10 Ways to Improve Workplace Diversity and Inclusion

What is diversity and inclusion? 

A diverse and inclusive workplace not only represents a variety of workers from different backgrounds but also provides the support they need to help them perform their best. Creating a diverse workforce starts with recruitment. Your hiring team should focus on a candidate’s ability to perform a job, regardless of race, color, religion, sex, gender, national origin or other protected category.

An inclusive workplace starts at the top and echoes throughout your company. As a business owner, you are responsible for fostering a company culture that is accepting and inclusive of all employees. Educate your team on acceptable and inclusive behavior and have strict policies in place for compliance with your diversity and inclusion initiatives. Creating a workplace where employees feel safe and accepted is essential for a successful business.

How important is diversity and inclusion in the workplace?

Employers are starting to recognize that creating a diverse and inclusive workplace is more than the morally right thing to do; it’s also great for business. For example, diverse and inclusive workplaces attract and retain top talent. In the era of globalization and technology, the best candidate may be located across the world. If you restrict your hiring criteria to make your company more accessible to one specific gender, race, nationality or other category, you significantly reduce your ability to find qualified candidates.

Reasons why diversity and inclusion is important in the workplace:

• It enhances employee recruitment and retention.
• It creates a strong company culture.
• It improves your company’s reputation.
• It increases employee engagement and morale.
• It boosts overall productivity and performance.
• It fosters creativity and innovation.

A diverse and inclusive culture means employees are supported, accepted, respected and safe at work. 

“With my experience in leadership development and DEI strategy, I’ve seen firsthand how intentional, measurable initiatives drive lasting change in Fortune 500 companies and other professional organizations,” Tamanna Ramesh, founder of Spark Careers, told us. “Small businesses have a unique opportunity to embed DEI into their DNA early on, creating workplaces where diversity thrives and innovation flourishes.” 

What are diversity and inclusion examples?

It’s all too easy to hitch on to the diversity bandwagon and send out a corporate statement about how your company supports employees from diverse backgrounds — but that is not enough. Some organizations are making real changes to improve diversity and inclusion initiatives in the workplace. 

For example, we frequently hear about large organizations like Accenture, Starbucks and Visa that have gone to great lengths to ensure their employees are listened to and respected. They have clearly defined diversity policies that reverberate through every aspect of their organizations, and they provide access to special resources for internal and external use. 

Although these companies are doing diversity right, we wanted to take a closer look at what small businesses are doing to create diverse and inclusive workplaces. Learn what these small businesses have done to get ideas for steps your business can take. 

1. Implement a diversified recruitment strategy.

Having a diverse and inclusive workplace starts with the hiring process. One effective way to do this is through a diversified recruitment strategy. This can include reaching out to a broader range of candidates, as well as using various evaluation methods. 

For example, if a person can perform well in a job without a degree, consider removing the degree from the list of job requirements. Instead, you can rely on experience and skills testing to determine the best candidate. This expands the list of applicants to those who may not have been able to afford to attend college.

“One impactful strategy is ‘equitable hiring through diversified recruitment’, including outreach to a wider range of colleges and HBCUs. Implementing skill-based hiring over credential-based hiring helps reduce bias and opens opportunities to a broader talent pool.” — Tamanna Ramesh, founder of Spark Careers

2. Use anonymous recruiting.

Your team may have internal biases that they are unaware of. You can work to remove these unconscious biases from your hiring process by facilitating anonymous recruiting. When you assess candidate applications, remove any information that may provoke bias (e.g., photos, names, gender) and compare applicants purely on their experience and credentials. This will help you choose the best candidate, while also teaching you about your own unconscious biases. 

