McKinsey’s Diversity wins: How inclusion matters report, released in May 2020, reinforces that a commitment to diversity is a winning strategy. The firm’s study of ethnic and cultural diversity in 2019 demonstrates that “top quartile companies outperformed those in the fourth one by 36 percent in profitability.”
While the stats confirm the financial imperative and innovation gains of diversity, McKinsey states that “…some companies appear to be viewing [Inclusion & Diversity] as a ‘luxury we cannot afford’ during the [COVID-19] crisis.”
Venture capital is an industry fueled by innovation; diverse perspectives are required to find the most promising technology or founding team that others won’t find. The potential of a more inclusive VC ecosystem motivated our commitment to Included VC in June. Transforming our networks — inviting more diverse voices to the table — will fundamentally level up the pace of innovation.
As the startup ecosystem slowly becomes more representative of our world, it’s critical that our present-day challenges don’t become an excuse to backslide to homogeneity. Inclusion efforts have initiated a virtuous cycle of innovation in the tech startup space; as stewards of the ecosystem, we have a moral and financial responsibility to keep the cycle in motion. That’s why we’ve solidified our commitment to supporting Colorintech, a nonprofit organization focused on making Europe the most inclusive tech hub in the world. Today, we’re announcing a sponsorship of the organization that will support their Rise pre-accelerator program for underrepresented entrepreneurs.