The Future of D&I in Financial Services
Diversity and Inclusion is gaining traction with all stakeholders but what lies ahead when it comes to the banking sector? Here are five potential changes
1. Switch to digital
The Covid-19 pandemic has fast-tracked significant transformation in remote and online banking. Over 35 per cent of customers have increased their online banking activity since the pandemic began. A Forbes study shows that diversity and inclusion are crucial to drive innovation and develop new ideas as they bring out a wide variety of skills and potential. To succeed in the transition, banks will need to embrace a broader and more diverse talent pool to ride the new digital wave in financial services.
2. A change in recruitment strategy
As the added value of a diverse and inclusive workforce is becoming clear, recruitment strategies will evolve, seeking to eliminate unconscious discrimination and bias, as well as improving oversight in final decision-making. An organisation’s commitment to diversity and inclusion will be measured and reflected in the talent pool it considers for hiring, retention, promotion, and selection of board members, leaders, and senior positions, according to a KPMG report.
3. More artificial intelligence
Artificial intelligence (AI) enhances client and user experience by delivering personalised services such as virtual assistants, digital payments and streamlined loan processing. Not only can AI help increase consumer engagement, it can also help to identify patterns of bias in promotion, incentivisation, and compensation schemes for a more inclusive work culture, according to Eightfold, a talent intelligence platform.
4. Utilising mentorship programs
To promote a clear and direct career path for a diverse and inclusive work force, companies will enhance mentorship programs to establish attainable career progression for under–represented groups. For example, when it comes to gender diversity, a Deloitte study showed that sponsorship programs significantly help women move up the ladder into leadership roles in financial firms. The study also found that the sponsor’s gender was less important than the support itself, suggesting that men also play a role in workplace equality.
5. Changing the company culture
Companies will also support diversity and inclusion through internal communications and marketing messages. Leadership will play a vital role in executing changes in culture by implementing new processes and setting an example. To explore more about shifting company culture, read here.