It provides information to all levels of the county workforce. The important statistics that are missing from most diversity reports. Mckinsey recently completed a follow up study to that report in which they analyzed more than 1,000 companies across 12 countries, looking at their respective profits. In this research, we looked at metrics such as financial results and the. Companies with 10 percent higher gender and ethnicracial diversity on management teams and boards in the us, for instance, had ebit that. Lessons from the leading edge of gender diversity mckinsey. For example, one chemicalindustry player looking to merge with a likesize competitor believed that the key to longterm success postmerger was opening the asian market. Management of diversity at the workplace culcpeedikav. Mckinsey conducted a national survey to understand the impact of unmet social needs on consumer health outcomes, utilization, and preferences. Mckinsey report delivering through diversity diversity uk. I feel very honoured that you showed me such confidence. Global diversity, like domestic diversity, offers rich opportunities for company growth through an increased talent pool, wider consumer base, and additional revenue streams.
This article is adapted from the report diversity matters pdf 1,732kb, which was rereleased in february 2015. Yet, global diversity and inclusion initiatives face particularly challenging aspects, such as. The first report, women matter, published in 2007, identified a positive relationship between corporate performance and elevated presence of women in the workplace in several. Stephen butler, cochair of the businesshigher education forum, believes diversity is an invaluable competitive asset robinson 2002. As many of my website followers are aware, mckinsey released a study in 2015 entitled why diversity matters covering the benefits of corporations that housed a diverse workforce and leadership. Our latest report shows not only that the business case remains robust but also that the relationship between diversity on executive teams and the likelihood of financial outperformance has strengthened over time. And it will make logistics and the supplier network. The diversity matters research looks at the relationship between the level. Feb 10, 2014 learn more about why diversity is a way of life at mckinsey. The diversity matters research looks at the relationship between the level of diversity and company financial performance. From 2005 to 2008, she was the publications bureau chief in china. The first report, women matter, published in 2007, identified a positive relationship between corporate performance and elevated presence of women in the workplace in several western european countries, including the uk, france, and germany. Values last if they are lived every day by the leadership on down. Mckinsey recently completed a follow up study to that report in which they analyzed more than 1,000 companies across 12 countries, looking at.
This article is adapted from the report diversity matters pdf1,732kb, which was. Mckinsey has been examining diversity in the workplace for several years. The first report, women matter, published in 2007, identified a positive relationship. The first report, women matter, published in 2007, identified a.
The gender diversity delusion institute of economic affairs. The research proceeded through the creation of proprietary datasets for 366 public companies across a range of industries in the united kingdom, canada. About the authors vivian hunt is a director in mckinseys london office, where dennis layton is a principal. Jan 25, 2018 new research by mckinsey concludes that gender and ethnic diversity clearly correlate with profitability, but women and minorities remain underrepresented in spite of this. Alex archie, asset president shale at bhp reports that analysis of performance metrics after introducing increased diversity and inclusion in their work teams. Diversity matters because increased diversity can lead to increased innovation7 diversity matters because diversity includes diversity of thought and avoidance of groupthink. Realizing the value of your merger with the right operating model. Companies with more diverse leadership teams make more money. In my opinion, this is one of the most cited sources that is used to justify the business case for diversity in organisations, when i say that i mean people generally use this report as evidence to support their argument when claiming that diversity is good for business, specifically because it leads to more profits. Thank you all for not only your time, but also for your courage to share, at times very painful, experiences, with me. And logistics could be at the forefront of this shift. Faculty of health sciences, durban university of technology kev words abstract. Innovative strategies for managing workforce diversity in.
The ge matrix mckinsey matrix mkm is a model to perform a business portfolio analysis on the strategic business units of a corporation. Jan 18, 2018 as a followup to its why diversity matters study in 2015, mckinsey analyzed more than 1,000 companies across 12 countries, looking at their respective profits and value creation. Diversity matters is the proactive, countywide program to support and celebrate county employees. Mckinsey has been examining diversity in the workplace for several. The important statistics that are missing from most diversity. Women matter gender diversity, a corporate performance driver. Diversity still makes companies more profitable, says mckinsey tess bennett 20180119 back in 2015 mckinsey ran the numbers and came up with the conclusion.
