What is DEI - Diversity, Equality and Inclusion?
We're talking about diversity, equity and inclusion (DEI) like never before - in society and in business.
This is happening for several reasons: From the realization that the hunt for talent has never been greater. That the business case for creating better and more diverse hires has never been clearer, and from a sustainability perspective and with SDG 5 as a lever. That's why diversity, equality and inclusion are on the agenda in many companies - and the work benefits both employees and business!
Some facts that support the Business Case:
McKinsey 2022
Companies with ethnically diverse teams are 35% more likely to outperform their less diverse counterparts, and companies with a strong representation of women are 25% more likely to outperform.
Diversity in leadership adds an average of 12.6 percentage points to the bottom line
ISS 2016
Although DEI has become one of the most talked about concepts in organizations over time, it doesn't mean that they have become easier to digest. That's why we're glad you landed on this page, because with new or complex concepts, it's important to start with the basics.
This guide is a good stepping stone to better understanding the complexity of the concept of diversity, and not least , inclusion.
Let's start by defining what Diversity, Equality and Inclusion (DEI) actually is and finish with insights on the importance of diversity and inclusion in the workplace.
What does diversity mean in the workplace?
Workplace diversity means that an organization has a diverse workforce that, for example, reflects the surrounding community it exists and operates in or reflects the respective market and candidates.
However, determining what actually makes a workplace diverse is not quite simple.
Diversity incorporates all the elements that make us unique from each other as human beings, and although there are infinite differences in people, diversity is most often defined by a few social categories, such as; gender, ethnicity, age, sexuality and disability. Read more about the nuances of diversity.
In Denmark, the Discrimination Actenforces that there must be no direct or indirect discrimination in the labour market on grounds of race, colour, religion or belief, political view, sexual orientation, age, disability or national, social or ethnic origin.
Although there are several visible and invisible factors that make individuals different from each other than those defined in the Danish Discrimination Act, these broad categories can help companies identify a lack of diversity in the workplace. They can be used to create measurable measurements for the company's diversity – measurements that can lead to concrete goals aimed at increasing diversity in the workplace.
What does inclusion mean in the workplace?
Although often used interchangeably with diversity, inclusion is a concept in itself. Indeed, inclusion is not about how diverse a workplace is, but about whether individuals are treated fairly and respectfully, have equal access to opportunities, resources and psychological safety, enabling everyone to contribute fully to the success of the organisation.
Equity or equality refers to offering each employee the unique resources they need to thrive in the workplace. This means that we must treat everyone differently to be equal.
Diversity vs. inclusion
Diversity refers to the traits and characteristics that make people unique, while inclusion refers to the behaviours and social norms that help employees feel welcome and part of the community.
Inclusion is not only essential for diversity efforts to succeed, but creating an inclusive culture is also beneficial for employee well-being and productivity.
Without inclusion and equality, diversity is useless, superficial and ultimately harmful - and companies don't get the benefits of diversity.
Why is Diversity, Equality and Inclusion (DEI) important to your workplace?
DEI is complex and there are many aspects to consider when it comes to creating a work environment characterized by both diversity and inclusion.
But when it comes to the real benefits of diversity and inclusion for the workplace, the answers are much simpler.
However, it is important that the company finds its own arguments and relevance for employees, management and in terms of. organisation's goals and values. We are happy to help you with this!
5 benefits of having Diversity, Equality and Inclusion (DEI) in the workplace
Apart from being a clear social, political, ethical and moral responsibility, there are some clear benefits to promoting diversity and inclusion in the workplace.
We've listed five of the most well-documented benefits - benefits that all benefit the bottom line!
Benefit 1 - Diversity, equality and inclusion drive innovation
Benefit 2 - Diversity, equality and inclusion attracts and retains workers
Benefit 3 - Diversity, equality and inclusion impact employee and customer satisfaction
Benefit 4 - Diversity, equality and inclusion opens up new markets and customer groups
Benefit 5 - Diversity, equality and inclusion impact both efficiency and quality
These benefits are supported by research from McKinsey, BCG and others.
If you would like to promote DEI in your workplace, don't hesitate, contact us here!
Nikoline Nybo
Consultant
BA Anthropology and Chaos Pilot.
Experience in cultural analysis and anthropological methodology, project management and process design, organizational development and facilitation.
Louise Marie Genefke
Consultant
Cand. mag. Marketing & Communication, MA Management and External Lecturer AU.
Experience with management, talent and organizational development, facilitation and Employer Branding.