The latest HR Research Institute (HRRI) report highlights two critical challenges in the fight for diversity, equity, inclusion, and belonging (DEIB).
 

• First, only 28% of organizations have reached advanced DEIB maturity, indicating an urgent need for improved practices.
• Second, U.S. culture wars have led to debates about DEIB's value, resulting in a decline in DEIB roles, fewer chief diversity officer hires, and reduced government funding.  

Despite this, many C-suite executives remain committed to fostering diversity and belonging. The report examines current DEIB initiatives, their effectiveness, and identifies key strategies for success in creating truly inclusive workplaces.

Key Findings

• Most organizations lack DEIB maturity, and their initiatives are not effective enough.
• HR is primarily responsible for DEIB in about half of organizations.
• Organizations aim to build a culture of trust through DEIB initiatives but are hampered by a lack of time and leadership support.
• Organizations increasingly rely on basic workforce data to measure the current state of DEIB.
• Many organizations could do considerably better in their DEIB-related L&D.
• Relatively few organizations leverage specific DEIB initiatives to a high or very high degree, but many offer certain benefits that can incentivize equity-deserving groups.

DEIB Today and Over the Years

The increased focus on DEIB over the past years has shown mixed results in improving the maturity of the function.
 

• Only 7% of organizations report that DEIB is at an expert level, fully integrated into their culture and strategic goals.
• About 21% are at an advanced stage with a strategic framework and metrics in place.
• Over a third are at an intermediate stage with some DEIB initiatives but lacking strategic importance and measurement of success.
• Two-fifths are at the undeveloped or beginning stage, focusing mainly on compliance without strategic linkages.

Interestingly, since 2023, there has been a sharp increase in organizations ranking their DEIB functions as advanced or expert, possibly due to increased investments in systemic changes and local-level mentorship initiatives despite the political criticism of DEIB efforts.

DEIB at Leadership Levels

Assessing DEIB effectiveness can be done by examining the representation of diverse groups at all organizational levels. Our report reveals:

Underrepresentation of Women in Leadership:

• Nearly a third of organizations have less than 20% female representation in top leadership.
• Another quarter has just 21% to 40% female leaders.
• Only one-fifth of organizations have women-dominant leadership, with 61% or more top leaders being women.

Lack of Racial/Ethnic Minority Leaders:

• 66% of organizations report that racial/ethnic minorities constitute less than 21% of their top leaders.
• This is a significant gap, as racial/ethnic minorities make up about 41% of the U.S. population.

Challenges Faced by Minority Groups:

• Minority employees often encounter microaggressions and unrealistic performance benchmarks.
• Leaders from minority groups inspire and empower minority employees, contributing to better organizational outcomes.

Change takes time, but improving DEIB at leadership levels is crucial for long-term success and fostering an inclusive workplace.

DEIB Responsibility

HR plays quite a pivotal role in DEIB in many organizations. In over half of organizations, the Chief HR Officer (18%), a specific person within the HR department (16%), or the HR department as a whole (18%) is primarily responsible for DEIB issues, programs, and policies.

However, in over a quarter of organizations, the responsibility falls on the DEIB function, either the Chief of DEIB (11%) or the DEIB department (18%).

We asked respondents about the connection between HR and DEIB function, and just over a quarter say there is no DEIB department, function, or representative in their organization. Even when there are DEIB functions, they are almost always a subset of the HR department (45%) or work closely with HR (19%). In only 3% of cases, DEIB is separate from HR and yet, fails to work closely with it.

Design and Implementation of DEIB Initiatives

DEIB initiatives are a critical component of an organization’s DEIB strategy. However, many organizations view their DEIB initiatives as ineffective. What goals drive these initiatives, and what prevents them from being effective?

Is DEIB Today All Talk and No Action?

We surveyed organizations to determine their engagement in specific DEIB initiatives. The findings reveal that most organizations engage in these initiatives to a low or very low degree. However, some practices are more commonly implemented:

• High Engagement:
• Low Engagement:
These results highlight the need for organizations to increase their commitment and actions toward DEIB initiatives to achieve more substantial progress.

How Well Are Organizations Measuring DEIB?

Metrics help demonstrate the effectiveness of DEIB initiatives and allow organizations to benchmark progress toward DEIB goals. However, a lack of metrics is cited as a major barrier to the effectiveness of initiatives. What approaches are organizations taking to measure DEIB?

Diversity can take on many forms. Most organizations consider and track race/ethnicity (71%), age (57%), disabilities (55%), and gender identity (49%). Over two-fifths also consider and track veteran/military status (48%) and legal gender (40%). Over one in ten organizations don’t track any of these.
A small majority of organizations measure the current state of DEIB with employee surveys (52%). Over two-fifths rely on workforce data (46%), pay equity data (42%), and employee retention data (42%). However, 18% of organizations do not engage in measurement at all.

The success of DEIB initiatives in leader organizations can be attributed, at least in part, to better utilization of DEIB metrics. This allows them to comprehensively measure, benchmark, and improve their DEIB initiatives. It also allows them to demonstrate the outcomes of DEIB initiatives in measurable terms, which improves their credibility and can lead to greater leadership buy-in.

For valuable insights and key takeaways from this study, download the complete report.
 
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