The effects of diversity on organizational behavior are complex and powerful aghazadeh, 2004. A read is counted each time someone views a publication summary such as the title, abstract, and list of authors, clicks on a figure, or views or downloads the fulltext. Using technology to improve workforce collaboration. The study suggests that the companies where women are most strongly represented. To learn more about diversity matters diversity matters contact. About the authors vivian hunt is a director in mckinsey s london office, where dennis layton is a principal. The integration of corporate culture is essential to a successful merger or acquisition. Blumenstein offered these reflections during an interview with joanna barsh, a director emeritus in mckinsey. Incorporating diversity and inclusion in small business. Its also increasingly clear that it makes sense in purely business terms. The new report delivering through diversity reinforces the link between diversity and company financial performance. Over the past eight decades, the firms primary objective has remained constant. The 2017 report, delivering through diversity, expands on the 2015 report, why diversity matters.
Managing diversity is a key component of effective people management in the workplace black enterprise 2001. Back in 2015 mckinsey ran the numbers and came up with the conclusion. Since why diversity matters was published in 2015, we have seen growing. Our latest research finds that companies in the top quartile for gender or racial and ethnic diversity are more likely to have financial returns.
Given the link between unmet social needs and lower socioeconomic status, respondents for this survey included adult medicare and medicaid beneficiaries as well as lowincome adults who were uninsured or. Companies with more diverse leadership teams make more money just to be sure, mckinsey repeated its analysis with a broader data set of 1,000 companies covering 12 countries. Our latest report, diversity matters, examined proprietary data sets for 366 public companies across a range of industries in canada, latin america, the united kingdom, and the united states. Mckinsey report reinforces again link between diversity. Why diversity matters southeastern connecticut cultural. Supporting employee diversity is broader than eeo and focuses beyond categories such as race, gender, and age. The pillars can always be tailored to your preexisting diversity model. Diversity still makes companies more profitable, says mckinsey. The initiatives that you undertake in each pillar are designed and structured to your unique business context and requirements. Its study entitled delivering through diversity reaffirms the global. In most cases, the approach used by a firm depends on the amount of pressure for diversity, the type of diversity in question, and managerial attitudes dass and parker, 1999. The internet of things and the future of manufacturing. If gender diversity fits with that value set, almost all the people in an organization will want to bring more of themselves to work every day.
Benefits, challenges, and the required managerial tools 2 advantages. Without leaders to champion diversity and inclusion, the analysis probably. Learn more about why diversity is a way of life at mckinsey. Dec 08, 2014 mckinsey has since expanded the focus of its research on the relationship between performance and diversity to include diversity in race and ethnicity and sexual orientation as well as gender. Combine this with a ridiculous feministinspired report on gditb. In canada, we pride ourselves on getting things right when it comes to diversity, and overall we should, but we all know that there is a long way to go before poor kids get a decent education, aboriginal communities get more respect, women break the glass. He will address the business implications of diversity in the workplace and delve deeper into the genderspecific insights the research has uncovered. Genderdiverse companies are 15 percent more likely to outperform, while ethnically diverse companies are 35 percent more likely to outperform.
They cannot be named, but without their input this book would not exist. Mckinsey 2017 delivering through diversity diversity. Diversity linked to better financial performance, report finds. Mckinsey report reinforces again link between diversity and. Its study entitled delivering through diversity reaffirms the global relevance of the link between diversity and performance. There is no single best way to manage workforce diversity. Mckinsey released a new diversity matters report that finds that the companies in the top quartile for gender and racial or ethnic diversity are more likely to outperform above national industry means. Achieving a culture that embraces gender diversity requires a multiyear transformation.
Diversity wins is the third report in a mckinsey series investigating the business case for diversity, following why diversity matters 2015 and delivering through diversity 2018. Diverse teams are still really good for business, mckinsey. To learn more about diversity matters diversity matters. Mckinsey updates its 2015 study on diversity supplierty news. About the authors rebecca blumenstein, deputy editor in chief of the wall street journal, has served since 2011 as a host of the papers women in the economy conference, for which mckinsey is the research partner. Leveraging diversity and inclusion in mergers and acquisitions. The important statistics that are missing from most. How would our country look, and would it be more peaceful and more prosperous if we were less diverse.
Why diversity matters vivian hunt, vd mckinsey uk duration. Apr 28, 2017 in addition, mckinsey state that organisations in the top 25 per cent for racial and ethnic diversity are 35 per cent more likely to have financial returns above their industry medians. Sep 28, 2017 mckinsey s report, diversity matters, was published in 2015, but in light of the growing discussion on diversity in the it industry, a summary of the results will prove helpful to many. The first report, women matter, published in 2007, identified a positive relationship between corporate performance and elevated presence of women in the workplace in several western. Apr 26, 2017 diversity has the greatest impact on innovation at companies that reinforce diversity through five conditions in the work environment. Lareina yee is a senior partner in the san francisco office.
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