SCORE has released data in infographic form which shows that more diverse small businesses are more innovative and more profitable than their less diverse counterparts.
Here is the breakdown of the data showing how diversity positively impacts different aspects of a small business.
Innovation. The SCORE data shows that small businesses with above-average diversity generate 45% of their revenue through innovation. Companies with diverse management teams earn 19% higher revenue from innovation compared to their less diverse counterparts.
Revenue. Ethnic-diverse businesses are 33% and gender-diverse companies are 21% more likely to outperform their less diverse peers in terms of revenue. Small businesses that do not have a diverse team are 29% more likely to underperform.
Decision-making. The SCORE data reveals that diverse teams can make decisions twice faster with only half the number of meetings compared to their less diverse counterparts. They also produce 60% better decision results. A diverse team with different experiences and perspectives can provide new ways of thinking and innovation to their organization.
Hiring and recruitment. The survey found that 67% of job seekers consider diversity as an important factor in choosing their employers. Also, 72% are willing to leave their present employers to work for a more inclusive company.