J.E.D.I Work Fosters
At every level of business, we see the diversity of ideas and solutions build stronger companies and a more robust economy. This is not a zero-sum game, it is to the benefit of all of us. How? More diverse teams bring greater perspective, generate better ideas, and see around corners that prepare them to address challenges. The business case clear:
- Companies with organizational diversity yield 21% higher financial performance, and 27% higher likelihood of long-term value creation*
- Inclusive organizations enjoy 3X revenue growth **
- Diverse teams are more likely to question assumptions, remain objective, and yield more dynamic innovation **
- Goldman Sachs will no longer IPO companies that have without board diversity***
- 44% jump in average share price for companies with diverse boards vs. 13% with no diversity***
- 60% of companies with VC-backed firms did not have any women board members, no S&P 500 companies are all men***
*McKinsey and Company, Delivering Growth Through Diversity, By Vivian Hunt, Lareina Yee, Sara Prince, and Sundiatu Dixon-Fyle, January 2018
**A Great Place to Work for All by Michael C Bush and the Great Place to Work Research Team, March 2018
***CBS News, No More All-White, All Male Boards, Aimee Picche, January 24, 2020
The natural products industry must embrace a multicultural society to remain relevant
Younger workers expect multicultural and progressive work environments. Millennials (Gen Y-Z), are nearly 30% of the workforce. They prefer the dynamic of multiculturalism. Attracting and retaining a workforce for the future requires a deep dive into our systems and practices in how we do business.
The new statistics project that the nation will become “minority white” in 2045. During that year, whites will comprise 49.7 percent of the population in contrast to 24.6 percent for Hispanics, 13.1 percent for blacks, 7.9 percent for Asians, and 3.8 percent for multiracial populations.
Our Industry Impact
The natural products industry is uniquely compelled to lead in JEDI efforts, the kind that lead to the systemic change we need for a vibrant regenerative economy. America is in need of innovative solutions, business practices, and policy agendas that provide equal access to healthy living, quality high-paying jobs and careers, inspires our next generation of leaders, and become the 401K for America’s future.
The natural products industry has long been a leader in driving food and healthy lifestyle trends. Yet, we will only continue to drive innovation and growth if we shift traditional, outdated business practices and work to eliminate degenerative legislative policy.
OSC² and our partners understand that a wholistic focus on people, planet, profit is good business. Each area of focus has its own implications for responsibility, behavior, accountability, and return on investment to secure a future that is prosperous for all.
Innovation and the Bottom Line
Years of accredited research from fact tanks, business leadership institutions, and economy statisticians show that diversity (especially ethnic and gender) — within leadership, your board, employees, and customers — actually improves innovation, market share, revenue streams, productivity, employee retention/engagement, and ultimately your profit.
Many of the communities we work with and source from at home and abroad are ethnically and culturally different from the demographic make-up of companies in our industry. If companies work to diversify their employee base to better reflect these communities, they can build stronger relationships with their supply chain that employs local workers and gives back to the communities where they live, work and thrive.
Global warming hurts the most vulnerable communities hardest. Farmers represent 80% and women are 70% of people living in poverty. The health of our planet is tethered to engaging, listening to, and learning from a diversity of communities engaged in and impacted by sustainable and regenerative natural product production. Incorporating the knowledge and perspectives of diverse communities in business and in public policy contributes to a more robust and powerful movement to address the most pressing environmental crises, including climate change.
Saving Lives and Building Healthier Communities
Socioeconomic, geographic, and cultural barriers prevent people with marginalized identities from accessing healthy products, and in particular, food. Because food is central to social factors including health, education, and livelihoods, the food industry has the power to create true social change. We have a responsibility to make natural products more accessible. We know that healthy and culturally relevant food reduces rates of chronic illness, and has positive outcomes on educational performance, and helps communities thrive.
J.E.D.I Is A Business Imperative
Empirical data, academic white papers, global market economists, and most of the Fortune 500 companies have proven that diversity and inclusion is good for business. Research conducted by Boston Consulting Group reveals that in 14 countries, 96-98% of large companies (above 1,000 employees) have diversity programs. The United Nations Global Compact has more than 13,500 companies worldwide who have committed to Sustainable Development Goals (SDGs) that include gender equality, reduced inequalities, and peace and justice strong institutions, of its 17 global goals. The SEC has stepped up its stringency on requirements for diversity reporting in corporate filings. Companies have embraced that it’s the way of the world. Shareholders demand the strong performance that comes from innovation, top talent, workforce retention, supply chain management, and market share.