Strength through Diversity

What is the actual value, the bottom-line ROI, of diversity to companies? And 10,000 foot-view diversity here, not just focused on diversity recruiting and hiring. We all know that diversity recruiting opens your talent pipeline to otherwise untapped pools but what ROI does being a diverse organization have?

You can start by assigning dollar figures to the very short-term values that diversity delivers. For example, meeting legal requirements. Companies that do business with the government in Canada have to comply with the Employment Equity Act and failure to do that can result in monetary penalties ranging from fines to outright loss of the business.

So what else is there? Another value that some companies see in diversity hiring policies is the "marketing" one. Let's face it if your organization "looks" like the audience it is selling its goods and/or services to you've made the sales process that much easier. And "looks" is a flexible term as well, it's simply a question of if company is the same culture as the target but does your company reflect the community in which it operates? But putting the interesting marketing questions aside there is another value in diversity for companies here.

So there are some legal reasons, and some marketing/sales reasons. But is that all the value diversity delivers?

No. Diversity means strength.

1. The true test of strength for groups is *not* how they flourish when times are good but can they survive when times are bad.
2. The most common attribute of the hardiest groups is their diversity.

Diversity positions groups, in this case business organizations, with a wider variety of options, ideas and experiences to draw on for survival when times are tough.

This is the "hidden" value of diversity, because it is by nature difficult to measure but that doesn't make any less of a value. In fact companies who are *really* diversity employment leaders know about value of strength that diversity gives them. It's one of the reasons they do it. Because these companies also know that in the age of the global village while you have opportunities for success in multiple markets at any given time you also have opportunities for struggles in multiple markets at the very same time.

Experience and flexibility. These are the values that diversity employment practices bring to employers and while legal reasons, marketing and the talent crisis are all valid reasons to hire diversity it's important not to lose sight of the "big picture" value diversity brings.