Diversity, Equity and Inclusion (DEI) has come under the spotlight recently, with many US companies rolling back their DEI initiatives in a changing geo-political climate. This is a highly emotive topic, with many different perspectives and opinions surrounding it.
Does the changing US political climate mean that we should abandon these principles? I believe not. This is an instance where globalisation is not the same as homogenisation. There is a different conversation to be had about DEI initiatives in Africa.
Africa’s history has a critical bearing on DEI initiatives
Africa is often described as a great melting pot – and with good reason. This vast continent has a rich tapestry of cultures, languages and ethnicities. However, it also has historical, political and economic factors that have often favoured and disproportionately benefitted certain groups, leaving others marginalised based on ethnicity, gender, disability or geographical location. Inherent diversity in a country or continent does not automatically translate into equity or inclusion.
The first, and one would hope obvious, point of departure for an Africa-focused conversation about the merits of a DEI initiative is historical influence. Some countries in Africa have spent many years overcoming the imbalances wrought by a legacy of colonialism. Others, such as South Africa, seek to redress imbalances that arose from discriminatory policies such as apartheid. Whatever it may look like today, the heart of DEI aims to build fairer and more inclusive workplaces and communities.
One of the core reasons that DEI initiatives are vital in Africa is their role in promoting social and economic inclusion. By ensuring that all individuals, regardless of their background, have equitable access to opportunities, DEI initiatives help to level the playing field. This is particularly important on a continent where economic disparities are stark, and access to resources and opportunities is often unevenly distributed.
It’s not surprising, then, that South Africa and many countries across Africa have entrenched DEI principles into business and legislative structures. Rwanda, for instance, has set a global benchmark for gender representation in government, leading to significant progress on this front.
The services sector benefits from DEI initiatives
Low- and middle-income countries face challenges in creating sustainable jobs to drive economic growth. A recent report by McKinsey noted that while the focus often rests on manufacturing, services can and should play a greater role in driving economic growth. Globally, value-added trade in services now exceeds trade in goods, and services are growing faster than the total world economy. Providing jobs in the services sector is one way to mitigate migration across international borders by creating jobs of value in countries of origin.
Here, the practice of impact sourcing as a model has huge value. Impact sourcing contributes to breaking the cycle of poverty by providing stable, well-paying jobs that allow individuals to support their families and invest in their communities. Providing skilled workers at an affordable rate creates employment opportunities in regions that have been historically underserved.
Impact sourcing initiatives focus on training and employing individuals from disadvantaged backgrounds, helping to develop economic empowerment while addressing gender imbalances in the workplace. This ripple effect can lead to improved local economies and better access to education and healthcare, further addressing the systemic issues that have long plagued these regions.
Diversity has its own value for companies
There has been unevenness and even excess in the implementation of DEI targets and goals. It would be ridiculous to suggest otherwise. However, DEI initiatives are instrumental in driving innovation and organisational success. Diverse teams bring a variety of perspectives and ideas, which can lead to more creative solutions and decision-making.
It also benefits the bottom line. Research has shown that companies with diverse workforces are more likely to outperform their peers in terms of profitability and productivity. In the African context, where businesses must navigate complex and varied markets, the ability to draw on diverse perspectives is a critical competitive advantage. Impact sourcing promotes inclusivity and diversity within the workforce, which can lead to more innovative and resilient business practices.
Organisations that adopt an impact sourcing model often experience lower attrition rates, improved employee engagement, and cost-effective talent acquisition, leading to long-term operational efficiency. Employees recruited through impact sourcing initiatives tend to be highly motivated and loyal, reducing hiring and training costs over time. By tapping into a diverse talent pool, companies can benefit from a wide range of perspectives and ideas, ultimately driving better business outcomes while building a future-ready workforce.
We should all focus on creating inclusive environments
Inclusion focuses on creating environments where everyone feels welcome and valued. Surely this is something we all aspire towards in our lives? We live in a highly fragmented, polarized world, but I refuse to accept that we should turn our backs on creating spaces that are welcoming. It sounds simple enough, yet we know all too well how difficult it can be to listen to another person or group’s opposing views, to take the time and energy to really try to listen beyond rhetoric to understand someone else’s standpoint.
When appropriately and sensitively implemented, DEI initiatives contribute to social cohesion and stability. By addressing systemic inequalities and promoting inclusive decision-making, DEI initiatives help to build trust and cooperation among different groups. This is particularly important in regions with a history of conflict or tension between different ethnic or social groups. Inclusive policies can help to mitigate these tensions and foster a sense of belonging and mutual respect.
Let us also not forget that DEI does not only apply to ethnic or social groups – we must also consider the value that people with disabilities can bring to a company. Impact sourcing also benefits women, DEI initiatives align with global sustainable development goals (SDGs), particularly those focused on reducing inequalities (SDG 10) and promoting gender equality (SDG 5).
A nuanced conversation is needed
Africa is part of the global economy, but DEI initiatives are crucial for redressing historical imbalances. Companies across the continent should not be overly influenced by political debates in countries and regions that have differing priorities. Many African countries have a legacy of skewed economic structures, and limited access to job opportunities. Impact sourcing models and service sector employment opportunities can go a long way to mitigating the effects of the past and opening up economic growth for a more prosperous future.