It’s no surprise that inclusive companies are looking for new, more effective ways to attract, retain, engage, and enable a diverse workforce, and this is not only because of the recent wave of DEI movement. It’s also a fact that diversity drives innovation and fosters organizational success.
In fact, the increases in creativity, quality and productivity that result from embracing D&I enable companies to gain substantial competitive advantages in the market.
The D&I impact on profitability
McKinsey & Company has conducted a dedicated multi-year series focusing on the benefits of diversity. With the most recent data in, the global consultancy concluded that not only does the business case for D&I continue to be robust, but the diversity on executive teams is increasingly linked to the likelihood of financial outperformance.
The latest report found that companies leading in gender diversity on executive teams were 25% more likely to have above-average profitability than their peers, and companies leading in ethnic and cultural diversity outperformed others by 36% in profitability. These findings emerged from a comprehensive data set encompassing 15 countries and more than 1,000 large companies.