Diversity means having a variety of persons, belonging to different genders, various age brackets, different ethnicities or socioeconomic and cultural backgrounds. It could also mean diversity of skills, experiences and interests. Equity means creating impartial and fair access, treatment, and opportunities to every person. Inclusion means being included within a structure or a group.
Diversity Equity and Inclusion (DEI) are interconnected concepts, but are not interchangeable.
What is DEI at workplace?
Diversity at workplace involves having a workforce with varying characteristics, relating to gender, age, race, sexual orientation, language, skills, experiences etc. This helps promote different perspectives, and problem-solving approach within the team and the company. While diversity is promoted, it is also important that such persons benefit from equity and feel included. Equity would involve treating everyone equally. Such companies do not often believe in one-size-fits-all policies. Instead, there is consideration of the requirements of different persons, or groups of persons. Inclusion at the workplace involves putting in efforts to ensure that all persons feel equally involved in work relating to the company. It is about how well the contributions, presence and perspectives of different groups of persons are valued and integrated into the environment.
Why is DEI needed ?
Diversity is needed to promote a variety of opinions, thought process, and voices in the organization, as also a variety of decisions taken at different levels. This leads to a more rounded approach to decision-making, and helps an organization adjust to changing times. However, diversity would have no meaning if there are no conscious steps relating to equity or inclusion. If diversity becomes a tick the box item, many persons will not feel equal or included. Focus on DEI helps increase satisfaction and engagement levels of the workforce since they feel valued. It also helps in fostering team spirit, and positively impacts on the retention levels.
Why has DEI suddenly become important?
Focus of all companies has increasingly moved from only owners/ shareholders to all stakeholders. Further, no longer are companies only looking at a particular geography. Most companies have a global outreach. Requirements of end users too are changing on a continuing basis, with a huge change in the demographics of customers of a number of companies, especially in the B2C category. To keep evolving, with changes in circumstances, it is important for companies to focus on DEI.
What can Boards do?
A number of Boards do not consider DEI when it comes to even Board composition. Having one woman Independent Director, as mandated by law and regulation, is not enough. Women should be inducted on the basis of talent, and not tokenism. One woman Director does not adequately promote diversity, equity or inclusion. Further Nomination and Remuneration Committees should consciously focus on diversity beyond gender. Business Responsibility and Sustainability Reporting also promotes equality and inclusion for persons with disabilities, and stipulates that companies should report on such efforts. The tone has to be set at the top. Promoting DEI at the Board level will go a long way into it getting promoted throughout the workforce. Source: https://excellenceenablers.com/moving-towards-diversity-equity-and-inclusion-at-workplace/
