Tokenized and Ambushed

Let’s stop the casualties from the crash of the DEI wave

Tokenized and ambushed is a catchphrase I’ve coined to describe this scenario: a veiled and failed attempt at DEI 

Tokenization and ambushing can happen to anyone.

I know firsthand, as it happened to me, and I’ve seen it happen to other people who are not like me. 

Let’s take the above scenario further

There is a growing trend in the corporate world, where entire departments and programs are, like individuals, being tokenized, ambushed, and what’s more, abandoned.

In 2020, after protests sparked by the killing of George Floyd, entire departments were created to implement diversity, equity, and inclusion programs, only to be disbanded, starting three years later.  This trend is clearly explained and corroborated by data in the Wall Street Journal article “The rise and fall of the Chief Diversity Officer” published in 2023. 

“In 2018, less than half the companies in the S&P 500 employed someone in the role, and by 2022 three out four companies had created a position … New analysis from employment data provider Live Data Technologies shows that chief diversity officers have been more vulnerable to layoffs than their human resources counterparts, experiencing 40% higher turnover. Their job searches are also taking longer.”

Recent news reports list Microsoft, McDonald’s, Walmart, Amazon, John Deere, Ford, and Harley Davidson among several prominent US companies that have scaled back or discontinued their diversity, equity, and inclusion (DEI) initiatives. 

• Microsoft declared that #DEI is no longer business critical and laid off their DEI team.
• McDonald’s is halting some of its diversity initiatives, including specific diversity goals for senior leadership and programs aimed at increasing minority representation among suppliers.
• Walmart confirmed it would not renew its commitment to an equity racial center set up in 2020 and would cease participation in the Human Rights Campaign’s Corporate Equality Index.

DEI, once the flavor of the year, has lost its zest.

Although I’m not a cynic or a critic, I somehow knew that the DEI wave would crash at some point.  There was going to be a point past which corporations would determine that they had successfully implemented their short-term, short-sighted DEI programs and could not quantify the benefits.   

In my opinion, for some institutions, DEI is a compliance issue.  Their understanding of DEI is based on meeting hiring quotas against which perceived success is measured.  Some institutions may do the politically correct window dressing in their marketing material. For these institutions, when diversity quotas are met in their employee population and replicated in their visual identity, they conclude that the need for DEI programs is obviated and therefore discontinued.  The quick-fix pathway to compliance does not create lasting cultural change. 

My understanding of DEI is that the best talent, regardless of the label on the package, is hired for the right position and groomed for success.  The search for the right and best talent must include talent packaged in people labeled visible minorities, LGBTQ2S+, those who wear hijabs, kippot, and tattoos, people with varying levels of physical abilities, and so on. 

The similar-to-me effect

DEI must be a deliberately planned and executed strategy that is constantly monitored because the similar-to-me effect is a naturally occurring dangerous trap that we are all prone to fall into. 

The similar-to-me effect is a cognitive bias that describes our inclination to prefer those like us in terms of characteristics, beliefs, or behaviors.  It’s the easy way out, or so we think.

Quotas won’t mask the similar-to-me effect. Quotas fuel tokenization and ambushing of individuals, DEI departments, and DEI programs. 

From my experience working in international institutions and with multicultural teams, there is much to be learned from multiple worldview perspectives, which very often lead to the exploration and implementation of new management practices, the understanding of untapped markets, and the expansion of new business opportunities.

I was not surprised to read the findings of a Harvard University study, which indicated that companies with greater diversity are 70% more likely to capture more markets. The study found that better business outcomes are more likely to occur when workforces are comprised of inherently diverse people and people who acquire diversity. Inherent diversity involves traits you are born with, such as ethnicity. Acquired diversity involves traits gained from experience such as selling to women, or living in a foreign country.

Here’s some further proof that diversity is not only good for business but is imperative for success.

• A McKinsey report from 2020 revealed that companies in the top quartile for gender diversity on their boards were 25% more likely to deliver above-average profitability than companies in the bottom quartile.
• In the same McKinsey report, in the case of ethnic and cultural diversity, top-quartile companies in 2019 outperformed those in the fourth quartile by 36 percent in profitability, slightly up from 33 percent in 2017 and 35 percent in 2014.

I believe that the reason for the above findings is the result of better decision-making that occurs when diverse perspectives are brought forward.  Research shows that diverse teams are better at making decisions 87% of the time than non-diverse teams.

Avoid ambushing DEI departments & programs

Individuals can reduce the risk of being tokenized and ambushed

• Be clear on your value proposition: Ensure that your talent and personal values are aligned with the hiring institution’s needs. Explain how you will add value that goes beyond corporate diversity window dressing.
• Ask for winning conditions: Negotiate early success. Ensure that there are mutually agreed and formally documented outcomes.
• Understand power dynamics and politics: Identify key supporters with the expertise and influence that you need to succeed.
• Strategic communication: Communicate needs, objectives, and outcomes by explaining the benefits to people who have a stake in the execution of your mandate.
• Emotional intelligence: Understand the motivations of others, particularly their emotional responses, as well as your own, and find appropriate ways to handle interpersonal relationships empathetically and appropriately.

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See the BIG picture. Focus on what’s important.

@Camille21162

www.camilleisaacsmorell.com