In a study published by Harvard Business Review in 2013, it was shown that diverse teams, where individuals have different viewpoints, ideas, experiences, and even cultures, tend to be more creative and innovative (1). It has even been reported that companies with overall higher diversity outperform, on average, with higher EBITDA margins and greater revenues (2). Considering that companies are networks of people; how can we ensure the integration of innovation and productivity within the same work team?

Managing a diverse workforce can be a significant challenge for management. According to a study by MIT, similar groups of people tend to trust each other more than heterogeneous groups, and it is mentioned that individuals feel more comfortable, happier, and more committed working with people of the same gender (3). This is explained by the fact that humans are subject to an unconscious bias called affinity bias, under which we tend to seek relationships and help people similar to ourselves, while avoiding or even disliking those who are different (4). This bias threatens spaces of innovation and development within organizations, and because it is unconscious, it is much more difficult to identify and take actions to counteract it.

To understand this situation, NYU professor and researcher Paolo Gaudiano provides the example of “work twins”: imagine that a company hires two identical people for the same position, with the same competencies and skills, and the only difference is that one is male and the other is female. These two individuals should have the same performance in the company where they were hired, but in practice, their contribution to the company will be different. How do you think their experience will be?

According to the author, the answer will depend on the people with whom the twins interact daily. Each twin’s experience will depend less on the gender of the current employees and much more on how each twin is treated (5). In particular, for the female twin entering an area predominantly composed of men, it is likely that these men, without being aware, may not provide the same level of support they might offer the “male twin.” Ultimately, the result is a loss of productive capacity and innovation, which a hasty “reading” might attribute to the female twin having less potential and poorer performance.

If this is important for all companies, how can we establish appropriate conditions for diversity to allow organizations to capture all its potential?

The fundamental point in managing diversity is to focus on inclusion. Specifically, teaching the people within our organizations to accept, respect, and integrate differences is key to creating open and safe workspaces where ideas can be shared. These spaces should not have conscious or unconscious differentiations as mentioned. Without this component, efforts to be more diverse will remain just words, as confronting affinity bias can diminish commitment, efficiency, and performance, impacting team productivity and even increasing turnover.

While there may be different approaches to addressing this situation, a Harvard Business Review article proposes some practices that have been successful in enhancing diversity and inclusion in companies (6):

  • Training teams to recognize their biases – this will directly impact recruitment, the proposal of individuals for promotions, and daily interactions between colleagues, without major differences among them.
  • Practicing inclusive leadership – leaders should ensure that all team members feel they can speak, be heard, and be part of the team.
  • Leaders should make inclusion a primary goal for the organization and take responsibility for achieving it – inclusion should not be a checkbox item but a clear goal for each area that should be measured and managed like any business objective.

The above provides some key guidelines at the company level. However, even more relevant are the individual measures each person can take today. One way is to evaluate our own context and ask ourselves: “Do I identify any situations in my environment that affect inclusion? Do I feel there is space to raise these issues and be heard?” Depending on the answers, we may have identified an opportunity to work with our team. For example, by encouraging our colleagues to understand their biases and making a conscious effort to learn from the person or group they do not fully accept/integrate (7). Additionally, elements such as empathy, mutual knowledge, and communication are also key factors that will positively impact our interpersonal relationships. Your company has an important role, but you as part of it do too. We invite you to be part of the change!

Publication prepared by Carlos Barros and Esperanza Rodríguez

Sources:

(1) Hewlett, S., Marshall, M. & Sherbin, L. How Diversity Can Drive Innovation (2013). Harvard Business Review

(2) Lorenzo, R. & Reeves M. How and Where Diversity Drives Financial Performance (2018). Harvard Business Review.

(3) Fisher, S. & Mullin, S. Diversity, Social Goods Provision, and Performance in the Firm (2014). Journal of Economics and Management Strategy.

(4) 50 Ways to Fight Affinity Bias. Lean In.

(5) Gaudiano, P. Companies Should Stop Focusing on Diversity (2018). Forbes.

(6) Bourgeois, T., Jain-Link, P. & Taylor, J. Strategies for Creating an Inclusive Workplace (2020). Harvard Business Review

(7) Three Steps to Address Unconscious Bias (2020). Aperian Global.