Gen Z Mentality: Diversity Drives Innovation

In this fast-changing world, innovation is critical to the success of organisations. With the generation of “Gen Z” obsessed with technology and considered the tech-savvy and purpose-driven generation joining the workforce, it’s more crucial than ever for companies to adapt to their needs.

According to Randstad’s reports, nearly half of both Millennials (48%) and Gen Z (49%) wouldn’t accept a job that doesn’t align with their values on social and environmental issues, compared to just over a third (35%) of Baby Boomers (1).

This generation brings a new perspective regarding technology and a new perspective prioritising well-being, flexibility, and diversity when evaluating work environments. According to Deloitte, an overwhelming 77% of the current generation values diversity in the workplace (2). Thus, it became a MUST for companies to create an inclusive culture that promotes equal opportunities, cooperation, and respect for everyone.

It is about having a diverse workforce, ensuring everyone feels welcomed and appreciated, and working from their best potential to bring innovation. Companies that can meet their employees’ expectations have a significant advantage in retaining valuable team members and keeping them innovative and feeling supported.

Companies with diverse teams encompassing inherent (gender, ethnicity, etc.) and acquired (cultural experience, etc.) traits outperform their homogenous counterparts. A Harvard Business Review survey of 1,800 professionals and 40 case studies found that diverse firms are 45% more likely to report a growth in market share over the previous year and 70% more likely to report that the firm captured a new market (3).

Without diverse leadership, women are 20% less likely than straight white men to win endorsement for their ideas; people of colour are 24% less likely; and LGBTQs are 21% less likely. This costs companies crucial market opportunities because diverse contributors represent and are aware of unmet needs in under-leveraged markets. A team with a member who shares a client’s ethnicity is 152% more likely than another team to understand that client.