it.’ This pearl of wisdom echoes loudly in the context of Diversity, Equity, and Inclusion (DEI). Every company’s journey towards true Diversity, Equity, and Inclusion (DEI) is unique, encompassing a wealth of different perspectives, experiences, and ambitions. But, while each path may differ, there are a few key steps that every organization must take to transition from lofty DEI aspirations to tangible DEI operations. Here are three critical steps that will help organizations operationalize their company’s DEI aspirations:
1. Engage Leadership in the DEI Journey
Engaging the leadership team in your DEI journey is a non-negotiable first step toward making your company’s aspirations a reality. According to a study by Boston Consulting Group, companies with diverse management teams have 19% higher revenue due to innovation. This emphasizes the significant role that leadership teams, rich in diverse perspectives, play in driving innovative thinking and business growth.
Leaders shape and influence the culture of an organization, hence their active engagement and commitment to DEI are crucial. According to the Society for Human Resource Management, “When employees believe their organization is committed to inclusion, they report better performance (80% vs. 32%), higher levels of engagement (80% vs. 37%), and increased willingness to stay with the organization (81% vs. 37%).”
Good leaders must be willing to communicate the DEI vision, plan, and maintain the momentum. This consistent messaging from leadership reinforces the commitment to the DEI journey and sends a powerful message throughout the organization. It shows that DEI is not just a cursory glance or a box to be checked during an annual review; it’s a value that runs deep through the heart of the business.
Beyond messaging, leaders themselves should embody these values. They should seek knowledge about DEI, attend training sessions, and actively advocate for DEI within their respective teams. Encouraging open dialogues and fostering an environment where all employees feel their voices are heard and valued is a key aspect of inclusive leadership. Leaders who “walk the talk” are instrumental in driving DEI aspirations from ambition to action.
In an effort to create open dialogues around DEI, leaders can look to initiatives like the one Starbucks undertook in 2018. After an incident targeting two black men in one of their stores, Starbucks made a company-wide decision to pause operations and hold nationwide racial bias training. While this action by Starbucks was in response to a high-profile event, it underscored the company’s desire to examine DEI in the trenches and to foster an atmosphere where both customers and employees feel understood and valued.
Starbucks’ Response: Recognizing the Opportunity
In response to a regrettable incident of racial bias, Starbucks made several significant strides in promoting diversity, equity, and inclusion. Here’s what they did to operationalize their DEI aspirations:
- Set ambitious hiring goals, Starbucks is enhancing its workforce diversity. Their commitment? By 2025, ensure 30% of all corporate roles and 40% of retail and manufacturing positions are held by Black, Indigenous, and People of Color (BIPOC).
- They’ve also fostered growth and development opportunities for BIPOC partners (employees) through launching mentorship programs, a remarkable effort to amplify underrepresented voices.
- In an exemplary act of transparency, Starbucks invited an independent third party to conduct a civil rights audit, scrutinizing their practices and progress around diversity and inclusion.
- A commitment to spend $1.5 billion with diverse suppliers by 2030 was made, illustrating how they’re using their purchasing power to support diverse businesses.
- Starbucks pledged $100 million to the Starbucks Community Resilience Fund, making an investment to uplift small businesses and community development projects in communities with high BIPOC populations.
Starbucks did more than simply recognize the urgency for transformation; they dove headfirst into action, launching an intensive, sweeping campaign for positive change. Irrespective of your personal stance on Starbucks, or if you think they should have done more, the steps they’ve taken could serve as a profoundly inspiring blueprint for other organizations yearning to carve their own path toward genuine inclusivity and equity.
But this isn’t just about managing a crisis. It’s about learning, evolving, and showing the willingness to make meaningful changes. Starbucks took their mistake as an opportunity to educate their workforce on racial bias, showing their employees – and the world – that they were ready to grow and prevent such incidents from happening in the future.
Let’s learn from Starbucks and be proactive in our DEI efforts. Most leaders would agree that a strong response to issues like this is important but avoiding this kind of issue by creating diverse and inclusive environments that minimize the chances of discriminatory behavior, is even better.
When it comes to leading the charge on DEI, it’s crucial for those in leadership positions to not only talk the talk but walk the walk. This journey begins with equipping oneself with the language of DEI. Not sure what a ‘microaggression’ is? The time is now to do your research – none of us are born experts, but the key is to show a willingness to learn and expand your understanding.
Think back to when you were just starting in your industry. You didn’t become proficient in your field overnight. It took time, patience, and dedication to hone your skills and truly become a subject matter expert. The same principle applies to becoming culturally competent in your leadership.
Becoming an advocate for DEI isn’t about becoming an overnight sensation. It’s about demonstrating a consistent commitment to learning. It’s about embracing the journey and recognizing that every step taken is a step toward creating a more inclusive, equitable, and diverse workplace. So, take the time to learn the vocabulary. Immerse yourself in the culture of DEI. Expand your social circle to include those who do not look or even think like you. Show your team that you’re not just talking about change – you’re leading it.
Leadership buy-in and engagement aren’t just essential steps to operationalize DEI; they’re integral to the very fabric of an organization committed to these values.
