Diversity in the Recruitment Process: 7 Ways It Can Help Your Company’s Bottom Line

According to a Glassdoor survey, 67% of job seekers lay importance on diversity in the workplace while considering job offers. But what does diversity in the workplace mean?

A company that customizes its recruitment strategies to employ people with varying gender, race, ethnicity, age, religion, cultural background, languages, sexual orientation, education, etc. is true ambassador for diversity.

Diversity in the workplace has always been one of the hottest topics in the HR industry. But quite recently, many companies have been striving to attain a diverse workforce because of the benefits having one offers.

Diversity in the workplace not only improves the company’s reputation, but it also has many other tangible benefits that directly affect the company’s bottom line. Let’s have a look at these benefits:

What are the benefits of diversity in the workplace?

  1. Improved hiring results. Firstly, diversity in hiring boosts your company’s employer brand. It presents your company as a more desirable place to work. This is the best way to attract top talent from diverse talent pools.
  2. Better company reputation. Diversity in recruitment strategies makes your company look good, not only in the eyes of the potential employees but also in the eyes of customers, and business partners. It also allows your company access to new markets.
  3. Variety of different perspectives. Different employees with different characteristics and backgrounds mean people with varying skills and experiences. Each will have different perspectives; hence, you are more likely to get new ideas, thus improving the creativity of the workforce. This is especially beneficial when you are planning and executing a strategy.
  4. Higher degree of innovation. According to Josh Bersin’s research, companies with diversity and inclusion are more likely to be innovation leaders in their respective markets. A diverse workplace is a breeding ground of innovation as new ideas and multiple perspectives come together in novel ways.

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  1. Better decision-making. A white paper published online by Cloverpop established that 87% of the times diverse teams outperform individual decision-makers. A diverse team thinks differently; hence, they come up with more solutions and the ability to make informed decisions.
  1. Faster problem-solving. According to the Harvard Business Review, diverse teams solve problems quicker than cognitively similar people. A diverse team have people with different backgrounds, experiences and views and hence when brainstormed, they are quick to bring different solutions to the table, leading to faster problem-solving.
  1. Higher employee engagement. A research conducted by Deloitte captured the experiences and views of 1,550 employees in three large sectors in Australia: retail, manufacturing, and healthcare. This research showed that employee engagement has a direct link to diversity and inclusion. The more included the employees feel, the more engaged they are.
  2. Reduced employee turnover. Diversity in the workplace makes the employees feel valued and accepted and that makes them happier at work. A happy employee stays longer with the company. Hence, companies with diversity in the workplace have lower turnover rates.
  3. Increased profits. McKinsey & Company conducted research involving 180 companies in Germany, France, the US and the UK.  Through research, it was found that top teams with more diversity were also top financial performers.

Diverse teams make better decisions faster and that gives them a competitive edge over others. Therefore, companies with diverse workforce reap more profit and are a greater business success.

 

Kelly Barcelos

Kelly Barcelos
Kelly Barcelos is a digital marketing manager specializing in HR and is responsible for leading Jobsoid’s content and social media team.

Kelly Barcelos

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