How well do companies know themselves?

Diversity represents the many different and meaningful ways in which people identify themselves. In our last blog post, we explored how the definition of ‘diversity’ must be widened and urged organisations to set a succinct definition based on their goals and initiatives, but in reality, how well do companies know people in their own organisations? Do companies understand how diversity might operate in their organization?

For many organizations, diversifying the workplace is merely superficial because of rising internal and external pressures. For such organizations, diversity is an act of tokenism undertaken without implementing inclusive policies that would allow them to tap into the many benefits of having a more diverse workforce. In doing this, the organization commits a mistake.

In most organizations, ‘diversity’ is limited to gender and persons with disabilities. Even these categories may be narrowly defined. Take the example of organizations whose diversity initiatives are focused on hiring more women. These initiatives might not look beyond the cisgender binary and might not be inclusive of trans-women. In the cases where they are inclusive of trans-women, they might fail to create an environment of inclusivity by having gender-neutral restrooms/spaces. If diversity is who we are, then many organizations do not know themselves.

Before companies implement any diversity initiatives, it is important that they have answers to the three following questions:

1.  Who makes up the pre-existing workforce?

Even without diversity initiatives, every workplace has certain pre-existing diversities. Recognizing and understanding the pre-existing diversity in the workplace provides a solid base to build from. It is the first step towards implementing effective diversity initiatives.

This process helps organizations analyze the kind of diversity that is already present (or absent) in their workplace. Based on this information, organizations can further analyze whether and how these diversities are contributing to their objectives and goals. This allows them to fine-tune their diversity initiatives to have maximum impact. Analyzing the workforce also has additional benefits. By understanding the composition of its teams, an organization can understand how it can improve their behaviour and understanding of diversity.

Increased diversity in some cases can have adverse effects on the team and the organization. This is avoided by leaders who are sensitized to diversity and can resolve potential conflicts. Analyzing the workforce allows organizations to understand the kinds of conflicts their managers have experience in resolving and opens the door to sensitization and training in resolving conflicts that may arise from another kind of diversity being introduced into the workplace.

2. What kind of diversities would help them better their products and/or services?

In our last blog post, we highlighted the 34 kinds of common diversities that can be included in an organization’s diversity initiatives. However, not every organization can benefit from each kind of diversity on that list. A company producing and marketing a product to unmarried individuals would not benefit from having a largely married workforce. Similarly, an organization producing and marketing products for males would not benefit from having many female employees.

Cosmetic giant L’Oréal found that specifically having members from diverse cultural backgrounds was the best suited for maintaining a balance between their global and local operations. They reap a very specific set of benefits from having a multicultural workforce, which would perhaps not be possible if the workforce was gender diverse but homogenous in culture.

Each class of diversity provides a different kind of perspective. Organizations must analyze their products/services, objectives and long-term goals, to understand which perspectives (and thereby which diversities) would be most beneficial to their operations. Only then will their diversity initiatives be impactful for both employees and their operations.

3. Are there inclusive policies in place that allow diverse individuals to make the most of all opportunities in the workplace?

Diversity initiatives and diverse hiring policies are merely token gestures without inclusive policies. Inclusive policies ensure that employees feel comfortable & valued in the workplace and don’t miss out on opportunities available to other employees. Inclusivity brings with it its own set of benefits which is distinct from the benefits that diversity offers to a workplace.

A study by the Harvard Business School Division of Research found that inclusive policy results in improved outcomes vis-a-vis employee turnover, altruism and team engagement. Employees are also more likely to share crucial information and participate in decision-making processes.

Diversity without inclusive policies in place is ineffective and will not allow an organization to reap the many benefits of having a diverse workplace. It also conveys to the diverse elements of the workforce that their hiring is merely a diversity ploy, which can be disheartening and can be detrimental to employee morale. If diversity is the first step then inclusion is what makes a difference.

So how well do organizations understand diversity and themselves?

One can say that organizations understand diversity & inclusion and know themselves well when they have answers to all three of these questions. The diversity initiatives implemented by these organizations are sure to have a solid impact on both, employee morale and satisfaction as well as their own bottom lines. However, the process of arising answers to the three questions is not simple, and this is where we at Conduct come in.

Conduct combines data, technology and law to help your organization understand its diversity profile, change discriminatory behaviours in the workforce, structure your misconduct filing and redressal process and address sexual misconduct in a legally compliant & secure manner. This ensures that your organization is legally compliant with PoSH & Labour Laws, has a gender-inclusive culture and your teams are diversity sensitive.

Written By: Team Conduct

Ungender Insights is the product of our learning from advisory work at Ungender. In our initiative to build inclusive workplaces for all individuals, we continue to educate and advise leaders on the same. Write to us at contact@ungender.in to know more about our advisory services.