The Revolving Door of Chief Diversity Officers
Chief Diversity Officer (CDO) appointments have boomed over the past few years in response to social justice movements and changing demographics of the workforce. In 2021 alone, the rate of new CDO hires was almost triple the rate of hires in the 16 months prior.
CDOs are typically hired to improve an organisation’s public image, drive cultural change, enhance business performance, retain and attract talent, respond to social and broader cultural shifts, and address internal DEI issues as and when they happen.
However, while demand for this position increases, so does turnover. Approximately 60% of CDOs who held roles in 2018 have since moved on, and many have left the CDO track altogether. Despite being the newest C-suite seat, CDOs already have the lowest tenure, with the average surveyed CDO lasting less than two years in their role.
Why do CDOs keep leaving?
In most organisations, there is an unwritten rule to never get political and to avoid talking about sensitive topics such as religion, gender, race, and disability. A CDOs role inherently challenges this by facilitating difficult conversations, making leaders face uncomfortable truths, fighting injustices, advocating for change, and getting a whole organisation to buy-in to the mission of creating a more inclusive, diverse, and equitable workplace where all employees belong.
This is not easy to accomplish, particularly when:
CDOs often lack the support, resources, and authority to actually make a difference and spend most of their time convincing others of the importance of DEI.
Some organisations may hire a CDO as a symbolic gesture or a checked box to create the appearance of diversity without addressing (or wanting to address) underlying DEI issues.
CDOs may report to leaders who do not see the value in DEI initiatives or may feel threatened by them, making it difficult for them to implement changes that address DEI issues.
CDOs may be expected to achieve quick and measurable results. However, addressing DEI issues can be complex, and true change takes time and involves a long-term, continuous effort.
Due to these barriers, CDOs face an uphill battle to improve DEI within their organisations, and often become the scapegoat when things don’t change fast enough. Inevitably, frustration and burnout occur, leading to the high turnover rates we see today.
How can organisations stop the high turnover of CDOs?
With the heightened interest of multiple stakeholders including employees and consumers regarding DEI and sustainability practices, organisations cannot afford to have a failing CDO. The intangible costs are just as important as the financial ones.
When a CDO quits, what does this say about your organisation or your brand?
How will employee perceptions of leadership commitment to DEI change?
What is the impact on your investor attractiveness?
To avoid negative ramifications, senior leader commitment to DEI must be authentic and all must buy-in to the mission of creating a more inclusive workplace. CDOs need to have access to key decision-makers – ideally reporting directly to the CEO rather than being housed within HR. They also need an adequate budget, resources, and clear goals (as well as a realistic timeline) to drive a sustainable organisation-wide DEI strategy. Finally, it is imperative that CDOs have proper data analysis technology to monitor progress and maintain accountability.
Remember, DEI isn’t just one person’s problem; it falls on every individual in an organisation to make a commitment and create long-lasting change.
The ultimate goal should be to create a workplace culture where DEI is fully embedded and integrated into all aspects of an organisation's operations, making the role of a CDO unnecessary. While this may be a long-term goal, it is essential to continue supporting and empowering CDOs as they work towards achieving DEI change and creating more inclusive workplaces.
Interested in learning more? Check out these resources:
Davidson, N. (2020). The Trouble with Chief Diversity Officers. Harvard Business Review. Retrieved from https://hbr.org/2020/06/the-trouble-with-chief-diversity-officers
Ely, R. J., & Thomas, D. A. (2021). Making Differences Matter: A New Paradigm for Managing Diversity. Harvard Business Review Press.
Frank Dobbin, Alexandra Kalev, & Erin Kelly (2021) Why Chief Diversity Officers Fail, Harvard Business Review, Retrieved from https://hbr.org/2021/09/why-chief-diversity-officers-fail
Harvey, C. (2020). The Tokenism of Hiring Black CDOs. Diverse: Issues in Higher Education. Retrieved from https://diverseeducation.com/article/190729/
Martin, R. (2021). How to Avoid Tokenism in Hiring for Diversity and Inclusion Roles. Harvard Business Review. Retrieved from https://hbr.org/2021/04/how-to-avoid-tokenism-in-hiring-for-diversity-and-inclusion-roles