E76: Social Justice – Business Disruptor or Hype Cycle?

We are currently living through a period of intense social upheaval. People are taking to the streets in every major city across the country, protesting injustice towards BIPOC, women, and the LGBT+ community – committed by their own federal and local governments.

It’s the kind of upheaval that can change a society forever, and in some places the protests are seeing results; 13 U.S. cities have cut funding from their police departments in light of the protests, and the Supreme Court just ruled that the Civil Rights Act of 1964 offers protection to LGBT+ individuals, marking a new era in trans rights.

Things appear to be moving in an inclusive and progressive direction, but there’s just one problem: we’ve seen and heard all this before. What will make this time different?

I am both hopeful and skeptical that the Black Lives Matter movement and other protests will change the hearts and minds of business leaders to implement diversity, equity, and inclusion (DEI) in their culture. I believe that DEI is essential for every business, simple because of what I learned in business school: maximize the value for shareholders.

Companies that have one-sided workforces (all white, all male, etc.) will likely have a limited perception of the world. This can limit the way a workforce views a problem, keeping them from true innovation that disrupts their industries. If existing business leaders truly want to maximize the value of their business for their stakeholders, they will need to shift their culture and embrace DEI.

If business leaders approach social justice with an innovation lens, perhaps we can take an innovative view of this season of disruption. The leaders would fit into one of the following groups:

1. Innovators: These individuals seek out novelty; it’s like a hobby for them. They are limited in numbers. Other people see them use new things and feel braver themselves about trying them.
2. Early Adopters (visionaries): Early adopters look for breakthrough opportunities, and they are willing to pay well to be first with the new approaches. This group relies on its own intuition and vision to make buying decisions.
3. Early Majority: These are practical minded consumers. If an opportunity seems useful, this group will try it. The early majority are cautious of fads.
4. Late Early Majority: These people wait for something to become well established. They don’t feel confident in their ability to deal with change and often buy from big companies.
5. Laggards: For personal and/or economic reasons, laggards are not looking to buy into new change.