Diversity and inclusion in the workplace are hot topics, but what do they mean? And why should you care?

We've put together this guide on diversity and inclusion in the workplace to help you better understand what it encompasses. We will cover everything from how representation impacts culture to the benefits of diversity for businesses and how your personal values may shape your reactions to different types of work environments.

What is Diversity and Inclusion?

Diversity is “the combination of differences among individuals or groups” or “the condition in which people of different ethnic, cultural, religious and social backgrounds, genders, and other defining identities, work or live together.” For example, diversity can refer to a team’s ethnic composition. Or it could be the number of female employees on staff. We call this type of diversity, 'surface level diversity', as it can be defined and understood through visible characteristics. Diversity of more subtle traits, or 'non-observing characteristics', is what we call 'deep level diversity'. Examples of this include thought, diversity, neurodiversity, and cognitive diversity.

Inclusion, on the other hand, is “a process through which groups encounter or interact with each other” and “the act or process of including someone in a group or community.” Adapted from Webster’s dictionary, this definition suggests that diversity and inclusion are overlapping concepts. This may explain why hiring managers often use these terms interchangeably, but it is important to be clear about what they mean to determine if your organisation is genuinely committed to diversity and inclusion. You can think of 'diversity' as describing the 'what', and inclusion describing the 'how'. And the good news is, if you're doing it well, the end result will be a sense of belonging across sections; this is where positive work cultures and high performance thrive.

So how do you measure the success of diversity at work? Studies suggest three main factors are key: the composition of employees, work 'play' (which includes the social and emotional climate), and the success of a team or organisation.

How Does Diversity Affect Your Organisation?

There are many ways in which diversity impacts the success of an organisation; let us look at three main ways your workplace can benefit:

Financial Benefits

Diversity can bring financial benefits to an organisation by increasing its appeal to a broader stakeholder base; improving customer satisfaction; and attracting better talent. So how does this happen? Here are a few ways:

1. By supporting diversity, companies appeal to a broader base, which can attract customers from new market segments. People working in inclusive environments also tend to be great advocates for their employers, which tends to attract more customers. Don't forget, social influence is a powerful factor in today's world!
2. When the potential of diversity is harnessed well, team performance generally increases due to the broader range of perspectives, or 'thought diversity', the team can tap into. Often when complex or new challenges are faced by an organisation, teams with the most diversity come up with the best solutions. After all, the most diverse teams are more likely to be culturally aware and sensitive to the needs of others!

Increased Creativity

Diverse groups tend to come up with more creative solutions, due to their experience working with different perspectives, backgrounds, and sensitivities. During brainstorming sessions, broadening the range of ideas considered is key to generating innovative ideas.

Creativity is also an important way of creating new businesses. A McKinsey study found that 70% of “high-impact” companies were founded by people from two or more ethnic groups. This can be attributed to diversity creating a more tolerant and flexible mindset in which new ideas can thrive.

Improved Satisfaction

Diverse teams are more satisfied with their jobs than less diverse teams. This can be attributed to an increased sense of comfort or belonging in a group with a broader range of perspectives. And because of this, diverse teams tend to be more satisfied with their work.

The power of diversity goes beyond the workplace too. Diversity can bring communities closer together and help them feel more connected.

Better Work Play

A team's social and emotional climate plays a significant role in business success. An inclusive, safe and fun workplace can boost morale and employee engagement, which drives productivity. It can also stimulate curiosity as people from diverse backgrounds share their stories and cultural rituals.

Improved Employee Engagement

Employee engagement is the emotional or psychological connection between employees/managers that drives performance. It is also one of the most critical factors for business success. A lack of engagement can slow down your team members, limit their creativity, stifle their motivation, and even make them less healthy overall.

