How diversity (that is included) can fuel innovation and engagement – and how sameness can be lethal

Date11 June 2018
Published date11 June 2018
Pages119-125
DOIhttps://doi.org/10.1108/SHR-03-2018-0020
AuthorStephen Frost
Subject MatterHR & organizational behaviour,Employee behaviour
Viewpoint
How diversity (that is included) can fuel
innovation and engagement and how
sameness can be lethal
Stephen Frost
Abstract
Purpose Conventional wisdom says that diverse organisations perform better. Howe ver, this is not
always the case. Diverse teams thatare not inclusive are unable to leverage their diversity, and thus
will not reap its benefits. The purpose of this paper is to show that organisations that exhibi t inclusive
behaviour and inclusive leadership can leverage diversit y to reap its multiple positive benefits.
Design/methodology/approach This paper draws on various examples from different sectors,
including Kodak, theUS Armed Forces and NASA, to analyse the effectsof sameness on teams. It also
draws on the author’sown experience and the most recent peer-reviewed research to lookat the effects
of inclusivemanagement, not just diversity.
Findings This paper shows that there is ample evidence that diverse teams often perf orm better,
and that they only perform better when led inclusively. The combination of diverse teams and
inclusive management can lead to increased innovation and productivity and better decision-
making.
Originality/value This importantreframing of the value of inclusion and not just diversity is insightfulfor
the CEO and C-suite leaders,as well as essential for human resource managersor anyone who makes
decisionsabout hiring, promotions or teamcomposition.
Keywords Performance, Diversity, Culture, Inclusion, Leadership,Talent management
Paper type Viewpoint
In 1972, McDonald’s was already a successful global restaurant business, but it only
served lunch and dinner. That year, a single entrepreneurial franchise owner in
California proposed a new breakfast item, and so the Egg McMuffin was born. Today,
breakfast is one of McDonald’s most lucrative times of the day.
If you want to better address market needs, innovate and engage customers, diversity is
essential. But, it is insufficient. Thereare three things you have to consider:
1. Diversity and inclusion: Many companies now focus on diversity and are disappointed
that nothing seems to be changing. There are a plethora of inadequate diversity articles
that claim diversity will cause greater performance. It will not (on its own). The key
difference is inclusion. Many workplaces are actually quite diverse; they are just siloed,
and so much of that diversity is not leveraged. If it were, we would find that diversity
actually has quite a strong correlation with performance.
2. Internal factors as well as external fixes: Companies will often try to “fix” the pipeline or
other external factors to increase the supply of diversity into the organisation. Often a
focus on extrinsic factors such as recruitment leads to more attrition, as organisations
Stephen Frost is CEO at
Frost Included, Ltd,
London, UK.
DOI 10.1108/SHR-03-2018-0020 VOL. 17 NO. 3 2018, pp. 119-125, ©Emerald Publishing Limited, ISSN 1475-4398 jSTRATEGIC HR REVIEW jPAGE 119

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