As a small, woman-owned business, of course we are champions of diversity in the workforce. We encourage others to utilize diverse companies and strive to foster diversity in our interactions. But what is the business case for prioritizing a diverse workplace?
First, diversity affects the bottom line. U.S. businesses high in racial/ethnic diversity among employees are 35 percent more likely to have higher financial returns. Companies high in gender diversity among employees are 15 percent more likely.
Not only does the company’s bottom line shift, but diversity is also good for economic development. Using a company led by diverse individuals encourages growth of these businesses. Many of these diverse businesses have had impediments to starting up. This includes inability to obtain capital and a lack of networking opportunities. By supporting diverse businesses, you also support underrepresented groups within their communities. This economic lift is good for the nation as a whole.
Another benefit of promoting diversity in business is the varying perspectives of those involved. Many companies value diversity because these new perspectives can lead to innovation. According to the Harvard Business Review, people from diverse backgrounds change a group’s dynamics in ways that lead to better processing and recall of facts. As business becomes more and more global, diversity is a critical part of cultural awareness.
Promoting diversity in your workplace can also help attract top talent to your company. Millennials are more likely to choose to work for a company that prioritizes diversity. In fact, 47 percent of polled Millennials would seek out diverse workplaces—more than Gen Xers or Boomers.
In all, prioritizing diversity in the workplace just makes us feel good and do our part to create a more equal and fair world.
Employment Enterprises, Checks and Balances, and Temporary Solutions are each a Small, Women-owned, and Minority-owned (SWaM) Business, certified by the Commonwealth of Virginia’s Department of Minority Business Enterprise (DMBE) program, and a Women Business Enterprise National Council (WBENC) certified business.