Cultural diversity in the workplace: Factors that retain talent
Globalization connects countries and peoples closer together. Thanks to that, cultural diversity has gradually become a very normal concept. In the past 10 years, many businesses have focused on promoting cultural diversity in the workplace because this is the factor that helps their revenue increase significantly.
What is cultural diversity in the workplace?
Cultural diversity in the workplace is when a business decides to recruit employees from different regions, regardless of ethnicity or race, and is not influenced by cultural or religious factors. As countries gradually integrate into the international economy, companies need to pay special attention to developing their businesses in the direction of integration to keep up with world trends.
In addition to regional, ethnic and religious diversity, differences in thinking and experience are also part of cultural diversity in the workplace. The more diverse perspectives and perspectives an office environment has, the more productive the workplace will be. On the contrary, if a business lacks cultural diversity, it will reduce its ability to advance further in the marketplace.
Cultural diversity in the workplace and its impact on businesses
A culturally diverse workplace is an ideal environment for creativity
Having a diverse human resource promotes creativity in the workplace because regardless of cultural or regional differences, everyone is aiming for the same goals at work. It is even more beneficial when that goal is built, evaluated and revised in an extremely objective way. Because difference is the factor that drives innovation and creativity through many approaches and unique perspectives to arrive at the best solution to the problem.
According to an article from Forbes: “Research on creativity and innovation shows that different individuals, exposed to experiences with multiple perspectives and worldviews, create different values. It is the combination of these unique perspectives that leads to the formation of new ideas.”
Cultural diversity positively affects your business
A survey of 366 companies found that ethnic and racial diversity helps businesses achieve financial returns 35% higher than the industry average. Similarly, gender-specific companies are 15% more likely to have financial returns than average.
In addition, a culturally diverse working environment also brings a good reputation to the company. In particular, when you pay attention to minorities, the public will see the positive side of your business. Companies that recruit and encourage diversity in the workplace often have dynamic environments and always create the best conditions for employees to work and develop themselves.
When asked, 67% of job seekers tend to choose a company with a culturally diverse working environment. It not only helps businesses score points in the eyes of the public, but is also an opportunity to recruit a diverse talent source.
Businesses with diverse workplace cultures are less likely to experience employee turnover. They feel respected by the different values that the business creates and are recognized even though they are a minority. Thanks to those different values, employees will often decide to stay with the company for a long time.
The future for companies in Vietnam is very open, especially when updating and keeping up with common needs and trends of society. Building a culturally diverse working environment is not easy to do in a short time, but it is definitely a smart choice to develop your brand.