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Sustainable D&I
Benchmarking Report
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D&I has a clear connection
to external changes and D&I Necessary in Today’s War for Talent
trends that are increasing
pressure on the war for Shifting Generational Majority Hot Labor Market
talent.
US Civilian Labor Force Breakdown Global Unemployment Rates (2013 to 2018)
• As used here, “Generation Z”
is defined as born after 1996,
by Generation
“Millennial” as born 1981 to 2% 5% EU
1996, “Generation X” as born Greatest Generation Z 12% OECD
1965 to 1980, “Baby Boomer” U.S.
as born 1946 to 1964, and 25%
“Greatest Generation” as Baby Boomers
born before 1946. 6.9%
35% 6%
Millennials
5.3%
3.8%
33%
Generation X 0%
2013 2018
Source: Pew Research Center, “Millennials are the largest generation in the U.S. labor Source: Gartner (2019)
force,” 11 April 2018 (http://www.pewresearch.org/fact-tank/2018/04/11/
millennials-largest-generation-us-labor-force/).
Recent Headlines
How #MeToo
Why Pride
Is Reshaping
Mandatory Month Is More
Employment
Gender Important
Contracts for
Pay Gap Than Ever
Executives
Reporting
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CEOs are prioritizing and
committing to the values Commitment at the Top
of D&I and want to see
progress. CEO and Board Interest in D&I
D&I is the #1 talent 650+ CEOs have publicly Number of D&I mentions
management priority committed to the CEO during company earnings
for CEOs Action Pledge calls has increased by
17% since 2010
Source: 2018 Gartner CEO Future of HR Agenda Poll Source: https://www.ceoaction.com/. Source: Gartner analysis of earnings calls transcripts
for S&P Global 1200 and S&P 400 Midcap
indices
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Heads of D&I are seeing
this opportunity for impact Heads of D&I Taking on Key Objectives
and taking on a long list of
key business objectives in Top Business Objectives for D&I
2019. Percentage Listing Objective in the Top 5 for D&I in 2019
Long-Term Fabric
Continual Built-In Hardwired
Sustainable Lasting
DNA Embedded
Nested Rooted
Structural Integral
Inherent Engrained
Source: Gartner (2019)
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“Sustainable D&I”
means that the strategy Defining “Sustainable”
is supported by the entire
organization, measurable How to Build Sustainable Diversity and Inclusion
over time, and embedded
into existing processes.
Aligned to and owned Measured to track overall Embedded into existing talent
by the organization progress over time and business processes
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Despite their work, the
majority of D&I leaders Objective Is to “Move the Needle”
still report that the
organization has been Effectiveness at Noted Initiatives
ineffective at building Percentage of Organizations
diverse and inclusive work
environments, leaders,
and managers. 100%
Not Effective
Effective
58%
64%
80% 81%
50%
42%
36%
20% 19%
0%
Building a Fostering an Developing a Developing Diverse
Diverse Workforce Inclusive Work Diverse and Inclusive and Inclusive
Environment Leadership Bench Managers
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Survey
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Additionally, employees
don’t see how they can Employees Struggle to See Their Role
influence inclusion at
their organization and “I Believe I Have the Ability to Influence “My Organization Informs Me of Opportunities
feel they aren’t notified of Inclusion at My Organization” to Promote Inclusion in My Day-To-Day Work”
opportunities to promote
it in their daily work.
27%
33% Agree
Agree
67% 73%
Disagree Disagree
n = 9,689 n = 9,689
Source: 2019 Gartner Diversity & Inclusion Employee Survey Source: 2019 Gartner Diversity & Inclusion Employee Survey
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There are three key steps
to building sustainable Building Sustainable D&I
D&I strategies.
