By Lauren Paul, SAP Insights
Diversity, equity, and inclusion (DEI) efforts have faced intense public scrutiny and political backlash in recent years. Yet, some companies aren’t backing down. Why? Because when done right, DEI is far more than a social justice initiative; it’s a business imperative.
Karen Brown has been at the forefront of corporate DEI efforts for over two decades, and she’s seen firsthand what works and what doesn’t. In her new book, The Leaders You Need, she outlines why many organizations have failed to generate lasting impact from their DEI initiatives and what it takes to turn things around.
We spoke with Brown to explore how leaders can reframe DEI as a driver of business performance and innovation.
Among the takeaways from our conversation:
DEI isn’t a program—it’s a strategy
It’s a common misstep: treating diversity, equity, and inclusion like a one-off campaign or a compliance checklist. But programs, by nature, are finite; they launch, they run, they end. A strategic approach, on the other hand, embeds DEI into the fabric of the business, just like technology, finance, or operations. Brown argues that the companies seeing the most success treat DEI as a core lever for performance, not a side initiative. That means aligning it with long-term business goals, dedicating meaningful resources, and holding leaders accountable for progress. Without that strategic mindset, DEI risks becoming performative and, while well-intentioned, is ultimately disconnected from real impact.
The right leadership is critical
One of the most damaging mistakes companies make is appointing DEI leaders who are passionate but unqualified. Passion matters, but so does business acumen. Brown says the ideal DEI leader understands operations, strategy, and performance metrics, because their job is to connect inclusion to bottom-line value. They should be able to sit at the executive table, speak the language of business, and influence across departments. When DEI is led by someone who doesn’t know how to drive results, the work gets marginalized and credibility suffers. Leadership must reflect not just the values of inclusion, but the ability to turn those values into action.
Inclusion drives performance
When DEI is integrated into how teams operate, not just how they communicate, it becomes a competitive advantage. Brown points to data that shows companies with inclusive cultures outperform on employee retention, innovation, and customer loyalty. Why? Because when people feel valued and heard, they perform better. And when teams are built with different perspectives, they make better decisions. The organizations thriving in today’s environment are the ones that go beyond slogans. They invest in inclusive leadership training, build feedback loops into team dynamics, and reward behaviors that foster collaboration across difference.
Ask the tough question: Who’s missing?
It sounds simple, but it’s a powerful mindset shift. Whether you’re designing a product, crafting a policy, or assembling a leadership team, asking “Who’s not in the room?” can uncover blind spots and missed opportunities. Brown challenges leaders to build this question into every decision-making process. It forces a reevaluation of assumptions and opens the door to perspectives that may otherwise be overlooked. And in a global, multicultural marketplace, that level of intentionality isn’t just nice to have; it’s essential for relevance, resilience, and growth.
Curious how to turn DEI into a strategic advantage? Read the full interview with Karen Brown.
