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Learn how diversity, equity, and inclusion drive business results and boost employee satisfaction.

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Diversity, equity, and inclusion (DEI) concepts have gained significant attention since 2020. 

Our research shows that 62% of employees believe diversity, equity, and inclusion are important factors driving company success. In turn, companies across the US have launched DEI initiatives to cultivate more inclusive and productive work environments.

This guide defines DEI, discusses its impact on organizations, and explains how to promote DEI initiatives at work. Keep reading to learn why fostering diversity improves employee satisfaction, retention, and productivity. 

DEI stands for diversity, equity, and inclusion.

Workplace DEI initiatives strive to ensure that employees from diverse backgrounds feel a sense of belonging, regardless of gender identity, race, sexual orientation, religion, or age.

Diversity in hiring fosters well-rounded teams with unique perspectives. A diverse workforce introduces fresh viewpoints and innovative ideas, making decision-making 87% more effective than non-diverse teams.

Workplace diversity isn’t only about racial differences—it refers to employing people from all walks of life. This can include working with people of different educational backgrounds, socioeconomic statuses, physical or mental abilities, and more. 

Workplace equity ensures all employees have equal access to opportunities, resources, and career advancement regardless of background or identity.

It doesn’t mean treating everyone the same, which is also known as equality. Instead, equity levels the playing field by providing various degrees of support to employees based on their needs. 

By breaking down systemic barriers hindering specific minorities, equity provides adequate access to professional development resources.    

Workplace inclusion creates welcoming environments in which employees of all backgrounds feel valued. More than feeling respected by colleagues and leaders, organizations should empower employees to showcase their authentic personalities.

Inclusion work cultures often boost employee engagement and recognize employees for their efforts. Research by Deloitte shares that millennials who work at inclusive organizations are 83% more likely to be engaged at work. This is just one benefit of DEI in the workplace—read on for more. 

According to Laura Wronski, a research science manager at SurveyMonkey, employees who are satisfied with their employer’s DEI efforts are likely to feel they are paid well and given opportunities for advancement. This shows that DEI efforts affect employee morale and satisfaction with their roles.

Moreover, diversity and inclusion contribute to attracting top candidates to your organization. Two out of three candidates actively look for companies with diverse teams during their job search. 

DEI also positively impacts workplace culture by creating an environment where employees feel comfortable expressing themselves. With an inclusive workplace culture, organizations can cultivate stronger group cohesion and enhance team collaboration. This heightened collaboration enables teams to deliver better customer experiences and make progress toward company goals.  

Another benefit of DEI is that it enhances engagement and improves retention. Employees who feel appreciated by their employers tend to remain actively engaged with their organizations and consistently strive to perform at their best.

Innovation is another outcome of diversity initiatives. Diverse perspectives focused on problem-solving fuel business growth through innovative ideas. With a broader range of viewpoints, organizations can make better-informed decisions that align with company values. 

What’s the process for implementing DEI at your company? Companies can adopt diversity, equity, and inclusion initiatives in several ways, including Employee Resource Groups (ERGs), education and training opportunities, and feedback channels. Let’s dive deeper into how these initiatives promote diversity, equity, and inclusion. 

Employee Resource Groups are employee-led groups that support a more inclusive and culturally competent workforce. They help create a sense of belonging for employees who may not find it elsewhere and commonly promote better working conditions for underrepresented groups. 

ERGs support initiatives that enable employees to connect with a specific trait or community. These groups are typically based on attributes like military service, gender, disability status, and race and develop empathetic future leaders to champion positive change. 

Ninety percent of Fortune 500 companies use ERGs to empower employees to make a difference. To improve outcomes, senior leaders should participate in ERGs to support, endorse, and fund employee initiatives.

Let’s take a moment to discuss how education enhances a supportive work environment. Employees of your organization likely come from various educational backgrounds and bring different skill sets to the table. Education ensures all employees have the resources and skills needed to succeed.

In addition to career development opportunities, organizations should invest in diversity training.

According to Pew Research, 52% of employees say their organization conducts DEI training sessions or meetings at work. Through DEI training, leaders can promote a more equitable and inclusive workplace. They should also tackle unconscious bias and explain the various forms of workplace discrimination and appropriate responses if employees experience them.

Diversity, equity, and inclusion aren’t always easy to discuss openly. Organizations can use anonymous feedback channels to gather and analyze information about employee experiences. 

Companies can use diversity, equity, and inclusion survey templates to create open employee feedback channels. These templates help organizations ask practical questions to glean employee opinions. Companies can track DEI progress and boost employee satisfaction by keeping communication lines open. 

Four people in separate panels taking a survey; young woman on top left panel with headphones typing on phone; young man in top right panel with headphone working on laptop; older man in bottom left panel sitting near laptop and working on phone; young person with a mechanical arm working on laptop

Organizations should set goals and measure their progress when incorporating DEI in the workplace. Goals should be specific, measurable, achievable, relevant, and time-bound (SMART). By setting SMART goals, teams can gauge their DEI success over time. 

An organization’s DEI goals may include:

  • Increase workforce diversity by a percentage
  • Achieve diverse leadership representation 
  • Improve employee engagement by a percentage

When measuring DEI success at your organization, track metrics such as diversity ratios, engagement levels, turnover rates by demographic, and more.

