Posted by Updated November 2025
HBR on DEI Rollbacks
Researchers in 2025 continue to spotlight persistent flaws in DEI programs, such as disconnects from everyday workflows and vague guidance on applying lessons to hiring or team dynamics. As Edward Chang notes, “A lot of training talks about different concepts, but it’s not clear to employees or managers how they should be applying these concepts to their work.”
To bridge these gaps, Chang’s team crafted a behavioral science-backed DEI training pilot at a multinational engineering and telecom giant — 80 percent male-dominated and targeting hires from underrepresented groups, including women and international talent.
Delivered just-in-time via a concise seven-minute video from top executives right before resume reviews, it spotlighted actionable tactics like skill-based evaluations and building team smarts through diverse perspectives.
This approach sparks intrinsic motivation, syncing decisions with personal ethics and company ethos: “We want to be an organization that reflects the diversity of our society, both today and in the future. Try to bring someone into the team with a background, experience, or perspective that is currently underrepresented.”
To counter DEI pushback, the voluntary program tested dual framings—one overtly diversity-focused, the other emphasizing team performance gains—revealing subtle nudges can match bold calls in driving inclusive outcomes without alienating skeptics.
Do Profitable Companies Still Need Diversity?
If a company is raking in profits, does it really need to care about diversity? In Silicon Valley, where high-tech firms are dominated by white males, shareholders rarely complain as long as stock prices stay high. But in most industries, where profits don’t come as easily, leaders who ignore diversity risk losing their edge.
A lack of diversity also shuts out people who think differently — and that eventually affects retention, morale, and reputation. Talented people don’t stay, or even apply, where staff feel invisible. Research shows employees are far more engaged at companies that value community, inclusion, and purpose — the foundations of a strong culture.
Leaders who involve staff of all levels — not just at annual meetings, but in casual settings where “shop talk” is off-limits — tend to build real connection. Even remote workers benefit when given chances to engage face-to-face.
When boundaries grow too rigid, bias becomes normalized, and companies quietly lose their best talent. Many leave without saying why, assuming change is hopeless. By the time profits fall or reputation suffers, it’s often too late. As Jack Welch warned: “Change before you have to.”
Because in business, diversity isn’t charity — it’s survival.
Rethinking What Diversity Means
Diversity training isn’t about memorizing categories. It’s about how we think. Real inclusion starts with recognizing that people from different backgrounds bring different ways of solving problems. The goal isn’t political correctness — it’s open-mindedness. When teams are encouraged to listen, challenge, and learn from one another’s experiences, creativity and performance rise naturally.
Why “Thought Diversity” Drives Results
Strong programs don’t lecture; they simulate real experiences and invite authentic interaction — in the workplace, at conferences, and beyond. That’s when people notice biases they didn’t realize they held. Acceptance, not correction, sparks growth. When employees respect one another’s viewpoints and stories, customer relationships improve, too — because diverse teams understand diverse clients.
Payoffs of Workplace Diversity
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Increased creativity: Varied lifestyles, cultures, and belief systems fuel innovation faster than homogenous groups.
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Better decisions: When ideas collide, stronger solutions emerge.
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Deeper consumer insight: A boardroom that mirrors its market better anticipates customer needs.
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More productive brainstorming: Trust grows when people feel safe to contribute without judgment — the foundation of every great team.
The Future Workforce Is Watching
Diversity isn’t a trend — it’s a survival strategy. A Deloitte study found that 83 percent of millennials are more engaged when their company promotes an inclusive culture through shared team experiences. Soon, millennials will represent 75 percent of the global workforce. If you plan to retire before then, remember: those coming of age will be the ones shaping — and leading — the companies that define your legacy.
Venture Up (est. 1983) is the original team building company, helping organizations build trust and collaboration through real-world experiences.
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