Creating competitive advantage through cultural dexterity
Highlights • Cultural dexterity is a business skill that enables effective collaboration and communication among people across multiple dimensions of diversity. • Collaboration within a group of diverse people, who approach problems from different perspectives, improves corporate performance. • The environment a company creates can enable—or impede— the success of its employees. • Leaders are personally accountable for creating a culture in which all employees clearly understand what success is and how to achieve it—and are actively encouraged to participate.
Facing continued economic uncertainty and concerned with the short-term demands of meeting …show more content…
Such an ability is vital for companies striving to manage change or weather crises with creativity and agility. It’s a basis for resilience.
A business imperative An increasing number of studies indicate a correlation between the number of women in management positions and corporate performance. A 2001 survey found that Fortune 500 firms with more female executives outperformed their industry medians by 34% in terms of profit as a percent of revenues and by 69% in terms of profit as a percent of stockholders’ equity.3 A 2007 survey found that among European firms, those with higher percentages of women in management saw their stock price increase 17% more than the average in a two-year period.4 These results suggest that the cognitive diversity brought by just one dimension of diversity alone may impact the bottom line. The need to recruit, retain, and motivate a diverse talent base is a business imperative.
† Audience poll at the PwC Diversity Leadership Forum.
3. Rebecca Tuhus-Dubrow. “The female advantage.” Boston Globe, May 3, 2009, final edition. 4. McKinsey & Co. 2007. Women matter: Gender diversity, a corporate performance driver. New York: McKinsey & Co.
Building a platform for success
What are the race and gender of the person leading diversity efforts at your company?† A. B. C. D.
White woman White man Woman of color Man of color
Environment plays a critical role in an