Any business knows that the concept of diversity, equity, and inclusion (DEI) has become an increasingly important business priority. Not only has research continually shown that more diverse organizations outperform their peers, but a new norms around equity and inclusivity have compelled companies to rethink ways to attract and retain the modern worker—one who values a workplace that genuinely embraces different backgrounds, experiences, and identities.
In fact, a 2021 CNBC/SurveyMonkey Workforce Happiness Index survey of 8,233 employed adults across the U.S. found that 78% of workers say it’s important for them to work at an organization that prioritizes diversity and inclusion. Yet, according to the same data, nearly a quarter of workers say their company is “not doing enough.”
While larger enterprises are often the ones that come under fire—or reap praise—for DEI practices, no business is too small to start its own initiative. And since 99.7% of U.S. businesses are small businesses (fewer than 500 employees), SMBs can help form the backbone of the widespread grassroots cultural shift needed to create lasting change in the workplace and society. After all, all people deserve the opportunity to thrive, personally and professionally.
But how do you become a champion for lasting change? In one word, authenticity. Diversity, equity, and inclusion must be woven into the fabric of your organization. But the first step is understanding these concepts and how they interrelate.
What Is Diversity?
In the workplace, diversity is more than just the presence of physical or visible differences, like race and gender. It also includes ethnicity, gender identity, sexual orientation, age, physical ability, religion, educational background, and socioeconomic status. And the more perspectives an organization embraces, the better it can perform. Different backgrounds and attributes yield different ways to approach problems and uncover solutions. Thus, innovative businesses may be less likely to thrive if they lack diverse perspectives, views, and people.
But in order to attract—and retain—diverse employees, a company must first be open to diversity. This means being receptive to new experiences and even a degree of risk-taking. When recruiting, for example, consider broadening your scope of what constitutes a “cultural fit.” Yes, it’s important to question whether a candidate will work well within the context of your organization—the traditional definition of corporate culture—but it’s equally important that employees bring fresh ideas to the table. If everyone thinks in lockstep with you and your team, the organization ossifies.
What’s more, recognizing diversity in your organization requires acknowledging the ways employees’ needs can meaningfully intersect. For instance, do you offer benefits for working mothers? If so, are those same benefits extended to fathers? To further level the playing field—and reach a broader segment of your workforce—consider extending similar caregiver policies to individuals with aging parents or ailing spouses.
Your organization is unlikely to achieve real diversity with a reactive statement of support or as a box-checking exercise; it must be a genuine act of equity.
What Is Equity?
Equity is the quality of being fair and impartial. In a business setting, equity gives everyone the support and tools they need to be successful. This applies not only to fair compensation, but also to the equal opportunity to do meaningful work, feel challenged, learn, and contribute. It also means establishing protective mechanisms that inhibit inappropriate or disrespectful behaviors—and implementing a safe way to report such behavior.
Equity can help fill some of the opportunity gaps in our society, like access to education and employment. Note that equity should not be confused with equality. A common way to distinguish the two: Equality is giving everyone a pair of shoes; equity is giving everyone a pair of shoes that fits.
Cultivating equity in your organization requires recognizing the barriers to and advantages of equity. One way to put this into practice is to carefully consider how job descriptions can deter certain applicants and to edit those descriptions as needed. For instance, aim to reflect a gender-neutral approach by removing language that has gendered connotations (“competitive” and “forceful” are stereotypically masculine, “supportive” and “understanding” stereotypically feminine). Such language can deter applicants, even if they have the requisite skills. Similarly, a “clean-shaven” requirement implies a bias against both women and candidates whose faith requires them to maintain facial hair.
Aim to standardize the application process to give applicants a fair chance. Instead of demanding “4-6 years of project management experience,” ask yourself what skills and qualities you want in a candidate. Perhaps a specification like “experience managing projects independently” would be a better qualifier. After all, since not everyone learns a skill set in the same amount of time, can experience really be measured by more traditionally used time-based metrics?
Beyond creating an equitable application process and giving all employees what they need to be successful, genuine organizational equity requires leadership, management, and peers to actively support and encourage both diversity and diversified thought—the foundations of inclusion.
What Is Inclusion?
Inclusion is the practice of ensuring that each individual feels a sense of belonging within the organization and is comfortable being their authentic selves. An inclusive workplace supports employees so they can safely speak up about their ideas, questions, concerns, and mistakes. This freedom of expression promotes a culture of candor. It also encourages an environment in which positive conflict can exist; the type of conflict that enables team members to synthesize diverse perspectives, consider new ideas, and thoroughly devise solutions—all of which can lead to better work outcomes.
But in some ways, creating a culture of inclusion that catalyzes learning and growth opportunities for all individuals can be the hardest part. Genuine inclusion is more than offering gender-neutral restrooms; it forces us to acknowledge our implicit biases—everyone has them because they’re an important part of how the human brain functions—and actively work to overcome them. This can mean having difficult conversations and coming to uncomfortable self-realizations. And that’s okay— it’s all part of the process. What matters is what you do with the information.
This is where diversity, equity, and inclusion training comes in. A third-party DEI consultant, for example, can objectively conduct an audit and provide hard data on what your organization is doing well and what could be improved. That data can then be used to help you and your team members overcome blind spots in your day-to-day actions, thereby improving workplace inclusion.
If engagement has been lacking, for instance, pay close attention in meetings. Who’s quiet? Who dominates the conversation? Are folks silent because they can’t get a word in, or might they come from a hierarchical culture in which speaking up may be perceived as disrespectful? Finding ways to encourage and incorporate input from all employees can ensure that everyone feels seen and heard, inspire a sense of belonging, and help keep employees engaged.
The Takeaway
Employees care about workplaces that are diverse, equitable, and inclusive—and research has consistently shown that workplace satisfaction boosts engagement, retention, and productivity. But developing a strategic plan for diversity, equity, and inclusion is much more than a “check the box” exercise. To be effective, DEI must be authentically embedded within the culture of your organization.
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