Why DEI is more important than ever. One of the newsletters I have shared with my stakeholders this year was titled: What Story Does This Sell?
The newsletter came out after learning that several corporations had cancelled their DEI programmes. My work is all about coaching diverse leaders so that they can be more visible, influence their stakeholders and live fulfilling work lives. As someone who has always appreciated how DEI programmes, for better or for worse, work to support these leaders, I was tempted to go in a different direction with my newsletter.
I was tempted to let the rage and disappointment take over. I was tempted to judge and complain. But it’s a good thing that I have an extensive experience in storytelling. One of the biggest learnings of storytelling is: to focus on the audience.
And the audience here are people, individuals who are not simply conceptualising the idea of diversity, equity and inclusion. They are living it on their skins (sometimes literally). In the end, the newsletter went in their direction, offering them suggestions on how to live through these changes in their organisations.
But the question that still lingers in people’s minds is: is DEI still important?
The shortest answer is, yes. Diversity, Equity and Inclusion are more important than ever. The longer answer is that DEI serves employees as much as it serves companies. What is at stake for companies are: reputation, retention and revenue.
Let’s look at the connection between DEI and companies’ reputations. Today’s consumers have better access to information and are making conscious decisions on where to buy based on their values and the values of the company. A global study by Kantar’s Brand Inclusion Index 2024 showed that 75% of consumers consider a brand’s diversity and inclusion reputation when making purchasing decisions.
When it comes to retention the math is even easier. A couple of years ago we ran a roundtable on Black ERGs and their influence in companies. Leaders in the room were coming from global Fortune 500 companies. They shared that before joining the organisation, they actively asked whether employee resource groups were set up. The more support there is in DEI, the more diverse leaders are attracted to the company and will stay longer. The alternative is to have spaces where everyone looks and thinks the same. Companies will say goodbye to innovation in this scenario.
Finally, revenue. That’s directly correlated to the first aspects. Because if consumers are not buying and talent is not staying in the company, innovation and sales will inevitably decrease. And so will employees’ morale.
The good news is that some large companies are removing the nomenclature of DEI but are keeping some programmes and initiatives. But if an organisation is removing their DEI efforts completely, here are three suggestions for leaders:
- Stay and fight: keep advocating for DEI and it’s importance for the business and for employees
- Accept and share: if there is a change of direction, invite senior leaders to share the narrative and reasoning behind it widely with all employees
- Mourn and keep going: for leaders who are directly impacted by these changes, it’s ok to mourn and welcome the feelings related to it
Though DEI has been strategically implemented during the anti-racism movement, it would be easy to argue that, given the current state of the world, it is more important than ever today.