2. Evaluate and Reformulate Company Policies and Practices
Okay, let’s get real here. You say you want a diverse workforce, but are you really walking the walk when it comes to bringing in diverse talent? I mean, where are you searching for candidates? At the same old places, or are you thinking outside the box? Are you sourcing talent from diverse pools? Is your application process designed to mitigate biases? An example could be a blind recruitment process where names and identifying information are removed to eliminate potential unconscious bias.
Next, examine your promotion policies. Are they transparent and merit-based? Are they providing equal opportunities for everyone, regardless of their background? Are appointing people to positions using a formal, fair selection process. Let’s consider Salesforce’s comprehensive audit of their pay practices to ensure gender equality in compensation. In 2015, they spent $3 million to eliminate statistically significant pay differences between male and female employees.
And what about your interview process? Are you just asking the same old questions, or are you really digging deep to understand people’s unique perspectives and experiences?
Let’s chat about those job descriptions. Are you asking for an MBA when, honestly, someone with a bachelor’s degree or high school diploma could do the job just fine? It’s worth remembering that not everyone has the time or resources to go to grad school. By setting the bar unnecessarily high, you could be shutting out some fantastic candidates.
If you’re adamant that advanced degrees and certifications are a must, are you doing anything to help your team get there? Offering things like tuition reimbursement and continuous learning opportunities can go a long way in making these goals more achievable for everyone.
Have you taken a good, hard look at who you’ve got on board right now? Are you seeing a nice mix of backgrounds, experiences, and viewpoints, or does everyone kind of look and think the same? Are there hidden gems scattered throughout your organization?
Consider your compensation and benefits. Are they competitive and fair across the board? Are part-time or remote employees receiving equitable benefits?
This undertaking is not small, and you may need to engage experts in this area or invest in DEI training for your HR and management teams. But remember, operationalizing DEI isn’t just about checking boxes; it’s about infusing DEI into the DNA of your company. It’s about creating a culture where everyone, from the boardroom to the breakroom, feels valued, respected, and most importantly, seen.
3. Utilize Data to Drive DEI Actions
In a data-driven business world, leveraging reliable metrics is an excellent way to ensure your DEI aspirations don’t remain as mere intentions. The use of data enables you to assess where you are on your DEI journey, identify areas needing improvement, track progress, and gauge the effectiveness of your DEI initiatives.
Begin with a comprehensive audit of your organization to get a clear picture of your current DEI state. Examine your organization’s demographics – consider variables like race, gender, age, and ethnicity. But don’t limit yourself to these; also look into factors such as disability status, sexual orientation, and veteran status. According to a 2021 study by McKinsey & Company, companies in the top quartile for ethnic diversity were 36% more likely to outperform on profitability, emphasizing the value of diversity in the workplace.
Then, delve into your organization’s culture. Conduct anonymous surveys to gain insights into employees’ perceptions of inclusion. Are they comfortable expressing their opinions without fear of backlash? Do they feel a sense of belonging? Research from BetterUp indicates that workers who reported feeling a high level of belonging were 5.2 times more likely to feel empowered to perform their best work.
Regularly review and analyze these metrics to identify trends, progress, and areas needing attention. More than just a numerical understanding, data can provide you with insights that can transform your DEI aspirations into tangible actions. But remember, data alone won’t foster inclusion or cultivate diversity; it’s your actions based on these insights that truly matter.
A Final Word About Diverse Talent
Achieving a diverse workforce is certainly a cause for celebration. Yet, it’s only the first step on a longer, more fulfilling journey. From the moment we begin to see the rich tapestry of diversity in our organizations, we must realize that our work has merely started.
Statistics paint a vivid picture here. A 2018 Deloitte study shows that diverse and inclusive workplaces are six times more likely to be innovative and twice as likely to meet or exceed financial targets. Yet, the same study reveals that nearly 70% of organizations rate themselves as inadequate at fostering diversity and inclusion.
So, what’s the crucial next step? It’s creating an environment where historically marginalized groups don’t just exist but thrive. You see, diversity without inclusion and equity can inadvertently create a revolving door where diverse talent exits as quickly as it enters. We’ve made strides, but we must ensure we’re not simply filling a quota or checking a box.
It’s about turning our organizations into sanctuaries of respect, understanding, and opportunity for everyone, especially those who’ve been historically marginalized. In essence, it’s about recognizing diversity as more than just a mix. It’s about ensuring that mix works well together, respecting each other’s uniqueness while moving towards a shared goal.
The mission, then, is clear. We must move from being just diverse to being truly inclusive and equitable. Because only then can we halt the revolving door and instead open wide the gates of opportunity and growth for everyone within our organizations.
So, let’s roll up our sleeves, dive into the details, and make our DEI aspirations a reality. How do we bear witness to this call? How do we rise from the easy eloquence of words, into the hard-fought battleground of actions? It’s about the move from mere lip service to DEI, towards living its core values in every corner of our professional existence. Yes, it’s a tall task. But it’s in this very striving that we navigate our organizations from the safe harbors to the deep, transformative waters. We’re summoned to be more than just DEI cheerleaders. We’re called to breathe life into it, shaping our work lives with its guiding principles.