  • Diversity ratios. These ratios can be applied to the overall employee count or leadership teams to assess the representation of different demographics (i.e., race, age, ability, gender, etc.) Your goal may be to improve your organization’s diversity ratio for your executive team and board.
  • Engagement levels. Monitor engagement levels by sending frequent pulse surveys to gather employee feedback and measure engagement. 
  • Turnover rates by demographic. Another critical metric to monitor is the turnover rate by demographic. Get granular and break up your turnover rate into more specific demographics based on ethnicity, gender, etc. This information shows how many employees in a particular category exit your organization within a given time. 
  • Equity metrics. Comparing compensation across employees in similar roles and qualifications gives teams insight into wage disparities. Break down pay equity by demographic to see where unconscious bias might be at play.  

These are just a handful of ways to measure DEI progress at work.

What’s the best way to incorporate DEI in the workplace? There is no right way to implement DEI. However, DEI work should be a continual process. Diversity, equity, and inclusion initiatives require long-term commitment and dedication.

Woman looking at graphs on laptop

To effectively implement DEI, start by carefully evaluating your organization’s current practices concerning DEI initiatives. This process involves identifying areas where your organization excels and, more importantly, where there are noticeable gaps or shortcomings in fostering an inclusive environment. 

Collecting employee feedback is crucial during this audit, providing invaluable insights into their experiences and perceptions regarding DEI within the workplace. Surveys, interviews, and focus groups can help capture a comprehensive view of employee sentiments.

Establishing a DEI audit serves as a critical assessment tool and a benchmark for all teams to measure their progress over time. Setting clear metrics and KPIs empowers your teams to track improvements and make data-driven decisions to enhance their DEI initiatives moving forward. 

Organizations have a unique opportunity to partner with diverse schools and professional organizations, significantly broadening their talent pool. By engaging with institutions emphasizing diversity and inclusion, companies can tap into a rich array of skills and perspectives that reflect today’s multicultural society.

Furthermore, teams can enhance their recruitment efforts by expanding their sourcing strategies to include traditional channels and community organizations, job fairs tailored to underrepresented groups, and virtual platforms targeting diverse candidates.

In addition, it is essential to showcase an inclusive company culture. This can be achieved by actively sharing stories of employee experiences, promoting diversity-focused initiatives within the organization, and highlighting the commitment to equality in hiring practices.

Such efforts not only attract diverse talent but also foster an environment where all employees feel valued and included, ultimately leading to enhanced innovation and business success.

Organizations can implement several strategic measures to eliminate hiring biases effectively.

An effective method is conducting blind resume reviews, removing personal information like names, addresses, and indicators of gender or ethnicity before evaluation. This practice encourages a focus on the candidates' qualifications, experiences, and skills rather than on potentially biased factors. 

Adopting highly structured interview processes is crucial in conjunction with blind resume reviews. This involves using standardized questions for all candidates to compare responses objectively. Additionally, establishing clear evaluation criteria can help interviewers focus on job-related competencies rather than personal biases. 

Furthermore, involving team members from diverse backgrounds in the hiring process can significantly reduce biases. Diverse hiring panels can offer varied perspectives, challenge assumptions, and provide recommendations that may lead to more equitable candidate evaluations.

Leaders should consistently hold all employees to the same established promotion criteria to ensure fairness in the evaluation process.

Companies must communicate the specific requirements and standards against which each employee will be measured when it comes to promotions. This transparency helps employees understand what is expected of them and prepares them for advancement opportunities.

By promoting a culture of fairness and clarity, organizations can foster a more motivated and engaged workforce that feels valued and recognized for their efforts. 

Investing in professional development resources shows employees you care about their career growth. Provide opportunities for all employees to upskill through training workshops, leadership programs, and tuition reimbursement. 

DEI in the workplace spans a wide range of initiative types. Just remember, the work is never finished. Creating and maintaining a safe and inclusive work environment is an ongoing process.

Organizations may need help with implementing diversity, equity, and inclusion initiatives. We’ll share the most common DEI obstacles and provide practical strategies to address them. 

Common obstacles to DEI teams include:

  • Resistance to change. Teams may face resistance to change when making DEI improvements in the workplace. Some employees or even leadership might need help understanding why things must be changed for the better. To combat this, leadership and employees should be educated on the impact of DEI initiatives. Back your initiatives with data and research highlighting other companies’ successes. Sometimes, resistance to change comes from simply being unaware of how the change will make a positive impact. Be transparent and lay out the process for the changes and the expected outcomes. 
  • Unconscious bias. Unconscious bias, also known as implicit bias, is another common obstacle. It can negatively impact hiring and promotion decisions. One solution to this challenge is to incorporate mandatory unconscious bias training for all employees, including leadership. Another solution is to implement blind hiring practices to reduce bias in the recruitment process. 
  • Lack of leadership buy-in. Teams may need leadership buy-in to make progress toward DEI goals. To promote leadership support, educate leaders on why the investment is worth it. Discuss its impact on innovation and profitability, utilizing data where possible. 
  • Limited resources. Also, teams might need more resources to accomplish DEI goals. When this is the case, it’s often tied to a lack of support from leadership. Create a comprehensive plan to present to company leaders to gain the required resources. The plan should highlight who the DEI initiative affects, the resources or funds requested, and how they will be utilized. 

DEI in the workplace is paramount to an organization’s success. From boosting productivity and satisfaction to improving retention, DEI makes an impact. HR teams should look through a DEI lens when creating a vibrant and inclusive environment. Evaluate your organization’s DEI practices and consider new ways to promote an inclusive culture. 

SurveyMonkey helps teams monitor progress toward goals and gather employee feedback to improve DEI efforts. Learn more about SurveyMonkey for DEI teams, or sign up for an account today! 

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