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How to measure diversity in Hiring

  • By Manav Jain
  • January 28, 2023
  • 6 mins read
Measure diversity score of you hiring process
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    Creating a diverse and inclusive workforce has been an essential part of the hiring process for several companies in recent decades, and significant resources have been devoted to diversity, equity, and inclusion initiatives. Therefore, diversity and inclusion in the workplace have been a hot topic for several years. Notably, in 2020, more companies published their diversity figures and delivered on their promise to become more inclusive.

    In today’s world, knowing how to measure diversity is a significant factor to consider when hiring employees, as evidenced by the growing number of inquiries on this topic. Communicating this commitment to inclusion and diversity effectively is extremely important to attract the best possible applicants.

    In a survey conducted by Glassdoor, more than 50% of the incumbent employees wanted the workplace to dedicate more resources to enhancing diversity, and employer diversity was found to be necessary during the assessment of employment prospects by 67%. Recruitment can be further enhanced by using data from interviews to make better decisions regarding the hiring process. 

    Before we get directly to the answers, it is essential to understand why and how to measure diversity in the interview/hiring process. First, it is well known that diversity in the workforce leads to better performance in the organization. A diverse workforce increases the quality of ideas, perspectives, and overall vision. It improves how different challenges are handled, increases innovation, and helps achieve goals accurately. Moreover, the goal of diversity is the right thing to do. We must learn to overcome our unconscious biases and select people based on merit and qualifications, regardless of discrimination.

    Let us now discuss how to measure diversity in a company.

    Track essential data

    It is vital to track essential dates to understand how to measure diversity. Companies must follow the composition of their workforce to increase diversity in hiring future candidates by analyzing the current members. 

    Tracking of retention rates, such as the attrition rate of men vs women, should also be done. Metrics that can span the entirety of the hiring process, from the applicant pipeline diversity to the hiring conversion rates. Data sources such as an HRIS and ATS can be used to structure data for a thorough analysis of the diversity ratio in the workplace. Use a video interviewing tool that is specially designed to track interview data.

    Scoring Systems

    Since interview scores allow you to see if there are any systemic differences in the scoring of candidates across different areas such as demographics, their team, etc, score differences can be a source of hiring bias in the procedure. Scoring systems can take the average of scores acquired on the multiple skills tested in the interview, with each skill aligned to each role for a relatively accurate result. Statistical approaches such as a t-test and analysis of variance (ANOVA) can be used if there is a significant difference between the sample candidates, which could help narrow the skill categories and achieve an answer.

    Picture from orgnostic.com: Testing for racial differences with multiple scoring categories

    Fig 1: Testing for racial differences with multiple scoring categories (credit: orgnostic.com)

    Once a visual representation of how the candidate scores in the interview is acquired, you can use methods such as thorough job analysis and structured interviews while tracking the score. BarRaiser Global Scorecard (BGS) is another example of how the interview data is captured.

    Also Read: 5 Most Common Interview Questions And How To Answer Them

    Communicate clearly

     It is necessary to know how to measure diversity transparently and respectably and to communicate in a manner that puts the candidates at ease.  This can be done by conducting a survey. How that can be done is:

    • Openly communicating the purpose of the survey- for diversity and inclusion
    • Ensuring anonymity in the survey and data collection
    • Make the survey an optional aspect of the job application- and state clearly that it would not change the status of their job application process in any way.

    Usage of careful and respectful survey language

     The different elements of the identity of your candidates that you should be careful asking in the survey should be included but not limited to:

    • Sexual Orientation
    • Race
    • Religion
    • Sex/Gender
    • Ethnicity
    • Neurodivergent behavior/disabilities
    • Socio-economic status

    Based on those factors, the language used to assess the diversity of your prospects must be intelligent, polite, and inclusive. All communications in the hiring process (& later) should be inclusive to be more inclusive and promote diversity. 

    Analysis of the Survey

    Establish a standard for diversity.

    • Comparison of the numbers in each pipeline stage, from the initial job applications to the final candidate selections and hires. (top of the recruitment funnel to the bottom of the recruitment funnel)
    • Identify any form of inconsistencies in the promotions, perks given, and advancements based on different characteristics.
    • Identify gaps or differences in the benefits, perks, pay, and bonuses given so that every candidate has equal opportunity and feels valued as a company member.

