Diversity, equity and inclusion (DEI) has become a top focus for CEOs and business leaders across industries. With social issues around racial justice and gender equality now center stage, customers, employees and stakeholders are demanding more from corporations when it comes to DEI.
Many leaders recognize the ethical imperative here. But the business case is also increasingly clear: research shows more diverse companies are more innovative, have better financial returns and are viewed more favorably by consumers.
So how can CEOs and executives make DEI a core strategic priority versus a one-off PR initiative? Here are the top strategies for embedding DEI throughout the organization:
Lead from the top
Like any major priority, DEI efforts must start from the top. CEOs need to deeply educate themselves on systemic inequities and be courageous in confronting tough truths. Rather than delegating to the HR department, the CEO must publicly own DEI progress, be vulnerable about missteps and lead difficult conversations.
Authentic leadership requires linking DEI to personal values and the organization’s purpose. Employees can sense when diversity is merely a checkbox initiative versus an intrinsic commitment from the top.
Set ambitious goals
General platitudes about celebrating differences won’t cut it. Leading organizations are getting highly specific by setting measurable DEI goals around representation, hiring, retention and inclusivity.
This means numerically tracking diversity across all levels, not just entry-level roles. And it means going beyond binary gender goals to include factors like race, age and ability status.
Also critical: tying executive and manager compensation directly to DEI goal progress. This accountability is essential for driving systemic change.
Rethink hiring and promotion practices
Achieving DEI goals requires re-evaluating how talent is sourced, evaluated and promoted.
Many organizations are finding success by removing demographic details from initial application screens. This reduces unconscious bias by forcing hiring managers to evaluate candidates based on skills and experience first.
Promotion practices also need examination. Are employees from underrepresented groups staying at lower levels? This indicates broken talent development processes. Anonymous work samples and skills-based assessments can help promote objectivity.
Revisit policies and culture
Even the most diversity-minded leaders can inadvertently perpetuate inequities through outdated policies. Conducting a DEI audit provides objective insights.
Look critically at parental leave, flex-work options, dress codes and benefits packages. Are they meeting the needs of diverse employees? Consider how traditions and rituals like holiday parties and sales conferences could feel more inclusive.
Foster an open culture where everyone feels empowered to speak up if things feel unfair or insensitive. Make space for courageous conversations while keeping an open mind.
Engage the entire company
DEI efforts fail when they are seen as the domain of HR and “checklist” requirements. Successful leaders engage all employees in the journey.
Empower leaders throughout the organization to own DEI by setting an expectation that this is part of what it means to lead. Provide ongoing education and resources.
Encourage employee resource groups where marginalized groups can find community but ensure they are integrated into broader company culture.
Most importantly, understand progress requires commitment over many years. Persevere through inevitable missteps to build a culture of inclusivity and equity. Employees will follow an authentic leader who sees this as a life-long process.
The challenge is real, but so is the opportunity. Companies that embed DEI into their cultural fabric better serve diverse customers and stakeholders. They unlock innovation that can only come from bringing together a wealth of perspectives. And they build integrity by living their values.
