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How Diverse Leadership Teams Boost Innovation
Article

How Diverse Leadership Teams Boost Innovation


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Editorial Rating

9

Qualities

  • Analytical
  • Applicable
  • Concrete Examples

Recommendation

When consultants praise the merits of diversity in business leadership, are they actually trying to boost your bottom line or are they simply being politically correct? The Boston Consulting Group asked employees from 1,700 companies worldwide about diversity in their companies and then measured the data against revenue garnered from new products. The results should inform executives and hiring managers as they strive to assemble innovative teams.

Take-Aways

  • Companies that champion diverse leadership teams boast 45% innovation revenue compared with just 26% from companies with less diverse leadership.
  • When assembling a diverse leadership team, look for gender balance and people from different countries; they’ll provide unique perspectives.
  • Diverse leadership teams will also thrive when they include people with unique career paths and managers who’ve relocated from another industry.

About the Authors

Rocío Lorenzo, Nicole Voigt, Miki Tsusaka, Matt Krentz and Katie Abouzahr are professionals at the Boston Consulting Group.