Three Key Steps
Act
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Building Sustainable D&I
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Building Sustainable D&I
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Most heads of diversity
and inclusion report Most Organizations Have D&I Strategies
having a strategy that
guides their function “Does Your Organization Have a D&I Strategy?” “Does Your Organization Use a Document
and sets diversity and Percentage of Organizations (e.g., Strategy Plan) to Represent Its D&I
inclusion goals for the Strategy?”
organization. Percentage of Organizations
8.9% 11%
No No
91.1% 89%
Yes Yes
n = 59 D&I leaders n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Most organizations update
their D&I strategy plans on D&I Strategy Plans Reviewed Annually
an annual basis.
“How Often Does Your Organization Update Its D&I Strategy Plan?”
Percentage of Organizations
Once a Quarter 8%
Never 0%
0% 35% 70%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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D&I leaders across
organizations build Strategy Plans Look Similar Across Organizations
strategies primarily
around similar objectives D&I Strategy Components
that impact and Percentage of Strategies That Feature Component
assess how employees
experience diversity
and inclusion at the A Mission Statement for D&I 91%
organization.
Measures of Success
83%
(e.g., Metrics, Desired Outcomes)
Other 6%
0% 50% 100%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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The majority of
organizations primarily D&I Strategy Commonly Owned by Talent Leaders
involve heads of D&I
and CHROs as key “Who Is Involved in Creating the D&I Strategy?”
stakeholders in strategy Percentage of Organizations
design.
Head of D&I 96%
Chief Human Resources Officer 85%
Head of Talent Management 51%
Senior Executive Team 47%
Head of Recruiting 47%
Chief Executive Officer 42%
Head of Learning and Development 36%
ERG Leaders 36%
HRBPs 32%
Business Unit Leaders 32%
Legal and Compliance Team 15%
General Counsel 15%
Branding and PR Team 13%
Board Members 13%
Frontline Employees 11%
Head of Total Rewards 9%
Chief Operating Officer 8%
Chief Marketing Officer 8%
Chief Strategy Officer 6%
Chief Ethics/Compliance Officer 6%
Middle Managers 4%
Chief Administrative Officer 2%
0% 50% 100%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Despite well intended
plans, organizations’ D&I Strategy Impact Diminishes During Execution
strategies lose impact
during execution as they What We Have Heard From You
are mostly reactive and
only accountable to senior
audiences.
“We realized that we weren’t getting value out of our
D&I initiatives because we were just reacting to what
we were hearing. We’re so focused on taking on
what the world thinks we should rather than what
our individual organization needs us to.”
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Most organizations have
difficulty mobilizing Your Barriers to D&I Strategy
leaders and managers
to take ownership in Percentage of Organizations Listing as Top 5 Barrier
supporting and executing
their D&I strategy.
Leaders and/or Managers Are Unwilling
to Own Roles and Responsibilities 65%
in Executing D&I Strategy
Overwhelming Stakeholder
37%
Needs and Expectations
0% 35% 70%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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The most common issues
hindering D&I strategies’ What’s Going Wrong
potential impact are
poor relevance to the Leading Breakdowns in Diversity and Inclusion Strategies
organization’s unique
challenges, and a focus on
sharing plans only at the
most senior levels. D&I Strategies’
Potential Impact
Content Delivery
Focused on making as much progress Primarily written as a decision making
on D&I goals as possible, but not guide for D&I leaders, so only they
relevant to the unique challenges are accountable for success.
of the organization.
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1 in 2 organizations
prioritize employees Your Results on Designing Employee-Centric Strategies
when designing their D&I
strategies, such as by Leading Breakdowns in Diversity and Inclusion Strategies
connecting to their needs
and values or developing
compelling initiatives.
D&I Strategies’
Potential Impact
Content
Focused on making as much progress
on D&I goals as possible, but not
relevant to the unique challenges
of the organization.
Source: Gartner (2019)
Developing Compelling
53%
D&I Initiatives
Connecting to Employees’
51%
Needs and Values
0% 30% 60%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Most organizations can
improve on delivering Your Results on Designing Employee-Centric Strategies
their strategies and
allowing employees to Leading Breakdowns in Diversity and Inclusion Strategies
challenge or appeal to
D&I-related changes.
D&I Strategies’
Potential Impact
Delivery
Primarily written as a decision making
guide for D&I leaders, so only they
are accountable for success.
