The Coming Wave: Top-Quartile Diversity Outperforms

Trend

When embedded into decision-making at the outset, diversity helps organizations thrive.

Most companies treat diversity as a moral obligation or HR exercise. At Black//Brown Advisory, we’ve seen it differently since our founding in 2018: diversity is a strategic revenue engine. When embedded early in process and decision-making, it drives revenue, uncovers market insight, and creates opportunities competitors miss.

Companies in the top quartile for ethnic and cultural diversity are 27% more likely to outperform peers on profitability, showing how diverse lived experiences challenge orthodoxies and spark breakthroughs. Leadership teams reflecting cultural diversity think differently, make better decisions, and capture more market share. It’s time to see employees of diverse backgrounds not as symbols of inclusion, but as sources of insight—thinkers whose perspectives fuel smarter strategies and stronger results.

Strategic Questions

• How can diversity improve profitability across my business units?

• Is diversity driving differentiation, or just documentation?

• Which leadership roles benefit most from the diverse thinking that lived experience brings?

Why it Matters

Because the next decade’s market leaders won’t just measure diversity—they’ll monetize it.

Sources

1. McKinsey