Does Diversity Matter?

Next meeting you attend, look around the room and ask yourself three diversity questions:

1. How diverse is this group?

2. How diverse do they behave?

3. Does diversity really make a difference?

Of course, it is politically correct (not to mention ethically appropriate) to say diversity is important. But is there any research that demonstrates that the more diverse groups, teams, or organizations actually perform better?

When it comes to innovation, the answer is a resounding yes! Economist Sylvia Ann Hewlett, CEO of the Center for Talent Innovation, and her colleagues surveyed 1,800 global employees and conducted 60 one-on-one interviews (1).

They discovered that there are two kinds of diversity: inherent and acquired. Inherent diversity involves traits you’re born with, such as your eye color, gender, and ethnicity. It’s what you see when you look around the room. Acquired diversity involves traits you gain from experience, such as sensitivity to cultural differences (e.g., because you worked in another country). Acquired diversity is also how these experiences are translated into behaviors. The researchers labeled those possessing at least three inherent and three acquired diversity traits as having “two-dimensional diversity” leadership.

The bad news is that 78% of those surveyed thought that 2-D diversity leaders did NOT lead their companies. These 78% did NOT innovate well. On the other hand, the good news is that the 2-D diversity leaders (the 22%) were 45% more likely to have gained market share and 70% more likely to have captured new markets.

If you want to cultivate innovative growth (one of the core competencies of visionary leadership), acquire experiences that expose you to more diversity. Volunteer for projects that have diverse members and take on assignments that demand you understand different cultures. Then, translate your experiences into specific diversity behaviors. Here are six diversity behaviors (i.e. specific team norms) researchers tell us will nurture an innovative culture:

1. Make sure everyone feels heard.

2. Encourage everyone to propose novel ideas.

3. Give team members decision-making authority.

4. Share credit for success with your team.

5. Provide feedback that is actionable to team members.

6. Solicit and implement feedback from team members.

For many years, I’ve looked around the table and seen diverse teams succeed and others fail. I didn’t know if or how diversity really mattered. Now I do. I realize that I was only seeing the tip of the diversity iceberg – the inherent appearances that were above the surface. I failed to understand what was beneath the surface (i.e., acquired experiences translated into beliefs and behaviors).

What have been your experiences with diversity? How might you adapt these ideas to your environment?

Keep stretching when you’re pulled,

Dave

1. Sylvia Ann Hewlett and colleagues, Harvard Business Review, December 2013, page 30.

Dave Jensen helps leaders manage ambiguity, gain buy-in to any change, improve decision-making, and achieve difficult goals in today’s complex, competitive, and conflicting environment. For a FREE Chapter or to purchase his newly released groundbreaking book that helps executives and managers develop business-boosting skills, The Executive’s Paradox – How to Stretch When You’re Pulled by Opposing Demands, visit http://davejensenonleadership.com/