Innovation

Diversity & Inclusion hiring began about 15 years ago, but was accelerated in many corporations in wake of the George Floyd murder in 2020. That event opened up conversations across many companies. There is a diversity of thought that comes into making more successful products that can make a company more profitable. Teams can come together to solve complex challenges using their life experiences.

The focus of diversity and inclusion hiring came from top management, including the CEO and the co-founders. At the organizations that Diana has worked at, the founders happened to come from an underrepresented group causing them to promote inclusivity even more. The leaders set the pace and clearly set the standard that this is important. They have emphasized that diversity is the foundation of excellence and is just as important as the freedom of speech. Only through a diverse marketplace of ideas can you have robust debate which leads to the best solution to problems. To support the founders in their initiatives, firms have added “people” positions such as the Chief People Officer and Head of People, who spearhead the recruitment process. Their goal is to make sure that the company isn’t just saying they care about diversity, but rather make it internally known that it is a key focus, while weaving it into the company culture. Diana noticed that if change doesn’t come from the top, it is very difficult for it to happen.

Diversity and inclusion hiring relates to Ripple Match’s mission to democratize opportunities. They aim to have an accurate representation of what the country looks like. This creates a sense of purpose for Diana because she is a first generation immigrant who was able to push her way through. She would like to pay it forward and open doors for those who may not have the same opportunities. If someone comes from an underrepresented group, their parents may not have had the networks in certain industries, causing them to not have the networks either. Someone may not have the pedigree since their parents did not go to college. The goal is to tap into people who are just as talented, who have the skill sets, and can learn to open up opportunities by introducing them to these companies. It gives them a lifetime of opportunities by being accepted into even one position. Diversity and inclusion relates back to questioning whether a firm should hire an ideal cookie-cutter candidate or if they should take in someone new for their unique perspective. The meaning behind it is to create fair and equal opportunities for all, while continuing to hire based on merit.

Inspiration

One of the founders of Ripple Match is in the Asian American community, which is an underrepresented group. The original idea for the company came about from top management and their own experiences in trying to find internship and job opportunities while being a part of that community. Even though they studied at Yale, they still struggled and continuously kept applying and getting no responses back from job boards. On top of this, companies often go to the best schools to find the best talent. However, Diana questions what these firms are doing to tap into the talent pools of schools like Baruch and St. John’s because skills and top talent can also be found there, they just may not have the visibility since the firms don’t go there to recruit. In the founder’s eyes, they realized they want to help fix this problem for candidates and they discovered they could use technology to democratize opportunities for these people to have a broader reach.

Many companies became motivated to include diversity and inclusion hiring after seeing census results which clearly showed a discrepancy between the makeup of America and people who work in different industries. It became obvious how underrepresented some groups were across organizations. Many firms simply did not have an accurate reflection of what the country looks like. If you look at the tech industry, some firms have less than 0.2% representation. It created a conversation around what companies can do to make sure they are being fair to everyone and trying to include people from different backgrounds and to encourage more ideas around change. By having a diverse workforce, everyone is able to provide different skills to enhance a business.

Overall impact

Diversity and inclusion hiring can have both short-term and long-term effects on an organization.

Short-term effects include:

Improved representation: By hiring a diverse workforce, an organization can improve its representation of different groups within society, which can positively impact its public image.

Enhanced creativity: A diverse workforce can bring different perspectives, experiences, and ideas to the table, leading to enhanced creativity and innovation in the workplace.

Increased employee satisfaction: When employees feel valued and included, they are more likely to be satisfied with their jobs, leading to higher retention rates and lower turnover.

Improved decision-making: A diverse group of employees can offer a wider range of viewpoints, which can lead to more effective decision-making.

Long-term effects include:

Improved financial performance: Studies have shown that companies with more diverse workforces tend to perform better financially, in part because they are better able to understand and serve a wider range of customers.

Increased innovation: A diverse workforce can bring new perspectives and ideas to the table, leading to increased innovation and competitiveness.

Greater social responsibility: By promoting diversity and inclusion, organizations can demonstrate a commitment to social responsibility and make a positive impact on society.

