Practical Steps to Building an Inclusive Workplace
How can employers take practical steps to champion greater diversity?
18 Mar 2022 Articles Performance management Recruitment Best practices
Diversity and inclusion (D&I) are becoming far more than just buzzwords. Globally, employers are investing more in such initiatives as D&I becomes an industry unto its own1, with related jobs springing up in recent years2. These roles include facilitating change to build more inclusive companies, hiring talent from underrepresented groups, and identifying trends and aligning projects with D&I priorities.
However, it appears that diversity policies are less prevalent in Singapore; a 2021 report by the Singapore National Employers Federation (SNEF) found that seven in 10 organisations have yet to introduce formalised diversity policies even though most recognise the benefits3.
Should employers pay attention to cultivating a diverse workforce, and how will it benefit them?
The Business Value of Diversity
The case for diversity is a compelling one, as it results in more effective talent acquisition and retention for organisations, and better business performance overall.
First, organisations that embrace diversity can attract employees from a wider talent pool and are likely to retain talent better. In Singapore, almost nine in 10 surveyed in 2019 believed a workplace that encourages diversity of opinion benefits talent retention4.
Second, a more diverse workplace results in better business outcomes. This is corroborated by a Boston Consulting Group (BCG) study, showing that a more diverse leadership team leads to better innovation and improved financial performance5. Similarly, McKinsey has demonstrated that the relationship between diversity on executive teams and the likelihood of financial outperformance grows stronger over time6. “People with different backgrounds and experiences often see the same problem in different ways and come up with different solutions, increasing the odds that one of those solutions will be a hit,” said the BCG study.
As the value of cultivating a diverse workforce becomes increasingly obvious, some organisations may choose to have dedicated roles to manage and facilitate this aspect of the organisation. However, embedding a sustainable culture of diversity begins at the top, and by committing to the guiding principles of fair and merit-based employment practices.
Take a Merit-Based Approach to Hiring and Developing Employees
When HR practices focus on equity and fairness, the organisation is more likely to attract a diverse workforce. When employers set aside biases and assess potential employees purely on their skills and ability to successfully carry out a role, they are likely to hire the best person for the job – ultimately bringing together a diverse and robust workforce with different experiences and strengths. This may require training and equipping hiring managers to carry out the process fairly.
In the same vein of treating employees fairly, employers should also implement robust performance management systems that provide employees with the same opportunities to be considered for training, development, and advancement in the organisation – this is likely to retain quality talent who can support the growth of the organisation.
Tip: Examine your current hiring processes in the light of the Tripartite Guidelines for Fair Employment Practices to ensure a fair and unbiased approach.
Business Leaders Need to Drive the Culture
Nurturing a culture that actively builds and supports a diverse workforce requires comprehensive strategies that encompass business goals. Hence, this responsibility should be spearheaded by senior management. This will include driving the effort to ensure the representation of diverse talent across all levels as well as developing frameworks to ensure employment practices are merit-based, and identifying metrics to measure progress at each stage.
While not all organisations may have a diversity manager, they can certainly still cultivate a strong and welcoming culture of diversity, founded in merit-based employment practices and driven by senior management buy-in. This will ensure that diversity is a core value of the organisation, leading to stronger and more effective businesses.
5. https://www.bcg.com/en-us/publications/2018/how-diverse-leadership-teams-boost-innovation