There are many reasons why organizations choose to become more diverse and inclusive. For many, it’s an intuitive feeling, often articulated as “the right thing to do”, but more and more evidence makes it clear that there are also significant business reasons for why an organization might choose to expand their horizons and open their minds to a more diverse workforce.
With a focus on Diversity, we thought we would try and highlight the top 3 reasons why organizations today should take this path. While it’s not easy and it won’t happen overnight, this is an investment in the organization’s future that just makes sense, from a purely business perspective:
Adapting to reality
Shifting demographics means that today’s workforce is changing rapidly and organizations that adapt a more inclusive approach will have access to a talent pool far greater than their competitors who are slow to adapt.
According to StatsCan, immigrants represented 25% of the Canadian workforce in 2016, and that number is expected to grow to 33% by 2036. Perhaps more importantly, immigrants are expected to represent more than 50% of the workforce in Canada’s largest cities.
Coupled with an Indigenous workforce that is young and growing at twice the Canadian rate, the reality is right in front of us: organizations that aren’t prepared to embrace this new reality will find themselves left behind.
Strength in diversity
Diversity isn’t just about the colour of our skin. It’s well established that the strongest teams are made up of individuals with a range of skills, experiences, and perspectives to draw from. Team diversity also leads to increased innovation, and with many businesses operating internationally, finding and engaging a diverse workforce is an important competitive edge.
Studies have shown that a more diverse representation in senior management will likely achieve greater profits. One such study by Mckinsey & Company showed that companies in the top quartile for racial and ethnic diversity are 35% more likely to have financial returns above their respective national median, and companies in the top quartile for gender diversity are 15% more likely to have financial returns above their respective national medians. The numbers are clear. Diversity pays.
Your Engaged HR Assignment: Get everyone on board! Learn more about the positive benefits of creating a more diverse workplace and get the knowledge and tools you need to take the next step. Finding this all a bit daunting? We have a course for that! Check out our newest offering, The Art of Diversity and Inclusion.