Blog Post

The Relationship Between DEI, Innovation and Productivity

May 3, 2023

We have looked at DEI's positive impact on critical areas that influence organizational success in our past two blogs. As we conclude this three-part series, we want to highlight how the  sustained investment in DEI impacts two key areas: innovation and productivity. Innovation allows organizations to be competitive and increase their market value by creating new products, offering new services, finding greater efficiencies and staying on the cutting edge of technology and customer needs.  Productivity and innovation yield their best results in diverse and inclusive environments where every team member can contribute fully and authentically. 


People are naturally happier at work when they do not have to hide who they are, their identities are welcomed, and their unique approach to work is supported. An Oxford University Study shows that happy workers are 13 percent more productive. Oxford Research This research reinforces the impact of belonging on organizations. Belonging removes restrictions on creativity which encourages involvement and motivation to participate collaboratively in the work. 


Innovation is a valuable result of diverse groups working together to achieve a common goal without requiring sameness in thinking, process or approach. Semblance is a more significant issue, an unspoken understanding that everyone must mimic a particular demeanor or thought process to fit in. However, the more diverse your organization is in visible and invisible diversity traits such as personality, gender, ethnicity, education, sexual orientation, personality style, and religious beliefs, the more innovation, and avant-garde innovation you will experience. 

 

In 2020, McKinsey reported that many organizations were forced to decrease their commitment to innovation because of the other issues that needed to be resolved to stay afloat during the pandemic. McKinsey, 2020 Now that we are entering the other side of crisis mode due to the pandemic, organizations must put innovation back at the forefront to ensure their revival of profitability. Organizations that encourage cooperative projects and offer the opportunity for key stakeholders to interact and engage in the organization's future direction create a think tank for innovation to evolve constantly. When diversity, equity, and inclusion are apparent, teams are open to the ideas of others. They are prone to joining forces on implementation because they recognize the value of input and diverse ideas. As teams work together and are given the safety and space for freedom of sharing of ideas, they are excited about the productivity it takes to meet the goals. 

 



However, when employees do not feel comfortable sharing who they are, their authentic selves, they will not be comfortable verbalizing their thoughts and ideas freely. If you don't accept the fullness of who I am, why would you want to hear the ideas that flow from my originality? You may hear a portion, but without a sense of belonging, many ideas will automatically be eliminated because of the perceived lack of safety to express thoughts and ideas – ideas that could lead to profitability and increased profit margins. 

 

Innovation and productivity flourish when: 

 

  • Self-awareness of employees and insight from management on the expertise of their team members is encouraged through assessments and conversations that highlight strengths and areas of growth that can be supported. 
  • Safe spaces for discovery, discussion, cooperative projects, and non-judgmental feedback are incorporated into team meetings and processes. 
  • Speaking up respectfully, without fear, is supported by engaging ideas for invention and change without criticism for thinking outside the box. 

 

Innovation and productivity are cultivated when individuals are intrinsically motivated by contributing authentically to reach a goal, where their participation will be rewarded in a way that lets them know they are seen, and their hard work is valued. The more they can participate, the more passionate they will remain about being productive and helping you’re the organization experience consecutive wins. 

 

How to harness diversity to fuel Innovation and productivity are discussed in our leadership development program, The Power of Inclusive Leadership . Contact us for more information.


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