Time for Singapore businesses to walk the talk on DE&I

DIVERSITY, equity and inclusion (DE&I) is one of the most hotly debated topics around boardroom tables in the Asia-Pacific, yet a new report suggests that a leadership “gap” could be holding Singapore businesses back from achieving their DE&I ambitions.

This may come as a surprise in a country where cultural and religious diversity is a proud part of national identity, and so deeply ingrained in all aspects of everyday life. But Singapore’s diverse and inclusive heritage doesn’t yet seem to be translating to enough action in the corporate world, particularly when it comes to broader social issues such as gender, economic status, disability and social class.

According to the report by FleishmanHillard, an Omnicom Public Relations Group (OPRG) agency, there is a strong desire from Singaporeans for their companies to do more to push the envelope and support their workforces on these issues. The average Singaporean sees themselves as a “bystander” or “observer” and looks to their employer to take charge. In fact, three-quarters expect their company to have a dedicated DE&I leader to shape policy and drive change, and nearly half want to receive proper DE&I training.

But despite this demand, the majority of Singapore companies seem to still be falling short when it comes to showing any leadership on DE&I and even, on a more basic level, talking to their staff about the topics that matter. This fits with a global trend – despite employees wanting more leadership on DE&I from their firms, only 3 per cent get information on DE&I from their employers, highlighting a significant gap.

The commercial case for DE&I

Urgent change is needed as, aside from the obvious benefits for employee engagement, there’s a tangible commercial benefit for companies that go further on DE&I, too.

Johnson’s Baby’s much-celebrated “Heart of a Mom” campaign is a powerful example that, if done well, DE&I can have a direct impact on brand reputation and customer loyalty. This is especially for brands targeting younger consumer segments whose buying behaviours tend to be more motivated by company ethics. This campaign in Thailand – a celebration of gender diversity in motherhood, which challenged the notion that the word “mother” is just for a woman who gives birth to a child or is traditionally female – tapped into the cultural zeitgeist and enjoyed an enormously positive response which translated into improved public reputation.

A myriad of research confirms this positive correlation between brands that embrace DE&I and their reputation. But interestingly, this new report shows that the public pays close attention to a brand’s internal policies and leadership, too. This means that brands can’t just funnel their DE&I efforts into external campaigns alone – the two must go hand in hand.

The way a company treats its employees, for example, carries huge weight in the court of public opinion, with fairness towards employees and workforce diversity cited in the research as common reasons why Asia-Pacific consumers tend to think more favourably about brands overall.

The time for action is now

This means that, as with all effective communication, brands’ DE&I approaches need to be – above all else – authentic. Companies need to get their own houses in order, and start with internal policies and employee engagement in addition to investing in external or customer activities. Johnson’s Baby has attributed some of the success of its Thai campaign in part to the fact that the company walks the talk with its internal policies and benefits for same-sex and non-married couples.

Whilst DE&I is still a relatively new concept for some sectors, this is changing fast, and what was once a “nice to have” is now a basic requirement of companies. In short, Singapore’s leaders need to do much more to push the envelope on DE&I, and they need to start now, because those that don’t are falling short of customer and employee expectations.

The writer is senior vice-president of corporate communications at Omnicom PR Group Singapore