Workplace diversity is something that several organizations strive to accomplish. But why? It is simply about building a better company reputation and promoting inclusivity?
While inclusivity and company reputation are extremely important objectives, there are several other tangible and immediate benefits of diversity in the workplace. For instance, it helps you better understand your customers, improve your profitability, etc.
Therefore, workplace diversity isn’t just jargon or a fad – it is a major competitive advantage! If you have a diverse workplace, you can outperform your competitors and get higher profits.
Benefit #1 – Higher Creativity
Diversity in the workplace results in higher creativity. People who come from different backgrounds have different experiences and, thus, develop different perspectives. Exposure to a range of different views and perspectives leads to increased creativity.
Benefit #2 – Increased Productivity
Workplace diversity not only boosts creativity but also enhances productivity. This is simply because creativity leads to productivity – the more diverse your workforce, the more diverse your brainstorming, the more diverse your ideas, and the more productive your team.
In fact, McKinsey research revealed that U.S. public companies with diverse executive boards have a 95% higher return on equity than those who don’t.
Benefit #3 – Reflects Positively on the Company
Another benefit of diversity in the workplace is that it builds a positive reputation for the company. Organizations that recruit individuals from a wide range of backgrounds generally garner a good employer reputation.
Moreover, a diverse collection of experiences and skills allows a company to better understand and relate to clients. This helps them provide better services to customers globally.
Benefit #4 – More Profits
Companies with higher workplace diversity can generate higher profits. This is because a company that has a diverse workforce can make better decisions more quickly, which gives them a significant advantage over their competitors. As a result, companies with diversity in the workplace attain better results and get higher profits.
Benefit #5 – Higher Employee Retention
Workplace diversity is very advantageous for reducing employee turnover. Companies with a diverse workplace are usually more inclusive of different perspectives and characteristics.
Inclusion and diversity in the workplace make all employees feel valued and accepted. When a company’s workplace feels valued and accepted, they stay longer with their company.
Benefit #6 – Improves Employee Engagement
There’s no better way to learn about the different ethnicities and cultures than from colleagues who come from a different background than yourself. You can get to know them better during lunch breaks or post-work drinks.
When your employees share their personal experiences with other employees, it builds an environment of trust and belonging. This is excellent because it improves employee engagement. In fact, in some cases, it can even boost employee motivation, which is great for the company as a whole.
Last Few Words
If you’re planning to recruit new employees, do make an effort to recruit a diverse group of people across age, gender, culture, etc. Your organization could soon enjoy the multiple benefits of diversity in the workplace mentioned above.
