By now we should all know the benefits of diversity, equity, and inclusion (DEI) in the workplace: more innovation and increased productivity are a couple of them for starters. And it’s because of those benefits that DEI has been seeing increased momentum over the past decade. Diverse workforces are also seen as being more attractive for potential employees and customers alike, as diverse workplaces are also likelier to be more inclusive and welcoming too.
So it may come as a surprise that despite these known benefits of DEI, many companies still struggle when it comes to tracking their DEI data. There are many reasons for this, among which are a lack of prioritizing DEI, not having the resources or knowledge needed to track this data, or not understanding that tracking this data is important. Regardless, there are several reasons why companies should do a better job at tracking their DEI data.
Tracking DEI Data Helps Identify Areas for Improvement
Tracking DEI data can help companies uncover areas where they’re falling short in terms of diversity, equity, and inclusion. For example, if you perform this analysis and find that most of your management team and above is white and male, this discovery may be an important prompt for your organization to reevaluate how you’re hiring and promoting talent, especially now that we’re in an era where the diversity (or lack thereof) of leadership teams and boards is facing increased scrutiny. Or if there is a gender pay gap within your company, tracking this data can help to identify any root causes and take necessary action to make changes.
Tracking DEI Data Demonstrates Commitment to DEI
Tracking DEI data sends a message to employees, customers, and stakeholders that your company takes diversity, equity, and inclusion seriously. In turn, your workforce is also likelier to see that your organization is committed to DEI and is willing to take concrete steps to achieve DEI goals. In turn, this can motivate employees to help with efforts to advance DEI across your organization.
Tracking DEI Data Helps to Hold Companies Accountable
Tracking DEI data can help to hold your company accountable for its progress on diversity, equity, and inclusion. By setting targets and regularly reporting on progress, your organization can demonstrate it’s committed to improvement. This data, if shared, can also provide a basis for employees, customers, and other stakeholders to hold the company accountable if progress is not being made.
Tracking DEI Data Helps to Attract and Retain Talent
Companies that are known for their commitment to DEI are often more attractive to potential employees. In a competitive job market, this can be a real advantage. Employees are also more likely to stay with a company that values DEI because they are more likely to feel valued and included themselves.
Tracking DEI data is essential for any company that is serious about creating a diverse workspace that is inclusive and equitable for all employees. And if your organization is at the early stages of its DEI data journey, Insight Squad is here to help.
Lynn Freshour is a Research Director and reigning data nerd at GVC, an inclusion business strategy firm, as well as at Insight Squad, a DEI data insights firm.