Why DEI Is Good for Business

We need to implement new and improve existing DEI efforts.

What is DEI?

DEI stands for Diversity, Equity, and Inclusion. Furthermore, diversity is the presence of people from all backgrounds. Equity is the process of ensuring that everyone has a fair and equal opportunity. Inclusion is guaranteeing everyone feels as though they belong. When these components are actively practiced, it produces a welcoming and safe environment. A diverse and inclusive workplace allows for every employee to feel supported and secure. This is vital to maintain a successful workforce where employees are valued and can thrive. However, to implement new DEI practices or improve existing ones, it is important to fully understand why they are crucial. 

Why are diversity and inclusion important?

1. Happy employees, happy workplace Studies have shown that when employees are treated fairly regardless of their race, gender, sexual orientation, etc. they are as much as 9.8 times more likely to look forward to going to work. This is something that seems like common sense, but it is evident that this makes a massive difference.  2. So many skills! Employing people of all different backgrounds invites a variety of experiences to the table. In turn, these people have developed relative skills and perspectives based on their experiences, which will help to develop the company. 3. Improved creativity and growth This one builds on the previous point. A study found that diverse and inclusive companies are 1.7 times more likely to lead innovation in their field. By incorporating a diverse network of employees into your business, you will invite a wide range of skills, perspectives, and experiences. This will, in turn, promote innovation and foster growth.  4. Business and customer interactions Not only will a diverse workforce benefit your business internally, but it will improve your range of customers. By embracing a workforce of diversity and inclusion, your employees will reflect your current and future customers. This will invite a feeling of comfort, which will in turn promote your business.  5. Productivity on the rise By incorporating diversity and inclusion in your business practices, your employees will become more productive. Research shows that the companies with the most diverse work environment averaged an 11.1 percent revenue growth. This is because teamwork and embracing different skills allow employees to learn from each other and develop new skills. Thus, fostering a more productive work environment.

We need to promote a more diverse and inclusive workforce.

Diversity and inclusion practices work. This may seem like common sense and relatively simple, but this practice goes beyond just hiring. For example, biases are found in everything we do. Although often unintentional, unconscious biases can mean the difference between a strong work environment and one that is toxic.  There are ways for us to overcome these biases and be intentional with our practices. First off, it is important to test for biases in our technology, especially in screening processes. Practices such as these are inherently biased, as they often screen potential candidates for positions. Although there is already a great deal of work that goes into preventing biased screening, it is not enough. It is crucial that we continuously monitor and check these technologies to prevent biases.  Another way we can prevent biases in the workplace is by increasing the representation of minorities and visibility in professional conferences and presentation opportunities. When minorities are severely underrepresented in a work environment, this leaves room for harmful stereotypes and biased perceptions. In turn, this only promotes biases and a toxic environment.  Although these are just a few examples of biases in the workplace, reforming practices that foster biases are a great place to start. Additionally, incorporating active diversity and inclusion practices will promote a healthy work environment, which will, in turn, be great for business, as proven earlier.   If you are interested in learning more about DEI efforts or how to invest in companies that implement diversity and inclusion, we would love to hear from you! Feel free to contact us at: ​​https://investedinterests.com/contact-us/  We also have some incredible blog posts where you can learn more about diversity and inclusion investing and practices! You can explore a few of them here and here.

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