“Structured, blind screening in the recruitment process is a key strategy we’ve put in place. Removing identifiable details such as names and photos from applications means that hiring decisions are made purely on skills, experience, and potential. This helps attract diverse talent and equal the playing field for candidates from underrepresented backgrounds.” — Kirill Bigai, co-founder of Preply

3. Reprogram any biased AI algorithms.

Humans are not the only ones with bias — sometimes technology is biased too. If you use software in your recruiting and development strategy, reassess the programming to ensure it removes all bias. This is just one additional step you can take to help make your organization diverse and inclusive. 

“We trained our artificial intelligence algorithms without the ‘personal information’ section. Our HR representatives noticed that selection algorithms sometimes shortlist the CVs of candidates based on personal data. For example, if some department is female-dominant, it will prefer the CVs of female candidates. So, we have finished this portion from the algorithm’s training.” — Rolf Bax, CMO at Career.io 

4. Invest in training and development for diverse employees.

Your employees are the future of your business, so it is vital that you invest in them. Train your team on cultural sensitivity and inclusion so they understand how to respect and support each other’s differences. Implicit bias training, cultural competence workshops and workshops on addressing microaggressions are all examples of training that can foster a more inclusive workplace. 

It is also important for workers to be trained and developed professionally. Talk to each employee to map out their career path, and provide the adequate training, development programs and support they need to reach their goals. Provide each employee with equal support and the resources necessary to excel.  

“Diversity and inclusion are cultural shifts that require commitment and a lot of patience. Our leaders make sure that they are properly engaged with their employees and continuously identify ways to enhance their good experiences throughout the organization. We invest in diversity strategies like talent development, their learning, performance management, and strategies to retain the top talent, leading them to [be] future leaders in the organization. We give them training from time to time to better implement cultural sensitivity that is important for both employers and the employees. We focus on diligence instead of their caste, creed or color.” — Nicholas Holmes, founder of The Product Reviewer 

5. Celebrate diverse holidays as a team.

One way to show your employees that you care about their cultural events, holidays and movements is to celebrate as a team. Whether this means giving your employees the day off or celebrating in the office, it is essential to acknowledge and respect the traditions and celebrations of employees from various backgrounds. Ask your team what holidays are important to them and how you can help them celebrate. This can also be a way to increase awareness and educate yourself and your team about celebrations you may not have otherwise known about.

“We always celebrate, as much as we can, different holidays that show that we support gender equality, like Gay Rights Parade or Women’s Day, and we also celebrate Martin Luther King Jr. Day to show that we respect different races, especially African Americans. We come together as a team and celebrate these special occasions to show that we support our employees.” — John Howard, founder and CEO of Coupon Lawn

6. Create a peer-to-peer buddy system.

Another great way to facilitate an inclusive environment is to use a buddy system. Pair up employees from different backgrounds to foster closer connections and a better understanding of other cultures. A team that understands each other builds the foundation for a positive company culture. This activity will also show areas where employees can improve and where they may need additional training.

“Our DEI team meets monthly, introducing various inclusive initiatives; the latest being ‘Reverse Mentoring’ — pairing senior leaders … with junior employees from diverse backgrounds, challenging traditional hierarchies and sharing experiences and perspectives. This approach fosters inclusion and promotes diversity. Senior leaders gain cultural insights and bridge generational gaps, whilst the junior employees gain leadership skills, confidence and empowerment.” — Nicki Thornley, HR Director at Space & Time

7. Incorporate your team’s diversity into your product.  

If you can find a way to incorporate your employees’ unique backgrounds and experiences to enhance your product, your business will be better for it. Diverse perspectives are essential for innovation and creativity. One business doing this well is Hummii, a chickpea ice cream startup. The company uses its team’s diverse backgrounds to its advantage by drawing on its cultural diversity to inspire new flavors.

“One initiative we plan to roll out as we grow is to have each team member share and create their own flavor and workout that represents their background. We then will all share in completing that workout and follow it up with a taste testing of that flavor.” — Tyler Phillips, founder of Hummii Snacks 

8. Use data to measure and track diversity metrics.

The only way to truly know the current state of your organization and how effective your DEI initiatives are is to measure them and track their effects. Employers can rely on AI technology and other data software to measure the current dynamics of their organization. As new diversity and inclusion initiatives are rolled out, employers can track the success of their efforts — or lack thereof.

