According to McKinsey, the business case for diversity in corporate leadership is clear.
And they’re not alone, with research showing that companies that nurture diverse thinking are now more likely than ever to outperform less diverse peers on profitability.
“Our 2019 analysis finds that companies in the top quartile for gender diversity on executive teams were 25% more likely to have above-average profitability than companies in the fourth quartile—up from 21% in 2017 and 15% in 2014”.
With a focus on building innovation capability and people-based innovation, Tess Julian has been studying the research and links between diversity and innovation for many years. We’ve found that ‘diverse thinking’ – having a wide range of people from different genders, backgrounds, beliefs etc. – enables organisations to embrace the wide range of experience, viewpoints, and ideas critical to innovation.
Diversity enhances creativity, innovation mindset, decision-making and problem-solving.
Right now, Covid has transformed the way we work and live, and in the process, has broken down many existing structures. We are in a moment where real change is possible – we have the chance to rebuild systems and practices to create workplaces where individuals, teams and organisations can thrive.
The elephant in the room
While we are all responsible for inclusion, a top-down approach benefits both the corporate culture and the bottom line. However, even in 2020, the evidence shows that the boardroom is a traditionally male-dominated area. And for both male and female leaders, raising the topic of diversity involves a delicate balance that can at times be misinterpreted.
“Companies are most successful when they embrace diversity in gender, race, perspective and personalities. Businesses that go from an all-male or all-female leadership team to an even mix of gender could see an increase in revenue of around 41%, according to a study co-authored by an MIT researcher. Having a healthy mix of leaders has been proven to lead to more creative ideas, more efficient problem-solving and better financial achievements.”
While many organisations have HR and diversity processes in place:
- Organisations are still developing their collective innovation mindsets through which they can embrace change and real inclusion.
- Women themselves often lack the confidence or skills to speak up or put themselves forward.
- Successful senior-level women have a vast and meaningful impact on a company’s culture, which if nurtured is a win-win.
How can individuals lead change and create opportunities and pathways for themselves and others?
To confidently create change in the workplace and individual careers, we need to learn how to apply strategies to build confidence and visibility, advocate for change at work, and explore options to implement personal change.
Introducing Women@Work, a highly interactive, evidence-based program where participants explore the latest research, their own experience and the stories of others to understand how to lead changes in their career and workplace.
Why have we focussed on ‘women’?
Diversity is a challenging topic. However, it’s also intrinsically linked to innovation, culture and growth, and aligns with Tess Julian’s research into innovation mindset and why is it essential in the contemporary workplace.
Co-created by women for women, this program is about creating opportunities and pathways for yourself and others.
Download the Diversity, Inclusion & Belonging Deep-Dive Question Canvas.
Learn more about Innovation Mindset.