We live in a world where diversity and technological advances forms the backbone of modern society. Diversity in the workplace is important for both their employees and business, to encourage creativity, innovation and empathy. Nowadays, diversity in the business environment is about more than race, gender and ethnicity. It includes employees with diverse education, sexual orientation, disabilities, religious and political beliefs, socioeconomic backgrounds and cultures. By promoting a diverse and inclusive workplace, companies are gaining benefits that go beyond imagination.
The business has the performative power to contribute to a diverse and inclusive society. The case for establishing a diverse workforce grows more compelling as time passes. Gathering of people with different ethnicities and experiences in cities is a crucial factor for innovation. Research shows that there is a correlation between high-skilled immigration and an increase in the economic performance in cities and regions. Singapore, is one of the world’s heavyweight financial centres, with a population of over five million. It is highly multicultural, with an ethnic mix of people of Indian, Chinese and Malay descent and large populations of different religious faith groups including Christians, Buddhists, Muslims and Hindus. For years, Singapore has promoted racial and ethnic integration. In this way, Singapore's religious and ethnic diversity has proven to be an asset to the country.
Diversity and business performance
Diversity brings many benefits to an organization like increased profitability and stronger governance with better problem-solving capacities. According to a Boston Consulting Group study due to innovation, companies with more diverse management teams have 19 per cent higher revenues. This finding is crucial for start-ups, tech companies and industries where innovation leads to growth. Also, South-East Asia currently has a female participation rate of 42 per cent higher than the global average of 39 per cent. Versatility and flexibility are the keys to success for individuals and a culturally diverse environment is the best way to gain these qualities.
Women in the workplace
There is an abundance of research confirming that those companies are more profitable which have more women in the C-Suite are more profitable. Still, there is still a gender gap in the corporate world. Companies need to build a comprehensive plan to support and advance women. A survey conducted by Pew Research Centre highlights many fileds where women are stronger in both political and business areas. According to the survey, women are 34 per cent better at working out compromises, 34 per cent more likely to be honest and ethical, 25 per cent more likely to stand up for their beliefs, 30 per cent more likely to provide fair pay and benefits and 25 per cent better at mentoring.
Closing the gender gap would add $28 trillion to the value of the global economy by 2025-and increase it by 26 per cent. Companies will prosper when women gain greater financial independence.
Below there are some points that reflect the impact of diversity and inclusion on business in the short and long term:
Greater innovation and creativity:
Having a working environment filled with employees of different skills, knowledge, background and experiences can help the business expand in the long run. In a diverse environment, employees will feel more comfortable sharing their unique ideas with others.
Diversity provides a range of skills:
Everyone has different skills to provide and help to enhance a business. Having a diverse environment allows wider perspectives to be added when problem-solving, brainstorming and developing new ideas in business.
Boost in business:
Diversity and inclusion are important factors that people look for when applying for a job. Moreover, this will allow businesses to hire the best talent and ensure that the best skills are hired.
Happier employees:
Working in a diverse environment will make employees feel happier at work which will impact their work output. Employees will flourish in their job roles and arising opportunities will allow the overall business to flourish.
Increased productivity:
Co-operative teamwork can increase productivity in business. A diverse team can provide their range of experiences and skills for other co-workers to work well. Increased productivity means that the business can thrive in a shorter period.
Understanding customers:
In a diverse team, employees can promote the business as they have similar backgrounds with the target audience. As a business, there is also growth opportunity as there are differences one begins to learn between different groups of people.
More talent to choose from:
If the business encourages diversity, it will be about recruiting by focusing on the skills a person can bring and contribute to the business. This will help the business grow as only the best talent will be hired.
Higher revenues:
The organisation can achieve higher revenues by successfully managing a diverse and inclusive workplace. Employees will be happier and generate new ideas which will lead to an increase in productivity.
Therefore, it is time organisations should take more of a proactive attitude on employing a diverse workforce that reflects the real people of today’s society.
