Companies that want to thrive in the 21st Century know one thing: They need a diverse workforce. And diversity is about more than just checking a box on a form, it is about seeing past what someone looks like into who they are as a person. Diversity of thought should be what you look for. When you hire someone, hire them for their character.
In the past year, the United States has seen major upheaval as people took to the streets to protest the death of George Floyd. They have been some of the largest protests in a generation. Many individuals and companies are hard at work figuring out how to show understanding in a time of tension. Progress is necessary, but never easy. There is a moral and business case for more diversity in your workforce. But what is it?
Building a Case for Diversity
Diversity is a personal topic for many people. Some may consider it a sensitive topic, and it certainly can be, but most of all, it is an important topic. We live in a capitalist society, but most people still believe in being fair and equitable. But in addition to being fair and equitable, there is a business case to be made for diversity in the workplace.
One Boston Consulting Group study discovered that companies who show above-average levels of diversity on their management teams also reported a higher level of innovation. In some cases, these numbers were nearly 20% higher than their counterparts. Additionally, those companies with higher diversity numbers reported EBIT margins 9 points higher than those with below-average diversity management teams.
You also need to look at recruiting and retention. We have talked a lot about the need to appeal to Millennials and Gen Z recruits. These are the individuals who will make up the future of your company. And it is these recruits who want to know the trucking companies they work for drive positive change in the world. As such, Millennial and Gen Z recruits view companies with a diverse leadership in a positive light.
Modern companies introduce diversity by focusing on race, gender, sexual identification, and age. Companies that have a diverse staff often report increased innovation and better communication. And just consider for a moment that even 20 years ago, women were not a major force in trucking. There were even a lot less African American’s operating as truck drivers. Today, that has changed.
Diversity Data
Today, all you must do is look at CDL holder data and you can see how much diversity has exploded in the trucking industry. When looking at nationwide CDL data, almost 40% of today’s CDL holders can be classified as minorities. Another 6% are women. And while 6% may not seem like much, that number was closer to 2% for nearly a hundred years. Just in the past decade, the number of women in trucking has grown dramatically.
Some trucking companies report having women in their ranks upwards of 20% – 25%. Still, many believe there could even be greater representation of women among the trucking and transportation sectors. The same goes for minorities. Just look at the demographics.
In Texas, demographics have shifted so much that white workers are in the minority. By mid-2021, the state’s demographer predicts that Hispanic individuals will make up the state’s largest population group. We see similar trends in California, New Mexico, and Arizona. Latinos have also become a large voting bloc in Georgia.
As states become more ethnically complex, companies must learn to identify with the changing demographics. Trucking companies who have a workforce that does not reflect the area they operate in may find themselves having challenges in the future. But even with a diverse workforce, what can trucking companies specifically do to foster an environment of diversity and inclusion?
Effective Communication is Key
It is important in almost every aspect of life to be a good listener. Whether you are talking to your spouse, friends, or family members, people like to be listened to. And no matter what your background or where you are from, people want to be heard. Many companies were forced to adapt when tensions were high in the U.S. due to the Black Lives Matter protests.
Companies that adapted better positioned themselves. In some cases, HR departments ran surveys and communicated with their people to find out how they could better facilitate a diverse and safe environment for effective learning and growth. Others used social media, employing Facebook LIVE seminars that employees could attend. In the end, front-line workers need to feel their concerns are being heard.
And even in cases where a fleet’s management staff may not be diverse, there is no reason why management cannot invite minority groups to be part of meetings and sessions where strategy is laid out. It is important to have voices at the table who accurately represent the diversity of your workforce, even if management does not reflect that.
We now live in an era of Zoom meetings and remote work. Many companies gather their employees together in department-wide Zoom meetings. Management can learn a lot and employees would benefit from getting together with other diverse members of the workforce.
Actions Speak Louder than Words
It is especially important to go beyond lip service. Listening is all well and good, but if you are not acting and following up on your employees’ concerns, what you say won’t account for much. It is all about what you do; what actions you put behind your words.
The problem starts with common conceptions of how companies operate today. Most Millennial and Gen Z applications tend to automatically assume that the leaders running their businesses do not actually care about diversity and inclusion.
Companies really need to make sure they address problems quickly. If someone is causing a problem, or causing other people in your organization anxiety, how you handle that is a reflection on your organization. This is especially true if you have a management crew that does not reflect the diversity of your company or area. In those cases, how management reacts says more about the company than what people say.
Many companies struggle with cynicism. It is important to keep staff upbeat and motivated. Your company should be involved with advocacy organizations. One example is the Women in Trucking Association. Organizations like these can be utilized to help companies learn more about recruiting women and minorities.
Diversity the Top Topic
To take full advantage of a diverse workforce, companies need to make sure diversity stays in a top topic status. Management must take time to celebrate diversity and raise awareness of differences between us. Companies that are at the front of this take the time to celebrate Black History month, Pride month, Asian American Pacific Heritage month, and other times when people in the organization can feel more included.
Building a truly diverse workforce involved reaching out beyond those you may traditionally prospect for a job. You must diversify your hiring methods if you want to diversify your workforce. Interact with the groups you want to recruit from, whether they be women’s groups or otherwise. Visit traditionally black colleges and universities. Companies must get involved with the communities they want to recruit from.
It is also important to know the percentages of representation within your company are. Do you know how many women work for you? Are you aware of the diversity levels among your workforces? If the numbers are too low, it may be time to do a better job.
In the end, this is about providing an environment where employees feel like their opinion is cared for, no matter where they come from. The fabric of any professional organization is its people. When your people have a conducive environment for safe conversations about diversity, everyone benefits. This is just as much about the well being of your people as it is about your bottom line.