Business Benefits of Diversity
A benefit for organisations is the diversity of the specific talents that individuals can bring to their organisations. There is also the need to adjust to a labour marketplace with a greater diversity of employees and unleashing their potential to assist the organisation. The flexibility of an organisation to learn and fit their employees is now more of a competitive advantage than trying to get employees to fit an organisational stereotype.
There are benefits to encouraging and supporting diversity. Diversity can support:
Cost reductions and the avoidance of the costs of non-compliance from discrimination, diversity and human resource law breeches and fines:
o Texaco settled to pay more than $175 million to 1400 black employees in a race discrimination class action lawsuit.
Competitive advantage can be gained from diversity as this helps with the realisation that the consumer market is continuously diversifying as well. There is no average customer and diversified companies can meet these needs more effectively. An example is that language diversity within organisations can facilitate sales and export campaigns;
Valuing diversity which recognises the changing demands of the consumer market and ensures that your organisation and employees are equipped to meet such demands;
More effective human resource attraction and retention, gaining a reputation for providing opportunities and therefore an ability to attract the best employees;
Increased organisational flexibility and ability to gain from new ideas, techniques, processes and change;
Increased organisational creativity and problem solving; and
Mirroring the society the organisation is within, providing more diverse thinking, research and increased abilities to spot and utilise niche markets.
Valuing diversity is not just about the avoidance of risks and litigation but the ability to gain the most from your key assets, your staff.