How the business case for Diversity connects the interests of all

Article 2 of 10 in the series "Diversity unites business and prosperity"

_ When everyone is successful, diversity has a positive rather than a polarising effect: good for companies, good for people and good for society - diversity as a win-win-win. _

Cologne, June 3, 2025 - A well-founded business case for diversity makes all the difference, as the latest summary of analyses by the 'European Diversity' research team shows. Beyond generic study results, a company-specific economic analysis of diversity provides the often missing basis for a meaningful and widely accepted diversity approach. For diversity combines positive financial effects and a sustainable, positive impact for employees. "Some demonise the business case for diversity, others trivialise it. Both are scientifically wrong and also harmful in practice," comments The D&I Engineer, Michael Stuber, on the current debate. Due to the recent polarisation, it is essential to identify common interests as a starting point for future approaches, he adds.

Good for the economy: share price and investment portfolios benefit from diversity

A recent analysis published on the stock portal 4investors.de summarises research results from several decades and shows that companies with conscious diversity programmes achieve above-average success on the capital markets. Accordingly, investment funds that consider diversity management also perform better than benchmark portfolios. "Results are robust across decades, methods and success criteria showing that pro-active diversity management boosts company performance," emphasises Michael Stuber. The clarity of such statements raises understandable doubts.

Good for employees: satisfaction, collaboration & sustainability

Critics question the interdependencies - and in particular the tangible contribution of diversity management to overall success. The International Business Case Report (IBCR), a compendium of 255 selected global studies from three decades, provides answers. The report documents how consciously designed diversity strengthens organisations in specific aspects - from increased productivity and better teamwork to greater innovativeness or more customer proximity. A unique feature: All studies underwent a rigorous quality check, e.g. for validity and reliability as well as against statistical bias. According to Stuber, the report explains the financial effect of D&I: "Diversity increases share prices if and when it is proactively shaped in relevant areas of a company. IBCR provides sound insights as to when, where and why this actually works," says Stuber. The _how_ must be determined in each individual case - no two companies are the same.

_Michael Stuber: "The desire to be successful unites employees, companies and investors. Diversity must therefore be neither ideological compulsion nor exclusion. As a clever, carefully crafted lever, diversity unites business and prosperity."_

From superficial references to measurable impact

Until now, many companies have based their diversity communication on seemingly ethical values or unspecific goals such as 'success' or 'attractiveness'. Such generic messages are often met with scepticism - especially in times of uncertainty or polarisation. The new analysis clearly shows: only a differentiated business case that identifies specific opportunities for your own company will create consistency and acceptance.

The D&I KnowledgeBlog de.DiversityMine.eu contains almost 2,000 articles on the value-adding design of diversity, including a category with over 300 articles on the business case of diversity https://de.diversitymine.eu/category/business-case/

Info - Box

Tips for a convincing business case for diversity

* Show the relevance: Why is diversity important for the company now?
* Identify drivers and opportunities: Making internal & external factors visible
* Demonstrate measurable benefits: Comprehensible improvements instead of general study references
* Think multi-dimensionally: diversity affects markets, teams, leadership & culture at the same time
* Pitch to all audiences: Show how all groups benefit - not just diversity groups
* Think long-term: business case as the basis for strategic action, not as a short-term 'why' message

Michael Stuber
Richard-Wagner-Str. 25
50674 Cologne
Germany
+492212221720
office@european-diversity.com

European Diversity Research stands for evidence-based, internationally experienced diversity consulting with a strategic focus. For over 20 years, Michael Stuber and his team have been developing sound D&I concepts for companies, institutions and organisations. The Engineering D&I approach combines analysis, impact and relevance - for tailor-made solutions that harness diversity as economic potential.

This release was published on openPR.