As interest in Diversity, Equity and Inclusion metrics grows, HR teams face increasing pressure from stakeholders. DEI reporting has a significant impact on attracting and retaining talent. More than three out of four job seekers consider it an important factor in evaluating employers and job offers. This type of reporting can be very meaningful for people. It could include pay gap statistics or demonstrating the support a company gives to their LGBTQ+ community. This article by MyAnova‘s Jenny Winspear explores the challenges faced and offers lessons learned to help you avoid common mistakes.
A difficult feat
It’s not easy to get meaningful DEI data. Before even beginning the analysis of DEI data, it is necessary to collect, standardise, and format the data in the correct format. Then there are the excel spreadsheets and the need to do calculations that would rival an A-Level mathematics exam. There’s also the hope of using industry research or benchmarks to help. Finally, it takes days to write commentary to try to simplify the data. The person in charge of the project will have to be able to combine a wide range of knowledge, including the need to understand the calculations, the business context and data protection laws, as well as the different reporting deadlines.
Lesson #1: Designate a resource for reporting. This is not an add-on to the desk project. It can be a steep curve for someone new to the job. They will also be on a learning journey, just like your organisation.
High sensitivity and low trust
Employees are becoming more aware of the use made of their data and are concerned with its fate. It is not uncommon for people to be reluctant to share information. This can make it difficult to manage sensitive data and respect and protect individual privacy. There are often strong opinions about the way questions are asked, for example “how gender is defined”. It’s a delicate balance to strike between excluding minority groups while not polarising the larger population. Targets and quotas are also very divisive.
Lesson #2: Messaging and communication are vital for this process. It is important to take the time necessary to do it correctly and involve the entire organisation in the process. Pilot group to test questions. With simple statements, you can help educate and inform your entire workforce about what/why/when/how data are being used. Focus on inclusion rather than targets.
The weighting of meaningful data
Data we collect is more than just percentages and numbers; it’s real people who have real concerns. Understanding and addressing the concerns of employees is crucial to maintaining an organisational culture that is positive and ensures data is treated with respect. The fear is to get the data because it might make the organization look bad. There’s also a fear of sharing the information or publishing it in case they are criticised. It is often feared that once started, it is impossible to stop and the situation could worsen. This is a worthwhile investment of time and adds a lot of value.
Lesson #3: Don’t overdo it. Make sure your action plan is realistic, timely, and realistic. Choose your top 3 to 5 (depending on how mature your business is) and focus on them. Explain why these were chosen. Measure the performance of those who are responsible for their actions, e.g. Board member bonuses are tied to the number of hours mentored by women. Just start. Put the fear aside and do it!
The Payoff
DEI reporting is worth it despite its challenges. Data-driven decision making allows businesses to focus on positive change and create action plans. The reporting requirements are increasing as the public demands transparency and equality. (See Labour’s plans on Race and Disability Reporting) It is essential to stay competitive in this war for talent. Diverse, inclusive organizations can tap into skills and talent that would otherwise go unnoticed. This boosts productivity and the economy. If you still don’t think so, check out our other content!
Read: Ten Benefits of Diversity at Work
Watch: What Gen z really cares about at work
Test your DEI reporting method with this test
