More and more every day, we are discovering why it’s important to have a team of culturally diverse employees. A solid unit made up of assorted racial ethnicities and diversified backgrounds can turn an average company into one that is a top competitor in the market.

A company that is open to hiring workers from multiple backgrounds and cultures, will have a larger pool of talent to choose from when hiring. This ensures that a company gets the ‘best of the best’ when designing their dream-team.

Consciously building a team of diverse workers also allows for various worldview perspectives. Contrary to popular belief that contradictory opinions can cause disagreements, it is actually valuable to have contradictory ideologies among team members, as it can be a huge advance for sales, branding, and marketing. Being able to easily and naturally tap into different cultural voices and opinions gives a company opportunity to open up their target demographic, engaging and appealing to untouched audiences.

Besides reaching previously untouched audiences, cultural diversity can also boost your company’s reputation and in turn increase profits, promote creativity, help employees to engage and grow through learning, help you and your team to make better-informed decisions, as well as increase the company’s overall cultural insight.

Read on to get a clearer sense of why it’s so important to diversify your team and how it leads to success.

Better Reputation and Increased Profits

In our modern-day world, customers actively search for businesses that advocate for diversity and against racism. Consumers want to know that they are working with companies that have a good heart and a solid viewpoint on sensitive topics such as race. That’s why diversity in the workplace is necessary to drive customers to your business.

A grade-A reputation for a company is like a domino effect. If your business is known for doing something for the good for the people, consumers will automatically feel drawn to take advantage of your product or service. They will want to show their support and also become an ally to the cause.

Companies that are diverse oftentimes speak out in times of conflict and uncertainty to have a voice and to advocate for their team members. This not only solidifies their ideologies and stances on issues, but it also attracts more customers who share a similar opinion and who appreciate equal employment opportunities.

With all the ‘good news buzz’ surrounding a company, naturally, profits begin to increase. A 2013 survey by the Center for Talent Innovation, concluded that 48% of businesses in the U.S. with diversity at the senior management level improved their market share from the previous year. There is a clear correlation between companies who ‘keep up with the times’ and share their voice, advocating for their diverse teams, versus companies that remain quiet during times of social and cultural stress in fear of touching on sensitive topics.

Increased Creativity

One of the most useful benefits of having a diverse team is the increase in creativity. This is due to the fact that the team is made up of people who come from different places, have various life experiences, and can offer multiple perspectives. Creativity is a plus in all aspects of a business. But, it can be a total lifesaver during problem-solving sessions.

Creative problem-solving is boosted with a diverse team due to the fact that racial and cultural backgrounds have an impact on the way a person sees an issue because of their life experiences. This is beneficial when addressing a problem because it allows for multiple solutions to be tested based on the differing perspectives of the team members. If a team did not have diversity, chances are the solutions would be much more humdrum, simple, and uninspired because they are all coming from the same cultural voice.

Increased creativity also does its job to inspire top-notch and unique marketing strategies, an engaged workplace dynamic, and changes to work processes. With a work culture that fosters and accepts employees of diverse backgrounds, it is easy for novel and brilliant ideas to cultivate, which is a critical element to any company competing in the new-age market.

Opportunity To Learn

By spending time in a diverse workplace setting, employees will have the benefit of learning about different cultures. On the surface, this just sounds like an interesting bonus of a diversified workplace, but when you dig deeper, it is easy to see how learning about other cultures can take your career to the next level.

When a team member has worked in a diverse setting, they begin to understand the world on a more global level, integrating different perspectives into their own thinking. This is a crucial part of decision-making, brainstorming, and workplace etiquette. When an employer witness ‘bigger’ ideologies outside a person’s immediate culture, they are automatically seen as a valuable member of the team because they have more to contribute outside their demographic. The ability to understand different cultures and ideas is critical for companies to grow.

Informed Decision-Making

In order to make a proper business decision, it’s important to look at multiple perspectives. The voices of different cultures are often contradictory, so being able to hear them all during an important decision-making session is extremely beneficial.

For example, if your company was marketing a product to the regions of South Asia, it wouldn’t be logical to base that plan off of previous strategies that were successful in Keywest, Florida, L.A., or any other U.S. city. A diverse team of individuals makes it easier to break down cultural walls that we see as ‘outsiders’, take a peek at what’s relevant and true to a specific demographic, and design a plan based on that.

Another benefit of culturally diverse voices working together on your team is that decisions often are more efficient and successful. They also take much less time because your team has someone that embodies a target demographic and can represent their voice in the collaborative decision-making process. This means less ‘thinking outside yourself’ and heavy-research for the other team members. Essentially, team members can teach each other.

Increased Cultural Insight

As previously mentioned, consumers like supporting companies that have a voice in relevant and timely issues, which can lead to an increase in profits and a successful business. A diverse team increases a company’s cultural insight, which is important for consumers who are advocating against ageism, racism, sexism, and other social matters.

Increased cultural insight can also lead to other bonuses for a company including access to the best talent and expanding into niche markets that they haven’t previously touched. Being able to target a new demographic will help to bring in more business by appealing to a wider range of people. Therefore, diversity can make a company grow in size, ideas, and profit.


  • How Does Diversity Increase Profits?

Workplace diversity is something many consumers look for when supporting a product or service. If a company has a good reputation with matters of diversity, their profits will naturally increase because of higher demand in service.

  • How Does Diversity Promote Creativity?

A diverse workplace promotes creativity because it allows for different perspectives to be utilized in all aspects of the business.

  • How Does Diversity Help Employees Learn?

Diversity in the workplace allows employees to learn about other cultures, which in turn, helps them to broaden their own perspectives and ideas and grow both personally and in their careers.

  • Does Diversity Help Decision-Making?

Decision-making can become more informed within a diverse setting because there are team members who represent different cultural perspectives during brainstorming sessions.

  • Why Is Cultural Insight Important To A Company?

Especially in this day and age, cultural insight can be beneficial to a company. Consumers support companies that speak out against social issues. Cultural insight can also help companies target more demographics and make their way into new territory in the market.