JUNE 13, 2023

Diversity Drives Workplace Innovation

With DEIB programs being questioned, let’s remind ourselves of how they impact the bottom line, not just employee engagement.

A study published in Harvard Business Review found that teams with greater diversity in terms of race, gender, and age were more likely to produce innovative ideas than homogenous teams. The study also found that these diverse teams were better able to identify and solve complex problems.

A report from the McKinsey Global Institute found that companies with more diverse workforces were more likely to outperform their less diverse peers. The report found that companies in the top quartile for gender diversity were 15% more likely to have financial returns above their industry average, while companies in the top quartile for racial and ethnic diversity were 35% more likely to have financial returns above their industry average.

A study published in the Journal of Business and Psychology found that diverse teams were more effective at generating creative ideas and solutions than homogenous teams. The study also found that teams with greater diversity were better able to adapt to changing circumstances and overcome obstacles.

By bringing together people from different backgrounds and experiences, organizations can tap into a wider range of perspectives and ideas, which can lead to new products, services, and solutions that can benefit the organization as a whole.