Ask an Adviser: What can we do to avoid the pitfalls of DEI initiatives?

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Welcome to Ask an Adviser, EBN’s new weekly column in which benefit brokers and advisers answer (anonymous) queries sent in by our readers. Looking for some expert advice? Please submit questions to askanadviser@arizent.com. This week, we asked Nadja-Timea Scherrer, VP and sustainability communication strategist at the social impact boutique Plus305, to weigh in on the following: What can we do to avoid the pitfalls of DEI initiatives?    

There are many reasons diversity, equity and inclusion (DEI) initiatives fail, with one of them being that people don’t like to be uncomfortable. DEI is all about finding comfort in discomfort, because it stirs up topics around identity. And identity is almost entirely based on unconscious brain processes. Questions of identity are fundamental to how we communicate with each other. We all have our own unconscious biases — DEI experts included. In turn,  DEI is prone to conflicts and misunderstandings.

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For real inclusion to happen, it is very beneficial for businesses to create a culture where mistakes are accepted. It is also advisable to move away from an either/or type of culture, and instead learn how to integrate opposing views so they can work alongside each other. After all, we don’t have to agree on everything, and we can agree to disagree. But if we cannot name things or talk about them, we can’t change them. That is why it is so crucial to keep the dialogue alive, even if it is uncomfortable. 

It is worth noting that we all have layers of identity, also known as intersectionality. For example, a woman who is Black and gay will most probably have a very different experience in the corporate world than a white straight woman. Due to the overwhelming complexity of the topic, there is also a tendency to simplify it.

It’s important to understand that DEI is not just an HR topic. It is a corporate-culture topic, a brand topic, a board topic, a middle-management topic. Authentically and efficiently embedding DEI into a corporate DNA, therefore, requires a certain approach. Any significant culture change must simultaneously attend to the inter-relationship between behaviors (i.e., infrastructure and structure) and mindset (i.e., superstructure).

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Mindset changes take time and need an environment in which they can be reinforced and transformed into behavior. Just think about how long it takes us to engage in more sports. If we are surrounded by sports-loving people and sports facilities, we might take up these activities faster and maintain them for longer periods. Culture is how we feel and act at every touchpoint with every stakeholder. But many businesses are still operating in silos. That is why it is important to incorporate DEI into the business strategy in an agile way so that we can also address today’s constant and unpredictable change in certain industries. 

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