Eight steps in developing a diversity and inclusion strategy for your small business

As Diversity and Inclusion (D&I) expert Kevin Bowsher pointed out in his recent article for BSI members, organisations are increasingly aware of the benefits of Diversity and Inclusion.

Many SMEs are on-board with this message, as reported in a recent survey. Two thirds of small business owners believe that having a diverse workforce improves performance. Six in ten (61%) of smaller firms are actively working to improve diversity and 63% believe a diverse workforce makes a business more attractive to candidates.

With many sectors facing a shortage of skilled candidates, being able to attract and retain good people is more important than ever. Almost one in three (29%) of business leaders say company culture is their main concern about staff retention. Being an inclusive and diverse workplace is an important part of establishing the right culture.

Why does D&I matter?

The best way for firms to recruit, retain and develop talent is to draw from the widest possible talent pool – that means not ruling anyone out or limiting anyone’s potential. As a basic minimum, organisations should comply with the law, which requires equal treatment of individuals with protected characteristics such as sex, race, disability, age and maternity.

Organisations should go further than meeting basic legal obligations to ensure an effective policy embraces diversity as a means for adding value and contributing to employee wellbeing and engagement, as well as being the right thing to do.

Top tips for promoting D&I in your business

It can be hard to know where to start on becoming a more diverse and inclusive organisation. But here are some ideas for getting started:

1. Follow best practice by using a standard
You might want to use BS ISO 30415, which provides guidance on human resource management, diversity and inclusion. It works for organisations of any size or sector, setting out prerequisites for D&I such as accountabilities and responsibilities, recommended actions, suggested measures and potential outcomes. Using a standard helps to ensure change is embedded, effective and measurable.

2. Create policies and standard practices
Having written policies in place will help to ensure that everyone adheres to D&I principles. It also means that expectations are set out and communicated to all employees. Compliance with these policies should be monitored throughout the full employee life cycle of recruitment, management and training.

3. Gather employee views
You might think you’re doing well on D&I - would your employees say the same? Having systems that allow employees to express views discreetly can be invaluable. This might be through informal chats, anonymous questionnaires or using an outside consultant.

4. Understand why diversity programmes often fail
If D&I is seen as just another box to tick, an initiative will prove to be only superficial. Training should ensure employees really believe in the value and importance of D&I, rather than seeing it as a policy they are required to follow. Training should focus on the why as much as the how, with business effectiveness emphasised along with fairness.

5. Focus on culture
At its heart, diversity is about respect. Working on company culture to ensure people treat each other with care, respect and consideration will help to embed D&I and prevent problems with bullying and harassment. This culture of respect usually starts with the senior team and filters down through the management system.

6. Train staff in calling out prejudice
Tackling issues such as racism, sexism and homophobia should not be seen as the work of people with those protected characteristics. All employees can be trained on how to challenge prejudice and flag up issues to management. This will create a more supportive environment.

7. Commit for the long term
D&I is not something you can ‘do’ then forget about - it has to be an ongoing commitment with regular audits, data, employee surveys, training and research to ensure your organisation stays up to date.

8. Promote openness and communication
If a worker feels unwelcome in the working environment, they might not flag it up - they might just move to a new employer, taking their knowledge and expertise with them. Encouraging openness and communication, for example through staff surveys and discussions, will help.

Standards can help you to take a rounded view of D&I and develop a comprehensive strategy.

• BS ISO 30415 - Human resource management. Diversity and inclusion
• BS 76000 - Human resource. Valuing people. Management system. Requirements and guidance
• BS 18477 - Inclusive service provision. Requirements for identifying and responding to consumer vulnerability
• BS ISO 25551:2021 Ageing societies. General requirements and guidelines for carer-inclusive organisations