“The advancements in data analysis and AI technology have changed the game for measuring what previously seemed unmeasurable. The AI revolution, sparked by innovations like ChatGPT, has opened up new possibilities for measuring inclusion. By analyzing large amounts of text data from employee surveys, Slack conversations, and other sources, organizations can now gain a deeper understanding of their inclusion dynamics.” — Dr. Serena Huang, F100 AI advisor and author of The Inclusion Equation: Leveraging Data & AI For Organizational Diversity and Well-being

9. Elicit feedback from diverse employees and make recommended changes.

A seemingly simple but highly effective method is to listen to your diverse employees to see what changes (both big and small) they think need to be made within your organization. Your employees are the lifeblood of your company, and they will know better than anyone what needs to change. Set up one-on-one time between employees and upper management to elicit constructive feedback on what diversity issues can be improved. Listen with intent, and ensure that each member feels safe and comfortable talking about their different perspectives, without fear of being reprimanded or judged.

“We’ve made diversity and inclusion one of our primary company objectives, with the goal of long-term sustainable change. We are setting time aside so that members of leadership are able to meet with our diverse team members one-on-one in order to listen to how they feel and get feedback on how we can make improvements to our company culture. We are also looking to diversify the models and influencers who we work with in an effort to represent all backgrounds.” — Brian Lim, CEO of The Emazing Group

10. Seek out “yes, and … ” solutions instead of “either/or.”

To create an inclusive and equitable environment, seek out “yes, and … ” solutions rather than “either/or.” This can apply to making decisions and solving problems. For example, if two people have opposing — but valid — views on how a project should be completed, look for a solution that would allow their ideas to be successfully integrated together. Expanding your mind to think in this way is great for innovation as well.

“Our primary strategy is to embrace nonbinary thinking in problem-solving and decision-making. This means challenging ‘either/or’ assumptions and looking for ‘yes, and … ’ solutions that open up possibilities rather than limiting them. For example, instead of framing decisions as trade-offs, like choosing between equity and efficiency, we ask how both can coexist and strengthen one another. This mindset helps us create systems that work for everyone, not just those who fit neatly into predefined categories.” — Amanda “Mandy” Ralston, certified as a behavior analyst and founder and CEO of NonBinary Solutions

How do you promote diversity and inclusion in the workplace?

The best way to promote diversity and inclusion at work is through a multifaceted process. In addition to the tips listed above, here are a few other steps you can take to work toward a more diverse and inclusive workforce.

• Establish and enforce strict policies: Once you create diversity and inclusion initiatives, implement strict no-tolerance policies for those who are noncompliant. Enforce your policies fairly across the board.
• Foster inclusive leadership: Leaders play a crucial role in modeling inclusive behavior, setting the tone for the company culture, and driving organizational change. Train your leaders to set an example for a culture of tolerance and acceptance.
• Engage external stakeholders: DEI doesn’t just happen within your organization. It’s important to also engage with external stakeholders. Businesses can partner with diverse suppliers, support community initiatives and engage in broader diversity efforts beyond their organization.
• Measure and track results: It’s important to measure and track the progress of DEI initiatives. Many organizations use metrics and data to assess their diversity efforts, identify improvement areas and measure their initiatives’ impact. Keep in mind, meaningful change often takes time, and it’s crucial to continue your DEI efforts beyond initial initiatives to create lasting impact.

A diverse workforce that embraces and encourages each other’s differences puts your business in the best position for long-term success. Don’t think of this as an obstacle to overcome, even if there are several areas your business needs to improve. Think of workplace diversity and inclusion as a way to enhance your business, gain a competitive advantage, and grow an organization that is respected internally and externally.

Some source interviews were conducted for a previous version of this article.