59%
73% 75% 77%
50%
41%
28% 26% 24%
0%
Collecting Accurate and Ensuring That All D&I- Ensuring That All Allowing Employees to
Complete Information Related Changes Are Employee Concerns Challenge or Appeal D&I-
About Employees Before Applied Consistently Are Heard Before Related Changes Applied
Implementing D&I- Across All Affected Implementing D&I- by Their Managers
Related Changes Employees Related Changes
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Here are several steps
organizations can take Strategies for Employee-Centric Design
to design effective D&I
strategies. Key Takeaways
Additional Resource
Contact your advisor to learn about how Adobe created organization-wide ownership of D&I
progress by communicating the strategy directly to employees as a digestible story.
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Building Sustainable D&I
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D&I leaders are focused
on setting clear metrics in D&I Metrics Are a Strategic Priority
order to track progress on
D&I outcomes. Percentage Listing Objective in the Top 5 for D&I in 2019
Other 2%
0% 50% 100%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Organizations can easily
track their progress Organizations Are Making Progress on Diversity
on creating diversity
across key demographic Average Percentage of Diverse Demographic in Organizations
segments.
Generational Diversity
22% 7%
Baby Boomers Gen Z
32%
Millennials
39%
Gen X
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Organizations want to
track inclusion as a metric Organizations Want to Measure Inclusion
for overall progress.
Percentage of Organizations Where Talent Outcome Is Most Important
Individual Employee
9%
Performance
Inter-Team Collaboration 9%
0% 50% 100%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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However, less
organizations actually But Struggle to Identify the Right Approach
report tracking inclusion
and those who do are still Percentage of Organizations That Use Metric to Track D&I Progress
not sure whether their
approach is giving them
a clear understanding. Workforce Representation 100%
Other 2%
0% 50% 100%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
“Diversity is easier to measure, because you can count your workforce representation. Inclusion, however, is more
difficult to capture. How do we understand or measure the conditions by which our employees feel included?”
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Gartner’s Inclusion Index
is a seven-item battery Gartner’s Inclusion Index
that can help clients
clearly measure inclusion Elements of Inclusion
at their organizations.
n = 9,689 employees
Source: 2019 Gartner Diversity and Inclusion Employee Survey
Additional Resource
Contact your account team to request a conversation to learn more about Gartner’s Inclusion
Index and how you can use it to assess inclusion at your organization.
© 2019 Gartner, Inc. and/or its affiliates. All rights reserved. 711782 30
While over half of
organizations believe they How Organizations Perform on the Elements of Inclusion
are effective at building
trust with employees, Effectiveness at Inclusion Outcomes
they can improve on other Percentage of Organizations
key elements of inclusion
such as psychological Effective Less than Effective
safety and integrating
differences.
Trust: Employees Believe They Can Rely on Their
Organization and Others Around Them to Act 54% 46%
Truthfully and in the Best Interest of All Employees
0% 50% 100%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Organizations looking to
increase organizational Programs Offering Biggest Increase in Inclusion
inclusion should consider
the activities that increase List of the Most Effective Initiativesa Tested Against Inclusion Index
the index most.
ommitment to supplier
C Diverse interview panels Promoting diversity Flexible scheduling
diversity in succession
Diversity referrals
programs Inclusive leader training
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Here are several steps
organizations can take Strategies for Comprehensive Measurement
to better measure their
progress on inclusion. Key Takeaways
Additional Resource
Contact your advisor to learn more about Gartner’s Inclusion Index and assess whether your
D&I initiatives are yielding the results you need.
© 2019 Gartner, Inc. and/or its affiliates. All rights reserved. 711782 33
Building Sustainable D&I
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Instead of relying on
people to champion D&I Leverage Processes Over People
efforts, organizations
should focus on Percentage of D&I Leaders Who Are Primarily Benefits of Embedding D&I Into Processes
developing D&I by making Using People or Processes
changes to talent and
business processes.