    Thus, knowing how to measure diversity is crucial to business strategy. To help ensure a fully diverse and equitable working environment, Barraiser is committed to helping you and furthering your DEI efforts to provide an inclusive workforce using the correct procedures. At Barraiser,  we strongly advocate and believe in equality of opportunity, and therefore, we wish to discuss how much diversity truly matters to job seekers and employers.

    Also Read: Important Recruitment Metrics You Must Track In 2023

    Conclusion

    Understanding how to measure diversity is crucial in building diverse and inclusive workplaces. By actively implementing hiring strategies prioritizing diversity and adopting inclusive practices, organizations can create environments where individuals from all backgrounds feel valued and empowered.

    Being aware of the diversity of candidate meanings is fundamental to this process. It means seeking out individuals with varied backgrounds, experiences, and perspectives to bring fresh ideas and insights. Beyond checking boxes, hiring for diversity involves creating a culture that values and celebrates each team member’s contributions.

    Organizations can implement a range of strategies to measure diversity in hiring effectively. This includes actively recruiting diversity by tapping into diverse talent pools, partnering with organizations that promote inclusivity, and leveraging various job boards and recruitment channels. By casting a wider net, organizations can attract more diverse candidates and create opportunities for previously overlooked individuals. Organizations can establish metrics such as the percentage of diverse candidates in the applicant pool, interviewees, and hires. Embracing various hiring practices is equally important.

    In conclusion, comprehending how to measure diversity in hiring requires a proactive and inclusive approach by embracing hiring policies that prioritize diversity, establishing meaningful metrics, and implementing inclusive practices. Organizations can cultivate environments that celebrate diversity and harness the power of diverse perspectives. Together, let’s strive for workplaces that reflect the rich tapestry of our society and create opportunities for all.

    People also asked

    What metrics are used to measure diversity and inclusion?

    1. Representation: This measures the proportion of underrepresented groups (e.g., women, people of color, and people with disabilities) in the workforce.
    2. Hiring rate: This measures the proportion of job offers extended to underrepresented groups.
    3. Applicant-to-hire ratio: This measures the ratio of applicants from underrepresented groups to the number of hires from those groups.
    4. Employee retention rate: This measures the proportion of underrepresented employees who remain with the company over time.
    5. Promotion rate: This measures the proportion of underrepresented employees promoted within the company.

    These metrics should not be used in place of other qualitative approaches such as surveys, interviews, and focus groups. It can comprehensively understand diversity and inclusion in the hiring process.

    What are the three factors to consider while hiring for diversity?

    Some of the most important factors include:

    1. Job requirements: It is vital to evaluate job requirements and ensure that they are essential for the role rather than being based on stereotypes or biases.
    2. Recruiting processes: Organizations should review and assess their recruiting processes to ensure they are inclusive and do not perpetuate bias or discrimination. This includes developing inclusive job postings, creating diverse interview panels, and ensuring all candidates are evaluated fairly.
    3. Diversifying the candidate pool: Organizations should seek out candidates from diverse backgrounds and underrepresented groups. This includes contacting community organizations, attending diversity job fairs, and leveraging employee referrals. Additionally, organizations should consider using blind resume reviews to remove unconscious bias during the initial assessment of candidates.

    It’s worth noting that diversity is not just about race and gender. It’s also about diversity in thought, experience, skills, and background. Also, the organization’s culture, policies, and practices should be inclusive and support diversity, equity, and inclusion.

    Also Read: Explained: What Are Game Based Assessments?

    How do you design an interview scorecard?

    1. Define competencies: Identify the critical competencies required for the role and the specific skills, experience, and qualifications needed. For example, a customer service role may require strong communication skills and the ability to work well under pressure, but not necessarily a specific degree or background.
    2. Develop evaluation criteria: Develop assessment standards that correspond with the necessary skills and are founded on job-related elements. It is refraining from using measures that could continue prejudices or unfairness. For example, not using GPA or school attended as criteria for the evaluation.
    3. Assign weighting: Deciding on the relative importance of the evaluation criteria by assigning weighting to each. This will help ensure that the most critical competencies are considered most during the interview process.
    4. Consistency: Ensuring that the same evaluation criteria and weighting are applied to all candidates, regardless of their background or demographic.
    5. Review and update: Review and amend scorecards regularly to ensure they match the company’s diversity and inclusion goals and avoid prejudice.

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