Time to read: 1-2 minutes.
Keywords: diversity, gender diversity, financial performance, companies, unconscious bias, leaders, culture, inclusion, belonging, training, EQuest Asia.
Learn why embracing diversity is a business imperative, the challenges that come with it, and how leaders drive change. This blog highlights the benefits of diversity, particularly gender diversity, on financial performance in companies. It also emphasises the role of leaders in driving diversity and creating a culture of inclusion and belonging, and promotes EQuest Asia’s expert training in diversity, inclusion, and belonging.
Author: Mylan Holland
Imagine a world where everyone around us looks the same, thinks the same, and acts the same. It’s a boring and monotonous world that lacks creativity and innovation. Diversity encompasses the differences we have in terms of race, ethnicity, gender, age, and much more. It benefits us all, sometimes without realising it. In this blog, we will explore the power of gender diversity and how it drives financial performance in companies.
The Benefits of Diversity
Diversity makes us better colleagues, leaders, and more creative and innovative. According to a study by McKinsey & Company, companies that are gender-diverse are 15% more likely to have financial returns above their respective national industry medians. Another study shows that gender-diverse boards are associated with a 42% higher return on sales, a 66% higher return on invested capital, and a 53% higher return on equity.
The Challenges of Diversity
Despite its benefits, diversity also comes with its challenges. One of the main challenges is unconscious bias. Unconscious bias is the implicit attitudes or stereotypes that affect our understanding, actions, and decisions without us realising it. To overcome this challenge, companies should provide training and education to raise awareness of unconscious bias and how to mitigate it.
The Role of Leaders in Driving Diversity
Leaders play a crucial role in driving diversity in companies. They should lead by example and create a culture of inclusion and belonging. They should also ensure that their recruitment and hiring processes are fair and unbiased. A study by Deloitte found that companies with inclusive cultures are eight times more likely to achieve better business outcomes.
The Future of Diversity
The future of diversity is bright, with more and more companies realising the benefits of having a diverse workforce. A study by PwC shows that 87% of global CEOs are focused on improving diversity and inclusion in their organisations. Another study by Glassdoor found that 67% of job seekers consider diversity an important factor when considering job offers.
In conclusion, diversity is not only a moral imperative but also a business imperative. Gender diversity drives financial performance in companies and benefits us all. However, it also comes with its challenges, such as unconscious bias, which can be overcome through training and education. Leaders play a crucial role in driving diversity and creating a culture of inclusion and belonging. The future of diversity is bright, and companies that embrace it will reap the benefits.
EQuest Asia: Expert Training in Diversity and Inclusion EQuest Asia provides expert training in diversity, inclusion, and belonging. Our training programs help organisations create a culture of inclusivity, where everyone feels valued and respected. Contact us today to learn more about our training programs and how we can help your organisation reap the benefits of diversity and inclusion.