Measuring DEI progress: A guide for people leaders

A recent Culture Amp report diving into diversity, equity and inclusion (DEI) practices unveiled serious gaps in how DEI success is measured. For people leaders aiming to reach their DEI goals, understanding these findings can offer a strategic advantage.

Current state of DEI measurement

Even though many companies know DEI is important, a substantial percentage of organizations in the U.S. and Canada don’t have the tools to effectively measure DEI metrics. Knowing the numbers behind your organization’s DEI initiatives, including your baseline and your goals, can help people leaders and executives make changes for the better.

• Only 41% of companies in the U.S. currently use a DEI measurement tool.

Barriers to DEI measurement tool adoption

While budget constraints are often the primary roadblock to adopting DEI measurement tools, there are other challenges that come into play. Addressing these challenges can pave the way for a more inclusive organizational culture.

• 30% of companies have no DEI tool budget.
• 28% say they don't have enough information to make a business case for investing in DEI tools.
• 22% say economic uncertainty factors into their DEI budgeting decisions.

Perception vs. reality in DEI adoption

A lot of people leaders feel their companies understand the importance of DEI. However, they believe the investment they put into DEI policies tell a different story. Companies need to review this gap and find ways to fix it.

• 69% of HR decision-makers sense their company's appreciation of DEI.
• A discrepancy exists between this perception and actual investments in DEI initiatives.

Ways people leaders can enhance DEI measurement

• Leadership buy-in: Build a compelling business case for DEI initiatives.
• Data collection: Collect any data you have right now using surveys and manual practices, if necessary.
• Evaluate current tools: Audit your existing technology stack to see if you have anything already implemented that can help measure DEI initiatives.
• Financial planning: Dedicate a segment of the HR budget explicitly for DEI tools and initiatives.
• Prioritize training: Introduce training sessions highlighting the importance of measuring DEI metrics, data-driven decision-making and to bridge the perception-reality gap for DEI endeavors.
• Adopt + implement: Reach and acquire or create a custom DEI measurement tool for precise results.
• Review + strategize: Regularly check DEI plans to make sure they match your organizational objectives and DEI goals.

Navigating toward a comprehensive DEI future

In a world where companies know DEI is important but DEI initiatives are not wholly integrated, people leaders are at the forefront of change. With the right tools, education and dedication, companies can go from talking the DEI talk to walking the walk. It’s up to businesses to make real changes that make workplaces fair and equal for everyone.

‍