Spotlight on Resources: National Diversity Council

Studies demonstrate the effectiveness of diversity to increase a company’s bottom line. Any diversity and inclusion initiative must be comprehensive, well-rounded, and address company operations.

By Angeles Valenciano

It seems as if every day we encounter social commentary on diversity across industries, including technology, film and television, and finance. Increasingly, business experts and the public question whether a workplace that is not diverse and inclusive is capable of innovating, and whether companies are business leaders in the information technology age. Even though the hospitality industry has largely been underrepresented in these conversations, their reliance on a diverse workforce and their commitment to deliver memorable service positions these companies as leaders in diversity and inclusion.

Diversity plus Inclusion equals Innovation 

Today, the workplace is radically diverse. According to the U.S. Census, by 2018, women will comprise 51 percent of the total workforce. Today, people of color make up over one-third of the labor force. According to the 2011 Center for American Progress report, “Progress 2050,” by 2050 there will be no racial or ethnic majority in the United States. Many workplaces in the hospitality industry already reflect this diversity.

Other segments of the American population that do not identify as racial or ethnic also make significant contributions to our economy. These are our veterans, persons with disabilities, and the LGBTA community. To that end, businesses that embrace diversity have a greater opportunity to create loyalty and to grow with the large multicultural market we now see in the U.S.

 History has shown us that diversity is critical for the bottom-line: it has allowed companies to identify and expand to new markets, create targeted advertisement campaigns, and develop new products and services. In the 21st century, however, the knowledge economy is transforming our ideas of diversity and inclusion. In 1996, an influential article by David Thomas and Robin Ely in the Harvard Business Review revealed that diversity in workgroup collaboration delivered the highest business outcome when implemented in terms of learning-and-effectiveness. That is, business outcomes are most impacted when diverse perspectives were taken into account in redefining products and services, and re-thinking business strategies, practices, and cultures.

 Consistently, studies demonstrate the effectiveness of diversity to increase a company’s bottom line — that is, when they leverage a diverse workforce through inclusive means. For many initiatives, inclusion means creating productive communication practices, effective and transparent talent management, breaking down organizational silos, and the unison of a workforce around the company’s mission and vision. Inclusion especially is reflected in employee engagement and in workplace environments where employees feel valued and a sense of purpose and belonging.

Any diversity and inclusion initiative must be comprehensive, well-rounded, and address company operations. Ideally, diversity and inclusion should match the values of the organization, and the organization should demonstrate these values on an everyday basis. More importantly, inclusion is not passively acquired, rather, it takes a clear executive vision for the overall orientation of the organization, and a clear commitment to people and the community. Our society increasingly turns to these values to measure effective corporate practice.For instance, a 2015  survey of the Millennials — the largest and most diverse generational group — found that nine out of 10 said that they would switch brands to those companies associated with a social cause, compared to an 85 percent nationwide average. Certainly, diversity and inclusion is a long-term investment, but one that has proven to reduce employee turnover costs, increase overall employee and customer satisfaction, and create sustainable business practices.

The National Diversity Council

The National Diversity Council (NDC) is a non-partisan 501(c)3 organization dedicated to being both a resource and an advocate for the value of diversity and inclusion. Launched in fall 2008, NDC is a forerunner of community-based, national organizations that champion diversity and inclusion across the country. It is currently made up of state and regional councils, and special interest councils, including the National Women’s Council, the Council for Corporate Responsibility, the Center for Community Leadership, and the Council for Latino Workplace Equity.

With more than 300 global corporate partners, NDC provides services unique to specific diversity and inclusion needs. In a multi-pronged strategy, we engage employees, management, and executive leaders in education and training, always delivering the most recent best practices on diversity and inclusion. We offer diversity professionals a network, in which chief diversity officers, human resource professionals, public affairs officials, and others can learn from each other to implement new initiatives or improve on existing ones.

The National Diversity Council also helps our partners with branding strategies, which affect recognition and reputation of a company. Through our consulting services, including organizational assessments, interviews and focus groups, and training, we work with our partners to initiate or strengthen a diversity and inclusion strategy that aligns with their business plan.

We have also embarked on various signature initiatives to help our partners grow in diversity and inclusion and to impact their bottom line. For instance, the Women in Leadership Symposiums have become the most-attended events of the NDC, with thousands of women participating every year across 84 cities nationwide. As a result of consecutive successful events in London and Paris, in 2016 NDC established the Global Diversity Council. Alongside our corporate partners in the hospitality industry, such as Wyndham Worldwide and Welk Resorts, we envision to one day create diversity and inclusion councils to serve the unique needs of the service industry.

Lastly, NDC recognizes that diversity and inclusion is an ever-changing practice and it’s important to continue updating with shifts in demographics and workplace trends. That is why we have launched the Diversity Research Institute, with academic and professional world-renowned experts in diversity and inclusion to pioneer the next generation of education and cutting-edge research.

For any business venture to be successful in the 21st century, the company’s strategy must also meet the needs of employees and customers. Today, we live in an economy where a company’s reputation is one click away and where social responsibility drives consumer choices and employees’ choices for work. Moreover, we live in an information economy, where innovation is critical to success, and where employee engagement makes profits. Diversity and inclusion addresses this business imperative, in the most comprehensive manner possible. We invite you to take advantage of your already diverse workforce, and lead inclusion practice not only for the sake of your business, but for the future of the service industry. 

Angeles Valenciano is CEO of the National Diversity Council. She is the first female to serve as CEO for the major nonprofit.