“Creating processes that are structurally resistant
to bias creates consistency and ensures that
35%
D&I values are upheld no matter who is at the
Processes
organization.”
33%
People
67%
Processes
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Talent management
processes are highly Talent Management Processes Most Susceptible to Bias
susceptible to bias, and
are therefore a good place Percentage of D&I Leaders Perceiving Bias in Talent Management Processes
to start embedding D&I.
100%
88%
78% 78%
75%
69%
65%
50% 45%
39%
0%
Promotions Recruiting Performance Manager Organizational Team Total Onboarding
and/or Management Interactions Changes Interactions Rewards
Succession
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
Note: D&I Leaders were asked to select all talent processes they believed were susceptible to bias.
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While most organizations
are striving to embed Your Results on Embedding D&I
D&I into existing talent
processes, only 40% Percentage of Organizations Actively Percentage of Organizations Effective at
believe they’re effective Embedding D&I into Existing Talent Processes Embedding D&I
in doing so.
6% 12%
No Not Effective
40%
Effective
48%
Neither
94% Effective nor
Yes Ineffective
n = 59 D&I leaders n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
Those responsible for talent management processes don’t feel comfortable with the topic of D&I.
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Even though most
organizations are Current Embedding Efforts Aren’t Yielding Results
currently embedding
D&I across their talent Effectiveness at Mitigating Bias
processes, few believe Percentage of Organizations
their efforts are effective
at mitigating bias. Percentage of Organizations
Embedding D&I
Effective at Mitigating Bias
96%
Recruiting
28%
75%
Onboarding
30%
71%
Promotions And/or Succession
20%
64%
Manager Interactions
8%
61%
Performance Management
26%
54%
Team Interactions
13%
0% 50% 100%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Organizations are also
making efforts to embed Opportunity to Embed D&I Across the Business
D&I across various
business functions, Embedding D&I Into Other Functions
such as marketing and Percentage of Organizations
customer service.
Information Technology/Systems
67%
(Including Software Engineering)
Purchasing 64%
Sales (Business-to-Business
61%
and Business-to-Consumer)
Manufacturing 57%
Finance/Accounting 53%
0% 50% 100%
n = 59 D&I leaders
Source: 2019 Gartner Diversity & Inclusion Benchmarking Survey
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Here are several steps
organizations can take to Strategies for Embedding D&I Into Talent Processes
embed D&I into existing
talent processes. Key Takeaways
Additional Resource
Contact your advisor to learn about how Novo Nordisk used tactical shifts to embed D&I into
their succession management process.
© 2019 Gartner, Inc. and/or its affiliates. All rights reserved. 711782 40
Survey Methodology
and Demographics
41
We surveyed leaders
from organizations across D&I Leader Benchmarking Survey
various industries and
regions. Demographics
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We surveyed nearly
10,000 global employees D&I Employee Survey
across 20 industries and
19 countries. Demographics
© 2019 Gartner, Inc. and/or its affiliates. All rights reserved. 711782 43
We surveyed nearly
10,000 global employees D&I Employee Survey (Cont.)
across 20 industries and
19 countries. Demographics
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Our quantitative research
process consisted of two Inclusion Model Overview
stages.
Deployed Employee Surveys Conducted Data Analysis
• We deployed a survey Step 1 Step 2
and conducted statistical
analyses on business
We used multivariate linear regression to determine
outcomes. Employee Survey: We surveyed nearly 10,000 global
the impact of sustainable D&I strategies on
employees across 20 industries and 19 countries.
organizational inclusion.
Y = α + βX + γC + ∑
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We conducted extensive
primary and secondary Sample Sources for Measuring Inclusion
research to best
understand how inclusion Primary Research Secondary Research
has been defined and
measured in the past
and adapt it best for Employee Panel Surveys Academic Papers
D&I leaders. • 2016 Gartner Leadership Validation Survey • The Benefits of Climate for Inclusion
• 2019 Gartner D&I Strategy Survey for Gender-Diverse Groups (Nishii, 2013)
• Inclusion: Conceptualization and
Measurement (Jansen et al., 2014)
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