Framework design, implementation & business case of DEI adoption in firms

Abstract

The discourse on diversity for corporations has been going on for a while. It has evolved from the need for social justice to making a business case for it. Companies are regarding diversity and inclusion as a source of competitive advantage and a key enabler of growth (Hunt et al., 2021b). Yet they are struggling to bring new diversity initiatives. One of the challenges has been in how they can convince the shareholders. The end goal of any organization is to make profits and increase value for the shareholders. While DEI initiatives can help organizations realize profits, the benefits of the DEI efforts made by different organizations will not be the same. There are several factors that influence the success of the initiatives. The nature of the company, the industry they are in, the complexity of the processes, and so on determine which initiatives they must take to improve the profits. In this research, we have analysed these factors and have provided a framework to understand the best DEI strategies suited for the companies. We have also provided specific actions the companies have to perform to maximize the business effect of DEI integration.