by Jasika Adams, a writer with a passion for writing on emerging technologies in the areas of human resources, startups and business management. She is a talent acquisition manager currently associated with Index Time Clock. In her free time, she loves to play with her kids and reading mystery books.
Diversification always helps an organization to spread out their risks while simultaneously lowering them. Having employees that come from diverse places has proven to be beneficial for many organizations.
Every now and then we come across headlines that talk about the challenges the organizations face because of the workforce. When we talk about diversity it could be diversity in investments, products, and employees as well.
Inclusive decision making is the key solution is solving the dynamic challenges in a much faster way.
In a 2009 analysis of over 500 companies, it was stated that workplaces with racial and gender diversity had comparatively more sales, customer base and even profits.
Diverse groups may tend to be more likely to encounter operational frictions when they are collectively implementing business decisions. Many organizations are trying to recruit and retain a diverse workforce. Diversity at the workplace has many benefits attached to it. Here are seven of them.
1) Skills and experiences
Now diversity can be in any form: age, gender, ethnicity, educational background for example. Every person has certain skill sets, and if two different minds are brought together, this will bring creativity to the organization and help to resolve problems. As people with diverse backgrounds may have varied approaches, a team of people holding a variety of skills can learn from each other. In a recent article from the Harvard Business School, they mentioned that diverse teams are likely to bring in better results. And a study conducted in 2011 found that experiments by diverse teams resulted in better performances and results.
In every organization, there are brainstorming sessions to bring in innovative ideas. People with different experiences, backgrounds and thinking processes can bring a lot of varied ideas. Arguably this is one of the most important ingredients for bringing in creativity. By using a diverse eye to find a solution to a problem, a workplace can work with efficiency.
A diversity of thought is needed in the workplace to solve daily challenges. Even as per a recent study conducted by Forbes, the best way for an organization to ensure innovation is by inclusion. Development of new ideas is only possible when people are not having alike mind-sets.
People coming from diverse backgrounds have an opportunity to learn from one another. In employee engaging sessions, employees can share their thoughts and learn as well. People from different educational backgrounds can spread their knowledge and help their fellow employees.
In every group discussions or brainstorming activities, there will always be something new to learn. Diversity is one of the key ways to upgrade the skill set of your employees. This is more likely to improve an employee’s productivity and also efficiency at work.
4) Global scale
Hiring employees from diverse regions will help us conquer the global market. They know different languages, cultures and local tactics to easily capture the market. People from different backgrounds have even different work ethics which can be beneficial for the organization.
Companies can tap on the strengths only of all the employees to upscale their business opportunities. In a recent study by McKinsey, organizations with diversified employee base are likely to have 35% of more financial returns above their national industry medians.
5) Improvises your organization’s culture
When an organization focuses on diversity in their workplace, they may bring in employees from different fields, culture and, places that will together create a productive and efficient environment.
A recent survey conducted by Glassdoor found about 67% of the employees consider diversity as a factor when they are looking for a job. Diversity makes every employee feel valued and unique and boosts their morale.
6) Improves corporate image
What we must always remember is that every employee is also a potential customer. And every customer is looking for similar traits in their products than in their personal life. So by bringing in a diverse set of employees, you are also catering to a diverse audience.
7) Reduction in employee turnover
Inclusion helps organizations to get the best pool of employees. At workplaces where people are from diverse backgrounds, they tend to feel unique. This also fosters mutual respect among employees. Diversity has been lately proven a way to reduce employee turnover, absenteeism. Companies can reduce employee turnover by diversity management.
If organizations are smart and thoughtful, they can make the most by bringing in diversity at the workplace. It is also important to understand that by simply creating teams that are diverse in nature will not be beneficial. Efforts have to be taken by the workplaces to bring them together and ensure their success.
To lower the risks of failure and ensure productive and inclusive decision making diversification is a must. It will always help the workplaces to foster employee engagement and harmony.
In the current dynamic and competitive business scenario, organizations cannot limit themselves to national boundaries. Communication becomes tricky if you have an employee base from a particular region. By hiring culturally diverse employees, organizations may increase the chances of offshore success.
One of the basic things organizations can remember is “Strength lies in differences, not in similarities”.