Moving DEI Leadership Out of HR: A Case for Transformative Change

The issue of diversity, equity, and inclusion (DEI) has gained significant attention in recent years, with organizations striving to address systemic inequities within their ranks. However, despite increased awareness and the creation of dedicated DEI roles, the turnover rate among Chief Diversity Officers (CDOs) remains alarmingly high. This essay supports the argument presented in the Fast Company article by Amira Barger, advocating for the removal of DEI leadership from under the control of Human Resources (HR). By examining the historical context, conflicting goals, and inherent limitations of HR, this essay reinforces the importance of giving DEI a seat at the C-suite level.

The Evolution of HR and its Limitations

The establishment of HR departments was a response to the challenges brought about by the Industrial Revolution, aimed at managing the workforce and ensuring compliance with labor laws. However, the focus of HR has primarily been on legal compliance and transactional activities, such as recruitment and risk mitigation. While HR plays a crucial role in protecting employee rights within the existing structures, it lacks the scope and transformative approach necessary to drive institutional change and equity.

DEI as a Transformation Strategy

DEI work goes beyond the purview of HR, encompassing personal/interpersonal, institutional, and cultural aspects. It involves addressing systemic inequities, fostering change management, and facilitating anti-racism work. Unlike HR’s transactional nature, DEI seeks to achieve a vision of equity, prioritize interpersonal relationships, and integrate community involvement to tackle societal issues. The misalignment between HR and DEI goals creates barriers and hampers the effectiveness of DEI initiatives.

Conflicting Goals and Limited Expertise

HR departments often prioritize protecting the company’s interests, including its brand and profitability, against potential litigious backlash. This conflict with the transparency and transformative nature of DEI can hinder progress. Additionally, HR professionals are frequently ill-equipped and lack specialized training in DEI matters. Their focus is primarily on internal policy adherence driven by external legislation, rather than effecting material change across policies, practices, behaviors, and beliefs needed for advancing equity.

CDOs Need Autonomy and Support

To ensure the success of CDOs and DEI initiatives, organizations must prioritize certain key factors. Firstly, the hiring process should be intentional, avoiding tokenization and instead seeking leaders with the necessary knowledge, skills, and experience in DEI. Secondly, CDOs require direct access to the top decision-maker and must operate at the C-suite level, reporting directly to the CEO. This structure enables integration throughout the organization and aligns DEI efforts with strategic decision-making. Furthermore, clear guidelines and measurable impact metrics should be established to assess the effectiveness of DEI initiatives.

Investing in DEI

CDOs, like other C-suite officers, require adequate resources and organizational support to drive meaningful change. This includes a dedicated budget, staffing, and the authority to implement necessary initiatives. Unfortunately, recent cuts to DEI programs indicate a misalignment of values and inconsistency in decision-making. Organizations must recognize that budgets reflect their values, and investing in DEI demonstrates a genuine commitment to change rather than performative gestures.

DEI’s Evolving Focus

Furthermore, Effenus Henderson, a convener in the development of the ISO Global Standard for Diversity and Inclusion, emphasizes the evolving focus of DEI beyond the confines of the workforce and workplace. Henderson highlights the importance of incorporating DEI principles into all aspects of an organization, including products and services, customer engagement and relationships, community relations, and the expanding connection to Environmental, Social, and Governance (ESG) initiatives. This broader scope and impact of DEI further emphasize the necessity of repositioning the CDO role and reevaluating the critical competencies required for success in driving comprehensive DEI strategies.

Incorporating Henderson’s insights, it becomes evident that DEI should no longer be limited to HR’s jurisdiction but should extend its influence across the organization. By disentangling the CDO role from HR and granting it a seat at the C-suite level, organizations can better align DEI efforts with strategic decision-making and ensure that it permeates every aspect of their operations. This repositioning will not only enhance the organization’s reputation but also enable it to thrive in an increasingly diverse and socially conscious business landscape.

To successfully navigate this expanded focus of DEI, CDOs must possess a refined skill set and critical competencies. They need to go beyond traditional HR expertise and exhibit proficiency in areas such as organizational change management, cultural competence, innovation, and community engagement. By recognizing the multifaceted nature of the CDO role and actively seeking individuals with these comprehensive skill sets, organizations can empower their DEI leaders to drive meaningful and sustainable change across all dimensions of their business.

In conclusion, the perspectives of Amira Barger and Effenus Henderson underscore the urgency to reposition the CDO role in response to the expanded focus of DEI. By extending DEI beyond the workforce and workplace and embracing its connection to products, services, customer relations, and ESG initiatives, organizations can unlock new opportunities for growth, innovation, and social impact. This necessitates elevating the CDO role to the C-suite, providing the necessary resources and support, and reevaluating the critical competencies required for success. Through these strategic shifts, organizations can harness the full potential of DEI and create inclusive cultures that drive positive change both internally and externally.

Effenus Henderson