Why DEI Builds Good Management

I’m distressed to see conservatives dismiss the concept of DEI, and to see the incoming administration try to dismantle DEI initiatives both in government and the public sector. The reality that these critics refuse to accept is that DEI leads to better management and a better work environment. Companies and their employees both benefit from DEI initiatives; attempts to roll back DEI efforts will only harm those companies and their workforces.

What is DEI?

First, a bit about DEI—what it is and what it purports to do. DEI stands for Diversity, Equity, and Inclusion, as follows:

• Diversity aims for the presence and participation of individuals with varying backgrounds and perspectives, including and especially those who have been traditionally underrepresented in the general workplace, given industries, and specific organizations
• Equity provides equal access to opportunities and fair and impartial treatment for all represented classes
• Inclusion creates a welcoming environment where people of all types feel accepted and respected

DEI initiatives define those policies and procedures that encourage the participation of people of different genders, sexual orientations, races, ethnicities, ages, and more. It’s not just about hiring a more diverse workforce; it also includes providing equitable access to salary, benefits, and advancement opportunities for all employees.

For example, DEI initiatives can include:

• Investing in DEI awareness and education programs for all levels in the organization, including management
• Eliminating bias in recruitment and hiring
• Promoting pay equity
• Providing equal advancement opportunities
• Prioritizing developing talent from underrepresented groups
• Encouraging employee recourse groups (ERGs) to promote DEI initiatives in the workplace
• Setting goals to increase representation from underrepresented groups
• Initiating a process to encourage and investigate DEI-related complaints

DEI’s origins date back to the mid-1960s and the Civil Rights Movement. The Civil Rights Act of 1964, in addition to banning segregation in public places, outlawed employment discrimination based on race, religion, sex, color and national origin. Title VII of the Act established the Equal Employment Opportunity Commission (EEOC) which works to eliminate employment discrimination.

In other words, today’s DEI initiatives are simply a continuation of efforts begun more than 60 years ago. For DEI to be successful, leadership—especially upper management—must be held accountable for creating and promoting a culture of diversity, equity, and inclusion in the workplace.

Who Opposes DEI—And Why?

Not everyone agrees that DEI is a worthwhile endeavor. Critics say DEI programs are discriminatory and attempt to solve racial discrimination by disadvantaging other groups, particularly White males.

Some critics have claimed that DEI is “inherently a racist and illegal movement in its implementation even if it purports to work on behalf of the so-called oppressed.” Others say that the ideology behind DEI is “fundamentally anti-American.” Tellingly, the majority of DEI’s critics are White males, who feel that helping previously disadvantaged groups hurts their historically privileged status.

Despite what these critics claim, DEI does not discriminate against White males—or against any given group. DEI programs do, however, seek to eliminate any institutional bias that disadvantages a given group by favoring White males. While it’s true that without the safety net of White male privilege, some low potential or low performing White males might lose in competition with higher-potential, more diverse hires, that isn’t a bad thing. In an ideal world, nobody gets a leg up just because they’re White or Black or male or female. Diversity becomes the natural state of affairs, if only because we are, at heart, a diverse nation.

Unfortunately, due to pressure from these largely White male conservatives, the Trump administration has halted all DEI initiatives within the federal government. Several large corporations have followed suit, eliminating their internal DEI programs. This is, I believe, to their detriment.

How Does DEI Create a Better Workplace?

DEI programs work to create a diverse and inclusive workplace where every employee feels comfortable and can contribute their best work. Ideally, this diversity should improve the company’s productivity and hasten its marketplace and financial success.

This isn’t just wishful thinking. According to a study published in the American Sociological Review, every 1% increase in diversity correlates with a 3% to 9% rise in sales revenue. That’s as good a reason as any for your organization to promote DEI initiatives.

But that’s not the only reason for your organization to embrace DEI. Consider the following:

• DEI programs create a larger and more inclusive pool of talent
• Diversity brings new perspectives to the organization
• Diverse workplaces breed innovation
• DEI helps employees feel safe, respected, and connected
• DEI programs help to create a sense of ownership among employees
• DEI helps employees maintain a better work-life balance
• DEI programs improve employee retention and reduce unwanted turnover
• Diverse workplaces have less internal conflict
• Diverse teams learn faster together
• Diverse groups are more productive and efficient

In short, having more diverse voices on your team makes your team stronger and less insular. A diverse workplace helps to keep the company culture from stagnating and to evolve with the times. To stay in touch with your customer base, a diverse team is a necessity.

How Does DEI Lead to Good Management?

This blog is about good (and bad) management. With that in mind, how can DEI help you become a better manager?

One key to better management is to assemble a more productive team, which DEI does. A diverse team brings a variety of perspectives and experiences to your business, thus helping you make more informed and effective management decisions. You no longer have to work with a limited perspective; a diverse team will open your eyes to new approaches and solutions.

In addition, DEI initiatives help employees feel as if they’re included and treated equitably, which results in happier employees. Happy employees are more engaged and more productive, and they’re less likely to leave. Less turntable creates more stable and experienced team over time.

DEI also helps you build a more powerful team. By not limiting your talent pool to those of a certain age, race, or gender, you have more skilled and experienced candidates to choose from. The better your team, the better you look as a manager.

The Bottom Line

Here’s the reality. Diversity, equity, and inclusion programs help build a stronger team and a more productive workplace—all of which make your job as a manager that much easier. If you want to be a better manager, forget what the (obviously biased) critics are saying support diversity and inclusivity in your organization. You and your company will both benefit.