It is a fact that low diversity is bad for business. Companies spend millions of pounds annually to foster a more inclusive corporate culture. They don’t just do it to avoid discrimination lawsuits, but because it makes them money.

Leaders face the challenge of turning their companies into a meritocracy-based organisation. Running a meritocracy-based organisation is all about transparency and criteria. For that reason, leaders should create “clear processes” for the hiring and evaluation of employees. It is also a matter of monitoring and evaluating the outcomes of such company processes.

We are all susceptible to biases, especially when we’re fatigued, stressed, or multitasking. We cope by relying even more heavily on intuitive, system judgments and less on careful reasoning. But while having an opinion without conscious thought is helpful for basic decisions, it can also have negative consequences, particularly, if you are unaware of your biases. Unconscious bias can cause you to miss out on opportunities in business, like hiring star employees.

Failing to address insider-outsider dynamic that can cause imbalance at work can cost you brilliant ideas – it decreases productivity and creativity. Lack of diversity is bad for your business, but you can change that by looking within your firm as well as beyond it. When inclusivity increases in business the impact is also felt by its customers. A business that invests in diversity will have more diverse customers and more success.

Building inclusivity is a group effort. In order to change a company’s culture, leaders need to change themselves. In today’s business world, success means reaching a global market that is both diverse and complex. You will be required to develop relationships with all kinds of people.

Final thoughts…

To flourish in the innovation age, businesses must change how decisions are made and change how leaders lead.

Increased diversity and inclusion can ensure equality in a workplace while also boosting the profitability and creativity of a business.