What is a DEI Strategy? Examples and How to Create One

A DEI (diversity, equity, and inclusion) strategy is a long-term plan to build an inclusive culture, ensure fairness, and celebrate diversity. Rather than focusing only on initiatives or programs, it provides a framework for aligning DEI efforts with organizational goals.

Although it may be tempting to jump directly into launching DEI initiatives, developing a clear strategy first ensures more effective efforts and strengthens the organization's position. Learn what a DEI strategy is, common examples and questions, and the steps to create one.

What is DEI strategy?

A DEI strategy, or Diversity, Equity, and Inclusion strategy, is a framework organizations use to create an inclusive workplace where everyone is valued and supported. It includes policies to prevent bias, provide equal opportunities, and eliminate obstacles for fair access to resources and chances.

In 2021, 97% of organizations actively working on DEI had either an established diversity, equity, and inclusion strategy (56%), or were in the process of developing one (41%). That same year, the U.S. government introduced Executive Order 14035 to advance diversity, equity, inclusion, and accessibility (DEIA) across federal agencies.

Creating a comprehensive DEI strategy in the workplace can lead to various benefits, such as:

• Employees feel happier and more motivated when they are respected and valued, leading to higher employee engagement.

• Diverse identities and backgrounds contribute new, creative ideas.

• Considering various viewpoints leads to better decisions.

• Inclusive workplaces attract and retain top talent.

• Strong DEI efforts boost a company's reputation and gain public trust.

It's important to regularly reassess pay practices and DEI initiatives within an organization. Salary.com consultants can offer a framework to build a more inclusive, fair, and competitive workplace.

DEI strategy examples

To fully understand what DEI strategy is and how it can be effectively implemented, here are some diverse companies with notable DEI strategies:

Scenario 1: Gresha House

Gresham House shared its 2022 DEI strategy, which aims to improve diversity, equity, and inclusion within the company while supporting its business goals. It focused on building an inclusive culture, improving talent acquisition, career development, and recognition, and prompting a merit-based environment.

The diversity, equity, and inclusion strategy included clear objectives in six areas, with progress tracked quarterly. The goal was to create a workplace where all employees. Regardless of sexual orientation or gender, feel valued and encourage clients and partners to adopt similar values.

Key points:

• Aligns with organizational objectives and the GH25 business plan.

• Focuses on improving hiring, career growth, and recognition.

• Reviews and reports progress quarterly.

• Regular updates ensure stakeholders are aware of progress and any challenges.

• Aims to build a workplace that is diverse, inclusive, and fair.

• Sets clear goals in six areas: hiring, recruitment, career growth, training, recognition, and culture.

Scenario 2: Sunlife

For 2025, Sun Life is committed to improving diversity, equity, and inclusion (DEI) worldwide. This includes achieving gender parity in VP+ roles, increasing ethnic diversity in North American VP+ roles, and boosting Black representation in executive roles in Canada. The company will use data to identify challenges and create solutions, promote an inclusive culture, and empower leadership to lead DEI efforts. Progress will be tracked and shared annually.

Commitments for 2025:

• Achieve gender parity in VP+ roles globally by 2025.

• Achieve 25% representation of underrepresented groups or ethnicities in VP+ roles in North America.

• Increase the percentage of Black employees in executive roles in Canada to 3.5%.

• Achieve 13% Black employees at all levels in the U.S for hiring managers.

• Use data-driven insights to identify DEI barriers and opportunities.

• Foster an inclusive and respectful workplace culture.

• Empower leadership to take ownership of DEI initiatives.

• Better reflect and anticipate client needs across all business lines.

• Support communities and build relationships with socially responsible suppliers.

Scenario 3: Sage

The Sage Group's Diversity, Equity, and Inclusion strategy for the fiscal years 2022 to 2024 aims to build an inclusive, equitable, and diverse workforce. The plan outlined steps to become an industry leader in DEI by focusing on innovation, removing barriers, and supporting the success of all employees. It also highlighted the need for diverse leadership, an inclusive culture, and a zero-tolerance approach to discrimination.

Key commitments:

• Building diverse teams with varied perspectives.

• Creating an equitable culture where all ideas are valued.

• Promoting inclusive leadership and intentional development.

• Addressing biases throughout the employee lifecycle.

• Expanding educational outreach to attract diverse candidates or a diverse talent pool.

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How to create an effective DEI strategy

Developing a well drafted DEI strategy can lead to significant challenges if not thoughtfully planned and continuously evaluated. Here are the key steps:

1. Assess the current state: Analyze the workplace for areas of improvement in diversity, equity, or inclusion. Use surveys or reviews to identify challenges, and involve leadership teams to ensure commitment.

2. Consult professionals: Engage DEI experts or consultants to provide guidance and practical solutions for diversity, equity, and inclusion strategy. This can ensure effective DEI strategies are implemented.

3. Set clear DEI goals and objectives: Set specific goals like improving representation or ensuring fair pay, aligned with organizational values.

4. Develop action plans: Plan steps to meet DEI goals, like providing training, updating policies, or improving the recruitment process. Assign roles and resources for execution.

5. Track the progress and measure: Use metrics like hiring trends, retention rates, employee feedback, or employee resource groups (ERGs). Adjust DEI strategies based on the results.

Salary.com experts can help build commitment to DEI by assessing practices and providing a framework to support initiatives, ensure compliance, and boost cooperation and productivity.

FAQs

Here are answers to common questions about DEI strategy:

What does the DEI stand for?

DEI stands for Diversity, Equity, and Inclusion. Diversity is having different people, Equity is fair treatment for all, and Inclusion is making everyone feel respected and valued.

What is the golden rule of DEI?

The golden rule of DEI is to ensure everyone feels valued, respected, and included, regardless of their background. It means embracing diversity, providing equal opportunities, and involving everyone in decisions.

Why is there a backlash against DEI?

Backlash against DEI often comes from misunderstandings and resistance to change. Some believe DEI leads to reverse discrimination or values diversity over merit. Business leaders may fear it could cause division or lower performance.

What is the DEI trend in 2024?

In 2024, DEI (Diversity, Equity, and Inclusion) trends include focusing on how different social identities overlap and addressing the rollback of some DEI programs due to economic and political factors.