It's Time to Diversify Diversity

Photograph by Thomas Barwick/Getty Images

Diversity matters—in teams and companies. In fact, recent research at McKinsey mirrors other studies of top management diversity around the world. McKinsey found that U.K., French, German, and U.S. companies ranking in the top quartile of executive-board diversity, as measured by gender and international differences, delivered returns on equity at least 50 percent higher and earnings before interest and taxes (EBIT) margins 14 percent higher than those in the bottom quartile. Not bad results, but they could be even better.

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