The most diverse workforces have the highest levels of employee engagement. Here are some reasons why:

1. Diversity improves teamwork: Diverse teams can work exceptionally well together when they feel psychologically safe, connected and able to contribute their unique knowledge, skills, and perspectives. 
2. Diverse teams make better decisions: Research shows that teams with more diversity make better decisions. This is because these teams are better equipped to consider a wider range of perspectives, thoughts, and ideas. 
3. Diversity fosters 'excellent risk-taking': Diverse groups tend to make decisions based on a broader consideration of risk factors, and have greater risk tolerance, leading to more overall success.

Click HERE to register for our Window of Work Values (WoWV) Profile accreditation workshop. Learn how to foster diversity in your organisation and shape your reactions to the culturally diverse groups within your company and community.

Global workplaces are facing a serious issue right now: the lack of genuinely diverse and inclusive cultures. This issue affects all types of companies, from small startups to multi-billion dollar corporations such as Google and Meta, who have both been under fire for not doing enough to promote diversity in their workplaces. In an attempt to address this issue, some companies are taking drastic measures to redefine their workplace cultures. 

Having diversity in your workplace has several benefits. It allows employees to develop and bring out their full potential. It improves productivity, innovation, and profitability. Lastly, it allows you to learn from each other's experiences and brings you closer as a team.

To be successful in creating a diverse and inclusive workplace, you need to foster an environment where everyone feels safe and respected in your organisation. One way of doing this is by creating a collaborative culture where everyone feels included in the decision-making process and where there is no “siloing” between departments. By encouraging employees to interact with each other more frequently, teams become more comfortable talking about differences rather than avoiding them.

Here are a few simple steps you can take today to start creating diversity and inclusion in your workplace:

1. Understand the problem
   The first step is understanding why diversity is important in the workplace, and what role it plays in your company culture. You need to be able to clearly define “diversity”, as well as understand all the forms diversity can take in your workplace, such as gender and sexuality, age, race, or religion.
2.  Define an action plan
   Once you know what kind of work environment you want to create, it’s time to put an action plan into place and to start working towards your goals. This plan should include all the steps you will take to create your ideal environment, and the resources you will need to execute the plan. Some of these steps might include:
   • Creating awareness about diversity in all departments of your company
   • Creating a resource library for employees who want to learn about diversity
   • Hosting workshops and training for everyone in your company on how to be more inclusive and respectful in a diverse workplace
3. Keep track of your progress towards creating diversity in your workplace
   Your action plan might not always go as planned, but that’s normal. Use this opportunity to identify what went wrong and learn from it so that when the next opportunity arises, you're ready for it.
4. Don’t forget to celebrate your successes
   Even the smallest victories deserve a celebration! Remember that creating a diverse and inclusive workplace culture does not happen overnight. Getting there will take time, resources, and hard work, but eventually, you will create a more open and respectful workplace where everyone feels included and safe.
   
   Diversity and inclusion are recognised as important measures for the strength of any organisation. For example, companies with a diverse workforce are more likely to attract talent and maintain a competitive advantage in their industry. Similar benefits apply internally as diverse and inclusive cultures build collaboration and promote innovation.
5. Get insights from the Windows of Work Value (WoWV) profile
   The TMS Window on Work Values (WoWV) personal development profile  focuses on the alignment between personal and organisational values and provides a solution when misalignment presents itself.
   
   The WoWV Profile includes the self-rated Values Alignment Diagnostic Tool that provides insights into how an individual's values stack up against their perceived organisational values. This ultimately supports conversations and insights into where individuals need to focus their awareness in order to become more effective and productive as a team. 

The WoWV Profile is unique in its focus on the work values driving performance, as opposed to traditional personality or ability-based assessments. The questionnaire assesses the eight work values that drive individual and organisational effectiveness in a team. It provides a measurement of the extent to which an individual is operating in alignment with their own values, along with a perspective on the organisational cultural values driving performance. The profile is designed to increase awareness of personal and organisation's values and belief systems that are underrepresented in the individual's behaviour and adapt it to represent more closely that which is required for optimal performance. It is based on the widely used and validated TMS Window on Work Values (WoWV) tool, and identifies personality-behavioural styles in the individual.

Click HERE to register for our next Window on Work Values (WoWV) Profile Accreditation Workshop