Improved reputation: Organizations that are known for promoting diversity and inclusion are likely to have a positive reputation, which can lead to increased brand loyalty and customer satisfaction.

Diana shares a McKinsey report that reflects companies that are in the top quartiles with higher percentages of diverse employees are 30% more profitable than those in the lower quartile who do not employ more diverse backgrounds. This proves that if companies and organizations hire a more diverse workforce, they are more likely to succeed. The main reason for its success is that individuals from different backgrounds and parts of life bring different points of view, insights, and strategic thinking based on their regional beliefs and character traits. Having a diverse group of people speak, connect, and sell to all different walks of life is essential because one specific individual cannot speak to the masses.

Business benefit

Diversity and inclusion hiring practices can significantly impact businesses, contributing to their success and profitability. Embracing diversity and inclusion can benefit businesses in several ways. For instance, it can attract a wider pool of talent, improve employee engagement, enhance a company’s brand reputation, and help comply with legal requirements. Overall, diversity and inclusion hiring have become essential for businesses that want to stay competitive and thrive in a global market.

Collaboration is an important aspect of any business, and a diverse workforce can bring a unique set of perspectives to the table. When individuals from different backgrounds and experiences work together, they can often relate to each other on another level. This leads to better collaboration, as people are more likely to listen and understand one another. According to the interview with Diana, this is because people are often more open to ideas that come from someone who has had similar experiences to them. As a result, a diverse workforce can lead to more effective collaboration, and ultimately, better problem-solving and innovation. In addition to improved collaboration, diversity of thought can also lead to better conversations and learning opportunities. When individuals from different backgrounds and experiences come together, they often have different ways of thinking about and approaching problems. This can lead to more robust and productive conversations, as each person brings their unique perspective to the table. Moreover, individuals can learn from each other's experiences and viewpoints. For example, someone from a different cultural background might have insights that are valuable to someone who has never experienced that culture. In this way, a diverse workforce can be an important source of learning and personal growth for all employees.

Building relationships with different multicultural organizations to keep the company name is very relevant. It shows the market that the company is focused on achieving a diverse workforce, not only speaking about it. Encouraging diverse and inclusive hiring creates more community and gives employees the opportunity to walk into work more comfortably. For a company like theirs that advocates for diverse hiring, it is critical that they sustain its brand name and create connections with groups fighting for the same cause.

Social and environmental benefit

From the interview with Diana, it is evident that when companies prioritize diversity and inclusion in their hiring practices, people from different backgrounds are brought together to work towards a common goal. This can create a sense of understanding and empathy among coworkers, as they begin to understand where each other is coming from. When people feel understood and valued, it can lead to increased comfort and a sense of purpose in their work. This can improve job satisfaction and ultimately lead to better performance. Furthermore, diversity and inclusion can help to reduce stereotypes and biases that can exist in the workplace. When people from different backgrounds come together, they can challenge each other's assumptions and misconceptions. This can lead to a more open and accepting work environment where people are judged on their skills and abilities, rather than their race, gender, or other characteristics. Stereotypes and biases can be diminished and reduced, leading to a more inclusive and respectful workplace culture. However, not all companies prioritize diversity and inclusion in their hiring practices. This can limit their ability to collaborate effectively and work towards their goals. A lack of diversity can result in groupthink and limited perspectives, which can hinder problem-solving and innovation. By bringing in a more diverse range of talent, companies can benefit from a wider range of ideas and approaches. This can lead to more effective collaboration and ultimately a more profitable organization.

Diana illustrates that it is important to be conscious of who and what you are supporting. They should be adding value around you in your everyday life to participate positively in society because support makes a large impact. It starts by being conscious of where you are spending money. Are you supporting the businesses and organizations that are led by diverse crowds? If not, then you are not reflecting the choices you make when you are in the office making decisions that promote diversity, equity, and inclusion.

In all, DEI is not solvable overnight, but proper task forces to make the right executive decisions when it comes to hiring and implementing DEI practices are what will help the workforce move towards a more equitable future.

Interview

Diana Calle, Sales Manager