Why is it important for employers to harness the advantages and innovation that a diverse C-suite leadership team can deliver?
Organizations with leadership diversity report stronger financial results, competitive advantages, and increased profitability. A proven connection exists between diversity and company financial performance. According to a McKinney & Company study, organizations with ethnically diverse executive teams are 33% more likely to outperform their peers on profitability. Another 2018 BCG study found that, on average, companies with a diverse management team earn 19% greater revenues than those with below-average diversity. It’s simple: Diversity in C-Suite leadership improves the bottom line results.
To reach organizational and strategic goals, companies need bright and innovative people. In any economy, the labor market for high-end talent is competitive. Companies with strong financial results have an upper-hand in attracting such performers—including diverse talent, who gravitate to growing companies where they see individuals like themselves thriving. When they cannot see C-suite leaders who look like them, it is natural to wonder how they will be viewed upon entry and throughout their time with the company. Representation and inclusion matters.
In summary, a diverse leadership team improves innovation and financial results, which attracts a diverse range of high performers that furthers a benevolent cycle of improved financial and strategic results.
So, how do you get started?
At Bridge Partners, we understand this virtuous cycle: Diversity-equity-inclusion is not a “new initiative” for us, it is what we do and have done for nearly two decades. We are a minority-owned business who reflects our commitment to diversity in our own team and have grown our business with the knowledge that a diverse leadership team is critical—not just to reflect employee base, clients, and constituents/communities served, but to encourage innovation and progressive decision-making. We undertake an inclusive search process that ensures high-caliber, diverse candidates are always considered in search shortlists, and we have a proven track-record to show for it.
Employers should understand diversity in the C-suite is just the starting point for success. Diversity must flow from the top and be coupled with inclusion and equity. Diversity ensures a variety of ideas and perspectives are in the room. Inclusion ensures everyone in the room feels that they belong, and that their voice will be heard and valued. Equity treats everyone fairly and respectfully but realizes that equal treatment does not always yield equal results. Combined diversity, equity, and inclusion will allow organizations to have unprecedented financial success and attract and retain high performing talent.
Toya Lawson is one many Greater Philadelphia leaders who have signed the Chamber’s Equity Pledge, our commitment to nurture and promote a new generation of Black and Brown executives, board members, and entrepreneurs by setting a high standard for diversity, equity, and inclusion across all aspects of work across regional businesses and industries in Greater Philadelphia.
Full Article Here: https://chamberphl.com/2020/08/member-perspective-toya-lawson/
