Why companies should embrace DEI

In our family, sports play a very big role, and we often take inspiration from the sports world. That’s why I am now going to ask you to imagine a soccer game where one team is composed of only strikers or only defenders. How do you think the team will do?

There’s a reason why sports coaches carefully and painstakingly evaluate each position and build diverse teams with different strengths. Organizations and businesses are no different—they, too, need diversity to succeed and continue existing.

I work at the Work in Finland unit within Business Finland, where we support Finnish companies in their journey to become more diverse and international. Work in Finland provides Talent funding to encourage companies to hire international talents, runs a mentoring program, offers coaching to help with employer branding, and many other services.

Let’s take a closer look at why we do the work that we do.

Diversity sparks innovation and drives growth

Diversity is not just nice to have; it’s a crucial strategy in today’s dynamic and increasingly competitive business landscape. There’s a real business case for diversity:

• Companies that successfully implemented diversity, equity, inclusion, and belonging were more innovative and realized more revenue from innovation than the market average, found a 2020 study by the World Economic Forum.
• Companies with diverse executive teams are 25% more likely to outperform their peers financially, according to a 2020 report by McKinsey.
• Diverse teams bring significant benefits to companies, including higher turnover, wider networks, and new customers. Diversity also promotes new growth opportunities, for example by making it easier to expand to new markets, according to a 2022 study by Work in Finland and Innolink.

Diversity, it appears, sparks creative problem-solving and leads to new ideas and better products and services. It also helps companies thrive in a complex, interconnected, and international landscape: understanding other cultures, languages, and ways of seeing the world is increasingly important.

For higher productivity, consider inclusion

Many businesses already embrace diversity in the workplace but are unaware of why inclusion is equally important. Inclusion is when everyone feels welcomed, respected, and valued. Inclusive cultures embrace a multitude of perspectives and empower every individual to contribute through their unique insights and skills.

I’m lucky that, in my team at Work in Finland, I am given the opportunity to bring up my unique perspectives and feel that I am heard and empowered to make a difference.

Taking a visible stand on equality issues demonstrates that the company is committed to creating a fair and inclusive workplace.

As for the business case for inclusion? Inclusive workplaces are more productive and have higher job satisfaction. I can attest to that.

Diverse and inclusive employers win the global competition for top talent

Attracting and retaining top talent is harder than it has ever been. Especially in the post-pandemic environment, companies need to be agile and adapt to the changing preferences of today’s workforce. Especially millennials and Gen Z, who are also very mobile and socially connected, want to work for companies that reflect their values.

Companies that are seen as diverse and inclusive employers are more likely to be able to attract and retain talent. Taking a visible stand on equality issues demonstrates that the company is committed to creating a fair and inclusive workplace.

In a world that is more and more competitive and digital, those who have successfully differentiated themselves with strong employer brand will win the global competition for top talent. In addition to the business benefits I already mentioned, DEI actions are also a powerful tool to boost company reputation, attract talent, and help build a positive employer brand.

Be the change you wish to see in the world

Leading with diversity, equity, and inclusion is not just the smart thing to do—it’s the right thing to do. Companies have a unique ability to shape the society and drive positive change. By promoting diversity, equity, and inclusion, companies can increase their chances of succeeding while creating opportunities for those who otherwise might not get them.

So, to all companies out there, I invite you to not just talk the talk, but walk the talk. As Gandhi said, be the change you wish to see in the world. Together, we can rewrite the narrative of corporate culture and make our societies more inclusive, one company at a time.

We at Work in Finland are here to help every step of the way.

Read more about DEI in recruiting Talent