The Business Case For Diversity: Why DEI Is Essential For Success, With Malobi Achike

The Business Case For Diversity: Why DEI Is Essential For Success, With Malobi Achike

Diversity, equity, and inclusion initiatives often spark heated debate, but their importance in today’s workplace is undeniable. In a thought-provoking episode of “Notes to My (Legal) Self,” Malobi Achike, CEO and founder of DEI Directive, discusses how DEI isn’t just a moral imperative — it’s a business necessity.

From addressing professional trauma to leveraging technology for better outcomes, Malobi offers actionable insights for companies and individuals alike. Here’s a closer look at the highlights from this enlightening conversation.

The Origin Story: From Corporate Frustration To DEI Directive

Malobi’s journey began in corporate America, where she witnessed firsthand the systemic challenges and professional trauma many employees faced. Her turning point came during the early days of the pandemic, following the murder of George Floyd. The corporate response — a sea of black social media tiles — felt insufficient to her.

“I asked myself, what can organizations do better? And how can I help them do that better?”

That question led to the creation of DEI Directive, a tech platform designed to empower HR professionals with data-driven tools to foster inclusivity.

Professional Trauma: The Hidden Cost Of Inequality

Malobi highlights the subtle and not-so-subtle inequities that can create lasting professional trauma. From inconsistencies in promotions to disparities in how misconduct is addressed, employees often feel the brunt of these systemic failures.

“I’ve seen people navigate situations where their contributions are undervalued or overlooked — and it takes a toll.”

Building trust within an organization is key, she explains. Employees must feel confident that HR will advocate for fairness, not just the company’s bottom line.

DEI Misconceptions: Myths That Hold Us Back

Malobi addresses some common myths surrounding DEI:

  • DEI means hiring unqualified candidates. DEI isn’t about lowering standards. It’s about expanding access and opportunity to qualified individuals who’ve historically been excluded.
  • DEI is just about ethics. While ethics play a role, DEI has a proven business case. Diverse teams drive innovation, employee engagement, and better financial performance.
  • DEI only benefits minority groups. In reality, DEI initiatives improve workplace culture for everyone by fostering fairness, collaboration, and a sense of belonging.

The Business Case: Diversity As A Competitive Advantage

Malobi cites compelling research to underline why DEI isn’t optional:

  • Companies in the top quartile for racial diversity outperform those in the bottom quartile by 36%.
  • Gender-diverse companies see a 25% performance boost.
  • Employees who feel they belong are more engaged, productive, and likely to stay.

“When employees feel valued and included, their contributions drive the company forward. DEI is simply good for business.”

Leveraging Technology For DEI Success

Malobi emphasizes the role of technology in measuring and improving DEI outcomes. Organizations must gather quantitative data (e.g., demographics, representation at different levels) and qualitative data (e.g., employee sentiment) to truly understand their current state and where they need to go.

“You can’t change what you don’t measure. Data is the foundation for meaningful DEI progress.”

Key metrics include representation across leadership levels, pay equity, and employee perceptions of inclusion and belonging.

What Happens If You Ignore DEI?

The risks of sidelining DEI efforts are significant:

  • Talent Loss. Companies that fail to build inclusive cultures struggle to attract and retain top talent.
  • Innovation Stagnation. Homogeneous teams are less likely to challenge ideas or drive breakthroughs.
  • Market Irrelevance. As the world becomes increasingly global, companies that don’t embrace diversity risk falling behind.

Malobi likens ignoring DEI to being Blockbuster in the age of Netflix: “Which company do we still recognize today?”

Practical Steps For Leaders

  • Start Where You Are. Whether you’re a CEO or an individual contributor, small actions — like recommending diverse speakers or mentoring colleagues — can make a big impact.
  • Be Honest About Data. Use technology to assess your organization’s DEI state and identify gaps.
  • Commit to Change. Roadblocks are inevitable, but persistence is key. Doing nothing is not an option.

A Vision For The Future

Malobi believes that creating a culture of inclusion isn’t just about meeting quotas — it’s about building workplaces where everyone feels they belong.

“When employees thrive, companies thrive. DEI isn’t a nice-to-have; it’s a must-have for any organization that wants to succeed in today’s world.”

For more insights and actionable strategies, watch the full episode of “Notes to My (Legal) Self.”

(P.S.: Diversity starts with the small steps — sometimes as simple as stepping into someone else’s shoes.)

Olga V. Mack is a Fellow at CodeX, The Stanford Center for Legal Informatics, and a Generative AI Editor at law.MIT. Olga embraces legal innovation and had dedicated her career to improving and shaping the future of law. She is convinced that the legal profession will emerge even stronger, more resilient, and more inclusive than before by embracing technology. Olga is also an award-winning general counsel, operations professional, startup advisor, public speaker, adjunct professor, and entrepreneur. She authored Get on Board: Earning Your Ticket to a Corporate Board Seat, Fundamentals of Smart Contract Security, and Blockchain Value: Transforming Business Models, Society, and Communities. She is working on three books: Visual IQ for Lawyers (ABA 2024), The Rise of Product Lawyers: An Analytical Framework to Systematically Advise Your Clients Throughout the Product Lifecycle (Globe Law and Business 2024), and Legal Operations in the Age of AI and Data (Globe Law and Business 2024). You can follow Olga on LinkedIn and Twitter @olgavmack.

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