link.png Recruitment Diversity Matters in the Workplace and Leadership← Back


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Global management consulting firm McKinsey & Company has published “Diversity Matters”, a study on workplace diversity, which looks at both gender and race. The key finding suggests that the more diverse a company, the better its performance.
 
This applies to all levels of a business, including leadership diversity. In the UK, companies with 10% more diversity (be it gender, racial or ethnic) in management posted earnings that were 5.6% higher than rivals. 
 
Workplace Diversity does not just happen like that. The report indicates that it is important to implement programs that have specific diversity goals and that are supported by the top levels of the company, in order for these programs to be effective. Businesses need to engage in more than just a single diversity program, by considering candidates that come from various ethnic, gender and sexual-orientation groups.

By recruiting minority groups, companies are opening themselves up to hiring from a larger pool of talent, something which employers are still struggling with: “In a survey of 2,700 employers, only 31 per cent believe they are doing a good job in recruiting and retaining young talent.”

The report found that higher levels of diversity increase employee satisfaction and improve decision-making within the company, factors which help place a company ahead of competition. In addition diversity enhances a stronger connection with a customer-base which is also becoming increasingly diverse. In short, everything speaks in favour of diversity. Even though this is something that is high on the agenda in many countries, there is nonetheless still a lot to be done. As McKinsey’s report concludes “Diversity leadership and implementation matters because we increasingly live in a diverse world that has become deeply interconnected.” Companies that want to succeed need to make diversity an imperative during recruitment processes. 
Style Incorporated is a recruitment and Executive Search company based in Central London and specialises in the luxury brand sector.